On Farm Connectivity Program (OFCP) Round 3

Purpose and Program Overview

The On Farm Connectivity Program (OFCP) Round 3, administered by the Australian Government, provides rebates to primary producers in agriculture, forestry, and fisheries to enhance on-farm connectivity. It aims to boost productivity, improve safety, and promote the adoption of digital agribusiness solutions through connected machinery and sensor technology.

The program has a total funding pool of $53 million across three rounds from 2023–24 to 2025–26, with $20 million allocated for Round 3. It supports the broader agricultural sector by offsetting the costs of connectivity equipment, enabling primary producers to leverage technology for sustainable and efficient farming practices.

Round 3 builds on the success of Rounds 1 and 2, which provided over $30.5 million in rebates. It aligns with the Better Connectivity Plan for Regional and Rural Australia, fostering innovation and economic growth in regional communities.

Key Grant Details

• Grant amount: $1,000–$30,000 (GST exclusive) per primary producer.
• Application open and close dates: Expected to open in late 2025; specific dates pending.
• Eligible industries or business types: Agriculture, forestry, fisheries.
• Required co-contributions: Yes, primary producers cover 50% of equipment costs.
• Location/state/territory applicability: Australia-wide.

Priority Sectors

On Farm Connectivity Program prioritises primary production sectors, specifically agriculture, forestry, and fisheries.

Funding Scope

• Minimum and maximum amounts: $1,000–$30,000 (GST exclusive) per primary producer.
• Categories or streams of funding:
  • Connectivity equipment: Rebates for digital farming technology purchases.
  • Installation and training: Up to 10% of the equipment cost for each.
• Project timeline or eligible funding duration: Rebate claims due within 120 days of approval or by program end (2025–26).

Grant Amount in Total

The total funding pool for the On Farm Connectivity Program is $53 million, with $20 million allocated for Round 3.

Eligibility Criteria

• Business structure or size: Primary producers with an active ABN for 12+ months.
• Registered business location: Australia.
• Minimum/maximum turnover: Average annual gross income of $40,000–$4 million from primary production over three years.
• Insurance or compliance obligations: Not specified.
• ABN/GST status: Active ABN required; GST registration if applicable.
• Additional requirements: Operate under eligible ANZSIC codes (Divisions 01, 02, 03); not a hobby farmer.

Eligible Activities and Expenses

• Purchase of digital connectivity equipment (e.g., soil moisture probes, livestock monitoring systems).
• Installation of eligible equipment.
• Training on equipment use (up to 10% of equipment cost).
• Subscriptions for data aggregation platforms (up to 10% of equipment cost).

Assessment Process

• Competitive or entitlement-based: Competitive, first-come, first-served basis.
• Key evaluation criteria:
  • Eligibility of the primary producer and equipment supplier.
  • Alignment with program goals (productivity, safety, connectivity).
  • Evidence of the primary producer’s payment for their share.

Recent Program Updates

Round 3 was announced on 14 January 2025 with $20 million in funding. The Department of Infrastructure is consulting stakeholders to finalise guidelines, with public consultation open until 26 August 2025. Design changes are expected based on prior round feedback, and previous guidelines are not applicable.

Application Tips

• Confirm eligibility with an approved supplier before purchasing equipment.
• Prepare financial records to verify income thresholds.
• Align applications with program goals of productivity and safety.
• Subscribe to updates at OFCP@infrastructure.gov.au to stay informed.

Where to Get Help

Consider consulting with a professional grant specialist like Pattens Group for an initial eligibility assessment and project alignment review. Visit infrastructure.gov.au for guidelines and updates about the program.