NSW Net Zero Renewable Manufacturing Round 2

Purpose and Program Overview

The NSW Net Zero Manufacturing Initiative – Renewable Manufacturing stream aims to strengthen local supply chains for renewable energy and electric vehicles. It funds the establishment or expansion of commercial-scale manufacturing facilities to produce low-emission technologies and critical components. The program supports the NSW Government’s net zero emissions target by 2050 through innovation and capacity building.

A total of $200 million has been allocated to Round 2 of the initiative, which includes this stream. While specific details for Round 2 are being finalised, the funding plays a broader role in driving economic growth, job creation, and investment in the renewable energy sector.

This Renewable Manufacturing Stream enhances business competitiveness and reduces supply chain risks for grid-scale renewable projects across NSW.

Key Grant Details

• Grant amount or funding range: Not specified for Round 2; previous streams awarded up to $113 million across four projects
• Application open and close dates: Round 2 documents being finalised; program to open soon (register interest for notifications)
• Eligible industries or business types: Businesses manufacturing renewable energy components
• Required co-contributions: Yes, minimum 50% from non-NSW Government sources
• Location/state/territory applicability: Facilities must be located in NSW; applicants may be based in NSW, interstate, or overseas

Priority Sectors

The program prioritises the renewable energy sector, including generation, storage, transmission, and electric vehicles.

Funding Scope

• Minimum and maximum amounts per stream: Not specified for Round 2; previous awards varied per project
• Categories or streams of funding: Construction Ready stream for new or expanded commercial-scale facilities; focus on manufacturing components like solar panels, batteries, wind towers, and hydrogen electrolysers
• Project timeline or eligible funding duration: Projects must be operational within four years of contract execution (no later than June 30, 2030)

Eligibility Criteria

• Business structure or size: Eligible entity types include Australian-incorporated companies, companies limited by guarantee, incorporated trustees, associations, co-operatives, or Aboriginal and Torres Strait Islander Corporations
• Registered business location: Facilities in NSW; applicants may be interstate or overseas
• Minimum/maximum turnover: Not specified
• Insurance or compliance obligations: Hold $20 million public liability insurance and workers’ compensation; not insolvent or on DFAT sanctions list; disclose legal proceedings and comply with workplace laws; obtain FIRB approval if required
• ABN/GST status: Hold or obtain an Australian Business Number (ABN) before funding agreement; registered for Goods and Services Tax (GST)

Eligible Activities and Expenses

• Construction or expansion of industrial facilities for commercial-scale manufacturing
• Production of renewable energy components such as solar panels, grid-scale batteries, wind towers, transmission cables, and hydrogen electrolysers
• Scale-up of lab-proven technologies to commercial operations
• Investments ensuring sustainability without ongoing government support

Assessment Process

The grant is competitive, with applications assessed by a judging panel against others received. Key evaluation criteria include project merit, strategic alignment with net zero goals, value for money, and demonstration of required government support for NSW delivery.

Recent Program Updates

Round 2 documents are being finalised, with $200 million allocated; the program is set to open soon. Phase 1 awarded $113 million to four projects in the Renewable Manufacturing Construction Ready stream. Businesses can register interest for notifications on future opportunities.

Application Tips

Applicants should review eligibility criteria once Round 2 guidelines are released. Prepare financial contributions and project plans demonstrating commercial viability in advance. Align proposals with NSW net zero priorities and highlight job creation, emissions reduction, and supply chain benefits.

Where to Get Help

Consider consulting a grant specialist for a personalised eligibility assessment and expert assistance in preparing a strong, compliant and competitive application. Contact us today, and we will connect you with Australia’s best grant specialist, boasting over 35 years of experience in the industry and a 100% success rate. For official program updates, eligibility guidelines, and registration information, visit the NSW Net Zero Manufacturing Initiative page.