Deadline: 13 October 2025
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.
Objectives
- To drive the uptake of heat pumps, the Grant aims to:
- enable NSW businesses to make informed decisions on heat pump implementation
- increase business productivity with high-efficiency heating, reduced exposure to rising fuel costs and lowered emissions
- support the growth of industry capability
- accelerate the uptake of the NSW Energy Security Safeguard.
Funding Information
- The grant provides funding to help you work with a specialist consultant who will first assess your site for any major barriers to installing a heat pump. If these barriers can be overcome, you will receive funding for a detailed feasibility study. This will help you make an informed decision about whether a heat pump is the right fit for your site.
- The grant includes 3 milestones:
- Milestone 1: Up to $5,000 to cover up to 75% of the cost to identify if a heat pump is suitable for your business site. This is an opportunity to identify potential barriers to heat pump implementation and assess possible solutions. The results of milestone 1 will determine your progression to milestone 2.
- Milestone 2: Develop the heat pump design against the site’s current process requirements. There is no payment of Grant funding at milestone 2.
- Milestone 3: Up to $25,000 (covering up to 75% of costs) to develop a detailed heat pump feasibility study (for milestone 2 and 3).
Eligibility Criteria
- To be eligible for this Grant, you must meet all of the following criteria:
- have a current Australian Business Number (ABN) and be registered for goods and services tax (GST).
- deliver your heat pump project at a NSW business site address.
- use between 5,000 and 100,000 gigajoules (GJ) of gas (liquified natural gas, liquified petroleum gas, natural gas) per year at your business site, excluding fuel for transport. You must be able to provide evidence of your annual gas use, such as energy bills. You must submit the most recent available evidence, no more than 2 years old at the time you apply.
- have identified a specialist consultant(s) to complete the Grant milestones.
- Only one application can be submitted per business.
Ineligibility Criteria
- You are not eligible for this Grant if you:
- are a Commonwealth, state or local government entity; or
- have already been approved for this Grant funding; or
- have received or are going to receive funding from the NSW Government for the same activities.
For more information, visit NSW Department of Climate Change, Energy, the Environment and Water.