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NSW expands Greener Neighbourhoods Grants to combat urban heat

28 Jul, 2026
Urban tree canopy in Perth increased in 2024



The New South Wales government has expanded its Greener Neighbourhoods Grant Program to 10 additional local councils across the Illawarra-Shoalhaven and Hunter-Central Coast regions, aiming to tackle urban heat islands and boost tree canopy cover.

The expansion brings the total number of eligible local government areas to 43, stretching from Sydney to Wollongong and Newcastle.

Eligible councils can now share in more than AU$2.5 million in funding, with individual grants of up to AU$60,000 available to support planning for tree canopy management, heat mitigation, and urban green cover maintenance.

Research indicates that dense tree canopy plays a vital role in local climate adaptation, with urban trees capable of lowering ground-level temperatures by up to six degrees Celsius.

Additionally, communities maintaining over 30 per cent canopy coverage record measurably better physical and mental health outcomes.

The initiative forms a core component of the state’s broader AU$60 million Greening Our City program, financed through the NSW Climate Change Fund to mitigate the impacts of climate change and rapid urbanisation.

Minister for Planning and Public Spaces Paul Scully said expanding the program ensures rapidly growing regions outside Sydney receive the necessary resources to manage increasing temperatures alongside housing expansion.

“Urban greening delivers real, everyday benefits for communities, from cooler streets to more shade, and better public spaces where people can connect and spend time outdoors,” Scully said.

“These grants will help councils plan for more climate-resilient neighbourhoods, complementing the government’s housing reforms.”

Applications for the Greener Neighbourhoods Grant Program are officially open, with local councils required to lodge their submissions by August 21.

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