Funding opportunity: expressions of interest are closed
Expressions of interest to participate in the Australian Government’s next round of National Water Grid funding applications are closed. The next steps in the application process are outlined below.
The application process
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1.
The Water Group in the Department of Climate Change, Energy, the Environment and Water opens an expression of interest process.
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2.
The department’s Water Group assesses proposals for eligibility and alignment with the National Water Grid Investment Framework and NSW Government considerations.
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3.
An evaluation panel shortlists proposals to recommend to the Minister (or delegate) to proceed to the development of full funding applications to the Australian Government’s National Water Grid Fund.
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4.
The department’s Water Group works with proponents of shortlisted projects to develop full funding applications.
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5.
The NSW Government submits applications to the Australian Government for assessment and funding consideration.
Watch the recorded webinar
Watch the recording of the webinar hosted by the Water Group on 4 February 2025, which covered the National Water Grid application process, questions and answers.
National Water Grid investment framework
Eligibility for funding is set out in the National Water Grid Investment Framework. The investment framework underpins how the Australian Government’s National Water Grid Branch (NWGB) advises the Australian Government on national water infrastructure investment decisions and processes.
To be eligible for National Water Grid funding, projects must:
- be a new capital investment in infrastructure increasing the security, quality and/or availability of water for regional and remote communities, and/or productive use
- deliver a demonstrable public benefit with a national interest element and demonstrated engagement with affected stakeholders (including First Nations people)
- be brought forward with strong support by a state or territory government and be dependent on a Commonwealth contribution.
Proponents seeking funding through the First Nations Infrastructure Program must also:
- show how the project benefits Aboriginal communities through addressing water challenges, in addition to meeting National Water Grid Investment Framework eligibility criteria
Proponents seeking funding through the Science Program must meet one of the following themes:
- analyse water resources, to understand future sustainability and nature positive development options
- identify and progress alternative and emerging opportunities to increase water security and climate change resilience
- develop new information resources to support decision-making, including decision support tools and science communication.
Ancillary Benefits Guide
In addition to the National Water Grid Investment Framework, the NWGB will also assess applications using the National Water Grid Fund Beyond the Infrastructure - Ancillary Benefits Guide (June 2024).
Proponents should consider how their project can also support a broader policy agenda, including 5 key Australian Government priorities:
- Deliver for First Nations Peoples
- Nature Positive
- Future Made in Australia
- Circular Economy
- Net Zero.
NSW Government considerations
In addition to the criteria set out in the National Water Grid Investment Framework, NSW will also consider the following aspects when evaluating expressions of interest:
- is the project listed as a priority action in a NSW Government strategy (e.g. a regional water strategy and/or similar strategies/plans)?
- is the project consistent with other NSW Government policy drivers (e.g. regional economic strategies, similar strategies/plans)?
- does the project address a critical town water security issue?
- does the project require additional NSW Government co-funding?
- does the project also improve environmental outcomes?
- does the project also improve outcomes for First Nations people?
- does the project also improve economic outcomes for regional communities?
- does the project also improve social outcomes for regional communities?
Evaluation criteria
In order for NSW to put forward a project for consideration by the Australian Government, the project must meet the criteria set out by both the Australian and NSW Governments.
The Australian Government’s funding criteria is outlined in the National Water Grid Investment Framework.
EOI are assessed for eligibility against the National Water Grid Investment Framework which detail the Australian Governments criteria. These requirements are assessed on a pass/fail basis (e.g. is the project in a regional area). Applications failing to meet all requirements will not progress further.
Eligible EOIs are then evaluated against the NSW Governments’ criteria outlined above.
Successful expressions of interest
Proponents who are successfully shortlisted will be asked to complete a full NWGF application form. This form will request further details to expand on the information provided in the EOI.
The department’s Water Group will assist proponents to develop this application form, however proponents are ultimately responsible for completing the proposal.
Incomplete funding applications
The Water Group reserves the right not to progress funding applications if the NWGF application form has not been completed with sufficient detail to satisfy the criteria.
Frequently asked questions
What is the National Water Grid Fund?
The National Water Grid Fund (NWGF) is the Australian Government’s infrastructure investment program to improve water access and security by delivering nationally important water infrastructure projects that unlock potential, build resilience, and promote growth and sustainability.
This includes leading the development of a National Water Grid – a series of region-specific systems that will help grow Australia’s agriculture, build resilience to drought, and support regional prosperity.
Funding applications to the National Water Grid are highly competitive and are submitted from right across Australia.
Who is the National Water Grid Branch (NWGB)?
The National Water Grid Branch is an agency within the Australian Government that shapes national water infrastructure policy and investment, and leads the National Water Grid Fund.
All National Water Grid funding decisions are made by the Australian Government’s National Water Grid Branch.
What are the key objectives of the National Water Grid Fund?
The key objectives of the National Water Grid fund are to:
- provide safe and reliable water for regional and remote communities – increasing water access, quality and security to better meet essential town water needs in regional and remote Australia
- generate public benefit through responsible investment in water infrastructure for productive use –improving water access, quality and security for agricultural, primary industry and industrial use to support regional economic growth and development
- build resilient water infrastructure that is environmentally sustainable and culturally responsive – strengthening the National Water Grid so that water infrastructure investments will support the protection of our cultural heritage and better meet future challenges from climate change, while managing environmental impacts.
Is there more than one funding stream?
