Supporting The Steel Industry Through Welsh Public Sector Infrastructure And Constructions Projects

The Welsh Government has outlined the future need for steel in the Welsh public sector as part of its continuing support for a long-term and sustainable steel industry. ‌​‌​‌​​​‍‌​‌​​‌‌‌‍‌​‌‌​​‌​‍‌​‌‌‌​‌‌‍‌​‌‌‌‌​​

A new report is published today which calculates how much steel will be needed for Welsh public sector infrastructure and construction projects between 2017 and 2023 . ‌​‌​‌​​​‍‌​‌​​‌‌‌‍‌​‌‌​​‌​‍‌​‌‌‌​‌‌‍‌​‌‌‌‌​​

The report, commissioned by the Welsh Government’s Tata taskforce procurement work stream, also sets out the steel industry’s capacity to meet this future demand. ‌​‌​‌​​​‍‌​‌​​‌‌‌‍‌​‌‌​​‌​‍‌​‌‌‌​‌‌‍‌​‌‌‌‌​​

Over the period 2017-23, there is a total estimated demand of 140,000 tonnes of different types of steel products for Welsh public sector projects – including structural steel frame, reinforced bars and steelwork associated with mechanical and electrical works. ‌​‌​‌​​​‍‌​‌​​‌‌‌‍‌​‌‌​​‌​‍‌​‌‌‌​‌‌‍‌​‌‌‌‌​​

Working with Welsh and UK Steel sector representatives, including Tata Steel, Celsa, UK Steel and British Constructional Steelworkers (BCSA), the report shows steel suppliers in the UK could have an overall annual steel production capacity of 1.4m tonnes of steel. ‌​‌​‌​​​‍‌​‌​​‌‌‌‍‌​‌‌​​‌​‍‌​‌‌‌​‌‌‍‌​‌‌‌‌​​

The report makes eight recommendations, including making steel industry and supplier briefings, with support from Business Wales, mandatory for infrastructure projects over £1m. ‌​‌​‌​​​‍‌​‌​​‌‌‌‍‌​‌‌​​‌​‍‌​‌‌‌​‌‌‍‌​‌‌‌‌​​

It also recommends developing workshops for public procurers, issuing guidance to support the sourcing of steel in construction and encouraging the use of more collaborative procurement strategies. ‌​‌​‌​​​‍‌​‌​​‌‌‌‍‌​‌‌​​‌​‍‌​‌‌‌​‌‌‍‌​‌‌‌‌​​

Launching the report, Finance Secretary Mark Drakeford said: ‌​‌​‌​​​‍‌​‌​​‌‌‌‍‌​‌‌​​‌​‍‌​‌‌‌​‌‌‍‌​‌‌‌‌​​

“As a Government, we are committed to doing everything we can to secure a long-term and sustainable steel industry here in Wales. The forecast demand for our future steel needs of our infrastructure and construction projects is set out in the report and will be updated every year . ‌​‌​‌​​​‍‌​‌​​‌‌‌‍‌​‌‌​​‌​‍‌​‌‌‌​‌‌‍‌​‌‌‌‌​​

“ It gives Welsh and UK steel suppliers the confidence and evidence there is demand for their product from the public sector in Wales. It also gives an in-depth forecast of the volume and type of steel we need for future crucial road and rail developments, new hospitals and our 21st century school programme. ‌​‌​‌​​​‍‌​‌​​‌‌‌‍‌​‌‌​​‌​‍‌​‌‌‌​‌‌‍‌​‌‌‌‌​​

“It is yet a further indication of our commitment to provide a co-ordinate package of support for Welsh steel suppliers in the face of global pressures.” ‌​‌​‌​​​‍‌​‌​​‌‌‌‍‌​‌‌​​‌​‍‌​‌‌‌​‌‌‍‌​‌‌‌‌​​