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Renewable Hydrogen Fund Round 2 Guidelines

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Page 1: Renewable Hydrogen Fund Round 2 Guidelines · The allocation of the $5 million round and the maximum grant amount for a Proposed Project are shown in the following table and may be

Renewable Hydrogen Fund Round 2 Guidelines

Page 2: Renewable Hydrogen Fund Round 2 Guidelines · The allocation of the $5 million round and the maximum grant amount for a Proposed Project are shown in the following table and may be

2 Renewable Hydrogen Fund Round 2

Contents

Executive summary ........................................................................................................................... 3

1. Overview ........................................................................................................................................ 4

1.1 Purpose ......................................................................................................................................................... 4

1.2 Fund Outcomes ............................................................................................................................................. 4

1.3 Funding Priorities .......................................................................................................................................... 4

2. Eligibility Criteria ........................................................................................................................... 6

2.1 Eligibility Criterion A – Eligible Applicant ....................................................................................................... 6

2.2 Eligibility Criterion B – Eligible Activity .......................................................................................................... 7

2.3 Eligibility Criterion C – Take place in Western Australia ............................................................................... 7

2.4 Eligibility Criterion D – Knowledge Sharing ................................................................................................... 7

2.5 Eligibility Criterion E – Disclosure Requirements .......................................................................................... 7

3. Merit Criteria .................................................................................................................................. 8

3.1 Merit Criterion A – Contributes to the Fund Objective and Outcomes (25%) ............................................... 8

3.2 Merit Criterion B – Applicant Capability and Capacity (20%) ........................................................................ 8

3.3 Merit Criterion C – Proposed Project Plan: Design, Methodology, Risk and Compliance (30%) ................. 9

3.4 Merit Criterion D – Proposed Project Plan: Financial Viability and Funding Commitment (15%) ............... 10

3.5 Merit Criterion E – Knowledge Sharing Plan (10%) .................................................................................... 10

4. Application and Assessment Process ....................................................................................... 12

4.1 Application Process ..................................................................................................................................... 12

4.2 Assessment Process ................................................................................................................................... 13

5. Applicant Funding Contribution ................................................................................................. 14

6. Funding Arrangements ............................................................................................................... 15

6.1 Financial Assistance Agreement ................................................................................................................. 15

6.2 Payment of Funding – Conditions and Obligations ..................................................................................... 15

6.3 Tax Information ........................................................................................................................................... 15

7. Application Requirements .......................................................................................................... 16

7.1 Risk Management Plan ............................................................................................................................... 16

7.2 Community Engagement Plan .................................................................................................................... 16

7.3 Local Content Plan ...................................................................................................................................... 16

7.4 Knowledge Sharing Plan ............................................................................................................................. 16

8. Further Program Information ...................................................................................................... 17

8.1 Freedom of Information, Confidentiality and Disclosure of Information ...................................................... 17

8.2 Privacy Statement ....................................................................................................................................... 17

8.3 Intellectual Property .................................................................................................................................... 17

9. No Legal Relationship ................................................................................................................. 18

10. Reservation of Rights ................................................................................................................ 19

11. Exclusion of Liability ................................................................................................................. 20

12. Glossary ..................................................................................................................................... 21

Frequently Asked Questions .......................................................................................................... 23

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3 Renewable Hydrogen Fund Round 2

Executive summary The Western Australian (WA) Renewable Hydrogen Strategy (Strategy), launched on 18 July 2019, sets

out the Western Australian Government’s vision for WA to be a significant producer, exporter and user of

renewable hydrogen. One of the key actions of the Strategy was an initial $10 million round of the

Renewable Hydrogen Fund (Fund). The first round of the Fund has closed and the successful grant

recipients have been announced.

In 2020, under the WA Recovery Plan, the WA Government allocated $5 million to a second round of the

Fund to support the development of the renewable hydrogen industry. The Department of Jobs, Tourism,

Science and Innovation’s (the department) Renewable Hydrogen Unit will be administering the second

round of the Fund. Round 2 is available to both Feasibility Studies and Capital Works Projects.

Applications must fall within one of the four Strategic Focus Areas as outlined in the Strategy, which are:

Export

Remote Applications

Blending

Transport.

Applications must demonstrate investment in and/or progress towards meeting the 2022 and 2030 goals

identified in the Strategy and the WA Renewable Hydrogen Roadmap (Roadmap). Round 2 will be

delivered through a competitive grant funding process. The Application process is a one-stage Application,

for grant funding for a Proposed Project. Please note that a Capital Works Proposed Project must be

underpinned by a completed and viable feasibility study.

All Applications must:

meet the eligibility criteria (Section 2)

be assessed against the merit criteria (Section 3)

be completed online, via SmartyGrants (https://rhf.smartygrants.com.au/)

As mentioned in the Strategy and Roadmap, regulatory issues that arise in the context of Proposed

Projects will be considered and, if deemed appropriate, may be reviewed by the department for further

discussion with relevant agencies/bodies. The department reserves full discretion as to the regulatory work

it will undertake in assisting the development of the hydrogen industry in WA.

