The CEFC is paying for green upgrades at two Australian industrial projects. 

The Clean Energy Finance Corporation (CEFC) has announced it will spend up to  $75 million in Frasers Property’s $300 million sustainability linked loan (SLL).

The money should help deploy clean energy technologies to reduce embodied carbon, cut operating emissions and deliver zero carbon energy electricity for tenants at no additional cost.

Distributed energy generation models will be installed at Rubix Connect in Victoria and The Horsley Park Estate in New South Wales to deliver carbon neutral electricity through onsite solar, battery storage and a biodiesel generator. 

Other sustainability features to reduce the properties’ operating emissions include passive design, LED lighting with advanced controls, energy monitoring systems, solar PV, battery storage, biodiesel generation, building electrification and 100 per cent carbon neutral energy supply from Real Utilities. 

Frasers Property energy retailer Real Utilities will provide Climate Active certified carbon neutral electricity to the properties’ common areas and its tenants. 

The CEFC investment is made on behalf of the Australian Government. Under the terms of the SLL, Frasers Property will receive a lower interest rate by targeting a minimum 4-star GRESB rating on its development and standing investment Australian properties. Barclays is acting as Sole Sustainability Coordinator. 

“This new model has the potential to revolutionise energy use in industrial property,” says CEFC chief Ian Learmonth.

“It extends the benefits of clean energy to industrial tenants, offering clean, green power for the cost of brown power. The biodiesel generator can also contribute power to the grid, increasing the energy resilience of these properties.” 

The built environment accounts for about a quarter of Australia’s greenhouse gas emissions and buildings contribute about 39 per cent of global emissions.