The Minister for Industry, Science and Technology Ed Husic addresses energy, gas policy, and National Reconstruction Fund at National Press Club address.
Minister Husic said at his National Press Club Address that manufacturers are already some of the country’s biggest investors in research and development.
Currently, the manufacturing sector makes up almost 30% of total R&D expenditure through the government’s R&D Tax Incentive.
“The science ecosystem is a broad one, spanning the lab bench to the board room to the factory floor,” he said. “We need to support it, and sustain it, from basic research at the lab bench to new industrial uses and technologies. To this end, we have kicked off a consultation to revitalise Australia’s science priorities.”
The Federal Government’s review of the Australian Research Council and the development of a Universities Accord, is led by Ed Husic, and Jason Clare, Minister for Education.
As part of their new science and technology pipeline, the government has a goal of generating up to 1.2 million tech-related jobs in Australia by 2030.
The Minister mentioned at the NPC address that, “there are already more software engineers and developers in Australia than there are hairdressers or solicitors.”
To reach that target, the Australian Government is working to widen the pipeline of STEM talent from all corners of the community.
The Digital and Tech Skills Compact Working Group, which was established with his colleague the Minister for Skills and Training, Brendan O’Connor, is a collaboration between government, unions and technology employers that will develop a pilot scheme designed to support workers entering the tech industry from all walks of life. “We are also investing heavily to create more university places and fee-free TAFE places across the board. And we are taking action to improve the diversity of our STEM workforce, drawing lessons from what’s working and what’s not,” said Husic.
“I have commissioned an independent review of my portfolio’s Diversity in STEM programs, to ensure that the initiatives we have to improve the range of Australians entering are working as intended.
Without properly investing in human capital, we have an impoverished science capability. And that strengthened science capability is essential to re-invigorating our manufacturing base. But for this manufacturing base to be sustained, we must provide more opportunities for Australian businesses to develop and market their products within Australia and overseas.”
During his speech, the Industry Minister also took a swipe at gas companies and accused them of being reluctant to negotiate with governments on a solution to the soaring cost of energy. The federal cabinet is considering a move to intervene in the energy market to bring down power prices, with the federal government promising to unveil a policy by the end of the year. Husic said he expected the gas industry to push back against government changes.
“The issue with the gas companies, if I may say, has been that they’ll propose nothing and oppose everything,” he told the National Press Club in Canberra. “In terms of anything we put forward, you’ll see that.”
The Albanese government is being urged to act on runaway power prices, which the October budget forecast would rise by nearly 60% over two years.
The Russian war in Ukraine and the resulting sanctions on Russian oil and gas have been among the drivers of a sharp increase in energy prices over the past few months. Meanwhile, our country has been grappling with gas supply shortages and soaring prices have developed even though Australia is one of the world’s biggest producers of LPG.
Minister Husic said it shouldn’t get to the point where Australia has to “publicly cajole and browbeat” gas companies over the treatment of their domestic market.
He said the government was “trying to get the balance right” between the interests of gas companies and the needs of local consumers. “We still want them to be profitable,” he said. “We still want them to make a return on their investment and what’s been shown is that they can do it.”
Minister Husic announced he will soon introduce legislation to establish the $15bn National Reconstruction Fund.
One of Labor’s election promises, the National Reconstruction Fund will encourage private sector investment in the local manufacturing industry with a combination of loans, guarantees, and equity. Although the search is on for alternate energy sources, in many industries, the use of gas is engrained into their systems, and alternatives are not easily found.