The Albanese Labor Government is building Australia's future, locking in our nation as a green iron manufacturing powerhouse through the new Green Iron Investment Fund.
The $1 billion Green Iron Fund will boost green iron manufacturing and supply chains by supporting early mover green iron projects and unlocking private investment at scale.
Up to $500 million has been earmarked to support the Whyalla steelworks transformation, shoring up local jobs and helping with the energy transition.
At least $500 million will be open to applicants right around Australia, and accessible for both existing facilities and greenfield projects that can supercharge Australia's world-leading iron ore industry by adding more value right here.
This will create extraordinary opportunities for Australian industry where there are a range of green iron and steel ventures underway.
The competitive Fund has been designed in close consultation with industry through our Green Metals Expert Panel.
Australia is the world's largest producer of iron ore, earning more than $100 billion in export income in 2023-24, with the wider iron and steel sectors supporting over 100,000 direct and indirect jobs.
As well as providing more jobs and value-adding onshore, investment in green iron and steel will secure future demand for Australia's iron ore as the world moves toward lower-emissions iron and steel - and support global emissions reduction at a massive scale in the process.
Green metals are pivotal for global decarbonisation, with iron and steel production responsible for 8% of global emissions, with iron accounting for up to 90% of these emissions.
The Minerals Institute of Western Australia has found that a single green iron plant could add a cumulative $85 billion to gross domestic product, add $2.4 billion in real income per annum, and create 1,540 full time equivalent jobs.
A 2023 Accenture report suggests a green metals industry could deliver up to $122 billion a year in export revenue to Australia's economy by 2040.
The Albanese Labor government is delivering a strong future for Australian made metals and the thousands of workers and families who depend on them.
This comes on top of the Albanese Labor Government's existing measures to back in Australia's thriving energy and mining sectors:
- $2 billion investment in Australian made aluminium
- Passing legislation to deliver Production Tax Credits for hydrogen and critical minerals, which was opposed by the Liberals and Nationals
- Investment in major critical minerals and rare earths projects through the Critical Minerals Facility including Iluka and Arafura
- a $3.4 billion investment in Geoscience Australia to accelerate the discovery of resources
- Funding Hydrogen Headstart to catalyse Australia's hydrogen and clean energy industries
Quotes attributable to Prime Minister Anthony Albanese:
""Labor's plan for a Future Made in Australia is very clear: we want Australia to make more things here.
"That's why my Government is delivering $1 billion for our Green Iron Investment Fund.
"We've got the resources, the workers, and the know-how - the only thing we don't have is time to waste.
"This investment is good for Australian workers and good for Australian business."
Quotes attributable to Minister for Industry and Science, Ed Husic:
"The Australian Government is backing in our green metals producers as the world moves towards net zero.
"The Green Iron Investment Fund will enable Australia to take advantage of our existing iron ore supply chain, renewable energy potential, world class research and high-skilled workforce.
"Through this $1 billion Fund we're supporting industrial diversification, productivity and economic growth, for a Future Made in Australia."
