Future Made in Australia Innovation Fund

Purpose and Program Overview

The Future Made in Australia (FMA) Innovation Fund is a national grant program administered by the Australian Renewable Energy Agency (ARENA) to support pre-commercial innovation, demonstration and deployment of renewable energy and low-emission technologies. The FMIA Innovation Fund aims to accelerate Australia’s transition to a net-zero economy by backing projects that drive technology adoption, strengthen domestic manufacturing capabilities, build resilient supply chains, and grow skills and workforce participation in clean energy sectors.

The Fund provides up to $1.5 billion in grant funding and operates as an ongoing, open program, with applications accepted until the allocation is exhausted or the program is closed by ARENA. Funding is currently focused on three priority areas: Green Metals, Renewable Energy Technology Manufacturing (RETM), and Low Carbon Liquid Fuels (LCLF), targeting projects that can demonstrate strong technical merit, commercialisation potential and contribution to national decarbonisation objectives.

Key grant details

• Grant pool: Up to $1.5 billion in total grant funding across the program.
• Individual grant amounts: Determined on a case‑by‑case basis within each priority; ARENA does not publish a fixed minimum or maximum per project in the overview page (refer to priority guidelines for detailed limits).
• Program status: Ongoing, open program, with each of the three current priority opportunities (Green Metals, RETM, LCLF) listed as open and launched in December 2025.
• Application timing: Program launched December 2025; opportunities remain open until funding is fully allocated or ARENA closes the program (no fixed closing date published at the program level).
• Eligible industries/business types: Businesses and other organisations proposing projects in renewable energy and low-emission technologies, particularly in green metals, renewable energy technology manufacturing and low-carbon liquid fuels; applicants must be capable of delivering pre‑commercial innovation, demonstration or deployment projects consistent with ARENA’s objectives.​
• Co‑contribution: ARENA funding programs generally require applicant co‑funding. But at the same time, the high‑level page does not specify ratios; applicants should expect to provide a material financial contribution and should refer to the FMA Innovation Fund Program Guidelines for specific co‑contribution requirements by priority.
• Location: National program, open to projects located in Australia and contributing to Australia’s renewable energy and low-emission technology capabilities.​

Priority sectors

• Green Metals, including iron, steel, alumina and aluminium.
• Renewable Energy Technology Manufacturing, targeting technologies that alleviate critical clean energy supply chain challenges.
• Low Carbon Liquid Fuels, including sustainable aviation fuels and renewable diesel.

These three priorities frame the current focus of the Fund, so applicants should position projects clearly within at least one of these defined areas rather than treating the program as fully open-sector.

Funding scope

• Total allocations by priority:
  • Up to $750 million for Green Metals.
  • Initial tranche of up to $200 million for Renewable Energy Technology Manufacturing (RETM).
  • Up to $250 million for Low Carbon Liquid Fuels (LCLF).
• Streams/categories: Within each priority, funding supports pre‑commercial innovation, pilot and demonstration projects, feasibility and engineering work, and early deployment that advances renewable energy and low-emission technologies toward commercial readiness.​
• Project duration: The high‑level materials do not impose a standard duration across all projects; project length and milestones are set through the application and contracting process under the relevant priority guidelines.
• Program timing: The FMA Innovation Fund is described as an ongoing, open program that will remain available until the $1.5 billion allocation is fully committed or ARENA closes the program.

Eligibility criteria

Applicants should refer to the FMA Innovation Fund Program Guidelines for detailed, binding eligibility rules, but typical requirements for this program include:

• The applicant is an Australian entity (such as an incorporated business, research organisation or consortium) able to enter into a funding agreement with ARENA.​
• The project is located in Australia and supports renewable energy or low-emission technologies relevant to at least one of the three priorities (Green Metals, RETM, LCLF).​
• The applicant can demonstrate technical capability, financial capacity and a track record (or credible plan) to deliver the proposed project.​
• The project is at the pre‑commercial or early deployment stage, not business‑as‑usual operations or fully commercial roll‑out.​
• The applicant is willing to provide co‑funding and to meet ARENA’s knowledge sharing, reporting and compliance obligations under the Program Guidelines.​
• The business holds or can obtain appropriate insurance and complies with relevant Australian laws, regulations and standards for the proposed activities.

