Mandatory Disclosure of Commercial Office Building Energy Efficiency
On 12 November 2009 The Department of the Environment, Water, Heritage and the Arts announced legislation for the mandatory disclosure of energy efficiency for commercial office buildings. The legislation will take effect in the second half of 2010.
Who is covered?
Mandatory disclosure will apply to all office buildings, or parts of buildings, with a net lettable area (NLA) of more than 2,000 m2.
Initially the scheme will apply only to BCA Class 5 Buildings (office buildings used or designed for professional or commercial purposes), but other classes are likely to be introduced into the scheme over time.
What do I have to do?
Owners and managers will be required to provide a Building Energy Efficiency Certificate (BEEC) (valid for 12 months). which includes a NABERS Energy rating.
When does it start?
The commencement date for the scheme has not been announced.
The latest update from Environment Minister Peter Garrett indicates that the scheme is scheduled to start in the second half of 2010.
When will I have to disclose?
Disclosure will be required whenever space is offered for sale, lease or sublease.
Where will I have to disclose the information?
The information must be disclosed:
- in any advertising material;
- to all prospective buyers and tenants; and
- to a central registry.
What is a Building Energy Efficiency Certificate?
BEECs disclose the energy use information of the building. A BEEC is provided by the landlord or agent at the point of sale or lease.
See sample: Building Energy Efficiency Certificate
What information will be on a BEEC?
Core requirements for a valid BEEC will include:
- a certificate reference number, certification date and validity date (12 months from certification);
- the building name and address, including post code;
- key building data, including building size, year of construction, etc.;
- an appropriate base building star rating based on the metrics described above;
- appropriate tenancy lighting details;
- detailed energy consumption and greenhouse gas emissions data;
- building assessor details, including name, trading address, assessor number;
- where relevant, the presence of any co-generation or tri-generation facilities within the building; and
- energy efficiency guidance for the base building and fixed lighting of the tenancy space being offered for sale or lease.
Why is mandatory disclosure being implemented?
The federal government is implementing this scheme as part of its National Energy Efficiency Strategy.
The aim of this strategy is to encourage the use and deployment of more energy efficient measures in homes and offices, and in turn reduce Australia’s greenhouse gas emissions.
Will my building be affected?
The measure will initially cover only BCA Class 5 buildings. These are office buildings used for professional or commercial purposes.
This does not include buildings in retail, car park, storage, production and public building classifications of the BCA.
Are tenants required to do anything?
In most instances tenants will retain responsibility for their own light and power consumption.
Outside of the lease agreement, tenants are not obligated by law to maintain or contribute financially to improving the energy efficiency of their building.
HFM Asset Management has accredited staff to complete the NABERS assessment on your behalf.
For more information visit
Regulation Document PDF - [1.1MB]
Regulation Impact Statement PDF - [6MB]