NSW government approves just 377 grants for flood-hit business, despite receiving 8,000 applications

The New South Wales government has approved fewer than 400 disaster relief grants for flood-ravaged northern rivers businesses, despite receiving almost 8,000 requests for help since applications opened almost a month ago.

Fewer still have been paid out. Funds have been released for 267 applications, worth about $3.9m.

The state government has rejected 657 bids for relief, worth $12.15m.

Almost 2,900 applications worth $46.9m are still being assessed, while Resilience NSW is waiting on more information from applicants in 3,298 applications worth $62.2m.

Lyon said the state government must explain why it is taking so long to assess applications, given the immediacy of the need.

The grants are intended for small businesses and not-for-profits that were directly damaged in the floods and plan to re-establish themselves in the same region. The money can pay for a range of work, including cleaning, safety inspections and debris removal, and can be used to buy materials and equipment needed to immediately resume trading, or replace cars, damaged stock or internal fittings.

Cooke said that the government had been processing about 400 applications a day, and would increase the number to 640 over the coming week.

While payments of up to $15,000 are available on the basis of quotes of estimates, larger grant applications require businesses to provide evidence they have already spent the money.

Whan said some business owners in flood-hit Murwillumbah had just $14 in their bank accounts. She knew of local business owners taking on work as part of clean-up crews to bring in enough income to keep their businesses alive.

She said the grants were time-critical for many businesses, as delays to cleaning and the removal of debris allowed mould to spread, creating a health risk and raising the prospect of buildings being deemed uninhabitable.