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Meeting of the Parliament 17 November 2011

17 Nov 2011 · S4 · Meeting of the Parliament

Item of business

Oil and Gas Sector

Ewing, Fergus SNP Inverness and Nairn Watch on SPTV

I welcome Tavish Scott’s point; he is absolutely right that decommissioning will present considerable opportunities for Scotland. Just yesterday we received information that Bremerhaven, which is doing work of that nature, is nearly full.

I understand that that matter is much discussed in the industry, and I have taken part in some of those discussions. I would welcome discussions with Tavish Scott on what must be done in Shetland to ensure that his constituency can avail itself of the opportunities in the years ahead, provided that the various other difficulties relating to decommissioning—particularly the removal of the reliefs that were previously enjoyed—are tackled.

The forums that I attend are an example of Government working closely with key industry players to formulate clear visions in order to maximise recovery rates, sustain jobs and develop a Scottish oil and gas supply chain that is strong, healthy and resilient enough to take full advantage of the opportunities that are still to come in that vibrant sector in the several decades ahead.

Of course, Scottish Enterprise, Highlands and Islands Enterprise and Scottish Development International continue to support and assist many companies in the sector to grow and develop. The challenges that face the industry have their foundations principally in the supply chain, in skills shortages, in lack of sufficient finance from banks, in investment in the existing infrastructure, in lack of new exploration and appraisal, and in the adoption of innovative new technologies.

The joint forums help Government to understand industry needs and they help industry to understand Government expectations. As with most good partnerships, the collective effort becomes more effective than the individual one. The oil and gas sector in Scotland is supported by world-class supply chains, but we must do all that we can to support the growth and development of the Scottish supply chain, domestically and abroad, and ensure that opportunities are captured.

The sector has a strong and skilled workforce, but its skills needs are evolving and changing. We must work with all relevant players in the industry to ensure that the right skills are available in the right amount, in the right place and at the right time. The long-term aim must be to ensure that the oil and gas sector is viewed as a long-term attractive sector for young people to join and for diverse and exciting career opportunities. I believe that the industry is completely united on that. Skills is therefore a key issue for the industry advisory group.

I must say that I share the sentiments that are expressed in Labour’s amendment—at least in the first part, which relates to the topic at hand, rather than in the very last part. I endorse Labour’s explicit recognition of the importance of skills development and workforce representatives’ participation in all those matters, I entirely accept those points, and I thought that I should depart from the text that is before me just to say so. I am that sort of minister. [Laughter.]

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Meeting of the Parliament 17 November 2011

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