Plymouth has been granted more than £842,000 to lead on the testing of new marine technologies.
The money will be used to research and develop frameworks for testing things such as new unmanned vessels, in open water.
Plymouth City Council said it would hopefully lead to “a UK regulatory environment that will encourage innovation”.
It secured the funding from the government.
A consortium led by the authority was awarded £842,490 under the Department for Business, Energy and Industrial Strategy’s (BEIS) Regulators’ Pioneer Fund.
The council will be working with the Maritime and Coastguard Agency, Plymouth Marine Laboratory and the Universities of Plymouth and Exeter on the project.
It said businesses can currently test prototypes in wave tanks and laboratories as well as controlled areas within ports but that there are few regulations available for companies wanting to test technology safely on open water.
Councillor Mark Shayer, cabinet member for economic development, said: “The industry is waking up to the incredible opportunities for autonomous vessels – from academic research, monitoring and mapping to transporting cargo, but we need guidelines to ensure testing can be carried out safely without compromising the needs of business to innovate.
“Plymouth and Exeter are in an incredible position to help shape future regulations around this exciting sector”.