Australia set to join global clean energy subsidy race with new green fund
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Australia on Feb 16 classified nickel as a “critical mineral”.
PHOTO: REUTERS
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SYDNEY - Australia plans to unveil a range of financial incentives to drive investment in the local clean energy sector and keep money and talent from being pulled overseas by subsidies in the United States and Europe, the Australian Financial Review reported on Feb 16.
Like countries across the developed world, Australia is responding to the massive raft of clean energy incentives in US President Joe Biden’s US$430 billion (S$578 billion) Inflation Reduction Act
If Australia has to become a renewable energy superpower, “the government has to be a partner in this, not just an observer”, Prime Minister Anthony Albanese will say in a speech later on Feb 16, according to the story.
“We don’t have to go dollar for dollar in our spending, but we can go toe to toe on the quality and impact of our policies. In all of this, we must be prepared to think big,” Mr Albanese will say.
The prime minister’s office did not immediately respond to a request seeking comment.
The government scheme is likely to be a combination of subsidies and co-investments, the AFR report said, citing unidentified sources.
Australia on Feb 16 classified nickel as a “critical mineral”, opening the way for the crisis-hit industry to access billions of dollars in government support.
The country’s nickel sector is facing thousands of job cuts after a jump in Indonesian supply saw prices plunge 40 per cent in a year.
The scheme will be the latest in a series by the centre-left Labor government designed to revive manufacturing or foster new industries, including an A$15 billion (S$13 billion) National Reconstruction Fund and a fresh injection of A$500 million in 2023 for critical minerals. REUTERS
