The WA Government hopes to create a preferential option for domestic steel in infrastructure projects. Photo: Alvaro Gonzalez.
The Cook Labor Government in Western Australia is moving to diversify the state economy with increased domestic manufacturing, opening a new expression-of-interest campaign for local green steel for use on major state projects.
In an effort to value-add to raw iron exports, the government is also investigating the export of green iron and green steel, part of its Made in WA plan, with support currently being provided to projects in Kwinana, the Pilbara and the Mid West.
The government said using green steel for government projects also provided an additional opportunity to develop a domestic green steel-recycling industry, with decommissioned mining and offshore oil and gas plants as feedstock.
“Locally made green steel is a key part of my vision to become a renewable energy powerhouse and make more things here,” Premier Roger Cook said.
“This announcement is a signal of intent to this new green steel industry – we want you here.
“We want to decarbonise, and we want the jobs it creates to kick off a whole new industry for WA by using the power of government procurement.”
Green steel could be used for many large-scale government works, including roads, transmission lines and railways, and in the construction of major projects such as hospitals.
The government said an “If not, why not?” approach would be key to new local sourcing requirements, which would set up a preference for domestically made green steel.
The following initiatives and measures will be vital in supporting this:
- Increasing the supply of local steel for government projects across various sectors, such as clean energy, transport and health;
- Releasing an expression-of-interest campaign for a green steel project to supply such projects and programs;
- Issuing directions to Horizon Power, Western Power and Synergy under the Government Trading Enterprises Act 2023 to drive local procurement;
- Publishing a Western Australian Industry Participation Strategy (WAIPS) Addendum specifically regarding steel, to introduce stronger expectations for domestic sourcing, insist on assessments focused on value for money, and recognise the role of low-emissions and recycled steel.
Minister for Energy and Decarbonisation, and Manufacturing Amber-Jade Sanderson said: “We promised action on green steel, and we are delivering.
“This is a clear signal to proponents and manufacturers that the Cook Labor Government is determined to set up a green steel industry.
“It will create jobs, diversify the economy, and provide the green steel products for projects that will shape Western Australia, from hospitals and transport to housing and energy infrastructure.”
The measures intend to give producers the confidence to invest, create employment in the steel sector and build a strong industrial base for Western Australia.
