Press conference, Black Hill, Hunter Valley, NSW

MERYL SWANSON: Good morning, everyone. Well, Paterson and indeed beautiful Black Hill has turned on a glorious morning here, and I want to all welcome you as we stand here on the land of the Wonnarua and pay our respects to our First Peoples and anyone here who is First Nations as well. Thank you for being here.

It is a really auspicious and important day here in the Hunter, and I'm absolutely delighted to welcome not only Dr Shi and all of those people involved with Sunman, but also the Minister for Climate Change and Energy and my colleague, Chris Bowen, as well as my other colleagues, the Minister for Hunter, Yasmin Catley, my friend and parliamentary neighbour, Sharon Claydon, the Member for Newcastle, and my other state neighbour, Sonia Hornery, the Member for Wallsend. And I think that is just an indication of how important a project like this is, quite frankly not only for Paterson and the Hunter region, but for the country as a whole, certainly for the east coast energy grid. And I just want to acknowledge the ingenuity, the brainpower, and now the solar power that is going to be coming into our region. So thank you for believing in our region. We have been the home of ingenuity and manufacturing and energy time immemorial, so it is just a common sense fit that we would continue that. 

This is the future for energy, and I can't think of a more brilliant place to do it. So thank you for being here. And I'm enormously proud to be part of a government that is wrapping its arms around this sort of technology. Chris will talk more about it, but it really is quite phenomenal when you hear about how it works and how it's going to provide energy for our industry and for our communities alike. Thanks everyone, one and all. 

CHRIS BOWEN: Thanks, Meryl. Well, a Future Made in Australia, a Future Made in the Hunter, takes a big step forward today. Where we're standing today will be the Hunter Valley Solar Foundry. It will produce 800,000 modules each year, which is a substantial proportion of Australia's solar panel use. It's right and proper that the Hunter, which has powered Australia for so long, will be centre of our Future Made in Australia. So congratulations Dr Shi and the Hunter Valley Solar Foundry, and the Albanese Government and the Minns Government partnering with you to make this job-creating opportunity a reality.

Australia leads the world in rooftop solar, the highest rooftop solar penetration in the world. We've also led the world in ingenuity, in inventiveness, primarily under the leadership of Dr Martin Green at the University of New South Wales, and Dr Shi is one of Dr Green's most famous students. Dr Shi learnt his profession here in Australia, and now he's bringing that job-creating opportunity back home to Australia. We've been missing the middle part. We invented the modern solar panel. We store solar panels. We've been missing, by and large, the middle part of manufacturing solar panels. One per cent of the solar panels we put on our roofs have been made in Australia, in South Australia. Now, we're expanding that. We're expanding it in South Australia. We've already announced our support for Tindo in South Australia. We've already announced our support for 5B in South Australia. And today, under Solar Sunshot, we're announcing our support for the Hunter Valley Solar Foundry.

Under the Solar Sunshot program, which we announced a couple of budgets ago, this $151 million investment by the Albanese Government, supported by an investment by the Minns Labor Government, which I'll invite Minister Catley to say a few words about. That, combined with the private investment, makes this a reality. It means that we'll have a bigger and better solar panel manufacturing industry in Australia, as we always should have, and as we will under an Albanese Government, in partnership here with the Minns Government, a real partnership with the private sector, employing 100 Hunter Valley locals into the future, operational from 2027. This is a big step forward for a Future Made in Australia, a big step forward for a Future Made in the Hunter, and a very good day for Australian manufacturing.

I'm going to invite Yasmin to say a few words, then Darren Miller on behalf of ARENA, then Dr Shi. They’ll each confine their remarks to an hour each. Just joking. And then, we'll come back and I'll steer questions. Thank you.

YASMIN CATLEY: Thanks so much, Chris, and thank you all for being here. It really is a momentous day here today. As is well known, the Hunter has powered this state for decades and decades. And as we have said all along, as we know that we have to transition to the renewable economy, our power stations are at the end of life. And we made it very clear. We knew that renewable energy would bring jobs, great manufacturing jobs, right here in the Hunter. And we stand here today witnessing exactly that. These are great jobs, well-paid jobs, well-skilled jobs, right here in the Hunter. They have been delivered through ingenuity of technology, through tenacity of making sure that we get the best product, a world-class product that we will be manufacturing right here in the Hunter region. A product that not only will be used across this country, but is exportable. And I see the real vision here of using our ingenuity, our labour power, so we're using our smarts, our manufacturing capacity to send products around the world that are made right here in the Hunter, because no one knows how to deliver energy better than we do. We've been doing it for so long.

It's only because of collaboration with the Federal Government, the State Government, and industry, and as we heard, the University of Newcastle as well, that we can get these types of products off the ground. We in the Hunter have always been up for collaboration, but we do it best when we work together, and that is exactly what is being delivered here today. We're very proud, the Minns Labor Government, to partner the Federal Government to deliver projects like this. As I said from the get-go when we talked about delivering renewable energy, we said it will bring jobs, and today marks that significant progress. There is so much more to come. Proud to be here today on behalf of the New South Wales Government. Very proud to be the Minister for the Hunter and standing with my minister colleagues. We welcome you of course, Minister. But this really is the beginning of what the Hunter will become, of manufacturing right here the energy of the future. Thank you.

