The Albanese Administration is securing Australia's future by providing substantial funding for clean energy and emissions reduction initiatives at major industrial sites nationwide.
Companies including Rio Tinto, Wesfarmers, Swiss giant Glencore and Rich Lister Dick Honan’s Manildra Group have been granted $331 million investment under its Powering the Regions Fund for decarbonisation projects.
Industries such as cement, alumina, mining, iron and steel processing, chemicals manufacturing, and food processing play crucial roles not only in Australia's history but also in shaping its future.
These initiatives will result in a reduction of 830,000 tonnes of emissions annually, which is equivalent to removing over a quarter of a million cars from Australian roads.
Minister for Climate Change and Energy, Chris Bowen, emphasised that these grants are aimed at future-proofing Australia's heavy industries in a world transitioning towards decarbonisation.
"This $330 million investment in Australia'shard-to-abate manufacturing and mining facilities is designed to ensure the production of high-quality, low-emissions goods right here in our country," Minister Bowen stated.
The following investments have been announced.
· $93 million for an energy efficiency upgrade at the QAL Alumina refinery in Gladstone, QLD.
· $50 million to reduce emissions intensity at the Adbri cement manufacturing in Port Adelaide, SA.
· $44 million for energy efficiency upgrades at Shoalhaven Starches food manufacturing in Nowra, NSW.
· $35 million to power Murrin Murrin cobalt and nickel operations with renewables in Leonora, WA.
· $32.9 million for emissions reduction at the CSBP chemical manufacturing facility in Kwinana, WA.
· $15 million to electrify the Grange Resources Iron Ore mine in Savage River, Tas.
· $5 million for fuel switching at the Grange Resources Iron Pellet plant in Port Latta, Tas.
· $700,000 for an alternative fuel trial at Liberty metals manufacturing site in Bell Bay, Tas.
The $330 million investment secures permanent carbon emissions reductions at a cost of A$39 per ton, valuing emissions over a decade.
While this figure is significantly lower than the shadow carbon price of US$80 per ton used by global majors like Woodside Energy and the US$250 per ton modelled by the International Energy Agency (IEA) for developed countries by 2050, it represents a crucial step forward.
The Clean Energy Finance Corporation (CEF) advocates for a comprehensive price on carbon pollution across the entire economy, yet Australia currently lacks such a mechanism.
Despite the Federal LNP's attempts to reignite past climate debates, focusing on low-cost solutions is imperative. At $39 per ton, taxpayers can absorb this cost, considering the inevitable burden of escalating climate crisis expenses and increasingly severe weather events.
Accelerating Australia's progress toward necessary solutions is paramount. Whether through implementing vehicle emissions standards, modernising the grid to support firm renewable energy, or even instituting aggressively progressive coal royalties, everyone must act swiftly to mitigate the impacts of climate change.
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