Strategy Identifies Opportunity To Make HV Batteries

The Federal Government has today released the nation’s first National Battery Strategy supporting its ‘Future Made in Australia’ strategy.

With global demand for batteries set to quadruple by 2030 as the world transitions to net zero, the plan maps a path for Australia to take advantage of this growth to build a thriving battery industry.

It identifies four high-value strategic opportunities:

• Stationary storage – building energy storage systems to firm renewable power generation in the national grid and for communities, businesses and homes;
• Provide battery active materials to the world by upgrading raw minerals into processed battery components to strengthen battery supply chains;
• Leveraging the nation’s world-leading know-how to build safer and more secure batteries connected to the grid; and
• Building batteries for Australia’s transport manufacturing industry, including heavy vehicle manufacturing.

The strategy identifies a strategic opportunity for local manufacture of heavy vehicle batteries

Funding for the strategy was included in last week’s Budget. This included $523.2 million, administered by ARENA, to promote development of battery manufacturing capabilities through production incentives targeted at the highest value opportunities in the supply chain; and $20.3 million to incentivise cutting-edge battery research, including support for:

• The Future Battery Industries Cooperative Research Centre 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; and
• Powering the Australia Industry Growth Centre to develop workforce skills and training.

The Budget also includes $1.7 billion for a new Future Made in Australia Innovation Fund, administered by ARENA, to accelerate deployment of innovative technologies and facilities through support for innovation, commercialisation, and pilot and demonstration projects in priority sectors including clean energy manufacturing such as batteries.

The strategy is designed to harness Australia’s world-leading expertise in battery technology, lean into its natural advantage with critical minerals and support a ‘Future Made in Australia’.

Global demand for batteries set to quadruple by 2030 as the world transitions to net zero

It also highlights how Australia can help diversify global battery supply chains by working collaboratively with key trading partners to help shore up the nation’s economic resilience.

Additionally, the strategy outlines a joined-up approach for industry and government to work together to supercharge battery manufacturing and help make Australia a renewable energy superpower.

It builds on a range of existing Government initiatives to help Australian businesses grow and compete, including the Industry Growth Program, Solar Sunshot, the National Reconstruction Fund and the Critical Minerals Facility.

More information on the National Battery Strategy is available here: National Battery Strategy.