Agenda item

(A report by James Baty, Economic Research, in connection with Greater Lincolnshire LEP's production of a Local Industrial Strategy (LIS) and sets out the steps that the LEP have taken so far in producing that strategy. As a founding partner of the LEP it is recommended that LCC plays a strong role in supporting the LEP's production of the Local Industrial Strategy)

Consideration was given to a report which provided the Committee with a progress update on Greater Lincolnshire LEP's production of a Local Industrial Strategy (LIS).  The Committee was last briefed on this at its meeting on 16 January 2018.  The report presented explained that the government had asked all Local Enterprise Partnerships to produce a local industrial strategy, and set out the steps that the Greater Lincolnshire LEP had taken so far in producing that strategy.  As a founding partner of the LEP it was recommended that the County Council played a strong role in supporting the LEP's production of the Local Industrial Strategy.

Members were guided through the report and provided with the opportunity to ask questions to the officers present in relation to the information contained within the report and some of the points raised during discussion included the following:

·         It was commented that since the Energy from Waste (EfW) facility at North Hykeham had been built, it had been producing masses of heat, enough to power nine factories, with 24/7 assured energy which could be provided at a subsidised rate.  It was reported that there was a good engineering base in Lincoln, particularly with the opening of the Engineering School at the University, and it was suggested that there was a need to focus on Teal Park and encourage businesses which would use the energy and heat from the Energy from Waste facility.  Disappointment that more businesses had not been attracted to this site was expressed.

·         Members were advised that officers did have sites such as Teal Park in mind when considering concepts such as the SMART GRID and how businesses could start to self-sustain in relation to the production of energy. 

·         It was suggested that the heat and energy produced by the EfW should be a big positive for any business looking to relocate to Lincoln.

·         It was noted in relation to potential energy solutions, this was more focused on rural energy solutions and Teal Park was in an urban area.  It was suggested whether the emphasis should instead be on developing a localised energy solution, which would then make Teal Park a good option.  It was noted that there were a number of interested parties, and the authority was still engaged in dialogue about the opportunities.  There was also the potential to link to the Western Growth Corridor.  Members were advised that options around the EfW were also more complex as it was likely the facility would need to be retrofitted.

·         It was noted that future energy requirements for waste sites were being examined.

·         It was important to ensure that a perception of Lincolnshire having a predominantly agricultural industry was not developed as there was a need to encourage and attract new businesses to relocate to the County.

·         It was agreed that there was a need for a focus on future skills.  However, it was commented that there was a still a section of the population who needed the motivation to get onto the skills ladder.

·         Reference was made to a number of applications approved in Boston for energy production and storage facilities along the riverside, and it was queried whether there was a way that these could be linked with the factories based along there, many of which operated 24/7.  Members were advised that these had been brought together under the NSIP (Nationally Significant Infrastructure Projects) programme, and the County Council would be consulted as a stakeholder, but would only be able to respond and react to the developer's proposals.  The issue of maximising heat outputs was one which was being scoped by the Planning Team, but was difficult for a local authority to shape.

·         In terms of future skills needs, concerns were raised regarding whether there was too much focus on young people going to university and not enough around opportunities for apprenticeships.  It was acknowledged that there was a very complex skills challenge in Lincolnshire, which was not just about recognising high level skills.  There was also a need to think about what skills would be needed in 10, 20 and 30 years' time, as well as skills for the current workforce.  There was a need to work out what businesses future plans may be and what they may need in the future.  Work was taking place with the university and other stakeholders.  There was also work to do around place making in order to attract new businesses to Lincolnshire.

·         Members were advised that the LIS was not a strategy to be read in isolation, and was to run alongside documents such as the SEP (Strategic Economic Plan).  It was suggested that the SEP should be seen as the "business as usual" document, but the LIS would set out the ambitions for all different sectors and would set out what made Lincolnshire stand out from other areas.  It was hoped that investment in these areas would drive Lincolnshire forward.

·         It was commented that the hand picking of crops was one area of skills which needed to be looked at, as this was currently mainly a migrant workforce but this could be reduced or lost in the future.  It was suggested that in order for agricultural industries to survive these processes would either need to be automated or the physical demands made more attractive.

·         It was noted that if industries were struggling for a workforce, then they would find a way to automate.  There was some technology already in place, but there was a need to think 20 or 30 years ahead.  There was a need for businesses to think about innovation, and this was the kind of thing that the LIS hoped to address.

·         In terms of food production and the development of robotics, it was queried whether it was hoped that this would create its own industry.  There would be a need to ensure that innovation was located in Lincolnshire so it could support the sector.

·         It was suggested that there was a need to challenge the mis-conception that production line work was low skilled, as much of it involved operating machinery.  It was acknowledged that there was more that could be done to show the line of progression that was available, as well as the different paths such as robotics or management.

·         Concerns were raised that although Lincolnshire was moving forward at a great pace, the county was still lagging behind.  It was queried whether the authority could work to move forward with the five areas of focus outlined in paragraph 10 of the report.   

·         It was requested that this came back to the Committee in the future to follow up on some of the points highlighted.

·         It was noted that the authority was slightly constrained by the government's timing of this.  However, there was a view that officers would like to take work on these activities as far as possible so that once the Industrial Strategies have been agreed progress could be made with as few delays as possible.

RESOLVED

            That it would be beneficial for the Committee to focus on the activities identified in paragraph 10 of the report and a progress report be brought back to the Committee in October 2018.