Water and Energy Efficiency Initiative (Vic)

The Water and Energy Efficiency Initiative will provide $10 million over two years toward the cost of capital works to enable industry to become more efficient in its use of water and energy.

Water and Energy Efficiency Initiative projects will need to demonstrate a reduction in demand on potable urban water supplies, or the demand on a shared raw water resource, or a lowering of the industry’s water usage per unit of output. Alternatively the lowering of energy usage, or energy related emissions, per unit of output.

Eligible projects

1. Water efficiency: Projects can include one or a number of supply or demand management measures.

• Supply management: Involves using alternative non-potable sources of water in fit-for-purpose applications.
• Demand Management: Involves reductions in water usage; internal wastewater recovery, treatment, and recycling; or a change in process that reduces or eliminates the need for water.

2. Energy efficiency: Projects can include one or a number of supply or demand management measures.

• Supply management: Involves projects that are capable of substituting one form of energy for a more efficient one, e.g. using natural gas for boilers rather than mains electricity.
• Demand management: Involves reductions in energy usage, internal waste heat recovery, or a change in the manufacturing process that reduces energy demand and/or substitution to a more efficient energy source.

Funding criteria

Applications under the Water and Energy Efficiency Initiative will need to demonstrate that they have greater potential for investment attraction, job creation, exports, or import replacement, and/or satisfy the following additional criteria.

• Environmental criterion: There are local water resource constraints, or energy distribution capacity constraints that preclude lower cost alternatives.
• Technical criterion: There are site-specific engineering, water quality, or energy supply stability requirements.

Eligibility

The Water and Energy Efficiency Initiative is not able to fund the core activities of applicants. For example, a water saving project must be beyond the minimum regulatory requirement and not included in the current Water Plan of a water corporation.

• Grants are primarily targeted at companies in the manufacturing and processing industries located in regional Victoria.
• Grants are only available to projects with an internal payback greater than three years (see information below on Payback Period).
• Grants are limited to 50 per cent of the total project capital cost or the amount required to reduce the payback period to three years, whichever is the lesser.
• Only projects capable of achieving significant efficiency gains will be considered.

To discuss eligibility for  Government grants or assistance with applications  please contact us via the webform of call us at 03 9606 3324.