Drought is an enduring feature of the Australian landscape. It has significant economic, social, and environmental impacts.
The Future Drought Fund (FDF) provides secure, continuous funding for drought resilience initiatives. It will help Australian farmers and communities prepare for the impacts of drought.
Next phase of FDF funding
On 9 February 2024, the new Drought Resilience Funding Plan (2024 – 2028) came into effect. The Plan provides a high-level principles-based framework to guide all FDF spending. The Plan was informed by stakeholder feedback, the independent FDF Consultative Committee, and recent Productivity Commission Inquiry Report.
Read the new Drought Resilience Funding Plan (2024 – 2028).
Stakeholder feedback is now being considered to help inform the next phase of investment under the Fund. In mid-2024, the Future Drought Fund Investment Strategy (2024 to 2028) will be released. It will provide a detailed 4-year plan for drought resilience investments under the fund.
Learn more about the upcoming new phase of FDF investment.
Productivity Commission Review
The Productivity Commission undertook a review of the Future Drought Fund (FDF) and released its Inquiry Report on 26 September 2023.
The report will help inform the future direction of FDF investments and activities from 2024.
On 26 October 2023, the Australian Government announced $17.7 million from the Future Drought Fund (FDF) will be used to progress essential activities in line with key recommendations from the recent Productivity Commission Inquiry into the effectiveness of the FDF.
- $10 million — Short-term extension to the Drought Resilience Adoption and Innovation Hubs (to 30 June 2025), so farmers and regional communities can continue to access information and services, while an evaluation is undertaken.
- $4.8 million — Short-term extension to the Climate Services for Agriculture program (to 30 June 2025), so farmers and regional communities can continue to access climate information through the My Climate View tool, while future program offerings are considered.
- $2.91 million — Activities to evaluate key programs, better understand the needs of First Nations communities and to improve collaboration, information sharing and the way we measure success.
A full response to the Inquiry Report will be informed by public consultation.
Learn about the Productivity Commission’s Inquiry findings
Read the latest FDF Annual Report.
- Future Drought Fund: Annual Report 2021-22 (PDF 5.7 MB)
- Future Drought Fund: Annual Report 2021-22 (DOCX 43.9 MB)
Read the first FDF Annual Report.
- Future Drought Fund: Annual Report 2020-21 (PDF 4.2 MB)
- Future Drought Fund: Annual Report 2020-21 (DOCX 6.5 MB)
If you have difficulty accessing these files, visit web accessibility for assistance.
Better climate information
Enabling farmers, businesses and communities to better understand the climate risks they face and their resilience to those risks. $39 million to 2023-24.
Helping farmers and regions to plan for drought. $116.82 million to 2023-24.
Developing and driving adoption of farming and land management practices and technologies that improve resilience to droughts. $171.78 million to 2023-24.
Better prepared communities
Building and supporting the leaders, networks and organisations that underpin community resilience. $40.8 million to 2023-24.
The Fund began with an initial credit of $3.9 billion. Earnings are reinvested until the balance reaches $5 billion (expected in 2028-29). See the details about Future Fund investments.
From July 2020, $100 million will be made available each year from the Fund to support Australian farmers and communities to prepare for and become more resilient to the effects of future drought. This will:
- make agriculture more productive and profitable
- enhance the wellbeing of our farming communities
- improve the sustainability and resilience of the natural resources on which agriculture depends.
The Future Drought Fund Drought Resilience Funding Plan (2024 - 2028) Determination 2024 (the Funding Plan) was registered on the Federal Register of Legislation on 8 February 2024. It took effect on 9 February 2024. The Funding Plan is a disallowable legislative instrument. The Funding Plan will be tabled in both Houses of Parliament and will be subject to a 15-day disallowance period.
The Funding Plan is a high-level framework to guide funding decisions.
The Funding Plan aligns with existing drought policies and strategies, including the National Drought Agreement.
Read the Drought Resilience Funding Plan.
The independent Future Drought Fund Committee comprises experts in sustainability, drought resilience, economics, climate change, innovation and rural and regional development.
The Committee will provide expert advice to the Minister for Agriculture, Fisheries and Forestry on the Drought Resilience Funding Plan 2024 to 2028 and on the consistency of the design of the programs with the Funding Plan.
The Regional Investment Corporation Board provides advice to the Minister of Agriculture and Northern Australia, on whether or not a proposed arrangement, grant or agreement is consistent with the Funding Plan.
Funding Plans are reviewed every four years to ensure emerging priorities and lessons learnt are captured. The Productivity Commission assesses the effectiveness of each Funding Plan before it expires, in a report that is tabled in Parliament. Stakeholder consultation takes place over a minimum 6-week period to inform the finalisation of each new Funding Plan.
The review of the 2020 to 2024 Funding Plan is documented on the FDF Have Your Say page.
The Monitoring, Evaluation and Learning Framework will support the measurement and achievements of Future Drought Fund programs over time.
- Subscribe for updates on Future Drought Fund developments through our ‘Have Your Say’ page—choose the ‘Stay informed’ button to receive regular email updates from us
- Read the latest department media releases
- Read the latest media releases from the Minister for Agriculture, Fisheries and Forestry
We’d love to hear from you, email email@example.com.