Green metals innovation to receive $750m

The Federal Government is set to invest $750 million to drive the development of new low-emissions technology to ensure the future of Australian metals.

The funding, part of the $1.7 billion Future Made in Australia Innovation Fund, will support pilot and demonstration projects to lower emissions, improve productivity and modernise plant and equipment.

The initiative aims to unlock commercial-scale production of green metals using Australian ores and renewable resources, expanding trade opportunities and job creation.

The hope is that, with Australia already prized in aluminium, iron ore and steel, the funding will add to the country’s exports that are currently worth $150 billion annually.

“Demand for green metals is expected to account for a third of the global metals market in coming years, this is an opportunity we cannot afford to miss,” Federal Industry and Science Minister Ed Husic said.

“For a century, metal-making has been the spine of Australian industry, and this investment is there so it continues to underpin our economic and national security resilience for decades to come.”

Administered by the Australian Renewable Energy Agency (ARENA), the investment is part of more than $5 billion committed to the Australian metals industry, complementing existing initiatives such as the Green Iron Investment Fund and funding for clean energy technology manufacturing.

“Decades of sustained investment in our upstream mining capability means WA has built a strong competitive advantage and is well positioned to be a first mover in the green metals space,” Chamber of Minerals and Energy WA (CME) chief executive officer Rebecca Tomkinson said.

“However, transformational breakthroughs in green metals production require both the development and commercialisation of new technologies and processes.”

Tomkinson stressed the need for cost-competitive electricity and regulatory reforms to ensure the sector remains viable.

Steelmaking currently accounts for six to nine per cent of global emissions, with iron-making alone responsible for up to 90 per cent of the carbon dioxide output.

A recent CME report found that large-scale green iron production in WA could reduce global emissions by 1.2 per cent by 2050 while generating $74 billion in economic value and supporting 19,600 direct jobs.

While supportive of the Federal Government’s commitment, Tomkinson called for further action to reduce energy costs, speed up project approvals and provide regulatory certainty to help establish a strong green metals industry in Australia.