Key activities:

Activity Dates/Timeframe1 Time

Round 2 of the fund opens for Applications Friday, 22 January 2021 12:00pm (AWST)

Application submission deadline Friday, 19 February 2021 4:00pm (AWST)

Assessment of Applications and approval of successful Applications

Up to 14 weeks

Notification to Applicants of grant funding outcome Within 4 months of closing date

Execution of Financial Assistance Agreements (FAA) Up to 30 business days from notification

1 Timeframes are indicative and can be subject to change

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1. Overview The purpose of the Renewable Hydrogen Fund Round 2 Guidelines (Guidelines) is to provide a framework

for the operation of this funding round and the Application process. The Guidelines should be read in

conjunction with the Strategy and the Roadmap.

1.1 Purpose

The Strategy sets out the WA Government’s vision for WA to be a significant producer, exporter and user of

renewable hydrogen. One of the key actions of the Strategy was an initial $10 million round of the Fund.

The first round of the Fund has closed and the successful grant recipients have been announced.

Under the WA Recovery Plan, $5 million has been allocated to a second round of the Fund. The second

round is designed to assist the development of WA’s renewable hydrogen industry and leverage WA’s

competitive and comparative advantages.

1.2 Fund Outcomes

The Fund objective is to contribute to one or more of the following outcomes:

a) increase the value of investment in the WA renewable hydrogen industry

b) demonstrate the ease of scalability and replication

c) demonstrate the creation of local jobs, building economic resilience, and increasing socio-economic

benefits to WA

d) increase skills, capacity and knowledge relevant to renewable hydrogen technologies

e) promote cost efficiencies that will maximise WA’s competitive and comparative advantages in

renewable hydrogen

f) promote research, development and deployment of renewable hydrogen technologies

g) increase the opportunity to explore collaboration and partnerships with other aligned industries

h) complements and aligns with other strategic priorities for the WA Government

1.3 Funding Priorities

The second round of grant funding will provide grants to support WA’s renewable hydrogen industry for,

• Feasibility Studies to support investment decisions for a Proposed Project

• Capital Works Projects to support the building of pilot/demonstrations and/or early

commercialisation of capital works projects (which may include a research and development

component)

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The allocation of the $5 million round and the maximum grant amount for a Proposed Project are shown in

the following table and may be allocated to one or multiple projects. The amounts below are indicative only

and subject to full assessment:

Renewable Hydrogen Fund Round 2 Maximum grant request per proposal

Feasibility Studies Up to $300,000

Capital Works Projects Up to $5 million

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2. Eligibility Criteria The Applicant must meet all of the eligibility criteria in this section.

Applicants may apply for separate grant funding for Feasibility Studies and Capital Works Projects, but the

funding request cannot be for the same project in this round.

2.1 Eligibility Criterion A – Eligible Applicant

Partnerships are strongly encouraged to apply, with one organisation identified as the Primary Applicant of

the Proposed Project. To be eligible for consideration the Primary Applicant must satisfy the following

criteria:

1. Have an Australian Business Number (ABN) or have an Australian Registered Business Number at

the time of applying for grant funding and be one of the following:

a) a for-profit, registered company operating in Australia

b) a local government

c) a not-for-profit organisation that is a legal entity

d) an industry association, cooperative, or partnership

e) an incorporated body, or have equivalent status (i.e. represented by an incorporated auspicing

body)

f) a university or training institution

g) a WA Government agency

h) an Australian entity incorporated under the Corporations Act 2001

i) a Government Trading Enterprise (GTE)

2. Has the authority to make the Application, including approval(s) to provide the minimum Applicant

contribution to the total project cost.

Please note an Applicant is not eligible to apply if it is a:

a) school or hospital

b) trust

c) Australian Government agency

d) sole trader or individual

An Application submitted by a Primary Applicant who nominates project delivery Partner(s) will be

considered, provided the Primary Applicant meets the Applicant eligibility criteria in accordance with

section 2.1. The Primary Applicant undertakes the role of the Lead Partner in respect of project delivery

and has obtained prior written approval for the engagement of the Partner(s) for the Proposed Project.

There must be signed contractual arrangements in place between the Primary Applicant and the Partner(s).

The Primary Applicant must provide evidence of the contractual commitments in the Application. The

evidence can consist of the provision of a contractual agreement, or a Memorandum of Understanding that

sets out the details of the engagement and commitments, including financial contributions, to be provided

by the Primary Applicant and the Partner(s).

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2.2 Eligibility Criterion B – Eligible Activity

The Applicant must demonstrate to the satisfaction of the department that the activity described in the

Proposed Project addresses at least one of the four Strategic Focus Areas identified in the Strategy.

The Applicant must commit to a minimum cash contribution of 25 per cent of total project costs.

It is expected that the Proposed Project is completed within 30 months of FAA execution or no later than

30 June 2024.

The Applicant must warrant ownership of and access to, or the beneficial use of, any intellectual property

necessary to carry out the Proposed Project.

