A new Green Aluminium Production Credit can help make Australia's domestic aluminium industry more competitive, according to the Business Council.
Business Council Chief Executive Bran Black said Government funding for a domestic low-carbon aluminium industry through a new Green Aluminium Production Credit can support projects to improve our economy's productive capacity.
"Australia has an opportunity to be a key player in the energy transition and this investment is a step towards realising that ambition," Mr Black said.
"Aluminium is a key ingredient in a successful energy transition and backing these types of projects sends the right signals to the market that Australia is open for new investment."
The BCA has long called for an Australian response to the United States' Inflation Reduction Act, which has drawn green investment to North America.
However, Mr Black noted that getting our nation's investment fundamentals right is the best thing we can do to drive investment to our shores, become more productive and support the green energy transition.
"To truly turbo charge investment in Australia, we must urgently address the matters that CEOs look at when deciding whether to deploy capital; namely, our regulatory, tax and workplace relations settings."
