The successful passage of Future Made in Australia (Production Tax Credits and Other Measures) Bill 2024 by the Australian Senate is a win for jobs, manufacturing and economic growth, according to the peak body for the clean energy sector.
Clean Energy Council General Manager – Advocacy and Investment, Anna Freeman, said the Bill, which provides refundable tax credits for onshore production of green hydrogen and processing of critical minerals, would help to make Australia a more competitive investment destination for the global growth industries of clean fuels, low-emissions metals and critical minerals.
This is a red-letter day for Aussie manufacturing and jobs. This bill stands to unlock billions of dollars in private investment, jumpstart the development of new industries, and create thousands of new jobs.Anna Freeman Clean Energy Council General Manager – Advocacy and Investment
“We know that Australia has the natural advantages of renewable energy and mineral resources to make us a winner in the new global growth industries of green metals and clean fuels. These production credits will now help to boost our competitive advantage for the private capital we need to attract.
“There are many ‘hard-to-abate’ industries – like iron and steel making, shipping and aviation – whose most promising prospects for decarbonisation depend on the availability of competitively priced hydrogen.
“It is far cheaper to make these clean commodities where you make the hydrogen, and so this production credit will open up a wide range of new industrial expansion opportunities and help our existing industries to remain competitive as they decarbonise.
An important feature of the Bill is that tax credits are only granted to businesses who invest in, and produce renewable hydrogen in Australia, and as such, no support is given to investors who do not deliver.
“This production credit will become a key element of Australia’s investment attraction strategy, and it should be complemented with a range of other supportive measures, including demand-activation policies, and efficient environmental and planning assessment processes for new development,” Ms Freeman said.
ENDS
For more information or to arrange an interview, contact:
Liam Straughan
Clean Energy Council Media Officer
+61 409 470 683