Western Australia is pushing to establish a vanadium battery industry, with the State Government committing to a reduced royalty framework and additional funding for industrial areas. The government has pledged to introduce a 2.5% royalty rate for vanadium products, with a zero royalty on vanadium electrolyte. This is seen as a major incentive for companies to invest in downstream processing and development of vanadium electrolyte, a key ingredient in vanadium batteries. The government has also committed $500 million to the state’s strategic industrial areas, bolstering its support for the emerging vanadium sector. The Federal Government’s Critical Minerals Production Tax Incentive will also support the state’s efforts to position itself as a leader in vanadium battery production. With five investment-ready vanadium resources, including the Australian Vanadium project, expected to start production by 2027, Western Australia is well-positioned to capitalize on the growing demand for vanadium and battery production.
WA’s vanadium ambitions take off, driven by its mining sector.
