Scotiabank is the latest financial institution to come to market with a new ‘green’ loan to propel increased investments in renewable energy, especially now as the globe moves to slow the pace of climate change.

The country’s second-largest financial institution said the Go Green Energy Loan forms part of the bank’s global imperative to mobilise US$350 billion to combat the effects of climate change and to ensure robust climate-related governance and transparency in reporting.

The loan was designed to empower retail and small and medium-sized businesses and will help Scotiabank clients to reap the benefits of energy efficiency while cutting their carbon footprint through investments in solutions such as solar panels or wind turbines for homes or businesses, or even the purchase of electric or hybrid vehicles.

“Through the new Go Green Energy Loan, we aim to drive a significant transformation in the business sector by promoting environmentally friendly practices.

“We believe that sustainable development and economic growth go together, and this initiative offers an opportunity for small and medium-sized businesses to thrive while making a positive impact on the environment,” stated Yvett Anderson, Scotiabank’s district vice-president of retail banking, while speaking at a recent launch.

Anderson, in making a further call to action, said that against the backdrop of record summer temperatures and heightened concern about global warming and greenhouse gas emissions, Scotiabank is seeking to position itself as the bank-of-choice for renewable energy while championing more attention to environmental protection in Jamaica.

The bank is also looking to double down on the country’s push towards having more electric vehicles (EV) on local roads, underscoring data which suggest that the over 70,000 EVs expected to be added by 2030 will help to cut the national oil bill, which last year exceeded US$2 billion.

“The loan offer will enable EV purchasers to benefit from favourable market conditions in Jamaica such as reduced importation duties, cut from 30 per cent to 10 per cent, and waived registration fees on units that are under three years old. Those terms are set to run until at least 2027,” the bank said in outlining some of the products terms and conditions.

The loan is also said to be priced at competitive interest rates, outside of the special fees and discounts, and will also allow for a two-month cushion before payments are expected to begin.

Scotiabank Jamaica, which indicated that it has integrated solar power across its branch network, also said that it has through a number of other initiatives moved to make its operations cleaner and greener.

“We have established a Climate Change Centre of Excellence to mobilise internal and external collaborations and have started dialogue and information sharing in order to further contribute to the global conversation on climate change. Several other industries, entities, and partnerships have already begun to demonstrate this commitment to the environment and to renewable energy, and we hope others will follow suit,” Anderson said.