Push for space industry in South Australia as Holden closes down

EXCLUSIVE: South Australia’s space industry could be boosted with post-Holden cash, the federal science minister has revealed — with $100m up for grabs.

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SOUTH Australia’s space industry could be boosted with post-Holden cash, Science Minister Arthur Sinodinos has revealed.

The Federal Government is determined to build the nation’s fledgling space industry, motivated by the lure of money, jobs and national sovereignty. $100 million set aside to help automotive businesses transition to advanced manufacturing is set to help.

The Government on Thursday launched an issues paper and consultation process as part of its review of the sector; a review that could eventually mean a national space agency.

This comes as the State Government teams up with the ACT to increase its push for such an agency to be headquartered in Canberra with its operational centre in SA.

They will use Friday’s Council of Australian Government’s Industry and Skills Council to pressure the Government to establish a dedicated agency.

When the $100 million Advanced Manufacturing Fund was revealed in this year’s Budget, Senator Sinodinos made it clear that much of the money would go to Victoria and SA, which are hurting from the automotive industry shutdown.

He said SA was “certainly” one of the states with more existing infrastructure in space-related activities, with “great opportunities”.

“The whole purpose of the fund is to help smooth the transition for automotive assemblers by saying to firms ... we can help you transfer those skills, capabilities, infrastructure into other smart manufacturing activities (like space),” he said.

“I’ve always been an optimist about the future of SA.”

Globally, the sector is worth US$323 billion, and is growing rapidly. In Australia the industry, which mostly comprises niche technologies such as satellites, is worth about $3-$4 billion and employs up to 11,500 people.

The Federal Government wants to develop the domestic industry to reduce our reliance on other countries and to take advantage of the economic benefits.

“There’s a lot of runway there — the question for Australia is to capture that potential opportunity,” Senator Sinodinos said.

“We want this industry framework to kick off the development of a new space industry in Australia so people overseas can see we’re serious about space.”

There are about 60 SA organisations with space-related expertise, and Adelaide is set to host the world’s space experts at the 68th International Astronautical Congress in September.

Defence Industries Minister Martin Hamilton-Smith said SA and the ACT had competitive space capabilities, so they were joining forces to call for an Australian Space Agency.

“Similar to the defence industry, the space sector will deliver opportunities for manufacturers and service providers to transition to a high technology, high-growth sector, creating jobs of the future,” he said.

Senator Sinodinos said the Government’s review would look at the “pros and cons” of a national agency, and of other forms of governance.