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

I move:

That this House:

(1) commends the Government's commitment to build a Future Made in Australia that includes a strong, diverse economy with greater opportunity and security for all;

(2) notes the Government is taking advantage of Australia's strengths and natural resources to create job opportunities across the value chain through:

(a) the $15 billion National Reconstruction Fund and its key priority areas, which includes a focus on value-add in resources;

(b) investing $840 million to help deliver Australia's first combined rare earth mine and refinery in the Northern Territory;

(c) expanding the Critical Minerals Facility to $6 billion to bolster the sector in Australia;

(d) the $392 million Industry Growth Program to support Australian small and medium enterprises that fall under the National Reconstruction Fund priority areas;

(e) developing Australia's first National Battery Strategy;

(f) updating the Clean Energy Finance Corporation Investment Mandate to allow further investments in clean energy technologies; and

(g) supporting the development of Australian manufacturing through the Capacity Investment Scheme; and

(3) calls on the Opposition to support Australia's manufacturing future and the creation of more secure, well-paid jobs.

I believe in a future made in Australia. If we can make it here, we should make it here. We've got the ideas, we've got the know-how and we even have a strong track record, but now we need to accelerate this. We can do this by building on policy, and that's exactly what the Albanese Labor government is doing. I commend the Albanese Labor government for its commitment to building a future that is made right here in Australia. This means fostering a future economy that is strong and diverse. It means creating a future that provides greater opportunity and security for all Australians.

A future made in Australia was not on the Liberals' radar whatsoever. A decade of policy drift, policy neglect and vested interests meant that homegrown manufacturing waned to disastrous levels. Australia has a self-sufficiency ratio of 62 per cent. That's compared to 83 per cent in the UK and 89 per cent in the US. Germany has one of 121 per cent. Meanwhile, Ireland has one that is 203 per cent. It's clear that Australia is not as self-sufficient as we need it to be, and it shows that we're underperforming. This is not what Australians expect. This situation threatens our sovereign capability in times of crisis, and we witnessed this during the COVID pandemic.

That's why we need to act, and I am pleased to say that the Albanese Labor government is acting. We are not wasting a day. In a short time, the Labor government has done what the previous government failed to do in 10 years. I also say that Minister Husic is a passionate minister who is impatient and wants action. Labor and Minister Husic recognise that we need to provide manufacturing after years of neglect. Labor recognises that products made in Australia are important for so many Australians, and Labor is committed to securing a future made in Australia.

The first step that we made was establishing the National Reconstruction Fund. This fund is a key to building our future made here. The funding will be targeted to seven key areas of the economy to drive and diversify the economy. This includes the resource and agricultural sectors, to expand technology and unlock potential. It's also looking at the transport industry, by developing supply chains. In medical science, it's about harnessing world-leading research to provide suppliers here. And, for renewables and low-emissions technology, we want to make sure that we pursue commercial opportunities, and we've got $3 billion set aside to do this.

We're also looking at enabling capabilities in defence, engineering and AI. The Albanese government is taking advantage of the nation's strength in creating these programs, and, in the process, it will create secure jobs and well-paid jobs. When it comes to jobs, the Albanese government is delivering. Just last week we heard that wages are up, job numbers are up, inflation is down and unemployment is down.

The Albanese government is not stopping there. I commend the government for its expansion of the Critical Minerals Facility and that $6 billion. We need these minerals for our low-carbon future. I commend the government for its $392 million Industry Growth Program. I also commend the government for developing our first National Battery Strategy, for updating the Clean Energy Finance Corporation and for supporting the Capacity Investment Scheme. It's a whole package of initiatives designed to build a future made in Australia. It's a coordinated approach across government that recognises the importance of supporting local manufacturing. It's a game changer for manufacturing.

I call on the opposition not to deny Australia its manufacturing future. I called on the opposition to support a future that is made in Australia, one that will create more well-paid and secure jobs. The bottom line is that Australia needs to look at diversification of our economy, which will ensure that we have more resilience. A more resilient economy means more secure jobs for longer. Rejecting this motion will mean rejecting manufacturing and a future made in Australia. My message to those opposite is: build it here so we can support Australian jobs.

Steve Georganas (Adelaide, Australian Labor Party) Share this | Link to this | Hansard source

Is there a seconder for the motion?

