Madeleine King (Brand, Australian Labor Party, Minister for Northern Australia) Share this | Hansard source

Resources exports remain the backbone of the Australian economy, with export earnings expected to reach $450 billion in 2022-23. The resources sector employs 280,000 workers nationally and generated $43 billion in taxation and royalty revenue in the last financial year. All this revenue and this taxation helps to fund our essential services across the nation in metropolitan areas but also, very importantly, in the regional communities in which this sector principally operates.

Since its election on 21 May, the Albanese government has been working to acknowledge the important role resources will play in the transition to net zero emissions both here in Australia and around the world. We've been working to address energy security and pricing, to maintain our reputation as a reliable and stable supplier to our trading partners and to enhance our relationship with key investors.

This year we have seen large increases in international gas prices. The government has taken action to protect Australia's gas supply while maintaining our trusted trade and investment relationships with these key strategic partners. At the core of this is a package of reforms to modernise energy market regulation with the states and territories, to increase the monitoring and oversight of gas markets and to improve the functioning of the Australian domestic gas security mechanism, including moving to a more-flexible quarterly based consideration. I delivered a new heads of agreement five weeks ago with the three east coast LNG suppliers in late September. While these facilities account for only three per cent of the east coast's gas supply into the market, their commitment to supply 157 petajoules across 2023 is important to maintaining supply and, indeed, ensuring oversupply.

As we decarbonise, Australia will continue to need gas and coal in the transition to firm renewable energy generation, and iron ore and bauxite will continue to be vital inputs for steel and aluminium production. I acknowledge the member for Paterson and the member for Hunter, who is going to speak later on this matter, who represent the great coalmining communities of New South Wales. I also acknowledge the former minister for resources, the member for Hinkler, who has always been a key advocate for these communities.

This government is committed to lowering emissions, reaching net zero by 2050. Work and consultation are ongoing in regard to the very important safeguard mechanisms which will work on limiting those submissions for the large emitters of carbon dioxide in this country. Australia's critical minerals are essential for a clean energy future. Our silicon is used in solar panels. Our lithium, cobalt, graphite and vanadium are used in batteries. Our rare earths are used to create electric vehicles and wind turbines. The world will need more mining, not less, on the critical path to net zero. Without the resources sector of Australia, Australia will not reach net zero and the world will not reach a decarbonised economy.

The October 2022-23 budget contains an additional $50.1 million over three years to the Critical Minerals Development Program for competitive grants to support early- and mid-stage critical minerals projects. This builds on the $49.7 million committed last month to six key projects across Australia. The budget also contains $50.5 million to establish the Australian critical minerals research and development hub and $10 million to fund research, development and demonstration projects for commercial methane abatement in the resources sector. This government will also refresh Australia's Critical Minerals Strategy to set a clear vision for the sector and complements other government initiatives, including the National Battery Strategy and the Electric Vehicle Strategy.

The previous government issued two versions of a critical minerals strategy and did not consult anyone on either occasion. This strategy failed to make the very important link between the role of critical minerals and the path to net zero emissions and decarbonisation. It is a staggering omission and can only be explained by the deep-seated denial of the then coalition government of the need to act on climate change. Unlike the current opposition, we will consult industry experts and communities to ensure they are provided with an opportunity to have their say on the Critical Minerals Strategy of this nation.

We will also review Australia's critical minerals list, which will be considered to ensure it reflects evolving technological, economic and global conditions. International investment will be required to develop these resources, to capture more of the downstream processing supply chain and develop battery manufacturing in Australia. That's why I've recommitted $5.8 million to the India-Australia critical minerals investment partnership and recently signed a critical minerals partnership between Japan and Australia, which was announced in Perth when the Prime Minister of Australia, Anthony Albanese, and the Prime Minister of Japan, Fumio Kishida, both visited the BHP Nickel West refinery in my electorate in Kwinana.

There is a great economic opportunity for critical minerals in this country. It will be a national mission to make it a success for future generations of Australians and indeed the whole world.

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