Keith Pitt (Hinkler, National Party) Share this | Link to this | Hansard source

I move:

That this House:

(1)notes that the previous Government:

  (a)had the foresight to implement Australia's first ever Critical Minerals Strategy in 2019;

  (b)provided billions in funding to support the development of Australia's critical minerals sector since 2019;

  (c)provided a $1.25 billion loan in April 2022 through the Critical Minerals Facility to Australian company Iluka Resources to develop Australia's first integrated rare earths refinery in Western Australia;

  (d)committed $200 million in the 2022-23 budget to develop early and mid-stage critical minerals projects as part of the Critical Minerals Accelerator Initiative funded under the Regional Accelerator Initiative; and

  (e)committed $50.5 million in the 2022-23 budget to the Critical Minerals Research and Development Centre;

(2)further notes that the Government is cutting critical minerals funding:

  (a)by $100 million under the Critical Minerals Development Program, formerly known as the Critical Minerals Accelerator Initiative; and

  (b)to the $50.5 million Critical Minerals Research and Development Centre, now rebranded as a 'hub', by pushing funding out over four years instead of three years; and

(3)calls on the Government to:

  (a)explain why it believes renaming an existing program and cutting its funding makes it a 'new initiative' as described by the Prime Minister;

  (b)explain why it is undermining its own rush towards an 82 per cent renewable energy target by 2030 by cutting investment in Australia's critical minerals, which are vital to the creation of technologies like solar panels, wind turbines and batteries; and

  (c)reverse their cuts to the Critical Minerals Accelerator Initiative and the Critical Minerals Research and Development Centre.

It was the coalition government that had the foresight to establish Australia's first critical minerals strategy in 2019. That was a strategy that has been updated and which has been incredibly important to the development of critical minerals industry in Australia. As I know you know, Madam Deputy Speaker Sharkie, nothing is more important than local politics.

For the people of my electorate, how important are critical minerals to their everyday lives? They are used in ventilators, medical equipment, defence equipment, fighter aircraft, submarines, ships. But they are also used in one of Australia's oldest foundries, the Bundaberg foundry in Bundaberg, which has been established for more than 100 years. We put a request out to the local general manager, Enio Troiani, better known as 'ET'—for obvious reasons—to see exactly what it might be that they use in the Bundaberg foundry for which the critical minerals strategy would apply. If you look at the list of critical minerals—antimony, beryllium , bismuth, chromium, cobalt, gallium, germanium, graphite, hafnium, helium, indium, lithium, magnesium, manganese, neodymium, platinum groups, rare earth elements, rhenium, scandium, tantalum, titanium—all of the ums, I have to say—they are all being utilised in a foundry which has been around for more than a century, which has trained literally thousands of local people, in particular, apprentices. I have been into the foundry any number of times. It is an incredibly important piece of industrial infrastructure for this country. With a 64 cent exchange rate, they are hanging on but, with massive increases in energy costs coming, whether that is for gas or electricity, their viability will once again be on the line.

In critical minerals, what was it that we did as a coalition government? We made significant funding commitments. But what do we see from Labor in their budget? They cut those commitments. This is an area where there is an opportunity for Australia for growth, an incredible opportunity. It could potentially be a sector worth more than $40 billion for this country. That's why we made significant commitments when we were in government. But what we have seen is Labor go and grab it, rebrand it, call it something else but also drop $50 million from the $100 million initiative; they have halved the initiative. This makes a real difference.

For those who are not well informed about the critical minerals area, what we need to keep in mind is that there is one significant player and that is China. More than 80 per cent of all manufacturing occurs in China. They are the buyer. If you are looking to find other opportunities for your product around the world, guess what? When there is a buyer monopoly, guess who stops buying your product?

This is an incredibly challenging and difficult area in which to operate. That is why the coalition government committed some $2 billion in terms of facilities. That's why we made announcements like the $200 million to the Critical Minerals Accelerator Initiative; the $2 billion Regional Accelerator Program, which would contribute another $200 million to that; and $50 million towards establishing the virtual National Critical Minerals Research and Development Centre. The collaboration stream of the Modern Manufacturing Initiative invested almost $250 million in four critical-minerals projects. These are projects and opportunities for which you need to build prototypes, you need proof of concept and you need to ensure that the IP that you have will work.

