The Australian government will introduce a sovereign green bond program as a way of giving investors access to projects involved in the country’s net zero transition. Treasurer Jim Chalmers and Climate Change and Energy Minister Chris Bowen announced the initiative following an investor roundtable in Brisbane on Friday. Other initiatives to come out of the meeting include plans to help develop cheaper home loans and renovation loans by expanding the Nationwide House Energy Rating Scheme, and the formation of a partnership with industry to develop an Australian sustainable finance taxonomy. The green bond program will be managed by the Australian Office of Financial Management, with a starting date set for mid-2024. One of the aims of the program will be to “increase transparency around climate outcomes and the scale of green investments available”. The House Energy Rating Scheme will apply to existing dwellings, allowing people to get a star rating of their home’s energy performance. “We’re also working with banks to pilot ways to add energy performance into the set of factors valuers assess when they do house assessments, using this start rating system,” the ministers said in their statement.  They said the program would provide an incentive for banks for lend more to people making their homes more energy efficient by verifying the loans as green investments. The government will co-fund the Australian Sustainable Finance Institute to develop the sustainable finance taxonomy, which will “help investors target particular sustainability objectives and ensure investments are delivering on their sustainability claims”. One of the aims of the taxonomy project is to combat greenwashing. Friday’s announcement follows the introduction of a bill last month that gives the Australian Accounting Standards Board power to set climate-related and other sustainability standards for financial reporting. The bill passed in the House of Representatives and is now in the Senate. Treasury Laws Amendment (2023 Measures No.1) Bill 2023 is designed to align Australian reporting standards with international developments, particularly standards being developed by the International Sustainability Standards Board.