The best time for Australia to invest in the clean energy revolution was a decade ago. But the next best time is immediately, right now. What hasn't changed is our incredibly fortunate position with abundant resources, skills and IP which equip us well to prosper from this once in a lifetime opportunity. Bold and brave policy is what it takes to send an impactful signal to the investment community that Australia is open for business. The shift away from a carbon-intensive economy is in motion, and this leaves little room for sceptics to doubt it. Pending details next month, this could be Anthony Albanese's enduring legacy and many Australians will be watching in anticipation. #cleanenergyrevolution #restructuringtheeconomy #auspol #cleanenergy #energytransition #australianmanufacturing #manufacturingaustralia #sovereigncapability #localcontent #renewableenergy #cleantech #futuremadeinaustralia #makeaustraliamakeagain #nationalreconstructionfund #netzeroeconomy
‘FUTURE MADE IN AUSTRALIA ACT’ TO PUT AUSTRALIA IN GLOBAL CLEANTECH RACE Prime Minister Anthony Albanese announces the Future Made in Australia Act, designed to deliver a uniquely Australian response to the US Inflation Reduction Act – which is turbocharging US renewables, cleantech & re-industrialisation. The Act will bring together a co-ordinated & comprehensive package of initiatives to seize the opportunities of a #FutureMadeinAustralia. Treasurer Jim Chalmers 2024 budget will invest “at scale” to capitalise at speed on Australia’s comparative advantages and build sovereign capability for national security, including mining, embracing #renewableenergy, bolstering our skilled workforce, & creating new instrumentalities critical to the economic transition such as the National Reconstruction Fund Corporation and the Net Zero Economy Authority. The Government will work on public-private collaboration, leveraging the power of the public balance sheet & budget to de-risk investments to crowd-in private capital, & leverage our $3.6TRN super. To capitalise on the advantages of on our export oriented economy, this ‘Future Made in Australia’ is focused on collaborating with our Asian trade partners, to deliver the “embodied decarbonisation” of our critical minerals & strategic metals – powering & processing of our world-leading resources pre-export. The PM talks about a uniquely Australian response: “27% of our economic output depends on trade. And so do 1 in 4 Australian jobs.” Climate Energy Finance agrees, Australia is perfectly positioned to leverage this. Albanese’s vision is to build on our existing strengths – and critically, also look beyond them. This is a point many old school economists have failed to grasp - relying on traditional competitive advantage logic misses that the transition to net zero is a US$4-6 trillion pa global investment opportunity. The global energy and geopolitical landscape has changed, profoundly. Covid & Putin both highlighted the need to rebuild sovereign capacities. Australia can't rely on the traditional notion of free markets in international trade. The US$1TRN US IRA changes everything. China’s breathtaking scale & ambition of investment in manufacturing, technology, domestic deployments and exports in all zero emissions industries of the future changes everything. Many building blocks have been established: the Net Zero Climate Act; the $15bn NRF; the Safeguard Mechanism; the 32GW CIS; the $4bn Critical Minerals Facility; $20bn Rewiring the Nation Fund; & National Skills agreement. The Government acknowledges we need better tools to determine how Australia encourages and develops the international green premium price signal, and qualitative factors needed to drive quality and #decarbonisation. For CEF, an Asian #CBAM is a key geopolitical priority. We expect the Net Zero Economy Agency will provide the central coordination to ensure the strategy is coherently implemented. Climate Capital Forum
