New buildings will use more renewable energy and support the transition to net-zero emissions under our plans to include energy targets in development applications.
In a first for a local council in Australia, the City of Sydney’s proposal means development applications for new office buildings, hotels and shopping centres and major redevelopments of existing buildings will comply with minimum energy ratings.
The regulations will come into effect in January 2023 and achieve net-zero energy output by 2026.
Our proposed planning rules will combine energy efficiency and the use of onsite and offsite renewables to move buildings towards net zero energy use. Including the option to use offsite renewable energy purchases is another first for local planning rules in Australia.
The performance standards and evidence base can be used by all councils across Greater Sydney and will support investment in renewable energy and create jobs in regional areas.
We’ve already invested in wind and solar farms in Inverell, Nowra and Wagga to help us achieve 100% renewable electricity from locally sourced clean energy.
The new planning measures are expected to save more than $1.3 billion on energy bills for investors, businesses and occupants from 2023 to 2040, and help us meet its target of net-zero emissions by 2035.
Lord Mayor Clover Moore said energy use in buildings was a significant contributor to greenhouse gas emissions.
“Commercial office space, hotels and apartment buildings contribute 68% of total emissions in our area,” the Lord Mayor said.
“If we’re to meet our target of net-zero emissions by 2035, we need to ensure this sector is contributing to emissions reduction through increased energy efficiency, on-site renewable energy production and off-site renewable energy procurement.
“We've worked with industry and government to develop performance standard step changes that are ambitious, but achievable. We’re providing a clear pathway and time for developers to improve energy performance and transition to net zero buildings.
“As we emerge from the impacts of the pandemic, we’re helping ensure sustainability and resilience is at the core of business recovery.”
Greater Sydney Commission environment commissioner Emma Herd urged industry and government to accelerate action to combat global warming.
“Across Greater Sydney, the changing climate is a shared problem. These performance standards will help us meet our shared goal of net zero emissions and deliver progress against the Greater Sydney region plan low carbon city objective,” Emma said.
“I would encourage councils across the Greater Sydney region to look at these performance standards as a useful tool for achieving environmental targets of net zero emissions and sustainability actions in their local strategic planning statements.”
Neil Arckless, Lendlease executive development director, said his organisation supported the ambitious performance standards.
“At Lendlease we recently set our own pathway to net zero carbon by 2025 and absolute zero by 2040,” Neil said.
“We’re always pushing the boundaries to innovate in sustainability and welcome the City of Sydney leading the way in the development of these performance standards. I’m confident we can all rise to the challenge."
Stockland CEO Commercial Property Louise Mason said the company strongly endorsed the City of Sydney’s net-zero energy buildings performance standards.
“We've brought forward our target to achieve net zero carbon emissions to 2028 and extended the commitment across our entire portfolio, covering close to 170 active assets and projects Australia-wide,” Louise said.
The measures are expected to deliver substantial financial benefits. Annually office owners will save $2,750 per 1,000 square metres of floor area and hotel owners $170 per hotel room.
There are projected public benefits and savings in health, energy network and emissions costs, worth around $1.8 billion. The planning controls also support the NSW Government's renewable energy zones through investment and create demand for jobs and new skills in energy efficiency.
The performance standards address requirements in the Greater Sydney region plan and respond to local, state and industry goals, including the NSW net zero plan and electricity strategy, district plans to reduce carbon emissions and sustainability actions in local planning.
Published 25 May 2021
