Three weeks after Labor’s proposed $15 billion National Reconstruction Fund (NRF) was referred to a senate inquiry, the government has struck a deal with the Greens to see the bill pass the Lower House. The Greens had said they would not support the bill if the fund was used for coal or gas projects.
One of the Greens’ amendments created a class of ‘prohibited investments’ within the legislation that explicitly ban the National Reconstruction Fund Corporation from financing the extraction of coal and gas, the construction of gas pipelines, and the logging of native forests.
Greens leader Adam Bandt said, “Coal and gas are the biggest cause of the climate crisis, so this is a big win for the climate and a big win for jobs and the economy. Coal and gas are out of the Reconstruction Fund, and native forest logging is too.”
Harvest B's facility in December 2022
(Source: AMGC).
Industry minister Ed Husic posted on LinkedIn: “Big day for Australian manufacturing and local jobs with the House of Representatives voting to BACK the introduction of the Albanese Government’s National Reconstruction Fund.
“We are one step closer to bringing into life one of the biggest investments in Australian manufacturing capabilities in living memory.”
Advanced Manufacturing Growth Centre (AMGC) managing director Dr Jens Goennemann said: “Manufacturing is the single most promising capability Australia has to transition from being a lucky country to a smart one.
“The passing of the National Reconstruction Bill through the House of Representatives is the first positive step to ensuring that we can invest in our onshore manufacturing capabilities to generate highly skilled, resilient local jobs that deliver complex items into local and, critically, global supply chains.
The Greens also secured an amendment that investments from the fund must line-up with legislated climate targets and any future updated commitments made under the Paris agreement.
Greens spokesperson for industry, regional development and transition Senator Penny Allman-Payne said, “The Greens took a policy for a manufacturing fund to the election, and we strongly support public investment in rebuilding manufacturing in Australia.
“The amendments the Greens have secured will ensure that the National Reconstruction Fund will be focused on creating high-quality jobs across a diverse economy, particularly in regional Australia.
co-founders Alfred Lo and Kristi Riordan, and
AMGC MD Dr Jens Goennemann at the opening of Harvest B's facility in December 2022
(Source: AMGC).
Goennemann said, “Through the National Reconstruction Fund, Australia has a significant opportunity to leverage its human capital and natural resources through manufacturing to grow its global importance and value beyond being the globe’s quarry, farm and hotel, increasing the complexity of our economy in the process.”
More to come...
