The Federal Government has delivered a significant boost to Australia’s future economic security following announcements this week of measures to strengthen national sovereign capability.

Chemistry Australia and its members welcome these announcements, which demonstrate the Federal Government’s recognition of the valuable role the products of chemistry play in the economy, supporting the health and wellbeing of Australians.

The Australian chemistry industry provides products that are crucial to critical supply chains that underpin our economy. These include:

• Fertilisers and crop protection for farming
• Medical and industrial gases
• PPE, hygiene and cleaning products 
• Explosives and other chemicals used in mining
• Polymers for irrigation piping and water storage
• Water treatment and sanitation chemicals
• Various chemicals and polymers that are essential for building and construction

The announcements ensure there is a strong foundation enabling the business of chemistry to underpin further investment in technologies that provide solutions to our future challenges such as emissions reduction and developing a more circular economy.

The actions announced by the Morrison Government to improve Australia’s competitive position are important to ensure the Australian chemistry industry continues to underpin more than 212,000 jobs across the economy.

Chemistry Australia CEO Samantha Read said the Association welcomes the Government’s plans to make gas work for all Australians and looks forward to the reforms restoring Australia’s competitive advantage.

“We agree with the Prime Minister that affordable, reliable and globally competitive gas is key to strengthening Australia’s sovereign capability and the continued growth and investment in the Australian economy,” said Ms Read.

“The Government’s reforms on supply, transparency, and measures to empower gas consumers are significant and will support the continued viability of Australian manufacturing.”

“We look forward to increased supply of affordable gas via basin development plans and enforcement of ‘use it or lose it’ provisions.”

“We also support Federal Government plans for the development of an inaugural gas infrastructure plan, the establishment of an Australian gas hub, the Code of Conduct and the ACCC’s review of the LNG netback price calculation.”

“These important steps will provide greater certainty for gas-based manufacturing and ensure the Australian chemistry industry continues be a critical enabler of the supply chain.”

Ms Read said the Association also welcomed plans announced by the Minister for Energy and Emissions Reduction, the Hon. Angus Taylor MP, to stabilise the refinery sector, which is critical to chemical manufacturing in Australia. 

“Chemistry Australia recognises the Government’s significant efforts to secure Australia’s sovereign capability through its support of industry,” said Ms Read.

“Yesterday’s announcement of measures to restore confidence in Australia’s refinery industry will provide much-needed long-term security and investment certainty for local chemical manufacturers and their downstream customers.”

“Additionally, the Government’s commitment to deliver affordable energy and electricity is welcomed to reduce costs for households and deliver competitive input costs for our industries.

“We look forward to continuing our work with the Government, industry and other stakeholders to realise the manufacturing-led vision for Australia’s economic recovery.”

The chemistry industry contributes $38 billion per annum to GDP and supplies 108 of Australia’s 114 industries with critical products.