Defence Industry Development Grants Program – Quality & Security Stream

$10,000 to $100,000 per project, covering up to 50% of eligible costs
Projects need at least $20,000 in eligible spending
Capped at $200,000 per business (ABN) in any three-year period
About $15 million available for this stream, including about $750,000 for nuclear-powered submarine projects
Your share can’t come from other government funding
Applications are open on a rolling basis until 30 June 2030

The Defence Industry Development Grants (DIDG) Quality & Security Stream gives Australian defence SMEs $10,000 to $100,000, covering up to half the cost, to strengthen their security and gain quality certifications. Funding supports cyber, physical and personnel security, Defence Industry Security Program (DISP) requirements, and certifications such as ISO 9001, ISO 27001 and AS9100. Applications are open on a rolling basis until 30 June 2030.

The stream is one of four in the $249.1 million DIDG Program, extended under the Defence Industry Development Strategy 2026. About $15 million is available for this stream.

Key Requirements

Business requirements

Be an SME with fewer than 200 employees
Hold an ABN, be registered for GST and not be exempt from income tax
Be an Australian incorporated entity, a company limited by guarantee, or an incorporated trustee for a trust

Priority requirements
Name at least one defence capability component your business supplies, or is preparing to supply, from the Strategy’s Detailed Sovereign Defence Industrial Priorities. Projects linked to “Grow” or “Guide” priorities are favoured over “Monitor” priorities.

Project requirements

Uplift security controls, or achieve a recognised defence-relevant certification
Be carried out in Australia
Include a letter of support from Defence or a defence industry customer
For cyber uplift aimed at DISP requirements, be based on agreed action items from a DISP Maturity Action Plan, DISP audit report, Infosec Registered Assessors Program (IRAP) assessment or Defence Security Assessment Report
Run for no more than 18 months and finish by 31 March 2030

Other funding
Declare any funding your business or group receives from the National Reconstruction Fund Corporation or the Defence Industry Growth Facility, and confirm it won’t pay for the same work.

The evidence required for each type of security uplift is set out in the Quality & Security Stream grant opportunity guidelines.

What is eligible for funding?

Cyber security

Uplift to meet DISP requirements, based on agreed action items
Uplift to achieve ISO 27001, NIST SP 800-171 or CMMC Level 2, including formal certification

Governance

Employing an inaugural Security Officer, working at least 0.5 full-time equivalent for at least one year, with a grant contribution of up to $30,000
UK or US trade control gap analysis or training that produces a formal implementation report

Physical security

Perimeter security, such as bollards, sensor lighting and surveillance cameras
Digital access controls, facility cameras and sensors
Dedicated control zones for trade-controlled items
Certified Level 3 to 5 secure zones and certified secure ICT networks

Personnel

Security clearance application and vetting fees (Baseline, NV1 or NV2) for up to six named employees

Certifications and accreditations

ISO 9001, 13485, 14001, 17025, 31001, 44001 and 45001
AS9100, AS9110 and AS9120
Ship classification society certifications and Nadcap accreditation

What isn’t funded
General ICT hardware and software, Software as a Service (SaaS) and cloud services (except where needed for agreed cyber actions or secure zones), cyber monitoring subscriptions, re-certification audits, DISP membership applications or advisory support, and outsourced or casual Security Officer services. Positive Vetting clearances, trade control permit fees, security patrols, general fencing, offices, cleanrooms, product testing, travel, rent and capital equipment are also excluded. If more than half your budget is ineligible, the whole application is rejected.

What companies are eligible for funding?

Australian SMEs with fewer than 200 employees that supply, or plan to supply, the defence sector, and that are an Australian incorporated entity, a company limited by guarantee, or an incorporated trustee on behalf of a trust. Consortia can apply through an eligible lead organisation.

Sole traders, partnerships, trusts (unless applying through an incorporated trustee), unincorporated associations, overseas organisations and government bodies can’t apply.

View the other streams

Is this grant competitive or entitlement based?

Competitive. Your application will be assessed among other applications by a judging panel.

How can I increase my chances of winning this grant?

By engaging a professional government grant writer consultant. Avant Group is Australia’s largest independent grants advisory firm. With applications ranked against Defence’s capability priorities and a minimum score required on each criterion, a well-evidenced application that clearly links your project to a Grow or Guide priority makes a real difference. Find out more about our government grant writing and consulting service here.

How can I get help understanding if I’m eligible for this grant? Or know if I’m likely to win funding?

Avant Group offers a no-obligation assessment of your eligibility for funding and will assess your likelihood of a successful grant application.

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