Critical Technologies Challenge Program

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Grants of up to $5 million to develop quantum technology solutions or a component(s) that contributes to a solution for market-led challenges of national significance.

What is the Critical Technologies Challenge Program Round 2?

The Critical Technologies Challenge Program (CTCP) is an Australian Government initiative designed to foster the development and commercialisation of quantum technologies.

Round 2 supports businesses to partner with Australian research organisations, technology end-users and other interested parties. It aims to accelerate commercialisation for quantum technologies from early-stage, when private capital is hard to secure.

This program provides consortia with funding to develop quantum technology solutions or a component(s) that contributes to a solution for market-led challenges of national significance.

The challenges are:

  • Challenge 1: Improve biosecurity outcomes by enhancing the detection of invasive pests or diseases, and cargo inspection processes.
  • Challenge 2: Improve life expectancy, health outcomes and access to health technology for First Nations peoples.
  • Challenge 3: Optimise transport routes, logistics and supply chain operations.
  • Challenge 4: Optimise the performance, sustainability, and security of energy networks.

The program is delivered in two stages:

Stage 1 Feasibility Grant

  • The purpose of the Stage 1 Feasibility grant is to test and demonstrate the technical viability of your proposed solution or component(s) of a solution.

Stage 2 Demonstrator Grant

  • The purpose of the Stage 2 Demonstrator grant is to support you to build on your Stage 1 Feasibility project and produce working prototypes or demonstrations.
  • Only applicants that complete a Stage 1 Feasibility project will be invited to submit an application for Stage 2 Demonstrator funding.

Critical Technologies Challenge Program Round 2 level of support

Stage 1 Feasibility Grant:

  • Minimum Grant Amount: $100,000
  • Maximum Grant Amount: $500,000
  • Co-contribution Requirement: Applicants need to cover at least 20% of the project costs.

Stage 2 Demonstrator Grant:

  • Minimum Grant Amount: $1 million
  • Maximum Grant Amount: $5 million
  • Co-contribution Requirement: Grants cover up to 80% of eligible expenses, with the remainder to be provided by applicants.

Critical Technologies Challenge Program Round 2 important dates

Critical Technologies Challenge Program Round 2 objectives

The program supports Australian innovators in overcoming significant national challenges through quantum technology.

  • Stage 1 Feasibility Grant: To test the feasibility of using quantum technology to address significant challenges.
  • Stage 2 Demonstrator Grant: To advance feasibility studies by producing a working prototype or demonstration that showcases the commercial potential of the quantum technology solution.

Activities eligible for Critical Technologies Challenge Program Round 2 support

Stage 1 Feasibility Grant

1/2 Eligible Activities:

  • Assessing the technical viability and novelty of the proposed quantum technology solution.
  • Evaluating national and cybersecurity implications related to the proposed solution.
  • Identifying and collaborating with potential end-users of the technology.
  • Engaging with First Nations businesses, Aboriginal Community-Controlled Organisations (ACCOs), or a Supply Nation registered or certified First Nations Business Advisor.
  • Additional Activities: The Program Delegate may approve activities that align with the program’s objectives and desired outcomes.

2/2 TRL Requirements:

  • Starting TRL: Projects entering Stage 1 should begin at TRL 4. This indicates that the technology has been validated in a lab environment, showing that the basic technological components perform together.
  • Expected Progression: By the end of Stage 1, projects should aim to achieve TRL 5. This level demonstrates that the technology can perform in a relevant environment, simulating real-world conditions where the product will be used.

Stage 2 Demonstrator Grant

1/2 Eligible Activities:

  • Developing and validating the functionality, capabilities, and performance of the solution in relevant operational environments.
  • Differentiating the solution from existing products or services in the market.
  • Engaging with technology end-users and developing strategies for market entry.
  • Additional Activities: As with Stage 1, the Program Delegate can approve further activities that support the program’s aims and contribute to the project’s development towards commercialisation.

2/2 TRL Requirements:

  • Starting TRL: Entering Stage 2, projects should start at a minimum of TRL 5, having shown that the technology can work under simulated conditions.
  • Expected Progression: The goal for Stage 2 is to advance the technology to TRL 6 or TRL 7. At TRL 6, the technology model or prototype demonstration in a relevant environment is expected, meaning it should be on the verge of being tested in an operational environment. Progressing to TRL 7 would involve the demonstration of the prototype in an operational environment, which is a significant step towards actual deployment and commercialization.

Both stages emphasise collaboration with industry partners and stakeholders, focusing on technological innovation that meets market needs and contributes to Australia’s quantum technology sector. The guidelines ensure that the projects not only push the boundaries of current technology but also prepare for potential commercial and industrial applications.

