Carbon Price grants are starting to flow
With the establishment of the Carbon Price legislation, the Federal Government has allocated $30 billion to assist industry transition to the new regime. We are now starting to see these programs open for applications.
The advent of the Carbon Price has sparked an unprecedented amount of funding to be made available through grants. While this is probably the largest concentration of funding in the 'grantspace' for some time, it does by no means represent the bulk of funding to the clean energy/low carbon/environmental space.
While some grants are very narrowly targeted (even stipulating specific businesses), there are still opportunities for business to take advantage of some of the riches on offer from the Carbon Price grants, and also the myriad of other grants in this space.
Stop Press! Grants Impacted by Termination of Carbon Tax
The Federal Government have announced their intentions to move from a Carbon Price (or tax) to an Emissions Trading Scheme. Prime Minister Kevin Rudd gave a brief outline of the measures that will be taken to fund the new policy from 1 July 2014. These measures total $3.8 billion in savings for government spending over forward estimates. A number of grant programs have been loosely identified to be reduced as part of this. At present there are no specific details, however, we will keep you updated as information comes to hand.
Changes to grant programs include:
- Cuts to the clean technology program and carbon capture and storage program - $586 million over forward estimates.
- Return unallocated funds from the Biodiversity Fund to budget - $213 million over forward estimates.
- Cuts to the carbon farming futures program - $143 million over forward estimates.
The Prime Minister has noted this will apply from 1 July 2013, but it is highly unlikely that any legislative changes will occur prior to next Federal election.