Australia’s new Critical Minerals Strategy has been unveiled, outlining a vision to increase critical minerals wealth, generate jobs in mining and manufacturing, enhance global clean energy supply chains, and help the world reach net zero emissions.
Minister for Resources and Northern Australia Madeleine King released the Critical Minerals Strategy to position Australia as a global producer of raw and processed critical minerals while increasing economic opportunities for all Australians, particularly First Nations people and regional communities.
According to the Australian Government, The Strategy will serve as a long-term framework for future government policy decisions to maximise the national advantages of Australia’s internationally critical minerals endowments.
The Government will target $500 million in additional investment into critical minerals projects through the Northern Australia Infrastructure Facility as one of the Strategy’s first policy decisions.
The Strategy will also develop a method for updating the list of critical minerals.
Minister King stated that the Strategy demonstrates that Australia can play a critical role in supplying the processed minerals that the world requires for a clean energy future, based on the country’s vast geological endowment and track record as a dependable exporter of energy and resources.
“The new Critical Minerals Strategy outlines the enormous opportunity to develop the sector and new downstream industries which will support Australia’s economy and global efforts to lower emissions for decades to come,” Minister King said.
“While the potential is great, so too are the challenges. The Strategy makes it clear our natural minerals endowment provides a foot in the door, but we must do more to create Australian jobs and capitalise on this unique opportunity,” the Minister added.
The decision builds on the Government’s broader array of measures to promote the industry, which includes financing through the Critical Minerals Facility and National Reconstruction Fund, investments in R&D, and grants to help develop early- to mid-stage critical minerals projects.
According to independent modelling, boosting exports of critical minerals and energy-transition minerals may generate over 115,000 new employment and add $71.2 billion to GDP by 2040.
However, the Federal Government said if Australia improves downstream refining and processing capabilities and gets a larger share of trade and investment, jobs may expand by 262,600, and GDP could climb to $133.5 billion by 2040.
The Australian Government is also collaborating with industry and international partners to assist Australian projects in linking to emerging markets in the United States, the United Kingdom, Japan, Korea, India, the European Union and its member states.
The Strategy identifies six key areas of focus:
- Developing strategically essential initiatives with targeted assistance
- Attracting investment and forming international alliances to optimise trade and investment settings for priority technologies
- First Nations benefit from sharing and participation, strengthening interaction and relationship with First Nations people and communities, and improving fairness and investment opportunities for First Nations interests
- Increasing Australia’s standing as a global leader in environmental and social governance (ESG) standards
- Increasing investment in critical infrastructure and services
- Growing a skilled workforce.
The Critical Minerals Strategy will be developed in partnership with state and territory governments and will complement the Government’s key agenda items, which include:
- Australia’s Critical Technology Statement
- National Reconstruction Fund
- Australian Made Battery Plan
- National Electric Vehicle Strategy
- National Hydrogen Strategy
- Powering Australia Plan
- First Nations Clean Energy Strategy
