Forestry Industry Supply Chain Support Program - Planning and Transition Grants program guidelines

The intended recipients of grants under the program are impacted businesses (other than those sawmills supplied under the Wood Supply Agreements listed in the Ministerial Directions, and the harvest or haulage contractors engaged by FCNSW who are already receiving support) who as a consequence of the moratorium on harvesting in the GKNP, have had either:

• the majority of their hardwood or by-product supply cut from an impacted sawmill that have had a reduction in their wood supply; or
• a substantial reduction in revenue; or
• a substantial increase in operating costs.

The source agency for the Program is NSW Treasury.

The Department of Primary Industries and Regional Development is administering the Program.

Demand-driven, or ‘first-in, first-served’ opportunity, as listed in the Grant Program Details.

A key principle of any grant program is to achieve value for money. This is important to ensure that the benefits of the grants are maximised for the people of NSW. Ways in which applicants may contribute to delivering value for money include, for example:

• consider the most efficient and innovative means of carrying out grant activities
• consider how government objectives and the applicant’s identified needs can be mutually achieved
• adopt an effective approach to identifying and managing risks or
• collaborate with officials in monitoring and evaluation processes.

Each eligible expense (listed in Eligible expenditure and evidence) funded under the Grant Program must be incurred within the program delivery timeframes outlined in the Grant Program Details.

The total funding available is within the total $5 million allocated from the immediate support for businesses downstream of impacted timber mills who have been impacted by the moratorium on timber harvesting within the proposed boundary of the GKNP and may include separate grants.

Eligible applicants may only apply for a maximum of $275,000 (GST exclusive) which can include the following:

• A maximum of $25,000 (GST exclusive) for a Business Planning grant to assist with the costs of business planning support and/or
• A maximum of $250,000 (GST exclusive) for a Transition grant to assist with:
  • transitioning the business by diversifying the business structure or downscaling current business operations, and supported by a business plan or
  • closing down, in which case a letter signed by a professional financial advisor will suffice to support the application.

To be eligible for grant funding, applicants must meet one of the following requirements:

• You are an impacted business that has previously applied for and received approval for a grant under the Forestry Industry Supply Chain Grant Program or
• You are an impacted business that can demonstrate and provide evidence of a greater than 25% reduction in business revenue or a greater than 25% increase in operating costs, as a result of business dealings with a impacted sawmill or a harvest or haulage contractor following the moratorium on harvesting in the GKNP.

To be eligible for grant funding, applicants must also meet all of the following requirements:

• You operate as a sole trader, partnership, trust, company or an incorporated association or co-operative in Australia
• You have an active Australian Business Number (ABN)
• You are registered for GST with the Australian Taxation Office (ATO).

The activities may meet all or some of the following requirements to be eligible:

• Engaging a professional to conduct business planning advice including financial analysis, strategic advice, business viability assessments, transition planning, market analysis, diversification or business closure advice.
• Business transition, including business diversification or business downscaling (where supported by a business plan) or business closure (where supported by a letter signed by a professional financial advisor). 

To be eligible for payments as an impacted business, applicants must meet the following requirements:

• For applicants seeking funding to diversify or downscale their business, you must demonstrate via a business plan that your impacted business can remain viable.
• You must demonstrate that either:
  • the impacted business has previously applied for and received approval for a grant under the Forestry Industry Supply Chain Grant Program.
  • the impacted business has seen a 25% or more reduction in revenue or a 25% or more increase in operating costs attributable to the moratorium on timber harvesting in the GKNP Assessment Area.

Businesses must be located in New South Wales.

Claims for eligible expenditure will be paid upon submission of a valid tax invoice and supporting evidence in the following table.

The department may ask you to provide further information to support as evidence of your previous payment.

The department may also request that you provide additional information or undertake an additional assessment before additional payments are made.

Costs associated with engaging a professional to provide business planning advice and develop a business plan. These plans can include financial analysis, strategic advice, business viability assessments, transition planning, market analysis, diversification or business closure advice.

Business planning advice is not an eligible expense in the circumstance where a business has already made the decision to close prior to the application open date. However, the business may still be eligible for transition support as detailed below.

Costs to purchase, upgrade or dispose of equipment (such as milling machinery and sawmill engineering tools), or the required remediation costs of the business premises. 

