Several deals will increase the flow of finance for energy-efficiency retrofits in commercial buildings in Australia.
Australian Carbon Trust intends to invest up to $23.7 million over the next three years through energy-efficiency financing programs with National Australia Bank and Eureka Funds Management, Alleasing, Origin Energy, Australia Post and Melbourne City Council.
Trust chairman Robert Hill said that, fully implemented, these programs would lead to private-sector funding of more than $300 million for Australian businesses, large and small, to improve energy efficiency in commercial buildings.
These investment projects are the first to be announced under Australian Carbon Trust’s energy-efficiency program. Australian Carbon Trust is an independent company set up this year by the Australian government with $100 million to help accelerate Australia’s move to a low-carbon economy.
The trust’s partners and projects are:
? With NAB and Eureka Funds Management, an environmental upgrade loan program, expected to grow to more than $200 million over the next two years, for the energy-efficiency retrofit of non-residential buildings, initially starting in Melbourne as part of the $2 billion City of Melbourne plan to retrofit 1200 buildings.
? With Alleasing, a new equipment lease financing product, the Energy Efficiency Equipment Lease, that will provide up to $100 million for energy-efficient equipment.
? With Origin Energy, up to $12.7 million for the uptake of energy-efficiency equipment.
? With Australia Post, a plan to communicate the benefits of energy efficiency through the Australia Post network, and energy-efficiency demonstration projects in Australia Post facilities.
? A total of $200,000 for an online toolkit for the City of Melbourne’s 1200 buildings program.
Each of these initial projects involving Australian Carbon Trust will start from next year.
Improving energy efficiency in non-residential buildings involves upgrading lighting, heating and cooling systems, enhancing chiller controls, making escalators and lifts more efficient, replacing electric hot water systems, implementing cogeneration and tri-generation technologies and monitoring real-time energy in buildings.
The Australian Bureau of Agricultural Research Economics estimates energy efficiency could account for 55 per cent of Australia’s cuts in greenhouse gases over the next 40 years.
A recent report from the Energy Efficiency Council found a major retrofit of Australia’s commercial buildings over the next decade could save $1.4 billion a year and cut building emissions by 30 per cent.
