Energy ratings to be mandatory

Age
Wednesday 14/7/2010 Page: 9

A BIG change in the way commercial buildings are sold or leased will occur from October when mandatory disclosure of a building's energy efficiency will be phased in. The first year will be a transitional period, with full disclosure mandatory from October next year. Under the legislation, a valid base building National Australian Built Environment Rating System energy rating will be required during the transitional period. Once the transitional period is finished, a full Building Energy Efficiency Certificate will be needed. Where a base building rating cannot be achieved, a whole of building rating will be required.

Jones Lang LaSalle's Victorian managing director, Andrew Wood, said acting now was critical to ensure compliance with the scheme, and to protect and enhance a building's value and appeal. An important note for building owners and occupiers is that NABERS is a retrospective rating", he said. "To make disclosures in the second half of this year, you will require data from the latter part of 2009, as NABERS energy ratings require 12 months of continuous historical data including energy use, floor space surveys, and lease information". After the transitional period, a full BEEC must be disclosed, and registered.

The BEEC will have three components:

• An energy efficiency rating - a base building NABERS energy rating, or where this cannot be achieved, a whole-of-building rating.
• Tenancy lighting register. Accredited assessors will benchmark existing tenancy lighting against best practice.
• Energy efficiency guidance. This must include general advice to building owners/tenants on common energy efficiency opportunities in commercial office buildings.

This is not tailored to the individual building and will not be an energy audit. Mr Wood said the aim of the scheme was to ensure that credible energy efficiency information was given to prospective purchasers and lessees of large commercial office space of more than 2000 m². To sleet this aim, building owners or tenants are required to disclose energy efficiency performance information when they sell, lease or sublease relevant office space. Mr Wood said failure to comply would incur severe penalties.

The Property Council of Australia is pushing for accelerated depreciation as the best way to help industry pay for building upgrades. Studies show that the payback period for investing in more energy efficient technologies is more than 15 years. The council estimates that hundreds of millions of dollars will be required to refurbish Australia's 330 million m² of commercial buildings, most of which are more than 25 years old.