In addition to the grant and financing programs mentioned in other parts of this section, the Australian Government’s Clean Energy Future Package also contains a series of assistance measures to support energy intensive industries transform to a low carbon economy.
In this section
Jobs and Competitiveness Program
The Jobs and Competitiveness Program has been established to support local jobs and production, and encourage industry to invest in cleaner technologies. The program is targeted at companies that produce a lot of carbon pollution but are constrained in their capacity to pass through costs in global markets.
The most emissions-intensive trade-exposed activities will receive assistance to cover 94.5 per cent of industry average carbon costs in the first year of the carbon price. Less emissions-intensive trade-exposed activities will receive assistance to cover 66 per cent of industry average carbon costs. Assistance will be reduced by 1.3 per cent each year to encourage industry to cut pollution, with a review to consider longer-term assistance rates.
A Jobs Competitiveness Guidance Paper has been prepared setting out the process by which entities may apply for assistance under the Jobs and Competitiveness Program.
For more information, see the Department Climate Change and Energy Efficiency website.
Steel Transformation Plan
The Steel Transformation Plan will provide $300 million over four years to encourage investment, innovation and competitiveness in the Australian steel industry. Funding will assist the steel industry to transform into an increasingly efficient and sustainable industry in a low carbon economy.
For more information, see the AusIndustry website.
Coal Sector Assistance Package
The Coal Sector Assistance Package aims to support Australia’s coal mining sector by providing targeted assistance to Australia’s gaseous coal mines as well as providing support for the development of coal mining abatement technologies.
It comprises two components:
- a $1.26 billion Coal Sector Jobs Package which will provide assistance to the most emission-intensive coal mines for the first five years of the carbon pricing mechanism. Assistance will be provided to eligible coal mines for up to 80 per cent of their fugitive emissions exposure above the 0.1 tCO2-e threshold; and
- a $70 million Coal Mining Abatement Technology Support Package which will provide support for the development and pilot deployment of innovation technologies to reduce fugitive emissions from coal mines, develop safe abatement practices and assist smaller operators to develop mine emissions abatement plans.
For more information, see the Department of Resources, Energy and Tourism website.
Energy Security Fund
The Energy Security Fund aims to provide transition assistance to highly emissions-intensive coal-fired power stations to maintain security of supply and ensure generators are moving to a cleaner energy future. It involves two elements:
- Transitional Assistance to provide market stability and energy security through targeted support for emissions intensive generators as a carbon price is introduced.
- Contract for Closure which will involve funding to support the closure of around 2,000 MW of highly emissions-intensive coal fired generation by 2020.
The government is also establishing an Energy Security Council to provide advice on emerging risks to energy security, and to advise on loan support for generators.
For more informatio, see the Clean Energy Future website.