Eligible Equipment Suppliers Questions & Answers

Q1: What connectivity equipment or solutions are covered under the program?

Eligible connectivity equipment or solutions can be found on the Catalogue of eligible equipment.

Q2: How much is the grant (rebate)?

The rebate amount will be up to 50 per cent of the cost of eligible equipment.

  • The minimum rebate amount is $3,000.
  • The maximum rebate amount is $30,000.

Please note, there is no limit to the amount an eligible primary producer may spend, however the rebate will not exceed $30,000.

Q3: How does the process work?

If a primary producer identifies they would like to purchase eligible equipment from you, you will need to first apply to the Business Grants Hub and get confirmation that the program eligibility criteria have been met before selling the equipment.
Once the application has been approved, the equipment must be purchased within 60 days. You then need to submit a claim for the rebate.
It is important to note that equipment purchased before the Business Grants Hub has approved the application will not be eligible for the rebate.

Q4: Can I claim a rebate on the installation and delivery costs?

Yes. Section 5.2 of the Grant Opportunity Guidelines allows for installation and delivery to be claimed as part of the rebate. An example of an eligible transaction can be found below:

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example of an eligible transaction

Q5: Can a rebate be sought for connectivity solutions that have already been purchased?

No, equipment purchased before the opening of Round 1 is not eligible for a rebate. 

Q6: Are insurance and maintenance costs eligible for the rebate?

Insurance, operation and maintenance costs are not eligible for the rebate.

Q7: How long are the grants (rebates) available for?

Round 1 of the grant (rebate) opportunity has $15 million allocated and available until 30 June 2024, or until funding is exhausted, whichever occurs first.

Applications can only be lodged between the published opening and closing dates of Round 1. Late applications will not be accepted.

Q8: What expenditure items can I include in my application for the rebate?

Eligible expenditure items are listed under section 5.2 of the Grant Opportunity Guidelines and comprise:

  • eligible connectivity solutions and the associated equipment items listed in Appendix B;
  • cost of training provided to the primary producer in the operation of approved eligible equipment items, to a maximum of 10 per cent of the total equipment purchase price;
  • cost of subscriptions to support operation approved eligible equipment items for up to 12 months duration, to a maximum of 10 per cent of the total equipment purchase price
  • cost of delivery and installation; and
  • contingency of up to 20 per cent above the listed eligible equipment price list provided at the time the supplier has been approved as an Eligible Equipment Supplier. This is to account for changes in costs, including price of equipment, and transportation, if required.

Eligible Equipment Suppliers are only able to claim the rebated for items included on the price list provided with their Expression of Interest.

Q9: Costs for certain equipment items have increased since I submitted my Price List with my Expression of Interest. What evidence is required if I draw on the 20 per cent contingency?

A contingency of up to 20 per cent above the listed eligible equipment price advised in the Price List is available to account for increased costs, such as price of equipment and transportation, since a supplier submitted their Expression of Interest.

As part of the application process suppliers will need to declare that the price charged for equipment is not more than 20 per cent than what was advised in their Expression of Interest.

You are required to keep evidence that costs associated with relevant item/s of equipment have increased and how this has been reflected in your application. Evidence could include a notification from your supplier detailing increased costs. Should your application be successful, the Department may request this evidence from you. Consistent with Section 9.1 Activity Specific legislation, policies and industry standards you must comply with all relevant laws, regulations and Australian Government sanctions in undertaking your project. This includes being consistent with Section 286 of the Corporations Act 2001 which requires financial records to be kept for at least seven years after the transactions covered by the records are complete.

Section 9.2. of the Grant Opportunity Guidelines How we pay the grant details what will need to be submitted to support your claim for the rebate.

Q10: How do I calculate training and subscription thresholds?

While the application form does not provide a dedicated section to include the costs for the additional expenditure items (training, subscriptions, delivery and installation, and contingency) it is recommended these additional expenditure items are incorporated in the "total cost of connectivity solution" table in the application.

