Friday, March 21, 2025

SA Govt announces special economic zone for Whyalla

The South Australian Government has today announced it will establish a Whyalla Special Economic Zone, to drive local industry involvement in government projects.

Treasurer, Stephen Mullighan joined Premier, Peter Malinauskas and Senior Ministers in Whyalla today to meet with steelworks creditors and community members.

Under the Whyalla Special Economic Zone, any State Government procurement valued at $220,000 or more within the region, or projects that can deliver direct economic benefits, will require a Whyalla Tailored Industry Participation Plan.

These plans will carry a minimum weighting of 30% in the tender evaluation process, ensuring government-funded projects contribute directly to economic sustainment and growth in the region.

“It’s crucial that the local industry and workers in Whyalla are given a competitive edge, in the wake of the Steelworks going into administration,” said Mr Mullighan.

“By establishing the Whyalla Special Economic Zone, the State Government is ensuring local businesses are prioritised when it comes to government projects in the area.

“We remain committed to ensuring the viability of the greater Whyalla region and that includes helping support the local economy to grow and thrive.”

The Treasurer said the Tailored Industry Participation Plans will:

  • Measure the number of businesses located within the Whyalla Special Economic Zone directly and indirectly involved in delivering government projects;
  • Track the number of local workers engaged in project delivery, particularly recently displaced Whyalla Steelworks employees;
  • Support these businesses and workers with training, skills development, and upskilling opportunities.

Mr Mullighan said the model had been successfully implemented in bushfire-affected regions, including Kangaroo Island and the Adelaide Hills, reinforcing its effectiveness in supporting economic recovery and growth.

It follows the State and Federal Government’s $2.4 billion package to save Whyalla Steelworks, support local jobs and encourage more investment into Australian made iron and steel.

Similar local procurement requirements have already been factored into the State Government’s recent infrastructure announcement, with the state contributing $13.8 million towards the $32.4 million upgrade of the Whyalla Airport.

The Industry Advocate, John Chapman OAM, who has also taken on the role of Whyalla Regional Coordinator, will ensure that State Government projects in and around the Whyalla region actively engage local businesses and workers, creating new opportunities for those impacted by recent job losses, the Treasurer said.

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