Assisting business customers to explore options to reduce emissions such as moving fleets to EVs is promised by the ASB Bank.
Its announcement follows the release of the Climate Change Commission’s first draft advice to government which calls for ‘transformational and lasting’ change across society and the economy.
“Banks have an important role to play in supporting the changes that need to occur if New Zealand is to enjoy a more sustainable future which is why, from next month, we will start offering discounted lending to customers taking positive steps to manage their emissions,” ASB chief executive Vittoria Shortt says.
“At ASB we recognise climate change as one of the most critical issues facing our economy and communities. We are committed to meaningful climate action, building our climate resilience and supporting the transition to net zero emissions in line with the Paris Agreement.”
Shortt says ASB will also help businesses with switching to renewable energy for process heat or more energy efficient commercial buildings.
“We will also target projects that support both regional growth and positive climate outcomes.”
ASB is also poised to roll out discounted lending initiatives to help households reduce their emissions and combat climate change, including incentivising the building of new energy efficient homes.
It will access low-cost funds available under the Reserve Bank of New Zealand’s Funding for Lending Programme and pass the benefit on to customers through this discounted lending, Shortt says.
“Banks are able to access these funds with no restrictions on their use. However, we believe this funding should work hard for the benefit of all New Zealanders and that channelling it towards productive lending in this way is the right thing to do.”