Eligible activities and expenses

The Fund focuses on activities that advance renewable energy and low-emission technologies along the innovation and deployment pathway. Examples include:​

• Prototyping, pilot and demonstration projects for new or improved renewable energy and low-emission technologies.​
• Feasibility studies, engineering design, and pre‑investment analysis for priority‑aligned projects.​
• Pre‑commercial deployment or scale‑up of technologies in green metals, renewable energy technology manufacturing, or low-carbon liquid fuels.​
• Project activities that build manufacturing capability, supply chain resilience, and sectoral skills and knowledge (including knowledge sharing deliverables required by ARENA).​

Applicants should use the Program Guidelines and priority‑specific guidance to confirm which cost items are eligible (for example, capital equipment, contracted services, and relevant project personnel) and which are excluded (such as general working capital or unrelated operating costs).

Assessment process

The FMA Innovation Fund operates as a competitive grant program, with applications assessed against published criteria rather than provided on an entitlement basis. Key assessment themes, as set out in ARENA’s standard approach and FMA materials, include:

• Project merit: Technical robustness, innovation, feasibility and contribution to renewable energy or low-emission technology objectives.
• Strategic alignment: Fit with the relevant FMA priority (Green Metals, RETM or LCLF) and alignment with Australia’s net zero and industry development goals.
• Value for money: Level of co‑contribution, cost effectiveness, additionality of public funding and anticipated benefits relative to grant size.
• Capability and capacity: Capability of the proponent and consortium to deliver the project, including governance, risk management and financial strength.​
• Knowledge sharing and impact: The extent to which the project will generate transferable learnings, data and insights to support broader market development.

Applicants are generally expected to seek ARENA advice or endorsement before submitting a full application, as noted on the program page.

Recent program updates

• The FMA Innovation Fund was announced in the May 2024 Federal Budget with an allocation of up to $1.5 billion, and formally launched as an ongoing program in December 2025.
• All three priority opportunities (Green Metals, RETM, LCLF) are now open, with dedicated information pages, webinars and FAQs available through ARENA.
• External commentary, including a January 2026 BDO update, highlights the operational status of the Fund and confirms the three priority areas and their respective funding envelopes.

Application tips

• Confirm that the organisation, project location and activities meet the eligibility conditions in the FMA Innovation Fund Program Guidelines and the relevant priority documentation before investing in a full proposal.
• Develop a clear project narrative that explains the technology, stage of development, technical risks, and how the project advances pre‑commercial innovation or deployment within the chosen priority area.​
• Quantify outcomes wherever possible, including emissions reduction potential, production capacity, cost reductions, supply chain impacts and knowledge sharing outputs.
• Prepare supporting documentation early, such as project budgets, co‑funding evidence, technical studies, commercialisation plans, risk registers and governance arrangements.
• Align the proposal with ARENA’s stated program outcomes, including increased technology uptake, manufacturing capability, stronger supply chains, and improved skills and workforce participation.
• Engage with ARENA through the published contact channels to test strategic fit and obtain guidance on the most appropriate priority or stream before lodging.

Where to get help

Consider consulting a grant specialist like Pattens Group for a personalised eligibility assessment and expert assistance in preparing a strong, compliant and competitive application. Contact us today, and a dedicated specialist with deep experience in Australian government grants can assist with eligibility reviews, application strategy and documentation. For official guidelines, application details, templates and further information, visit the program’s official ARENA page for the Future Made in Australia Innovation Fund, including the Program Guidelines, FAQs and priority‑specific information, as well as other relevant Australian government websites.