New Grants

The Net Zero Manufacturing Initiative has an allocation funding of $275 million across 3 programs. This funding grant will support NSW businesses and industries to remain leaders in the net zero transition by increasing their competitiveness, attracting investment and opening new growth opportunities. The programs for this round are Clean Technology Innovation, Low Carbon Product Manufacturing, and Renewable Manufacturing.

Deadlines and Timings

Applications are open and each program has its own closing date. Each program also has an online Q&A session for which you can register to know more about this initiative.

  • Clean Technology Innovation
    • EOI submission closes on: 5 April 2024
    • Online Q&A on: 19 March 2024
  • Low Carbon Product Manufacturing
    • EOI submission closes on: 19 April 2024
    • Online Q&A on: 21 March 2024
  • Renewable Manufacturing
    • EOI submission closes on: 19 April 2024
    • Online Q&A on: 21 March 2024

Overview and Grant Amounts

1.Clean Technology Innovation

  • commercial readiness stream will provide grants between $250,000 and $5 million per project for up to 50% of eligible project costs.
  • project development stream, grants up to $250,000 per project for up to 50% of eligible project costs are available, and must have co-contribution funding arrangements of at least 1:1 between grant funding (from this grant) and other sources (e.g., applicant, collaborators, private or other public organisations).

2.Low Carbon Product Manufacturing

  • construction ready stream have grants int the range of $2 million to $20 million per successful application. All grant amounts are GST-exclusive. Successful applicants will be paid the approved grant amount plus 10% if GST is applicable.
  • project development stream will provide grants between $50,000 and $900,000 to co-fund project development activities.

3.Renewable Manufacturing

  • grants range from $5 million to $50 million per successful application. All grant amounts are GST exclusive. Successful applicants will be paid the approved grant amount plus 10% if GST is applicable.

Eligibility and Criteria

To be eligible for this grant, projects must be in NSW to be eligible for funding. Projects must also NOT have received and NSW Government funding for the same project outputs and outcomes. The general eligibility must have applicants who:

  • hold an Australian Business Number (ABN)
  • be an eligible organisation (a company incorporated in Australia; a company limited by guarantee; an incorporated trustee on behalf of a trust; an incorporated association or co-operative; an Aboriginal and/or Torres Strait Islander Corporation registered under the Corporations (Aboriginal and /or Torres Strait Islander) Act 2006)
  • hold or obtain all insurances required by law, including $20 million public liability insurance and worker’s compensation
  • not be listed on the Australian Department of Foreign Affairs and Trade sanctions list
  • disclose any legal proceedings or investigations including litigation, arbitration, mediation or conciliation that are taking place, pending or (to the best of the applicant’s knowledge, after having made proper enquiry) threatened against the applicant or a related body corporate (as defined in the Corporations Act 2001 [Cth])

Each program under this funding grant also have their respective criteria, which are enumerated below.

1.Clean Technology Innovation

  • be the legal and beneficial owner of, or has all necessary rights to use, any intellectual property necessary to carry out the project
  • not be subject to any insolvency event including the subject of an order or resolution for winding up or dissolution
  • disclose all Australian state, territory and/or commonwealth government grants applied for in relation to the project including history of grant funding (including both successful and unsuccessful applications)
  • each application must have a lead applicant; should the funding recipient differ from the lead applicant at any point of the application process/grant program, the lead applicant is required to explicitly indicate this in their application

2.Low Carbon Product Manufacturing

  • be or will become registered for goods and services tax (GST) prior to signing a funding agreement
  • disclose any legal proceedings or investigations including litigation, arbitration, mediation or conciliation that are taking place, pending or (to the best of the applicant’s knowledge, after having made proper enquiry) threatened against the applicant or a related body corporate (as defined in the Corporations Act) that may adversely impact the applicant’s ability to fulfil its obligations under the funding agreement
  • disclose all Australian Government and/or Australian state territory grants applied for in relation to the proposed project including a history of any grant funding awarded over the last 5 years (including both successful and unsuccessful applications)
  • achieve Foreign Investment Review Board (FIRB) approval before commencement of the project should it be required

3.Renewable Manufacturing

  • be or will become registered for goods and services tax (GST) prior to signing a funding agreement
  • disclose any legal proceedings or investigations including litigation, arbitration, mediation or conciliation that are taking place, pending or (to the best of the applicant’s knowledge, after having made proper enquiry) threatened against the applicant or a related body corporate (as defined in the Corporations Act) that may adversely impact the applicant’s ability to fulfil its obligations under the funding agreement
  • disclose all Australian Government and/or Australian state territory grants applied for in relation to the proposed project including a history of any grant funding awarded over the last 5 years (including both successful and unsuccessful applications)
  • achieve Foreign Investment Review Board (FIRB) approval before commencement of the project should it be required

For Low Carbon Product Manufacturing and Renewable Manufacturing, joint applications are permitted provided the lead applicant satisfies the eligibility criteria. The lead applicant must enter into the funding agreement and will be held ultimately responsible for the delivery of the project.

Eligible Projects

The following are not exhaustive list of eligible projects. Participants are encouraged to do their due diligence, especially in determining the right stream for their project for which funding application is being lodged.

1.Clean Technology Innovation

To be eligible for funding, the lead applicant must confirm that the proposed activities will, or has the potential to, advance or progress the clean technology product or solution toward commercialisation.

