Lisa Chesters (Bendigo, Australian Labor Party) Share this | Hansard source

Apologies, everyone, for my croaky voice. It's awesome having my children here from Bendigo and it's wonderful to have a childcare centre here at parliament, but it is a Petri dish, as all parents with children in child care know. As I'm keen to speak on manufacturing and the National Reconstruction Fund, please persevere with me. This bill, the National Reconstruction Fund Bill 2022, is critical not just to my electorate but to economies in regional electorates all over our country.

I have to begin by saying that I'm not surprised but I am disappointed that the opposition is opposing this bill. The National Reconstruction Fund is modelled on ARENA and the Clean Energy Finance Corporation. We know those opposite really struggled to understand the importance and success of those two bodies. Multiple times when those opposite were in government they tried to abolish them—unsuccessfully, because the Clean Energy Finance Corporation proved to be a successful model. It proved to work, proved to make money for the Commonwealth and proved to support and grow investment where it was needed. So successful was the Clean Energy Finance Corporation that it has given us guidance on how to create the National Reconstruction Fund.

I have to say I disagree with those opposite about what manufacturers are saying. When I've met with the proud manufacturers of my electorate during the 10 years or so that I've been either the federal member for Bendigo or a candidate, many of them have said they found the grant system run by the former federal government to be clunky, to play favourites and to not actually support innovation.

Innovation is a big word to manufacturers in my electorate. Paul Chapman, who is the founder of Australian Turntables, which his family still own, runs a regular festival on innovation to encourage people to think differently. He quite often says that what manufacturers lack is a partner in government, someone with capital. It's not that easy for manufacturers to access capital, particularly at the moment. The National Reconstruction Fund will give them an option.

Manufacturing has existed for a long time in my electorate. From the simple innovations that occurred in the early days of the gold rushes to what we have today, we are home to world-class manufacturing. We are home to food manufacturing, engineering and heavy metal manufacturing. We manufacture the Bushmaster, which has featured in discussions a few times this week. We have a strong presence in defence manufacturing and we are actively involved in many innovative products in the building products space. These are all critical to where we are in manufacturing today. We are also home to goldmining and have one of the richest goldmines in Australia, which has helped seed a lot of mining manufacturing and equipment that will be required for our mining industry.

Today, manufacturing's economic output in Greater Bendigo alone is about 18 per cent yet the sector employs eight per cent, so, for who it employs, it generates a huge economic output in our region. Salaries are worth over $300 million and local sales over $800,000. Regional exports are also massive in the area. Value adding is a big part of what we do.

I have spoken to a number of local manufacturers about how this fund could help, whether they would consider accessing it and what they could do. Vossloh Cogifer Australia are based in Castlemaine. They have outgrown their facility. They are a leading global company in rail infrastructure. They have been successful in acquiring a contract with the federal government to help build the Inland Rail, but their home in Castlemaine is too small; it doesn't have a proper flow. For those reasons, because the company are looking to expand, they are looking to relocate to Bendigo. But, again, having access to capital, finding the right investment partners is challenging. Despite what those opposite would suggest, they did have people lined up but they didn't quite work out. This kind of fund could be an option for them.

We want to be a country that makes things, we want to be a country of Inland Rail and we want that Inland Rail equipment to be manufactured here. We have great companies like Vossloh that could be part of that but that need a purpose-built home. They are not asking for a grant to build the facility, but through the National Reconstruction Fund, they could actually have a partner.

Hoffman Engineering are known for their manufacturing facility in WA but their leading manufacturing facility on the east coast is in my electorate of Bendigo. They produce heavy fabrication, heavy machinery. When you are there quite often you will see some of the largest gears from around the world being refurbed in Bendigo. They have the largest lathe in the southern hemisphere in Bendigo. They still do work on the Collins class because they do have some of the large equipment able to do that refurb work. They also do a lot of work for the renewable energy industry. From wind turbines to our defence vehicles, they are a critical manufacturer. They are also innovators and have some of the best equipment in electrical welding. Speaking to the young apprentices who are going on to be engineers, they have a brilliant pathway. They too look at the National Reconstruction Fund as an opportunity.

Another fantastic manufacturer in my electorate, JL King, is a large local food manufacturer. They did actually apply to the previous government's grants that they're so proud of only to miss out over and over again. Maybe it's because they were in the wrong electorate. Maybe that was part of their challenge: they are in Bendigo. They're not in Nicholls; they are in Bendigo. Maybe it is because they are in a red electorate, not a Green electorate, not a blue electorate. That is what is so disappointing about those opposite. Have they not learned from their previous mistakes?

JL King are looking to expand. They are a small family business that has grown. They have a site, have built a facility and now they're looking for equity partners to help them fit out that facility so they can grow their manufacturing business. They could double the jobs that they offer if they could just find the equity partners. They are expanding into providing good quality food into aged-care facilities yet they can't expand quickly enough. A National Reconstruction Fund could help them meet their needs.

These are just a few of the many examples in my electorate. I'm know I am about to be wound up soon and I will seek to continue my speech on why the National Reconstruction Fund will make such a difference to local manufacturing. We are in desperate need for a federal government partner to help grow manufacturing jobs. If we want to be a country that makes things, we need to be doing more than just handing out clunky grants, more than just leaving it up to the market. This is an opportunity to actually be a partner. It is innovative. I know those opposite struggle with innovation, but if they actually took the time to work with and listen to manufacturing groups, particularly those in regional areas, they would learn that this fund being put forward by the government is the answer to a lot of challenges that we have in growing manufacturing in the regions.

I will leave my remarks there and hope to be able to return to them when the debate continues.

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