The New South Wales government has released the state’s first Industry Policy, aiming to promote collaboration across industry, the innovation sector, and trade businesses to grow the economy. However, businesses are left waiting for its Innovation Blueprint, originally expected in July 2024.
Built around “missions” of Housing, Net Zero & Energy Transition, and Local Manufacturing, the Policy aims to provide a clear strategic direction across all government agencies and programs. It was informed by consultation with industry peak bodies, academia, and engagement with government agencies.
Source: NSW Government
The government stated it will use regulation, procurement, planning, strategic land use, and infrastructure building to help drive change, and partner with industry and other stakeholders to deliver on skills and education, innovation and technology, and trade and investment to help ensure the policy’s success.
Industry Policy missions
New South Wales residents have access to safe, secure, affordable, well-designed and sustainable housing.
The government will focus on increasing the uptake of advanced technologies and innovation in the production and use of sustainable building materials. Innovative methods, including modular construction and the potential use of automation and robotics, will help the delivery of new homes.
The government is investing more than $8.5 billion to address the housing challenge through investment in social housing and homelessness services, planning reforms, and housing-enabling infrastructure and rental housing.
New South Wales is a globally competitive clean energy, sustainable and low carbon economy.
Developing sustainable industries that export goods and services to other decarbonising markets is critical to offsetting the decline in carbon-intensive industries.
Renewable fuels are one opportunity for New South Wales to reduce emissions in hard-to-abate industries such as freight, while contributing to fuel security and growing regional economies. The progression of a commercial green hydrogen sector would also produce low-emissions products and fuels for domestic trade purposes.
The government invested $3.5 billion in Climate Change and Energy initiatives in the 2024-25 Budget, including $3.1 billion in NSW's Renewable Energy Zones, getting more clean energy into the grid while creating secure jobs for communities across the state.
New South Wales is a dynamic and resilient economy supported by local manufacturing.
Manufacturing declined nationally over the past two decades, with manufacturers facing significant challenges, including high costs and weak supply chains.
In order to combat these challenges, the government has set three new Local Manufacturing targets:
- New South Wales Gross Value Added for manufacturing achieves real growth on average over the years to 2031.
- New South Wales Gross Value Added for manufacturing achieves growth equal to, or greater than Gross State Product on average in the years between 2031 and 2040.
- Achieve a 50 per cent minimum local content target for future rolling transport stock by 2035.
Advanced manufacturing technologies will also provide new opportunities to be globally competitive in complex and high-value products, while New South Wales manufacturers can benefit from the global transition to net zero.
Innovative new technologies in big data, artificial intelligence, quantum, virtual reality, and robotics are dramatically changing manufacturing processes, from design and prototyping to the actual fabrication of products.
The government has already committed over $600 million to drive investment in local manufacturing, which it stated has helped manufacturing in New South Wales grow two consecutive years for the first time in two decades.
The full policy is available here.
Industry waits for Innovation Blueprint
The Industry Policy comes as the New South Wales government has been ordered to release its Innovation Blueprint, an overhaul of the state’s innovation policy that has been two years in the making – missing several anticipated release dates.
Liberal MP Jacqui Munro put forward the motion under Standing Order 52 to table all documents relating to the Innovation Blueprint on 19 February, allowing the government 21 days from that date to comply.
This would include “all documents relating to its preparation, related round tables, events, departmental and ministerial briefings, work undertaken by consultants and correspondence, and any legal or other advice regarding the scope or validity” of the new policy.
With the deadline approaching, businesses wait with bated breath to see what New South Wales’ innovation landscape will look like in the near future.