Commercial readiness stream:

  • technology development
  • construction of specific testing infrastructure
  • prototyping support
  • product verification
  • demonstration and deployment
  • Projects under this program may encompass supplementary activities like late-stage feasibility studies, business case development and front-end engineering and design as critical milestones, all contributing significantly to achieving the commercialisation of the product or project

Project development stream:

  • technical feasibility study
  • commercial viability study
  • development of business cases
  • front end engineering design (FEED)
  • gaining approvals or certifications
  • any other activities that can assist with the commercialisation of a clean technology product or solution
  • any other activities that can assist with the commercialisation of a clean technology product or solution
  • have a lab proven technology or technological readiness level (TRL) of between 5 and 9 that is at a clear go/no-go decision point which requires a technical, feasibility or equivalent study to be undertaken
  • have a commercial readiness index (CRI) of less than 4

2.Low Carbon Product Manufacturing

To be eligible for funding, the lead applicant must confirm the following:

  • the project will deliver new or expanded industrial facilities in NSW that will manufacture eligible low carbon products and materials at commercial scale. This includes:
    • building materials
    • ‘green’ chemicals
    • biofuels derived from biomass (plant or algae material, or animal waste)
    • power fuels produced with renewable energy
    • inputs needed for agricultural production (such as fertilisers, animal feeds, etc.)

For the construction ready stream

  • the project will manufacture an eligible low carbon product that demonstrates lower lifetime carbon dioxide equivalent (CO2e) emissions compared to equivalent conventional incumbent products. The applicant must be able demonstrate the emissions reduction potential thoroughly consistent with established emissions assessment methodologies
  • the project will be located in NSW
  • the project will be fully delivered within 4 years of execution of the funding agreement and no later than 30 June 2032
  • the project is financially sustainable without continued government investment
  • the project would not occur in NSW at all, or in the same timeframe, without government support
  • the project has a viable commercial strategy
  • the applicant will provide a minimum cash contribution of at least 50% of the total proposed project cost from non-NSW Government sources (for example, applicant, collaborators, private or other public organisations). In-kind (non-financial) contributions are not counted towards a contribution of 50% of the total proposed project costs

For the project development stream

  • the project fits one of the categories for eligible projects under this stream
  • would not occur at all or in the same timeframe without government support
  • the project will be completed within 18 months of the funding agreement execution
  • the applicant will provide a minimum cash contribution of at least 50% of the total project cost from non-NSW Government sources (for example applicant, collaborators, private or other public organisations). In-kind (non-financial) contributions are not counted towards a contribution of 50% of the total project costs.

3.Renewable Manufacturing

To be eligible for funding, the lead applicant must confirm that the proposed project:

  • will deliver new or expanded industrial facilities in NSW that will manufacture renewable energy products at commercial scale. This includes:
    • components suitable for grid-scale renewable energy generation, storage, and transmission such as, but not limited to, wind towers, solar panels, batteries and transmission cables
    • hydrogen electrolysers
  • is located in NSW
  • is expected to be fully delivered (operational) within 4 years of contract execution and no later than 30 June 2030
  • is sustainable without continued government investment
  • would not occur in NSW at all or in the same timeframe without government support
  • has a viable commercial strategy
  • has a minimum financial contribution of at least 50% of the total proposed project cost from non-NSW Government sources (for example, applicant, collaborators, private or other public organisations). In-kind (non-financial) contributions are not counted towards a contribution of 50% of the total proposed project costs

Eligible Costs

The funding can be used for following items under each stream:

2.Low Carbon Product Manufacturing

For the construction ready stream

  • purchase of land (if necessary for the project and suitable alternatives to rent do not exist)
  • purchasing, constructing, installing and/or commissioning new plant, equipment and/or machinery
  • purchasing, constructing, establishing and/or fitting out new facilities, buildings or hubs
  • purchasing technology and/or intellectual property (IP) required to undertake the project
  • upgrading existing facilities, buildings, plant, equipment, machinery and/or technology where necessary to deliver the project
  • external project management and administration costs (up to 10% of project cost)

For the project development stream

  • costs of contractors or consultants to manage the project or deliver specific components of the project
  • expenditure to employ project staff critical to delivery of the project. You cannot use funds to cover the labour costs of existing positions undertaking other work within your organisation
  • administration costs directly related to the project (up to 10% of project cost)

3.Renewable Manufacturing

  • purchase of land (if necessary for the project and suitable alternatives to rent do not exist)
  • purchasing, constructing, installing and/or commissioning new plant, equipment and/or machinery
  • purchasing, constructing, establishing and/or fitting out new facilities, buildings or hubs
  • purchasing technology and/or intellectual property (IP) required to undertake the project
  • upgrading existing facilities, buildings, plant, equipment, machinery and/or technology where necessary to deliver the project and achieve its outcomes
  • external project management and administration costs up to 10% of project cost

Interested applicants are encouraged to thoroughly read the program guidelines for each program and stream. Submissions must be lodged through the program online portal.

Clean Technology application

Low Carbon Product Manufacturing application

Renewable Manufacturing application

Expert Assistance

We have over 16 years of experience preparing EMDG and R&D tax incentive claims and can assist in making sure you receive your maximum rebate.

Working with us means you get the maximum grant with minimum risk and effort. Our expertise includes R&D Tax Incentive registration and tax schedules, Export Grants, Capital Expenditure and Infrastructure Grants.

Get in touch with us and let’s discuss this more in detail.

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