Investing in low-carbon manufacturing and jobs in the Illawarra

02 June 2026

The Minns Labor Government is calling on manufacturers in the Illawarra to apply for a share of $225 million to create more local jobs and help NSW build the products and materials needed for the industries of the future.

The Illawarra is one of NSW’s great manufacturing regions, with the skills, industrial base and supply chains needed to play a leading role in the next generation of low-carbon manufacturing.

The $225 million grant round will support commercial and construction-ready projects that can expand local production, attract private investment and create skilled jobs.

As global demand grows for clean energy and low-carbon products, the Minns Labor Government is backing NSW businesses to seize this global opportunity by manufacturing more of these products here at home, including:

  • renewable energy components such as wind towers, solar panels, batteries and transmission cables
  • low-carbon products such as blended cement, cross-laminated timber and biofuels
  • emerging clean technologies such as new-generation renewables and storage, AI-driven agricultural systems and lithium battery recycling.

In the Illawarra, that funding has 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 jobs.
  • $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.

This next round of funding is an opportunity for more Illawarra manufacturers to expand, diversify and help build the industries that will support the region’s economic future.

Successful projects will need to attract significant private investment to NSW, with grant recipients required to match or exceed NSW Government funding dollar-for-dollar.

The investment will create jobs, further the transformation of the state’s energy system, and support NSW’s legislated targets to cut emissions by 70 per cent by 2035 and reach net zero by 2050.

Applications open today. For more information, visit: www.energy.nsw.gov.au/NetZeroManufacturing

Minister for Climate Change and Energy Penny Sharpe said:

“Our investment in low-carbon manufacturing has already supported the creation of around 1,000 jobs, and this boost will power the next wave of industry and opportunity in the Illawarra and across NSW.

“This additional funding will help ensure NSW does not just import technology, but builds more of it locally to benefit communities and workers.”

Minister for the Illawarra and the South Coast, Member for Keira Ryan Park:

“This investment from the Minns Labor Government will create more jobs and foster a cleaner future while presenting a transformational economic opportunity for the Illawarra.”

Member for Wollongong, Minister Paul Scully:

“Wollongong is one of the state’s biggest industrial hubs, so this investment in low-carbon manufacturing is a great opportunity for businesses to expand and innovate.

“This builds on previous rounds, which have helped to create more than 50 jobs while supporting innovations in energy storage, battery technology and hydrogen production.”