Energy Innovation Fund

The Integrated Energy Plan (IEP) 2024-2030 [PDF 7.0 MB], released in June 2024, sets out the long-term vision for the transformation of the ACT’s energy system to achieve net zero emissions by 2045.

The IEP provides clear guidance for a coordinated and planned approach to phase out fossil fuel gas, electrify our city and ensure a “just transition”. Additionally, the work to decarbonise our homes, businesses and transport systems also highlights the significant implications for how we design, build and upgrade our city infrastructure and energy networks over the next two decades and beyond.

The Government highly values partnerships and the expertise within the Canberra community that can help solve key policy challenges. The Fund invites the business and research community to be part of the solution to accelerate the energy transformation in the ACT.

The Policy Challenge Grant themes for 2025 are outlined below. Proposals could include, but are not limited to:

• innovative policy options;
• innovative actions offered by industry;
• innovative financing mechanisms;
• collaborative trials or pilots to test proposed solutions;
• behavioural nudges and insights.

Applications close on 31 December 2025. Applications received ahead of this deadline can be considered in advance of the application date closing. Proponents may wish to build upon work undertaken to support the release of the Integrated Energy Plan. Reports and modelling is provided at Energy Transition Modelling.

Theme 1: Optimising the orchestration of consumer energy resources

Consumer energy resources (CER), such as rooftop solar, batteries, electric vehicle chargers and controlled loads such as hot water heaters, pool pumps and air conditioners, can generate or store electricity as well as flexible loads that can alter demand in response to external signals.

CER are instrumental to the future electricity system in the ACT. If orchestrated well, they will help to reduce emissions, reduce costs for consumers, deliver reliable and secure energy supply, and avoid the need for grid-scale investments.

Accessing the full benefits of CER is a priority for the ACT Government. The absence of CER orchestration may impact system stability and device performance, cause system service challenges in the distribution network, raise consumer and network costs, and pose energy security risks.

The ACT Government is seeking proposals to address the following identified challenges:

1. Dispatchable CER orchestration trials in residential settings (for example, multi-unit apartment buildings, or neighbourhood-scale virtual power plants) to better manage home energy demand. This could include:
   1. testing CER orchestration options and business models at multi-unit apartment building level,
   2. designing regulatory sandbox requirement to support the trial,
   3. innovative options to incentivise a combination of consumer engagement, grid-responsive pricing, and control mechanisms.
2. Fast acting CER demand management solutions, to deal with potential system blackouts and high electricity demand periods in the ACT. This could include:
   1. actions to improve consumer knowledge and participation rate,
   2. testing options for effective devices integration and rewards pathways, specifically designed for the ACT’s energy system.

The ACT Government is particularly interested in proposals that consider equitable consumer access to CER benefits and ensure consumer protection, that harness the full potential of new and emerging household and business CER.

Theme 2: Pathways to repurpose gas infrastructure and explore green gas use

Gas demand in the ACT is currently between 7.4–7.7 petajoules (PJ) per annum, with the majority of that demand (60%) coming from residential gas users for heating homes, hot water and cooking. The ACT’s commercial and industrial sectors each consume about 20% of the annual gas demand.

The ACT Government has implemented a regulation that prevents new gas connections in most land-use zones. Over the next few decades, majority of the gas network will need to be decommissioned as gas use continues to decline. As the decommissioning begins from 2030 onwards, consideration for alternative gas infrastructure use will also be required. Failing to do so may result in impact on assets cost recovery for energy consumers over the long term.

Green gas such as biomethane or renewable hydrogen could play a critical, but targeted role in decarbonising the ACT’s industrial uses that are significantly difficult or impossible to electrify. Green gas use in the ACT could be in the form of a standalone system, or networked systems.

The ACT Government is seeking proposals to address the following identified challenges:

1. Repurposing small segments of the ACT gas infrastructure. This could include:
   1. identifying segments of the ACT gas infrastructure that are in excellent condition to be repurposed, quantifying the economics of repurposing the gas assets,
   2. trials to maximise economic life of the identified segments,
   3. insights to feed into the future pathway for decommissioning the gas network.
2. Assessing green gas use in the ACT. This could include:
   1. identifying the appropriate green gas applications, quantifying the projected demand, and evaluating the costs and economics of green gas use,
   2. designing regulatory sandbox requirement to support the trial,
   3. identifying thermal demand in the ACT, appropriate green gas market schemes, timeframes and incentives.

