NZGIF has co-financed a $20m deal to help NZ Post transition its last mile delivery fleet to electric vans and low emissions vehicles.
NZ Post is one of New Zealand’s largest businesses, and as well as having its own fleet of delivery vans also works with a large network of contractors. As part of its climate programme, NZ Post is aiming to have 100% of its own fleet and 25% of its 1,900-strong contractor fleet electric by 2025 and the balance of the contractor fleet electric by 2030.
NZGIF has provided financing of $10 million and NZ Post $10 million through NZGIF majority-owned subsidiary Sustainable Fleet Finance (SFF) to provide attractive and competitive financing to improve access to E-Vans/LEVs. Alongside this, contractors have access to expert independent advice through Carbn Asset Management (also an NZGIF majority-owned entity) on the best option for their individual needs.
This investment has funded 60 E-Vans for the NZ Post fleet, which were rolled out in October 2022. This marks the beginning of a four-year tiered lease plan, where a vehicle leased by NZ Post can then be offered by SFF to contractors as second and third owners. As a vehicle moves along the ownership chain it becomes more affordable for each subsequent owner, helping kickstart a market for second-hand electric vans.
“Transport makes up about a fifth of the country’s carbon footprint, and most of that comes from the light vehicle fleet – cars, vans and utes. This deal will help our decarbonisation goals not only in the immediate term but also as second-hand electric light vehicles become more widely available.”
Craig Weise, New Zealand Green Investment Finance Chief Executive
Benefits
Significant emissions reductions |
Each diesel van we replace with an EV will abate an average of 9.4 tonnes of CO2-e per annum |
Expand second-hand EV market |
The market for second-hand electric vans is currently small but this deal will help expand the market as these vans move along the ownership chain and become more affordable for subsequent owners. |
Cheaper transition |
The vans will be leased to NZ Post contractors following a period of consultation with contractors to understand their needs and preferences in more detail. Contractors are also able to apply for support via NZ Post’s Electric Vehicle Incentive Programme. |