increase font size
Bank of New Zealand have launched a new Sustainability Linked Loan for farmers.
Bank of New Zealand (BNZ) has launched an Agribusiness Sustainability Linked Loan (SLL) product available to all New Zealand farmers.
The term loan, a SLL available to all farmers no matter the size of their farm or industry, offers interest cost savings for achieving environmental and social targets including: Greenhouse gas reductions; eco-system protection; improved care for staff; protecting waterways; improving biodiversity; and animal welfare.
It is the first time a SLL has been available as a loan product to all New Zealand farmers. Environmental and Social targets are set and agreed with BNZ and progress independently verified annually.
“New Zealand’s farmers are working hard to achieve environmental and social goals and we want to support and incentivise their efforts,” says Dana Muir, BNZ head of natural capital.
Muir says this is the first time lending that rewards both environmental and social ambition has been available to all New Zealand farmers.
“Reduced loan costs incentivise farmers to go harder and faster on environmental and social improvements while independent audits ensure the work is meaningful and contributes to a better future for New Zealand,” she says.
BNZ’s Agri SLL Product was developed off the back of individual SLLs with large primary sector customers. It is designed to be complementary to work underway across leading assurance programmes in the primary sector that also incentivise improved environmental and social outcomes on-farm.
Unlike previous versions which have supported farmers with one off environmental projects, an SLL can be used for any purpose on a farm. It is designed to work like regular term debt with cost savings only realised when environmental and social targets are achieved.
“Farmers can choose from a range of environmental and social measures which they want to tackle, but emissions reduction is a non-negotiable. It is crucial we reduce greenhouse gas emissions and the structure of our SLL reflects that,” says Muir.
Alliance Group's $16 million programme to install innovative heat pump systems at its Otago and Southland processing plants wins a New Zealand Energy Excellence Award after cutting annual emissions by more than 24,000 tonnes of CO₂e.
State farmer Pamu has delivered its strongest operating result on record.
Winegrowers are constantly being pushed to reduce farming costs, cut carbon emissions and improve vineyard sustainability. Recent work conducted by Thoughtful Viticulture, in collaboration with the United States Department of Agriculture (USDA) and the South Australian Research and Development Institute (SARDI), shows promise to achieve all three.
Efficiency is the big one because it tracks back into what is done on farm.
A new company set up to cultivate and supply seaweed for animal methane mitigation studies believes it could be a game changer for the dairy industry.
OPINION: David Seymour and James Meager's plan to make it easier for farmers and orchardists to operate drones can best be described a 'courageous' move.
New Zealand wool is reaching new heights as air filtration companies move away from synthetic products to biodegradable alternatives.
Opuha Dam's ability to protect South Canterbury communities from major flooding has taken a significant step forward, with Opuha Water Limited (OWL) successfully commissioning a new outlet valve capable of releasing record volumes of water from the dam ahead of a weather event.
There's been widespread support from the primary sector for the Government's announcement on changes to freshwater farm plans that come under the Natural Environment Bill, which is now set to replace the existing RMA.
A partnership between state-owned enterprise Pāmu (Landcorp Farming Limited) and charity Meet the Need is putting more than quality New Zealand beef into food bank parcels this year.
The Opportunity Party has faced criticism during the election campaign that its policies are too urban-focused and offer little for rural communities.