2.3 Eligibility Criterion C – Take place in Western Australia

The Applicant must demonstrate to the satisfaction of the department that the Proposed Project will take

place in Western Australia.

Except in exceptional circumstances, no more than 10 per cent of grant funding (other than equipment and

materials purchase) is to be used towards overseas expenditure.

2.4 Eligibility Criterion D – Knowledge Sharing

The Applicant must enter into an agreement with the department to provide a Public Knowledge Sharing

Report at the conclusion of the project. Capital Works Projects are required to enter into an agreement with

the department to provide a Public Knowledge Sharing Report as well as a Government Knowledge

Sharing Report at the conclusion of the project.

2.5 Eligibility Criterion E – Disclosure Requirements

The Applicant must disclose to the department:

Any litigation, legal proceedings, judicial or administrative enquiry, investigation, claim or allegation,

actual or threatened, and whether admitted or contested by another person or body (including

regulatory bodies such as the Australian Securities and Investment Commission or equivalent

bodies) against or in any way involving the Applicant or a related body corporate of the Applicant as

defined in the Corporations Act 2001 (Cth)

Proven or alleged breach or default of or under any law, regulation or agreement, order or award

binding on the Applicant or a related body corporate

disclose details or any arrangements, matters or circumstances that may constitute or be

reasonably likely to constitute an actual, potential or perceived conflict of interest with its

involvement in the Application or the Project or the Application process

provide details of its proposed strategy to manage any actual or potential conflict of interest

disclose where it has a connection with another Applicant or a person comprised in that Applicant,

together with details of that connection

The department reserves the right not to support an Application if it is not satisfied that adequate

arrangements are in place to appropriately address and manage a perceived or actual conflict of interest.

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3. Merit Criteria Once a Proposed Project has been assessed to have satisfied the Eligibility Criteria, it will be assessed against the Merit Criteria.

This section provides non-exhaustive guidance on how the Applicant can demonstrate merit against each criterion. The amount of detail and supporting evidence the Applicant provides in the Application should correspond with the Proposed Project size, complexity, and grant amount requested.

Please note, the below criteria are weighted for assessment.

3.1 Merit Criterion A – Contributes to the Fund Objective and Outcomes (25%)

This criterion assesses how well the Proposed Project contributes to the Fund Objective and Outcomes,

taking into account the four Strategic Focus Areas in the Strategy.

The Applicant can demonstrate merit by describing:

a) which of the four Strategic Focus Areas in the Strategy the Proposed Project addresses

b) how the Proposed Project contributes to the Fund Outcomes, such as:

i. increase the value of investment in the WA renewable hydrogen industry

ii. demonstrate the ease of scalability and replication

iii. demonstrate the creation of local jobs, building economic resilience, and increasing socio-economic benefits to WA

iv. increase skills, capacity and knowledge relevant to renewable hydrogen technologies

v. promote cost efficiencies that will maximise WA’s competitive and comparative advantages in renewable hydrogen

vi. promote research, development and deployment of renewable hydrogen technologies

vii. increase the opportunity to explore collaboration and partnerships with other aligned industries

viii. complements and aligns with other strategic priorities for the WA Government

3.2 Merit Criterion B – Applicant Capability and Capacity (20%)

This criterion assesses the capability and capacity of the Primary Applicant and Project Partners (if

applicable) to deliver the Proposed Project.

The Applicant can demonstrate merit by describing:

a) the Applicant’s capability as it is relevant to the Proposed Project, including:

i. management, commercial, professional and technical expertise, and that of key personnel

ii. track record, in delivering outcomes from similar activities on time and on budget

iii. professional excellence and experience, including any relevant accreditations, quality standards and benchmarks

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b) the Applicant’s capacity as it is relevant to the Proposed Project, including:

i. the resources, including personnel, physical resources and facilities, that the Applicant will use

to deliver the Proposed Project, including confirmation that they will be available at the times

necessary during the Proposed Project to successfully achieve the proposed outcomes

3.3 Merit Criterion C – Proposed Project Plan: Design, Methodology, Risk and Compliance (30%)

This criterion assesses:

a) how well designed and planned the Proposed Project is, including whether it has clearly defined

objectives and methodology, as well as the approach to identifying, managing and reporting the

personnel, delivery, technical and financial risks of the Proposed Project

b) risk in terms of the likely success of the Proposed Project, the achievement of intended outcomes

that align with the Fund Outcomes, and the Strategic Focus Areas in the Strategy

c) a Risk Management Plan as detailed in section 7.1

d) a Community Engagement Plan as detailed in section 7.2

e) for Capital Works Projects, a Local Content Plan as detailed in section 7.3

f) Applicant’s compliance with current occupational health and safety legislation, dangerous goods

legislation, environmental legislation, and applicable regulatory/legislative requirements

g) how the proposed Capital Works Project can procure and reasonably obtain all necessary

approvals and licences

h) how the proposed Feasibility Study will lead to an investment decision for the proposed project

and will provide a pathway to deliver a project that is likely to proceed in the near future

