The Albanese government has announced a significant $233 million funding injection for Australia's national science agency, the CSIRO, as part of its mid-year budget update released on Wednesday.
Budget boost for critical research
Treasurer Jim Chalmers confirmed the financial lifeline on Wednesday morning, just a month after the Commonwealth Scientific and Industrial Research Organisation revealed plans to slash 350 positions due to budget pressures. The funding is earmarked to support research in areas deemed vital for the nation's future.
Science Minister Tim Ayres stated the money would "safeguard and strengthen research and innovation in areas critical to Australia's future prosperity and security." He emphasised the government's commitment to backing the CSIRO as it tackles major challenges, from global uncertainty and technological change to the transition towards a low-carbon economy.
Funding won't halt planned job losses
Despite the substantial cash boost, the $233 million is not expected to save any of the 350 jobs scheduled for elimination next year. The agency is currently consulting with staff on the specific positions to be cut, with its environmental research unit facing the heav losses of up to 150 roles.
The CSIRO is pivoting its focus towards several high-priority fields, which include:
- Artificial intelligence, quantum sensing, and robotics
- Critical minerals and developing Australia's supply chains
- Climate change adaptation and resilience
- Technological solutions to boost agricultural productivity
- Mitigating and eradicating biosecurity threats
Addressing a massive maintenance backlog
The funding announcement follows revelations of a severe infrastructure crisis within the agency. CSIRO chief executive Doug Hilton recently disclosed a $280 million repair and maintenance backlog, with more than 80 per cent of its 840 buildings considered past their technical lifespan.
Dr Hilton highlighted that repairs to just one facility, the Australian Centre for Disease Preparedness in Geelong, would cost an estimated $1 billion. He also noted the agency requires between $80 million and $135 million annually for the next decade to address maintenance, equipment upgrades, and cybersecurity needs.
The CSIRO's annual budget allocation sits around $1 billion, which has been increasing by approximately 1.3 per cent per year—a rate below inflation, effectively representing a cut in real terms.
Treasurer Chalmers defended the new funding, stating, "The future of our economy and our nation's productivity depend on the pioneering research the CSIRO does in these fields, which is why this funding boost is so important." This $233 million top-up comes after an additional $45 million was provided in the March budget.
The mid-year economic and fiscal outlook (MYEFO) is also set to reveal a slightly smaller deficit of $36.8 billion for 2025-26, aided by $20 billion in savings, including $1 billion from reprioritisations across the Australian public service.
