To fund the Whyalla steelworks’ operations during administration, for approximately six months. This funding is critical to ensuring workers and contractors will have ongoing work at the steelworks and will continue to be paid.

Acknowledging the likelihood of an extended sale process, a further $384 million is provisioned in 2025-26 on the basis that the Commonwealth Government will agree to continue to contribute on a 50:50 basis.

To support a new owner to invest in the necessary upgrades and new infrastructure which will be vital to ensuring the steelworks has a sustainable, long-term future.

To prioritise securing the steelworks’ future, the government will defer the implementation of its Hydrogen Jobs Plan and reallocate funding for the new hydrogen production facility to this initiative.

To provide immediate on the ground support for the Whyalla community through a targeted emergency response package that provides financial relief for South Australian businesses, invests in infrastructure upgrades and supports impacted employees and workers.

Specific measures under this package include:

SOUTH AUSTRALIAN BUSINESS CREDITOR ASSISTANCE SCHEME

$50 million in 2024-25 to provide grants of up to $5 million to support the continued operation of eligible South Australian businesses that have been directly impacted by OneSteel being placed into administration.

WHYALLA SMALL LOCAL BUSINESS SUPPORT

$7 million over two years to support small local businesses in Whyalla impacted by the administration of the steelworks. Support includes:

• providing $10 000 grants for eligible small businesses operating in Whyalla experiencing a 20 per cent or greater reduction in turnover compared to the previous year
• a dedicated small business support team
• financial advisory services
• legal support and services
• deferral of 2024-25 state taxes and government business charges for up to 12 months
• establishing the Whyalla Special Economic Zone to incentivise greater involvement of local suppliers in state-funded procurements in the region.

WHYALLA SURF CLUB AND CAFÉ

$2.5 million in 2024-25 to fund upgrades to the Whyalla Surf Club and Café, which together with other available funding takes total government support to $5 million.

WHYALLA AIRPORT UPGRADE

$30 million over two years to ensure aviation services can continue to Whyalla following the replacement of Qantas’ existing fleet with larger and faster aircraft from February 2025. The upgrade will strengthen the airport’s runway to enable larger, heavier aircraft to land safely.

WHYALLA WORKFORCE SUPPORT

$7.6 million over three years to support the Whyalla workforce impacted by the administration of the steelworks, including:

• Spencer Gulf Jobs and Skills Hub
• free accredited training to workers and contractors from the Whyalla steelworks and its supply chain
• career transition service
• apprentice retention program.

WHYALLA COMMUNITY SUPPORT

$2 million over two years to support the local community to navigate the current challenges in Whyalla, including:

• appointment of a Whyalla Regional Coordinator to lead the coordination of the emergency response, and liaise with the community, employees and businesses to connect them with key support services
• mental health and family support services.

CUTTLEFISH EXPERIENCE PROJECT

$100 000 in 2024-25 for a study into design options for the Cuttlefish Cove Experience.