An official written approval provided under the Forestry Industry Supply Chain Support Program, and/or one or more of the following:

• Financial statements for the 2024-25 financial year;
• Business Activity Statements (BAS) for all quarters from Q1 2025-26 up to the grant application date that demonstrate a greater than 25% decline in revenue or a greater than 25% increase in operating costs on a pro-rata basis.
• Historical tax invoices to demonstrate that this revenue decline was caused by a reduction in services required by a sawmill or a harvest or haulage contractor affected by the moratorium.

All approved applicants must supply valid tax invoices and proof of payment for eligible expenditure.

All applicants must provide a detailed business plan which outlines the estimated eligible expenditure, or alternatively a letter signed by a professional financial adviser in the case of business closure.

You may also be asked to provide either:

• An official written approval provided under the Forestry Industry Supply Chain Support Program.
• or all of the following:
  • Financial statements for the 2024-25 financial year;
  • Business Activity Statements (BAS) for all quarters from Q1 2025-26 up to the grant application date that demonstrate a greater than 25% decline in revenue or a greater than 25% increase in operating costs on a pro-rata basis.
  • Historical tax invoices to demonstrate that this revenue decline, or operating cost increase, was caused by a reduction in services required by a sawmill or harvest or haulage contractor affected by the moratorium.

All approved applicants must supply valid tax invoices and proof of payment for eligible expenditure.

Expenditure that the Program will not support includes:

• non-cash expenses such as depreciation or the write-down in asset values
• tax liabilities and expenses
• loan repayments
• expenses associated with a separate grant payment already approved or paid for under the Forestry Industry Supply Chain Support Program
• loss of income.

Applicants must complete and submit the department's application form, which should be accompanied by the documentation stated on the form and listed in under What to include.

Forms are found on the website.

 

Each application must include the documents listed in the application form, which includes the following:

• In the case of a previous applicant under the program, a copy of your official written approval for the Forestry Industry Supply Chain Support program
• For other applicants, the impacted business's financial statements from the 2024-25 financial year, and BAS quarters from Q1 2025-26 up to the application date for the 2025-26 financial year.
• Historical tax invoices to demonstrate that this revenue decline was caused by a reduction in trade with, or services provided to, a sawmill or harvest or haulage contractor affected by the moratorium.
• A detailed business plan or signed letter from a professional financial advisor if the application is for a transition grant.
• Confirmation of bank details such as front page of a bank statement showing the account name, BSB, and account number.

Please note: If there is uncertainty about the business or  undertaking’s status, the department may contact NSW Fair Trading, the Australian Securities and Investments Commission (ASIC), or the ATO to request supporting documents or further documentation from the applicant to support its application.

You must not include false or misleading information in your application. If an application contains false or misleading information, the department may determine that the application is ineligible.

Applicants will receive a notification of receipt by email.

The department may contact you to verify information or seek further information. The department may also carry out its own enquiries to validate any information provided to the department in the course of assessing the application.

If you have any questions regarding your eligibility or need assistance submitting your application, please contact the department.

Phone: 1800 678 593 (free call)

Email: forestryindustrysupport@dpird.nsw.gov.au

Website: www.dpi.nsw.gov.au/forestry

If you need assistance with interpreting or translating, please contact Multicultural NSW on 1300 651 500 or email languageservices@multicultural.nsw.gov.au.

Applications received after the advertised application closing date will not be accepted without written approval by the department.

Determining which applications are successful involves these stages:

• eligibility review
• assessment
• decision-making.

The department has zero tolerance for aggressive, abusive, threatening or violent behaviour (i.e., unreasonable behaviour) directed towards our workers. The department will assess applications in accordance with ethical conduct conditions set out in the guidelines.

The department will assess applications against the Eligibility criteria in the guidelines.

All applications that have met the eligibility criteria will move to the next stage, depending on the availability of funds.

An Assessment Team (including Assessors and an Assessment Panel with an expert in business planning) for the Program will be formed consisting of officers from the department.

Assessment process

• The Assessment Team will assess eligible applications against the eligibility criteria in these Program Guidelines and recommend assessment outcomes. All applications that meet the Eligibility criteria will be recommended to the Assessment Panel for approval on a first in, first served basis subject to the availability of funds.
• The Assessment Team will use the information you provided to help verify the applicant’s intention to continue the business  or undertaking.
• The department may request further information from you or from any business or individual you have engaged in assessing your application or to verify any information provided in
  your application. Failure to provide such information may result in the department declining your application.
• The department may decline an application where the eligibility criteria are not met or where you do not or cannot provide sufficient information for the department to determine if the eligibility criteria have been met. Refer to the Forestry website for more information.
• The department may put an application on hold where you are under investigation or have been charged in relation to the fraudulent receipt of grants or rebates under this or other programs.
• The Assessment Team may seek advice from other NSW Government agencies and other sources such as probity advisors.

