Businesses have been encouraged to provide feedback on the Federal Government’s proposed new $15 billion National Reconstruction Fund after legislation was introduced to Parliament last month.
The NRF is aimed to “support, diversify and transform Australia’s industry and economy, helping to create secure, well-paid jobs, securing future prosperity, and driving sustainable economic growth”.
It will invest across seven priority areas of the economy:
- renewables and low-emission technologies;
- medical science; transport;
- value-add in agriculture, forestry and fisheries;
- value-add in resources;
- defence capability; and
- enabling capabilities.
The NRF is modelled on the Clean Energy Finance Corporation and will be governed by an independent board making independent investment decisions.
It will be able to invest through a range of financing including loans, equity and guarantees.
Prime Minister Anthony Albanese said: “The National Reconstruction Fund will play a key part in ensuring Australia is a country that makes things.”
Industry and Science Minister Ed Husic said the nation-building fund represented one of the largest peacetime investments in our country’s manufacturing capability in living memory.
“It is one way we will realise our ambition to better connect industry to science; to ensure Australian-made discoveries can be commercialised and scaled in Australia,” he said.
Through the consultation period, the Government said it will further define the scope of the seven priority areas for investment and how the fund will make investment decisions.
More information, including the consultation paper, is available here.
Consultation closes on February 23, 2023.