Commercial buildings in Australia
A substantial part of Australia's employment and economic
activity is centred around construction and occupation of
commercial buildings such as offices, shops, restaurants,
industrial buildings, schools and hospitals.
Commercial buildings are responsible for approximately 10 per
cent of Australia's greenhouse gas emissions and those emissions
have grown by 87 per cent between 1990 and 2006.
Improving the energy efficiency of commercial buildings has the
potential to deliver savings on energy bills and building
maintenance costs, happier and more productive workers and
increased building value.
The Australian Government aims to achieve this through a
combination of regulation, financial support, and information and
support to industry.
New buildings and major refurbishments
National Construction Code
The National Construction Code contains requirements for energy
efficiency for all building classes.
These requirements will ensure more efficient:
- construction, walls, floors, glazing and sealing
- air conditioning, ventilation and heating systems
- lighting types and power controls
- hot water systems, swimming pools and spas
- monitoring, maintenance and ongoing improvements
The updates to the National Construction Code are lead by the
Australian Building Codes Board. The
National Construction Code is given legal effect through state
and territory building legislation. Individual state and
territory legislation determines the buildings and new building
work to which the energy efficiency provisions apply.
In September 2009, the Australian Building Codes Board released
an analysis of the expected costs for commercial buildings in
meeting stronger energy efficiency requirements.
Preliminary research into the costs of stronger building code
standards indicate that the savings to the building owner will
exceed the cost of updating their building, returning $2 for every
$1 invested.
The energy efficiency requirements in the National Construction
Code for commercial buildings have the potential to reduce the
sector's greenhouse gas emissions by 30 per cent by 2030.
Existing buildings
Commercial Building Disclosure program
Owners of Australia's large commercial office buildings will be
required to provide energy efficiency information to potential
buyers or lessees under the Commercial Building Disclosure program
(CBD) from 1 November 2010.
Disclosure of office space energy efficiency will:
- provide valuable information to buyers and lessees that
will allow them to factor energy efficiency and energy costs
into their decisions,
- provide valuable information to building owners on the
relative energy efficiency of their buildings,
- reassure buyers and lessees that the building they are
considering meets the sustainability targets of their
organisation,
- encourage reductions in energy use and greenhouse gas
emissions,
- help businesses save money on their energy bills and
building maintenance costs,
- help stimulate demand for and investment in more energy
efficient buildings, and
- have the potential to improve staff morale, productivity
and stimulate green jobs.
Under the program, most sellers or lessors of office space of
2,000 square metres or more are required to obtain and disclose an
up-to-date energy efficiency rating.
There is a transition period for the first year of the program
until 31 October 2011 where a valid National Australian Built
Environment Rating System (NABERS) Energy base or whole building
rating can be disclosed. From 1 November 2011 a full Building
Energy Efficiency Certificate (BEEC) will need to be disclosed.
BEECs are valid for 12 months, must be publicly accessible on the
online Building Energy Efficiency Register, and include:
- a NABERS Energy star rating for the building
- an assessment of tenancy lighting in the area of the
building that is being sold or leased and
- general energy efficiency guidance
The NABERS Energy star rating (excluding GreenPower) must also
be included in any advertisement for the sale, lease or sublease of
the office space.
Further information about the program is available at the
Commercial Building Disclosure
website.
Implementation of the measure
The CBD program was established by the Building Energy
Efficiency Disclosure Act 2010, which commenced on 1 July
2010.
Between December 2008 and March 2009, this measure was subject
to extensive industry consultation. Information forums were held in
all capital cities to collect feedback and a total of 41 written
submissions were received.
Information
on the public consultation process for the measure.
The CBD program is managed by the Australian Government
Department of Climate Change and Energy Efficiency and was
developed by the Australian, state and territory governments under
the
National Strategy on Energy Efficiency.
Incentives and financial support
Tax Breaks for Green Buildings
The Tax Breaks for Green Buildings program (the Tax Breaks
program) is an integral part of the Government’s strategy to
improve the energy efficiency of existing commercial buildings. It
seeks to unlock energy efficiency opportunities in certain types of
existing buildings and reduce the impact of Australia’s built
environment on greenhouse gas emissions.
From 1 July 2012, eligible businesses that invest in improving
the energy efficiency of their existing buildings will be able to
apply for a Tax Break. The Tax Break will cover specified
expenditure which is incurred as part of a qualifying retrofit of
an existing office building, hotel or shopping centre.
The Tax Breaks program is a voluntary scheme for eligible
businesses, and does not impose additional regulation on
business.
The program will complement the Commercial Building Disclosure
and Energy Efficiency Opportunities programs, which have served to
heighten awareness of the importance of building energy efficiency
and to identify cost effective energy savings.
Further
information about the Tax Breaks program.
Green Building Fund
The Green Building Fund forms part of the Australian
Government's Clean Business Australia initiative. The fund,
delivered by AusIndustry, allocates grants to reduce greenhouse gas
emissions from Australia's built environment by reducing the energy
consumed in the operation of commercial office buildings. While
this program has closed the website provides information about the
grants provided.
Green Building Fund website
Small renewable energy systems
Businesses that install eligible small-scale solar photovoltaic,
wind and hydro electricity systems from 9 June 2009 may be eligible
to receive extra renewable energy certificates under Solar
Credits.
Office of the Renewable Energy
Regulator website
Information resources
YourBuilding.org
Launched in September 2007 with the support of the Australian
Government, the Your Building portal continues to provide
investors, owners, occupiers, developers, builders, designers and
facility managers with best practice advice on greening commercial
property.
YourBuilding website
How to rate your building
Commercial buildings can measure their environmental performance
on a scale of one to five stars using the National Australian Built
Environment Rating System (NABERS). The system rates against a set
of benchmarks developed using national building performance data.
NABERS is run by the NSW Department of Environment, Climate Change
and Water on behalf of Australian, state and territory
governments.
NABERS
website