Currently, as I said, there is a monopoly player in China, who currently controls most of the market. This is not in anyone's interest in terms of economies. It's in no-one's interest in terms of our national security. Look at where these critical elements and rare-earth minerals go. They go into things which are for the defence of our nation and into things which are for medical outcomes. It is really important that we continue to maintain in Australia opportunities for critical-minerals producers, not only to mine them.

We've got to keep in mind it's a mine. It's not different to a coalmine. It's not different to anything; it's still a mine. It still uses trucks, it still uses diesel, it still uses workers, it still uses electricity and it still uses sources of energy, just like every other mine. You may have come across school teachers, for example, who are teaching our kids that there's good mining and bad mining. There's no good mining and bad mining; there's just mining. And we should be out there supporting the sector 100 per cent.

We've seen the new government cutting support for critical minerals at a time when a burgeoning industry is trying to establish itself in a monopoly market. So it is very important that we maintain this strategy. It is incredibly important that we continue to build downstream opportunities. I know this is a big deal for the member for O'Connor because it means jobs in his electorate—there are significant announcements in those areas—on which the local people rely. The idea of those opposite to continue to cut funding to this sector, which is trying to grow, is the wrong decision. It's not in our national interest, and they should rethink it.

Rebekha Sharkie (Mayo, Centre Alliance) Share this | Link to this | Hansard source

Is the motion seconded?

Rick Wilson (O'Connor, Liberal Party, Shadow Assistant Minister for Trade) Share this | Link to this | Hansard source

I second the motion and reserve my right to speak.

Meryl Swanson (Paterson, Australian Labor Party) Share this | Link to this | Hansard source

I really look forward to speaking on critical minerals because, as the former Minister for Resources and Water mentioned earlier, there are some key differences when it comes to critical minerals between the government that we have in place now and the former government. I think one of the big mistakes that the former government made was getting confused about the meaning of a couple of words: 'critical', 'minerals' and 'ministry'. Unfortunately, the former government didn't see fit to put the resources ministry on the front bench. The Albanese government has remedied that terrible error by putting on the front bench an exemplar Minister for Resources, Madeleine King. She, as part of that front bench, has said we need a review of our critical-minerals strategy.

This is where the former government are also a little confused. They want to confuse the words 'appropriate' and 'announcement'. Whilst they certainly made a lot of terrific announcements about critical minerals and their strategy for critical minerals, what they failed to do was appropriate enough money for it. There's a big difference between saying, 'We're going to spend $1.5 million on a strategy,' and appropriating it, which is putting the money in the budget. Every Australian knows that you can talk about buying a new car, buying a fabulous house or trying to buy something for your kids for Christmas, but if you haven't got the money or you can't get access to it then you end up usually not being able to buy it, and you're certainly spending outside your limits. That's what the former government did.

Our government has a new strategy for critical minerals. It's so important because Australia is the fifth-largest globally in supply of critical minerals. We are not only going to have a reliable, properly budgeted critical minerals strategy but we're going to consult with the industry, not cherry-pick like the former government did. We're going to consult with industry. We're going to consult with communities and with traditional owners. We need to get it right.

I heard the former minister mention antimony, a rare and critical mineral. We're looking at how that can contribute to the Australian economy. We know that we need to do more in the processing of important critical minerals. Aluminium is another one that I personally would like to see on the critical minerals list, not only because I have one of the biggest smelters in the country in my electorate but because I understand how critical aluminium will be in driving the Australian renewables sector. I'm very pleased that the member for Hunter joins me in the chamber tonight because I know that he understands the value of critical minerals to Australia and how we drive our economy forward.

