2024 Architecture Decarbonisation Plan_MASTER (1)

ARCHITECTURE INDUSTRY DECARBONISATION PLAN 2025-2050 A pathway to net-zero emissions for a sustainable future - Advocacy summary

Prepared by Australian Institute of Architects

Issued November 2024

CLIMATE ACTION, NOW Jane Cassidy, FRAIA National President, Australian Institute of Architects +61 2 6113 3258 nationalpresident@architecture.com

Climate change is accelerating, and we need immediate, ambitious action to counter its impacts.

The Intergovernmental Panel on Climate Change (IPCC) has made the stakes clear: without drastic cuts to emissions, we risk dire consequences for our planet. While Australia has committed to a general 43% reduction in emissions from 2005 levels by 2030, current global pledges simply aren’t enough to hit net-zero by 2050, meaning it’s time for nations to step up and lean in. 1 The built environment presents a major opportunity — and responsibility — to lead the charge. The sector is ready as the required technologies already exist and are commercially available today. But, more ambitious sectorspecific targets and actions are essential to drive the necessary innovation.

The Institute believes decarbonisation within our built environment can be achieved in five parts: 1.

Updating the NCC 2025 to implement mandatory measurement of embodied carbon in accordance with NABERS.

2.

Updating the NCC 2028 to achieve buildings that are all-electric, highly efficient, grid-responsive, effectively net-zero operational carbon and reduce upfront carbon in all new buildings and major renovations by 40% by 2030.

3.

Government procurement of buildings to require grid-responsive, net-zero operational emissions and reduce upfront carbon by 20% using NABERS methodology from 2025.

4.

Funding NABERS and NatHERS to extend operational and embodied carbon ratings across all building types.

5.

Investment in transforming skills, practices, and supply chains to keep pace with a rapidly evolving industry and maintain investment confidence.

While populous states like New South Wales 2 and Victoria 3 have set ambitious targets of 70-80% emissions reductions by 2035, details on sector-specific pathways to achieve this are lacking, and state governments are not fully leveraging their significant procurement power. Using that power can kick-start the industry and help bring the costs down.

The Architecture Industry Decarbonisation Plan outlines a pathway to net-zero emissions, advocating for stronger regulations, government leadership in green procurement, and investment in skills and tools for a sustainable, zero-carbon future.

Jane Cassidy, FRAIA National President Australian Institute of Architects Cover: Nightingale Village, VIC | Architecture architecture, Austin Maynard Architects, Breathe, Clare Cousins Architects, Hayball and Kennedy Nolan | Photographer: Tom Ross

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ARCHITECTURE INDUSTRY DECARBONISATION PLAN 2025-2050

19 Waterloo Street, NSW | SJB | Photographer: Anson Smart

ARCHITECTURE INDUSTRY DECARBONISATION PLAN 2025-2050

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Built Environment - Our Responsibility, Our Opportunity

Buildings are responsible for a third of global emissions - 26% from operations and 7% from construction. “To achieve net-zero by 2050, all new buildings need to be net-zero (operational energy) from 2030. A significant leap from less than 5% of new buildings today.” 4

Planning for climate change 7%

The International Energy Agency has warned us: we’re off track for net-zero by 2050, with emissions still rising.

The time for incremental change is over — to meet the 2050 target for all buildings to be zero carbon, every new building needs to be all electric, highly efficient and ready to be powered by a renewable grid. - International Energy Agency, 2023 Breakthrough Agenda Report.

The International Energy Agency, 2023 Breakthrough Agenda Report further states that “to achieve net-zero by 2050, all new buildings need to be net-zero (operational energy) from 2030. A significant leap from less than 5% of new buildings today.” 4

26%

67%

Buildings are responsible for a third of global emissions 26% from operations and 7% from construction

We have the tools to decarbonise, let’s use them The Commonwealth Government’s Trajectory for Low Energy Buildings and the Climate Change Authority’s NetZero Built Environment Sector Pathway point in the right direction: “The built environment sector has a clear and potentially rapid decarbonisation pathway, with the required technologies being almost all commercially available now.

A net-zero built environment would have high energy performance, be well-adapted to climate change impacts, and be highly liveable.” 5 We commend the Building Ministers Forum for pushing operational and embodied carbon measurement. But, without aligning the National Construction Code (NCC) with the necessary trajectory to zero emissions, we risk missing our targets and stifling innovation.

T3 Collingwood, VIC | Jackson Clements Burrows Architects | Photographer: Tom Blachford

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ARCHITECTURE INDUSTRY DECARBONISATION PLAN 2025-2050

Decarbonising Buildings

“The built environment has the technology to decarbonise now – but we must do this at speed and scale to smooth the way for other hard-to-abate sectors.” - The Australian Sustainable Built Environment Council (ASBEC) 6

Pathway to decarbonisation 1.