DARREN MILLER: Well, thank you. It's wonderful to be here on the land of the Wanneroo, and I pay my respects to Elders past and present. Thank you, Minister Bowen, for your incredible support for ARENA and for the project, Yasmin, for your New South Wales Government support, and the other members and the local MPs.

Well, it's terrific to be here today to announce this opportunity. Solar is the future of renewable energy, not only in Australia but globally. Many people will tell you that solar is going to be the largest single source of generation in the years to come as the world heads towards net zero, and there's no place better positioned to take advantage of that and to make that happen in Australia. As Minister Bowen said, we've been incredible in Australia at R&D. We've been fantastic at deployment, and now we get to play our fair share and take an opportunity in the middle sector, the manufacturing of the critical components that go into the deployment of solar globally.

ARENA will be providing production credit support and upfront support, in total up to $151 million for this up to 500-megawatt facility over many years, and that'll see this facility get up and going and be successful through to the future when this ARENA support concludes in about seven years’ time. ARENA has provided now about $900 million over our life to solar innovation right throughout Australia and $770 million of ARENA's funding today, it's not just in solar but across the board, has been right here in the Hunter, and it's fantastic to be here today to see the beginnings of this next opportunity. Thank you very much to Dr Shi for your vision and for your commitment and your courage in bringing this opportunity to Australia, and thank you to the ARENA team and the whole Sunman team who've worked very closely together for months now to bring this to fruition. So thank you very much.

SHI ZHENGRONG: Good morning. Thank you all to be here. It's wonderful to stand here today at the launch of Hunter Valley Solar Foundry. I'd like to start by acknowledging and I thank our guests today, including the Hon- Meryl Swanson MP, Federal Member of Patterson and the local member for the Hunter Valley Solar Foundry; the Honorary Minister Chris Bowen MP, Federal Minister for Climate Change and Energy; and the Honorary Minister Yasmin Catley MP, New South Wales Minister for the Hunter; and then Darren Miller, CEO of ARENA.

I’d also like to thank you all for joining us today for what is an important milestone in Australia's energy transition. As a proud Australian and a solar graduate from the University of New South Wales, this moment feels like my solar journey has come full circle. Many of you know I began my solar career here in Australia as a PhD student at the University of New South Wales. Actually, this year is my 36th anniversary of solar career. Those early years shaped my belief that solar energy could transform the global energy system. I carried that belief with me when I founded Suntech and later Sunman Energy, building advanced solar manufacturing capabilities overseas. Today I'm back home, bringing that experience and innovation to Australian soil. This occasion feels like a homecoming for me.

The Hunter Valley Solar Foundry in Black Hill, New South Wales is more than just a factory. It's an ambitious initiative to kick-start advanced solar manufacturing in Australia, thanks to the backing of the Australian Government's Sunshot solar program with ARENA providing up to 151.5 million, and the support of the New South Wales Government with up to 20 million being provided under the renewable manufacturing fund. This facility produces a range of next-generation photovoltaic modules, from innovative glass panels to revolutionary lightweight designs such as eArc technology right here in the Hunter, as you can see.

This project is not just about technology, it's about people and community. By establishing this foundry in the Hunter, we will create hundreds of jobs, about 200 jobs during construction period and 100 ongoing roles as operations [inaudible]. To ensure local people benefit, we are partnering with training providers to equip workers with renewable energy skills, including targeted training programs and scholarships. And by encouraging local supply chains in the Hunter, we are positioning this region not just as part of Australian energy transition, but as a leader in clean energy manufacturing. Australia has long been a global innovator in solar technology, now we have the chance to convert that innovation into sovereign capability, industrial growth and a long-term economic value.

The Hunter Valley Solar Foundry is a decisive step in that direction. It shows that Australia can move from being a consumer of renewable energy technology to becoming a manufacturer and a global leader. Imagine Australia as a green manufacturing superpower. That vision is within reach. I'm proud to help bring solar manufacturing back to Australia, and I am so excited that we are doing it here in the Hunter Valley This is the beginning of something much bigger, the industry that will create new opportunities, building resilience and foster a new generation of clean energy expertise for decades to come. Thank you.

CHRIS BOWEN: Thank you Dr Shi, and congratulations again. All right, now we'll take questions - well, I suggest we do it, we'll take questions on this announcement between those of us who are here. We'll take questions relevant to us. Then Mr Miller and maybe Dr Shi might want to step aside and I'll take questions of the day with Minister Catley. Questions on this announcement 

JOURNALIST: How are you remaining competitive amid global pressures with this kind of manufacturing?

CHRIS BOWEN: Dr Shi might like to add, but it's partnership between government and the private sector. Around the world, governments are partnering with their private sector to make renewable energy manufacturing a reality. Australia has to compete in that environment, and that's what we're doing. Anything to add, Dr Shi, about Australia's competitiveness? 

