From today, small, and medium businesses across Australia can apply for grants of up to $25,000 to improve energy efficiency, save on energy bills and bring down emissions.
The grants can be used to upgrade or replace existing air conditioners with high efficiency units or gas heating boilers with heat pumps, helping SMEs lower their power bills and emissions.
Other activities supported through the program include energy audits of business sites and investment in energy monitoring systems.
These grants are part of the Albanese Government's commitment to ease cost‑of‑living pressures for Australian businesses by putting downward pressure on energy bills.
Minister for Small Business Julie Collins said helping business cope with power prices was front of mind for the Government.
"Across the country I hear from small businesses who tell me that energy prices are an increasing cost to their business which is why the Albanese Government is acting," Minister Collins said.
"The grants will provide practical assistance alongside the Government's whole‑of‑economy approach to rising energy costs, giving businesses more security and confidence.
Round 1 is a $16 million investment from the $62 million program that will help businesses use less energy and improve competitiveness, while reducing their carbon footprint.
Assistant Minister for Climate Change and Energy Jenny McAllister said the grants would improve SMEs' energy management practices and cut energy bills.
"We want to make every watt count, that's why the Albanese Government is investing in energy performance projects. Our government is committed to helping small and medium businesses reduce their running costs, through lowering energy costs, and investing in new technology.
"These grants deliver on our election commitment to support Australian businesses to increase the uptake of energy efficient technologies, which will also help Australia reach net zero emissions by 2050.
"Businesses could use this funding to replace old lights with LEDs or upgrade commercial refrigeration with energy efficient units in hospitality businesses," Assistant Minister McAllister said.
The new grants will be allocated to states and territories based on the distributions of small and medium businesses nationally.
Applications for the grants will close on 19 April 2023, or when funding is exhausted.
