1. George Ritchie Senior Vice President – HR, IT & Industrial Park Services Sembcorp Utilities (UK) Limited A member of NEPIC’s Leadership Team – Chairman of the Skills & Education Engagement Strategy Group A Board member of Cogent Sector Skills Council, representing Chemicals and Audit Committee Chairman for the Chemicals Advisory Council Chairman of the North East Regional Skills Board for the National Skills Academy for the Process Industries Project Director/Overview Director for the Tees Valley Apprenticeship Programme (TVAP) A North East Region Apprenticeship Ambassador for National Apprenticeship Service

2. Enabling Strategy TeamPriorities to Support the Delivery of the GDP Strategy Skills, Education and Engagement Leader: George Ritchie Purpose: To upskill the existing workforce and to attract and retain new entrants 1.Skills Define the number, type and level of resources to support the growth plans within the Process Industry in the North East of England. -Ensure that skill gaps and shortages within the industry are prioritised and addressed through appropriate project identification and implementation. -Improve productivity in the Process Industry through better coordination, utilisation and development of regional training provision. 2.Education & Engagement Develop the strategy to present the Process Industry in the North East of England as being an attractive place to work. -Advising Government and related bodies on the education requirements necessary to support NEPIC’s objective of GDP growth. -Harnessing the resources of NEPIC companies and working with other Science, Technology, Engineering and Mathematics (STEM) providers in the North East to supply a coordinated product offering of curriculum enriching materials and careers advice to schools and pupils throughout the North East. -Engaging with the communities where NEPIC companies operate to ensure those communities see the industry as a good neighbour that makes a positive contribution to the community. A reminder - Skills, Education & Engagement Action Plan

3. Typical projects focused on driving the North East’s GDP Growth All projects support the overall drive to expand the regional process industry GDP contribution from £8.8 billion to a target of £13.3 billion by 2015 SEU support projects Expanding best sub- regional practice throughout the region e.g. Tees Valley SEU New education projects Engaging communities through corporate social responsibility Develop and implement strategy to engage young people Ongoing team support and infrastructure –articulation of industry needs Developing industry career models New process, bio and engineering technician courses and standards School Leaver Defining resources and meeting needs Qualifications, Diplomas & curriculum development Graduate and Higher level projects inc. Skills and leadership Competency framework Adult resourcing and re-training provisions Support to National Academy Grow from £8.8-13.3bn Biotechnology£0.7-1.2bn Specialities£2.8-3.3bn Pharmaceuticals£1.8-2.3bn Base£3.5-6.5bn Skills Team Education & Engagement Team Overlapping projects Focused on GDP gap closure Underpinning & infrastructure Identifying and addressing skill gaps and shortages

4. Start Feb/Mar 07 26 trainees (Proc) Available Oct 07 18 years minimum Process & Eng Post Graduates All adults Short conversion Process 19-24 years 3 year programme Old PPO1/2 Overseas Process & Engineering Adult available KEY DRIVERSKEY DRIVERS GDPGROWTHGDPGROWTH JC+ Armed ForcesAccredited 19-24 yrsOverseas Recruitment TVAP 16-18 yrs Batch & Process Tech Apps GraduatesSTEP Studentship 16-21 years Process. Multi Skilled. 4 yrs sponsored Consortium All ages. Process. 3 yrs sponsored. Commences 2007. Consortium UK & Overseas. New & experienced Overseas Process & Engineering adult available All disciplines. Ongoing An example of how NEPIC is working with employers and a number of agencies on an integrated approach to fill the skills gap for the Process Industry in the North East. An integrated spectrum of projects aimed at meeting the skill needs in the short, medium and long term Training Providers Sector Skills Sustainable & growing Process industry C O M P A N Y C O L L A B O R A T I O N 0-6 months 7-12 months 12-48 months

5. Education Engagement Proposal put forward for activities that could be made to break-even Because of loss of public funding these would be reliant on partial sponsorship from businesses Continuing to offer Planetarium and Science Show in the meantime STEMPOINT Northumberland contract ended March 2011. New contract holder to be sought for Tyne & Wear/ Northumberland jointly.

