$90 million opens up for new bike paths as Active Transport Fund round two begins

More Australian bike paths look to be on the way. Applications opened on August 1 for the second round of the Federal Government's Active Transport Fund, with $90.2 million available in the 2026-27 financial year for new and upgraded bike paths and walking infrastructure, according to Bicycling Australia. The fund is part of a $500 million, ten year federal commitment to active transport infrastructure confirmed in the 2026-27 Budget.

Why this round matters

Local councils and state and territory governments can apply for grants of up to $5 million per project, with matching funding required, the same structure as the fund's first round. That first round drew serious demand: an initial $100 million allocation attracted more than $430 million in applications from councils and state governments around the country, a sign of how much unmet demand there is for safer riding infrastructure. A new requirement for round two is that projects reference the Austroads Guide to Road Design Part 6A, the national technical guide for walking and cycling path design, which should push toward more consistent, better designed paths rather than one off efforts.

Industry and advocacy response

Advocacy group WeRide Australia welcomed the announcement, saying the fund gives communities options for local trips that save money and cut congestion, on top of the health benefits. For BikeFinder readers, more federally funded path builds generally mean better, safer places to actually ride the bike you buy, particularly for e-bike commuters and families who rely on shared paths rather than roads.

What it means for buyers

Funding rounds like this do not put a bike in your garage, but they shape where you can ride it once you own one. If your local council successfully bids into this round, expect new or upgraded paths in the next year or two, which is worth factoring in if you are choosing between a road bike, a hybrid, or an e-bike for your commute. Track your council's application and compare bike types built for path riding on BikeFinder.