Business Zero Emissions Vehicle Grants Guidelines
About the Program
The aim of this project is to help familiarise businesses, community organisations and the public with a range of commercial zero emissions vehicles (ZEVs).
This grant program will help ACT hire companies and businesses purchase or lease zero emissions vehicles for their fleet operations. Eligible businesses can apply one of the following grant options:
- Category A $50,000 (excl GST) worth of grants is available to co-fund a battery electric light commercial truck to a vehicle hire company.
- Category B: Up to $100,000 (excl GST) worth of grants is available to co-fund battery electric vans or utility vehicles for ACT businesses and community organisations
The maximum grant funding amount for each participant is $50,000 (excl GST) for Category A and $20,000 (excl GST) for Category B.
Commercial vehicles are typically heavier and more highly utilised than personal passenger vehicles. Accelerating the transition of commercial vehicles will have a greater impact on emissions reduction in the Territory when compared to passenger vehicles.
Applications close 5th May 2023
How it works
This project aims to demonstrate the use of electric vehicles to encourage uptake and highlight the new types of vehicles coming into the ZEV market. The best way to encourage uptake of electric vehicles is to get people in them.
Category A grants will support vehicle rental companies operating in the ACT to purchase a battery electric light commercial truck that will be promoted and available for rent to ACT residents and businesses.
By making commercial ZEVs available to the public through vehicle rental companies, many ACT residents and businesses will have the opportunity to experience firsthand that zero emissions commercial vehicles are available and fit for purpose.
Category B grants will support ACT-based businesses and community organisations to purchase or lease an electric light commercial vehicle as they begin to transition their fleet to electric alternatives.
By supporting the uptake of a range of electric light commercial vehicles, this provides the opportunity for businesses and community organisations to become familiar with ZEVs before wider adoption. With more electric utility, van and light truck models coming into the market, now is the time for fleets to begin their transition to ZEVs and see the real-world applications and benefits of making the switch.
The grants seek to support the cost of procuring or leasing a battery electric light commercial vehicle and applicants will need to clearly demonstrate how they will promote its use to enable more Canberrans to experience a zero emissions vehicle.
Category A: Grants to co-fund a battery electric light commercial truck to a vehicle hire company
Grants of up to $50,000 (excl GST) will be available to assist in the purchase of a light commercial battery electric vehicle for a vehicle hire/rental business. The funding aims to help achieve price parity for a light industrial combustion engine vehicle and will enable the business to offer the battery electric vehicle for hire at a competitive rate.
The vehicle will be hired out within the ACT to allow people to test out light commercial electric vehicles in real world situations.
Category B: Grants to co-fund battery electric vans or utility vehicles for ACT businesses and community organisations
With a total amount of funding of $100,000 (excl GST), individual grants of up to $20,000 (excl GST) will be available to assist with the purchase or lease of light commercial electric utility vehicles within business or community organisation fleets. Grants will aim to close the cost gap between electric and internal combustion engine (ICE) utility vehicles to help achieve upfront cost price parity. Ideal grant recipients would be aiming to replace their fleet’s ICE utility vehicles with electric vans.
What funding is available
A total of $150,000 (excl GST) is available in grant funding across two options:
Category A: Grants of up to a maximum of $50,000 (excl GST) to purchase a zero emissions vehicle for rent to ACT residents and businesses
Category B: Grants of up to $20,000 (excl GST) with a total of $100,000 (excl GST) available to purchase or lease a light commercial electric utility vehicle
Who is eligible?
To be eligible to apply for Category A grants, an applicant must be a vehicle rental company business currently operating in the ACT, and:
- have an ABN;
- relevant insurances to hire out vehicles within the ACT;
- be registered for GST purposes;
- be prepared to enter a legally binding Deed of Grant with the Territory;
- be prepared for the vehicles to be fitted with telematic devices (this will enable ACT Government to fully understand the usage and impact of the vehicle and will be installed at nil cost to the applicant);
- not be a government agency; and
- not be a political party registered under the Electoral Act.
To be eligible to apply for Category B grants, an applicant must be a business already operating in the ACT and:
- have an ABN;
- be registered for GST purposes;
- be headquartered in the ACT;
- be prepared to enter a legally binding Deed of Grant with the Territory;
- be prepared for the vehicles to be fitted with telematic devices (this will enable ACT Government to fully understand the usage and impact of the vehicle and will be installed at nil cost to the applicant);
- not be a government agency; and
- not be a political party registered under the Electoral Act.
What do I need to apply?