The below examples outline how these could be applied in your application:

Example 1—Project expenditure under $60,000 ($30,000 rebate)

Table 1: equipment purchase price

Project expenditure Category Cost Notes/Comments
  Low Power Wide Area Networks (LPWAN) $5,500 Eligible Equipment items noted in Appendix B of the Grant Opportunity Guidelines and listed in the Price List you submitted as part of your Expression of Interest.
Connectivity equipment $5,000
Farm management $2,500
Total equipment purchase price $13,000 Total cost of three Eligible Equipment items

Table 2: additional eligible expenditure items

Additional expenditure items Cost Notes/Comments
Delivery and Installation $1,500 Eligible expenditure as noted in Section 5.2. There is no prescribed value.
Training $450 Eligible expenditure as noted in Section 5.2—maximum 10 per cent of equipment purchase price.
A maximum of $1,300 could be claimed
Subscription $270 Eligible expenditure as noted in Section 5.2—maximum 10 per cent of equipment purchase price.
A maximum of $1,300 could be claimed
Contingency $600 Eligible expenditure as noted in Section 5.2—maximum 20 per cent above the listed eligible equipment price list provided at the time the supplier has been approved as an Eligible Equipment Supplier.
A maximum of $2,600 could be claimed if the cost of all equipment items has increased.

Table 3: Project expenditure and rebate

Project expenditure Category Cost Notes/Comments
  Low Power Wide Area Networks (LPWAN) $6,440 Cost column includes the additional expenditure items from Table 2, divided across the three equipment categories.
Connectivity equipment $5,940
Farm management $3,390
Total project expenditure $15,820
Rebate (Supplier) $7,910  
Cost (Primary Producer) $7,910  

Example 2—Project expenditure over $60,000 ($30,000 rebate)

Table 1: equipment purchase price

Project expenditure Category Costs Notes/Comments  
  Low Power Wide Area Networks (LPWAN) $15,000 Eligible Equipment items noted in Appendix B of the Grant Opportunity Guidelines and listed in the Price List you submitted as part of your Expression of Interest.
Connectivity equipment $10,000
Environmental monitoring $16,000
Farm management $12,500
Remote automation and control $8,000
Total equipment purchase price $61,500 Total cost of five Eligible Equipment items

Table 2: additional eligible expenditure items

Additional expenditure items Cost Notes/Comments
Delivery and Installation $2,300 Eligible expenditure as noted in Section 5.2. There is no prescribed value.
Training $700 Eligible expenditure as noted in Section 5.2—maximum 10 per cent of equipment purchase price.
A maximum of $6,150 could be claimed
Subscription $580 Eligible expenditure as noted in Section 5.2—maximum 10 per cent of equipment purchase price.
A maximum of $6,150 could be claimed
Contingency $1,000 Eligible expenditure as noted in Section 5.2—maximum 20 per cent above the listed eligible equipment price list provided at the time the supplier has been approved as an Eligible Equipment Supplier.
A maximum of $12,300 could be claimed if the cost of all equipment items has increased

Table 3: Project expenditure and rebate

Project expenditure Category Costs Notes/Comments  
  Low Power Wide Area Networks (LPWAN) $15,916 Cost column includes the additional expenditure items from Table 2, divided across the five equipment categories.
Connectivity equipment $10,916
Environmental monitoring $16,916
Farm management $13,416
Remote automation and control $8,916
Total project expenditure $66,080  
Rebate (Supplier) $30,000 The maximum rebate amount that can be claimed is $30,000
Cost (Primary Producer) $36,080 As the total expenditure exceeds the maximum amount for the rebate, the difference would need to be passed onto the primary producer.

Q11: Will GST be paid as part of the rebate?

No, GST will not be paid as part of the rebate. The rebate provided under this program does not constitute a taxable supply, and therefore, GST is not applicable to the rebate. This holds true regardless of the GST registration status of the business. As outlined in section 9.3—Grant Payments and GST of the Guidelines, while GST is generally added to grant payments for those registered for GST and a recipient created tax invoice is provided, this does not apply to the rebate in question as it is not a taxable supply. Consequently, the Business Grants Hub will not add GST to these rebates.

Q12: What equipment can be supplied under the Program?

The catalogue of eligible connectivity equipment shaped the types of equipment suppliers can deliver under the Program and whether through LPWAN, satellite cellular and/or Wi-Fi technology.

There are 5 broad categories of eligible connectivity solutions and associated eligible equipment:

  • Low Power Wide Area Networks
  • Connectivity Equipment
  • Environmental Monitoring
  • Farm Management
  • Remote Automation and Control.

It is important to note that not all Eligible equipment suppliers can supply products across all these categories.

In addition, Eligible equipment suppliers are only able to supply equipment that they included in the pricelist they provided as part of their Expression of Interest to participate in the program.

Any additional products the Eligible equipment supplier may sell are not eligible for Round 1 of the Program and will need to be purchased outside of the Program.