$25 million clean energy fund accelerates transition for multi-tenanted buildings

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Accelerating deployment of consumer energy resources (CER) is driving a $25 million (USD 16 million) commitment by Sydney-headquartered renewables investment company Clean Energy Finance Corporation (CEFC) with Melbourne-based companies, clean energy retailer Energy Locals and infrastructure fund Palisade Impact.

In the hope of ensuring multi-tenant buildings like apartments or aged care residencies aren’t left behind in the energy transition, the funds will be sourced through the CEFC’s Powering Australia Technology Fund (PATF) and accessible via renewable energy retailer Energy Locals.

Energy Locals Chief Executive Officer Adrian Merrick said the ownership structures of multi-tenant sites such as apartment blocks make it challenging to install and maintain renewable energy generation technology and storage.

“Community energy networks help address this by providing upfront finance for the infrastructure and managing the associated billing and maintenance processes,” Merrick said.

“As an energy network owner and operator, Energy Locals finances and operates energy infrastructure in multi-tenant buildings, selling electricity and hot water to tenants.”

“The model enables tenants to benefit from shared renewable infrastructure, a shared grid connection and wholesale energy prices,” he said.

CEFC Chief Executive Officer Ian Learmonth said the investment targets a section of the community which has previously struggled to share in the benefits of renewable energy generation and storage and empowers them to lower their carbon emissions and energy use.

“Energy Locals help to overcome the structural challenges faced by building owners and developers when installing solar, batteries and other energy efficient systems,” Learmonth said.

“The transition to a net zero economy requires significant changes to the way energy is generated, consumed and stored. Increasing the diversity of energy sources and improving the resilience of the grid supports the energy needs of more Australians while delivering a cleaner, more agile network.”

University of New South Wales (UNSW) research suggests that a potential 3.3 GW of solar could be installed on Australia’s apartment buildings, unlocking renewable energy access to at least 16% of Australians who live in a strata scheme and approximately 2.5 million people who live in apartments.

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