Category A
- Documentary evidence of a quote for the purchase cost of the zero emissions vehicle being applied for;
- Documentary evidence indicating where the vehicle will be based or rented from in the ACT; and
- Documentary evidence indicating the size and utilization of the commercial or rental fleet currently operated in the ACT.
Category B
- Documentary evidence of a quote for the purchase or total lease cost of the zero emissions vehicle being applied for;
- Documentary evidence indicating where the vehicle will be based; and
- Documentary evidence indicating the size and utilization of the commercial fleet currently operated in the ACT.
What vehicles will be funded?
- Category A:
- Light commercial battery electric vehicles that can be driven with Class C license
- Vehicles must be registered in the ACT
- Category B:
- Light commercial battery electric vans and utility vehicles (not including passenger vehicles)
- Purchased or leased vehicles for a minimum of three years.
- Vehicles must be registered in the ACT
What won’t be funded?
Items not eligible for grand funding include:
- used vehicles (grey imports are eligible for funding for Category B)
- plug-in hybrid or hybrid vehicles
- petrol or diesel vehicles
- electric vehicle charging infrastructure.
Selection criteria
Applicants will need to demonstrate that the vehicles will be highly utilised and visible in the community. Applicants must also provide evidence that they will be able to ensure the vehicle can be reliably charged to ensure operation.
Eligible applications will be assessed on a competitive basis against the following criteria:
Category A:
Criteria | Description | |
1 | Mechanism to hire out vehicles, along with expected usage of vehicle and expected delivery timeframe (25%) | Applicants must have the ability and mechanisms in place to hire out vehicles along with included insurances. In your submission evidence of the expected usage and utilisation of the vehicle will contribute to the weighting of this criteria. To support this criterion a quote and expected delivery of the vehicle being purchased must be provided along with your application. |
2 | How you intend to keep the vehicle charged and available for hire (25%) | Your submission should include details of what current charging infrastructure is available or will be installed to run the vehicle (this may also include intention to utilise public charging, or agreements with charging providers). The Business Fleet Advisory Service can be engaged prior to submission of application to assist with charging requirements and site assessments. |
3 | How the grant funding will contribute to the promotion the use of ZEVs across the territory (25%) | Details on promotion of the vehicle and through what channels this will occur. How will you promote the vehicle? Examples could include social media, events and vehicle wraps indicating it is an electric vehicle. |
4 | Value for money (25%) | The level of funding requested is proportionate to the project outcomes and benefits. In the context of the entire project, the timing of the project, the amount of requested funding and the planned expenditure demonstrates a sound investment. If funding from additional sources is being utilized must be declared. |
Category B:
Criteria | Description | |
1 | Expected usage of vehicle and expected delivery timeframe (25%) | In your submission evidence of the expected usage and utilisation of the vehicle will contribute to the weighting of this criteria. Evidence of intent to transition more fleet vehicles to ZEVs in the future will also contribute to the weighting of this criteria. To support this criterion a quote and expected delivery of the vehicle being purchased must be provided along with your application. |
2 | How you intend to keep the vehicle charged (25%) | Your submission should include details of what current charging infrastructure is available or will be installed to run the vehicle (this may also include intention to utilise public charging, or agreements with charging providers). The Business Fleet Advisory Service can be engaged prior to submission of application to assist with charging requirements and site assessments. |
3 | How the grant funding will contribute to the promotion the use of ZEVs across the territory (25%) | Details on promotion of the vehicle and through what channels this will occur. How will you promote the vehicle? Examples could include social media, events and vehicle wraps indicating it is an electric vehicle. |
4 | Value for money (25%) | The level of funding requested is proportionate to the project outcomes and benefits. In the context of the entire project, the timing of the project, the amount of requested funding and the planned expenditure demonstrates a sound investment. Information on how participation will result in further adoption of ZEVs. |
Funding timing
Successful applicants will receive the grant amount in full after the Deed of Grant has been signed.
Other funding sources
If applicants are seeking additional funds from other sources, costs need to be clearly defined and show transparent application of project funds to reflect activities (or components of projects) that have been funded through other sources.
ABN and GST registration
The project will be funded as a GST exclusive amount based on the budget submitted in the application. The Territory will pay to the Recipient a 10% top-up equal to the GST as part of the total grant monies. The total grant amount received (including GST) must be accounted for as a taxable supply (income) and 1/11th remitted to the Australian Tax Office (ATO) on your next Business Activity Statement as GST payable. The net funding that remains will cover the costs of your project excluding GST. Any GST that you pay on goods and services acquired for your project will be claimable by you as input tax credits.