6. Education Team 3 out of 4 staff in Education Team have left Last member is expected to leave September Administration support now from Wilton office when necessary In discussion with potential handover of the planetarium – to be decided with MSD Considering how to ensure other assets are utilised for the benefit of schools and industry

7. Continuing Education Input Universities and others, such as A4e continue to offer education engagement Chemistry Jamboree may be continued by Newcastle/ Northumbria Universities CCI will continue whilst funded by members – due for renewal in Summer! Wilton Site companies will continue CCI for their area Hopefully NEPIC members will find ways to continue to offer support to schools local to their sites Educationalists cannot be expected to know about us if we don’t make an effort to educate them!!

8. Strategic Account Tyne Wear Dev Employer Regional Development Agency One North East Training Providers Young People Learning Agency NBS Europe BENE NAS Job Centre+ Cogent Government NSAPI Local Authority Schools NEPIC UKTI Skills Funding Agency BENE, Business Enterprise North East, (Business Link) NAS, National Apprenticeship Service NEPIC, North East Process Industry Cluster UKTI, United Kingdom Trade and Industry NBS, Northumberland Business Service Strategic Account, Tyne and Wear dev Company and Tees Valley Unlimited

9. Our Mission To meet the skill needs of the Cogent industries to allow them to compete successfully We are doing this through: Being the voice of employers on skills Designing qualifications Attracting young people into the Sector Understanding industry skills needs

10. Cogent – our footprint Cogent Industries: Petroleum Oil & Gas Chemicals Pharmaceuticals Bioscience Polymers Nuclear

11. Cogent SSC Ltd Board of Directors Chair John Beacham NSA Process Industry Allan Laing Petroleum Brian Worral John Llewellyn Polymers Chris Horton Brian McCann Specialist Knowledge Nigel Brooksby Chris Hunt Academia Amarjit Basi Vacancy Cogent Karl Gorge Joanna Woolf Unions Tony Burke Dai Hudd Chemicals George Ritchie Steve Westhead Pharma Chris Lewis John McConnell Nuclear David Barber Ian Hudson NSA Process Industry Allan Laing - Pentagon Specialty Chemicals Ltd amlaing@pentagonchemicals.co.uk, T. 0151 422 3384 Petroleum John Llewellyn – Murco john.llewellyn@murphyoilcorp.com T: 01646 696430 Brian Worrall – Chevron brianworrall@chevron.com T: 0207 719 3183 Polymers *Chris Horton – Linpac Plastics UK chris.horton@linpac-plastics.co.uk T: 01977 636508 Brian McCann - Clarehill Plastics brian.mccann@clarehill.com T: 02892 612672 Specialist Knowledge Nigel Brooksby nigel.brooksby@steel-bars.co.uk T: 07801 979024 Chris Hunt – UKPIA chris.j.hunt@ukpia.com T: 0207 632 9881 Academia Amarjit Basi – Walsall College abasi@walsallcollege.ac.uk T: 01922 6570123 Vacancy Cogent Karl Gorge – Finance Director karl.gorge@cogent-ssc.com 01925 515228 Joanna Woolf - CEO joanna.woolf@cogent-ssc.com 01925 515209 Unions Tony Burke – Unite (Amicus section) tony.burke@unitetheunion.com T: 0207 420 8900 Dai Hudd – Prospect dai.hudd@prospect.org.uk T: 0207 902 6600 Chemicals George Ritchie – SembCorp Utilities george.ritchie@sembcorp.com T: 01642 212005 Steve Westhead – Solutia UK snwest@solutia.com T: 01633 754320 Pharmaceuticals Chris Lewis - AstraZeneca chris.lewis@astrazeneca.com T: 01625 513377 John McConnell – Aesica john.mcconnell@aesica-pharma.com T: 0191 2181960 Nuclear *David Barber – EDF Energy david.barber@edf-energy.comT: 01452 652222 Ian Hudson – NDA Ian.hudson@nda.gov.uk T: 01925 802154 Chair John Beacham jaybea@ntlworld.com T: 01928 563330 October 2010 * National Skills Academies

12. Cogent – five key supply chains

13. DownstreamChemicals and Industrial Biotechnology George Ritchie Chair Pharmaceutical and Pharma Biotechnology Life Sciences – with a focus on research Polymers

