Smart Investments: Zen Energy
smartMonday members have helped to create 181 jobs at a new battery storage facility in rural South Australia by investing in clean energy security.
On a rural site 60km north of Adelaide and adjacent to an existing electricity substation, work is now underway on a 111MW/291MWh energy storage project, which will store energy produced by solar and wind and deploy it to the national energy grid as needed. It’ll also increase the state’s capacity to handle more renewable energy generation, which will ensure a smooth and regular energy supply – and helps Australia fulfil its international climate commitments, which include obligations to limit greenhouse gas emissions.
It makes good business sense. The fossil fuel-intensive energy sector in Australia has been underperforming – returning minus 1% in the past year, with 90% of coal-fired power stations set to shut down in the next decade. So super funds and other investments that include them haven’t done as well as those who exclude them, showing that fossil fuels are for dinosaurs.
In fact, financial analysis showed that fossil fuels have been dragging investments down for as long as 10 years! Plus, keeping money out of polluting industries gives us more space to invest in other growth areas such as healthcare, social enterprise, and renewable energy, like Zen Energy.
Zen’s new battery project is supported by a long-term renewable energy contract with the South Australian Government, and the company is committed to forming mutually beneficial relationships with the local community including traditional custodians Ngadjuri people.
Our investment team selected this project for its attractive yield and credible business plan. Investments like this are classed as alternative assets – a ‘slice’ of an actual building, infrastructure or enterprise – such as airports, highways or solar farms.
Because they’re not part of the stock market – or subject to its ups and downs – alternative assets like Zen’s battery storage are seen as a stable component of investment portfolios, and a critical part of building superannuation member retirement outcomes – all while unlocking climate solutions and benefiting rural communities.
The information in this document is general in nature and does not take account of your personal financial objectives, situation or needs. Before deciding whether a particular product is appropriate for you, please read and consider the relevant Product Disclosure Statement, Target Market Determination and Financial Services Guide available at smartmonday.com.au or by calling us. You should consider speaking with a financial adviser to obtain advice tailored to your personal circumstances. Contact us about the intra-fund advice services you may be able to access through your membership. Any intra-fund advice is provided by or on behalf of smartMonday Solutions Limited. Past performance is not a reliable indicator of future performance. smartMonday and the trustee take no responsibility for you acting on the information provided. Any decision that you make is at your own risk.
smartMonday is a registered trading name of smartMonday Solutions Limited ABN 48 002 288 646 AFSL 236667, the sponsor of the Smart Future Trust ABN 68 964 712 340 (the Fund). The trustee of the Fund and issuer of this document is Equity Trustees Superannuation Limited ABN 50 055 641 757 AFSL 229757 RSE Licence L0001458. smartMonday products are part of the Fund. Issued October 2024. © 2024 smartMonday Solutions Limited