Infrastructure Debt Fund

The Australian Ethical Infrastructure Debt Fund (the Fund) returned 1.9% net of fees for the quarter, compared to the benchmark return of 0.9%, resulting in an outperformance of 1.0% (or 4.0% on an annualized basis). Performance was driven predominantly by income from underlying loans and securities, while the Fund’s RBA Cash Rate Target benchmark fell by 25bps to 3.60%.   

The Fund aims to support Australian projects that generate positive, measurable social and environmental outcomes alongside a financial return. Assets within the portfolio generated c. 247,500 megawatt hours of clean energy and helped avoid c. 125,700 tons of carbon emissions over the quarter to June-2025. This is the equivalent to powering more than c. 180,000 households over the quarter.1 

Average wholesale electricity prices in the National Electricity Market (NEM) fell to $87/MWh over the quarter, reflecting the typical spring phenomenon of lower prices. Mild temperatures, sunny skies, and high rooftop solar output resulted in reduced demand from the grid, which is a seasonal pattern seen each year as we move into spring. In Queensland, operational demand (electricity drawn from the grid) hit a new record low of 2,790 MW at 11:30am AEST on 31 August – nearly 10% lower than the previous record of 3,091 MW set just two weeks earlier on 17 August. At the same time, the NEM recorded a new high for renewable penetration, with renewable generation supplying 77.19% of total demand. This increased renewable supply, combined with falling operational demand, drove down average spot prices. Spot prices for Large Generation Certificates (LGC) also continued to trend downward, trading below $11/LGC. The decline was primarily driven by new renewable supply coming online and reduced demand from voluntary surrender participants. 

Overall, the portfolio continues to perform within the expectations, with no credit downgrades or breaches of covenants to report (other than a review event – see Project Updates). All projects within the portfolio are in the operating phase, except for the Fulham Solar Hybrid project and two sub-5 MW hybrid solar farm in the Prime Renewables portfolio.

Infrastructure Debt Fund Performance^*

As at 30 September 2025

New investments

• Prime Renewables is a portfolio of wind and hybrid solar-battery projects in Victoria established by Prime Super, a $7.5 billion profit-to-member superannuation fund. The facility refinances five equity-funded operational wind assets and supports the acquisition of an additional five new hybrid solar-battery projects. The portfolio is diversified across generation technologies, revenue structures, and offtake counterparties, and is aligned with Victoria’s 95% renewable energy target by 2035. In addition to emissions-free electricity generation, the addition of battery storage creates opportunities to capture value from FCAS and energy arbitrage markets. 
  
  
• National Renewable Network (NRN) is a company that provides behind-the-meter solar and battery solutions to residential customers. Residential batteries offer a cost-effective way of delivering renewable energy directly to customers. They eliminate the need for transmission while also giving energy retailers the flexibility to dispatch stored energy as needed. NRN aims to be an innovative platform that delivers energy cost savings to customers by bringing together solar installers, energy retailers, and investors. The NRN product lowers the barrier to entry requiring no upfront expenditure, enabling customers to see immediate savings on their energy bills. The purpose of the senior debt facility is to provide financing for operational residential systems within the NRN portfolio, which act as security against the facility. 
  
  
• Evie Networks is the owner and operator of Australia’s largest electric vehicle DC fast-charging network. The company has a network of over 1,000 charging bays across more than 320 sites in all Australian states and territories. With fast-charging being a nascent sector, the loan provides further diversification and strong risk-adjusted returns. 
  

Project updates

• A review event was triggered for one of the Fund’s solar loans this quarter. The review event related to a reduction in LGC prices. The covenant was designed to provide an early warning by linking to LGC price movements. The review event was resolved within the quarter through a partial debt paydown, a top-up of cash reserves, and a commitment by the sponsor to install a co-located battery – allowing the solar farm to diversify its exposure beyond daytime energy and LGC prices.  

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Evie Networks, the owner and operator of Australia’s largest electric vehicle DC fast-charging network, was a new addition to the fund. With fast-charging being a nascent sector, the loan provides further diversification and risk-adjusted returns.  

Mild temperatures, sunny skies, and high rooftop solar output resulted in reduced demand from the grid, which is a seasonal pattern seen each year as we move into Spring.

Investments in the portfolio

The Fund consists of a portfolio of loans including:

• Bright Energy Investments Portfolio.  A portfolio of three renewable projects in the Western Australian (Greenough River Solar Farm 40MW, Warradarge Wind Farm 180MW, and Albany Grasmere Wind Farm 35.4MW). 
  
  
• Yarranlea Solar Farm.  A 134 MW solar farm in Yarrenlea, Queensland (100km west of Brisbane). 
  
  
• Sentient Solar Asset Fund Portfolio.  A portfolio of three solar farms throughout Australia (Swan Hill Solar Farm 19.3 MW, Chinchilla Solar Farm 19.9MW and Brigalow Solar Farm 34.6MW). 
  
  
• RELA.  Portfolio of renewable concurrent leases in NSW and Queensland. 
  
  
• Dulacca Wind Farm.  A 181MWac wind farm in Drillham, Queensland (300km west of Brisbane). 
  
  
• Ark Energy NT Solar Portfolio.  A portfolio of five solar farms in the Northern Territory (Utene Solar Farm 4.1 MW, Yulara Solar Farm 1.8MW, TKLN Solar Farm - Lake Nash 272KWac, TKLN Solar Farm - Ti Tree 323KWac, TKLN Solar Farm – Kalkarindji 408KWac) 
  
  
• Royal Women's Hospital.  Australia’s first and largest specialist public hospital dedicated to improving the health and wellbeing of women and newborns, located in Parkville, Victoria. 
  
  
• Bouldercombe Battery. A 50MW/100MWh stand-alone battery energy storage system in Rockhampton, Queensland. 
  
  
• Darwin Convention Centre.  The Northern Territory’s largest conference and event facility, catering for up to 1,200 delegates. 
  
  
• New South Wales Schools 2. A portfolio of ten schools across New South Wales. The schools include seven primary schools, two high schools and one special needs school. 
  
  
• GTL Renewables. A portfolio of over 2,000 solar and battery power purchase agreement systems located across the east coast of Australia.  Under the arrangements, solar and battery equipment is provided to households for a fixed monthly fee over 10 years, with the option for customers to make their home batteries available for grid load balancing and stabilisation services.  
  
  
• GGP Solar Hybrid Portfolio.  A portfolio of three hybrid solar and battery projects with a combined solar capacity of 15MW and 15MWh of battery capacity.  
  
  
• Green Square Energy Trust Portfolio.  A portfolio of behind-the-meter solar PPAs with commercial and industrial users across Australia, as well as two solar farms, 3.6 MWac Chillamurra Solar Farm in Queensland and 5.0 MWac Cosgrove Solar Farm in Victoria. 
  
  
• Fulham Solar Hybrid.  A hybrid 107MW solar farm coupled with a 78MW two-hour battery energy storage system located in Fulham, Victoria.
  
  
• Prime Renewables. A portfolio of five operating wind projects and five hybrid solar-battery projects throughout Victoria. 
  
  
• National Renewable Network.  Portfolio of residential behind-the-meter solar and battery solutions throughout Australia. 
  
  
• Evie Networks. Australia’s largest electric vehicle DC fast-charging network with a network of over 1,000 charging bays across more than 320 sites throughout Australian. 

Portfolio holding weights