The Green Building Council of Australia has commended the recent updates to the National Construction Code (NCC) noting the significant improvements in energy efficiency across the country. According to CSIRO research, over 75% of new homes in NSW are now rated above seven stars, highlighting the positive impact of these new standards.

The Australian Glass and Window Association (AGWA) reports that implementing the new energy efficiency standards has raised costs by an average of just $4,300 per home.

GBCA CEO, Davina Rooney, notes that these costs were anticipated when the standards were updated and will be offset by homeowners through energy bill savings of $326 per year, thanks to the improved energy efficiency of their homes.

"These upfront costs are a smart investment. Homeowners will not only see reduced energy bills but also enjoy more comfortable living environments,” Rooney says.

“The improved energy efficiency of these homes is expected to reduce carbon emissions by 18-28%, making this investment beneficial for both the planet and the household budget.

“The long-term savings make the transition to higher energy efficiency standards a win-win for everyone."

Clinton Skeoch, Executive Director and CEO of AGWA says that this report clearly demonstrates that achieving 7-Star energy compliance for new homes isn’t as costly or complicated as projected in some public discussions.

“While improvements to glazing are necessary, higher-performing windows significantly reduce a home’s energy consumption and running costs, while also enhancing the comfort and health of residents,” Skeoch says.

“With the right planning and advice, new homeowners can incorporate design features and material choices that make a big difference to their home’s rating outcome, without breaking the bank.”

CSIRO analysis of industry changes following the code update shows that in NSW, the amount of double glazing used in apartments has remained consistent with levels seen before the changes. 

Developers have managed costs by slightly reducing the size of windows, which means there hasn't been a significant shift in the types of products used, leading to only a small change in costs. 

However, in cases where NSW homes have increased in size or where larger window areas have been introduced, the associated costs have risen accordingly.

In NSW, where 80% of new homes now exceed the 7-star rating, the average home size has grown over 10%, and window areas have increased by 10 square metres.

This has led to a rise in double glazing usage, now covering 27% of average window areas, contributing to the higher costs. However, the energy savings and improved comfort levels are seen as a worthy trade-off.

By contrast, in Queensland, where the average home size has remained stable and window areas have slightly decreased, the cost increase has been much lower. The smaller window sizes in Queensland homes have meant that double glazing was often not required, resulting in more modest cost increases.

These findings illustrate the diverse approaches states are taking to meet the new NCC standards, with Queensland setting a strong example of how maintaining existing home sizes and optimising window design can achieve cost-effective compliance with the updated energy efficiency requirements.

Rooney emphasises the importance of the NCC updates in Australia's journey towards sustainable building practices.

"These findings underscore the leadership shown in adopting these new standards and that industry is successfully implementing them. By reducing carbon emissions and promoting more sustainable living environments, we are taking crucial steps towards a greener, more energy-efficient future for all Australians," she says.

The National Construction Code (NCC) 2022 energy efficiency updates, including the transition to the NatHERS 7-star standard, have been implemented so far in NSW, Victoria and ACT, and Queensland.

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