The Budget includes $1.3 billion of new investment to maintain energy security, keep downward pressure on energy prices while reducing emissions.
These measures will further support affordable, reliable and secure energy and help Australia reach its target for net zero emissions by 2050, without imposing new taxes or financial burdens on households, businesses or industry.
This investment includes:
- $300 million AUD to support low emissions LNG and clean hydrogen production at Darwin, together with associated carbon capture and storage infrastructure. Darwin is positioned to become one of the world’s leading low-cost clean energy hubs, with access to excellent onshore and offshore natural gas and greenhouse gas storage resources, including the Beetaloo and Petrel basins and the Barossa and Bayu-Undan fields.
- $247.1 million AUD to support increased private sector investment in low emissions technologies including hydrogen, the continued development of a hydrogen Guarantee of Origin scheme,
- $200 million AUD to increase onshore processing and value-add of iron ore exports, to support low emissions steel production in Indo-Pacific customer countries like Japan and Korea.
- $200 million AUD to enhance Australia’s supply chain security through new low emissions manufacturing facilities (using hydrogen and hydrogen-derivatives like ammonia, as well as carbon capture utilisation and storage) in the Pilbara region.
- $148.6 million AUD to support more investment in affordable and reliable power, including the development of community microgrid projects in regional and rural Australia.
- $100 million AUD to de-risk private sector investment in firm generation and grid infrastructure to increase system strength and capacity in the Pilbara region.
- $100 million AUD to support pre-Final Investment Decision activities and early works to make the Port of Newcastle ‘hydrogen ready’.$50.3 million to accelerate the development of priority gas infrastructure projects consistent with the Future Gas Infrastructure Investment Framework and support investment in carbon capture and storage pipeline infrastructure.