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Rebates to improve digital connectivity for farmers
Applications have now closed
There has been significant interest in the On Farm Connectivity Program round 2 and the program has now closed.
Updates for the program will be published on this page.
On Farm Connectivity Program Round 2
Applications may close early if funding is fully allocated before the closing date.
What do you get?
A rebate of up to $30,000 to cover up to 50% of the cost of eligible digital farming technology.
Who is this for?
Approved Suppliers who sell connectivity solutions to eligible Primary Producers.
Overview
The On Farm Connectivity Program Round 2 (the program) will run over 1 year in 2024-25. This program forms part of the Better Connectivity Plan for Regional and Rural Australia (Better Connectivity Plan) and assists Primary Producers to take advantage of digital agribusiness solutions to boost productivity and improve safety.
The objectives of the program are:
- extend digital connectivity and take advantage of advanced farming technology
- enhance a Primary Producers’ capacity to implement digital agribusiness solutions through improved connectivity
- capitalise on the agricultural sector’s potential for increased productivity and growth
- support access to new communications equipment by offsetting some of the cost.
The intended outcomes of the program are:
- increased investment in equipment to support operations of the agricultural sector
- increased efficiency, competitiveness, productivity and profitability of the agricultural sector
- improved safety on farm
- increased use of advanced farming technology
- improved knowledge of advanced farming technology and digital literacy.
Eligible Primary Producers can only access the program (and rebate) through an Approved Supplier.
The Australian Government announced $30 million for the On Farm Connectivity program in the October 2023 budget with $15 million available for Round 1 and Round 2 of the program. A further $3 million is now being provided for Round 2.
For Round 2 of this grant opportunity $18 million is available in 2024-25.
The grant (rebate) amount will be up to 50% of the cost of eligible equipment item/s listed at Appendix B of the grant opportunity guidelines.
- The minimum grant (rebate) amount is $1,000 (GST exclusive).
- The maximum grant (rebate) amount is $30,000 (GST exclusive).
As an Approved Supplier listed at Appendix A, you can claim up to the maximum rebate amount for each eligible Primary Producer with an Australian Business Number (ABN).
Further guidance
I am a Primary Producer, can I submit an application to claim the rebate?
No. Only approved Equipment Suppliers listed at Appendix A of the grant opportunity guidelines can submit an application. Primary producers will be invited to provide a declaration as a part of the application process.
Can a Primary Producer who purchased connectivity equipment in round 1, purchase more equipment in round 2?
Round 1 and 2 can be considered completely separate rebate schemes. The rebate received in round 1 has no bearing on the maximum rebate you can receive in round 2. Primary Producers are eligible to receive up to $30,000 in rebates for their ABN in round 2 of the On Farm Connectivity Program.
I am a Primary Producer and I purchased equipment from an eligible Equipment Supplier last month. Can I still receive a 50% discount for the equipment?
No. To be eligible for the rebate program, Primary Producers need to have their eligibility assessed before they enter equipment sale with the approved Equipment Supplier. The Equipment Supplier submits an application for the rebate based on the anticipated sale with the Primary Producer on the total equipment item costs.
I am an eligible Equipment Supplier and will supply equipment to multiple Primary Producers. Can I submit one application for all?
No. You must submit a separate application for each Primary Producer that has a different ABN.
You can bundle equipment supplies under different connectivity solutions for one Primary Producer ABN.
Can the approved Equipment Supplier pass on the rebate to the Primary Producer after the claim has been paid?
No. For Equipment Suppliers to claim the rebate for the costs of equipment listed, they must show evidence of purchase and that the Primary Producer has paid their share of the equipment cost.
How will approved Equipment Suppliers know when a Primary Producer’s ABN has reached the $30,000 maximum?
The Equipment Supplier should confirm this with the Primary Producer prior to starting an application. Eligibility criteria for Primary Producers can be found at Appendix C of the grant opportunity guidelines.
The Department will also assess the eligibility of the Primary Producer. If the maximum rebate has been claimed, the application outcome will be notified as 'Ineligible'.
Note the rebate amount is GST exclusive.
How do I calculate the rebate?
The rebate can be up to 50% of the cost of eligible equipment, including installation, subscription, and training. The total eligible expenditure must be at least $2,000 (GST exclusive). The cost of subscriptions and training may each make up 10% of the total equipment purchase price. Subscription and training costs exceeding 10% of the total equipment value will need to be covered by the Primary Producer.
This is demonstrated in the following example (all prices are GST exclusive):
Eligible Equipment valued at $20,000 plus an additional $2,500 in subscriptions, $3,000 in training, and $5,000 for delivery and installation is supplied by an approved Equipment Supplier. Of that:
- the total eligible expenditure is $29,000 ($20,000 eligible equipment plus $2,000 in subscriptions [10% of equipment value] plus $2,000 in training [10% of equipment value] plus $5,000 installation [no limitation])
- the eligible Equipment Supplier claims a rebate of 50% of the total eligible expenditure, or $14,500 GST exclusive
- the Primary Producer pays the remaining amount of $16,000 plus GST (if applicable).
