The Federal Government has introduced its long-term renewable technology and green investment plan to Parliament called the ‘Future Made in Australia’ (FMIA).
The legislation sets out a planned mix of public and private sector funding to turn Australia into a “renewable energy superpower”.
This legislation is all about unlocking private sector investment to build a stronger, more diversified and more resilient economy powered by renewable energy that creates secure, well-paid jobs around the country.
It embeds into law a disciplined and rigorous approach that will govern Future Made in Australia investments, to make the most of our net zero potential and ensure the benefits of these investments are widely shared and flow to local communities.
Through this Bill the government proposes to legislate new National Interest Framework, introduce a robust sector assessment process, and outline the Community Benefit Principles that will apply to investment decisions.
The package will enable Government to commission Treasury to undertake independent analysis of the extent that areas of the economy are aligned with the National Interest Framework, barriers to private investment in these areas and opportunities to address them.
The Government has legislated a target for 82% of Australia’s energy to be generated by renewables by 2030. Renewables accounted for nearly 40% of total energy use in 2023, according to data from the Clean Energy Council.
Australia has also legislated a goal of net zero emissions by 2050, where greenhouse gas emissions produced and taken out of the atmosphere are balanced. Treasurer Jim Chalmers calling the energy transition to net-zero emissions as “the biggest transformation in the global economy since the industrial revolution”.
He said Australia had been dealt the “most incredible set of cards”, citing the “unique combination of geological, meteorological, geographical and geopolitical comparative advantages”.
The legislation establishes the Future Made in Australia Innovation Fund to support emerging technologies in industries like green metals, clean energy manufacturing and low carbon liquid fuels, and it expands the National Interest Account to better enable investment in Australia’s national interests.
The Government included nearly $23 billion for FMIA over the next decade in its 2024/25 Federal Budget. This includes funding to manufacture green energy technologies and $45 million for an advertising campaign to promote FMIA.