The Australian and South Australian Governments have announced a multi-billion-dollar package to support Whyalla Steelworks, aiming to safeguard jobs and encourage investment in domestic iron and steel production.
Whyalla Steelworks currently employs 1,100 workers and supports over 2,000 indirect jobs. As one of only two steelworks in Australia, it produces 75% of the country’s structural steel and remains the sole domestic producer of long steel products.
The funding initiative aligns with the Australian Government’s Green Iron Fund, designed to strengthen green iron manufacturing and supply chains. This fund aims to accelerate early-stage green iron projects and attract private investment in sustainable steel production.
Steel from Whyalla plays a vital role in infrastructure development, contributing to projects such as railways, bridges, schools, hospitals, and high-rise towers. Additionally, the steelworks is expected to play a key role in advancing green steel manufacturing, which is becoming increasingly important as industries move toward decarbonization.
The $2.4 billion support package will be allocated in three key areas:
- Immediate operational support to stabilize the steelworks.
- Long-term investment to upgrade and modernize the facility.
- Green steel transformation through up to $500 million from the Green Iron Investment Fund, with additional financing available for future partnerships in sustainable steel production.
“This investment ensures the future of the steelworks and supports local jobs,” said Prime Minister Anthony Albanese. The South Australian Government will contribute funding initially set aside for the Hydrogen Jobs Plan, alongside $50 million from the Whyalla Steelworks Operational Efficiency Improvements Fund.
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