The Applicant can demonstrate merit by describing:

a) the technical design and delivery methodology of the Proposed Project, including:

i. procurement methodology for the provision of any goods and services (where more than

one quote is not being obtained, the quality of the explanation provided will be assessed)

b) For Feasibility Study applications, a well-articulated implementation plan for the Proposed Project,

including:

i. timeframes, proposed milestones and deliverables

ii. appropriate governance structure for delivery

c) For Capital Works Project applications, a well-articulated strategic business case, including:

i. timeframes, proposed milestones and deliverables

ii. appropriate governance structure for delivery

iii. a Feasibility Study confirming that the investment decision is valid, and that the Capital

Works Project is technically and financially feasible

iv. appropriate government approvals required for construction

v. the Applicant’s ability to meet ongoing operating and maintenance costs

d) The risk associated with key personnel, delivery, technical aspects and finances of the Proposed

Project and how these will be managed

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3.4 Merit Criterion D – Proposed Project Plan: Financial Viability and Funding Commitment (15%)

This criterion assesses the Applicant’s financial capacity to deliver the Proposed Project; whether the

amount of the department grant funding sought and the total cost of the Proposed Project is appropriate. In

doing so it assesses:

a) whether the Applicant and any Project Partners have the financial capacity and appropriate levels

of co-funding commitment to deliver the Proposed Project successfully

b) the extent to which the Applicant or other Project Partners are providing funding for the Proposed

Project

c) relevant industry benchmarks for the economics of a particular Proposed Project

d) whether the Proposed Project could likely proceed in the absence of the department grant

funding

The Applicant can demonstrate merit by explaining why the amount of the department grant funding

requested is appropriate, including:

a) a detailed budget or financial model for the Proposed Project that shows:

i. a breakdown of the expected expenses for the Proposed Project including any overseas

expenses

ii. the total cost of the Proposed Project

iii. the levelised cost of hydrogen to be produced from the Proposed Project

iv. the funding sought from the department and the proposed payment milestones

v. details and amounts of cash and in-kind contributions from the Applicant and all other sources

vi. the cash flow profile of the Proposed Projects

b) evidence of support by the Applicant and any Project Partners, including commitment to provide the

specified cash and in-kind contributions

c) information to confirm that the Applicant (and any Project Partners) has the financial capacity to

fund the proposed share of the funding or in-kind contributions for the duration of the Proposed

Project, and if requested the provision of two years of audited company financial statements

d) any other activities in a similar field for which the Applicant or the key personnel have received

funding in the past three years from Australian Government, WA Government and local

government sources (including funding sources such as ARENA and the WA Renewable Hydrogen

Fund)

3.5 Merit Criterion E – Knowledge Sharing Plan (10%)

This criterion assesses:

a) the value of the knowledge generated by the Proposed Project in contributing to the Fund Objective

and Outcomes

b) how well that knowledge is targeted to specific audiences

c) how the Applicant will capture, store and disseminate the data, information and lessons learned

from the Proposed Project

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The Applicant can demonstrate merit by describing:

a) how the knowledge generated by the Proposed Project will contribute to the Fund Objective and

Outcomes

b) how well tailored the Knowledge Sharing Plan is to the purpose of the Proposed Project

c) how the data, information and lessons learned from the Proposed Project will be collected, stored,

analysed and disseminated so that it reaches the target audiences

d) a commitment from the Applicant and other Project Partners to deploy resources to produce high

quality knowledge products and communicate the results beyond the Applicant

e) the extent to which the data, information and lessons learned from the Proposed Project will be

made publicly available, including clear identification of what data, information and lessons learned:

i. can be released to the public

ii. the Applicant will provide to the department but is to be treated as commercial in confidence

by the department

iii. the Applicant wishes to keep confidential

f) any constraints that may prevent the Applicant from sharing knowledge and information, such as

intellectual property protection processes and rights of any third parties including third party

materials and intellectual property

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4. Application and Assessment Process Round 2 of the Fund involves a one-stage application process, which involves submission of an Application

for grant funding for Proposed Projects for Feasibility Studies and Capital Works Projects.

• Step 1: Read the Strategy, the Roadmap, Guidelines and template FAA

• Step 2: If necessary, contact the department ([email protected]) to discuss the Fund

• Step 3: Develop and submit the Application online (as per the process outlined below)

4.1 Application Process

1. Develop and submit the Application

Submit an application via the online grant management platform SmartyGrants

(https://rhf.smartygrants.com.au/).

Applicants must include in their Application:

a) Certificate of Currency for Insurances

i. Workers Compensation: workers’ compensation/employers indemnity insurance in

accordance with the provisions of the Workers Compensation and Injury Management Act

1981 (WA), including cover for common law liability for an amount not less than $50,000,000

ii. Public Liability: public liability insurance in the minimum amount of $20,000,000 for any one

occurrence and unlimited in the aggregate

iii. Professional Indemnity: professional indemnity insurance in the minimum amount of

$5,000,000 per claim

b) Risk Management Plan

c) Community Engagement Plan

d) Local Content Plan (for Capital Works Projects only)

e) Knowledge Sharing Plan

Capital Works Project please note that Applications must be underpinned by a prior feasibility

study.

