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Government Puts ‘pedal To Metal’ On Cutting Transport Emissions

Hon Dr Megan Woods

Minister of Energy and Resources

· Government’s Low Emission Transport Fund open for applications

· Broader scope for projects on and off-road

· More funding available

The first two funding rounds of the Government’s new look Low Emission Transport Fund (LETF) are now open for applications, the Minister of Energy and Resources Dr Megan Woods announced today.

“The LETF has a broadened scope from its previous existence as the Low Emission Vehicle Contestable Fund (LEVCF), with wider eligibility for projects on and off-road, with increased funding to help accelerate the decarbonisation of the transport sector, through innovative transport technology and infrastructure.

“The LETF is designed to support the demonstration of high potential and replicable solutions and low emission technology adoption. As transport makes up around 21% of New Zealand’s total greenhouse gas emissions, decarbonising the sector is of vital importance. Our commitment to tackling this challenge is resolute,” says Megan Woods.

The first round will provide co-funding for low emission vehicles and transport technology. The second round will focus on the installation of further public charging infrastructure.

Total funding will reach up to $25 million per year by 2023/24, with the Government increasing its contribution to up to $12.5 million per year by 2023/24, as announced in Budget 2021.

Both rounds open on October 7. Further rounds will open in 2022 with additional focus areas, including off-road and in the marine and aviation sectors.

“We know early action is vital to speed up the design and up-take of low emissions solutions which can then be replicated at a commercial scale. This fund is about stimulating these solutions and building on the success of the LEVCF.

“Across the LEVCF’s 10 rounds, 202 low-emission projects were approved, receiving $35.8 million in co-funding. Project recipients invested $77.8 million themselves.

“Projects were co-funded for everything from EV charging to heavy transport to electric car share schemes for community groups. New Zealand organisations have found innovative, carbon conscious solutions for their transport needs, and I’m really looking forward to seeing what will come out of the LETF,” said Megan Woods.

EECA is hosting a webinar for any interested parties, on Monday October 14 at noon.

To find out more and apply, visit: Low Emission Transport Fund | EECA

About the LETF

The Low Emission Transport Fund, administered by EECA, supports the demonstration and adoption of low emission transport technology, innovation and infrastructure to accelerate the decarbonisation of the New Zealand transport sector.

The fund will focus on activities in the transport sector that move people and/or goods on roads, off-road, and in the marine and aviation sectors to:

  • Demonstrate innovative solutions that will enable future adoption and deployment
  • Reduce energy related emissions in the transport sector
  • Address market and organisational barriers through co-investment and diffusion of new knowledge and learnings, and
  • Share knowledge and learnings to stimulate wider replication of successful projects and solutions in the transport sector.
  • Wider transport systems and activities (such as building roads, urban design, mode shift policy) are excluded.

Each round of the LETF, will provide co-funding to a particular area of interest (unlike the previous LEVCF, in which each round welcomed the full range of applications). An announcement will be made in advance of each funding round advising which areas of interest will be included.

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