Recommendations:

• The Assessors will make written recommendations to the Assessment Panel who will review and endorse the decision on the application to the decision-maker, if supported by the Panel.

Director, Forestry Polict, the Department of Primary Industries and Regional Development:

• Is the decision-maker, as listed in the Grant Program Details; and
• Will ensure the Program is administered in accordance with these Program Guidelines and decide whether or not to approve your application after considering the recommendation(s) by the Assessment Team and Panel.

The decision-maker may consider other factors, including the availability of funds, advice from a probity advisor and issues that could cause reputational or other risks to the NSW Government.

In limited circumstances, the decision-maker may waive eligibility criteria, for example, where not doing so would lead to perverse or unfair outcomes, be contrary to the policy intent, or damage the reputation and integrity of the Program. When doing so, the reasons for waiving selection criteria will be documented and approved by the decision-maker.

If the decision-maker departs from the Assessment Team and Panel’s recommendations, the decision-maker will record the reason(s) in your file.

The decision-maker’s decision is final in all matters, including:

• the approval to award a grant
• the amount awarded
• the terms and conditions of the grant.

The department will notify successful and unsuccessful applicants of the outcome of their application in writing.

If an applicant is unsuccessful, the preliminary decision process allows applicants an opportunity to demonstrate eligibility for the Grant Program by providing additional relevant documentation or information to address the aspects of their application considered by the department to be ineligible. The department will consider this additional information prior to making a final decision regarding the application.

If an application does not meet the Program’s eligibility criteria:

• an officer assesses the application
• the officer will advise the applicant that the application does not meet the eligibility criteria and explain the preliminary decision process
• the applicant is afforded 10 business days to provide additional supporting documentation for the department to consider when making a final decision on the application outcome
• if additional supporting documentation is submitted to the department within the allowable timeframe, the application is reassessed (if no additional supporting documentation is provided, the application will be declined).

The applicant will be advised of the final decision on the outcome of the application. If additional supporting documentation or information is not provided to the department within the 10 business days provided, the applicant will be contacted and advised of the final determination and the reasoning and invited to reapply if the Grant Program is still open.

Key information about the grants awarded will be published on the NSW Government Grants and Funding Finder in accordance with the requirements of the Grants Administration Guide.

This information, plus information submitted in applications and related correspondence, may be open access information under the Government Information (Public Access) Act 2009 (NSW), which must be made publicly available unless there is an overriding public interest against disclosure of the information, which may include that disclosure would contravene legal requirements under the Privacy and Personal Information Protection Act 1988 (NSW) (the PPIP Act). Information that is commercially sensitive may also be withheld.

The NSW Government may use information submitted in applications and in funding deeds for promotional material and to develop case studies.

The department will pay eligible applicants a maximum amount of $275,000 (GST exclusive).

Applicants will be asked for their banking details (BSB and account number) on the application form in order for the payment to be made.

Successful applicants of Transition Grants will be required to enter into a Funding Deed with the NSW Government.

To enter into a Funding Deed for Transition Grants, successful applicants will be required to confirm project information and provide a copy of supporting documentation relevant to the project or as requested by the department.

The first payment for Transition Grants will be made once all required documentation, including a Funding Deed signed by both parties, has been provided to and approved by the department.

The department makes no binding funding commitment to an applicant unless and until both parties sign a Funding Deed. Successful applicants must not make financial commitments for funded activities until the Funding Deeds have been executed by both parties.

Funds for Transition Grants will be paid via milestone payments set out in the Funding Deed.

Evidence of expenditure will be required to claim instalments and acquit eligible costs.

Successful applicants of Transition Grants may be required to submit progress reports to the department as outlined in the Funding Deed.

Payment will generally be made within 10 business days.

Grant funds will be paid on receipt of valid tax  invoices and proof of payment.

The department may request additional information to validate the payment.

Grants are GST exclusive.

Grants are assessable income for taxation purposes unless exempted by taxation law. You should seek independent professional advice about taxation obligations or seek assistance from the ATO. The NSW Government does not provide advice on individual taxation circumstances.

You must inform the department if there has been a change in the circumstances of any person, business or undertaking that is party to the grant (such as a separation, divorce or death).