Updating the NCC 2025 to implement mandatory measurement of embodied carbon in accordance with NABERS.

2.

Updating the NCC 2028 to achieve buildings that are all-electric, highly efficient, grid-responsive, effectively net-zero operational carbon and reduce upfront carbon in all new buildings and major renovations by 40% by 2030.

3.

Government procurement of buildings to require grid-responsive, net-zero operational emissions and reduce upfront carbon by 20% using NABERS methodology from 2025.

4.

Funding NABERS and NatHERS to extend operational and embodied carbon ratings across all building types.

5.

Investment in transforming skills, practices, and supply chains to keep pace with a rapidly evolving industry and maintain investment confidence.

ARCHITECTURE INDUSTRY DECARBONISATION PLAN 2025-2050

These actions are critical and cost-effective now.

The Australian Sustainable Built Environment Council (ASBEC) estimated in 2016 that $20B in energy bill savings associated with respective energy efficiency measures can be delivered by 2030. ASBEC further states that “the built environment has the technology to decarbonise now –however, we must do this at speed and scale to smoothe the way for other hard-to-abate sectors.” 6 Industry leaders are setting bold innovative benchmarks that outstrip government standards. Green Star, the leading sustainable building rating system, now requires a 20% reduction in embodied carbon for a 5-Star rating — a benchmark that is increasingly met today. 7 Meanwhile, Lendlease has committed to net-zero carbon for Scope 1 and 2 emissions by 2025 and absolute zero for all Scope 1, 2, and 3 emissions by 2040. 8 Positive side effects High performing buildings are not only urgently required but also feasible today. They are more resilient to extreme weather events like heat waves and foster well-being and productivity through better comfort and indoor environment quality. 9

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The Role of Architects

Architects’ influence extends across clients and the entire supply chain, making them essential leaders in the journey toward zero-carbon buildings and industry-wide decarbonisation.

Leaders in industy-wide decarbonisation As lead consultants on most building projects, architects are pivotal in setting ambitious sustainability goals and driving the design process. Their influence extends across clients and the entire supply chain, making them essential leaders in the journey toward zero-carbon buildings and industry-wide decarbonisation.

As it is the early decisions that have the greatest impact at the least cost in the design process, developing the skills to design zero-carbon buildings is crucial.

However, voluntary efforts alone aren’t enough — meaningful regulation and support are needed to achieve swift, high-quality change. The evidence and experience that would come from mandatory measurement in accordance with NatHERS and NABERS would help us rapidly change and innovate.

39S House, QLD | Andrew Noonan Architect | Photographer: Andrew Noonan

The Australian Institute of Architects urges governments to harness architects’ expertise to craft practical policies and regulations that will make a lasting impact.

Nungalinya, NT | Incidental Architecture | Photographer: Clinton Weaver

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ARCHITECTURE INDUSTRY DECARBONISATION PLAN 2025-2050

A Path Forward

How to achieve grid-responsive, net-zero operational and embodied emissions in buildings. These milestones are broadly aligned with leading industry bodies, including the Australian Sustainable Built Environment Council (ASBEC), the Green Building Council of Australia (GBCA) and the Property Council of Australia (PCA).

Buildings Carbon Trajectory

2025 NCC

2028 NCC

2030

2031 NCC

2035

2037 NCC

2040 NCC

2045

2050

Science-based targets, IPCC/IEA IEA: Net-zero operational carbon, new buildings

✓

IEA: Net-zero operational carbon, existing buildings

✓ ✓

IPCC: Worldwide zero emissions Regulation, Policy, Operational Carbon NCC update/Commonwealth/State policies: New buildings/major renovations: No fossil fuels

✓

NCC update: New buildings/major renovations: Net-zero operational carbon and grid-responsive

✓

NCC outcome: New buildings/major renovations: Net-zero operational carbon and grid-responsive

✓

Buildings disclosure: All building classes (office buildings in place)

✓

Minimum performance standards: towards net-zero operational carbon, existing buildings

✓

Government procurement: net-zero operational, new buildings

No fossil fuels

✓

Upfront Embodied Carbon - New Buildings disclosure: upfront emissions measurement and reporting (NABERS, NatHERS)

✓

NCC update: % reduction in upfront carbon, new buildings, major renovations

✓

RAIA advocacy for industry excellence

40%

60%

90%

100%

Government procurement: new buildings, ma- 20% jor renovations reduction in upfront carbon (NABERS)

40%

60%

90%

100%

NABERS/NatHERS support for tools expansion

ARCHITECTURE INDUSTRY DECARBONISATION PLAN 2025-2050

✓

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A Path Forward (continued)

