Business

Some hope in job forecast with projects in the pipeline

BUSINESSES struggling to adjust since the peak number of cashed up fly-in fly-out workers may find some hope in the latest job projections released by Queensland Treasury.

In a series of projections based on existing operations and future projects currently in the pipeline for the Gladstone region, there is a glimmer of hope that more FIFO/drive-in drive-out workers will enter the workforce over the next five years.

However, the numbers will never reach the highs experienced during the boom, which peaked in 2014 at 6660.

Any lift is dependent on major projects like the construction of Arrow Energy's gas pipelines going ahead.

Queensland Treasury's projections were based on three scenarios.

If projection A eventuates, meaning all existing operations and projects currently under construction continue at the same rate, the FIFO work population would drop from 5430 to 670 workers by June this year.

The number of workers would stabilise at 590 by 2019 and this is the worst case out of the three projections.

In projection B, which takes into account projects that have been approved but are yet to be finalised, the projection is brighter, with the worker population falling to 1110 workers by June 2016 before increasing to 3610 by June 2018.

"The non-resident population would then decline to 1100 persons by June 2021," the report states.

For this scenario to come to fruition, Arrow Energy would need to start construction on the Arrow Surat and Arrow Bowen Pipelines, Arrow Liquefied Natural Gas plant, the expansion of the Wiggins Island Coal Terminal, as well as the Gladstone-Fitzroy Pipeline project and the Gladstone Nickel Project, which is partly owned by Clive Palmer.

The pipelines would deliver coal seam gas from Surat and Bowen to a Liquefied Natural Gas facility at Fisherman's Landing near Gladstone.

However, a spokesperson for Arrow Energy said the company was unable to comment on when these projects would start.

"Technical difficulties, as well as an environment of rising costs and falling global oil prices, led to a decision late last year to delay Arrow's Bowen development (comprising the Bowen Gas Project and the Arrow Bowen Pipeline)," she said.

"In a cost constrained environment, further work is required to underpin an economically-sound investment proposal to shareholders."

Until this work is completed Arrow will not begin construction.

In the third projection, which includes the scenarios above plus the construction of the Gladstone Steel Plant, the worker population would grow from 1290 in June this year to 4340 workers by June 2018.

The Perth-based company which plans to build the steel plant, Boulder Steel Limited, did not return this paper's calls.

It is turbulent times for the small businesses who rely on the workforce from the major projects.

But those who hang tough may reap the benefits if the projections turn out to be accurate.

 

Projects in the pipeline

  • Two Arrow Energy gas pipeline projects
  • Two expansion stages of WICET
  • The Gladstone Nickel Project
  • The Gladstone Steel Plant Project

Topics:  arrow energy employment fifo fly-in fly-out queensland treasury small business



How to survive a bushfire in your car

IT SOUNDS like a nightmare, but it can happen.

Eight reasons to join the RFS

SPREAD across 93% of Queensland, the Rural Fire Service has about 36,000 volunteers. And you could be one of them.

What if my insurer gives me grief?

CLAIMING your insurance cover after a natural disaster can go one of two ways. It can be a breeze, or like pulling teeth.

Locals flock for a feed at Gladstone's new Schnitz eatery

Schnitz Gladstone head trainer Holly Smith and store manager Chris Allen.

SCHNITZ has done a roaring trade on its first day in Gladstone.

BREAKING: Fire crews rush to Glen Eden fire

Fire crews are working to control a blaze at Glen Eden.

Fire crews work to control a grass fire at Glen Eden.

OPENING SOON: Burgers and beers at Gladstone's latest restaurant

GETTING THE URGE: Gladstone store and operational managers Chase Williams and Justin Charell gearing up ahead of opening.

Gourmet burger restaurant to open at Stocklands

Local Partners

Brad Pitt bids to keep custody battle private

Brad Pitt will go to court to keep his custody battle private

Sia has split from her husband

Sia has split from her husband Erik Anders Lang.

Amy Schumer thanks Barbie trolls for hateful comments

Amy Schumer is in the lead role for the new Barbie movie

Shannen Doherty's husband is suing for destroyed sex life

Shannen Doherty's husband is suing her former manager

Azealia Banks' battery case against Russell Crowe dropped

Russell Crowe will not be charged with battery

Mel Gibson named Best Director at AACTA Awards

Mel Gibson poses in the media room after winning the AACTA Award for Best Direction for Hacksaw Ridge.

HIS wartime drama Hacksaw Ridge sweeps 6th annual awards in Sydney.

Ipswich City Properties asset portfolio retains its value

Ipswich City Council Administration Building, South Street, Ipswich. Photo: Claudia Baxter / The Queensland Times

New website launched by Ipswich City Council

High profile premier invests in Gladstone industrial facility

Former Queensland premier Campbell Newman heads a group that bought the UGL warehouses in Paget for $10 million.

FORMER PREMIER heads group that's backing Gladstone to bounce back.

INSIDE STORY: The highlights of your $150 million CBD

GRAND PLAN: The highlights of the Ipswich CBD redevelopment and where they will be located.

Work on city heart's radical transformation to begin next year

VOTE IN OUR POLL: Sand mine opponents face serious dilemma

Public meeting for the proposed sand mine at Maroochydore last week.

Coast MP calls on Minister to stop KRA proposal with stroke of a pen

Developer's grand new multi-million dollar estate

NEW ESTATE: This is the only plan revealed by the property developer's new Billabongs Estate in Agnes Water.

DEVELOPER given the go ahead for a massive estate with 149 homes.

Ready to SELL your property?

Post Your Ad Here!