Deed of Grant
Grant requirements and payment process
Successful applicants will be required to enter into a Deed of Grant (Agreement) with the ACT Government setting out the terms and conditions for any funding that will be provided. No funding will be released until the Environment, Planning and Sustainable Development Directorate (EPSDD) and the Applicant have executed the Agreement and the appropriate milestone evidence identified in the Agreement has been met. EPSDD reserves the right to withhold payments in cases where evidence has been provided but the EPSDD deems that there are concerns relating to the delivery of the Project. In this instance, the EPSDD will release funding when appropriate actions have been taken to ensure the Project is delivered within the agreed timeframes.
Following notification, successful applicants are required to develop and agree reporting arrangements with the Project Administrator. Payments will be paid upon agreed milestones outlined in the Agreement. Payments can take up to 30 days to process following the execution of the Agreement and upon receipt of an invoice. The payment amount will be determined per the milestones in the Agreement will be in a lump sum.
The Deed of Grant identifies certain legal obligations associated with the grant including project activities, requirements concerning the use of grant funds, project evaluation and financial reporting. If recipients wish to change the purpose of the grant or a condition of the Deed, written authorisation from the Territory will be required. A variation to the Deed may also be necessary.
Successful applicants will need to provide the following documentation prior to execution of the deed:
- proof of order of vehicle
- proof of total drive away or total lease cost of vehicle
- estimated delivery date of vehicle.
Also note, telematic devices will be placed (cost covered by the Territory) in the vehicles to assist in assessing vehicle utilisation, develop case studies and to help provide data driven examples of vehicle applications.
Reporting
Recipients will be required to submit reports on the usage of the vehicle as follows
Category A Vehicle: Every six months for 3 years.
Category B Vehicle: Every six months for 1 year.
Reporting will be agreed upon in the Deed of Grant.
Types of information that will be sought after within reports:
- how the vehicle is being used
- operational comparison to internal combustion engine vehicle counterpart
- promotional activities.
Reporting will also be drawn from telematics data.
Conflict of interest
It is important that applicants do not have private interests and/or relationships that will create a conflict of interest or can be perceived to create a conflict of interest. Potential conflicts of interest must be disclosed at the time of lodgement of an application or immediately after a potential conflict becomes apparent.
How to apply
- Read and understand these grant guidelines.
- Determine your organisation’s eligibility as well as the eligibility of the planned activity. Contact the Directorate through Access Canberra on 13 22 81 if you have a question relating to these guidelines or if you would like to discuss your application.
- Set-up a free online account in SmartyGrants - the Directorate’s online grants management system (previous SmartyGrants users can use their existing account).
- Familiarise yourself with the application form.
- Start your application early to ensure you have enough time to gather supporting information such as quotations. Failure to provide relevant supporting documentation may affect the success of your application.
- Submit your application online via SmartyGrants by 11:59pm, 5th May 2023
- All applications must be submitted via SmartyGrants (https://actgovt.smartygrants.com.au/ZEV-Grants)
- If there is a reason why you are unable to submit an online application, please contact the Grants Coordinator through Access Canberra on 13 22 81 to discuss.
- No late applications will be accepted.
- Assessment will be undertaken by Directorate staff with relevant expertise.
- Assessment will be based on the criteria identified in these guidelines.
- Directorate staff involved in assessment will operate under the ACT Public Service Code of Conduct.
Note: any liaison with an assessment panel member by an applicant or another person about a specific application may result in immediate disqualification.
- The Deputy Director-General, Sustainability and the Built Environment, Environment, Planning and Sustainable Development Directorate, is the decision-maker for all grants recommended for funding by the assessment panel.
- The Minister for Climate Change and Sustainability may announce the successful applicants.
- Successful applicants will be listed on the Directorate’s website.
- All applicants will be advised of the outcome of their submission by email.
- The Directorate will email successful applicants regarding funding and seek further documentation as required.
- The Fleet advisory service team may contact you to participate in a future case study
All decisions are final. Applicants not granted funding can request feedback on their application by emailing EPSDD.FleetAdvisory@act.gov.au
Need help with your application?
Contact the Environment, Planning and Sustainable Development Directorate through Access Canberra on 13 22 81 or EPSDD.FleetAdvisory@act.gov.au if you have a question relating to these guidelines or if you would like to discuss your application.
Applications must be received by 11.59pm, Friday 5th May 2023
Acknowledgement of Country
We acknowledge the Ngunnawal people as traditional custodians of the ACT and recognise any other people or families with connection to the lands of the ACT and region. We acknowledge and respect their continuing culture and the contribution they make to the life of this city and this region.
