The Government is investing $100 million in an effort to reduce New Zealand's greenhouse gas emissions, with the Government saying it will bring "cash and know-how to the table".
Prime Minister Jacinda Ardern announced the fund, New Zealand Green Investment Finance Ltd, today, as part of the Green Party's Confidence and Supply Agreement.
"This new investment fund is an important component of New Zealand’s plan to build a clean, sustainable, low-carbon economy that has both lower emissions and profitable enterprises," she said.
"No one can opt out of the impacts of climate change. This fund helps business to opt in to the solution."
Climate Change Minister James Shaw said the investment fund would be a commercially focused company "which will work to invest with business to reduce emissions while making a profit".
He said the $100 million injection was "intended to stimulate new private sector investment in low-emissions industries; with returns over subsequent years expected to pay back the Government's investment".
"New Zealand faces a big job in upgrading our economy and infrastructure. New Zealand Green Investment Finance will help deliver financial backing to help ensure that the upgrade is fit for purpose."
While announcing the plan today, Ms Ardern mused at how much public opinion has changed during her decade in Parliament.
“From the moment I was a political candidate who was first booed 11 years ago when I talked about my view on climate change, think about how far we’ve come as a country,” she said.
“We know there are economic opportunities to being climate leaders. We don’t just see challenge. We see opportunity. This is where I think New Zealand has the potential to lead.”