WHY TECHS MAY SPLURGE BILLIONS IN AUSTRALIA
New deal with US opens way for investment
APPLE, Google and Amazon could plough billions of dollars into Australia’s renewable energy revolution as a result of a new deal between the American and Australian governments.
Energy Minister Chris Bowen signed off on the new clean energy demand initiative on Friday in Pittsburgh with US special presidential climate envoy John Kerry, who welcomed Australia’s renewed climate leadership in the wake of Scott Morrison’s election defeat.
The agreement is designed to break down barriers for US companies wanting to invest in Australia, with the Albanese government hoping as much as $2.9bn could be splurged to help reach its 2030 target for renewables to provide 82 per cent of the nation’s power.
“By setting up a favourable market environment for investment, we are signalling to US companies that we welcome international partners to support our clean energy future,” Mr Bowen said.
“The initiative also sends a signal to the world that Australia is open for business as a reliable investment as the world heads towards net zero emissions by 2050.”
Mr Bowen and Mr Kerry met at the Global Clean Energy Action Forum, where Fortescue boss Andrew Forrest also revealed he had struck a new $80m partnership with the US Energy Department’s National Renewable Energy Laboratory.
“NREL’s dream is to have its green technology commercialised. Our dream is to commercialise their green technology,” Mr Forrest said.
Speaking alongside Mr Bowen, Mr Kerry said he was “delighted that Australia is stepping up not just here today, but in so many ways”.
“It’s a new day for Australia with respect to its leadership on climate initiatives and climate challenges,” the former US secretary of state said.
Mr Bowen responded by saying Australia was “delighted to be back” at the climate table.
“We’ve wasted a decade – we now have not a second to waste,” he said.
“We have a lot more to do. This is not the end, it is hardly even the beginning of the end.”
Mr Kerry described their letter of intent as a crucial signal to the market to “accelerate the rate of transition in the private sector” in a bid to limit global temperature rises to 1.5 degrees.
Mr Bowen talked up the global “climate emergency” as “Australia’s jobs opportunity”.
But the Fortescue Future Industries deal announced by Mr Forrest means 350 research and engineering jobs will now be created in the US.
Fortescue’s North America chief Andy Vesey said the US was “the best place for green hydrogen investment”.