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09/02/2012

Transport Minister Meets Tata Steel

Transport Minister Keith Brown has met with senior representatives from Tata Steel at the Scottish Parliament.

It follows recent speculation that Tata Steel had bid for the fabrication of structural steelwork as part of the ongoing procurement process for the Forth Replacement Crossing’s Principal Contract, which is being delivered by the Forth Crossing Bridge Constructors (FCBC) consortium.

It was confirmed that Tata Steel only played "an indirect" role in tendering for the supply of steel plate for the project. Contrary to misleading speculation, there were no Scottish bids for FCBC’s steel fabrication subcontracts. Tata Steel’s plant in Motherwell manufactures steel plate, it is not a steel fabricator.

Scottish Ministers have made sure the contractual arrangements for the Forth Replacement Crossing provide all possible opportunities for Scotland's firms and workforce to benefit from the huge public investment being made in this essential infrastructure project. The procurement of subcontractors and suppliers in a way that adheres to these contractual requirements is, however, quite rightly a commercial matter for FCBC.

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Tata Steel also confirmed that they would be meeting Energy Minister Fergus Ewing and senior SDI representatives later this month to discuss future opportunities on offshore energy.

Transport Minister Keith Brown said: "I was pleased to meet senior representatives from Tata Steel today. Its plant at Dalzell tells a compelling story of resurgent success for the Scottish steel industry and - as demonstrated by recent news of it benefitting from a £10 million Siemens Wind Power contract to supply steel for wind turbines – it is superbly placed to take advantage of new opportunities in the renewables industry that this Government is working so hard to support.

"But it is important to stress that the appointment of subcontractors and suppliers is the commercial responsibility of FCBC, who we appointed to deliver the FRC’s Principal Contract on schedule and within budget. Tata Steel has since confirmed that it was only "indirectly" involved in the tendering process for the FRC project’s steel fabrication subcontracts."

(GK)

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