NAB launches Australian and world first green bond



National Australia Bank’s launch of the Victorian Government Green Bonds, issued on 19 July, has raised $300 million, helping to finance and refinance Victorian State investments in energy efficiency, renewable energy generation, low carbon public transport and energy efficient water treatment.

The ground-breaking green bond, an Australian and world-first, was issued by the Treasury Corporation of Victoria (TCV). NAB is the Sole Arranger, Green Bond Structuring Agent and Lead Manager for TCV on the issue.

Projects that will benefit from the transaction will include LED traffic lights, hydroelectric power stations, low-carbon buildings at Federation Square, the Melbourne Metro Tunnel, the Mernda Rail extension and the development of a large-scale renewable energy power station.

Executive General Manager Capital Financing, Steve Lambert, said the landmark transaction further demonstrates NAB’s long-term commitment to green bonds and renewable energy.

“We are very proud to have led this green bond, which will help finance a number of energy efficient, critical infrastructure projects throughout Victoria.

“NAB is committed to helping finance $18 billion of renewable energy projects over the next seven years and this world-first for NAB in the green bond market is another step towards achieving that goal.

“This is the world’s first Climate Bond Standard Certified Green Bond issued by a semi-government authority, and the first Australian green bond issued by a government.

“This transaction follows our own inaugural Climate Bond Certified issuance in 2014 as well as the world first Climate Bond Certified Green ABS securitisation transaction for FlexiGroup Limited in April this year, for which NAB was the Sole Arranger and Joint Lead Manager,” he said.

Victorian Treasurer, Tim Pallas, said the transaction will allow investors to play a major role in delivering significant renewable energy projects and environmentally-friendly infrastructure to Victoria.

“Victorian Green Bonds offer investors the confidence of a AAA-rated government security, with the assurance that the funds will be used for ethical investments that deliver important environmental or climate change outcomes,” he said.


Social Innovation at NAB

Impact investment is a developing global market, creating opportunities for investors seeking to address social or environmental challenges and generate a financial return.  NAB believes impact investment plays an integral role in building a strong economy and delivers innovative financial solutions for current and prospective customers to demonstrate the potential ways impact investment can be used to address long-standing societal issues.  NAB is the founding partner of Impact Investing Australia and has committed $2 million to capacity building grants to support mission-led organisations seeking to scale their impact.



Related Articles

  • Media Release

NAB partners with Plenti for secured auto/EVs and renewables lending

NAB has agreed to enter a strategic partnership with fintech lender Plenti Group Limited.

  • 28.11.2023
  • Time to read 1 min read
  • Media Release

NAB the first Aussie bank to launch digital wallet-enabled virtual corporate card

In an Australian banking first, NAB has launched a new, plastic-free, virtual corporate credit card to help businesses streamline, modernise and simplify their expenses.

  • 14.11.2023
  • Time to read 1 min read
  • Full Year Results

NAB announces 2023 Full Year Results

Releasing NAB’s 2023 Full Year Results, NAB CEO Ross McEwan said the bank and its customers were benefitting from the consistent execution of its strategy over several years.

  • 09.11.2023
  • Time to read 2 min read

Quick links

National Australia Bank — NAB

Sometimes When The Unexpected Happens, We Realise What We Truly Value. Whether A Home, Farm, Business Or Your Passion, NAB Is Here To Support You.

Business Research and Insights

For more business news and analysis, visit NAB’s Business Research and Insights.