Regional Investment Activation Fund - Stream Two

This grant supports projects that are time-sensitive and strategically significant for a priority industry or location. Projects may be recommended for funding support under the Regional Investment Activation Fund.

The $110 million Regional Investment Activation Fund will co-invest with eligible entities on projects that will deliver, significant economic, social and/or environmental benefits for a priority industry or location.

The objectives of the grant are to:

• Support the growth of existing industries and the establishment of new/emerging industries where regional NSW has a strong actual or potential competitive advantage
• Activate the economic potential of Special Activation Precincts, Regional Job Precincts, Renewable Energy Zones, hydrogen hubs and other priority locations through increased private sector investment
• Create new high quality employment opportunities
• Support the shift towards higher-value-added activities and participation in global value chains and supply chains
• Promote collaboration between businesses, education and research institutions and other parties through sharing of knowledge, resources and infrastructure.

Applicants must provide a cash co-contribution of at least 50 per cent of the total project cost.

Joint applications are eligible under Stream Two of the Regional Investment Activation Fund provided the lead applicant satisfies the eligibility criteria and the proposed project aligns to the key objectives of the fund and Stream Two.

To be eligible for funding through Stream Two of the Regional Investment Activation Fund, projects must:

• Be located in one of the 93 regional NSW local government areas, the Unincorporated Far West or Lord Howe Island. Projects located in Greater Sydney (including the Blue Mountains, Hawkesbury and Wollondilly), Newcastle or Wollongong Local Government Areas are not eligible
• Demonstrate the project would not occur in regional NSW at all, or in the same timeframe without government investment support
• Be delivered and operational by 30 May 2025. It is recommended applicants have a COVID plan in place to mitigate any potential delays due to COVID-19
• Support sustainable employment opportunities and drive increased productivity, innovation and competitiveness of businesses in regional NSW priority industries or in a location of strategic importance
• Deliver significant economic, social and/or environmental benefits for a priority industry or location
• Provide proof of $20 million of public liability insurance at time of contracting
• Secure approvals to meet project timeframes
• Confirm secured cash co-contribution
• Not be suitable for financial support under other Australian and/or NSW Government funding programs, or requires a NSW Government funding co-contribution to support an application to another government or industry program.

Stream Two of the Regional Investment Activation Fund grant funding may be used for capital and other expenses directly related to the delivery of eligible projects. This may include:

• Purchase of land (if necessary for the project and suitable alternatives to rent do not exist)
• Purchasing, constructing, installing and/or commissioning new plant, equipment and/or machinery
• Purchasing, constructing, establishing and/or fitting out new facilities, buildings or hubs
• Purchasing technology and/or intellectual property (IP) required to undertake the project
• Upgrading existing facilities, buildings, plant, equipment, machinery and/or technology where necessary to deliver the project and achieve its outcomes
• Cost of contractors to construct new buildings and facilities
• External project management and administration costs up to 10% of project cost
• Contingency costs up to 25% of project cost
• Eligible costs incurred once both parties have signed a Funding Deed.
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