Energy efficiency builds platform for climate solutions

By Property Council of Australia
Wednesday, 24 October, 2007


A nationwide building energy efficiency program offers a more effective way of reducing greenhouse gas emissions, according to a new study. The study, prepared by the Centre for International Economics (CIE), also shows that 23% of Australia's total greenhouse gas emissions can be attributed to buildings and their users.

The study was commissioned by the Australian Sustainable Built Environment Council (ASBEC). This forum of industry, government and environment groups has brought together two unlikely allies: The Property Council of Australia and the Australian Conservation Foundation.

The Property Council and the Australian Conservation Foundation are jointly calling for all political parties to commit to:

  • A nationwide program for improving the energy efficiency of all buildings, that includes financial incentives
  • Setting science-based targets within a legislated framework to cut greenhouse gas emissions
  • A substantial increase in the mandatory renewable energy target to effectively drive investment

"The study shows a focus on energy savings in buildings would reduce the cost per tonne of abatement by 14% and increase GDP by 2%, or $38 billion, compared to more traditional approaches," said Property Council CEO, Peter Verwer.

"Greenhouse gas emissions from the building sector are a shared problem for industry and environment groups — but if we can build more efficient buildings there are real community benefits that will flow to the whole economy," said ACF executive director Don Henry.

"This research shows that energy use in buildings is almost a quarter, or 23%, of Australia's total greenhouse gas emissions," said Verwer.

"The Australian Sustainable Built Environment Council is an effective forum for some of the tough discussions government, industry and environment groups will need to have to find the solutions to climate change," said Henry.

"There is huge potential to reduce energy use in the built environment by refurbishing Australia's existing building stock; however, it won't happen without investment and an effective policy framework," said Verwer.

"Green depreciation — where building owners demonstrate genuine, ongoing reductions in greenhouse gas emissions in return for faster write-offs for the heating, ventilation and air-conditioning systems that help them achieve the cuts — should be part of this," said Verwer.

"A national energy efficiency program should include financial incentives, green depreciation and other measures, as part of an effective policy framework to tackle climate change," said Verwer.

"An effective policy framework that drives investment in the energy efficiency of existing buildings will make the task of achieving very deep cuts in emissions much easier," said Henry.

"Energy efficiency in the building sector also needs to be combined with a broader national framework to deliver deep cuts in greenhouse gas emissions," said Henry.

"In addition to energy efficiency, an effective mandatory renewable energy target also has an important transitional role, and a science-based target for deep cuts in greenhouse gas reductions should be the first priority of the next federal government," said Verwer.

"If we are to deliver deep cuts in the most cost-effective way, we need to commit to a science-based target under an international framework as well as investment in renewable energy and energy efficiency," said Henry.

Other members of the ASBEC Climate Change Task Group include the Royal Australian Institute of Architects, Green Building Council of Australia, Planning Institute of Australia, Chartered Institute of Building Services Engineers and the Clean Energy Council.

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