14. Employer Demand SQS Qualifications Valued by employers NOS, modular qualifications and industry standard training Level 2 - Degree Quality Assured Provision Employee CPD Learning Employer Engagement Industry strategy Job and Training Standards Education and qualification needs Skills gaps and shortages Research LMI Forecasting skills supply and demand Education & Qualifications Qualification development and reform Apprenticeship frameworks Common Industry Standard Skills Infrastructure Sector Compact Funding Train to Gain Brokerage Value Chain for Cogent and Academies Stakeholder Engagement Project Funding Policy Employer Engagement Individual companies – skills, training and recruitment issues Union identified issues Delivering solutions Product & Services Skills Passports Training Needs Assessment (ASET) Industry Standard Training Brokerage Providers Quality Assured Provider Network ACADEMYCOGENT Cogent’s focus is towards the left side of the Value Chain – developing strategic skills action plans, considering future business environments and the implications on skills, as well as setting standards and representing the employer voice. At the other end of the Value Chain the National Skills Academies engage with employers and then commission and deliver skills solutions, products and services to meet their needs. Secure Funding £

15. The Industry Standards Setting Body Industry qualifications and training standards – we will hear more on this shortly from Ian... +++ Job StandardsQualifications Industry training standards Products and platforms

16. Policy Context Coalition Policy Deficit reduction Free markets replacing managed markets for skills Increase in tuition fees in H.E Setting FE Free

17. New Funding Regime “Customer power…pay more, expect more” Funding vehicleThemeEntitlementsFeatures 2006 -2010Train to Gain“World Class Skills” Focus on Level 2 1 st Level 2 Sector prioritised Level 2 (Compact) Leadership & Management £1bn employer training subsidy per year 2010 - 0213Skills for Sustainable Growth Vision based on;  Fairness  Responsibility  Freedom 1 st level 2 entitlement likely to be removed in next year Co-funding for additional Level 2 for SMEs only No Level 3 funding except through competitive bidding (JIP & GIF) Leadership & Management grants only for SMEs  Further reduction in entitlements 2012/13  Funding rate reductions from August this year SME & workless focus  More apprentices  Encourage employer & individual investment  Loans from 2013/14

18. Joint Investment Programme Our JIP proposal approved by the Skills Funding Agency The Cogent/Process Academy bid has secured over £2m – to be matched by employers Full qualifications in Year 1 Unit/awards based training Year 2 For example: Resource Efficiency Gold Standard Leadership & Management Certificate in Chemical & Pharmaceutical Based Process Operations Providers for Year 1 signed-up: delivery commences this month

19. Demand by 2017 Demand - 120,000 in science-related occupations: managers - 39,000 professionals - 20,000 associated professionals - 24,000 machine operatives - 24,000 skilled trades - 13,000 Focus from NEPIC employers for help with skills development needs etc... National Skills Academy – The One Stop Shop

20. Contacts Dr Ian Mains Commercial Director National Skills Academy Process Industries T: 01325 740 900 M: 07894 483691 I.Mains@process.nsacademy.co.uk www.process.nsacademy.co.uk Roger Langford Key Account Director The National Skills Academy Process Industries T: 01928 515678 M: 07894 483695 R.Langford@process.nsacademy.co.uk www.process.nsacademy.co.uk Heather Smithson Project Manager Tees Valley Apprenticeship Programme T: 01325 740 916 M: 07860 505 018 h.smithson@process.nsacademy.co.uk www.nsa-tvap.co.uk John Wayman Director National Apprenticeship Service T: 0191 4926348 M: 07776 348 252 John.wayman@apprenticeships.gov.uk www.apprenticeships.org.uk Simon Wigington Employer Services Manager National Apprenticeship Service T: 0191 4926418 M: 07880 850633 Simon.Wigington@apprenticeships.gov.uk Simon.Wigington@apprenticeships.gov.uk Alan Wallace Employer Services Director National Apprenticeship Service T: 07810 153877 M: 07799 6911379 Alan.wallace@apprenticeships.gov.uk www.apprenticeships.org.uk Don Atkinson Regional Account Manager- North East Engineering Construction Industry Training Board T: 01642 777719 M: 07971 438720 Don.Atkinson@Ecitb.org.uk www.ecitb.org.uk George Ritchie SVP HR, IT & Industrial Park Services Sembcorp Utilities (UK) Ltd T: 01642 212005 M: 07773 812005 George.ritchie@sembcorp.com www.sembutilities.co.uk