The first challenge of the season required the designers to create a cocktail dress utilizing three different fabrics of the same colour. The designers did not get to choose their own fabrics, and their colour scheme was based on the colour of the dress their model was wearing.

Alex introduced the designers to Dannii Minogue and Tabitha Somerset-Webb, who tasked them with creating an evening look for their label, Project D. The winner of the challenge will have their design manufactured and sold with Project D's Spring/Summer 2011 collection.

The 10 designers remaining in the competition are taken to a warehouse where their challenge is literally dumped at their feet - 16,000 items of pre-loved clothing. They have just 8 hours to create Gucci from garbage and design a chic day wear look, but Alex reveals the twist that throws them all "One man's trash is another man's treasure." Shoe queen, Terry Biviano, joins the judging panel to help decide whose designs better suit the clothing bin than the catwalk – and this week, in a shock double elimination, two of them will be going home.

The remaining eight designers must work in teams to create fashion forward looks based on various decades. Who will put their differences aside and wow the judges? Iconic designer Carla Zampatti joins the judging panel.

Seven designers remain in the competition and are given the challenge of performing a million dollar makeover for each other's loved ones. Claudia Navone joins the judging panel.

The remaining six designers are flown to the Gold Coast where they are reunited with four eliminated contestants. They all must work in teams to create two resort wear looks including swimwear.

The remaining designers are tasked with creating a knock out dress for Megan to wear to a special event. This is an incredible opportunity for the designers, but who will step up to the challenge and who will be out?

Time's getting short, and with only five designers left, the stakes are even higher. This week, Alex tells them that the path to red carpet glory is full of missteps, andproves his point whenthe models appear wearing copies of some of fashion's biggest disasters. Their challenge: transform these awful red carpet looks into something that will get them on all the front pages for the right reason.

It is the final challenge and the last chance for the four remaining designers to prove they are worthy of a place at Melbourne Fashion Week.So Alex takes them to the Melbourne Fashion Festival's runway to give them their final challenge - they have 18 hours to create a haute couture gown worthy of the runways of Paris, New York and Milan. But since this is Project Runway Australia, there must be a twist in there somewhere!

The final 3 have been selected and they now face their final challenge. They have a once-in-a-lifetime opportunity to kick start their fashion future by creating a collection of 10 designs which will be showcased at a live fashion show in front of their fashion industry peers. Unlike previous challenges there are no restrictions, no limits and no twists. They each have a budget of $10,000, 17 weeks and complete freedom.

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