Ineligible expenditures

For both stages, the grant does not cover:

  • General Operating Expenses: Routine operational costs unrelated to direct project activities.
  • Non-Project Staff Costs: Salaries and benefits for staff not directly involved in the project.
  • Previously Funded Activities: Costs for activities or project components that have received funding from other sources.
  • Capital Expenditures: Purchase of land, buildings, or major equipment not directly essential to the project’s core research activities.

See the guidelines for full details of activities eligible for CTCP support.

Other Critical Technologies Challenge Program Round 2 important details that you will need to know

Applications must be on behalf of a joint (consortia) collaboration with an eligible lead applicant who is the main driver of the project.

Only an eligible lead applicant can apply for grant funding on behalf of consortia project partners.

Critical Technology Challenge Program Round 1 applicants are eligible to apply under Round 2 of the program.

Stage 1 Feasibility Grant

To be eligible as the lead applicant you must:

  • have an Australian Business Number (ABN)
  • be registered for the Goods and Services Tax (GST); and
  • be an entity, incorporated in Australia.

 

Stage 2 Demonstrator Grant

To be eligible as the lead applicant you must:

  • have an Australian Business Number (ABN)
  • be registered for the Goods and Services Tax (GST)
  • be an entity, incorporated in Australia
  • have completed a Critical Technologies Challenge Program Round 2 – Stage 1 Feasibility
  • project
  • be invited to apply for the Round 2 Stage 2 Demonstrator grant opportunity.

 

Further details on consortia can be found in sections 5.2 and 8.2 of the guidelines.

Stage 1 Feasibility Grant:

  1. Project alignment with the selected challenge and pathway to market (30 points).
  2. The quality of your project (30 points).
  3. Capacity, capability and resources to deliver your project (40 points).

 

Stage 2 Demonstrator Grant:

  1. Project alignment with the selected challenge and Stage 1 outcomes (30 points).
  2. Impact and path to market (30 points).
  3. Capacity, capability and resources to deliver your project (40 points).

 

See the guidelines for full details of the assessment criteria.

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.
  • Deliver the project as outlined in the application.
  • Provide complete information requirements.

 

Here’s a summary of the information requirements for each stage:

Stage 1 Feasibility Grant

Information Requirements:

  • Project Description: Detailed explanation of the quantum technology solution, including its approach to solving one of the defined challenges.
  • Technical Viability: Analysis of the technology’s technical feasibility, including lab results or theoretical models that support the proposed solution.
  • Innovation and Novelty: Explanation of how the solution differs from and improves upon existing technologies or solutions in the market.
  • National and Cyber Security Assessments: Evaluation of any potential security risks associated with the technology and plans to mitigate them.
  • End-User Identification: Identification of potential technology end-users and a plan for how their feedback will be integrated during the feasibility phase.
  • Community Engagement: Strategies for engaging with First Nations businesses and organizations, detailing the nature of collaboration.
  • Project Plan and Budget: A comprehensive project plan including timelines, milestones, and a detailed budget that outlines expected costs and funding needs.

 

Stage 2 Demonstrator Grant

Information Requirements:

  • Development Progress: Detailed report on the outcomes of Stage 1, demonstrating the feasibility and readiness to move to a more advanced prototype or demonstration phase.
  • Prototype Details: Detailed description of the prototype or technology to be developed, including technical specifications and integration plans for real-world environments.
  • Market Engagement Strategy: Plans for engaging with market and end-users, including potential routes to commercialization and any partnerships with industry stakeholders.
  • Performance Testing: Plans for testing the performance of the technology in operational or near-operational settings, with defined criteria for success.
  • Risk Assessment and Management: Updated risk management plan, addressing any new risks identified during the transition from feasibility to demonstration.
  • Intellectual Property Strategy: Outline of how intellectual property rights will be managed, including agreements with partners and strategies for protecting proprietary technology.
  • Comprehensive Budget and Financial Plan: Detailed financial plan showing how funds will be allocated, expected co-contributions, and financial sustainability post-grant.

 

For both stages, the applications must be robust, with clearly defined goals, measurable outcomes, and a strong emphasis on advancing quantum technology from a concept to a market-ready product. This ensures that the program not only supports technological innovation but also contributes to economic growth by moving cutting-edge research towards commercial viability.

See the guidelines for full details of information requirements.

To apply, eligible organisations must submit a detailed proposal through the business.gov.au 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.

Critical Technologies Challenge Program Round 2 resources

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