More gas, low-emission technologies and critical minerals will power Australia's economic growth and energy future, according to the budget blueprint.
Some 140 categories of low-emissions technologies will get access to new tax concessions, under expanded "patent box" arrangements set out in the budget released on Tuesday.
Funding for more than 60 community microgrids in regional and remote areas will mean more Australians can access solar and wind power.
Grants and subsidies for liquid hydrogen, carbon capture and storage, batteries and large-scale solar will continue as part of the $22 billion spend on low-emission technologies through to 2030.
"A low-emissions future with reliable and affordable power is critical to our plan for a strong economy," Treasurer Josh Frydenberg told parliament.
Resources Minister Keith Pitt said Australia is also responding to global demand for gas and critical minerals.
The 2022 budget includes $200 million over five years for a Critical Minerals Accelerator Initiative for early to mid-stage projects that will produce the ingredients needed for electric vehicles and a carbon neutral global economy.
Some $50.5 million over three years will fund a virtual National Critical Minerals Research and Development Centre to build capability in critical minerals processing and supply chains.
"These new initiatives build on previous budget measures to help resource companies gain entry to new export markets and unlock vast gas reserves," Mr Pitt said.
To temporarily meet cost of living pressures, the flat rate of fuel excise has been cut in half - saving 22 cents from every litre for the next six months.
However, the price reduction is expected to take two weeks to flow through to the bowser.
Meanwhile, electricity costs for households are at their lowest levels in eight years, according to Energy Minister Angus Taylor.
He said $1.3 billion in new spending will support affordable, reliable and secure energy and help Australia reach its target of net zero emissions by 2050.
Some $300 million will subsidise low emissions LNG and clean hydrogen production at Darwin, together with carbon capture and storage infrastructure.
"Darwin is positioned to become one of the world's leading low-cost clean energy hubs," Mr Taylor said.
It has access to onshore and offshore natural gas and greenhouse gas storage resources, including the Beetaloo and Petrel basins and the Barossa and Bayu-Undan fields.
Another $50.3 million will fast-track gas pipelines and processing facilities on the east coast.
Some $247.1 million will boost private sector investment in low emissions technologies including hydrogen, and the continued development of a hydrogen Guarantee of Origin scheme.
Newcastle Port will be made "hydrogen ready" with $100 million for investment decision activity and early works.
Responding to green steel demand in Japan and Korea, $200 million has been allocated to increase onshore processing and value-add of iron ore exports.
The Pilbara region gets $200 million for new hydrogen and ammonia manufacturing facilities. Another $100 million goes to the vast region for electricity generation and grid infrastructure.
The measures across industry, energy and emission reduction are expected to support more than 4800 jobs.
