The Regional Microgrids Program (the Program) seeks to support the development and deployment of renewable energy microgrids across regional Australia that contribute to the Program Outcomes.

ARENA has allocated funding across two Streams under the Program, and each Stream has its own Outcomes.

Regional Australia Microgrid Pilots (Stream A)

The aim of Stream A is to fund Projects that contribute to the following Outcomes:

1. Innovation and/or acceleration of the development and deployment of equipment and technology solutions that enable the coordinated use of distributed renewable energy technologies.
2. Improved resilience and reliability of electricity supply in regional areas.
3. Resolving one or more of the remaining barriers to deployment of microgrid solutions.

First Nations Community Microgrids (Stream B)

The aim of Stream B is to fund Projects that contribute to the following Outcomes:

1. Reduced cost of energy and other community benefits in First Nations Communities.
2. Cleaner and more reliable energy in First Nations Communities.
3. First Nations Communities are empowered to participate in their electricity supply arrangements and the development of energy infrastructure.
4. Resolving one or more of the remaining barriers to deployment of microgrid solutions.

Funding Amounts:

• The minimum Grant amount under the Program is $1 million.
• Under Stream A, ARENA expects that most Grants will be between $5 million and $10 million, depending on the scope and complexity of the Project.
• Under Stream B, ARENA expects that most Grants will be between $5 million and $25 million, depending on the scope and complexity of the Project. d
• ARENA will provide the minimum amount of funding to allow the Project to proceed.
• ARENA expects that the grant amount will be no more than 50 per cent of eligible Project costs (Grant percentage), though grant amounts of greater than 50 per cent of eligible Project costs may still be considered.

Please note that the first stage of application is by expression of interest.

Note: Please ensure you have spoken with an ARENA representative before submitting your Expression of Interest.

Specific Eligibility Provisions

The following is Eligible Expenditure:

• Eligible contract expenditure, is the cost of any activities to support the Project performed for the Recipient by another organisation. Such work to be performed on a Project must be substantiated with a written contract, which includes a letter or purchase order. If the contractor and the Applicant or Recipient are not at ‘arms-length’, ARENA may request further information in order to satisfy itself whether the amounts charged were reasonable. Organisations considered not at ‘arm’s-length’ include related companies and companies with common directors or shareholders. It is not a requirement for contracts to be in place at the time an Applicant submits a Full Application to ARENA.
• Labour expenditure, such as salaries and wages, including reasonable on-costs for personnel employed directly on the Project. Labour on-costs include: workers’ compensation insurance, employer contributions to superannuation, recreation and sick leave, long service leave accrual and payroll tax. 
• administrative expenses, including expenses incurred on communications, accommodation, computing facilities, travel, recruitment, printing and stationery, where such expenses are related directly to the Project; 
• expenditure for plant installed for the Project at the full delivered cost of the plant;
• expenditure on plant used for the construction of a Project, calculated on the basis of hire or lease costs, and running costs directly related to the construction of the Project, such as rent, power, fuel and repairs and maintenance;
• expenditure activities that directly contribute to or enable knowledge including database development, websites, applications and reports; 
• expenditure on legal, audit and accounting costs related directly to the Project; 
• expenditure related to the raising of funds for the Project, or the formation of consortia or joint ventures or other partnering arrangements, where such activities can be related directly to the Project; 
• expenditure such as relevant licence fees or intellectual property purchase costs, where the Applicant needs to access specific technology to undertake the Project; and 
• expenditure related directly to obtaining government approvals to undertake the Project.

Please refer to pages 18 - 20 of the guidelines for further information on eligible expenditure

Eligible applicant

The Applicant must:

• at the time of applying and throughout the life of the Project, hold an Australian Business Number (ABN) and 
• be either:
  • an Australian entity incorporated under the Corporations Act 2001 (Cth); 
  • an Australian State or Territory Government; 
  • an Australian local government or council; 
  • an Australian State or Territory owned corporation or a subsidiary of an Australian State or Territory owned corporation; 
  • an Aboriginal and Torres Strait Islander corporation incorporated under the Corporations (Aboriginal and Torres Strait Islander) Act 2006 (Cth); 
  • the Torres Strait Regional Authority or Indigenous Land and Sea Corporation established under the Australian and Torres Strait Islander Act 2005 (Cth); 
  • an Aboriginal Land Council, Aboriginal Land Trust or Torres Strait Islander Land Trust (or equivalent entity) established under Commonwealth, State or Territory legislation; 
  • an Australian entity incorporated under the Associations Incorporation Act 1991 (ACT), the Associations Incorporation Act 1984 (NSW), the Associations Act 2003 (NT), the Associations Incorporation Act 1981 (Qld), the Associations Incorporation Act 1985 (SA), the Associations Incorporation Act 1964 (TAS), the Associations Incorporation Act 1981 (VIC) or the Associations Incorporation Act 1987 (WA);
  • an Australian entity incorporated under the Co-operatives (Adoption of National Law) Act 2012 (NSW), Co-operatives National Law Application Act 2013 (VIC), Co-operatives National Law (South Australia) Act 2013 (SA), Co-operatives (National Uniform Legislation) Act 2015 (NT), Co-operatives National Law (Tasmania) Act 2015 (TAS), Co-operatives Act 2009 (WA), Co-operatives National Law (ACT) Act 2017 (ACT) or the Co-operatives National Law Act 2020 (QLD); 
  • an Australian university; or 
  • the Commonwealth Scientific and Industrial Research Organisation (CSIRO)

Please see the Guidelines for more detailed Eligibility Criteria.

• Email: microgrids@arena.gov.au