The government’s proposed $15 billion National Reconstruction Fund has been referred to a senate inquiry, after the Greens and Coalition said they would not support the bill.
The House Standing Committee on Industry, Science and Resources has launched the Advanced Manufacturing – How innovation will drive Australia's future inquiry to support Australian industry, create jobs, and revive the country’s capabilities to make “world class products” domestically.
Labor MP Rob Mitchell is the committee chair. He said understanding the opportunities associated with advanced manufacturing is crucial for strategic growth.
“We need to ensure that we are well-positioned as a nation to take advantage of new technologies, and that our strategic decisions are informed by the right data. Continuing to grow the relationship between industry and our research sector is also vital,” Mitchell said.
In the first sitting week of the year, the federal Coalition said it wouldn’t support the NRF, the $10 billion Housing Australia Future Fund, or the $20 billion Rewiring the National Fund because the government should be focusing on reducing inflation and energy prices before spending billions of dollars.
The Greens said they would support the bill on the proviso no funds were invested in coal and gas projects.
This puts industry minister Ed Husic in a sticky spot of negotiation, with the NRF including a $3 billion sub fund to support the manufacture of “in large part” green tech, which would help reduce emissions and provide low emissions and zero emissions technology.
As Husic told ABC RN Breakfast host Patricia Karvelas, “If you take from that our commitment, and the fact that we also took into account this type of investment in the modelling that we produced as part of our broader policy to reduce emissions and get us to net zero, that is a big point.”
But he told Karvelas, “I respect that Parliamentarians will put their views and the parties will put their views forward and it's up to us to work it through. Not to do it in the way we've seen in times past where we just have a rolling brawl. Sometimes you'll have differences.”
Curiously, he wasn’t as diplomatic with the Coalition’s stance, saying it had “dealt themselves out”.
“In respect of the Coalition, what we saw was a knee-jerk reaction that was not flagged. There were no issues raised prior to the declaration… They can raise all sorts of questions that they haven't been prepared to do privately or work with us through constructively,” Husic said.
Mitchell said, “We want to hear from stakeholders across industry, our tertiary sector and government about what it will take to make things better – and how we can ensure reliable growth within Australia’s manufacturing sector.”
Committee members
- Rob Mitchell, ALP – chair
- Michelle Landry, Lib – deputy chair
- Alison Byrnes, ALP
- Zaneta Mascarenhas, ALP
- Henry Pike, Lib
- Dan Repacholi, ALP
- Maria Vamvakinou, ALP
- Rick Wilson, Lib
The terms of reference
The House of Representatives Standing Committee on Industry, Science and Resources will inquire into and report on developing advanced manufacturing in Australia, including consideration of:
- the opportunities of advanced manufacturing for Australia – including in relation to job creation, productivity and capability;
- international trends in advanced manufacturing;
- competitive strengths and advantages of Australia in advanced manufacturing, including Australia's comparative international position in advanced manufacturing;
- barriers to the growth of advanced manufacturing in Australia – including barriers to existing manufacturers, particularly small and medium enterprises, adopting advanced manufacturing technologies and processes such as AI and robotics;
- financial and non-financial investment opportunities or possible reforms to support the growth of advanced manufacturing in Australia in: renewables and low emission technology; medical science; transport; value adding in agriculture, forestry and fisheries; value adding in resources; defence; and enabling capabilities;
- the opportunities to increase the number of workers employed in advanced manufacturing, including consideration of ways to increase the participation and retention of women and other historically underrepresented groups; and
- skills needs in advanced manufacturing.
Matters relating to national security are out of scope for this inquiry.
Submissions for the Inquiry into Developing Advanced Manufacturing in Australia are now open. The inquiry Terms of Reference can be found at aph.gov.au/isr.
