2 June 2026
BUSINESS ILLAWARRA BACKS $225 MILLION BOOST FOR LOW CARBON MANUFACTURING
Business Illawarra has welcomed the NSW Government’s $225 million investment to support low carbon manufacturing, describing it as a major opportunity to strengthen the region’s industrial base, create jobs and position the Illawarra for the industries of the future.
The funding round, now open to manufacturers, will support commercial and construction ready projects that expand local production, attract private investment and build capability in emerging sectors including renewable energy components, advanced materials and clean technologies.
Business Illawarra Director Coralie McCarthy said the Illawarra is uniquely placed to take advantage of the investment.
“The Illawarra has the skills, infrastructure and industrial heritage to lead in this next generation of manufacturing,” she said.
“This is exactly the type of targeted investment we need to help local businesses grow, diversify and compete in a changing global economy.”
Business NSW Chief Executive Officer Daniel Hunter said the investment would give manufacturers the confidence to scale and invest.
“This investment by the NSW Government will back manufacturers to expand, invest and compete for the next generation of industrial opportunities,” he said. “The funding will help businesses scale up, invest with confidence and make more of the products the economy will need in the decades ahead. We still have courageous and world leading businesses making things in NSW, from clothing to modular housing and medical technology.”
The NSW Government has identified sectors such as renewable energy components, low carbon building materials and emerging clean technologies as key opportunities, alongside projects that support battery technology, hydrogen production and energy storage.
Ms McCarthy said the Illawarra’s strong track record in advanced manufacturing and energy transformation meant local businesses were well positioned to secure funding under the program. “We are already seeing local success stories in hydrogen, battery technology and energy storage, and this next round creates a real opportunity to build on that momentum,” she said.
“The key now is ensuring local businesses are aware of the opportunity and supported to put forward strong, investable projects.”
In the Illawarra, previous funding has already supported projects in energy storage, battery technology and hydrogen production, including:
• $1.5 million for Hysata Pty Ltd in Port Kembla to support a hydrogen electrolyser trial, deploying advanced hydrogen production technology and creating 50 job
•$1.675 million for Sicona Battery Technologies Pty Ltd in North Wollongong for a pilot plant to demonstrate edge functionalised graphene technology, improving battery efficiency and creating 4 jobs
• $250,000 for Green Gravity Operations Pty Ltd in Port Kembla to support gravity energy storage technology, which stores energy using lifted weights
Ms McCarthy said this next round presents a clear opportunity for more Illawarra businesses to expand and diversify.
“The program requires private co investment, which is exactly what we need to unlock growth, drive innovation and accelerate new industries across the region,” she said.
Business Illawarra is encouraging local manufacturers to explore the fund and consider how it can support expansion plans, new technologies and future focused capability.
“This is about backing the businesses that will drive the Illawarra’s next chapter and continuing to position our region at the forefront of clean energy and advanced manufacturing,” Ms McCarthy said.
Media Contact
Coralie McCarthy
Director, Business Illawarra
M: 0417 431 564
E Coralie.McCarthy@businessnsw.com
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About Business Illawarra
Business Illawarra is the region’s peak business organisation; a not-for-profit advocacy group dedicated to the economic development of the Illawarra, Shoalhaven and Southern Highlands. On behalf of our members, we develop policy and are the leading voice representing business across the region.
Business Illawarra is owned and supported by Business NSW, the state's leading advocacy voice for business across NSW. Of the few enduring, independent, not-for-profit organisations in Australia, Business NSW is the only one focused on the wellbeing of the business community. Our purpose has always been to provide a strong advocate to all levels of government on issues affecting businesses, undertake research to guide greater public and private sector investment in economic infrastructure, and support the development of workforce capacity and skills in our region.
Applications open today. For more information, visit: www.energy.nsw.gov.au/NetZeroManufacturing