Low Carbon Product Manufacturing Grant (NSW)

Status checked 21 October 2026: Applications are closed. The NSW Government says the round closed at 12:00 pm AEST on 25 August 2026 and is assessing applications. This page records the former round for reference; it is not an invitation to apply.

Check the NSW Government program page and funding guidelines for the latest status, decisions and conditions.

What the round supported

The Low Carbon Product Manufacturing Grant formed part of the NSW Net Zero Manufacturing Initiative. It offered between $5 million and $30 million per project, covering up to 50% of eligible costs, for new or expanded commercial-scale manufacturing facilities in NSW. The round focused on low carbon building materials, green chemicals, biomass-derived biofuels, power fuels produced with renewable energy, and inputs for agricultural production.

The administrator identified the Hunter and Illawarra as areas of strategic interest, while allowing projects elsewhere in NSW. Applicants had to demonstrate an eligible product with lower lifecycle emissions than conventional alternatives, a viable commercial strategy and the ability to deliver the project. The former guidelines set out entity, co-contribution, expenditure and assessment requirements; those terms should be read as conditions of the closed round.

Dates and next steps

Applications opened on 2 June 2026 and closed at noon AEST on 25 August 2026. The NSW Government says it is assessing submissions and expects to notify applicants in early 2027 after a final decision. Successful applicants will receive a written offer and funding deed; an application or eligibility assessment does not guarantee an award.

For a new funding opportunity, use the NSW grants finder. A project team can still develop its technical case: define the product and comparison boundary, quantify lifecycle emissions, document energy and process assumptions, test commercial feasibility, and specify how performance will be measured after commissioning.

Northmore Gordon's relevant services

Northmore Gordon can assist with energy audits, carbon assessment and measurement and verification for a manufacturing project. These activities can support a future application or investment decision, but they do not reopen this grant round or establish eligibility for another program.

What is the Low Carbon Product Manufacturing Grant (NSW)?

It is a NSW Government grant program, part of the Net Zero Manufacturing Initiative, designed to support businesses establishing or expanding commercial-scale manufacturing facilities in New South Wales that produce low carbon products and materials. It aims to accelerate investment in emerging low carbon industries, strengthen local manufacturing capability, and support projects contributing to long-term emissions reduction.

How much funding is available under the Low Carbon Product Manufacturing Grant?

Funding ranges from $5 million to $30 million per eligible project, covering up to 50% of eligible project costs, with applicants required to contribute the remaining funding through private investment or other non-NSW Government sources.

When did applications open and close for the Low Carbon Product Manufacturing Grant?

Applications opened on 2 June 2026 and closed at 12:00 pm AEST on 25 August 2026. The NSW Government lists this round as closed and says it is assessing applications; check the administrator's program page for any later outcome.

What types of products must eligible projects manufacture?

Eligible projects must produce one or more of the following: low carbon building materials, green chemicals, biofuels derived from biomass, renewable energy-based power fuels, or inputs required for agricultural production.

What can the grant funding be used for?

Funding can be used for capital expenditure and project delivery costs, including purchasing land where required, construction of new manufacturing facilities/buildings/hubs, purchasing/installing/commissioning plant and equipment, upgrading existing facilities and infrastructure, acquiring technology and intellectual property, and specialist labour and project delivery costs.

What are the key eligibility requirements for applicants?

Applicants must hold or be willing to obtain an ABN, be or become an eligible incorporated entity, be registered or willing to register for GST, hold required insurances including public liability and workers compensation, not be insolvent and demonstrate financial viability, comply with employment and workplace health and safety obligations, provide a minimum cash contribution of at least 50% of eligible project costs from non-NSW Government sources, propose a project establishing or expanding a commercial-scale manufacturing facility in NSW, manufacture an eligible low carbon product with lower lifecycle emissions than conventional alternatives, complete the project within the required timeframe, and have a viable commercial strategy demonstrating genuine need for government support.

What is the project completion deadline for grant-funded projects?

Projects must be completed within four years of funding approval and no later than 30 June 2032.

How can Northmore Gordon help with a manufacturing project after this grant round?

The 2026 round is closed. Northmore Gordon can help with energy audits, investment-case development, lifecycle emissions assessment and feasibility work for a manufacturing project or a future funding opportunity. That work does not reopen this round or guarantee eligibility or funding.

What role can energy assessment play in a future manufacturing funding case?

Energy assessment can document a manufacturing project's process heat, utilities, equipment performance and operating assumptions. It may support a future investment case or funding submission. For the closed 2026 NSW round, applicants had to address the technical and commercial criteria in the official guidelines; a new opportunity will have its own requirements.

How should applicants document the lifecycle emissions advantage of their proposed low carbon product?

A project team can define the product comparison boundary, assemble activity data and emission factors, document assumptions and data quality, and compare lifecycle emissions with conventional alternatives. The precise evidence requirements for a funding application depend on that program's current guidelines.

What financial and commercial evidence should a project team prepare?

For a future funding opportunity, prepare a commercial case that tests capital and operating costs, production capacity, market demand, finance and risks under transparent assumptions. Keep any grant contribution separate from the base project economics. The 2026 NSW round is closed; its former criteria should not be assumed to apply to another round.

Why is the Hunter and Illawarra strategic interest designation relevant to grant applications?

The NSW Government identified the Hunter and Illawarra as areas of strategic interest for the closed 2026 round, while projects elsewhere in NSW could apply. For a future project, verify the location rules in the applicable current program rather than assuming this preference carries forward.

What were the assessment criteria for the 2026 NSW grant round?

For the closed 2026 round, the published criteria covered deliverability and technical feasibility, financial and commercial feasibility, strategic significance, and value for money. A future application should answer the criteria in its own current guidelines with proportionate engineering, commercial and emissions evidence.

What measurement and verification approach should applicants use to track energy and emissions performance during facility commissioning?

A manufacturing project can define a measurement boundary, establish baseline operating conditions, specify meters and data quality controls, record operating variables, and compare post-commissioning performance with forecasts. Any grant reporting or verification duties must be checked against the actual funding deed and current program rules.

Images on This Page