Helen Haines (Indi, Independent) Share this | Link to this | Hansard source

I second the motion. I thank the member for Swan for this motion. I agree that Australia's future should include a strong, diverse economy with greater opportunity and security for all, and I believe that such a future should especially be realised in regional, rural and remote Australia. I support the aims of the programs in this motion: the National Reconstruction Fund, the updated Clean Energy Finance Corporation Investment Mandate and the Capacity Investment Scheme.

Our environment and economy need us to bring our industries into the future, and realising the full potential of clean, renewable energy is part of that. But, as the renewable energy rollout continues apace in regional Australia, I am concerned that the prosperous future described by the member for Swan is not being realised. At the end of the day, batteries, solar, wind and hydro will be built in the regions. In small farming towns across my electorate of Indi—towns like Dederang, Ruffy, Meadow Creek and Bobinawarrah—plans are being made for solar and battery energy systems. However, at this moment these communities are feeling like the massive clean energy shift is happening to them, not with them. It's important to remember that these farming communities have never seen energy infrastructure like this before. This is not the same as the communities phasing out of ageing coal-fired power stations and preparing for renewable energy generation. In this moment of change, my communities have legitimate questions about bushfire risk, biosecurity risk and insurance premiums.

In response to these growing concerns, last year I took action and, along with Senator David Pocock, drafted terms of reference for an inquiry into community engagement on renewable energy infrastructure developments, which was undertaken by the retiring Australian Energy Infrastructure Commissioner, Professor Andrew Dyer. Professor Dyer's final report confirmed what my communities have long been telling me. A survey undertaken by the review found that 92 per cent of respondents were dissatisfied with the extent of the community engagement project developers were undertaking. Professor Dyer found:

Poor engagement practices experienced by landholders and community members have led to a material distrust of project developers …

He also found:

The transition cannot succeed without community participation and effective engagement over a long and sustained period of time.

This goes well beyond mere social licence to operate. It's clear that if we are to realise a clean energy future in Australia we have to overcome a massive hurdle in front of us.

The review recommended an independent rating scheme to provide transparency on the track record of developers, so that, if you're a farmer and a company comes knocking on your door, you'll know whether they are reputable. Professor Dyer said that for programs like the Capacity Investment Scheme governments should select only developers that demonstrate best practice when it comes to community engagement. The review also recommended that the Commonwealth government have the responsibility to develop and execute a communications program that provides local communities with a clear narrative about the pragmatic reasons for energy transition. Landholders, like those in my electorate, shouldn't have to rely on the information of companies, who ultimately are seeking to make a profit, to know what is happening to them. An independent, accessible source of information is dearly lacking right now.

The final recommendation of Professor Dyer I'd like to draw attention to is perhaps the most important: that governments must work with community groups to proactively identify opportunities for the broader community's benefit and to take ownership of these opportunities. When we look back in 10, 20 or 50 years, regional and rural Australians should reflect on these multibillion-dollar investments as the time when we developed our regions with well-built roads and bridges, world-class housing, cheap and reliable electricity and secure and well-paid jobs. So I call on this government to take urgent action, including in the upcoming budget.

We must legislate best practice for community engagement. We must find and fund trusted programs to communicate what clean energy is. And we must forge pathways for communities to tangibly benefit from this energy. Without these reforms, this government will fail to reach its goals for clean energy for the environment and for the economy. But it doesn't have to be this way. As an Independent, I stand ready to work with the government on ensuring regional Australia realises the prosperous future it deserves. (Time expired)

Alison Byrnes (Cunningham, Australian Labor Party) Share this | Link to this | Hansard source

The Albanese Labor government believes in a future made in Australia. We have not wasted a single second, putting in place programs and reforms that will diversify our economy, build sovereign capability and create a pipeline of well-paid and secure jobs now and into the future. It is a priority for our government to support businesses to invest, to grow and to embed innovation instead of moving offshore. We have faith in Australian ideas, Australian know-how, Australian workers, Australian scientists and Australian businesses. With all of the necessary components readily available, from skilled individuals to natural assets, we are poised to compete globally to innovate new products and position ourselves as leaders in renewable energy.

This is in full display in regions like the Illawarra. The Illawarra is known for its robust steel production and manufacturing and has been rejuvenated through significant investments and research initiatives aiming to ensure the sector's sustainability and adaptability in the face of global challenges. Renewable energy start-ups like Hysata and Sicona Battery Technologies have chosen the Illawarra as their home for these very reasons.