The ACT Government is developing the plan to decommission the gas network. This provides and important opportunity to investigate alternative uses for components of the gas network, and to consider the limited opportunities for green gases for hard to electrify industry and business.

A comprehensive report [PDF 5.7 MB] regarding the capacity of industrial and commercial operators to electrify, and identifying hard to electrify industry and business, was completed in 2024.

Innovation Ecosystem Grant

The below areas of focus will not exclude other proposals to be assessed/awarded with funding. However, they signify the ACT Government’s priority for industry and economic development in Canberra.

Innovation Cluster

The ACT is internationally recognised for renewable energy innovation. ACT Government’s leadership has seen us secure a 100% renewable electricity supply; improve household energy efficiency; and attract significant local investment, business opportunities and drive economic development.

Building on the ACT’s thriving knowledge economy and a strong renewables presence, the ACT Government invites proposals to expand the ACT’s energy transition innovation ecosystem and strengthen the energy innovation industry capability.

Proposals may include avenues to better connect individuals and businesses in the energy innovation industry sector, innovation capacity building, as well as creating linkages with local, national, and international energy innovation and investment networks through new programs and events.

Business Accelerator

The ACT Government invites innovative proposals from businesses that support the development of a pioneering and nation-leading electrification industry in the ACT, with export potential. Examples include but are not limited to:

• developing one-stop-shop services for home and business upgrades and energy optimisation for easier consumer decision making.
• developing a second-hand battery industry to commercialise second-life energy storage systems from EV batteries to harness their remaining capacity.
• developing a commercial sized behind-the-meter battery industry that supports battery testing, installation, software development for demand management, and battery recycling.

• New Frontier Technologies received $750,143 under the Technology Demonstration Grant for a project to develop an innovative storage solution for hydrogen.
• RenewMap received $300,000 under the Innovation Ecosystem (Business Accelerator) Grant to support further development of their web-mapping platform that connects projects across the Australian and New Zealand energy landscape.

• PV Lab Australia received $214,374 to reduce the number of photovoltaic panels going to landfill by addressing causes of panel degradation and barriers to reuse.
• Spark3D received $254,184 to develop advanced additive manufacturing techniques for applications in next-generation photovoltaics and batteries.
• Hydrogen Renewable Energy Australia (HYREA) received $253,552 to develop a proof-of-concept hydrogen fuel-cell electric boat with on-board and on-demand green hydrogen production facilities.
• Zeppelin Bend received $250,000 to develop a web-based tool for identifying, prioritising, and analysing electricity network constraints to map out locations for network-connected battery projects.
• FlexeGraph received $180,000 to adapt its nano-coolant technology for application in battery technology to limit thermal shocks.
• Aqacia received $82,341 to proceed with commercial trials of its machine learning technology which uses image recognition and classification to quality-control solar panels.

• FlexeGraph received $135,000 to create a nano-fluid that will exceed the performance of traditional coolants, increasing energy efficiency and longevity in a range of applications.
• Smart Blox received $50,441 to develop modular solar panel and battery units in simple ‘plug and play’ blox.
• Evenergi received $235,000 to develop a model for heavy electric emulation and optimisation using real life data.
• Evoenergy received $250,000 to provide 75 customers in the Ginninderry greenfield development with battery subsidies.
• ITP Power received $88,040 to develop a web-based energy storage optimisation tool that models the performance of PV systems and battery storage for residential, commercial customers or micro- and mini-grids.
• ITP Thermal received $135,000 to develop and commercialise large-scale hydrogen storage in vertical shafts.
• PV Lab Australia received $219,830 to develop a new, accredited, Australia first PV module testing facility.

• PV Lab Australia received $63,070 to develop an Australian first testing for solar panel potential induced degradation (PID).
• ITP Thermal received $95,000 to develop solar energy storage solutions with ammonia.
• Reposit received $250,000 to develop and apply microgrid technology for solar and battery customers.
• ITP Renewables received $60,000 for modelling pathways to a low-carbon National Electricity Market.
• Solcast received $287,000 for rapid scaling and improvement of solar farm forecasting.
• Eco Spectral received $110,000 to develop a system for residential, commercial and city-wide energy management using artificial intelligence and data analytics.