Hidden within the dense bushland of southern Sydney’s outer suburbs lies a cutting-edge facility operated by SunDrive Solar, an Australian company spearheading a significant technological breakthrough. At this location, SunDrive has developed a proprietary formula that replaces the silver used in solar cells with copper, addressing what they describe as a “high value problem.” This innovation, deemed previously impossible, is set to transform the solar industry. “Silver is expensive, scarce, and environmentally harmful, limiting global solar deployment,” explains Maia Schweizer, SunDrive’s Chief Commercial Officer. “Copper, although also in demand, is 1,000 times more abundant and 100 times cheaper.”
SunDrive is one of the beneficiaries of the Australian government’s Future Made in Australia plan, a policy framework designed to establish the nation as a renewable energy superpower by investing in domestic green industries. The plan, encompassing tax incentives, loans, and grants totaling A$22.7 billion, aims to stimulate the local production of crucial low-emission technologies. Despite the ambitious goals, some experts doubt whether this investment is sufficient to achieve the desired transformation. Additionally, climate scientists argue that Australia must cease its reliance on fossil fuels to play a major role in the global net zero transition.
Historically, Australia’s economy has been driven by natural resources such as coal, gas, and iron ore. However, its abundant critical minerals, essential for low-emission technologies, are typically exported in raw form and processed abroad, primarily in China. This “dig-and-ship” model has relegated Australia to the role of the world’s quarry, missing out on substantial value further along the supply chain. Lithium, a key component in batteries for renewable energy storage and electric vehicles, is a prime example. Despite supplying over half the world’s lithium, Australia captures only 0.5% of the $57 billion global lithium battery market, according to the national science agency.
The Future Made in Australia policy, announced in April, seeks to change this by providing incentives for domestic processing of critical minerals. The government views this as a national security priority, aiming to reduce trade dependence on China and safeguard against supply chain disruptions. Prime Minister Anthony Albanese emphasized the importance of bold and ambitious actions to seize the opportunities ahead, framing the plan as a response to global competitive pressures rather than isolationism.
Queensland-based Alpha HPA is another company aligned with this vision. Specializing in ultra-high purity aluminum products with a lower carbon footprint than overseas competitors, Alpha HPA is building one of the world’s largest alumina refineries near Gladstone, backed by a A$400 million federal loan. This project is expected to create hundreds of local jobs and bolster Australia’s manufacturing capabilities, which have been in decline due to decades of outsourcing to China.
Similarly, SunDrive is converting one of Australia’s oldest coal power stations into a large-scale solar panel manufacturing hub. Despite one in three Australian households having solar panels—the highest rate globally—only 1% are locally made, with China dominating more than 80% of global production. “Every single mineral needed to make a solar panel is abundant in Australia,” notes Schweizer. “For the first time, there’s potential for the entire value chain to be localized.”
The Made in Australia initiative has garnered support from major renewable energy industry groups, which view the investments as transformative. John Grimes, head of the Smart Energy Council, sees it as an opportunity for Australia to become an exporter of climate solutions rather than climate problems. However, critics argue that the government’s concurrent support for gas undermines these green ambitions. Polly Hemming, Director of the Australia Institute’s Climate and Energy Program, points out that ongoing approval of new gas and coal projects sends mixed messages to investors. Furthermore, substantial government subsidies for fossil fuels starkly contrast with the more modest incentives for green industries.
Despite these concerns, proponents like Grimes argue that green hydrogen, a focus of the policy, is essential for decarbonizing Australia’s carbon-intensive mining sector. While some doubt the viability of green hydrogen, seeing it as diverting funds from proven renewable technologies, Grimes views it as a critical step towards reducing industrial emissions.
The government’s new investments are seen as a crucial first step rather than a final solution. Albanese himself acknowledges the urgency, stressing that Australia’s vast potential must be harnessed promptly to avoid being left behind. The country’s natural advantages, including significant wind and solar resources, critical minerals, and a robust mining infrastructure, position it well to become a key player in the global green economy. However, achieving this will require greater investment, particularly in research and development, and a decisive shift away from fossil fuel dependence.
