The government has announced that it would expand and upgrade the NatHERS rating system to apply to existing homes, and work with banks to trial energy performance rating tools for existing homes with property valuers.
RapidRate, a new pilot program between CSIRO and CoreLogic Australia, was also announced. (New home energy efficiency ratings powered by artificial intelligence | Ministers for the Department of Industry, Science and Resources). The RapidRate tool calculates an energy star rating which includes detailed information on heating and cooling efficiencies. The tool’s star rating will align with the existing Nationwide House Energy Scheme (NatHERS) currently used for new dwellings.
Financial institutions are already using NatHERS ratings for new homes to support green loans. Providing energy ratings for the estimated 11 million existing homes in Australia will give lenders independently validated information to support innovative finance products for home upgrades.
While the government has worked with states and territories to increase the minimum energy rating for newly built homes to 7 stars under the National Construction Code, studies suggest the average existing home is estimated to have an energy rating of less than 2 stars. Most Australian homes were also built before the introduction of minimum energy efficiency regulations, and by 2050, there will still be an estimated 7 million homes not impacted by these standards.
As part of the NatHERS expansion, a range of initiatives will be established, including accreditation arrangements, legal frameworks, compliance, and enforcement. Risk management of existing homes will also be considered to ensure reliable, credible ratings the finance sector and consumers can trust. Once expanded, NatHERS will deliver consistent and comparable ratings for new and established homes in Australia.
NatHERS ratings for existing homes will be fully available from mid-2025, with trials planned in the second half of 2023 and in 2024 with a range of professional industries, including the finance sector, property valuers and energy assessors.
Other announcements from the Investor roundtable held 24 april 2023
Investor roundtable aligns efforts to deliver cleaner, cheaper energy
