What grants are currently available under the Net Zero Manufacturing Initiative?

There are 3 grants under round 2 of the Net Zero Manufacturing Initiative. 

You can watch our recorded webinar held on 22 June 2026 to learn more about each grant, including eligibility and the application process.

Can I apply for more than one grant for my project under round 2 of the Net Zero Manufacturing Initiative?

Yes, you can apply for more than one grant under round 2 of the Net Zero Manufacturing Initiative. However, if you are successful, your project will only receive funding from one of the grant streams. 

Can I still apply for round 2 grants if I have previously applied for round 1 grants?

Yes. You can apply with new or different projects for round 2 grants. However, funding for the same project and costs which have already received NSW Government funding is not eligible.

When do applications open and close for this grant?

Applications opened on 2 June 2026 and closed on 8 September 2026 at 12:00 pm (AEST).

How can I ask questions about the funding or my application?

We encourage you to read our funding guidelines and supplementary guidance first. These contain important details about the eligibility and assessment criteria and what information you require, including supporting documents, to complete your application.

If you still have questions, email us at: [email protected] 

Am I eligible if I have already received other grants from the NSW Government for my project?

No. You are not eligible if your project has already received NSW Government funding for the same outputs and outcomes, or any part of the same project. Your eligibility won’t be affected if you received grant funding for a different project.

Do I need to have a partner organisation to be considered eligible for this grant?

No. You do not need a partner organisation to be considered eligible. You may collaborate with a partner organisation to deliver your project in either a technical, operational and/or financial capacity. In this case, you must clearly outline the roles and responsibilities of the partner organisation and provide evidence, which can include letters of support.

My project is not located in NSW. Am I eligible?

No. Projects must be in NSW to be eligible for funding.

Do partner organisations need to transfer their funding contributions to the applicant before those funds can be spent?

No. However, you are responsible for maintaining a record of all project expenditure and reporting it to the department.

If the applicant changes, do I need to inform the Department of Climate Change, Energy, the Environment and Water (the department)?

Yes. Please email us as soon as possible at [email protected] with your application number and details about the proposed changes to the applicant. 

All communication is done through the GMS, so please ensure that your contact information is kept up to date.

Proposed changes to the applicant (during the application process or during your project) must be approved by the department in writing and updated in the GMS.

If you have any questions, you can email us at: [email protected] 

Note: The department reserves the right to determine that the proposed applicant is ineligible if they cannot satisfy the eligibility criteria.
 

Can applicants use future revenue streams to meet their financial co-contribution requirements?

If you are proposing to meet your financial co-contribution requirements through future revenue streams, you must provide evidence demonstrating that these revenues will be available. Acceptable evidence may include, for example, an existing customer contract or offtake agreement.

Can I include funding received from other Commonwealth programs as part of my co-contribution amount?

Yes. Funding received from other (non-NSW) government bodies can be included as part of your cash contributions. You must also disclose all Australian Government and/or state, territory grants applied for in relation to your project. Read section 2.3 in our supplementary guidance for more details. 

Costs already funded by other sources of local, state or Commonwealth government funding are not eligible (i.e., no double-funding of the same expenditure). 

Are there any size or turnover requirements for a business to be eligible?

No, this grant does not include eligibility criteria relating to business size or turnover. However, there is merit criteria which considers factors such as:

  • the business’s resourcing and capability to deliver the proposed project, and
  • its experience in delivering projects of a similar size or scope.

Read sections 4 and 5 in our funding guidelines for more details about eligible applicants and assessment merit criteria.
 

Will I be requested to provide additional details if they are needed to assess my application?

Yes. Where needed to confirm your eligibility or for merit scoring, we might request clarification or supporting documentation through the Grant Management System (GMS). 

How do I confirm if my application has been received?

You will be notified by email via the Grant Management System (GMS) that your application has been received.

If you do not receive an email within 2 working days, email us at: [email protected] 

My application and registration will include personal information. How do you manage this information?

We have legal obligations under the Privacy and Personal Information Protection Act 1998 (NSW) in relation to the collection, storage, access, use and disclosure of personal information.

We will provide a privacy statement in your application form that details how your information will be managed in accordance with privacy law.

If my application is unsuccessful, can I seek feedback?

