
Businesses are investing in electric and plug-in hybrid vehicles and other energy-efficient assets to reduce operating costs and support the transition to net zero, data from NAB shows.
Financing for electric and plug-in hybrid vehicles has increased by 900% since 2020 and financing for solar assets has increased by 600% since 2020.
NAB Group Executive, Business and Private Banking, Andrew Irvine, said business owners are adapting to the changing economic environment with many choosing to make long-term investments in a more sustainable future.
“Australian businesses are resilient – they are navigating a global pandemic with strength and they are adapting to a lower growth environment by being smart about how they reduce operating costs while also minimizing greenhouse gas emissions.
“Our customers know there are significant economic and environmental opportunities in reducing their carbon footprint with 43% of businesses telling us they have in place or plan to develop a net zero emissions plan of carbon, that’s up 13% by 2021. Business owners want our help, and they want commercial solutions to help them transition,” said Mr Irvine.
“Across the country, we’re seeing investments in everything from solar panels to electric cars to sustainable on-farm practices and technologies that reduce costs, reduce carbon emissions and significantly , building resilience to climate change.
NAB launches new Agri Green loan after a successful pilot. The loan is available to customers who want to invest in qualified methods and technologies on-farm to reduce their emissions and build resilience. NAB also offers financing for green equipment and has trained more than 370 bankers in Climate Banker Training to identify customer appetite to better understand their transition options.
“There are clear commercial opportunities for Australian businesses as we transition to net zero. Our role is to support our customers and communities through the transition and fund the investments needed to create a strong and sustainable future,” said Mr Irvine.
Tahbilk, one of Australia’s oldest wineries and one of the first to be certified carbon neutral continues to build its sustainability credentials with the help of three NAB Agri Green Loans.
Hayley Purbrick, Tahbilk’s Chief Sustainability Officer said NAB’s support is essential for them to achieve their energy transition goals.
“There are business and environmental benefits to being more sustainable and I think we’re seeing a shift across the industry when it comes to building climate resilience and sustaining business models,” said Ms Purbrick
“One of our biggest projects was the installation of 300kW solar panels at three of our sites and this led to a 39% reduction in grid energy consumption which reduced our energy costs and made us more robust to blackouts.”
In July, the NAB commissioned a new report that found about $20 trillion would need to be spent differently to help Australia move to net zero by 2050. The ‘All Systems Go’ report focuses on four economic systems that must be low-emissions for a successful transition: energy, mobility, production of raw materials, and use of food and land. Today it represents almost 90% of Australia’s emissions.
Notes to Editors:
- NAB’s Agri Green Loan has now been launched in the country after a successful pilot. To learn more, please click here.
- NAB’s Electric vehicle online fixed rate from 6.99%pa To find out more, please click here.
- To read the ‘All Systems Go’ Deloitte Access Economics report commissioned by NAB, please click here.
- To read the NAB Climate Report, 2022, please click here.
- NAB data based on NAB Renewables Survey, November 2022.