The mining services industry is also so important when it comes to, quite frankly, getting those minerals out of the ground. In the Hunter we have some of the best mining in the world and we will be able to help develop that sector because we will be able to give great information, technology and instruction about mining, particularly when it comes to safety, economy, efficiency and technology. We will help extract those critical and rare minerals out of the ground across Australia, where we can help drive automation, technology and all of the things that we need in a modern world, which we need these rare and critical minerals for.

That's why we're reviewing this strategy. We're looking at it because we need to take not only a whole-of-government but a whole-of-nation approach to make sure that, firstly, we have enough supply of critical minerals and, secondly, we can extract them out of the ground. Thirdly, what do we do with them? How do we actually make things with those critical minerals, not just dig them up, send them away to have them processed overseas and then re-import them, which is what we do now with so many of our critical minerals?

This is where it is very important to have that strategy and consultation, not, as the federal government did before we were elected, to spray money around and make lots of announcements. Quite frankly, it wasn't a critical strategy. It was a strategy that we are very critical of, and we're going to do a much better job of this whole sector, which is so vitally important to our economy moving forward.

Rick Wilson (O'Connor, Liberal Party, Shadow Assistant Minister for Trade) Share this | Link to this | Hansard source

On behalf of Western Australians, I want to thank my friend the member for Paterson, and also the member for Hunter, for the coal that will be arriving from Newcastle into Western Australia. Even though we have a billion tonnes of coal in Collie in my electorate, the Western Australian government has managed to arrive at a situation where it's uneconomic to mine that, so we're going to import coal from Newcastle. Thank you very much to those two members.

I'd love to see the Prime Minister stand up in parliament and thank the coal industry and the coalminers for the fantastic work that they do. Coal is the currently the largest-earning mineral that we export out of this nation. I think you members should be very proud of your coalminers. I know the member for Paterson is a coalminer's daughter, and I'd love to see those coalminers recognised for the great work they do for this nation and the amount of income they bring in.

But I digress. We're here today to talk about critical minerals. Of course, critical minerals are, by their very nature and name, critical to some very important current and future industries. The development of electric vehicles is one. For defence technology it's becoming more and more important to have access to those critical minerals for our defence manufacturers, not just here but amongst our very close allies in the United States and other parts of South-East Asia. Critical minerals are needed for solar panels and transmission lines. The current government has a plan to build 28,000 kilometres of transmission lines. I'm sure that if they were going to go through my electorate there'd be plenty of local farmers who'd be unhappy about that, but we'll see how that ends up and how many kilometres they get done in the next eight years. All the technology that we use in the current day and age—obviously, microchips, phones, TVs, computers—relies on these critical minerals.

As previous speakers have mentioned, there is currently one major supplier of critical minerals, and that is our good friend to the north—China. As much as we do and should maintain friendly relations with our neighbours in the north, it is not strategically smart to rely on one particular supplier of a product. Investment in critical minerals is not just about a commercial outcome and an economic outcome for our nation; it is also a very strong strategic investment.

I will touch on a couple of those minerals that we will require going forward. According to the notes I have here, lithium demand will increase by 368 per cent by 2030—I think that's a significant underestimation of the increase in demand, as we see more electric vehicles taken up—copper demand will double by 2050, aluminium demand will double by 2030 and nickel demand will increase by 67 per cent by 2030. All of these minerals are produced very efficiently in my electorate of O'Connor by hardworking miners who are very proud of the work that they do and the contribution that they make to this country. I'm very proud of them and I thank them for the work that they do.

Under the coalition, we recognised the importance of critical minerals and we invested a considerable amount of funds to incentivise and bring on projects. In April 2022, the Morrison government announced a $1.25 billion loan—and I emphasis here: a loan—through the Critical Minerals Facility to develop Australia's first integrated rare earths refinery at Eneabba, which is in the northern part of the wheatbelt in Western Australia and in my very good friend the member for Durack's electorate, and I'm sure she'll mention that.

