Solar Sunshot

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Funding opportunity of up to $150 million to support and strengthen Australia’s solar photovoltaic (PV) supply chain through commercial-scale manufacturing of components and deployment technologies.

What is the Solar Sunshot Program (SSP)?

Round 2 of the Solar Sunshot Program (SSP) is seeking funding applications for projects that aim to:

  • Advance and automate the manufacture of solar module components to complement onshore module production.
  • Increase cost competition and resilience of underlying solar module inputs and supporting technology through stronger local supply chains (excluding polysilicon, ingots and wafers).
  • Support the scale up of domestic solar PV deployment.
  • Support innovative approaches that can reduce solar PV deployment costs.

Round 2 requires the submission of an EOI.  The Round will be assessed as an open, merit-based process and applications will not be assessed using a ranked process.  Applicants successful at the EOI Stage will be invited to submit a Full Application.

Solar Sunshot level of support

  • Funding allocation: Up to $150 million across Round 2.
  • Funding per project: Expected in the range of $2 million – $20 million, though ARENA may consider requests outside this range.
  • Funding forms:
    1. Capital Grants – milestone-based funding for eligible expenditure.
    2. Production Credits – per-unit production support, paid quarterly in arrears for up to 10 years (with annual true-ups). Designed to bridge the gap between cost of production and achievable market price.

  • Co-contribution: Applicants must demonstrate commercial non-viability without ARENA funding (additionality). ARENA expects substantial co-funding from applicants and partners, with higher contributions strengthening the assessment outcome.

Solar Sunshot important dates

  • EOI final submission date: 30 April 2026 at 11:59pm AEST
  • Full Application submission due date: 31 August 2026 at 11:59pm
  • Register your interest with GrantHelper

Solar Sunshot objectives

The objective of Round 2 is to strengthen Australia’s solar PV supply chain by supporting commercial-scale manufacturing of key components and deployment technologies.

ARENA’s intent is to back projects that can contribute to a resilient, sustainable, and innovative solar PV manufacturing sector in Australia.

Projects eligible for Solar Sunshot support

Eligible projects include:

  • Commercial-scale manufacturing of solar PV module components such as frames, solar glass, junction boxes.
  • Solar PV racking, tracking, and deployment technologies.

Ineligible projects include:

  • Manufacture of solar PV modules and cells.
  • Upstream activities such as polysilicon, ingot and wafer production.
  • Pilot-scale or emerging technologies.
  • Solar thermal technology.
  • Recycling or end-of-life activities.
  • Feasibility studies and front-end engineering and design (FEED) work.

All projects must involve new or additional manufacturing capacity. Expansions to existing facilities may be considered but ARENA will not fund existing production levels.

Other Solar Sunshot important details that you will need to know

To apply, organisations must:

  • Hold an Australian Business Number (ABN).
  • Be an Australian entity incorporated under the Corporations Act 2001 (Cth).
  • Conduct projects primarily in Australia.
  • Comply with knowledge-sharing and reporting obligations as set out in the guidelines.

 

Applications that meet eligibility will be assessed for overall value for money. Round 2 merit criteria are equally weighted:

1. Contribution to Round Objectives – Extent to which the project:

  • Advances and automates manufacture of solar PV components.
  • Integrates with current or future solar module manufacturing projects.
  • Strengthens local supply chains and reduces reliance on global inputs.
  • Supports innovative approaches that reduce deployment costs.
  • Builds resilience and creates pathways to sustainable, competitive PV manufacturing.

 

2. Applicant Capability and Capacity – Strength of applicant and partner expertise, resources, track record, and capacity to deliver.

3. Project Design and Community Benefits – Quality of project methodology, technical design, risk management, approvals, procurement, and community engagement. Includes clear demonstration of benefits for local and First Nations communities.

4. Financial Viability and Co-Funding – Soundness of the project budget, financial capacity of partners, rationale for funding request, offtake agreements, and evidence of co-funding.

5. Knowledge Sharing – Value and accessibility of knowledge generated, tailored plans for dissemination, and commitment to resourcing knowledge sharing.

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.

 

To successfully secure funding, applicants should demonstrate that their project:

  • Meets the Round 2 objectives, by advancing automation in solar PV component manufacturing, strengthening local supply chains, supporting domestic deployment, and reducing costs.
  • Aligns with scope requirements, focusing on solar PV module components (frames, glass, junction boxes) and deployment technologies (racking and tracking).
  • Delivers strong community and First Nations engagement, with clear benefit-sharing processes and alignment with regional transition opportunities.
  • Shows financial viability and additionality, proving that the project requires ARENA support and is not otherwise commercially viable.
  • Provides substantial co-funding, with strong equity commitments and evidence of partner financial capacity.
  • Demonstrates applicant capability and capacity, including track record, resources, key personnel, and commercial agreements.
  • Presents a well-designed project, with robust technical design, approvals pathway, risk management plan, and procurement strategy.
  • Offers clear knowledge-sharing outcomes, with a tailored plan for capturing and disseminating lessons to industry and government.

 

Applicants should prepare comprehensive documentation, including:

  • Project Plan (50+ pages at EOI; no limit at Full Application).
  • Financial Model with sensitivity analysis, production profiles, and return calculations.
  • Detailed Risk Management Plan, covering project lifecycle, mitigation strategies, and monitoring.
  • Community Engagement and Benefit Plan (5–10 pages), with clear processes for stakeholder engagement, First Nations collaboration, and benefit sharing.
  • Knowledge Sharing Plan aligned with ARENA requirements.
  • Funding Agreement or Term Sheet Compliance Table.
  • Letters of support, conflict of interest declarations, and supporting due diligence documents.

 

All applications must be submitted online using ARENANet, or as otherwise directed by ARENA.

Register your interest with GrantHelper to explore your alignment with this grant and how we can assist you to increase your chances of success.

Solar Sunshot resources

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