Australian non-bank auto and equipment finance lender, Metro is making it easier and more affordable for small-to-medium-sized businesses (SMEs) to invest in environmentally friendly assets with a new green loan program, MetroEco.
Working with Australia’s green bank, the Clean Energy Finance Corporation (CEFC), MetroEco gives borrowers an ‘eco’ option when choosing financing for ‘green’ assets such as electric vehicles (EVs), solar panels and batteries. This will see the CEFC and Metro provide an interest discount to support car loans to encourage the adoption of green technologies. In addition, the eco option will include novated leasing options for EVs.
The program has been made possible through a $50 million investment by the CEFC. The initiative will use CEFC finance to offer customers a 0.5% discount on Metro’s standard finance rate to purchase eligible EVs, energy efficient equipment and battery technology. Metro will match this discount with an additional 0.5% discount – totalling a 1% discount on each eligible commercial loan.
The discounts apply to new battery EVs and plug-in hybrid electric vehicles on a loan amount of up to $90,000. Under the program, Metro is also financing three new assets for the first time – batteries, solar and electric vehicle charging stations. Businesses can bundle any of these in a single loan to get the best interest rate discount.
Metro CEO, Phillip Crossman said the lender is committed to supporting sustainability initiatives and creating a better future for the planet. “We are proud to be working with the CEFC to provide financing for assets to help reduce carbon emissions. Our MetroEco initiative empowers Australian small-to-medium businesses and consumers to embrace green technologies and ultimately supports Australia’s transition to a net-zero economy.
“Government rebates on EV purchases were successful in increasing their adoption –with nearly one-third of the incentives claimed by end of August 2023. By the end of 2023, Australian motorists purchased 98,436 new electric vehicles. Metro is committed to providing financial incentives to borrowers looking to purchase not only electric vehicles but batteries, solar equipment and charging stations.”
CEFC CEO, Ian Learmonth added, “Our work with Metro underscores our commitment to accelerating the adoption of clean energy assets in Australia. CEFC finance is incentivising businesses and individuals to choose technologies that support Australia’s transition to a low-carbon economy.”