Yes. After we’ve notified you of the outcome of your application, you can seek feedback by emailing, us with your application number at [email protected] 

Feedback is solely at the discretion of the department. 

Can organisations outside of NSW apply?

Yes. Interstate and international organisations can apply. You must outline how the clean technology is significantly more innovative and commercially feasible than alternative solutions currently available in NSW and Australia.

Interstate organisations must be:

  • willing to establish a NSW-based office with local staff capable of delivering the project
  • undertaking a project that will be delivered in NSW, with the expectation that any subsequent scale-up of the technology or production will also occur in NSW. 

International organisations must:

  • have a NSW-based project sponsor that endorses the project and demonstrates interest in purchasing the clean technology, should it be successfully commercialised
  • be undertaking a project that will be delivered in NSW, with the expectation that any subsequent scale-up of the technology or production will also occur in NSW
  • be willing to establish a NSW-based office with local staff capable of delivering the project
  • be willing to establish an Australia-based entity duly incorporated under the Corporations Act 2001.
Can I apply for more than one project under this grant?

Yes. You can apply for up to 2 projects. However, each project must be unique.  

Can researchers from a university apply?

Yes. Researchers from private or public research organisations can apply. However, this must be through your research organisation’s commercialisation or technology transfer office.

A separate entity must be established to commercialise the clean technology (for example, via a university spin-out) prior to submitting your application.

Can the department assist me with my application?

No. As all grants under the Net Zero Manufacturing Initiative are assessed through a competitive process, the department must adhere to strict probity requirements and therefore cannot assist you with your application. 

How will applications be assessed?

We will assess all applications against the eligibility and merit criteria outlined in sections 4 and 5 of our funding guidelines. You can also read section 3 in the guidelines for details on the assessment process for this grant.

An assessment team consisting of subject matter experts will score your application against the merit criteria. An independent review panel will oversee the assessment and make recommendations to the decision maker. We expect that these reviews will take 6 - 10 weeks.  

Projects will be assessed on their own merits in a competitive environment. 

Are applications assessed on a first come-first served basis?

No. Applications are all individually assessed after the application closing date. This opportunity is a competitive grant, and applications are assessed based on their ability to address the merit criteria. 

I am based in NSW. Can I collaborate with a research organisation based outside of NSW?

Yes. You can collaborate with research organisation based outside of NSW. You must include details of any organisation you will be partnering/collaborating with in your application. 

What if my project is too advanced for this grant, but too early for the low carbon product manufacturing or renewable manufacturing grants?

If your technology does not fall between a Technology Readiness Level (TRL) 6-9 then you are ineligible for this grant.

However, our clean technology innovation program works closely with 5 incubators, pre-accelerators and accelerators.

For more information about the 5 ecosystem organisations who may support your project to prototype, visit our website.

The NSW Government-funded NSW Decarbonisation Innovation Hub may also support you on your commercialisation journey. 

You can also find other funding opportunities on the NSW grant finder website.

Are any research and development, early concept, pre-front end engineering design (FEED), or feasibility study activities eligible for this grant?

An activity such as a pre-FEED or feasibility study is eligible if it supports a project where the technology is already at a Technological Readiness Level (TRL) of 6-9.

A project with a TRL score outside of this range when you submit your application is not eligible. 

Does this grant allocate a certain percentage of its funds for particular technologies or industry?

No. It is a technology agnostic program. All applications will be assessed based on their merit as this a competitive grant.

If a project received funding in a previous round, can a similar project through a different applicant still be considered eligible for round 2?

Yes. Similar projects may be eligible for funding, but the same project can’t receive funding twice. To be eligible for this grant, you must demonstrate that your technology has a technological readiness level (TRL) of between 6-9 and a commercial readiness index (CRI) of less than 4. Projects within the product categories outlined in our funding guidelines are welcomed.

What is the minimum potential CO₂ abatement required to apply for this grant?

There is no minimum abatement required. In your application, you must include an estimate of how much your project could reduce emissions in its target sector if successfully commercialised and deployed.

My clean technology falls outside the priority areas of the NSW Office of Chief Scientist and Engineer’s Decarbonisation Innovation 2023 Study categories mentioned. Can I still apply for this grant?

Yes. In your application form you can select ‘other’ and provide details about your technology, if your technology falls outside the mentioned priority areas of the Decarbonisation Innovation Study.

