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LARGE Australian resources and energy projects will have greater freedom to recruit overseas workers under new arrangements announced as part of the Australian government’s 2011-12 Budget.

Enterprise Migration Agreements (EMAs) will be available to resources projects with capital expenditure of more than A$2b ($2.13b) and a peak workforce of more than 1,500 workers.

Immigration Minister Chris Bowen said that EMAs will be custom-designed and will need to invest in up-skilling Australians to meet future skills needs in the resources sector.

“This plan will need to set measurable targets for training that develops skills in occupations where there are known or anticipated shortages,” he said.

“Overseas labour will only be supplementary, with resources projects required to demonstrate effective and ongoing local recruitment efforts.”

The Minerals Council of Australia broadly welcomed the initiative while the Association of Mining & Exploration Companies (AMEC) said it was concerned that emerging miners may not be able to take advantage of the scheme.

“This is unacceptable and inequitable to our members, who are spread throughout the nation and faced with the same problems as large multinational conglomerates in attracting and retaining skilled labour,” said AMEC’s Simon Benison.

The Budget also allocated A$20m for a national Biofuels Research Institute with an initial A$5m earmarked for a project at James Cook University in Townsville, which is researching algae-to-biodiesel technologies.

The Emerging Renewables programme, promised by the Labor Government in last year’s election campaign, had its funding increased from A$40m to A$100m and a new Renewable Energy Venture Capital Fund was also allocated A$100m.