5.10 The committee recommends that the
Australian Government establish a National Rail Manufacturing Industry Plan to
maximise the benefits of the $46 billion in investment expected over the
5.11 The committee recommends that a National
Rail Manufacturing Industry Plan develop a mechanism for the Commonwealth to
smooth out the peaks and troughs in market demand and create more certainty and
predictability for manufacturers servicing the rail industry.
5.12 The committee recommends that,
following the Australian Government's establishment of a National Rail
Manufacturing Industry Plan, state and territory governments endorse the plan
and agree on methods to adequately support, resource and progress the plan.
committee recommends the development of a National Rail Procurement Strategy by
the Commonwealth in coordination with all states and territories. As
signatories to the strategy, states and territories should include procurement contract measures – consistent with
international trade obligations – which allow for the development of industrial
capabilities for small and medium sized enterprises (SMEs). As part of these
contract measures, consideration should also be given to:
- maximising local content for the manufacture of passenger,
freight and light rail rolling stock in procurement;
the relevant financial and non-financial costs and benefits of
each project including, but not limited to:
the quality of goods and services
fitness for purpose of the proposal
- the potential supplier's relevant experience and performance
flexibility of the proposal (including innovation and
adaptability over the lifecycle of the procurement)
environmental sustainability of the proposed goods and services
(such as energy efficiency and environmental impact)
whole of life costs
requirements for contractors to undertake training strategies to
educate and engage local apprentices, trainees and engineering cadets;
commitments to local industry development and supply chain
harmonisation of safety standards.
committee recommends that a National Rail Procurement Strategy be used to work
with all states and territories to maximise investment in local research and
development, as well as engagement with universities and research agencies.
committee recommends the establishment of a Commonwealth coordinating body – to
be headed by a tripartite council – to drive and coordinate a National Rail
Manufacturing Industry Plan, a National Rail Procurement Strategy and industry
5.24 The committee recommends that a
Commonwealth coordinating body be given direct terms of reference to work
directly with the rail manufacturing supply chain in developing and expanding
industry capability networks.
5.29 The committee recommends that the Australian
Government work with state and territory governments, and the rail industry, to
develop Rail Industry Skills Centres at local TAFEs and colleges.
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