Hysata is one of many success stories emerging from the University of Wollongong. They started at UOW's Australian Institute for Innovative Materials. Hysata aim to manufacture the world's most effective hydrogen electrolysers in the heart of Port Kembla. Their electrolyser is currently 21 per cent more efficient than anything else on the market. 'But how?' you may ask. Electricity makes up most of the cost of green hydrogen. The more energy-efficient the electrolyser, the less electricity is wasted and the lower the cost of green hydrogen. Hysata's disruptive technology is accelerating its competitiveness in the hard-to-abate sectors.

Sicona Battery Technologies are another success story from UOW, whose roots began at the university's business incubator, iAccelerate. Sicona are producing supercharged, next-generation, lithium-ion batteries. Their innovative battery-materials technology increases the energy density of lithium-ion batteries by over 20 per cent.

In addition to these industrial advancements, the University of Wollongong has launched the Australian Research Council, or ARC, Research Hub for Australian Steel Innovation. This collaborative effort between academia and industry is set to deliver innovative research outcomes for the next generation of functional steel products and advanced manufacturing processes, further solidifying the Illawarra region's role in the future of Australian manufacturing.

BlueScope steel, a cornerstone of the Illawarra manufacturing landscape, recently secured a grant of $136.8 million from the Albanese Labor government, aimed at the No. 6 blast furnace reline and upgrade project at Port Kembla—crucial for sustaining iron and steel production in our region. This initiative is part of a broader effort to support hard-to-abate sectors and is indicative of a commitment to maintaining domestic manufacturing capabilities, particularly those essential for the development of Australia's clean-energy sectors. In supporting business, the Albanese Labor government's $15 billion National Reconstruction Fund will play a key role in making more things in Australia. It will drive economic development in our regions and outer suburbs, boost our sovereign capability, diversify the nation's economy and help create secure jobs.

Complementing the NRF by driving early-stage investment in NRF priority areas—which include renewables, low-emission technologies and value add in resources—is the $392 million Industry Growth Program. That provides grants and advice to help small businesses and medium enterprises, or SMEs, to commercialise their ideas and grow their business. This program will go a long way to support SMEs in my electorate, like Gravitas Technologies, who are producing two groundbreaking materials, vulloy and georock. Vulloy is a metallurgic ceramic product that has a significant weight-saving advantage for flight applications and can withstand ultrahigh temperatures—up to 2,000 degrees Celsius. There are currently no comparable global competitors for this technology. This Wollongong company are currently supporting projects across a wide range of sectors.

All these things have been developed in Wollongong over the past 10 years by a young and relatively small team. These examples collectively highlight the Illawarra region's pivotal role— (Time expired)

James Stevens (Sturt, Liberal Party, Shadow Assistant Minister for Government Waste Reduction) Share this | Link to this | Hansard source

I take the opportunity this motion affords me to talk about a future made in Australia and particularly the opportunities in my home state of South Australia, in the city of Adelaide. Last week we had a very important milestone announcement around confirmation of detail around the next phase of construction of the AUKUS submarines in South Australia. BAE and the Australian Submarine Corporation will be partners on this fantastic opportunity for the Australian economy—very proudly, a program that will be centred in our home city of Adelaide. We have a great heritage and pride in our shipbuilding prowess and in submarine construction, and of course the ASC was established for the purposes of the Collins class program. That decision was taken in the 1980s, with construction through the nineties, and the ongoing sustainment of the Collins class program has occurred in Adelaide—the full-cycle docking. We look forward to the life-of-type extension program to ensure that a capability gap is not left between the new submarine opportunities that AUKUS provides and the importance of upgrading the Collins class submarines so that the Royal Australian Navy has the highest capability that they need in order to do the excellent work they do in securing our nation and our national interest. The next generation of submarine construction is truly exciting. To hear this confirmation is welcome news, and I welcome it as a member from the city of Adelaide.

But unfortunately last week, at the same time, there was a very concerning development in the Senate, where the Greens political party moved a motion calling on the government to scrap the AUKUS program. Now, they've already called for the Hunter program to be scrapped as well. So the position of the Greens party is that the naval shipbuilding industry in Adelaide should be shut down. That would be the greatest economic cataclysm to befall my home state of South Australia in my lifetime, and I've been there for the car industry; I've been there for State Bank. But to suggest that an industry that employs more than 10,000 people should be shut down—that would have an unbelievable impact on the South Australian economy. Why they don't want those jobs is for them to explain. But on this motion, where we're talking about a future made in Australia, it's important that we call out any and all policy positions that are about the opposite of that.

