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Innovation Challenges Pilot Program: Now Open

The Australian Government’s Innovation Challenges Pilot is now open, with $20 million in funding to support bold, collaborative solutions that address the complex impacts of drought and climate change on agriculture.

This initiative, delivered through the Future Drought Fund (FDF), takes a challenge-based approach designed to foster transformative innovation rather than incremental improvements. It aims to future-proof Australian agriculture by investing in high-impact projects that deliver long-term resilience across landscapes, water systems, and communities.

Australian agriculture is facing increasingly complex and multi-dimensional challenges due to drought and climate variability. To ensure the sector remains productive and sustainable, we need solutions that go beyond business-as-usual. That is why the Innovation Challenges Pilot focuses on transformational change, guided by insights from farmers, researchers, innovators, First Nations People, and regional communities.

The Pilot provides $20 million over three years (from 2025–26) for projects that are collaborative, evidence-based and challenge-driven – to address one or more of the following priority areas:

  • Advancing National Capital and Biodiversity for Drought Preparedness
  • Innovating Water Management for Enhanced Drought Resilience
  • Enhancing Community Resilience in Agricultural Regions

Successful projects may receive up to $2 million in funding.

This is your opportunity to turn identified challenges into funded, impactful projects. High-quality applications are sought from consortia across the agriculture sector that can demonstrate proof of concept and a clear pathway to scale.

Challenge accepted? You helped define the challenges—this is your opportunity to deliver the solutions.

Applications close 22 October 2025 at 9:00pm (AEDT).

Learn more and apply: Grants Connect