SEQ City Deal Organics Processing Program

Purpose and Program Overview

The SEQ City Deal Organics Processing Program is a competitive grant initiative jointly funded by the Australian Government and the Queensland Government, delivered in partnership with the Council of Mayors South East Queensland (CoMSEQ). The Program provides $36 million in capital grant funding to eligible South East Queensland councils to establish new, or upgrade existing, organics processing infrastructure. This includes facilities for composting, anaerobic digestion, sorting, decontamination, and storage of organic material.

The Program forms part of Commitment 16 under the SEQ City Deal, a tripartite agreement signed by the three tiers of Government in March 2022. Its primary objective is to increase resource recovery rates, divert organic waste from landfills, and advance the SEQ region toward a circular economy. The Program is administered by the Queensland Department of the Environment, Tourism, Science and Innovation (DETSI).

In addition to its environmental objectives, the Program is designed to generate employment in the organics processing and recycling sector and support meaningful economic growth across South East Queensland. Projects may be led by individual councils or undertaken through joint council or public-private partnership arrangements, provided a CoMSEQ member council holds the role of lead applicant.

Key Grant Details

• Total funding pool: $36 million (excl. GST)
• Applications open: 18 May 2026
• Applications close: 1 July 2026
• Successful projects announced: September 2026
• Project completion deadline: 31 March 2028
• Eligible applicants: CoMSEQ member councils as of 21 March 2022
• Co-contribution required: Yes — applicants must contribute a minimum of one-third of eligible project costs, plus all ineligible costs and any cost overruns
• Location: South East Queensland, within a CoMSEQ member council Local Government Area (LGA)
• Administering agency: Department of the Environment, Tourism, Science and Innovation (DETSI), Queensland Government
• Application portal: SmartyGrants

Priority Sectors

The Program targets one specific sector: organics processing and recycling infrastructure in South East Queensland. This includes facilities and equipment associated with:

• Composting
• Anaerobic digestion
• Organic waste sorting, storage, and decontamination
• Resource recovery from food organics and garden organics (FOGO)

The Program does not extend to general waste management, mixed waste organic output facilities, or mechanical biological treatment facilities. It is not open to a broad range of sectors and is explicitly directed at local government investment in the organic processing supply chain infrastructure.

Funding Scope

The $36 million funding pool is divided across two competitive streams:

Stream 1: Small Projects | $12 million (excl. GST) | Up to $2 million per project

Stream 2: Major Projects | $24 million (excl. GST) | Over $2 million per project

Funding ratio: The Program operates on a 1:1:1 basis. The Australian Government contributes one-third, the Queensland Government contributes one-third, and the applicant (or applicant plus project partners) must contribute the remaining one-third of eligible project costs. Applicants are also responsible for all ineligible costs and any cost increases over the project lifecycle.

Project timeline: All funded projects must be completed by 31 March 2028. No further funding rounds are planned under the Program.

Eligibility Criteria

To be eligible to apply, the following requirements must be met:

• Lead applicant type: Must be a CoMSEQ member council as of 21 March 2022. Eligible councils include: Brisbane City Council, City of Gold Coast, City of Ipswich, Lockyer Valley Regional Council, Logan City Council, Moreton Bay Regional Council, Noosa Shire Council, Redland City Council, Scenic Rim Regional Council, Somerset Regional Council, Sunshine Coast Council, and Toowoomba Regional Council.
• Project location: The project must be located within a CoMSEQ member council LGA.
• Organic material origin: The project must process organic material primarily generated within SEQ. Projects where the majority of feedstock originates in SEQ may be considered eligible, even where a portion originates outside SEQ.
• Project scope: The project must relate to the establishment of new, or upgrade of existing, organics processing infrastructure or facilities.
• Completion requirement: All projects must be completed by 31 March 2028.
• Partnership arrangements: Joint council or public-private partnership projects are eligible, provided a CoMSEQ member council is the lead applicant and contracting party. Formal written arrangements or signed letters of support from all project partners must be in place prior to submission.
• No retrospective funding: Projects that commenced construction or were completed before the release of Program Guidelines are not eligible.
• No double-dipping: Costs already funded by other State or Federal government programs are ineligible, unless the applicant can demonstrate clear and distinct separation of project elements.

