Research highlights role of National Construction Code in boosting energy efficiency of newly built homes
Homes built in Australia since 2010 are twice as energy efficient as those constructed prior to that year, new research from CoreLogic has revealed.
According to the report, “Amped Up: How energy efficient are Australian homes?”, properties built after 2010 achieved an estimated median energy efficiency star rating of 5.9 out of 10. In contrast, homes constructed before 2010 had a median rating of just 2.8 stars.
The analysis, which combines data from CoreLogic and CSIRO’s RapidRate product, highlights that the most energy-efficient areas are those with a high concentration of newly built housing, with some regions achieving median star ratings above six across all dwellings.
The Australian Capital Territory (ACT) dominated CoreLogic’s national top 30 list for energy efficiency, with the region of Molonglo taking the top spot. Molonglo achieved the highest median star rating at 6.1, making it the only area nationally with a median rating of six or higher across all dwellings.
In contrast, Sydney and Hobart were notably absent from the top 30 list, reflecting the variability in energy efficiency standards and construction practices across the country.
Tom Coad (pictured above), CoreLogic’s head of banking and finance solutions, said the findings underscore the critical role of the National Construction Code (NCC) in improving energy efficiency in residential housing.
“The significant difference in energy efficiency between relatively modern homes and older homes can largely be attributed to changes in the National Construction Code, which has progressively placed more emphasis on energy efficiency requirements for newly built homes,” Coad said.
Coad criticised recent political moves to pause updates to the NCC, arguing that such action would undermine Australia’s climate goals.
“Policymakers should be incentivising the construction of energy-efficient buildings, not slamming the brakes,” he said.
Residential buildings account for 24% of Australia’s overall electricity use and more than 10% of its total carbon emissions.
Tim Lawless, CoreLogic’s research director, noted the importance of ongoing energy efficiency standards while calling for greater focus on older housing.
“What gets measured gets done,” he said. “As standards for energy-efficient design and construction rise, it’s also becoming more important to measure energy resilience in our housing stock.”
He pointed to established policies in Europe, such as the mandatory energy performance certificate (EPC) for homes that are built, sold, or rented, as an example of what Australia could adopt. Similar regulations exist in the UK and some Scandinavian countries.
“With most of Australia’s housing stock built prior to recent minimum standards, incentives and retrofitting for older homes will be key to meeting national carbon reduction targets,” Lawless said.
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