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| Heavy metal? Or no metal at all? (Pic : Paul Webb via pickledimages.co.uk) |
I've previously noted how important the steel industry is to Wales, and its decline may well have contributed to the widening of "Offa'sGap". Steel-making is often called a "foundation industry" in that it's a linchpin the supports many other economic sectors. It's very hard to imagine a world without heavy metals - from nine inch nails to rusty cages, even metal up your ass....like 316L Grade Surgical Steel.
Denim and leather brought them all together, and three brothers of metal put their hands in the air to forward the motion – Aled Roberts AM (Lib Dem, North Wales), Paul Davies AM (Con, Preseli Pembs.) and Plaid Cymru's economic spokesperson, Rhun ap Iorwerth AM (Plaid, Ynys Môn).
Their motion called for :
- The Assembly to recognise the importance of the steel industry to the Welsh economy.
- The Assembly to note their regret that cheap metal from overseas is harming the domestic steel market.
- The Welsh Government to back the Sustainable Steel Charter (pdf); a crusade trying to protect "true metal" (carbon steel meeting the BES 6001 responsible sourcing standard) from cheap "false metal" being imported from far to the east.
When We're In Town, Speakers Explode
After wimps and posers left the hall (as instructed), the roof was nailed down as the brothers and sisters of metal prepared to light up; their speeches forged on anvils of steel.
Aled "Rooster" Roberts AM implied they ain't found a way to kill the steel industry yet (clip). We need to remind ourselves of the importance of steel. At least 7,500 people are employed in the steel industry in Wales alone, with a value of £9.5billion to the UK economy and £4.5billion in exports. Although demand for steel increased by 15% across 2014, foreign producers were the main beneficiaries. Steel imports have risen by 24%, the result of a combination of a strong pound and weak euro.
One particular concern about this is the increase in imports of Chinese rebar (the reinforcing steel you see on construction sites – this), which are environmentally unfriendly - Aled pointed out that within the UK, steel travels 500 miles from scrap metal to construction sites, while in China that's more like 10,000 miles, with much lower levels of recycling.
These imports usually don't comply to British standards and contain higher than acceptable levels of boron (used to harden steel) which require changes to welding techniques – so there are safety concerns too. Although it's a European Commission competence, the steel industry deserves protection from "unfair trade", and member states can vote on protective measures.
Jenny Rathbone AM (Lab, Cardiff Central) said it's important to maintain a domestic steel industry as it's a "foundation stone of construction and most forms of manufacturing" (clip). Jenny stressed the need for progressive metal, as metal production is a powerslave, with comparatively expensive energy costs to produce steel in the UK. This is due to levies introduced in order to increase investment by energy companies in renewables, with Celsa Steel in Cardiff spending £4million more on energy now than it did in 2010. Despite this, currently only 1% of the energy used by the steel industry comes from renewables. This is changing, with TATA building up steam, nuclear screams from the forging process to drive its own turbines.
Although no hair grows on his steel, Shadow Finance Minister, Paul Davies AM said the UK's Government support for efforts to grow industry meant there was no reason why the Welsh Government couldn't welcome the sustainable steel charter themselves (clip).
Paul said there's a lot of employment down the supply chain. Fuel is pumping engines made of steel in the car industry, there's ninety tons of thunder in the form of crazy trains and most buildings have a heart of steel.
Procurement is particularly important and the Welsh Government's infrastructure investment plan could benefit the steel industry. He wants to ensure metal is kept pure and real, and declared death to false metal, saying the steel industry provides an important pathway to develop STEM skills.
David Rees AM (Lab, Aberavon) emphasised that metal will never die, with global steel demand set to rise from 1.5billion tons to 2.5billion tons by 2050 (clip). The industry therefore has a long, stable and productive future. That doesn't dismiss the challenges, which require close working between government and business. The UK has lost a large part of its own market with only 20% of steel produced here being used domestically compared to 90% in the 1970s, when metal was at its peak.