The National Water Grid offers 3 funding streams:
Capital Program–funding for:
- preliminary business case phase
- detailed business case phase
- pre-construction phase
- construction phase
First Nations Water Infrastructure Program–projects may include, but are not limited to:
- upgrading networks,
- drilling and equipping bores
- installing water treatment systems.
Business case, planning and pre-construction projects may also be considered to inform infrastructure solutions.
Science Program– research projects that can:
- accelerate uptake of new and emerging water security technologies
- increase the use of climate resilient water sources
- underpin sustainable, nature-positive development of water resources, particularly in northern Australia.
For further information about eligible projects please read the documents listed below.
What documents do I need to read before lodging an expression of interest?
Applicants should read and understand the following documents:
What projects are ineligible?
National Water Grid funding is not available for:
- on-farm initiatives (opportunities exist under other funding programs)
- urban water infrastructure in major cities
- maintenance or refurbishment – unless a betterment element can be demonstrated that will provide substantial water for agriculture, industry and/or regional communities
- sewerage treatment plant projects – unless a betterment element can be demonstrated as per maintenance and refurbishment projects.
What is the definition of primary industry?
The NSW Department of Primary Industries has selected 5 industry groups to represent the breadth of selected primary industries considered vital to NSW. These include extensive livestock, cropping, forestry, horticulture/viticulture and fisheries enterprises.
Why does NSW have an expression of interest process?
The NSW expression of interest (EOI) process aligns with the NSW Grants Administration Guide 2024 and provides an open and transparent process for all applicants.
The NSW Grants Administration Guide 2024 provides principles-based guidance and includes mandatory requirements for Ministers, officials and Ministerial staff.
What role does the NSW Government have in the NWGF application process?
The NSW Government plays a dual role in leading the NWGF program within NSW, and in evaluating proposals and recommending a shortlist of projects for development of funding applications to the NSW Minister for Water (or their delegate).
All NWGF projects are led through state-based applications. The department will support shortlisted NSW proponents to develop their funding applications.
Once funding submissions are completed and approved by the delegate, the department will submit the funding applications to the NWGB.
Under the Federal Financial Relations Act, only state and territory governments can submit funding applications to the National Water Grid Branch for assessment.
Can I submit an expression of interest by email?
No. Expressions of interest for funding under National Water Grid will only be accepted through the SmartyGrants online portal. No other submissions in any other formats will be accepted.
To ensure fairness for all applicants, expressions of interest for projects in NSW must be submitted within the defined application period.
A request to submit an expression of interest after the closing date and time will only be considered if the applicant can demonstrate they have experienced exceptional circumstances.
Can I submit more than one NSW expression of interest?
Yes. Provided the projects are demonstrably different from one another.
You should consider the overall capacity and capability to deliver 2 or more projects within proposed timeframes and budgets as these are critical selection factors that will be considered when assessing your expression of interest.
Can I discuss my project with the department before submitting an expression of interest?
Proponents can discuss their proposal with the team at any time of the year except for during the NSW expression of interest open period.
For probity reasons, the department’s Program Development and Management Branch can only respond to questions that are general in nature during the expression of interest open period otherwise there is a risk of application forfeiture with proponents.
Are there rules or conditions on how projects are funded?
Yes. The rules specify that the Australian Government will fund up to 50% of the total project cost. Both NWG and other Australian Government funding sources are included in this.
The remaining 50% of the total project cost will need to come from any combination of:
- the proponent themselves
- other NSW Government and/or local council sources, including grants, concessional loans and equity vehicles
- private investment
Debt funding such as loans or convertible notes from investors and financiers are not permitted.
What areas are considered regional and remote?
Projects must be located in a regional or remote area, as defined by the Australian Bureau of Statistics Remoteness Areas Edition 3 (2021). You can confirm if an area is classified as regional or remote by using the Australian Bureau of Statistics ABS Maps tool.
How do I find out if our projects are listed as priority actions in NSW?
Projects must be listed in either the NSW regional water strategies, State Infrastructure Strategy, NSW Water Strategy, integrated water cycle management strategies and similar strategies or plans to be classified as a priority action. Additionally, local council projects with an NSW ERIL (Eligible Risks and Issues List) rating of 4 or 5 will be considered a priority.
Do I need a letter of support from the NSW Minister for my EOI?
No. The department’s Water Group will arrange a letter of support from the NSW Minister for Water for all shortlisted projects submitted to the Australian Government for consideration.
Proponents do not need a letter of support from the NSW Minister to submit an EOI.
Proponents are encouraged to include letters of support from other stakeholders including Local Aboriginal Land Councils, local businesses, residents’ associations, and other users impacted by the project.
Is there a way to fast-track the requirement for a detailed business case for projects addressing urgent water needs?
The National Water Grid Fund will not fund construction projects without a detailed business case demonstrating the viability of the project. The timeframe to deliver and finalise a business case varies depending on the stage of the project and the preliminary work that has been completed. For projects where substantial groundwork has been done, the time to complete a business case could be shorter.
Where can I get a specific question answered if it is not covered in the FAQs or NSW NWGF Guidelines for Applicants?
For all queries relating to the National Water Grid Fund please contact us by:
- email: nwgf-info@dpie.nsw.gov.au
- phone: 1300 081 047
Contact us
If you have any questions or want to discuss a project proposal:
- email nwgf-info@dpie.nsw.gov.au
- call 1300 081 047