Up to $1.5 million to support Western Australia’s heavy industries transitioning to net zero emissions by 2050, aligning with the state’s climate and innovation goals.
On this page you will find
What is the Carbon Innovation Grants?
The Carbon Innovation Grants Program (CIGP) is a key initiative under the Government of Western Australia’s Climate Action Fund, launched in 2021. It is designed to support Western Australia’s heavy industry sectors in transitioning towards net zero emissions by 2050, aligning with the state’s ambitious climate targets.
With $15 million in funding, the CIGP is administered by the Department of Water and Environmental Regulation through a competitive process. This ensures that the most impactful and innovative projects receive the support needed to advance Western Australia’s climate goals.
The program includes two grant funding streams to reflect the different stages of technology development that may require government support. These streams are:
- Feasibility Studies: Supporting technologies and methods to progress from concept to real-world trials.
- Pilot Projects and Capital Works: Supporting real-world testing of innovative technologies and methods from pilot stage through to full-scale deployment.
Carbon Innovation Grants level of support
- Minimum funding amount: $50,000 (Feasibility Studies) / $100,000 (Pilot Projects and Capital works)
- Maximum funding amount: $500,000 (Feasibility Studies) / $1,500,000 (Pilot Projects and Capital Works)
Co-contribution required:
- For Feasibility Studies, the program funds up to 50% of total project costs.
- For Pilot Projects and Capital Works, the program funds up to 25% of total project costs.
Carbon Innovation Grants important dates
- Application closing date: 5pm Friday, 28 February 2025 (AWST)
- Grant Information Webinar: 3 December 2024, 2pm AWST
- Financial Model Overview Webinar: 5 December 2024, 2pm AWST
- Notification of outcomes: Anticipated August 2025
- Register your interest with GrantHelper
Carbon Innovation Grants objectives
The Carbon Innovation Grants Program aims to support Western Australian heavy industries in transitioning to net zero emissions by 2050. The program prioritises:
- Reducing greenhouse gas emissions in heavy industry processes.
- Supporting innovative carbon abatement and sequestration technologies.
- Generating environmental and economic co-benefits for WA.
- Increasing carbon credit supply for offsetting residual emissions.
Projects and expenditure eligible for Carbon Innovation Grants support
Feasibility Study Funding Stream
1/3 Eligible Projects:
- Projects that progress technologies or methods from concept to real-world trials (typically TRL 3-5).
- Projects must be additional to the applicant’s usual business activities.
- Must align with program objectives and have a specific focus on carbon abatement and sequestration.
2/3 Eligible Expenditures:
- Capital costs for equipment used for feasibility assessments.
- Costs for professional services, transport, and commissioning directly linked to project milestones.
- Project management and grant administration costs.
3/3 Ineligible Expenditures:
- Costs for land acquisition or venture capital.
- Retrospective funding for already completed work.
- Legal and statutory costs, or costs for compliance with the funding agreement.
Pilot Projects and Capital Works Funding Stream
1/3 Eligible Projects:
- Projects that advance innovative technologies or methods from pilot to full-scale deployment (typically TRL 6-9 or CRL 2-3).
- Projects must involve specific industrial sites in WA and must include an industrial business as a partner.
- Must be additional to the applicant’s regular business operations.
2/3 Eligible Expenditures:
- Costs of capital works, including system control equipment and power systems for carbon abatement or sequestration.
- Non-equipment expenses such as design, laboratory testing, and field sampling required to achieve project milestones.
- Project-specific management and implementation costs.
3/3 Ineligible Expenditures:
- Purchase of carbon credits or projects designed purely to generate such credits outside WA.
- Projects without an industrial partner providing cash or eligible in-kind contributions.
- Ongoing operational and administrative costs, including rent, electricity, and routine salaries.
Other Carbon Innovation Grants important details that you will need to know
Organisations eligible for Carbon Innovation Grants support
Eligible entities include:
- Australian corporations, local government authorities, not-for-profits, universities, and Aboriginal corporations.
- Partnerships or consortiums involving these eligible entities.
Carbon Innovation Grants assessment criteria
Applications are assessed based on the following weighted criteria:
1. Reducing Emissions (30%)
- Potential emissions reduction (Scope 1, 2, and optionally 3).
- Alignment with the Carbon Mitigation Hierarchy.
- Cost-effectiveness (e.g., $ per tonne of emissions reduction).
2. Business Case (20%)
- Financial and technical viability.
- Justification for state government assistance.
- Project’s scalability and impact on timeline.
3. Ability to Deliver (15%)
- Technical and management capability.
- Governance structure and comprehensive project plan.
- Risk management and regulatory compliance.
4. Innovation and Wider Adoption Potential (20%)
- Novelty and demonstration potential.
- Cost reductions and scalability for future projects.
5. Public Good (15%)
- Knowledge sharing, job creation, and environmental co-benefits.
- Alignment with WA Climate Policy.
How do I get the Carbon Innovation Grants?
Applicants must:
- Read and understand the guidelines.
- Ensure eligibility for the funding. Applicants that do not meet all the eligibility criteria will not be considered.
- Demonstrate a strong alignment with the fund’s objectives.
- Provide complete information requirements.
Information to prepare for the Carbon Innovation Grants application
Prepare the following:
- A detailed business case with financial and technical viability.
- A completed financial model and risk register.
- Evidence of funding sources and in-kind contributions.
See the guidelines for more details of information requirements.
Applying for the Carbon Innovation Grants
Applications must be submitted via the SmartyGrants portal.
Register your interest with GrantHelper to explore your alignment with this grant and how we can assist you to increase your chances of success.
Carbon Innovation Grants resources
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