In the time I have left, I want to talk about the Lynas Rare Earths project, which received $14 million from the Commonwealth government. The important thing about incentivising the Lynas Rare Earths project to relocate from Malaysia to Kalgoorlie—the member for Durack's birth town—and redirect that manufacturing process onshore is that we've not only created jobs and investment in Australia but secured the supply of those critical minerals going forward. It's a great policy, and I'm very sad to see the Labor Party cutting that program by $50 million.

Zaneta Mascarenhas (Swan, Australian Labor Party) Share this | Link to this | Hansard source

I thank the member for Hinkler for giving me the opportunity to speak about a matter of significance to WA, as we have some of the world's largest reserves of lithium, nickel, cobalt and manganese, which are indeed critical minerals. The resource sector is a major employer of my constituents. Before I was the member for Swan, I too worked in the sector, for a mineral sands company. I was also born and bred in the Goldfields. In addition, many people who live in Swan want to see meaningful action on climate change. Australia can play a pivotal role, but we need to ensure we get the policy settings right and orientate the industry towards this massive opportunity.

Unfortunately the coalition's Critical Minerals Strategy was inherently flawed. It did not consult with those in industry, and it neglects the fact that batteries and electrification are essential parts of decarbonisation. Expanding our economy and action on climate change can only be solved with a serious strategy, and that's what we've announced. The future is electric: over the last two years, electric car sales have quadrupled globally. The uptake of electric cars is only going one way—and that's up. Following on from this, Australia's minerals, such as lithium, nickel, cobalt and manganese, are indeed in demand. Renewable energy is increasing its share of the national energy market. The Australian Energy Market Operator's 2022 Integrated System Plan will see a step change from about 30 per cent to about 80 per cent renewable electricity generation in 2030. Again, this will be dependent on lithium, nickel, cobalt and graphite.

If we think long-term and strategically about how we can capture the future benefits of growth for our nation, we'll see we need a strategy that is informed by experts in the sector and empowers communities, especially First Nations people. You can't just provide a 20-page document, announce money, fail to mention climate change, not commit any funding to appropriations and think that, somehow, you will reap the full benefits of this emerging industry. Our Critical Minerals Strategy will inform our battery strategy, acknowledge its role in addressing climate change and develop synergies between the resources sector and manufacturers.

In my electorate we have a battery pilot plant that is upskilling chemical and process engineers so that we have the know-how for the commercial manufacturing of batteries. Throughout WA we have several critical-minerals processing facilities that would benefit from a clear strategy from government. Collie, a town that is shifting away from coal mining, plans to open a graphite processing plant, which has been announced. Our strategy will work with these stakeholders and will ensure that they have a voice in what our advanced decarbonised economy looks like. This will be supported by our government's National Reconstruction Fund, to which we allocated funding in our October budget. We need to do this right because it will mean jobs, jobs and more jobs. This will secure jobs for regional Australia, jobs that workers can be proud of. This pride is something that I witnessed when I visited Mineral Resources Wodgina lithium project a few weeks ago.

Finally, I would like to acknowledge the member for Hinkler's road-to-Damascus moment on batteries. In an interview with Tom Connell on Sky News in 2021 he couldn't give a straight answer on whether batteries for renewable energy would provide dispatchable power. From one engineer to another, I'll give you the technical answer: they do.

Melissa Price (Durack, Liberal Party) Share this | Link to this | Hansard source

Australians are hungry for sustainable energy that is clean and affordable. They want it without raising taxes, without suffering from an electricity grid that cannot keep up with demand and without soaring electricity prices. The coalition understands that. In order to achieve net zero by 2050, significant investment is required to bolster our infrastructure, industries and critical-minerals mining capabilities.

The technology we need to transition successfully to cleaner sources of energy, such as electric vehicles, batteries, solar panels and wind turbines requires a diverse mix of critical minerals. The demand for this resource will only further rise to meet the needs of developed nations across the world that are pursuing their own clean energy agenda. Critical minerals are therefore becoming a highly sought after commodity, placing Australia in a unique position to reap the rewards of these natural resources that are abundant across our nation, especially in my fabulous electorate of Durack.

