The Australian economy is changing, and many councils around Australia will have communities facing upheaval because of this. Wellington Shire Council is one such council dealing with the repercussions of a changing economy; but it has embraced the challenge head on by supporting businesses in declining industries to retrain and redeploy their skills in emerging business sectors.
Gippsland, in Victoria’s east, is a region that has been subject to multiple economic shocks in recent years.
With a landscape traditionally dominated by coal energy generation, oil and gas, agriculture and forestry, Gippsland’s major industries have had more than their fair share of tremors during the past decade.
An abrupt downturn in milk prices devastated local dairy farmers in 2016. A few months later, Engie announced Hazelwood Power Station would close, giving just five months’ notice to hundreds of workers and contractors across the region.
The worst drought in living memory plagued farmers between January 2017 and December 2019 – the driest 36-month period on record for central and east Gippsland. The bone-dry conditions sparked the Black Summer fire season, ending in more than a million hectares burnt and hundreds of houses and businesses lost.
Barely a month after the fires were officially contained, COVID-19 restrictions were announced, and the region’s plight forgotten, overshadowed by a global pandemic.
Then came the state government’s unexpected decision to shut down the native timber harvesting industry six years ahead of schedule, as well as the decline of oil and gas – both longstanding economic backbones for Wellington – as work to decommission offshore platforms in Bass Strait was announced.
With so many residents feeling punch-drunk, it’s important to acknowledge what the region has been through. However, it can become all too easy for the conversation to dwell on what’s been, rather than what’s next.
With the right conditions, opportunity knocks. The world’s energy production has officially flicked the switch to renewables, marked by the State Government declaring Gippsland as one of six Renewable Energy Zones in late-2022.
So begins a shift in Victoria’s foremost energy producing region from traditional power industries to less carbon-intensive electricity generation. Echoing how conversation on the global stage turned from coal to clean, Gippsland’s economic future stands to benefit deeply from pivoting in a new direction.
In Gippsland’s centre, Wellington Shire has clear renewable energy advantages: land for installations, an abundance of wind and biomass, a shallow seabed for wind turbines and a close proximity to Latrobe Valley’s existing power transmission capacity.
With $40 billion in planned renewable energy investment across the region, there are considerable opportunities for local businesses, but such a drastic transition doesn’t come without its challenges.
It can be cumbersome navigating sunrise industries. Transitioning an existing workforce’s focus from the path well-trodden to the unknown is daunting, but reskilling and retooling is overwhelming for most businesses to even contemplate amongst daily operations.
Enter Kirsten Power – Wellington Shire Council’s Economic Development Officer for Defence and Renewable Energy. Kirsten’s role ensures Wellington’s businesses are well supported to enter supply chains for the renewable energy and defence sectors.
Kirsten is a valuable information point available to Wellington’s businesses. Among other tasks, she meets with local businesses to assist exploring accreditations, amending business plans and liaising with authorities and agencies to direct people to relevant programs.
Participating in state government forums, Kirsten holds meaningful, two-way engagement – meaning she is a voice for Wellington’s future as well as for those that feel left behind.
Kirsten’s role also involves being part of the working group organising the Gippsland New Energy Conference, which annually brings together more than 1,000 people from different industries and agencies to discuss the future of clean energy in Gippsland.
The position is a by-product of the Council’s decision to officially prioritise climate change and recognise its economy was in transition in 2021.
“We’re lucky locally to have an existing workforce that’s familiar with energy generation. I want to help people see the future, and then prepare for it,” she said.
“I’m trying to make it easier on businesses, so they don’t have to read through 400-page documents to decipher a way forward.
“I’m continually impressed with how versatile our businesses are. Longstanding companies are diversifying to service new industry, and that’s a credit to how resilient our community can be.”
PavFab Engineering and Fabrication, which has been servicing Yarram in Wellington’s south and the broader South Gippsland region, has been able to make good use of Kirsten’s services. Managing Director Sharee Arthur and Fabricator Paul Wilson were first introduced to Kirsten at a Defence capability conference in 2021.
“She has since assisted us immensely through webinars, workshops, working connections, networking, providing knowledge and assistance to us regarding local, state and federal grants, funding, events and future programs and workshops that are available to us,” Ms Arthur said.
“She is the smiling face we see at all events, and it is an absolute privilege to be connected with her as she goes well above and beyond to assist, help and support local businesses in this space.” Since the meeting, PavFab has been focused on engaging, networking and obtaining working relationships to gain and win work in the renewable energy sector, in both wind and solar.
“During this process, Kirsten has been a pivotal asset to our business, the region and the sector. She has been essential in this space, bringing business and sector together,” Sharee said.
With Kirsten’s assistance, PavFab has been able to diversify into renewables, expand existing networks and connections, and empower the local Indigenous community through employment pathways and opportunities.
PavFab has now employed five Indigenous individuals with no prior skills or previous employment history, with one man becoming so skilled he was able to leave as a proud business owner-operator himself. In 2023, PavFab were amongst the top five finalists for the Regional Development Victoria Business Achievement Award for their unwavering dedication to empowering Indigenous and rehabilitated individuals, providing employment and training.
“Together, our aim is to impact the jobs and skills shortages, improving employment outcomes with focus on economic growth in our region,” Ms Arthur said.
“Kirsten is the true backbone for local businesses wanting to engage in the renewable energy sector.”
The expansion into renewables has also begun to ripple throughout the community. For instance, TAFE Gippsland, Federation University, Energy Australia Yallourn and Star of the South have co-developed a framework to identify transition opportunities for local workers into clean energy.
While renewable power is a relatively new kid on the block in Wellington, a Royal Australian Air Force Base on the outskirts of Sale has remained a constant in the landscape. While the local aviation sector is already well-established, a recent $385 million redevelopment on base means East Sale is now Australia’s home of basic pilot training for the entire Australian Defence Force.
Kirsten recently supported four small and medium enterprises to meet with the Office of Defence Industry Support, allowing them to engage directly with Defence.
“Ensuring the RAAF is well-supplied means when local servicemen go to work they can do their jobs safely, and be well-equipped to carry out their duty,” she said.
“I know we’ve got some really great businesses here that can, and do, support that.”
Kirsten’s ambition is more than transitioning a local economy – it’s also transitioning a narrative. It’s as much about looking beyond decommissioning to a thriving, growing industry as it is about shifting the community’s attention from the good old days to a brighter future. Gippsland has always been celebrated for its energy production, and under new innovation, will continue to be so.
“We need to do something to save the planet, and we need to keep the lights on. This is coming, it will be a transformation, and we need to be prepared for it.”
Featured image: Wellington Shire Council Economic Development Officer for Renewable Energy and Defence, Kirsten Power, at the Gippsland New Energy conference. Image credit: Wellington Shire Council.
