Thursday, July 18, 2024

Industry emissions incentive scheme goes live

A Government funding scheme to incentivise industry to slash emissions is set to go live tomorrow, Minister of Energy and Resources, Megan Woods announced today.

“Industrial businesses ready to make the switch to clean energy and lower emissions technologies can apply from tomorrow for co-funding, with the first RFP for the expanded Government Investment in Decarbonising Industry (GIDI) Fund set to go live, tomorrow,” said Minister Woods.

“We know we need to rapidly reduce the amount of carbon polluting the atmosphere, to meet our international climate change obligations, and to help with the COVID recovery by supporting green jobs and regional investment. Co-funding through GIDI will help to get decarbonisation projects off the ground faster, unlocking larger and earlier emissions savings.”

The focus of the new round of contestable co-funding is to help medium to large energy users reduce carbon emissions linked to industrial processes where high emitting fuel sources like coal and fossil gas are used – by supporting fuel switching and energy efficiency projects, the Minister said.

“The RFP is the first milestone in the massive $650 million expansion of GIDI, to be invested over four years. As recipients of government co-funding, applications must represent strong value for money.”

“Expanding GIDI, as we announced when we released the Emissions Reduction Plan, will supercharge our decarbonisation plans and leverage significantly more private investment, which means everyone in New Zealand will benefit from reduced emissions, cleaner air, and more productive businesses,” she said.

The expanded GIDI Fund will soon also include support for businesses to buy and install low emission, high-efficiency electrical equipment used for industrial processes (including electric motors and electric heat pumps), and support for commercial buildings replacing fossil fuel use for space and water heating, to lower emissions and increase energy efficiency.

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