Whilst in government the coalition recognised the strategic value of ready access to our critical minerals, and it developed policies to drive investment and secure production domestically. It was under the coalition government that a $1.25 billion loan was provided to the Australian company Iluka Resources in my electorate of Durack to develop Australia's first integrated rare earth refinery in Western Australia. The refinery will produce separated rare earth oxide products, which are used in a wide range of technologies, including electric vehicles and clean energy generation. Under the Modern Manufacturing Initiative, the coalition also contributed $49 million towards the Australian Vanadium project to process high-grade vanadium from its Meekatharra mine, which is also in the great electorate of Durack. This highly sought after critical mineral will eventually be transformed into energy-storing batteries to fuel the growing domestic and overseas markets. Not only are these projects shoring up our domestic supply and export opportunities, they are also contributing significantly to the employment opportunities and local economies of the surrounding communities.

It therefore baffles me that Labor have decided to abandon the resources sector, and the hundreds of thousands of workers and families that it supports, by cutting over $100 million from the rebranded Critical Minerals Development Program. Now is not the time to take our foot off the accelerator. A quick rebranding and slashing millions of dollars in funding is counterproductive and puts our climate targets at risk.

Remember, if Minister Bowen's target of renewables making up 82 per cent of the electricity grid by 2030 is to be achieved, we'll need—and these are his words—22,000 solar panels to be installed each and every day for the next eight years, and we will have to install 40 seven-megawatt wind turbines a month. Now, you don't have to be an industrial engineer—I am not one, I can assure you—to see there is a flaw in Labor's logic. Where are we going to get the materials to ensure that Australia reduces its carbon footprint? And why would Labor punish the very industry they need to meet their ambitious targets? If our international partners are not sourcing their critical minerals from Australia, you can guarantee they will be sourcing these critical minerals from other countries, the mining practices of which perhaps don't come close to the standards that we have set ourselves, which, potentially, could drive up emissions further.

Labor needs to stop punishing this crucial sector, drop the politics and continue to build on the hard work that we developed over the last nine years, the good work done by the coalition, to make sure that Australia is known right across the globe as the trusted source, the best source, of critical minerals. Labor should not put that at risk. Drop the politics. Follow our lead.

Dan Repacholi (Hunter, Australian Labor Party) Share this | Link to this | Hansard source

We are the lucky country. Australia's resources of critical minerals rank in the top five globally, and they will be essential in developing renewable energy and clean technology applications, which are a crucial part of today's increasing demands for technological advancements. With global demand growing at a rapid rate, it is an exciting opportunity for the mining sector to work with the energy, transport, aerospace, defence, automotive and telecommunications sectors in order to expand their business and secure investment.

But to do this we need a proper critical minerals strategy. Prior to the adults being elected, the former government made announcements as to the critical minerals plan. However, they failed to appropriate the funding needed to achieve this. Sounds familiar, doesn't it—making announcements without funding. We remember those opposite us running around making promises that they'd made on the back of beer coasters. So we've all been there before. And look—there are none even in here now. Instead of getting on with the job, the priorities of those opposite were solely about getting re-elected; thus, they treated the industry like a cash cow as they sat idly by, doing nothing to protect their workers or take steps to offer the industry longevity. They had more than 21 failed energy policies, which, again, offered the industry no assurance or direction and left Australia in the dark, despite having experts begging to make the investments.

Our budget is a responsible budget. It starts to clean up the mess those opposite left behind and begins to build the future of our Australia that people deserve. This includes the investment of $2 billion in economic benefits and opportunities for Australian families, businesses and communities, as well as new funds to support the growth of clean energy technology, as part of the government's commitment to achieving a 43 per cent reduction in emissions by 2030.

But, unlike those opposite, we will consult with industry experts and ensure that the community's voice is heard, in order to put action behind our promises. Consultation is a good thing. Those opposite shouldn't fear it. This consultation will ensure the future support for the critical minerals industry, ultimately ensuring a coordinated and collaborative approach with the stakeholders to our strategic development.

