Rebirth for R&D Start

The controversial seven-month freeze on Federal government R&D Start grants has thawed and AusIndustry is bracing itself for a pent-up flood of fresh applications.

The popular program has been re-established under a new set of rules to end a hiatus which began last April when pressure on existing funds forced the government to suspend new applications.

The re-launch of the program sees an increase in funding available as grants and loans over the next three years to more than $410 million. Of that, more than $160 million has been earmarked for this financial year, more than $170 million for 2003-4 and about $180 million for 2004-5.

However, successful applicants to the new-look Start program will have their money doled out to them more methodically than in the past.

Under the new contract conditions, funds will be disbursed according to a schedule of annual payments which can only be altered by mutual agreement between AusIndustry and the company. The change is designed to prevent a repeat of earlier problems triggered by companies drawing down their grant allocations too quickly.

Another change will see grant and loan applications of less than $250,000 decided by an AusIndustry delegate appointed by the Industry Research & Development Board Industry Research & Development Board.

The main elements of the Start program remain unchanged as do eligibility and merit criteria and the application forms themselves.

Applications can be lodged at any time and funding round decisions will be announced every six to eight weeks.

However, companies who applied before the freeze will need to resubmit their forms and incorporate any changes to corporate circumstances or their R&D project.

About 650 projects were proceeding this year under the Start program's dollar-for-dollar funding provision.

Further information is available at www.ausindustry.gov.au