Trans-Tasman sustainable finance update

Climate change and sustainable finance has become prominent in trans-Tasman discussions.

This week the Centre’s CEO, Jo Kelly, joined Prime Minister Chris Hipkins, Australian Prime Minister Anthony Albanese and Hon. Grant Robertson, along with public and private sector leaders, at Government House to acknowledge the Prime Ministers’ Joint Statement and trans-Tasman Roadmap.

The Prime Ministers welcomed the inaugural Australia-New Zealand Climate and Finance Dialogue in June and the formation of a Net Zero Government Working Group.

The Australian government is developing a Government-led sustainable finance strategy.  Recognizing the importance of inter-operability across jurisdictions, this officials’ Group will include work to align sustainable finance frameworks across the Tasman. 

This type of inter-governmental cooperation on climate has an essential role in unlocking finance flows to achieve decarbonisation and broader sustainability outcomes.  

Sector Strategies

As officials prepare to develop Aotearoa New Zealand’s second Emissions Reduction Plan (ERP2) in 2024 the Australian government has announced it will develop plans to decarbonise key economic sectors. According to their July announcement the sectors are: 

• electricity and energy 

• industry 

• the built environment 

• agriculture and land 

• transport and 

• resources. 

Erwin Jackson, Director, Policy for IGCC responded, and we couldn’t agree more. 

“Investors have stated that a 1.5°c-aligned 2035 emissions target and complementary sector plans are two of their top three policy priorities for attracting investment in climate solutions. 

“The establishment of ‘investable’ 1.5°C pathways and goals for key economic sectors is critical to unlocking finance for climate solutions.  

“Clear emissions pathways, goal posts and policy for all sectors can provide clarity for investors and the companies they own, help guide business strategy, climate-related financial disclosures, and the allocation of private capital towards new technology and infrastructure.”