Creativity the antidote to energy supply chain woes

Construction components in short supply

During the pandemic years, the world talked a lot about global supply chain problems. Whether you were trying to build a house or buy common household goods, everything seemed to be in short supply. When it comes to construction, supply chain disruption can mean big problems. And while COVID seems like a distant memory, the building industry still faces challenges sourcing all the products we need to get projects completed.

In the energy sector for example, there are specific components that we simply don’t make in Australia (or at least not at scale). In 2024, The Australian Government announced $1 billion in funding to help kickstart local solar photovoltaic (PV) manufacturing via the Solar Sunshot program. But the vast majority of PV panels - and many other specialist materials and components needed for energy infrastructure projects - need to be imported.

Thinking back a few years, the industry was facing huge supply issues with steel . Everything from rebar to structural beams and door frames were consistently hard to source. While product procurement is usually the contractor’s issue to solve, supply issues put on-time delivery at risk. And as a project proponent, that ultimately means more cost...

People and skills another scarcity

Here in Western Australia, sourcing people with the right skills is an issue that we face regularly. As a small and relatively isolated market, WA has always relied on skilled labour transiting from the eastern states and overseas. During the pandemic era, labour migration was a challenge in every market. While it’s gotten better, new pressures are sustaining the skills problem. Some tradies have transitioned into other industries (like resources) that compete for similar skills, and construction labour is in high demand across a range of sectors. In 2025, housing, defence, transport and energy projects are all competing for the same people.  

Even if you have all the products you need to build something, if there’s no one to do the work, you’re still in trouble.

Getting creative to address construction supply issues

The building industry is facing challenges that are global in nature, but the impacts are felt keenly at the project level. So, what’s the answer? In my experience, it’s about getting creative.

I’m currently managing construction projects on Department of Defence bases – a program that involves the phased delivery of multiple facilities. Many of these buildings are multi-storey and require lifts − a product that was identified early as a procurement pain-point. Lift packages are manufactured overseas and there can be significant delays sourcing them due to fabrication and logistics constraints. 

Under normal circumstances, lifts would be sourced for each building as it is developed, but as the program is phased we seized the opportunity to adapt our usual procurement method and source lifts for all buildings in the program upfront. This obviously involves upfront costs and lifts for future development phases have to be stored somewhere. But in the case of this program and the Defence bases we are working on (where security is great and there is ample space available) this solution has prevented development downtime. And while this did result in a larger upfront cost outlay, the budget remained intact and potential delays were successfully mitigated.

Project management = problem solving

Sourcing ahead of program and buying in bulk is just one example of doing things differently. But it’s the type of thinking that projects in other sectors could apply when faced with similar supply problems. By understanding potential supply or labour pain-points as early as possible and adapting business as usual procedure, you can address issues before they sink your schedule, or blow your budget.

When it comes to construction, labour pressures and supply chain issues change. But they aren’t going away any time soon. A good project manager with the ability to think creatively and problem-solve can certainly help you navigate the challenge.