The Australian Government’s Automotive Transformation Scheme is designed to ensure Australian manufacturers ‘power ahead’ in the global marketplace.
The $3.4 billion scheme is the centrepiece of the Australian Government’s A New Car Plan for a Greener Future.
As of 1 January, it allows innovative Australian businesses to develop the next generation of automotive technologies.
Welcoming the start of the scheme, Innovation Minister Senator Kim Carr said it would equip one of Australia’s most important industries to compete for decades to come.
“The auto industry provides high-wage, high-skill jobs to almost 60,000 Australians. It is a critical part of our broad-based national economy,” Senator Carr said.
Throughout the global economic crisis, the Australian industry outperformed competitors across the OECD – sustaining vehicle production worth $5.7 billion in 2009. Australia is today one of a small handful of nations with the full capabilities to take a car from drawing-board to show-room floor.
“Now is the time to capitalise on those capabilities,” Senator Carr said. “The Automotive Transformation Scheme will help vehicle and component makers get cleaner and greener products to market.
“Innovation is our great competitive edge – and with the right support, our vehicle and component makers can be world leaders.“
Assistance is capped at $1.5 billion for Stage 1 (2011 to 2015) and $1 billion for Stage 2 (2016 to 2020), complemented by an estimated $847 million in uncapped assistance for the production of vehicles from 2011 to 2017.
The scheme is governed by rigorous conditions and reporting requirements to ensure taxpayers receive value for money.
Participants need to demonstrate their commitment to sustainable business operations, building workforce skills and improving environmental outcomes.
The scheme is being delivered by AusIndustry, the Australian Government’s principal business program delivery division in the Department of Innovation, Industry, Science and Research. For more information on how the Government is assisting Australian industries, visit www.innovation.gov.au.