Performance
The CEFC Board, as the accountable authority of the CEFC, presents the 2021–22 Annual Performance Statements, as required under paragraph 39(1)(a) of the PGPA Act. In our opinion, the Annual Performance Statements are based on properly maintained records, accurately reflects the performance of the CEFC and complies with subsection 39(2) of the PGPA Act.
Entity purpose
The object of the CEFC, as set out in the CEFC Act is to “facilitate increased flows of finance into the clean energy sector”. Ultimately, this objective is achieved through investing alongside the private sector in eligible renewable energy, energy efficiency and low emissions technologies, businesses and projects.
Our strategy harnesses the power of public capital to drive private sector investment in our national emissions reduction priorities.
2021–22 Strategic objectives:
- Catalyse private sector capital
- Invest in innovation, clean energy technologies and infrastructure
- Financial sustainability
2021–22 Strategic influences:
- The CEFC Act and Investment Mandate
- Australia’s emissions reduction challenge
- Opportunities to invest capital in the Australian market
CEFC Corporate Plan 2021–22
The CEFC Corporate plan 2021–22 established seven quantitative and two qualitative performance indicators, against which CEFC performance has been evaluated. The Board-approved performance measures reflect the broader CEFC mission to accelerate investment in Australia’s transition to net zero emissions.
Taking into consideration our longer-term strategic framework, the measures include private sector leverage, our focus on attracting first-time clean energy investors into the market, growing the scale of investment in the clean energy sector and increasing emissions abatement through our transactions.
The 2021–22 indicators also included a target in respect of the CEFC ESG policy, which was formally adopted in the prior year, along with an ongoing focus on maintaining our leadership position in the clean energy sector through consistent positive engagement with our broad range of stakeholders.
Performance evaluation process
The CEFC non-executive Board and its non-executive sub-committees monitor the performance of the CEFC throughout the year, in addition to conducting a full-year performance evaluation. For the 2021–22 year, the Board-approved CEFC Corporate Plan detailed three specific strategic objectives for the CEFC, and the associated activities required to deliver against these.
Overall performance outcome
The CEFC delivered a strong performance in 2021–22, achieving or exceeding eight of the nine performance indicators, while maintaining a commercially rigorous approach to investment and risk matters. In relation to the indicators and targets set out in the CEFC Corporate Plan, the organisation was assessed as:
- exceeding in seven performance indicators
- achieved in one performance indicator
- below target for one performance indicator.
Overall performance measures
The 2021–22 performance was measured against the performance targets established in the 2021–22 CEFC Corporate Plan. In some instances, targets were also included in the 2021–22 Portfolio Budget Statements and these have been noted by way of footnote for reference. In all circumstances, the targets in the Portfolio Budget Statements were lower than the targets set out in the CEFC Corporate Plan.