SHI ZHENGRONG: Yes. You know, in the beginning, I think federal and state government support in $151.5 million support is essential for this venture to going forward. And we believe with training of our workforce and the continuous innovation and the local customers' support, I think the venture will do well in the future. Thank you.

CHRIS BOWEN: Okay, questions of the day.

JOURNALIST: Do you support keeping Eraring open beyond 2027 to avoid blackouts?

CHRIS BOWEN: Well, there was a very important report out by AEMO yesterday, and Australians can take confidence in that we are managing this transition so carefully. AEMO's report yesterday went to issues of system strength and inertia. So not about how much electricity we have in the grid, because we have increasing amounts of renewable energy in the grid. And November, which we just finished, is the second month in Australian history where renewables supplied 50 per cent of our national energy market. That's the first time by definition, the first time two months in a row. So we have plenty of electricity, we do have to manage inertia and system strength. There are ways that can be done through synchronous condensers and grid forming inverters. That work is occurring. The New South Wales Government's doing good work with Transgrid on the synchronous condensers side of it. We'll manage it very carefully. We'll manage it, the New South Wales Government, Origin Energy, Federal Government and AEMO will manage this transition very, very carefully. There's plenty of electricity in the system. We need to make sure there's enough system strength, and the report out yesterday is in many ways a very positive report. It shows that New South Wales can work coal-free in due course. It shows that South Australia can now, for example, work with no problems in system strength. We have more work to do. We've always said that when it comes to grid-forming inverters and synchronous condensers, and that work is happening.

JOURNALIST: Eraring's closure date has been well known for years. How are we in a situation where crucial technology to stabilise the grid won't be in place before the coal plant closes?

CHRIS BOWEN: Well, with respect, I think Eraring's closure date was 2032, as I recall. Then it was brought forward to 2025 and then it was put back to 2027. So it has moved around in terms of- over the years in terms of being ready. But I just refer you to my previous answer. Our governments are working together. We need to ensure grid-forming inverters, synchronous condensers and other things are in place. There's lots of demand around the world because the world is undertaking this transition. So it's not like you ring up and order a synchronous condenser on Amazon Prime and it comes the next day. That's not the way it works. There's a very tight supply chain around the world, and we're part of that supply chain.

JOURNALIST: Do you think other states will extend the lives of their coal-fired power stations as well?

CHRIS BOWEN: Well, I mean, you've seen announcements. Gladstone's been brought forward recently. The Victorian Government has confirmed its timetable for the closure of its coal-fired power stations. Western Australia's proceeding with the closure of its coal-fired power stations. There aren't any in South Australia. So we'll always ensure that a coal-fired power station closes not a day earlier than it can and not a day later than it should. We've got that right in the past and we'll continue to get it right in the future.

JOURNALIST: More people are contacting energy providers asking for special arrangements with energy bills, financial hardship assistance to families raising 50 per cent in three years, affecting around 200,000 households. You said you'd bring energy prices down. When will this figure go down?

CHRIS BOWEN: Well, we're already seeing - obviously, there's a lot more to do in energy prices. We've made that very clear. We're pleased we're seeing wholesale prices tumble, including in November. We've got more work to do to ensure that flows through to retail prices over the course of the next 12 months as best as possible. Wholesale prices are about a third of the input to retail prices. We have a plan to do that. We've introduced solar sharer, we've introduced other reforms to the default market offer to ensure the deals are as good as possible for consumers. We'll continue that work, and if there's a debate about energy prices between the two major parties over the next 12 months I'll welcome that, because we have a plan prices down and they have a plan to put prices up.

JOURNALIST: And the figures from the regulators show many Australians are crippled with energy debt and are struggling to afford bills. What's your message to them over Christmas?

CHRIS BOWEN: More to do. We are seeing downward pressure as a result of more renewable energy. Renewable energy is the cheapest form of energy. Deniers and delayers deny that. Every economist and scientist acknowledges it. The CSIRO knows it. And that's why we've got to keep going.

JOURNALIST: And what role do you think Snowy Hydro could play in keeping Tomago open beyond 2028?

CHRIS BOWEN: It's no secret that Minister Ayres and I have been in discussions with Tomago to see what could be done. I'm not going to comment in detail about those discussions but we have Snowy, we have CEFC, we have other government agencies that we have been looking at to see whether we can’t provide more renewable energy to Tomago. Tomago's management said when they announced that they were considering Tomago's future, the problem is there's not enough renewable energy. Not that there's too much, there's not enough. We agree with that, so let's look and see what more we can do. That's what Minister Ayres and I have been doing. Any other questions?

JOURNALIST: The Prime Minister and yourself were up at Waddell Power Station last year to announce plans for a solar manufacturing plant up there. Is that still happening?

CHRIS BOWEN: Yeah. ARENA's still in discussions with SunDrive, and SunDrive's still progressing their various plans. We'll have more detailed announcements when they're ready. Quite separate to today's announcement. Today’s announcement, congratulations again to Hunter Valley Solar Foundry for taking this next step.