Greens Senators' Additional Comments

1.1Government support for clean energy industries is essential for the rapid decarbonisation needed to address the climate crisis. As such, the Australian Greens are supportive of the intent of this bill to encourage investment in renewable hydrogen and critical minerals, and expand the remit of Indigenous Business Australia.

1.2The urgent need to rapidly transition to renewable economies presents a unique opportunity for Australia to become a renewable energy superpower, and schemes like the tax credits proposed in the bill are important for creating market confidence and encouraging the investment needed for Australia to do so.

1.3Australia is well positioned to help unblock global bottlenecks on the resources needed for global decarbonisation. Inputs like renewable hydrogen and critical minerals will be a critical part of this, with great potential to contribute significantly to Australia’s economy and job creation in the renewable transition. Doing so properly can help us transform our old industries and look after workers and communities at the same time as protecting our climate and environment.

1.4While this bill and the broader Future Made in Australia agenda is welcomed by the Australian Greens as an important step to realising Australia’s global renewable potential, climate benefits will only eventuate if the Australian Government commits to ending support for coal and gas. Under the Albanese Government emissions have gone up, with 32 new coal and gas projects approved since coming into power. They have committed to a future for gas beyond 2050 in their Future Gas Strategy, and billions of taxpayer dollars continue to be poured into sustaining these polluting industries, including funding for Darwin’s Middle Arm project.

1.5Meanwhile, the climate crisis is threatening to overwhelm our economy, environment and communities. Australia has already shot past 1.5 degrees of warming, and the world is on track for a catastrophic 3.1 degrees of warming.[1]One of the biggest threats to our wildlife and ecosystems is climate change—yet around half of Australia’s economy, and the global economy, directly depends on nature.[2] Without a commitment to stop subsidising and opening new coal and gas fields that fuel the climate crisis, we are risking the future of our climate, environment and economy and will be unable to meet international imperatives.

1.6Australia’s future is in clean energy, not fossil fuels, and the Future Made in Australia agenda done right is an opportunity to replace our coal and gas exports with green energy and green products we manufacture here. This bill is an important measure to reduce barriers for green industries and set Australia up as a future renewable superpower—but the Australian Government’s continued support for the growth of polluting industries like coal and gas is incompatible with this goal.

Senator Nick McKim

Member

Greens Senator for Tasmania

Footnotes

[1]John Ainger, ‘UN says world is now on course for warming of up to 3.1C’, Bloomberg, 25October2024.

[2]Australian Conservation Foundation, ‘$900bn of Australia’s economy directly depends on nature’, Media release, 6 September 2022.