I'm proud of the Morrison government's pioneering work in achieving the milestone of securing the principle of AUKUS. We appreciate that the then opposition, now the government, welcomed the opportunity of AUKUS at the time, and we stand ready to be utterly bipartisan when it comes to making sure that this vitally important opportunity for the national security of our nation is fully achieved and fully realised. It will be absolutely transformative to have nuclear propulsion in a submarine fleet for a nation like Australia, covering an entire continent with very long travel times, to project the maximum amount of undetectable force as far from our coastline as possible. What an unbelievable capability for the Royal Australian Navy. Indeed, the opportunity that that provides in taking such a dramatic further step in our nuclear industry is also significant and spectacular when it comes to AUKUS—the full cycle of the nuclear industry in Australia, including having nuclear reactors operating on Royal Australian Navy vessels. We in the coalition see that as a good opportunity to look at further opportunities for the nuclear industry, as we'll discuss more in this place.

That is a future made in Australia. For those political participants that don't want that future and those jobs, that's up to them. But I know, in my home city of Adelaide—and other members in the chamber right now that represent other electorates in Adelaide and South Australia know well—that in South Australia we're excited about this opportunity. It will underpin the industrial capability of our entire economy into the future. It will provide for enormous spin-off opportunities for other advanced manufacturing industries. That's the kind of future made in Australia that I want to see, that the government and the opposition want to see but that the Greens don't want to see for the people of South Australia.

Matt Burnell (Spence, Australian Labor Party) Share this | Link to this | Hansard source

Australia's manufacturing policy was in desperate need of revival after a decade of apathy and ambivalence from those opposite. Fixing this has been a priority of this government since being elected just shy of two years ago. Australia—and, indeed, my electorate of Spence—has a proud manufacturing past. Elizabeth: built for manufacturing; an industry that provided jobs to thousands of Australians and cars to millions more. However, due to the economic Darwinism of Joe Hockey and the Abbott Liberal government, Holden were dared to leave Australia, and they did. The recovery from this decision was a long one and proof positive of a need for a government that doesn't look at our manufacturing past with wistful nostalgia but one that will ensure we have a strong, vibrant and resilient manufacturing industry here in the present. We can't rewind the clock. But we can ensure that Australia has a manufacturing future, a future made in Australia, and the Albanese Labor government have set out to do just that.

Almost a year ago to the day, this parliament passed legislation to establish the National Reconstruction Fund, a $15 billion fund that will finance key industries and priorities for the Australia of today and of tomorrow—industries that add value to the raw materials and critical minerals that are prized and sought-after across the globe. Our land abounds in nature's gifts, but we should be adding value to those gifts after they have been extracted from the ground. It's why the NRF is looking at key industries that add value to what we already produce and those bolstering our sovereign capability, to build on our economic and strategic interests. A truly sovereign nation is one that controls its economic destiny, harnesses its resources and cultivates industries that can stand tall on the world stage. 'Australian made' is not just a label we take great pride in. It is something worth continuing to support as a government and as consumers ourselves.

Despite that, I can certainly remember, a year ago, where those opposite were sitting during the divisions which paved the way for the creation of the National Reconstruction Fund. It's policies like this, and the many that followed to complement it, such as the Industry Growth Program through to finally having a coherent defence industry policy, that will keep advanced manufacturing alive and prospering. Our policies will ensure that the many companies and industries that have grown to fill the void left by the closure of Holden in Spence will have an environment in which to thrive. From the many companies involved in our defence manufacturing industry—AML3D, Sonnex, Century Engineering, Williams Metal Fabrications, and Eptec from the Edinburgh Industry Alliance—to those in the renewable sector, such as Aquila Clean Energy and LMS Energy, with projects on the ground in Spence, they know that they have the backing of a government that supports investment in renewable energy technologies and battery storage.

This again contrasts with those opposite, who took the wheels off the Clean Energy Finance Corporation and put it on bricks. Their record in renewables then and now speaks for itself. We all remember the Leader of the Opposition, not too long ago, once more rubbishing renewable energy, posing the existential question to us all: what happens when the sun doesn't shine and the wind doesn't blow? Where did this flimsy argument even come from? It was probably from somewhere where the sun indeed doesn't shine and where the wind occasionally blows—adjacent to the 'suppository of all wisdom'.

