Clean Energy RD&D investments
Australia is pleased to support Mission Innovation into its next phase with a renewed commitment to continue to invest in clean energy RD&D.
In November 2021, Australia announced investments of $1.7 billion in government funding for low emissions technology. This included an investment of $565 million for international partnerships to progress collaboration on low and zero emission technology. In December 2021 Australia announced it was committing almost AUD$900 million of new funding over ten years to support emissions reduction. This included:
- $500m to the Clean Energy Finance Corporation (CEFC) Low Emissions Technology Commercialisation Fund
- $180m to expand the Future Fuels Fund, to accelerate the uptake of new vehicle technologies
- $150m for two additional hydrogen hubs, bringing the Government’s total commitment to $464 m to fund seven (7) hubs
- $33m for the Australian Renewable Energy Agency (ARENA) to support development and deployment of sustainable aviation and marine biofuels
- $10m on analysis and modelling to ensure the electricity grid is ready for increased EV uptake and avoid unnecessary investment in distribution networks.
In September 2022 the Australian Government legislated targets to achieve net zero emissions by 2050, and to reduce emissions by 43% below 2005 levels by 2030.
The Australian Government’s Powering Australia plan is its key policy aimed at reducing emissions by boosting the accessibility and deployment of clean energy technologies across the economy. Powering Australia aims to drive the uptake of technology and innovation in existing industries, while investing in the technology and industries of the future to help meet the goals of the Paris Agreement. Technology priorities include hydrogen, solar, energy storage, and low emissions materials such as steel and aluminium.
The Australian Government is investing in these technologies through deployment of infrastructure that supports increased renewable energy integration with the electricity grid, including a $20 billion investment in Rewiring the Nation. Investments are also being made through public organisations that support research, development, demonstration and early-stage commercialisation of clean energy technologies through co-investment with the private sector. This includes the Department of Climate Change, Energy, the Environment and Water (DCCEEW), the Department of Industry, Science and Resources (DISR), the Department of Education (DoE), Clean Energy Regulator (CER), Australian Renewable Energy Agency (ARENA), Clean Energy Finance Corporation (CEFC), Australian Research Council, Cooperative Research Centres and the Commonwealth Scientific & Industrial Research Organisation (CSIRO).
In total, the Australian Government has committed to at least AUD$24 billion in public investment across the electricity, industry, agriculture and transport sectors over the coming years, which is expected to drive AUD$76 billion in total public-private investment.