The Australian Government is consulting on the design of a new $5 billion Net Zero Fund. The fund aims to help large industrial facilities cut emissions and to support growth in renewable and low emissions technology manufacturing. It will sit within the existing $15 billion National Reconstruction Fund, with the National Reconstruction Fund Corporation responsible for delivery.
Why industry input matters
The government wants to ensure the fund meets the needs of industry and can accelerate decarbonisation projects that may otherwise struggle to secure finance. Feedback will shape the types of projects and capital spending the fund should back, and how it can work alongside other vehicles such as the Clean Energy Finance Corporation.
The consultation asks for views on barriers that currently prevent large projects reaching final investment decisions, and which financing mechanisms—such as loans, equity or guarantees—are best suited to supporting them. It also seeks input on whether corporate financing should be considered, and what concessional terms might be needed to make projects viable.
Key issues under consultation
Industry participants are asked to consider:
- Which types of projects or expenditure should be supported to meet the fund’s objectives.
- The scale of investment needed for industrial decarbonisation and manufacturing of renewables and low emissions technologies.
- How the fund can remove barriers that currently limit investment through the National Reconstruction Fund.
- The most effective ways to combine public and private capital to finance projects.
How to have your say
Submissions should be informed by information on the Net Zero Plan found on the DCEEWW website here. The consultation is open now and will close on 15 October 2025.
