Federal Government to invest $330m to reduce emissions

Nine projects across Australia will use the funding to cut yearly emissions by 830kt.
Nine projects across Australia will use the funding to cut yearly emissions by 830kt.

The Federal Government will co-invest $330m to reduce industrial emissions and support the ongoing domestic production of key inputs into clean energy projects.

Under the Powering the Regions Fund, nine projects will receive a portion of the funding with the projects to cut yearly emissions by 830kt – the same as taking over a quarter of a million cars off Australian roads.

The funding includes $197m to maintain Australia’s domestic manufacturing capability in cement and aluminium.

Grants include, $94m to Queensland Alumina to reduce energy use, $52.9m to Cement Australia to reduce coal consumption and $50m to Adbri to reduce emissions intensity and reliance on imports.

A further $134m will support six decarbonisation projects covered under the Safeguard Mechanism which applies to companies that emit more than 100ktpa of carbon dioxide.

These grants include:

  • $44.5m to Shoalhaven Starches to upgrade heat recovery in NSW
  • $35.7m to Murrin Murrin Operations to shift to renewable energy in WA
  • $32.9m to CSBP to reduce emission at the Kwinana facility in WA
  • $20m to Grange Resources to electrify operations at the Savage River iron ore mine in Tasmania and modify furnaces to end coal use at the Port Latta iron pelting facility
  • $700k to Liberty Bell Bay to trial replacing coke with locally produced charcoal

Federal Climate Change and Energy Minister Chris Bowen says the grants will future-proof Australia’s heavy industries.

“This $330m investment in Australia’s hard-to-abate manufacturing and mining facilities is about securing the future of high-quality, low-emissions products made right here,” he said.

“As global markets change rapidly – we’re supporting Australian industry to not only survive but thrive with our world-class products that support regional jobs across the country.”