2. Proposal Assessment

Assessment of Applications will be undertaken by an Assessment Panel with advice from members

of a Technical Advisory Group.

Each Application will be assessed against the relevant eligibility criteria in section 2 and the merit

criteria set out in section 3.

Please note: a credit report may be conducted on Applicants at any time during the assessment

process.

3. Notification of outcome

Applicants will be notified of outcome by email. Feedback on the Application will be provided on

request.

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Supplementary information or clarification may be requested from the Applicant at any time during the

assessment process. At any time during the assessment process, the Assessment Panel may undertake

due diligence activities considering the value, size and complexity of the Application.

4.2 Assessment Process

The Assessment Panel will be responsible for assessing all Applications and will be comprised of

departmental representatives, supported by a probity advisor.

The Assessment Panel will be supported by a Technical Advisory Group, comprised of technical/ subject

specialists. The Technical Advisory Group will assist with the assessment process and provide expert

comment where required. The Technical Advisory Group may also include special members brought in

from specific government agencies on an as-needs basis where the Application is relevant to that portfolio.

The delegated authority for approval of successful Applications is the Director General of the department.

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5. Applicant Funding Contribution Applicants need to demonstrate a minimum cash contribution of 25 per cent of the total Proposed Project

cost. The total amount of funding received from the Fund and any other sources of WA Government or

Australian Government funding cannot exceed 75 per cent of the total Proposed Project cost.

This minimum financial contribution of 25 per cent of total project costs must be confirmed at the time of

applying for funding. This contribution is required to ensure there is adequate Applicant investment in the

successful outcomes of the project.

Please note that in-kind contributions, whilst welcome, do not count towards the minimum Applicant funding

contribution.

Applicants must submit:

a budget and/or financial model for the Capital Works Project or Feasibility Study, which includes a

breakdown of all funding sources

noting that all costs for the Proposed Project should be detailed excluding GST

appropriate evidence of co-funding contribution commitments

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6. Funding Arrangements

6.1 Financial Assistance Agreement

Applicants must read the template FAA before submitting an Application. This template includes the

non-negotiable terms and conditions that successful Applicants will be required to agree to when entering

into a FAA with the department.

Before receiving funds, successful Applicants are required to enter into a FAA, which will outline the

non-negotiable terms, conditions, obligations and reporting requirements of the grant. The FAA must be

signed and returned within thirty (30) business days of the date of notification to Applicants of grant funding

outcome.

FAAs will be established under the Industry and Technology Development Act 1998 (ITD Act). The Director

General of the department has delegated authority to act on behalf of the Minister under the ITD Act.

6.2 Payment of Funding – Conditions and Obligations

Applicants are required to provide a Milestone payment schedule with their Proposed Project and if the

Application is successful, it will be negotiated on a case-by-case basis. Note that signing the FAA will not

be considered a Milestone that warrants a payment.

Funding will only be provided to successful Applicants who agree to the terms of the FAA, including that:

• payment of approved funds will be made in arrears

• the Applicant will be required to submit evidence of Milestone completion before a Milestone payment will be made

The release of the first Milestone payment is contingent on the Applicant having an executed FAA with the

department prior to project commencement. No retrospective payments will be made. Progressive

payments may be made where applicable and subject to the Applicant providing to the satisfaction of the

department:

Evidence of Milestone completion

A Certificate of Currency for Insurances

An updated Risk Management Plan

A Milestone Report

A Statement of Income and Expenses for the project to the date of the progressive payment claim, signed by the Applicant’s Chief Financial Officer or equivalent position. The statement should include details of project expenditure compared to budget

An Acquittal Report must be provided 60 business days after project completion

6.3 Tax Information

Funding provided to recipients under round 2 of the Fund is regarded as payment for a supply.

GST-registered grant recipients will therefore be required to add GST to the amount of funding awarded.

If registered for GST, recipients must provide a tax invoice for the GST inclusive value of the grant.

Applicants are encouraged to seek professional tax advice on the potential implications of obtaining grant

funding.

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7. Application Requirements

7.1 Risk Management Plan

Applicants are required to include a completed Risk Management Plan in their Application, and provide an

updated Risk Management Plan at each Milestone submission.

The Risk Management Plan for the Proposed Project should include the following features:

clear identification and documentation of all key project risks and categorisation of those risks covering both likelihood of occurrence and potential consequence

the proposed mitigation strategies and associated action plans that the Applicant determines necessary to eliminate the risks or, if this is not possible, minimise the likelihood and consequences of those risks occurring

an Occupational Health and Safety Management Plan

a process for regularly monitoring and updating the Risk Management Plan, and ensuring that it is consistent with relevant industry standards and best practice for this type of Proposed Project

7.2 Community Engagement Plan

The Community Engagement Plan is designed to ensure that community consultation is conducted in a

manner that is inclusive and thorough. No template will be provided by the department, however, the plan

should demonstrate to the department that the socio-economic impacts of the Applicant’s proposal on the

broader community has been considered in the Application.

