NAB has welcomed the Australian Government’s announcement of a new Small Business Energy tax incentive and the establishment of a National Net Zero Authority, to help Aussie businesses take advantage of the country’s transformation to a low emission economy.
NAB Group Executive Business and Private Banking, Andrew Irvine, said the new measures would help SMEs to reduce costs and contribute to the transition to net zero.
“Transforming Australia to a low emissions economy is inevitable and complex. The opportunities through decarbonisation will be immense if we get it right together,” Mr Irvine said.
“SMEs are the engine room of our economy, and they recognise the importance of sustainability for the short-, medium and long-term health of their businesses. They need assistance to achieve net zero by 2050, and we commend the Federal Government for its leadership to provide this support.”
Recent NAB data revealed one in five small and medium sized business owners ‘strongly intend’ to improve the sustainability of their business in the next two years. Many have invested in energy efficient assets to reduce operating costs, support the transition to net zero and create more sustainable businesses.
In December 2022, NAB launched Agri Green Loan and green equipment finance products. NAB has funded more than $56 million worth of green loans for customers investing in practices and technologies to reduce emissions and build climate resilience.
In recognition of increased customer appetite to better understand net zero transition options, NAB has delivered climate training to more than 370 of its bankers in conjunction with Melbourne Business School (MBS).
“We’re seeing increasing demand for our finance solutions, and customers are seeking insights and advice on how they can leverage the benefits that Australia’s energy transition can provide,” Mr Irvine said.
“Through our partnership with MBS, we’ve invested in upskilling our bankers to ensure they possess the latest climate intelligence and are well equipped to help customers navigate the opportunity in the best way for them.”
NAB recently provided green equipment financing to Logan Group Investments to support the installation of a solar power system across the company’s commercial manufacturing facilities in NSW.
Logan Group Investments Director, Michelle Hendriks, said the new solar equipment would significantly reduce the company’s energy costs while helping to reduce its CO2 footprint.
“Our manufacturing operations are based here in Australia, which means energy costs for the business have increased significantly over time, putting pressure on our cost base and profitability,” Ms Hendriks said.
“We’re always looking at where we can become more efficient. Moving to renewable energy will help us bring down operating costs while reducing our carbon impact on the environment, creating a sustainable future for generations to come.
“We plan to continue to deploy these solutions in additional locations as we upgrade and grow the business and will continue to explore options to invest in long term sustainability initiatives.”
