Statement of Expectations

Dear Mr Quigley,

Science and innovation are core to the Albanese Government's vision for Australia. As the nation navigates geostrategic shifts, the transition to net zero and rapid technological change, our sovereign science and research capability is more important than ever.

Innovation underpins our efforts to make Australia's economy more productive, resilient and diverse. We need to continue to reorient the economy toward productive and strategically important activities. The Government's Future Made in Australia agenda seeks to maximise productivity and industrial opportunities arising from the net zero transition, and to secure Australia's position in a rapidly changing global landscape.

ANSTO is well-positioned to contribute to these efforts, through delivery of nuclear science and technology products and services and applied research aligned with national priorities.

To contribute to a Future Made in Australia, ANSTO should focus on four core activities:

Running the OPAL nuclear reactor safely and securely: I expect ANSTO to operate OPAL for versatile uses including advanced medical and industrial applications and innovative research in health, minerals analysis and materials science, to help strengthen Australia's economic security.
Manufacturing medical isotopes to support improved health outcomes for all Australians: I expect ANSTO to deliver nuclear medicine and diagnostic products efficiently, reliably and safely. ANSTO should continue to support applied research on precision and novel nuclear medicines. I also expect ANSTO to continue developing its nuclear medicine manufacturing capability, with a focus on timely and cost effective delivery of the Nuclear Medicine Manufacturing Facility.
Managing waste responsibly as part of sovereign supply chain solutions: I expect ANSTO to work with relevant agencies, including the Australian Radioactive Waste Agency, to appropriately address nuclear and other waste, to ensure ANSTO can continue its manufacturing and research operations.
Making nuclear infrastructure available for research: I expect ANSTO to undertake its own research associated with ANSTO's core priorities and make infrastructure available for use by third parties where appropriate to back Australian ideas, innovation, technology and science.

Through these activities, I expect ANSTO to support economic resilience and the net zero transformation, including through advanced materials and critical minerals. I expect ANSTO to focus on nuclear science, technology, and innovation that supports national resilience and productivity. This includes applied research, technical solutions and advice to support Australia's critical minerals processing industry and advance Australia's defence capabilities through AUKUS. To this end, I expect ANSTO to undertake an analysis of how it could best support Australia's critical minerals processing industry.

More broadly, Australia's National Science and Research Priorities identify the science and research collaborations Australia needs to solve our greatest challenges. ANSTO should continue to consider how it can respond to these priorities in its areas of expertise.

I acknowledge ANSTO's independence as a corporate Commonwealth entity and ask that it deliver on the above priorities in accordance with the expectations outlined below.

1. Innovation through partnerships and collaboration

I expect ANSTO to collaborate across the Commonwealth and Australia's innovation system, supporting its partners to drive improved productivity and economic resilience and security, in line with the Government's priorities. ANSTO should foster partnerships that enable the translation of research into practical solutions and new capabilities that address the priorities outlined in this statement. This includes engaging with other science agencies in areas where Australia can build enduring advantage within a net zero economy, such as critical minerals processing. It should remain globally engaged on nuclear science issues, including emerging nuclear technologies, focusing on those aligned to the Government's priorities. It should maintain complementarity and avoid duplication with other initiatives.

2. Sovereign science and research capability, including infrastructure

I expect ANSTO to ensure its operations and activities, including research activities it undertakes and supports, align with national priorities. I also expect ANSTO to manage its scientific and research infrastructure to promote and preserve Australian science capability. This includes efficient and productive use of ANSTO's OPAL reactor.

Operating infrastructure at the standard and scale required for impactful science demands coordinated, strategic and long-term national planning. As current facilities age and next generation technologies grow in scale, cost, and technical complexity, it is essential that ANSTO maintains infrastructure that is fit-for-purpose, safe and secure. In the context of financial sustainability and stewardship, ANSTO should regularly forecast future costs of current and future infrastructure needs and undertake whole-of-life planning for all infrastructure.

3. Enduring and sustainable operations

It is essential ANSTO's operations are financially sustainable over the long-term. This will require the Board and Executive to clearly prioritise activities and the allocation of resources. In accordance with the Public Governance, Performance and Accountability Act 2013 (PGPA Act), ANSTO must use resources in the most effective and efficient manner, supporting national priorities without overlap or inefficiency. I expect ANSTO to demonstrate disciplined financial planning and work to monitor expenditure, identify efficiencies and manage resources responsibly.

ANSTO should explore how it could leverage its Synroc technology and knowledge acquired building its first-of-a-kind waste treatment facility to provide a financial return. Where necessary, ANSTO should make safe and informed decisions to deprioritise non-essential work. Activities such as providing advice outside of the Australian Government or consulting services should only be undertaken when they do not detract from ANSTO's core activities and are, at minimum, cost neutral. To build capability internally and make prudent use of financial resources, external consultants should be used sparingly and only when they can provide meaningful expertise that ANSTO does not possess and is likely not to need in the future.

4. Effective governance, safety and people management

The ANSTO Board and Executive should demonstrate strong leadership and accountability to deliver outcomes for the Australian people. This includes operating in line with the functions and requirements outlined in the Australian Nuclear Science and Technology Organisation Act 1987 (ANSTO Act) and PGPA Act and, applying rigorous governance, ethical conduct, transparency and accountability. ANSTO should model best practice sustainability and act as a model employer, fostering a respectful, inclusive and high-performing workplace. I also expect ANSTO to help rebuild Australian skills in precision design and fabrication by directly employing trade and technical apprentices and trainees. ANSTO has an important and strategic role in building the specialist nuclear workforce to meet future skills demand for the AUKUS submarine program.

I expect the ANSTO Board and executive management to maintain the highest safety standards across the organisation. This includes managing radioactive waste and disposal in compliance with the ANSTO Act and government policies. It also includes ANSTO proactively engaging with its health and safety obligations under the Work Health and Safety Act 2011 (Cth) to ensure the health and safety of workers and others. I also expect ANSTO to be exemplary in complying with regulatory requirements.

To protect its operations and the value of its research, ANSTO should ensure its cyber security, research security and intellectual property protections are robust and effective.

5. Working with my office and the Department of Industry, Science and Resources

ANSTO should maintain close coordination with my office and department. This includes providing timely notice of major announcements or events that may attract media or stakeholder attention. It also includes early consultation on significant public documents, including corporate plans and annual reports.

I look forward to working with you and to receiving your response outlining how the Board proposes to deliver on the priorities set out in this statement.

Yours sincerely

Tim Ayres MP