Waikato Market Commentary

BUILDING ENERGY EFFICIENCY RATINGS - NABERS

There has been increasing interest and Tenant requirements around building efficiency in recent years, particularly from government and corporate occupiers. We started with Green Star, which from a Hamilton perspective was often a costly exercise where Tenants were rarely prepared to pay the associated rental freight for the rating, to the more attainable NABERS rating system.

NABERSNZ (New Zealand version of NABERSNational Australian Built Environment Rating System) and Green Star are two sustainability rating systems used in Australia and New Zealand to measure the environmental performance of commercial buildings. While both rating systems aim to promote sustainable buildings, they differ in their approach and focus.

NABERS Ratings:

NABERS is a performance-based rating system that measures the energy efficiency, water usage, and waste management of existing commercial buildings. It was developed in Australia in 1998 and has since been adopted in New Zealand as well. NABERS ratings are based on actual building performance data, which is collected over a period of 12 months and benchmarked against other buildings.

The NABERS rating system is designed to assess the environmental impact of buildings, primarily focused on measuring their operational energy efficiency, such as how much energy is used for heating, cooling, lighting, and hot water systems. On a scale of 0 to 6 stars, a 6-star rating represents marketleading environmental performance, while a 0-star rating indicates that the building has a high environmental impact. NABERS ratings are used to benchmark building performance and provide the building owners with recommendations for improvement.

There are 3 types of NABERSNZ ratings – Base Building, Tenancy or Whole Building, which measures a combination of both Base Building and Tenancy ratings.

Green Star Ratings:

Green Star is a comprehensive rating system that evaluates the environmental design and construction of new buildings, as well as major refurbishments. It was developed by the Green Building Council of Australia in 2003 and has since been adopted in New Zealand as well. The Green Star rating system assesses a building’s environmental impact in nine categories, including energy, water, materials, and indoor environment quality.

Green Star ratings are based on a points system, with a building needing to achieve a certain number of points in each category to attain a rating. Green Star ratings range from 1 to 6 stars, with a 6-star rating representing world leadership in sustainable building design and construction.

Benefits of NABERS in New Zealand:

NABERSNZ has several benefits for building owners and occupants in New Zealand. Firstly, NABERSNZ ratings provide building owners with an understanding of their building’s energy and water usage and waste management performance. This information can be used to identify areas of improvement and implement energy-saving measures, which can lead to cost savings on energy bills.

Secondly, NABERSNZ ratings can increase the value of a building. A higher NABERS rating indicates that a building has lower environmental impact and is therefore more attractive to potential tenants and investors.

Thirdly, NABERSNZ ratings can improve the indoor environment quality of a building. This is because buildings with high NABERS ratings are more likely to have features such as efficient lighting and air conditioning systems, which can improve the comfort and health of occupants.

Lastly, NABERSNZ ratings can help to reduce greenhouse gas emissions in New Zealand. Buildings account for a significant proportion of greenhouse gas emissions in New Zealand, and improving the environmental performance of buildings can help to reduce these emissions and mitigate the impacts of climate change.

In conclusion, NABERS and Green Star are two rating systems used in Australia and New Zealand to measure the environmental performance of buildings. While both rating systems aim to promote sustainable buildings, they differ in their approach and focus. NABERS is a performance-based rating system that measures the energy efficiency, water usage, and waste management of existing buildings, while Green Star evaluates the environmental design and construction of new buildings and major refurbishments.

NABERS ratings appear more realistically attainable than Green Star, particularly for owners of existing commercial buildings, therefore providing a valuable tool for improving the environmental performance of buildings and increasingly seen as a means of demonstrating environmental responsibility and compliance with regulations. The significant benefits for building owners and occupants in New Zealand, include cost savings on energy bills, increased building value, improved indoor environment quality, and reduced greenhouse gas emissions.

For more information - www.nabersnz.govt.nz

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