Australian small and medium-sized manufactures can now apply for the SME Industrial Decarbonisation Fund, an initiative designed to support businesses transitioning from fossil fuel-powered manufacturing processes to cleaner, renewable energy alternatives. The fund aims to help manufacturers reduce greenhouse gas emissions while improving efficiency and competitiveness.
Delivered by the Advanced Manufacturing Growth Centre (AMGC), the fund provides co-investment support for projects focused on industrial decarbonisation across three priority areas:
Surface Treatment
Process Steam
Metals Processing
The $10 million co-investment fund offers support for eligible projects with AMGC contributing up to 50% of total eligible project costs, with funding generally ranging from $200,000 to $500,000 per project. Projects with co-investment requests below $200,000 may also be considered on a case-by-case basis.
Eligible project activities may include:
Renewable energy assessments and specialist consultancy services
Workforce training, certification and skills development
Upgrades to power supplied and electrical infrastructure
Regulatory compliance associated with facility or power upgrades
Purchasing and installing equipment that enables a transition from fossil fuels to renewable energy
Workforce training and business process changes associated with implementing new renewable energy equipment
Businesses are required to contribute at least 50% of project costs through cash investment, with any in-kind contributions provided above this amount. Applicants cannot use funding from other government grants programs to cover their required contribution.
To be eligible, applicants must:
Be an Australian small or medium-sized enterprise (SME) with up to 200 employees
Hold a valid ABN or ACN
Be registered for GST
Be a non-tax-exempt Australian incorporated entity
All funded projects must be completed by 31 March 2028, with applications open until 31 December 2027 or until available funding has been fully allocated.