The NSW Government has announced a further $225 million investment to support low-carbon manufacturing projects across the state, aiming to expand local production, attract private investment and create jobs in emerging industries.
The funding, announced by the Minns Labor Government, will be directed towards commercial and construction-ready projects involved in low-carbon manufacturing.
According to the NSW Government, the investment is intended to help businesses manufacture products and technologies needed for a lower-emissions economy, including renewable energy components such as wind towers, solar panels, batteries and transmission cables, as well as low-carbon materials and emerging clean technologies.
The government said the funding will be allocated with a focus on creating skilled jobs, supporting regional economies and attracting private sector investment. Successful applicants will be required to match or exceed government funding on a dollar-for-dollar basis.
The latest funding builds on the state’s Net Zero Manufacturing Initiative, which the government said has already supported more than 40 projects and is expected to create around 1,000 jobs.
Projects backed through previous funding rounds include a solar panel manufacturing facility in the Hunter Valley, a renewables manufacturing hub in Western Sydney, expanded transformer manufacturing for Renewable Energy Zones, increased production of low-carbon housing in Orange, and battery component technology development in the Illawarra.
Minister for Climate Change and Energy Penny Sharpe said the additional funding would support further growth in the sector.
“Our investment in low-carbon manufacturing has already supported the creation of around 1,000 jobs, and this boost will power the next wave of industry and opportunity across NSW,” Sharpe said.
“This additional funding will help ensure NSW does not just import technology, but builds more of it locally to benefit communities and workers.”
Treasurer Daniel Mookhey said the funding was designed to support future industries and employment growth.
“By backing local manufacturing, we are helping build the industries that will power the next generation of jobs and growth in NSW,” Mookhey said.
“We want more of the products, materials and technologies needed for a low-carbon economy to be made right here, using skilled local workers.”
The government also said some projects could help lower manufacturing costs by reducing energy use. One example is a bioenergy facility being developed in Horsley Park that will convert organic waste into renewable gas for use at a nearby brick manufacturing plant, reducing its natural gas consumption by 50 per cent.
Minister for Domestic Manufacturing and Government Procurement Courtney Houssos said the investment would support business expansion and employment opportunities.
“This investment will support manufacturers to grow, create local jobs and strengthen regional economies,” Houssos said.
Business NSW chief executive officer Daniel Hunter welcomed the funding, saying it would help manufacturers expand and compete in future markets.
“The funding will help businesses scale up, invest with confidence and make more of the products the economy will need in the decades ahead,” Hunter said.
Australian Manufacturing Workers’ Union NSW/ACT State Secretary Brad Pidgeon said the state’s workforce was well positioned to support the sector’s growth.
“NSW manufacturing workers have the skills and experience to build the products needed for the future, from renewable energy components to low-carbon building materials,” Pidgeon said.
The NSW Government said the investment will also contribute to the state’s targets of reducing emissions by 70 per cent by 2035 and achieving net zero emissions by 2050.
