The House of Representatives Standing Committee on Primary Industries will convene its first public hearing on Thursday, 26 March, as part of an inquiry examining the social licence and economic development outcomes shaping Australia’s critical minerals sector.
The session will feature testimony from the Department of Industry, Science and Resources (DISR), which has made a detailed submission outlining the sector’s growing role within the federal government’s $22.7 billion Future Made in Australia Plan (FMA).
In its submission, DISR emphasised the importance of the critical minerals industry to Australia’s long-term economic resilience and its alignment with national interest goals.
DISR stated that “critical minerals are a cornerstone of the FMA, with critical minerals processing identified as a priority under the National Interest Framework due to its supply chain vulnerabilities”.
The submission also highlighted dual pathways for growth, namely through increased raw exports, and expansion into downstream refining and processing, where greater value can be captured domestically.
The department’s evidence is expected to provide committee members with insights into how the government’s industrial policy can balance economic growth with social and environmental considerations.
Committee Chair Meryl Swanson said the inquiry will play a crucial role in guiding how Australia manages the economic promise and practical challenges posed by critical minerals development.
“Critical minerals are a cornerstone of the modern economy—critical to developments in AI, defence and renewable energy,” Swanson said.
“They present enormous opportunities for Australia, but also real challenges.
“Ensuring the social licence of critical mineral projects will be key to maximising benefits while minimising impacts.”
The committee will examine factors influencing community support, environmental performance, and regional development outcomes linked to critical minerals projects.
These materials (including lithium, cobalt, and rare earth elements) are central to green technologies such as batteries, wind turbines, and solar panels, as well as defence and advanced manufacturing applications.
Ensuring local communities benefit from project investment and that environmental impacts are carefully managed has become a key priority for government and industry alike.
The inquiry comes as global demand for critical minerals grows rapidly, driven by decarbonisation efforts and geopolitical competition for secure supply chains.
Australia holds some of the world’s largest reserves of these resources, placing it in a strong position to supply the clean energy transition.
However, questions around regional engagement, environmental sustainability, and equitable value-sharing continue to shape the policy debate around the sector’s expansion.
The committee’s inquiry aims to build a comprehensive understanding of how regulatory settings, industrial policy, and community partnerships can support both national strategic goals and sustainable local outcomes.
