of Australian steelmaking is up as the federal government spends $200 million
in grants to steelmakers and projects which will help transform the energy
system and keep Australian producers internationally competitive while creating
first round of the Powering the Regions Fund (PRF) has granted $136.8 million
to BlueScope Steel in New South Wales and $63.2 million to Liberty Steel
Australia in South Australia.
will put the funds towards relining and upgrading its No. 6 Blast Furnace
at the Port Kembla Steelworks to maintain domestic production, reduce
emissions, and support pathways to producing even lower-emissions steel.
funding will go to the purchase and commission of a low-carbon electric arc
furnace (EAF) to replace its existing traditional blast furnace at the Whyalla
Steelworks. The new state-of-the-art EAF will support the manufacturing of
green steel and help achieve Liberty’s aim of carbon neutrality by 2030.
Minister for Climate Change and Energy Chris Bowen said the $200 million
investment in the steel sector aimed to secure its long-term future.
essential for our energy transformation. Ninety percent of the materials that
go into making a wind turbine are steel and cement, and we're going to need a
lot more of it.”
steel demand for the energy transformation from 2022 to 2050 will be almost 5
billion tonnes, accounting for 75% of the total material requirement – and that
steel will increasingly be green steel.”
Minister said the government wants to make sure products vital to Australia’s
economic future, such as green steel are made here, but this will require
innovation and new ways of processing iron ore that decarbonise the steel
like the Illawarra and Whyalla have been industrial powerhouses for
generations, making the steel used in building our houses, infrastructure and
industry while creating jobs, and we want to see this continue.”
will add about 250 workers to its site during the blast furnace upgrade and
will help secure the local workforce over the long term, including the
thousands of jobs at the Port Kembla Steelworks.
shift to green iron and steel will increase its workforce by around 24% over
five years and help provide many existing employees with retraining and new
Workers’ Union National Secretary Paul Farrow said the AWU has long argued that
Australia is ideally placed to become a global, green-steel powerhouse of the
realise that exciting future we need strategic investment today. Thankfully
that’s what we’re finally seeing through the government’s Powering the Regions
Fund,” he said.
decision to fund projects at BlueScope and Liberty is a testament to our
nation’s readiness to embrace a clean steel future.”
the transition is more than just an environmental imperative.
economic opportunity for Australia to become a leader in clean steel in Asia
“We tend to
hear a lot of doom and gloom about manufacturing in Australia, but the fact is
the future looks extremely bright if we seize our opportunities.
grants are the first under the PRF’s Critical Inputs to Clean Energy Industries
program, which supports hard-to-abate sectors so Australia can keep making the
things that are vital to the energy transition, including electricity and rail
infrastructure such as wind towers, solar farms and energy transmission, and
the construction of energy-efficient buildings.
Albanese Government has also committed $200 million in grant funding for the
hard-to-abate cement and lime, and alumina and aluminium sectors, with
successful projects to be announced in the coming months.
attributable to Minister for Industry and Science Ed Husic:
green Aussie made steel is the way of the future. Our economy needs it and it
will sustain and create great jobs in our regions.”
attributable to Assistant Treasurer and Member for Whitlam Stephen Jones:
I have worked hard to secure good policy and funding so that the Illawarra is a
steel making region for a long, long time.”
government wants Australia to be a manufacturing powerhouse. This investment
boosts the Port Kembla Steelworks and local jobs, while ensuring steel making
remains internationally competitive and sustainable.”
attributable to Member for Cunningham Alison Byrnes:
delighted by this announcement, which clearly demonstrates support for the
future of steelmaking in Port Kembla by the Albanese Labor Government.”
turbo charges the investment to reline the blast furnace by BlueScope, securing
thousands of jobs in the region.”
signifies the Government’s on-going commitment to the importance of steelmaking
in the Illawarra, our region and the nation.”
is vital to achieving our renewable energy transition and for the construction
of new housing and the Illawarra is a crucial player in these national