As part of Budget 2018 the Government announced its intention to establish a Green Investment Fund. The fund will receive a $100 million capital injection from Government, but is expected to become self-sustaining over time. The Green Investment Fund is part of the Government’s commitment to address climate change and support New Zealand’s transition towards a net-zero-emissions economy by 2050. The establishment of a fund is part of a suite of policy initiatives including:
- passing a Zero Carbon Act
- amending New Zealand’s emissions trading scheme
- establishing an independent Climate Change Commission
- continuing New Zealand’s international efforts to ensure the integrity of the Paris Agreement.
The Treasury is responsible for establishing the Fund.
What will the Green Investment Fund do?
The details are still being finalised, but the overall aim of the Fund is to accelerate lower emissions investment.
Establishment of the Fund - Process and Timeline
During the establishment phase, the Treasury have explored a range of options regarding the Fund’s form, function and mandate – including looking at international models. This phase has also been informed through a combination of inputs from a cross-government agency working group, an external reference panel, support from external consultants, and engagement with peer funds globally.
Options will be considered by Cabinet in November. Decisions made at that point will guide the early stages of the funds’ establishment, which is planned to begin in late 2018.
Additional communications will the forthcoming in late November once Cabinet has made its decisions.
Email GreenInvestmentFund@treasury.govt.nz to receive periodic email updates on the development of the Green Investment Fund.