The Albanese Government is backing the emerging industries and sectors that will seize the economic opportunities, deliver well-paid jobs and secure a Future Made in Australia as the world shifts to a net zero economy.
The 2024-25 Budget supports the further development of Australia's rich endowment in critical minerals, while investing in programs for downstream processing and manufacturing technologies needed to help the world lower emissions.
A Future Made in Australia ensures Australia can secure much needed investment in critical minerals projects, to secure jobs and opportunities for current and future generations and make Australia a renewable energy superpower.
The Albanese Government is investing in the foundations for future economic growth and ensure Australia's resources sector continues to underpin our economy and jobs across the nation, including regional Australia.
Critical minerals
A Future Made in Australia needs critical minerals. The Albanese Government is committed to ensuring we can capitalise on the great opportunity provided by critical minerals and the global clean energy transition.
Australia is blessed with abundant reserves of critical minerals, including rare earths elements, such as lithium, nickel, cobalt and silicon, which are essential for clean energy technologies such as solar panels, wind turbines and storage and electric vehicle batteries.
Australia can improve the resilience of supply chains and add more value to our resources by processing and refining critical minerals. To realise this opportunity, the Government is investing:
- A ten per cent production tax credit totalling $7 billion over the decade for all 31 critical minerals to drive critical minerals processing in Australia. This will enable us to realise the full value of our natural resources and maximise benefits for our nation;
- $10.2 million for pre-feasibility studies to develop critical mineral common-user processing facilities to enhance Australia's capacity to process critical minerals, sovereign capability and economic resilience
- $5.8 million for a critical minerals trade enhancement initiative.
- $1 million for a pilot educational program, to strengthen the capabilities of Australia's critical minerals sector to detect, prevent and mitigate foreign interference.
Exploration
Exploration is crucial to ensure Australia's resources sector continues to flourish and support A Future Made in Australia.
To support our future resources industry, the Future Made in Australia program will include:
- $566.1 million over ten years from 2024-25 as a generational, sustainable investment in a new Resourcing Australia's Prosperity program. To be run by Geoscience Australia, Resourcing Australia's Prosperity will, over 35 years, at a national scale and through deep dives, progressively map Australia's highly prospective regions, critical minerals, groundwater and resources needed for the transition to net zero.
- $448.7 million over eleven years from 2023-24 (and an average of $43.2 million per year ongoing from 2034-35) to continue an ongoing partnership (nearly 50 years) with the US Geological Survey, in the Landsat Next satellite project. This project will map the changing surface of the Earth and support mining exploration, observations of climate, water and the environmental, crop and agricultural health and help manage floods, fires and other natural disasters - all anchored at the heart of Australia in Alice Springs.
Northern Australia
The Northern Australia Infrastructure Facility has earmarked $500 million for projects that support the delivery of the Government's Critical Minerals Strategy 2023-2030 as well as a Future Made in Australia. This includes:
- Up to $200 million of NAIF funds for the Alpha HPA Project near Gladstone. This project will create around 490 jobs during construction and more than 200 jobs on completion.
- Up to $200 million of NAIF funds for the Arafura Rare Earths Nolans Project near Alice Springs. The Project forecasts to deliver around $1.4 billion in benefit to the Northern Territory, including into regional and remote communities.
The 2024-25 Budget will provide $1.9 million to conduct a statutory review of the Northern Australia Infrastructure Facility Act 2016, as required by Section 43 of that Act. The $7 billion NAIF was established in 2016 to facilitate economic and population growth in northern Australia through financing transformational projects. Its approach is tailored to the unique needs of the north, with specialist expertise in the region, and in those sectors contributing to the economic prosperity of the north, including critical minerals.
A Future Made in Australia builds on Government initiatives since 2022 which have boosted investment in Northern Australia and strengthened our resources sector, including international cooperation to diversify critical minerals supply chains and measures to help attract ongoing investment in future industries.
The Australian Government will continue to support our resources industries and the more than 300,000 Australian men and women who work in the sector, to deliver a better future for our nation and our regions.