Buildings Carbon Trajectory

2025 NCC

2028 NCC

2030

2031 NCC

2035

2037 NCC

2040 NCC

Industry support: Incentivise the shift to higher performing buildings ahead of regulatory updates

✓

Support skills transition: design and construction professionals

✓

Support Environmental Product Declarations for small and medium sized enterprises

✓

Environmental Product Declaration legislation

✓

2045

2050

Challenging sectors decarbonisation

Carrickalinga Shed, TAS | Architects Ink | Photographer: Thurston Empson

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ARCHITECTURE INDUSTRY DECARBONISATION PLAN 2025-2050

Architecture Industry Decarbonisation Plan 2025-2030

The Australian Institute of Architects’ pathway to a zero carbon and sustainable future.

2025

2026

2027

2028

2029

2030

Advocacy and Collaboration

✓

Support architectural business to achieve carbon neutral operations Events including annual National Conference to drive awareness, engagement and skills

✓

Align awards criteria with advocacy targets

✓

Support a ‘Low Carbon Challenge’ (competition) as per ACT model to support and recognise innovation Promote NABERS and NatHERS as nationally agreed upfront carbon tools

✓ ✓

Collaboration and alignment with key industry organisations ASBEC, GBCA, NABERS, MECLA on solutions and pathways

✓

Engage with policy and decision makers to inform science and practice-based policies, regulations and pathways

✓

Education and Research Education in design leadership framework ‘Handprints of Good Design’ to architects

✓

Embodied Carbon Curriculum + Toolkit to roll out

✓

Guidance, courses and events on design and tools for net-zero operational and low upfront carbon

✓

Case studies

✓ ✓

Identify knowledge gaps and engage in respective research

ARCHITECTURE INDUSTRY DECARBONISATION PLAN 2025-2050

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References 1. Intergovernmental Panel on Climate Change (IPCC). (n.d.). Sixth Assessment Report (AR6) Cycle. Retrieved from https:// www.ipcc.ch/report/sixth-assessment-report-cycle/ 2. NSW Department of Energy. (n.d.). Reaching net zero emissions. Retrieved from https://www.energy.nsw.gov.au/nsw-plansand-progress/government-strategies-and-frameworks/reaching-net-zero-emissions 3. Climate Change Authority. (n.d.). Victoria’s 2035 climate target: Driving real climate action. Retrieved from https://www. climatechange.vic.gov.au/__data/assets/pdf_file/0028/635590/Victorias-2035-Climate-Target_Driving-Real-ClimateAction.pdf 4. International Energy Agency. (2023). Breakthrough agenda report 2023. Retrieved from https://www.iea.org/reports/ breakthrough-agenda-report-2023 5. Climate Change Authority. (2024). Sector pathways review: Built environment. Retrieved from https://www. climatechangeauthority.gov.au/sites/default/files/documents/2024-09/2024SectorPathwaysReviewBuilt%20Environment. pdf 6. Australian Sustainable Built Environment Council (ASBEC). (2024). ASBEC submission: Climate Change Authority targets, pathways, and progress 2024 issues paper. Retrieved from https://www.asbec.asn.au/research-items/asbec-submissionclimate-change-authority-targets-pathways-and-progress-2024-issues-paper/ 7. Green Building Council of Australia (GBCA). (2022). Inside Green Star: 10th edition, September 2022. Retrieved from https://new.gbca.org.au/news/green-star-news/inside-green-star-10th-edition-september-2022/#:~:text=Green%20 Star%20Buildings%20Climate%20Positive,Scope%201%20eliminated%20or%20offset 8. Lendlease. (n.d.). Climate and environment. Retrieved from https://www.lendlease.com/au/sustainability/climate-andenvironment/ 9. Australian Sustainable Built Environment Council (ASBEC). (2016). Low carbon, high performance: How buildings can make a major contribution to Australia’s emissions and productivity goals. Retrieved from https://www.asbec.asn.au/researchitems/low-carbon-high-performance-report/

The Australian Institute of Architects acknowledges First Nations peoples as the Traditional Custodians of the lands, waters, and skies of the continent now called Australia.

We express our gratitude to their Elders and Knowledge Holders whose wisdom, actions and knowledge have kept culture alive.

We recognise First Nations peoples as the first architects and builders. We appreciate their continuing work on Country from pre-invasion times to contemporary First Nations architects, and respect their rights to continue to care for Country.

The Australian Institute of Architects exists to advance the interests of members, their professional standards and contemporary practice, and expand and advocate the value of architects and architecture to the sustainable growth of our communities, economy and culture.

Australian Institute of Architects 1800 770 617 policy@architecture.com.au