Can an eligible Primary Producer purchase equipment items from multiple Equipment Suppliers?
Yes. An eligible Primary Producer can purchase separate equipment items from multiple approved Equipment Suppliers up to the maximum rebate of $30,000 per ABN.
I am a Primary Producer, how do I fill out my electronic declaration for the application?
Primary producers will receive an email inviting them to the application. Click on the link in the email and it will take you to the declaration part of the application form. Review and complete the details as per the instructions and then click save and close.
If the Primary Producer is unable to complete the declaration online, then a hard copy of the declaration can be completed and emailed to OFCP@industry.gov.au. The Primary Producer declaration template is available under Key documents.
I am an approved Equipment Supplier, what evidence do I need to support my claim for the rebate?
You must submit the following to support your claim for the rebate:
- a description of the connectivity solution and associated eligible equipment as outlined in the application outcome letter.
- proof of purchase including copy of paid tax invoice(s), receipts or equivalent confirming the sale. Evidence should include prices of the eligible equipment item/s, including costs for subscription, installation, training and delivery.
- evidence that the eligible Primary Producer has paid their share of the equipment cost i.e. bank transfer.
- If the eligible equipment value is over $10,000 the claim will also need to include geotagged photos (with GPS metadata) of the installed equipment.
Invoices and purchase orders are not acceptable evidence of proof of payment. Failure to submit your claim for the rebate within 120 days of your eligible application notice may require you to reapply for the program.
More information about the proof of payment
One or a combination of the following are acceptable proof of payment:
- bank transaction
- payment receipt
- OSKO payment.
The proof of payment should include the following:
- Primary Producer name and the reference invoice number
- Approved Equipment Supplier name and bank account number as shown in the approved application
- date of the payment or transaction
- the amount paid should match the amount payable to the Eligible Supplier.
If the proof of payment lacks any of the details listed above, a signed statement from the primary producer confirming the payment to the supplier can be provided as a supplemental attachment. Key details about the claim should be included.
How do we assess your application?
We assess your application against the eligibility criteria outlined in the grant opportunity guidelines.
The Program Delegate decides which applications to approve based on the eligibility criteria. The Program Delegate’s decision is final. We will not review decisions about your application.
How will I know my application was successful?
The Equipment Supplier is notified by email that their application is successful. The Equipment Supplier then has 120 days to finalise sale, deliver/install equipment, and lodge the claim for rebate evidence via the online portal.
I am an eligible Primary Producer and have purchased equipment from an approved Equipment Supplier, but I have not received the goods. What do I do?
Primary Producers should contact the Equipment Supplier in the first instance to check status of equipment order. Equipment Suppliers are expected to provide equipment to Primary Producers within 120 days of sale. Any anticipated or unforeseen delays impacting equipment supply due to stock availability, freight delays or unseasonal weather should be communicated and resolved as soon as possible between the Equipment Supplier and Primary Producer.
Equipment purchases are protected under Australian Consumer Protection Laws. Refer to ACCC website.
If the Primary Producer is still not satisfied with the equipment sale outcome, they may progress their feedback in accordance with the process outlined at Section 12.4 Enquiries and feedback in the grant opportunity guidelines.
Where there is evidence that an Equipment Supplier is not delivering equipment items to Primary Producers in a reasonable and timely manner, the department may (at the Program Delegate’s discretion) remove the supplier from list of approved equipment suppliers under the grant opportunity guidelines.
I am an equipment supplier. What if I need more time to deliver and install the equipment before submitting my claim?
The timeframe is up to a maximum of 120 calendar days or until 31 May 2025 whichever occurs first.
If you think you will not be able to submit your claim within 120 days of your eligible application notice, please contact OFCP@industry.gov.au to request an extension. Extension requests must be provided at a reasonable time with evidence of why the deliverables cannot be met within 120 calendar days. The Delegate will review extension requests on a case-by-case basis.
Regardless of the justification, no extensions will be granted beyond the program end date of 31 May 2025.
What is a geotagged photograph?
A geotagged photograph is a photograph which includes Global Positioning System (GPS) data. When the GPS location setting on your camera or smart phone is turned on, it will add information about the photo’s geographical location to the digital file. The GPS coordinates can be checked in the photo’s file properties and the location verified using a mapping tool. Please contact OFCP@industry.gov.au if you require further assistance.
Past rounds
This opportunity is part of the Australian Government's On Farm Connectivity Program. $15 million was available for Round 1 and $18 million is available for Round 2.
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