Our government is investing in critical minerals, such as lithium, cobalt, magnesium and titanium, and rare earths, to enhance Australia's world-class resources sector, diversify global supply chains and meet our growing demands. Our updated funding profile is vital to give our scientific experts more time to develop and deliver on projects, including working with the research community to address technical challenges, which will help reduce the risks involved in delivering these projects and ensure they provide strong scientific and technical outcomes. To maximise these research outcomes, the hub aims to better engage with universities and other researchers, drawing on their insights and expertise. The Critical Minerals Development Program has also been reframed to more closely reflect our objectives, incorporating Australia's decarbonisation opportunity, gender equality and Indigenous participation to ensure that this plan is strengthened across the board to finally give the industry the world-class standards it deserves.

Furthermore, a key role for the hub is to engage with our international partners to progress our research and develop collaboration, which is highly sought after by like-minded countries, including our key trading partners. This, in turn, will provide a welcome pathway for companies involved to access additional incentives through Australia's flag ship R&D program, encouraging businesses to conduct additional activities they may not have undertaken, which initiates space for new knowledge, boosts technological improvements and increases productivity within the Australian economy. Our government is an active government which follows through with its commitments.

I have great faith that together we can fix this steaming pile of mess that the former government left us and bring to light this transparent critical minerals plan that strives to ensure Australia remains a global powerhouse by achieving stable supply, sovereign capabilities and regional growth to face the increase in global demands head on with a thriving yet sustainable Australian critical minerals sector. I'll ensure that your voices will be heard.

Rowan Ramsey (Grey, Liberal Party) Share this | Link to this | Hansard source

I thank the member for Hinkler for bringing this matter to the House's attention, and I'm indebted to energy minister Chris Bowen for a moment of clarity a few weeks back when he informed us that by 2030 Australia would need to build 40 new seven-megawatts wind towers a month and install 22,500-megawatt PV panels a day—these are the ones about 1.6 metres square. Just for your information, Deputy Speaker, and in case anyone else is interested, that would be 25,000 acres of solar panels. It's estimated that by 2025 95 per cent of PV panels produced in the world will come from China. Similarly, neodymium, a rare earth essential for the magnets that are used in wind towers—in the 40 wind towers we're going to build a month in this country—and that rare earth market, like the PV market, is actually controlled by China at the moment. Our dependence on another country, one that is already operating trade sanctions against us, for the supply of photovoltaic cells, lithium batteries and other components should not be acceptable to this nation.

Australia has many of the raw materials that we need to provide sovereign capacity in these new industrial opportunities to get to a point of self-reliability. Our deposits of lithium, graphite, rare earths, copper, aluminium and nickel along with many others should be exploited, which leaves me astonished Labor's first budget has cut $100 million from the Critical Minerals Strategy. It was a $200 million fund. Five hundred and fifty million dollars of that has already been invested, and the budget tells us that, instead of spending another $150 million, there will be only $50 million left in forward funding projects. That is a pretty heavy cut by any standards, and at a time when these opportunities are in front of us in the world. And not only opportunities; I think they are essential actions by government to control our destiny in front of us, and we need to move in a positive manner.

On the matter of lithium batteries, Australia has the Future Battery Industries Cooperative Research Centre. It's based in Perth. It has proven lithium batteries are the best on offer in the world at the moment. But we don't make them here in Australia, and that's what the CRC is looking at. We can expect that market, with electric vehicles coming on, to expand exponentially. Lithium batteries are primarily made from graphite—that's the major component—and then lithium, nickel, cobalt, alumina and a number of other rare earths. All of these are minerals Australia has. We have the potential to increase supply and not just increase supply but actually go into the further manufacturing.

I was delighted, in fact, that Renascor Resources scored a $200 million loan underwritten by the Critical Minerals Strategy for the development of Siviour graphite mine, which is near Arno Bay in my electorate—in fact, not very far from where I go to the beach, quite frankly. I lived in Arno Bay for a couple of years, even! That mine looks like it's going ahead. I'm doubtful that it would have gone ahead without the Critical Minerals Strategy. I'm very pleased to have seen that happen. Others hoping for similar treatment from the fund, of course, are facing the fact that it has now been pretty severely cut.

