CEFC adds AUD $150 million to ANZ SME green finance

The Clean Energy Finance Corporation has committed an additional AUD $150 million to an ANZ finance programme for small and medium-sized businesses, taking its total commitment to AUD $600 million.

The funding will support discounted asset finance for ANZ business customers investing in rooftop solar, batteries, electric vehicles, energy-efficient technology and recycling equipment. Under the arrangement, the CEFC and ANZ will each contribute 0.4 per cent a year towards a combined finance discount of 0.8 per cent.

Funding boost

The scheme targets businesses facing higher energy bills and broader operating cost pressures. By reducing upfront finance costs, the programme is intended to help borrowers bring forward purchases that might otherwise be delayed.

Since the partnership began, more than 1,600 businesses have received over AUD $444 million in discounted asset finance. In the last financial year alone, the programme provided more than AUD $90 million in finance.

Small and medium-sized businesses account for almost a third of the Australian economy, and many have been grappling with inflation, supply chain disruption and higher energy prices. The latest commitment reflects growing demand for equipment that can lower energy use and reduce operating expenses.

Public and private lenders have increasingly used co-financing structures to support spending on lower-emission equipment, particularly for smaller companies that can struggle with upfront costs. The OECD has said such partnerships are important in helping small businesses invest in emissions-reducing technologies, especially in sectors that require specialised operational expertise.

Lending impact

Lending through the ANZ programme has been spread across several industries. More than AUD $105 million has gone to agriculture, AUD $72 million to manufacturing, AUD $37 million to retail and wholesaling, and AUD $16 million to mining.

The broader CEFC lending effort has also channelled discounted finance through commercial lenders. More than AUD $3.2 billion of CEFC finance has been committed to help commercial borrowers invest in renewable energy and energy efficiency projects.

Richard Lovell, Executive Director, Clean Energy Finance Corporation, said the latest funding round was intended to address immediate business pressures as well as longer-term efficiency upgrades.

"SMEs are looking for practical ways to manage rising costs while maintaining productivity. This programme helps bring forward investment in equipment that can reduce energy use and improve efficiency, while lowering financing costs at a time when access to affordable capital matters," said Richard Lovell, Executive Director, Clean Energy Finance Corporation.

Business support

ANZ said the financing support was relevant to a wide range of business investment decisions, from vehicle fleets to on-site energy systems and upgraded machinery. The bank said the extra funding would help lower a key barrier to those purchases.

John Campbell, Managing Director of Product and Specialist Sales, Business & Private Bank, ANZ, said, "Australian businesses are constantly looking for ways to improve productivity and manage costs. Whether it's installing solar panels, upgrading equipment or transitioning a vehicle fleet, these investments can deliver meaningful savings over time, but the upfront cost can be a barrier. By making finance more affordable, we're helping businesses invest with confidence in assets that can strengthen their operations today while positioning them for future growth."

"Over the past nine years, our partnership with the CEFC has helped businesses invest in the equipment and technology they need to grow and adapt. This additional funding will allow even more Australian businesses to access the assets they need to remain competitive," added Campbell.

The CEFC does not lend directly to individual borrowers or take part in individual financing decisions. Customers access the programme through ANZ. This structure allows the public investor to work through an established commercial banking channel while targeting equipment linked to lower energy use and lower operating costs.

The latest top-up extends a long-running relationship between the two organisations and increases the scale of a programme that has already reached businesses across agriculture, manufacturing, retail, wholesaling and mining. It also highlights how Australian lenders are using targeted finance discounts to influence business spending on energy-related assets during a period of sustained cost pressure.