Eligible Activities and Expenses

The Program funds capital costs only. Eligible expenditure must relate to one or more of the following organic processing supply chain stages:

• Sorting, storage, and bulking up of organic material
• Decontamination of organic material
• Processing of organic material (e.g., composting, anaerobic digestion facilities and associated infrastructure)

Ineligible costs include:

• Operational costs, wages, and project management fees
• Land acquisition
• Collection vehicles and passenger vehicles
• Education and behaviour change activities
• Market development activities (e.g., R&D, certification, partnerships)
• Civil construction costs not directly related to the project (e.g., whole-of-site access roads, stormwater management)
• Alternative organics processing methods, such as mixed waste organic outputs or mechanical biological treatment facilities
• Business-as-usual waste collection services

In-kind contributions are welcome but will not count toward the applicant’s required one-third financial contribution to eligible project costs.

Assessment Process

The Program is competitive. An assessment panel established by DETSI assesses all applications. Assessment decisions are moderated before being forwarded to the relevant Queensland and Australian Government delegates, who make the final funding determinations.

Key assessment criteria are detailed in Section 7 of the Program Guidelines. Applicants are advised to review these criteria carefully and provide evidence demonstrating how their project meets each criterion. While not mandatory, supporting documents such as feasibility studies, business cases, project plans, and implementation plans are encouraged and are likely to strengthen an application’s competitive position.

Assessment panel members and departmental staff operate under the Queensland Public Service Code of Conduct, and all participants are subject to confidentiality and conflict of interest requirements.

All applicants, including unsuccessful ones, will be notified of outcomes in writing. Feedback is available to unsuccessful applicants upon request.

Recent Program Updates

• The Program opened for applications on 18 May 2026, with a closing date of 1 July 2026.
• The Program is delivered under Commitment 16 of the SEQ City Deal, signed in March 2022 by the Australian Government, Queensland Government, and CoMSEQ.
• No further rounds of funding are planned beyond the current program round.
• The Program Guidelines were released, and the SmartyGrants portal was made available in May 2026, with separate application forms for Stream 1 and Stream 2.
• The per-project funding cap for Stream 1 is noted in the official guidelines as $2 million (excl. GST), rather than the $3 million referenced in some earlier program descriptions. Applicants should refer to the official Program Guidelines for confirmed figures.

Application Tips

Applicants preparing submissions for the SEQ City Deal Organics Processing Program should consider the following:

• Confirm eligibility early. Verify that the council, project location, organic material origin, and project scope all meet the Program’s eligibility criteria before investing significant time in preparing an application. Contact DETSI at WastePlanImplementation@detsi.qld.gov.au to discuss project and cost eligibility.
• Select the correct stream. Submit under Stream 1 if the funding request is $2 million (excl. GST) or less, and Stream 2 if the funding request exceeds $2 million. Separate application forms apply.
• Prepare financial documentation. Clearly outline the total eligible project costs, the applicant’s one-third contribution, all ineligible costs, and any contributions from project partners. Written commitment from all partners must be secured before submission.
• Align with Program objectives. Applications should clearly demonstrate how the project increases resource recovery capacity, advances SEQ’s circular economy goals, supports employment, or improves the quality of processed organic products.
• Provide supporting evidence. Although not mandatory, feasibility studies, business cases, and implementation plans are likely to improve competitiveness within the funding pool.
• Account for the full project lifecycle. Applicants should ensure the project can realistically be completed by 31 March 2028, including allowing for procurement, construction, and compliance requirements.
• Understand ongoing obligations. Successful applicants will be required to meet quarterly reporting requirements, maintain financial records, and fulfil all obligations set out in the funding agreement.

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 get connected with Australia’s best grant specialist, boasting over 35 years of experience in the industry and a 100% success rate.

For official guidelines, application forms, and further program information, visit the SEQ City Deal Organics Processing Program page on the Queensland Government website. Applications are submitted via the DETSI SmartyGrants portal.