"We must move our investments to the next challenges – hydrogen, carbon capture and storage, lithium, and advanced livestock feed supplements, to name a few," he said last month.

Staff were briefed on the need for a "strategy rethink" and faster adaption to address Australia's energy transition process in recent weeks.

Under the proposed cuts, upstream oil and gas teams will be consolidated into a single natural gas program, while low emissions teams and post-combustion researchers are reduced.

CSIRO staff association secretary Sam Popovski said the plan did not make sense.

"Energy is an important area for the country to build research capability in and to have suddenly got the news that nearly 20 per cent of staffing positions would be lost was a shock," he said.

"We understand the reason is largely caused by losses in external earnings, which is industry funding particularly from the oil and gas industry. Generally about a third of CSIRO revenue comes directly from industry, so if it reduces there can be job losses from time to time."

Mr Popovski said the energy capability skills were badly needed and federal and state governments should step in with additional funding for the energy unit.


Atlassian co-founder and co-CEO and clean energy advocate, Mike Cannon-Brookes, responded to the CSIRO move by tweeting: "Wait... aren’t we about to invest in a technology roadmap of R &D to get the emissions down... and energy generation is the largest cause of emissions?"

A CSIRO spokeswoman confirmed cuts of between 42 and 46 jobs, with between eight and 12 new positions created.

The new jobs would "ensure CSIRO continues to maximise the impact of our key research areas into the future".

"The CSIRO energy business unit is in the process of undertaking capability changes to ensure it is best placed to deliver future energy science and technology solutions in a rapidly changing environment," she said in a statement.

"CSIRO has clear and well-established processes for undertaking these changes, including ensuring staff are fully consulted and supported throughout the process consistent with our obligations under the enterprise agreement."

Labor's industry spokesman, Brendan O'Connor, slammed the plan, saying important research was being compromised because of the Morrison government’s lack of respect, support and trust in the scientific research agency.


“It’s foolish to shackle Australia’s top scientists from making new, important breakthroughs through staffing cuts at the energy business unit, which is undermining its role in advancing science and innovation," he said.

“At a time when Australians are facing economic and health uncertainties, the Morrison government must explain what they are doing to protect and not slash the jobs of Australia’s scientists.”

CSIRO boss Larry Marshall told The Australian Financial Review Business Summit this week science and technology improvements were needed to reach net zero by 2050.

"There are some fairly obvious technical roadblocks to be attacked and solved: do I think we can solve them? Yes, but it's not just a matter of science and technology," he said.