If the Proposed Project intends to engage, foster productive relationships, and provide economic

opportunities for Aboriginal and Torres Strait Islanders people, please include these details in the

Community Engagement Plan.

7.3 Local Content Plan

All Applications for Capital Works Projects are required to include as part of their Application, details of any

grant funding to be expended on local content (local businesses, suppliers, knowledge, and skills), using

the Local Content Plan template provided by the department.

The purpose of the Local Content Plan is to capture key information on expected employment,

apprenticeships and traineeships, local sourcing and other economic benefits to WA.

7.4 Knowledge Sharing Plan

Applicants are required to complete and submit a Knowledge Sharing Plan as part of the Application using

the template provided by the department. A condition of the grant funding is agreement to provide a

Knowledge Sharing Plan about the Proposed Project to help inform industry, government and the broader

community about the activities, development and findings.

An approved Knowledge Sharing Plan will form part of the FAA for the Proposed Project. Once a FAA has

been executed for the Proposed Project, the knowledge sharing requirements for that project may be varied

from time to time as set out in the FAA.

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8. Further Program Information

8.1 Freedom of Information, Confidentiality and Disclosure of Information

Applicants are informed that the department is subject to the Freedom of Information Act 1992 (WA), which

provides a general right of access to records held by WA Government agencies and local governments.

Applicants are advised that information pertaining to the receipt of WA Government financial assistance will

be tabled in the WA Parliament. This information could include the name of the recipient, the amount of the

assistance, the name of the project and a brief description thereof. This could result in requests for more

details to be released publicly. Applicants should clearly identify all commercial-in-confidence material,

noting that project name, Primary Applicant’s name, grant amount, total project cost and brief project

description will be published for all successful proposals.

Successful Applicants should be aware that their organisation’s name, project name and amount of funding

approved will appear on the department’s website.

The department reserves the right to discuss an Application with a third party if it is deemed necessary to

assist in assessing the Application.

WA Government agencies are subject to legislative and administrative accountability and transparency

requirements of the WA Government including disclosures to the Parliament and its Committees. As such,

Applicants should be aware that disclosure of information outside of WA Government agencies may occur if

the information is required or authorised to be disclosed by law.

8.2 Privacy Statement

Information provided by Applicants or collected by the department in relation to an Applicant or their

Application may be used in the administration of the Fund and in the assessment of this Application.

The department will store personal information collected in this Application, supporting documentation and

any grant administration, monitoring and evaluation activities in compliance with its obligations under the

Privacy Act 1988 (Cth) and the Australian Privacy Principles.

8.3 Intellectual Property

Any intellectual property rights that may exist in an Application will remain the property of the Applicant or

the rightful owner of those intellectual property rights.

Any part of an Application considered to contain any intellectual property rights should be clearly identified

by the Applicant. The Applicant grants to the WA Government (and will ensure that relevant third parties

grant) a permanent, non-exclusive, irrevocable licence to use, communicate and reproduce the intellectual

property in the Application for the purpose of administering the funding round.

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9. No Legal Relationship The Guidelines (inclusive of the Strategy), the submission of an Application by the Applicant and all

documents that form part of the Application, does not create:

any legal relationship

an offer to enter into any contract

a process contract or contract or like contractual obligation

between the Applicant and the department (including the WA Government).

Neither the Guidelines nor any document shall create or give rise to legal or equitable rights or obligations;

such rights or obligations shall only come into being if and when a formal legally binding FAA, is formally

executed between the Applicant and the department.

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10. Reservation of Rights The department (inclusive of the WA Government), reserves the right at its absolute discretion to

administer the funding round in such manner as it sees fit and may:

• Change the scope, structure, purpose, processes, procedures, terms of participation in and timing of

the funding round including any aspect of the Guidelines, including the eligibility and merit criteria

• Request additional information or clarification from any Applicant or conduct due diligence as

outlined in the Guidelines

• Take into account any information from its own and other sources (including WA Government

agencies or advisors)

• Accept or reject any Application, having regard to the Guidelines or any other matter which the WA

Government considers relevant, including limitations on the funds available in the funding round

• Exercise a right or discretion or perform any act or omit to perform any act under the Guidelines.

• Terminate the participation of any Applicant in the Application process

• Terminate or not proceed with the funding round in the manner outlined in the Guidelines, or at all

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11. Exclusion of Liability The Applicant will bear entirely and exclusively all costs and expenses whatsoever incurred by the

Applicant in preparing the Application and in any way associated with developing, preparing and submitting

the Application (irrespective of whether or not the Proposed Project proceeds or the Application is accepted

or rejected).

Without limiting the above, the Applicant releases the department (including the WA Government) from all

liability in respect of the Application process and the department is not liable for any loss, expense, cost or

damage, incurred by the Applicant in relation to:

1. the preparation or submission of the Application

2. any exercise, or performance of, or failure of the department to exercise or perform, any rights,

obligations, or duties under the Guidelines

3. otherwise in connection with the Guidelines or Application process

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12. Glossary Applicant – the applicant/s identified in the Proposed Project and full Application (including the Primary

Applicant and Partners).

