The Australian government has launched its National Battery Strategy, a comprehensive plan to enhance domestic and export battery production.
This strategy, the first initiative under the Future Made in Australia Act, aims to accelerate Australia’s renewable energy transition and is based on recommendations from the Australian Academy of Technological Sciences and Engineering (ATSE).
ATSE CEO Kylie Walker emphasised the strategy’s potential to position Australia as a global leader in battery production by 2035.
“The strategy is an opportunity to shift our focus from simply exporting minerals to adding value through advanced manufacturing capabilities,” Walker stated.
A key component of the strategy is addressing current skills shortages and preparing the workforce for future demands. Initiatives such as the Powering Australia Industry Growth Centre and the Building Women’s Careers Program are highlighted as promising steps toward this goal.
The strategy also includes new research initiatives, such as the $5.6 million Australian Made Battery Precinct in Queensland, while leveraging existing programs like the Australian Research Council and the Universities Accord reforms.
However, Walker noted that increased funding for existing research initiatives is essential for maintaining global competitiveness.
ATSE’s advocacy for sustainability and circular economy practices is reflected in the strategy’s commitment to embedding environmental, social, and governance requirements to support a circular economy and renewable energy use in battery manufacturing.
The strategy identifies four high-value strategic opportunities:
- Building Energy Storage Systems to support renewable power generation.
- Upgrading raw minerals into processed battery components.
- Leveraging expertise to create safer and more secure batteries.
- Developing batteries for the transport manufacturing industry.
Funding for the strategy, announced in last week’s Budget, includes:
- $523.2 million for the Battery Breakthrough Initiative to promote battery manufacturing capabilities.
- $20.3 million for Building Future Battery Capabilities to support cutting-edge research.
Additionally, a $1.7 billion Future Made in Australia Innovation Fund will support the deployment of innovative technologies and facilities in priority sectors, including clean energy manufacturing.
Australian Prime Minister Anthony Albanese said: “Batteries are a critical ingredient in Australia’s clean energy mix. Together with renewable energy, green hydrogen, and critical minerals, we will meet Australia’s emission reduction targets and create a strong clean energy manufacturing industry.”
The National Battery Strategy outlines a collaborative approach for industry and government to enhance Australia’s battery manufacturing sector and contribute to making Australia a renewable energy superpower.
It builds on existing initiatives such as the Industry Growth Program, Solar Sunshot, the National Reconstruction Fund, and the Critical Minerals Facility, aiming to diversify global battery supply chains and strengthen Australia’s economic resilience.
Minister for Industry and Science Ed Husic stated: “It’s inexcusable that we supply half the global supply of lithium but produce less than one per cent of the world’s processed battery components.
“The global clean energy transition is happening — and we’ve got a once-in-a-lifetime opportunity for Australia to create more well-paid, secure jobs.”
