The Australian Government has announced its National Battery Strategy, designed to improve grid resilience and security and drive economic growth by expanding Australia’s battery manufacturing and building capabilities.
Minister for Industry and Science The Hon. Ed Husic said, “The global demand for batteries is set to quadruple by 2030 as the world transitions to net zero. Australia is already a leading producer of battery minerals, providing approximately 45% of the world’s lithium in 2023. While we mine critical minerals here, we currently make less than 1% of global battery materials or components.
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“The National Battery Strategy builds on Australia’s existing strengths and provides a pathway to move up the battery value chain and capitalise on key opportunities—such as manufacturing stationary energy storage systems and higher value battery active materials, building battery safety and security, and continuing to develop emerging battery chemistries. This will allow Australia to capture a once in a generation opportunity presented by a thriving domestic battery industry.”
The National Battery Strategy aims to see Australia become a globally competitive producer of batteries and battery materials by 2035, providing secure and resilient battery supply chains, delivering affordable and secure energy for Australians, boosting productivity and creating wealth and opportunity while being part of the global energy transition.
Five key priorities under the strategy include:
- Building battery manufacturing capabilities in ways that strengthen economic resilience, leverage Australia’s comparative advantages and add value to our economy.
- Building knowledge and skills to create secure Australian-made jobs.
- Securing Australia’s place in global battery supply chains.
- Leading the world on sustainability, standards and the circular economy.
- Bringing all levels of government together.
2024-25 Federal Budget funding
Funding of $523.2 million will incentivise the production of high-value battery products in Australia’s areas of advantage, such as stationary energy storage, to strengthen economic resilience and support critical battery manufacturing capabilities.
$20.3 million will help build future battery capabilities and strengthen national collaboration, including $9.9 million to the Future Battery Industries Cooperative Research Centre (FBICRC) to map Australian battery capability and value chains, drive battery innovation and scale-up and deliver best practice guidelines and standards for the battery industry. $10 million will go to the Powering Australia Industry Growth Centre (PAIGC) to develop workforce skills and training to enable a safe and sustainable battery industry.
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$5.6 million has been committed to conduct foundational work to support the establishment of the Australian Made Battery Precinct, in partnership with the Queensland Government. This will help realise the Australian Government’s commitment to invest up to $100 million in the precinct.
The Future Made in Australia Innovation Fund will see $1.7 billion boost the deployment of innovation in priority industries, which includes clean energy technologies such as batteries manufacturing.