Two areas David picked out for potential growth were inward investment – because the skills are here, with 3,500 people directly employed at TATA Port Talbot – and innovation, in particular new coatings being developed to enable buildings to generate their own energy.
He expressed disappointment, however, that TATA announced recent changes to their pension scheme, and also underlined the importance of protecting workers and improving the steel industry's safety record so nobody else has to die for metal.
Mark "Corpsegrinder" Isherwood AM (Con, North Wales) thinks British Steel is quality metal (clip). He said the steel industry is entitled to protection from unfair trade, highlighting the hyper-modern facilities and techniques used as TATA Steel Colours in Shotton, who he describes as a "dynamic employer" using modern techniques, with steel reaped by robot's scythes. Mark added that demand levels are a real problem, and the industry has had to make painful changes to compete in a market where most of the demand is abroad. He believes an industrial strategy for metal would be the painkiller.
John Griffiths AM (Lab, Newport East) said the metal scene in Newport is still going strong, with Llanwern Steelworks, Skindred and Desecration (clip). It also remains a highly-skilled, well paid job providing opportunities in research and development, with John describing it as a "great strength for Wales". As a former environment minister, David Rees asked him if he believed steel companies which recycle their energy should get some sort of rebate? John agreed, saying Welsh and UK Governments should work together to recognise good practice on that front.
Keith "Electric Wizard" Davies AM (Lab, Llanelli) said that metal remains important in Llanelli, where thunder and metal have been shaking the ground for generations (clip). He said infrastructure projects needed to be brought forward, but also highlighted research ties between Swansea University and TATA Port Talbot where they're developing new solar panels (to steal the warm wind from black hole suns, naturally).
Keith effectively cried, "Death to false metal!", praising masters of metal, agents of steel in the trade unions who are fighting for metal, metal that's real. This ensures there's a proper vision going forward not just protectionism. He said there needed to be more details on the support provided to energy-intensive industries.
In response on behalf of the Welsh Government, the iron maiden Edwina Hart (Lab, Gower) said steel was an ace of spades up the sleeve of the Welsh economy (clip), with 17,000 people employed in the industry itself as well as downstream in the supply chain. Despite some of the disadvantages felt as part of the EU, Wales has some of the most advanced plants, with Celsa being one of the most (per ton) carbon efficient plants in Europe.
She said it's clear the industry has been hit by false metal, which has quality issues, as well as low demand in Europe, which remains below pre-recession levels. The Minister raised concerns about energy prices, with gas prices being 2-3 times higher in Europe compared to the shale-driven United States. She also believes that the environmental considerations in the sustainable steel charter means it isn't protectionist.
The Minister said there needs to be a tailored approach for Wales at a UK level, but things need to be turned up to 11 as she wasn't sure if our voice is being heard.
In wrapping up the debate, Rhun ap Iorwerth AM said the steel industry is a vital part of our industrial infrastructure (clip). The motion serves as an opportunity for the Welsh Government to make a statement of support as a "concrete step to protect the interests of the Welsh steel industry", and he was pleased the Welsh Government are happy to adopt the spirit of the charter.
Despite the signs of recovery, it hasn't benefited our steel industry, which still faces many seasons in the abyss. The rebar issue is probably down to foreign producers getting rid of over-produced stock; so factors other than cost – like safety and environmental impact – need to be taken into consideration.
In closing, Rhun said that as there's magic in the metal, there's magic in us all - with steel-making being "part of the fabric of our industrial heritage". Steel-making can be louder than hell, and he experienced some extreme noise terror when he visited Port Talbot steelworks himself, saying it "hits you hard". They all rip off Meshuggah anyway.
The motion was agreed unanimously, but what followed was a disgrace.
Instigated by Gwenda "Countess Grishnackh" Thomas, some amateur dentistry broke out when a brutal circle pit formed around that decorative thing in the middle of....then I woke up.
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