The announcement of a proposed merger between Santos and Woodside Energy demands careful consideration.
As one of the largest businesses in the state, employing over 3000, any such merger must be conducted with the utmost dedication to safeguarding jobs and preserving its crucial role in supporting local communities.
While we acknowledge it is still early days and no deal has been finalised, both Santos and Woodside Energy must recognise any merger will inevitably have a profound impact on South Australia’s economy.
The South Australian Business Chamber Chief Andrew Kay has emphasised the need for a strategic approach that prioritises the preservation of jobs and the continuation of vital community support programs.
“It is still in the very early stages of discussion and reflects global trends for consolidation in the energy sector.
“As a predominantly small business state, the role of our bigger businesses takes on greater significance than they might elsewhere and play a key role in attracting senior-level talent and investment into South Australia and providing opportunities for the supply chain of smaller businesses that support them.
“We would hope that a merged entity would protect jobs and continue to invest in our state, both from a business perspective and also as a good corporate citizen.
“Santos has been a pivotal partner for many sectors through sponsorship and financial support over decades.
“Santos should ensure any deal that is done protects the supply chain of smaller businesses that have helped it grow to a position of strength in South Australia. These relationships need to be maintained and hopefully extended through further investment opportunities that a merger might create,” said Mr Kay.
Santos plays a pivotal role in sustaining the livelihoods of a substantial number of South Australians. Beyond job creation, they contribute significantly to local small businesses, support community initiatives, pay taxes and serve as a critical component in the supply chain for numerous South Australian organisations.
As discussions progress, it is crucial for the state government to actively ensure that the interests of South Australia are at the forefront of any successful merger.
The South Australian Business Chamber will be closely monitoring developments and advocating for the best interests of our members and the broader community throughout this process.
