The NSW Government’s 2025-26 Budget outlines a series of changes aimed at encouraging investment and innovation, with new measures likely to benefit Newcastle and the Hunter in areas including manufacturing, clean energy and project approvals.
The creation of a portside logistics precinct near the Port of Newcastle, which will serve as a storage and staging area for large equipment such as wind turbines and transformers, was announced earlier this month. Backed by $115.5 million, the facility is designed to support renewable energy construction efforts across NSW, particularly in the nearby Hunter-Central Coast Renewable Energy Zone (REZ).
The logistics hub will help position the Hunter as a key supply chain centre for the state’s growing clean energy sector, and will link into $2.1 billion in ongoing investment in the Transmission Acceleration Facility, which supports NSW’s five REZs.
The Budget also introduces a new Investment Delivery Authority, backed by $17.7 million in funding. The Authority will invite expressions of interest for private projects valued at over $1 billion, helping fast-track up to 30 major proposals each year. These may include advanced manufacturing, clean energy, and technology developments. The Government expects this to potentially bring forward up to $50 billion in private capital annually.
“If we want to attract major private capital — build our AI capabilities, expand the clean energy grid, and attract new and innovative industries of the future — then government must match the ambition of business,” the Premier said.
In line with its Innovation Blueprint, the Budget sets aside nearly $80 million to support business development from early-stage start-ups to emerging technology and local manufacturing initiatives. Among the measures is a new $6 million Innovative Manufacturing Adoption Fund, intended to help manufacturing businesses integrate new technologies.
A further $20 million has been allocated to a commercialisation fund focused on emerging technology in key sectors including Net Zero and housing. Other measures include support for female and culturally diverse tech founders, regional start-ups, and the extension of the state’s Minimum Viable Products Ventures program.
The Blueprint builds on NSW’s existing position as the leading recipient of venture capital in the country. To attract even more investment, the state will host a Global Investment Summit in October aimed at bringing in overseas capital.
In support of skills and training, the Government will also invest $3.4 billion in TAFE NSW and workforce development, aiming to train more than 23,000 new apprentices and 4,800 existing workers in the construction sector over two years. This includes $325 million to convert TAFE teaching staff to permanent roles, and over $380 million for campus renewal and maintenance.
The measures in the 2025-26 NSW Budget point to a coordinated effort to grow future industries, modernise project delivery, and build the infrastructure and skills needed to support them, whilst working toward net zero. For regions like the Hunter, the focus on clean energy logistics, advanced manufacturing, and regional innovation offers clear opportunities for local businesses, workers, and communities to play a part in the state’s economic transition.
