Scotland’s energy minister dropped in on the Scottish Pavilion here at OTC today, clearly in ebullient form and rightly so.
The latest oil and gas export figures are a credit to our offshore industry as it seeks to build its international stature; not that anyone should rest on their laurels, quite the opposite in fact.
Obviously there is a political card being played here in Houston, with the Scottish Pavilion barely attached to the main body of UK exhibitors for the second year in a row and Fergus Ewing turning up.
At the very least, this is about Scotland trying to be more assertive … pushing its distinctive brand, even if most of the companies generating the international success story are foreign-owned, either through acquisition or as organic satellites to perhaps an international main brand.
It is well known that a succession of UK governments have taken a relaxed approach to corporate ownership; believing that to be subordinate to doing the business.
And I doubt that is about to change anytime soon, north or south of the border, despite the downsides to this approach.
Meanwhile, it is critical that the exports momentum continues to build. But, given the huge decline in North Sea production over the past 13 years since peak at the end of the 1990s and with a further significant drop in output anticipated despite the current “Indian Summer” of new projects and enthusiasm for squeezing existing assets a bit harder, I think the window of opportunity for exports growth is shrinking fast.
Instinct tells me that we perhaps have a further five good years on the exports and internationalisation growth front. After that it will get a whole lot harder with the risk of a critical loss of momentum.
Heaven knows, exporting and internationalising is tough enough now, without the added domestic pressure.
There is a cornucopia of opportunity out there in the big wide world; but there is also growing competition from more and more aspirant countries keen to develop oil and gas-related trade.
It means we really will have to get a whole lot smarter at backing this rare example of a successful industry in Britain.
I think the Scottish Government understands that. Moreover, it strikes me that recent changes within Scottish Enterprise and SDI will help with focus and delivery.
I’m less confident about UKTI; not because of the calibre of its people … I have encountered some great folk trying to do their jobs well over the years … but because of the cut, cut, cut mentality of the London machine, driven by political arrogance.
Norway has fielded Crown Prince Haakon for this year’s OTC. As I write this, I’m not even aware that London has sent a minister of any description.
A pity!