Market Update | 10 May

• ANZ ratchets down finance for fossils
• Victorian Budget Release Overview – investment for the energy transition
• ARBS Event for the Heating and Cooling Industry

Banking the brakes on fossil fuel finance 

ANZ, in line with global commitments to limit temperature rise, has tightened its lending policies regarding oil and gas projects. This shift, disclosed within its recent half-year results, essentially eliminates direct funding for the troubled $15 billion Papua LNG project.

ANZ recognises the role of gas in the energy transition but emphasises financing projects aligned with climate policy. The bank’s oil and gas exposures have decreased, aiming for a further reduction to meet its 2025 targets. Analysts note that major Australian banks, including ANZ, now refrain from financing new oil and gas ventures, impacting companies like Woodside and Santos. Read more in the AFR.

The VIC state budget announced – investing in a better future

The Victorian Government has released its 2024-2025 budget, bringing into focus continued action on climate change and helping Victorian families with access to support, incentives, and funding to take part in the energy transition and tackle energy costs.

Investments include:

• • $38 million to support the installation of electric heat pumps and solar hot water systems, saving households up to $400 annually on electricity bills.
  • $6.1 million for interest-free loans for solar battery storage systems.
  • $5.9 million to enhance the Victorian Energy Upgrades program, promoting energy-efficient products and emission reduction.
  • $3.4 million to aid vulnerable households in managing energy bills through the Energy Assistance Program.
  • Funding to maintain the Victorian Energy Compare website, assisting families in finding the best energy deals.

These initiatives aim to alleviate the financial burden of rising energy costs while promoting sustainable energy solutions for households across Victoria.

ARBS set to make waves at ICC 

Air Conditioning, Refrigeration Building Services (ARBS) Exhibition 2024, slated to be the largest and most diverse event for the industry yet, will take place at ICC Sydney from May 28-30. With over 9,000 expected visitors and 330 exhibitors, it promises to showcase cutting-edge innovations in heating, ventilation, air conditioning, and refrigeration (HVAC&R) and building services.

Two new initiatives are making headlines: the Women in HVAC&R Program on May 29, fostering networking and gender diversity in the industry, and ARBS Mathsgaine on May 30, engaging students with industry-related challenges.

Moreover, the ARBS Seminar Program boasts a significant expansion, with a remarkable 18.6% increase in sessions compared to 2022. Led by 92 industry leaders, the program will cover key topics such as electrification, heat pumps, climate change challenges, and the pursuit of net-zero targets. Keynote seminars from global leaders like Adrian Catchpole and Ginger Scoggins will delve into critical issues such as embodied carbon and climate resilience.

Amanda Searle, ARBS CEO, emphasised the event’s role as a platform for professional development, networking, and advocacy towards a sustainable and inclusive future, setting new standards for industry collaboration and problem-solving.

At Ecovantage, we consistently analyse market activity, policy changes, consultation releases, and creation rates in conjunction with wider landscape activity. This allows us to keep our clients at the forefront of all relevant changes, and to leverage the advantage that this presents. Thank you for your continued support, and please reach out if you have any general or project-specific questions.