Govt unveils funding for new projects under Low Emission Transport Fund

In News4 MinutesBy NZ Trucking magazineFebruary 25, 2022

The country’s first electric milk tank tanker, a solar-panelled bus, electric off-road farm vehicles and new high powered EV charging stations are among projects to receive co-funding from the Government’s new-look Low Emission Transport Fund.

Minister of Energy and Resources Megan Woods said the projects included in this round show the potential for electric and low-emissions transport across a wide range of sectors, from all-terrain farm vehicles to heavy freight.

“Some of these are hard to decarbonise, so this is great progress towards reducing our transport emissions,” said Woods.

“We know it makes sense to partner with business as we continue our Covid-19 economic recovery, so we can simultaneously bring down emissions, and seize the opportunities that come from creating new jobs in new industries,” she said.

“Focusing on transport in this way will also help us reduce New Zealand’s reliance on global energy prices. That’s why tackling climate change is such a core part of our economic strategy.”

In total, 13 vehicle and technology projects will receive $3,452,025 in funding and 13 EV charging projects will receive $3,001,400 in co-funding.

The funding will see Kiwi H2 Ltd exclusively license a commercialised dual fuel product from the UK, which converts diesel vehicles to run on 40% hydrogen, aiming to save 40% emissions. This will help fleets decarbonise until commercially available and viable 100% zero emission options are available in New Zealand. They will convert two trucks to use this technology in this project.

Other projects include:

  • Fonterra will operate NZ’s first electric 46-tonne milk tanker with battery-swap technology at the Waitoa depot in Waikato.
  • Bayes Coachlines will build a passenger bus with solar panels providing 5-10% of its own power and designed to have greater range and less maintenance than other electric buses.
  • MyFleet Rural will launch four Pickman 4WD, fully electric off-road UTVs throughout NZ at Field Days and A&P Shows.
  • Firth Industries will deploy NZ’s first electric battery-swap concrete mixer truck, to operate in Penrose.
  • IntDevice will work with Auckland Transport to deploy a wireless charging ground pad solution at the Ti Rakau Drive depot for an Auckland Transport bus.

Zenobe will supplement DC charging capability in grid-constrained areas by installing second-life electric bus batteries.

“The Government expanded the scope of the LETF to increase its impact and encourage innovation in the transport sector,” Woods said.

“These latest projects show the fund is doing what it is designed to do, with the sector embracing clean energy in some very sophisticated ways,” says Megan Woods.”

As part of the LETF a significant boost to the nationwide electric vehicle charging network has also been confirmed.

“The focus of the LETF is now turning to ensuring any remaining gaps are filled, as we increase density in high-demand areas,” Woods said.

“What’s great to see here is the variety and innovation on offer – from electric milk tankers to wireless charging networks. There are so many changes we can make to the way we move about, and together they will make a big difference to lowering emissions.”

The announcement will see a combined total of $6.45 million in government funding go to 26 projects across the two rounds, matched by $9.03 million in applicant funding. The combined investment across these projects is $15.49 million.

The third and fourth rounds of the LETF will open mid-2022.