Will I be able to retain my intellectual property (IP)?

Yes. You will be able to retain all rights to your intellectual property.

It is a requirement of the eligibility criteria that you are either the legal and beneficial owner or have all the necessary rights to use any intellectual property necessary to carry out your project.

As part of the merit criteria assessment, what evidence can I provide to show that my product will result in economic, environmental and/or social benefits to NSW?

We anticipate receiving a diverse range of applications and acknowledge that the evidence appropriate for one technology might not be applicable for another. Examples of evidence may include, but are not limited to: data, journal articles, impact assessments, modelling.

Read section 4.4 in our funding guidelines for more details about examples of eligible projects. 

What does ‘costs incurred’ mean?

Costs incurred refers to any legal obligations or commitments to pay for goods, services, or works through, but not limited to, a binding agreement, purchase order, contract or equivalent commitment. Any costs incurred before a funding deed is signed by you and the department are ineligible for grant funding.

Does this grant require matched funding?

Yes. This grant operates on a dollar-for-dollar basis (i.e. for every dollar of funding received from the NSW Government, you and your project partners must contribute an equal or higher amount). This drives applications that have a clear value proposition, which shows greater potential for securing ongoing financing beyond this grant project. It also allows the NSW Government to leverage its investment to unlock additional capital, resulting in potentially greater impact.

What evidence of private investment do I need to be recognised as matched funding, and at what stage must this matched funding be fully secured?

You must demonstrate cash contributions of at least 50% of the total eligible project costs and have credible funding arrangements in place when you submit your application.

We accept term sheets for debt or equity, letters of support and other evidence of committed finance from a private investment source. Read our supplementary guidance for more information on the required evidence you must provide.

If successful, you will need to demonstrate your security of cash contributions when you sign a funding deed. 

Can previous contributions be considered as part of an applicant’s co-contributions?

No. For contributions to count towards eligible project contributions, they must directly relate to project activities and must not have been incurred prior to signing the funding deed.

If an eligible project has already commenced by the time my application is approved, can funding be applied retrospectively?

No. If your project has started, activities carried out before the funding deed is signed are ineligible.

Can co-contributions be all in-kind?

Co-contributions can be in both cash or in-kind (financial), however cash contributions will be viewed more favourably.   

In-kind (financial) includes salary of the project team, based on the proportion of time they spent on the project. Note that in-kind (non-financial), including payment for existing rental facilities, are not eligible.

Read section 2.3.3 and 2.3.4 in our supplementary guidance for examples of eligible and ineligible costs.

Am I eligible if I’ve already received or applied for other Australian government grants?

Yes. You are welcome to submit applications for projects that have received or applied for funding from other governments.

However, in your application form you must clearly demonstrate criticality of funding and complete the related project section for us to understand the grants you have received or have applied for.

You are not eligible if your project or any part of the project with the same scope of outputs and activities, has already received NSW Government funding. 

Do I need an existing factory in NSW for this grant?

No. You are not required to have an existing factory in NSW, but projects must be located in NSW to be eligible for funding. 

Can this grant be used to take technology and innovation in the theory and design stage to a prototype? What initiatives and support are there to bridge the invention to innovation to market gaps?

No, unfortunately, this grant is not providing that support. However, the clean technology innovation program works closely with 5 incubators, pre-accelerators and accelerators.

For more information about the 5 ecosystem organisations who may support your project to prototype, visit our website.

Who determines the Technology Readiness Level (TRL) and Commercial Readiness Index (CRI) scores?

You are required to nominate the TRL and CRI for your technology as part of your application. Evidence is required to support the proposed TRL and CRI.

The Australian Renewable Energy Agency (ARENA) provides guidance on this matter.

Read section 2.2.2 and 2.2.3 in our supplementary guidance for more details on how to evaluate your project’s TRL and CRI.

Is there a more appropriate index other than the Commercial Readiness Index (CRI) available or that you can suggest?

No. This grant uses the CRI as guidance on commercial readiness. The Australian Renewable Energy Agency (ARENA) provides guidance on this matter for renewable energy sectors. The CRI methodology can be adapted and utilised across different technological domains to gauge their readiness for commercialisation and deployment.

Read section 2.2.3 in our supplementary guidance for more details about the CRI.

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