If a grant recipient’s project or activity is completed and there are unspent funds remaining from the grant allocation, the department may require the grant recipient to return the unspent funds.

Alternatively, the grant recipient may request to use the unspent funds on extending the scope of the project or activity if the request aligns with the objectives of the program, and the grant recipient provides supporting information to the department. The department is under no obligation to agree with the request.

The department will monitor how grant recipients are spending their grants and how their project or activity is progressing.

Transition Grant recipients will be required to submit regular progress reports, final reports and other information to the department.

The Grant Program may be evaluated. The evaluation deliverables may include a Process Evaluation Report and a combined Outcomes and Economic Evaluation Report. An Overarching Monitoring and Evaluation Framework may guide the evaluation of the Program.

The Evaluation Framework may include a program logic, key evaluation questions and a data collection plan (including outcomes, indicators, collection methods and data collection responsibilities).

Grant recipients may be asked to participate in the evaluation and provide data per the Program Guidelines and monitoring and evaluation guidance documentation.

The following set of Key Evaluation Questions (KEQs) may apply to the overarching evaluation:

• How well did the program design reflect the needs it was intended to meet? (Appropriateness/Need/Design)
• How well was the program administered and delivered? (Efficiency)
• How effective was the program? (Effectiveness)
• To what extent did the package demonstrate value for money? (Economic).

The evaluation may aim to measure the short-and medium-term outcomes and will be supported by a fit-for-purpose monitoring and evaluation framework.

If this Program is to be evaluated, the NSW Government will be responsible for monitoring and evaluating the Program in accordance with the:

• NSW Treasury TPG22-22 Policy and Guidelines: Evaluation
• NSW Treasury TPG23-17 Disaster Cost-Benefit Framework.
• NSW Grants Administration Guide.

This Grant Program may be subject to an internal evaluation process to assess its effectiveness and inform future programs, in accordance with the NSW Grants Administration Guide.

The evaluation will focus on:

• administrative processes and delivery
• lessons learned to inform future grant design and delivery
• alignment to program objectives.

The evaluation may be conducted by the administering agency upon completion of the program.

The deparrtment, other NSW Government agencies or their agents may audit applications to determine compliance with these Program Guidelines.

The NSW Government may conduct audit and assurance activities to determine compliance with these Program Guidelines.

Your application, personal information and supporting documentation may be disclosed between the department and other NSW Government agencies and their agents for the purpose of these activities, or a directly related purpose, in accordance with the terms of the Privacy Collection Notice.

If you have any concerns about the Grant Program or applications or disagree with how the department handled an issue, please contact the department in writing using the contact information at Program Enquiries in the Grant Program Details.

The Government Information (Public Access) Act 2009 (the GIPA Act) provides for the proactive release of government information by agencies and gives members of the public an enforceable right to access government information held by an agency (which includes Ministerial offices). Access to government information is only to be refused if there is an overriding public interest against disclosure.

The NSW Legislative Council has the power to order the production of State papers by the Executive Government. Standing Order 52 provides that the House may order documents to be tabled by the Government in the House. The Cabinet Office coordinates the preparation of the papers –that is, the return to order. The return to order may contain privileged and public documents. Privileged documents are available only to members of the Legislative Council.

Note that documents submitted as part of a grant application may be subject to an application under the GIPA Act or an order for papers under Standing Order 52.

If you require further information about the GIPA Act and/or Standing Order 52, please contact the department using the contact information at Program Enquiries in the Grant Program Details.

The department may conduct an audit of evidentiary records to verify the Grant amounts given under the Program have been used in accordance with the claim.

You (and your officers and staff) must declare any perceived, potential, or actual conflicts of interest regarding the grant opportunity. You must declare such conflicts to the department by emailing forestryindustrysupport@dpird.nsw.gov.au.

Where a conflict of interest is detrimental to the grant opportunity, you must implement mitigation measures or minimise the conflict. The department may require individuals not to participate in the application or delivery stage.

You must keep the outcome of the grant opportunity confidential until the NSW Government makes a public announcement, regardless of the outcome of your application.

You must not participate in any anti-competitive conduct.

You must not offer any gifts, benefits or hospitality to any NSW Government employee at any time. Any inducement in contravention of this condition may result in your application not being considered.

The department takes fraud and corruption seriously. Suspected fraud will be assessed and investigated as appropriate, which may require the involvement of external parties such as the NSW Police Force or the NSW Independent Commission Against Corruption (ICAC).

