The Economic Perspective 12 September 2025

The Latest Trending Economic News Curated for You by Balmoral Group Australia

Good morning dear readers, 

This week, we’re highlighting key sectors driving Australia's low-emissions, innovation-led economy: industry, solar and iron. In our first article, the government have released round 2 of the Solar Sunshot program, funding scale-ups and advancements in solar panel manufacturing aiming to build domestic capacity and strengthen the fledgling sector.

Our second article provides an analysis of climate action in response to a new cost estimate by the Business Council, contributing to the ongoing conversation around the government's upcoming emissions target.

In the third article, we explore Australia's mineral opportunities. Green iron, ideally produced as direct-reduced iron using green hydrogen, can be the future for Australian exports if done correctly. Lastly, the constrained global supply of antimony has created space for Australia to become the next global supplier.

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Hope you enjoy the articles and have a great weekend!

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$150 million boost for homegrown solar manufacturing 

The $1 billion ‘Solar Sunshot’ program has now progressed into round 2, titled ‘Inputs to modules and deployment’ and worth $150 million. Funding supports projects that scale-up, advance and automate manufacturing, strengthen supply chains, and lower cost through innovation. Most solar panels are imported despite Australia leading the global race in installation per capita, and the government hopes to rectify this by building domestic manufacturing capacity. Read more here.

Rapid climate action will come at a cost, according to the Business Council. But experts say the benefits are far larger 

This article weights up the pros and cons of climate action in light of a new $500 billion cost estimate. Other estimates of benefits and costs are multitude; figures from the Business Council, ‘Business for 75%’, the Treasury, and the 2006 Stern Review point towards climate action as net beneficial. Trends including the steadily increasing efficiency of low-emissions technology, potential unchecked damages of climate inaction, and action avenues for Australia in green iron and solar energy are also explored. Read more here.  

Rising potential of stibnite to secure critical mineral supply chains 

Australia has significant reserves of Stibnite. These stibnite deposits are a key source of antimony, a critical mineral prized by the US, the EU, Japan and Canada for its use in hardening lead and manufacturing semiconductors, solar panels, military-grade alloys, and more. With China, Russia and Tajikistan accounting for 90% of global supply, and geopolitical tensions rising, Australia could position itself as an alternative, stable supplier, if we can develop the necessary processing infrastructure. Read more here.  

Which DRI solutions can deliver green iron for Australia? 

Direct-reduced iron (DRI) is the future of green iron production, but some production methods are greener than others. The Institute for Energy Economics and Financial Analysis argues that carbon capture and storage (CSS) has seen little success and “blue” hydrogen (produced with fossil fuels and CSS) has similar deficiencies, and gas DRI is too emissions intensive. Green hydrogen DRI is the clear path, but implementation is costly, making it necessary for plants to start with mixed capacity, gradually replacing fossils with hydrogen. Read more here.

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Electric Arc Furnace Global Capacity 

The Global Energy Monitor collates data on all things energy, from iron and coal to solar and hydrogen, including ‘electric arc furnaces’ (EAFs). The following map represents global capacity for EAFs, which are low-emissions alternatives to traditional blast furnace-basic oxygen furnaces (BF-BOF). Note Australia’s lagging position.

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