This is the kind of policy the dairy processing sector has been asking for. And we welcome it.

The $5 billion Net Zero Fund is a practical, enabling step toward decarbonising Australian manufacturing and a clear signal that government understands what energy-intensive, regional industries actually need to move faster.

Australia’s dairy processors are ready to act. We’ve already committed to cutting emissions intensity by 30 per cent by 2030. We’ve invested in sustainability, efficiency and innovation for decades. What’s been missing isn’t ambition, it’s the right tools at the right scale.

This fund begins to change that.

It recognises that cutting emissions in manufacturing means upgrading boilers, electrifying process heat, investing in renewable energy, and modernising plants that were built for a different energy system. These are capital-heavy decisions. They require certainty, partnership, and a clear line of sight from policy to project.

We’ve long called for targeted, outcomes-focused support that helps processors modernise while staying competitive, protecting regional jobs and keeping food affordable. The Net Zero Fund has the potential to be exactly that — a lever that turns strategy into action, and action into measurable impact.

We’re ready to work with government to ensure investment flows to projects that reduce emissions, strengthen sovereign manufacturing, and keep value-adding food production anchored in regional Australia.

More: Read ADPF’s submission.