Changes to the CBD compliance program take effect 1st July 2017.
Are you prepared?
CBD program changes
From the first of July, the area threshold for the CBD (Commercial Building Disclosure) program is lowering from 2000 square meters to 1000 square meters.
Under the changes, a Building Energy Efficiency Certificate will be required for any office space of 1000 square meters or more is offered for sale or lease. A BEEC is made up of two components, a NABERS rating and a tenant lighting assessment.
What is a NABERS rating?
The CBD Program requires a NABERS rating for affected buildings. NABERS is a national rating system that measures the environmental performance of Australian buildings, tenancies, and homes. The CBD Program integrates the NABERS Energy for offices rating into the information disclosed to prospective buyers and tenants of large commercial office spaces.
NABERS is managed by the NSW Office of Environment and Heritage on behalf of the Australian, state and territory governments.
BEECs are valid for up to 12 months and include:
National Australian Built Environment Rating System (NABERS) Energy star rating. Base Building (preferred) or Whole building can be undertaken which have 12-month’s validity
Tenant Lighting Assessment
A tenancy lighting assessment (TLA) for the relevant disclosure affected areas of the building. The expiry date for a TLA has recently been extended. Building owners will only be required to undertake these assessments every five years instead of annually
Who has to comply?
Most building owners who are selling or leasing office space with a net lettable area of 1,000 square metres or more
Most tenants who are subleasing part of their tenancy with a net lettable area of 1,000 square metres or more
Why is it so important?
The Commercial Building Disclosure program provides useful information to prospective purchasers and tenants about a building’s energy efficiency performance. The information gathered during an assessment is collected by the Australian Government Department of the Environment and Energy and included in the Building Energy Efficiency Register. This information drives energy efficiency and emissions reductions in the property industry as tenants and buyers have access to consistent data to make informed decisions and can also result in reduced operational costs for proactive building owners.
For building owners and managers, there are also significant risks if you do not comply including hefty fines for not holding a valid BEEC when required or incorrectly advertising a NABERS rating outcome.
What are the benefits?
Many building owners and managers elect to regularly maintain BEEC certification by rating their buildings on an annual basis. The main advantages of doing so include; firstly, maintaining constant compliance so that should a sale or lease event arise there is one less thing to worry about. The information collected during the BEEC assessment process also provides a strong base for moving forward with energy performance improvement measures. History has shown that on average buildings achieve a 5% reduction in energy consumption by their second NABERS rating and that this only grows as the years go on. Lastly, tenants and buyers respond to strong performance as they understand efficient performance means lower outgoings.
HFM currently completes over 70% of NABERS ratings & BEEC assessments in the Western Australian market and over 10% nationally. We have a highly experienced team of NABERS and CBD assessors ready to help guide you through the rating process. Our services don’t stop there though. Our primary business is driving efficient outcomes for our clients, to find out more contact one of our friendly team now!
Our NABERS assessors
HFM currently has the most certified assessors in Western Australia. We complete 70% of NABERS ratings and BEEC assessments in the WA market.
The accreditation process
Step One: Data Gathering
Once you have found an accredited CBD assessor and agreed a price for the assessment of your building your assessor will provide you with a list of information needed to obtain a BEEC for your building such as site plans and electricity bills.
The assessor will also need to perform a site inspection to gather information for the NABERS rating and conduct the tenant lighting assessment (TLA). As tenant lighting assessments are now valid for five years this portion of the visit may not be necessary if you have recently conducted a TLA.
Step Two: Processing
After all the necessary information is collected, your assessor will need to process the data to determine the rated area, hours and energy consumption for your building in line with the NABERS rules. We generally recommend that a NABERS water rating is completed at the same time as your BEEC assessment as much of the information required is already collected and there are cost savings when you complete the ratings simultaneously.
Your assessor will also determine the energy intensity controls capability of the tenant lighting system.
Step Three: Approval
When your rating is finalised your assessor will contact you to discuss the outcome, and you will need to approve the rating online before it is finalised. All NABERS ratings and tenant lighting assessments will also undergo an audit process before the NABERS and BEEC certificates are issued.
We recommend that you allow at least six weeks for the full assessment process.