Application – an application (or relevant part of an Application) made to the WA Government for funding

under round 2 of the Renewable Hydrogen Fund, and includes a proposal, a full application and any other

supporting or additional information provided by the applicant.

AWST – Australian Western Standard Time.

Capital Works Project – A capital works project is a long-term project to build, improve, operate, maintain,

or develop a capital asset, and must be underpinned by a completed and viable feasibility study.

Feasibility Study – A feasibility study is an analysis that takes all of a project's relevant factors into

account—including economic, business, technical, legal, and scheduling considerations to ascertain the

likelihood of proposed project being completed and operated successfully, noting that concept feasibility

study and pre-feasibility study proposals are not eligible.

Financial Assistance Agreement (FAA) – the agreement to be entered into by the successful Applicant

with the WA Government and will outline the non-negotiable terms, conditions, obligations and reporting

requirements of the grant

Fund – the Western Australian Renewable Hydrogen Fund.

Guidelines – these Applicant Guidelines for the second round of the Western Australian Renewable

Hydrogen Fund.

ITD Act – Industry and Technology Development Act 1998.

Milestone – means any expressed or implied milestone or deliverable referred to in the FAA.

Occupational Health and Safety Management Plan – means a site-specific document that enables the

hazards and risks associated with the work activity to be identified, managed, and mitigated. For further

information, please see: https://www.commerce.wa.gov.au/worksafe/ohse-subbypack-including-safe-work-

method-statement-and-occupational-health-and-safety-plan.

Partners – are other entities, apart from the Primary Applicant named in the proposal or in the Application.

Primary Applicant – the project lead who will be responsible for entering into the FAA with the WA

Government and for meeting the obligations with respect to Milestones and project outcomes contained in

the FAA.

Proposed Project – means the proposed renewable hydrogen project, which is the subject of a feasibility

study, or a pilot/demonstration/early commercialisation capital works project.

Roadmap – the Western Australian Renewable Hydrogen Roadmap.

Round 2 – second round of the Western Australian Renewable Hydrogen Fund.

Strategy – the Western Australian Renewable Hydrogen Strategy.

The department – The Department of Jobs Tourism, Science and Innovation.

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Renewable Hydrogen Fund Round 2 FAQs

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Frequently Asked Questions

Can I apply if I do not have an ABN?

No – the grant funding is only available to Primary Applicants that are registered businesses with a valid

and active ABN.

My project will be based in WA but the parent company is based interstate/overseas. Can I still apply?

Yes - if the Primary Applicant has a valid and active ABN.

My Certificate of Currency of Insurances is no longer up to date. Can I still apply?

Yes – details of expired insurances should be provided with an explanation as to whether these can or will

be renewed.

I applied for and received grant funding from the first round of the Renewable Hydrogen Fund, can I apply for this funding?

Yes – please provide details in your Application.

Can I apply for both a Feasibility Study grant and a capital works program grant?

Yes – both applications must be independent of each of other and not reliant on the same funding sources.

I think there will be regulatory issues that arise as my project progresses. Will the department assist me in overcoming these barriers?

Regulatory issues that arise in the context of Feasibility Studies and Capital Works Projects will be

considered and, if deemed appropriate, may be reviewed by the department for further discussion with

relevant agencies/bodies. The department reserves full discretion as to the regulatory work it will undertake

in assisting the development of the hydrogen industry in WA.

Will all eligible Project Proposal applications receive funding?

Applications will be assessed on merit and funds allocated accordingly, so therefore not all eligible

applications may receive funding.

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I cannot complete the online application in one sitting. Will the information on the application be saved if I have to stop using the program for the day?

Yes – the SmartyGrants online grant system allows you to work on your application over a period of time

rather than completing it in one sitting as you can save your work as you go. This is handy if you have to

keep moving between programs to find the information you need to add to your submission. Your

application will remain in the SmartyGrants system for the entire submission period so you can work on

your application over days and weeks until you have either submitted it or the closing deadline. Applicants

are encouraged to frequently save their work in the application form by clicking the Save Progress link at

the bottom of each page of the application form. As well as saving your work, Save Progress ensures

calculations that might take place on a particular page are actioned.

How important is it that my application addresses at least one of the four Strategic Focus Areas in the WA Renewable Hydrogen Strategy? Can I apply if my Feasibility Study or Capital Works Project lies outside these focus areas?

All Proposed Projects must address at least one of the identified four Strategic Focus Areas.

Why are the criteria weighted differently?

The merit criterion have different weightings to signify the level of importance that the criteria area has in

the overall assessment process. Applicants are encouraged to consider the criteria weightings in

developing their responses to each question.

Merit Criterion A – Contributes to the Fund Objective and Outcomes (25%)

Merit Criterion B – Applicant Capability and Capacity (20%)

Merit Criterion C – Proposed Project Plan: Design, Methodology, Risk and Compliance (30%)

Merit Criterion D – Proposed Project Plan: Financial Viability and Funding Commitment (15%)

Merit Criterion E – Knowledge Sharing (10%)

Will I be asked to provide evidence to support the answers I have included in my application?

