Large Energy User Electrification Support Program

Opening Date: 14 May 2024
Closing Date: 30 September 2024, or earlier if funding is exhausted

New funding to electrify our large energy users has just been announced with the Large Energy User Electrification Support Program (Program). This program aims to drive electrification in industry, reduce energy use, emissions and energy costs, and build industry capability.

The Program will provide funding for approved specialists to complete electrification feasibility assessments (Projects) for eligible Victorian commercial and industrial business facilities that use between 10 and 100 terajoules of gas per annum.

Funding Available:

Grants of $14,000 to $60,000 (or $66,000 if regional) ex GST are available per Project.

  • Projects involve an Approved Supplier (Northmore Gordon) to conduct an electrification feasibility assessment on up to four separate technologies, as specified in Table 1. Funding is limited to one instance of each technology type per facility, regardless of the number of opportunities to assess the same technology
  • The amount of funding each technology receives depends on the complexity of the assessment, as detailed in Table 1. A site process and energy consumption assessment are a mandatory component and must include an assessment of up to four technologies
  • For facilities over 150km from Melbourne CBD, a 10% regional bonus (ex GST) on the funding value for each assessed technology will be added to accommodate additional Supplier costs
  • The maximum funding per facility is $60,000, regardless of the technologies assessed. Facilities eligible for the regional bonus have a raised cap of $66,000. Facilities may receive assessment services exceeding $60,000 in value from an Approved Supplier, but reimbursement will not exceed $60,000 (or $66,000 if regional) per facility.

Projects featuring innovative technologies aimed at reducing high gas usage are encouraged

Table 1: Feasibility assessment funding values

Feasibility assessment element and technologiesFunding value (ex GST)
Site process and energy consumption assessment$4,000
Technology 1: Heating Ventilation and Air Conditioning (HVAC)$10,000
Technology 2: Low heat boiler (< 80 °C delivery temperature)$15,000
Technology 3: Medium heat boiler (>80 °C delivery temperature)$20,000
Technology 4: Industrial process including furnaces, ovens, dryers, reactors and similar gas-fired appliances$25,000

Who is this for?

Each application must specify one Victorian commercial or industrial business facility that can demonstrate an average gas consumption of between 10 and 100 terajoules per annum. This can be demonstrated through gas bills, meter data or National Greenhouse and Energy Reporting Scheme data, taken from the last 3 years.

Applicants must:

  • have a current Australian Business Number (ABN)
  • have been operating for a minimum of 2 years by the application submission date (to be validated by the date that the organisation’s ABN was activated)
  • engage with Northmore Gordon as an “Approved Supplier” to complete the Project

Who cannot apply:

  • Commonwealth, State, or local government entities
  • Any organisation that is applying for feasibility assessments at premises owned by a Commonwealth, State, or local government entity
  • Educational institutions (including Independent, Catholic, and Government Schools)

Projects must:

  • be undertaken at a site which consumes between 10 and 100 TJ of natural gas per year
  • involve completion of an electrification feasibility assessment that meets the Program requirements and is accepted by Sustainability Victoria
  • be undertaken at a single business facility
  • be located in Victoria
  • meet regulatory or planning requirements
  • be completed by 2 December 2024

Interested?

Reach out to Alan Wang today.

Contact An Expert

Alan Wang

Principal Consultant

Alan Wuyi Wang, B.Eng (Electrical), Hons, CMVP, CEM is an Electrical Engineer with over 7 years experience in the energy…

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