By signing the application form, you declare that the information provided in your application form and supporting documentation is true and accurate.

Providing inaccurate, untrue or misleading information may be a breach of criminal law for which serious penalties may apply.

The department responds to fraud by:

• audit and site validation of applications and claims that are of concern
• referral to the NSW Police Force or ICAC of suspected fraud
• recovery of any assistance provided under a fraudulent application.

An application approval may be delayed where the outcome of relevant legal or validation actions may impact the decision to grant further assistance.

The department reserves the right to pursue and recover funding provided under fraudulent and dishonest circumstances.

The NSW Government may, in its absolute discretion, and without limiting any other rights which it may have, do all or any of the following at any time without giving notice or reasons:

• require additional information from you
• change any of the requirements of these Program Guidelines
• alter or vary any process, procedure or timing related to the grant
• suspend or terminate the grant opportunity
• negotiate with one or more preferred applicants without prior notice to any other applicant
• terminate any negotiations being conducted with any applicant
• readvertise for new applicants; viii. consider any non-conforming application
• terminate your further participation in the grant opportunity for any reason (including if the department considers that an application contains false or misleading statements or may damage the reputation of the department or the Grant Program).

The department reserves the right to amend, alter or change these Program Guidelines at any time, and it is your responsibility to ensure that you check the relevant website before application.

The department may issue an addendum to these Program Guidelines. The addendum becomes part of these Program Guidelines.

Where significant changes are made in relation to the grant opportunity, the department will revise these Program Guidelines and make them available in hard copy to the applicant.

The department will publish these Program Guidelines and any revised versions and addenda on the NSW Government Grants and Funding Finder.

The version of the Program Guidelines published on the date you submit your application applies.

Please ensure you download and save or print a copy of these Program Guidelines for future reference.

While care has been taken in preparing these guidelines, the department will not be liable in any way for any errors, omissions or variations to information in these Program Guidelines or for not advising you of any errors, omissions or variations to details in these Program Guidelines.

These Program Guidelines are not an offer, recommendation or invitation by the department in respect of any grant. Regarding the Transition Grant, there is no funding commitment until both a successful applicant and the department execute a funding deed.

An application will be approved based on eligibility with the Eligibility criteria.
 

A person conducts a business or undertaking whether it is conducted alone or together with others, and whether or not it is conducted for profit or gain.

Includes all forms of modern working arrangements, commonly referred to as businesses.

The engagement of certain professional advice which aims to improve the long term financial viability of the business. This could include options for diversification, rationalisation and downsizing or an orderly exit/closure of the business. The advice needs to contain recommended actions for business transition, including costings clearly justifying the reason for these actions.  The advice needs to be from a certified practicing accountant (CPA), certified financial adviser (CFA), certified financial planner (CFP) or an equivalent qualification to the satisfaction of the Decision-maker.

A document produced by an adviser engaged to provide business planning support, or it can be an equivalent document prepared by the business at the business’s expense. The document must demonstrate the ongoing viability of the business, except in the case of business closure. The document must also outline planned eligible expenditure on plant, equipment, diversification or remediation activities and must be signed off by a certified practicing accountant (CPA), certified financial adviser (CFA), certified financial planner (CFP) or an equivalent qualification to the satisfaction of the Decision-maker. 

A binding contract between an applicant and the NSW Government that sets timing and milestone requirements for the scope and risk of projects, including the reporting and payment processes for obtaining grant funds.

A business that is contracted by FCNSW for harvest or haulage and has been directly impacted as a result of the moratorium on harvesting within the GKNP.

A business that has had a majority reduction (e.g. 50% or more) in wood supply, a substantial loss in revenue or a substantial increase in operating costs where this is a direct consequence of business dealings with a sawmill or harvest or haulage contractors directly impacted by the moratorium on harvesting in the GKNP that was announced on 7 September 2025.

This includes a certified practicing accountant (CPA), certified financial adviser (CFA), certified financial planner (CFP) or an equivalent qualification to the satisfaction of the Decision-maker.

A business supplied timber under a Wood Supply Agreement (WSA) listed in the Ministerial Direction and directly impacted as a result of the moratorium on harvesting within the GKNP.

A paid invoice including the name, address and ABN (if applicable) of the entity that issued the invoice and a description of each item to which the invoice relates which is clearly identifiable as being related to approved expenditure for the applicant. The department can ask for proof of payment of the invoice.

These terms refer to the applicant in the context of these guidelines and the related application process.