We have a government that is spruiking Australia's critical minerals future, our manufacturing industries and the potential to expand it, but they've cut the support for the critical minerals sector and preside over a 56 per cent increase in electricity costs while reducing support for the development of new gas supplies. All of those things are not leading to an increase in manufacturing; they are leading to a hit in the back of the neck to manufacturing. I deplore this decision by the government.

Tracey Roberts (Pearce, Australian Labor Party) Share this | Link to this | Hansard source

s ROBERTS () (): As a Western Australian, I would like to say how proud I am that Western Australia has become known as the engine room of the Australian economy and produces 57 per cent of the world's lithium.

For the record, let me remind everyone about the actions of the former government which hurt Western Australia. The Morrison government dropped the resources portfolio out of cabinet. The former government played politics with the resources sector and dropped it like a hot potato. Not only that, the former Liberal-National government previously had two resources ministers. The member for Cook appointed himself as a resources minister to overrule his own appointee, the member for Hinkler. Perhaps this is why the Critical Minerals Strategy failed to discuss net-zero and decarbonisation, or maybe why the former government did not consult anyone on the strategy. Someone might have advised them that these minerals are essential for net-zero. That must have gone against the narrative, and now they're in opposition. The Australian people rightly rejected and are right to be angry about the behaviour from the previous government, the 22 failed energy policies and the lack of action on climate change. Ten years of inflamed tensions and cheap politics—a wasted Liberal decade.

The Australian people deserve a comprehensive strategy and a national approach. The Labor government budget last month is responsible and begins to build the better future that the Australian people deserve. Australia has some of the world's largest reserves of critical minerals. The government is creating a new Critical Minerals Strategy. Unlike the former government, we will consult industry, experts and communities, including traditional owners, Aboriginal and Torres Strait Islander people, who are a core partner in mining and industry as a major stakeholder in transforming the economic and health disparity of traditional custodians and their communities.

These consultations will inform future action for the critical minerals industry. This will ensure a coordinated and collaborative approach with key stakeholders to critical minerals development. New initiatives will expand Australia's mining science technology capabilities, diversify supply chains, create local jobs and help drive growth in the critical minerals sector, including rare earth minerals, a key component of low-emission technologies such as batteries, electric vehicles and solar panels.

In the meantime, the Critical Minerals Development Program will support early­ and mid-stage critical minerals projects. It will establish the Australian Critical Minerals Research and Development Hub to help unlock our nation's critical-minerals potential. Research and development projects are often technically complex and challenging. The updated funding profile will give our scientific experts more time to develop and deliver projects, including to work with the research community and industry. This will reduce the risk in delivering the projects and ensure that they provide strong scientific and technical outcomes.

This government is setting the critical-minerals sector up for success, not for failure. It will create jobs and attract investment. Australia has some of the world's largest reserves of critical minerals but will face significant competition for the capital required to develop these assets. A recent Bank of America report shows global investment in mining needs to double—from US$80 billion per annum currently to US$160 billion per annum—in order to satisfy the growing demands from renewable energy generation and storage and electric vehicles.

The Albanese Labor government's new strategy will focus on the broad policy settings required for Australia to maximise its share of this investment opportunity, ensuring that Australia remains an attractive investment destination. The International Energy Agency projects mineral demand for use in electric vehicles and battery storage could grow at least 30 times to 2040. Australia is the world's largest lithium producer, and latest figures forecast the value of lithium exports are due to increase more than tenfold over two years, from $1.1 billion in 2021 to almost $14 billion in 2022-23, with continued growth over future years. The development of a battery industry could contribute $7.4 billion annually to our economy and support 34,700 jobs by 2030.

Our community has voted for responsible, respectful government.

Rebekha Sharkie (Mayo, Centre Alliance) Share this | Link to this | Hansard source

The time allotted for the debate has expired. The debate is interrupted. The resumption of the debate will be made an order of the day for the next sitting.