Ministerial Statement: LOCAL MANUFACTURER PROVIDING THE DRIVING FORCE ...

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From the Minister for Industry and Trade

Wednesday, 3 June, 2009

LOCAL MANUFACTURER PROVIDING THE DRIVING FORCE BEHIND V?LOCITY TRAINS

The delivery of the 100th engine for the V?Locity Rail Program has emphasised the success of the Brumby Labor Government?s transport and manufacturing initiatives that are securing jobs and boosting the Victorian economy.

Industry and Trade Minister Martin Pakula said the engines, produced locally at Cummins? Scoresby manufacturing facility, are then supplied to Bombardier Transportation who fit them in their V?Locity train.

?The Brumby Government is taking action to secure jobs and boost the economy by ensuring Victorian companies are quite literally the driving force behind the Regional Victorian Rail Network,? Mr Pakula told Parliament today.

?Since August 2002, Cummins, Bombardier and the Victorian Government have worked together to deliver an additional 93 cars through the V?Locity program.

?Thanks to the outstanding work of companies like Cummins, local content on the $600 million V?Locity program is now close to 70 per cent or $420 million.?

Mr Pakula said he was committed to ensuring that Victorian rail manufacturers and suppliers, such as Cummins and their 160 employees, were able to capture an increasing number of opportunities from the Victorian Government?s substantial transport infrastructure investment.

?The Brumby Labor Government?s $38 billion Victorian Transport Plan will see the biggest expansion of our rail system since Federation and create more than 100,000 jobs.? Mr Pakula said.

?This investment will provide an excellent opportunity for growth in Victoria?s railway equipment manufacturing industry which already accounts for 31% of the national sector and is worth nearly $3 billion.?

Mr Pakula also highlighted the steps the Government are taking to ensure this happens.

?On 1 July we are introducing a strengthened and streamlined Victorian Industry Participation Policy to maximise local content in the Plan and other major projects,? Mr Pakula said.

?Through the 2009-10 State Budget we are also delivering $1.2 million for a new Transport Infrastructure Manufacturing Scheme to boost Victoria?s capability to manufacture trains and other major transport assets.

?Working in tandem, the VIPP and TIMS will secure the jobs of Victorians both now and into the future. It will ensure Victorian industry maintains the skills and capabilities necessary to lead the way out of these tough economic times.?