About the Ethanol Production Grants Program
The Ethanol Production Grants (EPG) program commenced on 18 September 2002. The EPG is an eligibility-based entitlement program and its objective is to encourage the use of biofuels in transport in Australia.
On 29 June 2011 the package of four bills in respect to the future taxation of alternative transport fuels attained Royal Assent, which means the current full excise reimbursement arrangement for domestic fuel ethanol via the EPG Program will continue for another ten years from 1 December 2011, with a review to be conducted after 30 June 2021.
Responsibility for the administration of the EPG transferred from AusIndustry to the Department of Resources, Energy and Tourism (RET) on 1 December 2011.
The Ministerial Guidelines, dated 22 November 2011, cover the period 1 December 2011 to 30 June 2012. Ministerial Guidelines for the period post 30 June 2012 are being developed and will be published in the first half of 2012.
Grant eligibility and amount
To claim the grant, ethanol must be produced in Australia entirely from locally derived biomass feedstock (including biomass waste and residues) by the grant recipient which is to be used in, or as, a transport fuel in Australia.
Ethanol producers that meet the eligibility requirements may submit an application for funding at any time during the life of the EPG program. Successful applicants will be required to enter into a Funding Agreement with the Commonwealth before any funding will be payable.
Ethanol Production Grants are paid to ethanol producers at a rate of 38.143 cents per litre, subject to the availability of funding and to the terms and conditions in the Funding Agreement. Grants are paid either to, or at the direction of, the Recipient in accordance with the Guidelines and the Funding Agreement.
Program status
The Ethanol Production Grants program is open for applications.
Related documents
More information
More information on the EPG is provided in the Ethanol Production Grants Fact Sheet (see Related documents above).
Enquiries should be directed to:
Program Manager - Ethanol Production Grants
Department of Resources, Energy and Tourism
GPO Box 1564 Canberra City ACT 2601
Phone: (02) 6213 7217
Email: EPGEnquiries@ret.gov.au