Deadline Date: April 30, 2026
The Heat Pump Feasibility Grant is a great opportunity for eligible NSW businesses to assess whether a heat pump is a feasible option for your site.
The grant aims to enable NSW businesses to make informed decisions on heat pump implementation, increase business productivity with high-efficiency heating, reduce exposure to rising fuel costs and lower emissions, support the growth of industry capability, and accelerate the uptake of the NSW Energy Security Safeguard.
The Heat Pump Feasibility Grant provides funding of up to $30,000, covering up to 75% of eligible project costs, with a total funding pool of $1 million. The program is designed to help businesses assess whether heat pumps are a viable option for their operations, offering both initial assessments and detailed feasibility studies.
The funding supports collaboration with specialist consultants who evaluate business sites for potential barriers to heat pump installation. If the initial assessment identifies feasible solutions, further funding is provided for a comprehensive feasibility study, enabling businesses to make well-informed decisions about adopting heat pump technology.
The grant is structured across three milestones. The first milestone provides up to $5,000 to assess site suitability and identify potential barriers and solutions. The second milestone focuses on developing a heat pump design aligned with the site’s process requirements, although no funding is allocated at this stage. The third milestone offers up to $25,000 to support the development of a detailed feasibility study, covering both design and analysis stages.
To be eligible, applicants must have a valid Australian Business Number (ABN) and be registered for GST, operate at a NSW business site, and use between 5,000 and 100,000 gigajoules of gas annually, excluding transport fuel. Applicants must also provide recent evidence of energy use and engage a specialist consultant to carry out the project. Government entities, businesses already approved for the grant, or those receiving funding for the same activities from the NSW Government are not eligible. Only one application is permitted per business.
For more information, visit NSW Government.
