Joint Procurement Funded Support – Stream 2

Purpose and Program Overview

The Joint Procurement Funded Support – Stream 2 program provides funding to support groups of councils in New South Wales to undertake joint procurement of waste management services or waste infrastructure in the “source” (procurement) phase. The program aims to ensure councils can access value-for-money waste services, reduce risk in complex procurements, and secure arrangements that support the transition to a circular economy.

This stream forms part of the broader Joint Procurement Funded Support program under the NSW Waste and Sustainable Materials Strategy 2041, which encourages inter‑council collaboration, harmonised services and better resource recovery outcomes across NSW. By providing tailored advice and assistance rather than capital funding, the program supports councils to make informed, strategic procurement decisions that deliver long‑term environmental, financial and service benefits.

Key Grant Details

• Grant amount or funding range: From $50,000 to $500,000 (excl. GST) per Stream 2 project.
• Application close date: Closes 30 June 2027 at 12:00 pm AEST.
• Application opening: Current round is open until the closing date published (rolling submissions accepted until closure).
• Eligible organisations: NSW councils, Regional Organisations of Councils, Regional Waste Groups and Joint Organisations undertaking joint procurement of domestic and/or council commercial waste services or infrastructure.
• Required co‑contributions: No fixed minimum cash co‑contribution is specified; applicants must present a realistic budget, may include in‑kind and council contributions, and total funded support across Streams 1 and 2 cannot exceed $500,000 per joint procurement project.
• Location/jurisdiction: Projects must relate to NSW councils; NSW councils may partner with councils outside NSW, but the project must involve NSW councils and domestic (household) waste and/or council commercial waste.

Priority Sectors

• Priority sectors focus on local government waste and resource recovery, including domestic kerbside waste, recycling, organics and related council‑managed commercial waste streams.
• The program is not targeted at private industry sectors; it is open to a broad range of waste service and infrastructure procurement projects within the local government waste and circular economy context.

Funding Scope

• Minimum and maximum per project: Stream 2 provides between $50,000 and $500,000 per project; combined funding across Stream 1 and Stream 2 for the same joint procurement project cannot exceed $500,000.
• Funding stream focus:
  • Stream 1 – Plan: supports exploration and planning for joint procurement (up to $250,000 per project).
  • Stream 2 – Source: supports implementation of joint procurement where councils have committed to proceed (up to $500,000 per project).
• Project timing: Stream 2 projects must commence within 3 months of signing the Funding Deed and may run over multiple years, provided they are completed within the timeframes specified by the NSW EPA.

Eligibility Criteria

• Applicant type:
  • NSW local councils.
  • Regional Organisations of Councils, Regional Waste Groups and Joint Organisations acting on behalf of member councils.
• Project partners: At least two councils must participate in the joint procurement project; NSW councils may partner with councils from outside NSW if the joint procurement includes NSW councils.
• Project focus: Joint procurement of domestic waste and/or council commercial waste management services and/or waste infrastructure (for example, collection, processing, disposal, organics, MRF, transfer or related contract arrangements).
• Evidence of commitment (Stream 2): Applicants must demonstrate formal commitment from each participating council, such as a memorandum of understanding, joint procurement agreement, letters signed by General Managers, or council resolutions confirming participation.
• Compliance and governance: Applicants must be legally constituted entities, compliant with relevant NSW legislation, and willing to enter into a Funding Deed and meet reporting and audit requirements set by the NSW EPA.
• ABN / GST: Councils and eligible bodies are expected to hold an ABN and be registered for GST in line with standard local government arrangements to receive grant payments.

Eligible Activities and Expenses

• Procurement facilitation and project management services (for example, engaging specialist consultants to coordinate the joint procurement process).
• Technical, legal and commercial advisory services to support tender specification development, evaluation methodologies, risk allocation, contract drafting and negotiation.
• Development of procurement documentation, including tender documents, evaluation plans, probity frameworks and contract schedules for joint waste services or infrastructure.
• Market analysis, options assessment, demand aggregation studies and financial modelling to support joint procurement decisions.​
• Activities to support collaboration and knowledge sharing between councils, such as workshops, governance frameworks and decision‑making protocols (excluding general business‑as‑usual activities).

Assessment Process

• Program structure: Stream 2 is a competitive, merit‑based grant round assessed against published criteria; funding is limited and not guaranteed for all eligible applicants.
• Key assessment criteria include:​
  • Alignment with program objectives (15% weighting) – how well the project supports Joint Procurement Funded Support objectives and the specific joint procurement objectives agreed by council partners.
  • Project plan, budget and implementation (35% weighting) – quality of the project plan, methodology, timeframes, resourcing, governance and budget, including capacity to deliver and manage the project.
  • Risk management (Stream 2 only, 10% weighting) – evidence of appropriate risk identification and management strategies for the procurement exercise.
  • Collaboration and knowledge sharing (15% weighting) – extent of collaboration between councils and the potential for outcomes and learnings to be shared more broadly.
• The NSW EPA assesses applications, may seek clarification or additional information, and makes final decisions in line with program governance and available funding.

Recent Program Updates

• The NSW Government has committed $16 million over five years to support joint procurement of waste services under the Waste and Sustainable Materials Strategy 2041, underpinning both Stream 1 and Stream 2.
• Current program materials and guidelines reflect updated assessment criteria, longer multi‑year project delivery options and clearer requirements for evidence of council commitment for Stream 2 applications.
• The closing date for this round has been extended through to 30 June 2027, providing councils with an extended window to align applications with planned procurement timetables.

Application Tips

• Confirm eligibility early by checking that all participating councils and project activities meet the Stream 2 requirements, particularly the need for at least two councils and a domestic and/or council commercial waste procurement focus.
• Establish clear governance and formal commitment between partner councils (for example, MoUs or council resolutions) before applying, as these documents are required to demonstrate readiness to proceed.
• Prepare a detailed project plan and realistic budget that clearly itemise external advisory costs, internal resourcing, timeframes and key milestones for the procurement process.
• Explicitly address each assessment criterion, showing how the project aligns with program objectives, improves value for money, supports circular economy outcomes and facilitates collaboration and knowledge sharing.
• Allow sufficient lead time so the project can commence within three months of signing the Funding Deed and fit within the procurement schedule agreed by all partner councils.

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. This can help councils structure joint procurement projects, develop robust project plans and budgets, and respond clearly to each assessment criterion to maximise the likelihood of funding success. For official guidelines, application details, templates and further information, visit the official website of Joint Procurement Funded Support and other associated NSW and Australian government websites.