Joint media release: A further $41 million for small and medium businesses to lower energy bills

The Hon Julie Collins MP, Minister for Small Business

The Hon Senator Jenny McAllister, Assistant Minister for Climate Change and Energy 

The Albanese Government is delivering a further $41 million in Energy Efficiency Grants (EEG) for Small and Medium Enterprises to improve energy efficiency, save on energy bills and lower emissions.

This takes our investment to support small businesses through these grants to $62 million.

The grants between $10,000 and $25,000 can be used to upgrade to more efficient equipment. This includes replacing air conditioners with high efficiency units or gas heating boilers with heat pumps, helping SMEs lower power bills and emissions.

These grants are part of the Albanese Government’s commitment to ease pressures on Australian businesses by putting downward pressure on energy bills.

The first round of grants awarded $15.5 million to 674 businesses for energy savings from upgrades to pool covers, heat pumps, air conditioners, as well as more efficient hot water pumps and compressed air improvements.

Minister for Small Business the Hon Julie Collins said, “The Albanese Labor Government is delivering for small business, helping to improve their long-term resilience.

“These grants are another example of our government providing targeted support to small businesses.

“I encourage small businesses to read the Grant Opportunity Guidelines to check if they are eligible for this new support.

Assistant Minister for Climate Change and Energy Jenny McAllister said the grants would improve the bottom line of small businesses and lower emissions.

“Investing in energy efficiency can save on energy costs, taking the pressure off small businesses and allowing them to reinvest savings to their business.

“We want to help small businesses make every watt count. That’s why the Albanese Government is investing in energy performance projects.

“Upgrades to appliances like freezers or air conditioners not only saves on bills, but also contributes to Australia’s emissions reduction targets.”

Round two is a $41.2 million investment from the $62 million program that will help businesses use less energy and improve competitiveness, while reducing their carbon footprint.

The $41.2 million will be allocated to states and territories in proportion to the national distribution of SMEs.

Grants will be awarded on a first come, first-served basis until each jurisdiction’s allocation is exhausted.

Applications for the grants will open across the country on the following dates:

  • Thursday 22 February 2024: VIC
  • Friday 23 February 2024: SA & NT
  • Monday 26 February 2024: NSW
  • Tuesday 27 February 2024: WA, TAS & ACT
  • Wednesday 28 February 2024: QLD

For more information about the Energy Efficiency Grants for SMEs program and how to apply, visit