Landmark energy rating system now available for Australian homes

Dept of Climate Change, Energy, Environment & Water

The Albanese Government is making Australia’s world-leading Home Energy Rating scheme available to existing homes to help Australians reduce their energy bills, improve the comfort of their homes, and make informed decisions about upgrades that can save them money.

Just like energy star ratings Australians already use when buying fridges and washing machines, the Nationwide House Energy Rating Scheme (NatHERS) gives States and Territories the ability to opt in for the scheme that informs households about the energy efficiency and cost of running their home, giving Australians the opportunity to make upgrades through measures like solar panels, home batteries, or double glazing, to save money on bills.

The Albanese Government’s investment to expand the scheme from new homes to cover existing homes, gives Australians guidance on how to cut their energy use, with home energy upgrades able to slash energy bills by over 90 per cent in many locations. A new Home Energy Rating brand, website (homeenergyrating.gov.au), and resources are now available to help buyers and renters take those steps.

Delivered by an accredited assessor, a Home Energy Rating provides easily understandable information on a home’s energy use, comfort, considering its design, construction, local climate, appliances, and any on-site solar or battery.

Getting a Home Energy Rating also allows banks to better assess green finance loan applications, unlocking discounted upgrades to make homes cheaper to run. In addition to the Home Energy Rating, energy saving tips and guidance for households on how to reduce energy bills and improve home comfort are included, and helpful links to information about other government programs like the Cheaper Home Batteries Program, and Household Energy Upgrades Fund, that make home upgrades cheaper and more accessible.

With around 70 per cent of Australia’s 11 million homes built before the introduction of minimum energy efficiency standards and with an estimated average energy rating of below 3 out of 10 stars, many Australians are living in homes that are cold in winter, hot in summer, and cost more to run than they need to.

Even when a dwelling’s energy performance is lifted from 3 to 5 stars the energy use and energy costs can be reduced by 40%.

Today, more than 90 per cent of new homes use NatHERS ratings to demonstrate compliance with the energy efficiency requirements of the National Construction Code, helping ensure new homes are built to a minimum seven-star standard.

The NSW Government has also recently completed a successful trial of how Home Energy Ratings can be shared when homes are advertised for sale or lease, helping buyers or renters compare running costs, comfort and energy performance.

NSW has also announced that Home Energy Ratings will be included in their new Home Energy Saver loan and discount program helping families lower their power bills by making energy-saving upgrades more affordable.

Quotes attributable to Assistant Minister for Climate Change and Energy Josh Wilson

“Australians deserve homes that are comfortable to live in and affordable to run. That’s exactly what Home Energy Ratings are designed to help deliver.

“This will be an important tool to help reduce costs for Australians. There is a lot of potential for millions of Australian homes to be more energy efficient and cheaper to run. But it’s hard for many people to understand where to start. An energy rating gives households practical advice about what upgrades will have the biggest impact on lowering their bills and improving comfort.

“Whether you live in Hobart, Perth or Cairns, a Home Energy Rating can equip you to make your home as energy efficient as possible, with greater comfort and lower bills.”

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