In recent years there has been a significant increase in energy efficiency regulation of new housing. 

Six years ago, four-star energy efficiency was mandated for new dwellings. Then in 2007, five-star energy efficiency was brought into the Building Code of Australia. 

Now all states and territories have agreed to make new dwellings subject to six-star energy efficiency to take effect by May 2011.

Where does all of this end? What are the Government’s intentions? Where is the road map for the industry to plan with confidence?

Many builders rely on computer tools for energy ratings. Other builders want a ‘deemed-to-satisfy’ solution that provides clear guidelines, which if followed will comply with the energy standard.

The Australian Government has reached agreement with state and territory governments that the industry should have a nationally consistent energy rating tool. We do not have one and to develop same could take some time. A real concern with the current rating tools is the built-in bias against climate zones north of New South Wales.

HIA has been at pains to emphasise the importance of the existing dwelling stock in efforts to increase energy efficiency. By 2020, 85 per cent of the dwelling stock will have already been built.

The Australian Government has recognised the part households can play in addressing energy efficiency through the insulation rebate on ceiling retro-fits. All governments have signed onto a national mandatory disclosure of energy efficiency of dwellings for sale and rent.

As for a nationally coordinated community awareness program on energy efficiency, it doesn’t exist. We need to do a lot better.

At its recent meeting, the National Policy Congress of HIA decided that the Association should try to work with government on the identification of a road map of environmental policy for the industry.

HIA will be leading a national energy project that will look at the impact of different environmental standards on the industry, covering such areas as construction methods and techniques, products, design and building costs.

In the immediate period the industry has to come to grips with six-star energy efficiency requirements on new dwellings. The National Policy Congress has laid down five conditions for moving forward on six-star. These are:

1.    The mandating of six-star energy efficiency rating in new dwellings should not occur until there is a nationally consistent energy rating tool and a ‘deemed-to-satisfy’ solution.

2.    The Australian Government should seek a moratorium on further energy efficiency controls by state and local government until a road map can be prepared that is based on a thorough business impact assessment.

3.    Home lenders should be called upon to lift their credit assessments of borrowing and repayment capacity of new home buyers to take into account the savings that flow from more energy efficient dwellings.

4.    The case for compensation of new home buyers should be given priority, possibly through a revamping of the First Home Owners’ Grant.

5.    Much greater attention needs to be given to the role of community awareness and education in meeting energy efficiency goals in the established housing stock and new dwellings. There should be a coordinated national awareness program on energy efficiency for consumers.