Announcing the 2024–25 May Budget

Our portfolio is central to delivering on the Australian Government’s vision of a Future Made in Australia to boost investment, create jobs and seize the opportunities of a shifting global economy. 

This includes: 

• seizing the opportunities of the transition to net zero emissions
• making the most of new and emerging technologies
• supporting the creation of internationally competitive industries and new sources of economic growth.

Our portfolio is backing sectors identified in the Future Made in Australia National Interest Framework as critical to our economic resilience and national security. These capitalise on our comparative advantages and contribute to our net zero transition. 

We’ll work closely across government to design and implement initiatives for batteries, clean energy manufacturing, green metals and critical minerals. 

We’ll also continue to support Australian industry across the economy through existing programs and plans. These include the Cooperative Research Centres program, Research and Development Tax Incentive program, Industry Growth Program and National Reconstruction Fund.

Key measures

Growing innovative and competitive businesses, industries and regions

• Transforming Australia’s battery industry by helping manufacturers move up the battery value chain through a new Battery Breakthrough Initiative ($523.2 million over 7 years). This is a key deliverable under the upcoming National Battery Strategy. 
• Positioning Australia as the world leader in green production of iron, steel, alumina and aluminium through new Green Metals Foundational Initiatives ($18.1 million over 6 years). We will consult with industry on further options to help decarbonise Australian metals.
• Supporting innovation, commercialisation, pilot program and early stage development in priority sectors through the Future Made in Innovation Fund ($1.7 billion over 10 years from 2024-25). This will target renewable hydrogen, green metals, low carbon liquid fuels and clean energy technology manufacturing like batteries. The Australian Renewable Energy Agency (ARENA) will administer the fund with support from our department. 
• Supporting implementation of mandatory country of origin labelling for seafood in hospitality settings ($3 million over 4 years from 2024-25). 
• Ensuring performance of the National Reconstruction Fund Corporation (NRFC) to build domestic capability in 7 priority areas.

Investing in science and technology

• Undertaking a strategic examination of Australia’s research and development (R&D) policies. This will strengthen its alignment with government priorities and improve innovation and R&D outcomes.
• Supporting a thriving, skilled and diverse science, technology, engineering and mathematics (STEM) workforce ($38.2 million over 8 years). Under the measure, existing STEM programs that focus on women and science engagement will receive additional funding to reach more diverse cohorts. These include women and girls, First Nations people, culturally and linguistically diverse people and people from regional and rural areas. This will put into action recommendations of the Pathway to Diversity in STEM Review and support the government’s commitment to gender equity and diversity in STEM.
• Integrating Australia’s artificial intelligence (AI) expertise across AI policy development, programs and outreach ($21.6 million over 5 years). This includes positioning the National Artificial Intelligence Centre (NAIC) as the government’s flagship organisation for engaging with industry by bringing it into our department. It also establishes an AI Advisory Body.
• Uplifting our department’s capability to lead and coordinate the government’s safe and responsible AI agenda ($8.5 million over 2 years from 2024-25).
• Maintaining Australia’s sovereign measurement science capabilities through the National Measurement Institute ($145.4 million over 2 years). This addresses critical funding needs including for capital works.
• Investing in world-leading company PsiQuantum to build and operate its world-first utility-scale fault tolerant quantum computer, in collaboration with the Queensland Government. 
• Securing Australia’s sovereign capability and competitiveness in manufacturing nuclear medicines through the Australian Nuclear Science and Technology Organisation (ANSTO). This will support a new manufacturing facility ($479.9 million over 9 years from 2024-25) and ensure medicines remain affordable for Australians ($25.9 million over 2 years from 2024-25).

Supporting a strong resources sector

• Supporting Australian critical minerals processing through the new Critical Minerals Production Tax Incentive ($7 billion over 11 years from 2023-24). The incentive will give a 10% refundable tax offset for the eligible costs of processing critical minerals in Australia.
• Capitalising on Australia’s critical minerals and the global clean energy transition through a range of investments. These include $10.2 million to establish the Critical Minerals National Productivity Initiative and $1 million for a pilot program to strengthen the capabilities of Australia’s critical minerals sector to detect, prevent and mitigate foreign interference.
• Advancing our understanding of Australia’s critical minerals, strategic materials and other resources necessary for net zero transition through a Resourcing Australia’s Prosperity initiative ($566.1 million over 10 years from 2024-25). This will enable Geoscience Australia to map the whole of onshore Australia by 2060 and deliver high quality data and information. 
• Continuing the ongoing partnership (nearly 50 years) with the US Geological Survey in the Landsat Next satellite project ($448.7 million over 11 years from 2023–24, and an average of $43.2 million per year ongoing from 2034–35). This secures access to high quality land imaging data to inform mining, agriculture, and emergency response.
• Growing Australia’s oil and gas decommissioning industry through the upcoming Roadmap for Establishing a Decommissioning Industry in Australia ($6.8 million over 2 years from 2024-25). This measure will help our department address barriers to growth in Australia’s decommissioning industry.

Reprofiled spending

• Addressing funding needs for the Square Kilometre Array (SKA) project (reprofiling $92 million of previously committed funding from 2025-26 and 2026-27 to 2024-25). This reprofiling is mostly due to increases in construction costs at the SKA’s Western Australian site. It forms part of Australia’s total commitment to the SKA project ($643 million over 10 years from 2021-22).
• Updating the Australian Government’s approach to managing radioactive waste (reprofiling previously budgeted funding, including allocations from the 2023-24 Safely Managing Australia’s Radioactive Waste measure).