As identified in the Guidelines, supplementary information or clarification may be requested from the

Applicant at any time during the assessment process. At any time during the assessment process, the

Assessment Panel may undertake due diligence activities considering the value, size and complexity of the

Application.

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Why do I need to complete a Risk Management Plan, Community Engagement Plan and Local Content Plan?

These plans are a requirement for Merit Criterion C, which is weighted at 30% of the assessment. They will

be used to determine if the Proposed Project identifies, and subsequently addresses all risks and

demonstrate impacts of the Proposed Project. Note: a Local Content Plan is only required for Capital Works

Projects.

What is a Knowledge Sharing Plan and Report?

A Knowledge Sharing Plan is required to be submitted with your application and is a requirement for Merit

Criterion E, which is weighted at 10% of the assessment. The Plan is required to be submitted on the

template provided by the department. The Knowledge Sharing Reports will be an obligation of funding and

the FAA will detail agreed content and Milestone submission dates.

How will the funding be released if my application is successful?

Before receiving funds, successful Applicants are required to enter into a FAA, which will outline the terms,

conditions, obligations and reporting requirements of the grant. A template FAA is provided and applicants

are required to review and understand the obligations of the FAA which must be signed and returned within

thirty (30) business days of the date of issue. The terms and conditions of the FAA are non-negotiable.

Once the FAA is executed, Recipients must submit a tax invoice for the total grant amount to the

department to release payment of funds.

If awarded a grant, what can I spend the funding on?

The following are deemed eligible costs.

Feasibility studies

Professional fees for consultants, financial, economic, planning, technical and engineering

assessments as necessary to complete the feasibility study.

Capital works projects

Capital expenditure for hydrogen related plant, equipment and technology reasonably required for

the Proposed Project.

Leasing expenditure to 30 June 2024, for hydrogen related plant, equipment and technology

reasonably required for the Proposed Project.

Installation and commissioning costs for hydrogen related plant, equipment and technology required

for the Proposed Project.

Applicants are to provide eligible and ineligible costs in the Application and will be required to provide

supporting evidence, such as supplier quotations, to verify and confirm Proposed Project costs.

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The following are deemed ineligible costs:

ongoing costs incurred after the project is completed (e.g. operating and maintenance costs)

retrospective payments or expenditure incurred prior to execution of a FAA

in-kind contributions and existing staff salaries

plant and equipment not directly related to the production, storage, utilisation and transport of

hydrogen

preliminary project investigations such as options analysis, market studies and early stage feasibility

studies

site acquisition costs such as purchase or site lease costs and site rehabilitation, land survey,

engineering or civil works costs

planning approvals and environmental licence application and approval costs, including impact

assessment studies

foregone profits or revenues due to the need to undertake modification or upgrades to existing

facilities for the project

legal and financing costs

grant application, monitoring and administration costs (including consultants working on these

engaged by the applicants)

marketing costs including promotion and advertising costs, education and information campaigns

compliance costs associated with environmental regulation and licence conditions contingency

allowances

What are the GST implications associated with applying for this Fund? Will the department pay an additional amount on top of the grant payment to account for GST?

Funding provided to recipients under the second round of the Fund is regarded as payment for a supply.

GST-registered grant recipients will therefore be required to add GST to the amount of funding awarded. If

registered for GST, recipients must provide a tax invoice for the GST inclusive value of the grant.

Applicants are encouraged to seek professional tax advice on the potential implications of obtaining

funding.

What happens if I am unable to complete an agreed upon Milestone deliverable on time?

The department may work with the Recipient to re-negotiate Project Milestones via a variation to the FAA.

In the event that a successful applicant is unable to expend the grant funding in line with the activities

identified in the FAA, the department reserves the right to request the unspent funding be either returned or

varied accordingly.

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I have applied for the grant – how long will the assessment process take?

The assessment process will start immediately after applications close on 19 February 2021. It is

anticipated the assessment and approval process could take up to 14 weeks from this date.

How will I know if there are any changes made to the Guidelines?

Applicants are encouraged to visit the hydrogen landing page on the department’s website where the

department may publish answers to applicant’s questions as Frequently Asked Questions and/or any

amendments to the Guidelines. Those applicants who have registered on the SmartyGrants online

application program and commenced their application will be alerted to any document amendments as their

email will have been registered. Applicants who have submitted their application may request that the

application form is reopened prior to the closing date, to be updated if additional and pertinent information

is released by the department.

Helpful Recourses:

The Western Australian Renewable Hydrogen Strategy and Roadmap:

https://www.wa.gov.au/government/publications/western-australian-renewable-hydrogen-strategy-and-

roadmap

Western Australian Climate Change Policy:

https://www.wa.gov.au/service/environment/environment-information-services/western-australian-climate-

change-policy

Hydrogen Technologies International Standards:

https://www.iso.org/committee/54560/x/catalogue/