Aberdeen’s council leader has today called for a second summit to reveal how millions of pounds of investment will help support the North Sea oil and gas industry.
Council chiefs will meet with industry leaders, trade unions, academics and other representative bodies in a private meeting later this month.
The event follows on from an inaugural event in 2015 which called for a radical transformation of the area through spending on transport, housing and skills development to help secure the long-term future of the industry.
Earlier this year Prime Minister David Cameron visited Aberdeen as a £250million City Region Deal was announced by the UK Government backing long-term investment in the north-east of Scotland.
Aberdeen City Council said it is continuing to work with ONE (Opportunity North East), which includes board member Sir Ian Wood and Oil & Gas UK, to unlock the cities future potential.
Deirdre Michie, chief executive of industry body Oil & Gas UK said “now more than ever” industry needed to be “pulling together” to support the industry.
Since the decline in global oil price more than 65,000 jobs have been lost across the sector.
The meeting on June 30th will reveal an update on the progress being made in the industry as well as identifying key priorities to ensure the region continues as a “significant contributor” to both the Scottish and UK economies.
Aberdeen City Council leader Jenny Laing said the recent City Region deal investment would allow the area to prosper and face the current challenges presented by the decline in oil price within local communities but also on a “global scale”.
Councillor Laing said: “The City Council have continued to work with partners on tackling the difficult issues within the North-east. The downturn that we are currently experiencing in the oil and gas industry has brought the need for innovation and diversification.
“The announcement of the City Region Deal was welcomed as a step in maximising the economic recovery but it is vital that we continue to explore new technologies, ensuring we sustain the industry and build on our reputation that Aberdeen is an innovative place to do business.
“While, I believe we currently going through a particularly challenging period the support shown for the region has been extremely encouraging. It is important that the council are the front runners in securing the long-term future of the North-east. We aim to bring the city on an exciting transformational journey as the City Council invest £516million in a capital programme over the next five years. The investment will allow the city to face current challenges and prosper not only within communities but also on a global scale.”
The City Council said it is already spending £59million for roads infrastructure projects, including more than £19million for the Berryden corridor, £75million for the AWPR, £80million of investment for green energy, £333million for the new Aberdeen Exhibition and Conference Centre and funds to invest in flood prevention measures.
An estimated £34million will also be spend for city-centre regeneration as part of the City Centre Masterplan.
Sir Ian Wood, Chairman of ONE said:“Aberdeen is now beginning to face up to the challenges of its long-term economic future after the complacency of a strong North Sea dominated era. Maximising economic recovery in the UKCS remains a priority, alongside beginning the work that will transition Aberdeen from the European Oil and Gas operations centre to a global hub for energy-related technology innovation and development.
“The new Oil & Gas Technology Centre will play a transformational role in this respect. The City Region Deal has secured significant funds to support innovation and diversification and ONE is now tackling the growth of the region’s other key industry sectors, which include Food, Drink and Agriculture; Life Sciences; and Tourism.
“We now have much better alignment between industry, local government and the agencies and this will provide a sound platform to address the challenges of economic diversification and growth.
“In the short term, we must try and mitigate the impact of the current downturn while planning and making the investment that will secure prosperity in the medium to long term, through the retention and creation of oil jobs and the evolution and growth of key industries.”
Deirdre Michie, chief executive of Oil & Gas UK, said: “Much has been done in the past year to tackle our challenges. Industry is working hard to be more competitive, more co-operative and more efficient in order to get through this downturn.
“These are exceptionally tough times and now, more than ever, we need to be pulling together to secure the future for the North Sea which still holds billions of barrels of oil and gas.”
The City Council said £130million was also being invested in new schools across the city, which includes a new state-of-the-art facility for children with serious and complex needs, a new academy in the south of the city and a £5million extension at Greenbrae Primary School in the Bridge of Don.
Last year, a number of politicians including First Minister Nicola Sturgeon attended the first North Sea oil summit which was held at Aberdeen Exhibition and Conference Centre.
Earlier this week it was exclusively revealed that the SNP’s £12million flagship retraining fund for redundant oil and cash workers has only delivered cash to less than 100 people.