Battery storage is an industry that, unless those opposite have their way, is tipped to be worth close to $17 billion and to create 61,000 jobs by 2030 in the manufacturing side alone. Nestled somewhere alongside his worldview, battery storage has no part to play in securing Australia's clean energy future. Though usually figurative, his first option is to take the nuclear one. It's an appropriate strategy for a party that registers on the Geiger counter in this policy space. They went from white-anting renewables to white elephants.

They have finally jettisoned their initial nuclear fantasy, one that reflected how the Liberal Party approaches policy in opposition—small and reactive. It's something that would see us having two options: purchase Russian or Chinese reactors. Frankly, I'd rather our pathway toward a net-zero future be built right here with its beliefs being shared by our government. A Future Made in Australia isn't some hollow slogan like the many we have heard from those opposite over the years. This means something; it means jobs and it means economic prosperity across this country. It is a future that our government is getting on with delivering.

Aaron Violi (Casey, Liberal Party) Share this | Link to this | Hansard source

Any time we talk about a Future Made in Australia, we need to talk about energy security. I was on a panel last week with the member for Swan, who moved this motion, and we were talking about the importance of listening to scientists and taking the science. And the member for Spence had a bit of a crack about nuclear, which is, to be honest, quite disappointing. The reality is that, as we transition to net zero and needing cheap, reliable base-load power to make sure we can manufacture in Australia, we need to have a mature debate and conversation about nuclear energy.

So let's put some quotes in from the former Chief Scientist from 2016 to 2020, Alan Finkel. The member for Swan talks about the importance of science and of listening to the scientists. All we get when we have this discussion about energy reliability in our network is cheap insults from the minister and those opposite. Former Chief Scientist Alan Finkel wrote an article and an opinion piece on the weekend. Let's hear some of his words and thoughts on nuclear:

From the engineering point of view, it ticks many boxes. It is unequivocally zero emissions during operation, and the emissions associated with construction are low. It integrates smoothly with our existing electricity grid and contributes to frequency control and system strength. Nuclear power can be dispatched on demand independently of the weather and can, in principle, be located near existing transmission lines.

I'm looking forward to the member for Swan taking the science and advocating in the caucus for nuclear. The former Chief Scientist also said:

The mining resources required for construction are low: no battery materials such as lithium and cobalt, or rare-earth elements such as neodymium and terbium, are needed. The volume of fuel is small, with only one tonne of uranium needed to produce the same amount of electricity as 100,000 tonnes of black coal.

The land footprint is only about three square kilometres for a one-gigawatt nuclear plant versus about 60 square kilometres for a three-gigawatt solar plant that would generate the same annual output.

And nuclear power has an excellent safety record. Since commercial operations began in the late 1950s, the death rate from accidents and air pollution is as low as the death rate from solar and wind power and much lower than the death rate from coal power.

Again, that is the former Chief Scientist of Australia. He finishes his article by saying:

… it is worth considering nuclear power as a long-term option in Australia for two reasons.

The first is to minimise the new land area and additional mining to expand electricity generation as our population continues to grow …

He continues:

The second is to minimise the ongoing mining and landfill from replacing batteries about every 10 years and solar panels and wind turbines every 25 years.

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

Where are the environmentalists in this place?

Aaron Violi (Casey, Liberal Party) Share this | Link to this | Hansard source

That is a good question, member for O'Connor. Where are the environmentalists?

That was the former Chief Scientist Alan Finkel writing. The member for Swan talks passionately about being an engineer and the importance of science. I hope she takes the word of Dr Alan Finkel and starts to advocate in the caucus to at least have the conversation, because if we don't have reliable baseload power that's cheap, we cannot manufacture in this country. I spent a decade working in food manufacturing. Energy reliability, energy security and cheap energy are crucial to making sure we continue to manufacture. One of the reasons that inflation is through the roof is that the price of energy is out of control. It impacts at every level for a food manufacturer, or any manufacturer, including in their actual materials, the raw materials they get in. Unless you have a proper strategy to bring prices down and to ensure reliability in the grid, we will lose the manufacturing base that we have in our country.

This is a government that continues to make bad decisions that are impacting Australians. They are going down the same path by refusing to have a mature conversation and by sticking to ideology on a crucial issue for the future of our country.

Ross Vasta (Bonner, Liberal Party) Share this | Link to this | Hansard source

The time allotted for this debate has expired. The debate is adjourned and resumption of the debate will be made in order of the day for the next sitting.