Read The Times Australia

Daily Bulletin

HomeBuilder misses a chance to make our homes perform better for us and the planet

  • Written by: Trivess Moore, Senior Lecturer, School of Property, Construction and Project Management, RMIT University

The federal government’s new A$688 million HomeBuilder package might protect residential construction jobs but it’s a missed opportunity to deliver sustainability benefits that would save owners money in the long run. The A$25,000 grant for new homes and renovations could have been better leveraged to provide broader and ongoing benefits. In particular, it could have been used to ensure homes are more energy-efficient and cheaper to run.

The grant is available for building an owner-occupied home with property values (house and land) under $750,000. Renovations costing between $150,000 and $750,000 for a property valued under $1.5 million are also eligible. Grants are means-tested against household incomes.

Read more: HomeBuilder might be the most-complex least-equitable construction jobs program ever devised

Building new houses better

The scheme could have required new houses to exceed minimum building code requirements to be eligible. The development industry would then have had to deliver housing to this standard or risk losing potential buyers. Using the right design and materials would mean any extra costs are recouped over time.

Heating and cooling energy use could be reduced by almost 25% across capital city climate zones with minimal requirements. New houses could achieve these reductions with a solar PV system and 7-star performance rating (in line with proposed changes to raise the National Construction Code’s current 6-star minimum in 2022). This would reduce utility bills and carbon footprints for householders.

Read more: Scott Morrison’s HomeBuilder scheme is classic retail politics but lousy economics

The use of majority Australian-made materials could be stipulated. Local renewable energy, insulation and energy-efficiency businesses would benefit from increased demand. Job creation would follow in these and secondary industries.

The $25,000 grant cost to government would more than cover the costs of these requirements. Various Australian studies have found achieving a 7-star rating involves little if any extra cost for new houses in many locations. The cost of solar PV continues to fall.

Combining these sustainability measures through HomeBuilder would provide benefits across the lifetime of new houses.

HomeBuilder misses a chance to make our homes perform better for us and the planet The Cape is a Victorian development where all houses have a minimum 7.5-star performance rating. The first ones built have running costs of 15% of the state average for homes of the same size. Trivess Moore, Author provided

Read more: Sustainable housing's expensive, right? Not when you look at the whole equation

Renovation to benefit everyone

Restricting HomeBuilder grants to renovation projects over $150,000 excludes many modest renovations like upgrading a kitchen or bathroom. It has already been called a handout for the rich.

Much of the existing housing stock in Australia has poor energy and thermal performance. Many houses are too hot in summer or too cold in winter, or both.

Read more: When the heat hits: how to make our homes comfortable without cranking up the aircon

HomeBuilder misses a chance to make our homes perform better for us and the planet Installing a heat pump hot water system is one way to cut household costs and emissions. Trivess Moore, Author provided

A better and more equitable strategy would be to provide renovation grants for energy-efficiency retrofits in owner-occupied and rental housing.

Retrofits could be undertaken for a fraction of the price of the renovation grant and still help a range of trades. There would be demand for heating and cooling systems, insulation and draught proofing to be supplied and installed. Households would save on bills and suffer less from extreme temperatures.

Energy-efficiency retrofits are a cost-effective way to improve environmental performance, thermal comfort, health and well-being. Much of Australia’s existing housing stock could be upgraded to 5 stars for much less than the budgets required by the announced stimulus.

Retrofits should be determined by an in-house sustainability assessment by qualified assessors - another potential growth area. Programs like the Victorian Residential Energy Scorecard already offer guidance on best practice. Identifying the best retrofitting opportunities for individual properties would ensure each household gets best value for money.

Read more: Stimulus that retrofits housing can reduce energy bills and inequity too

Capturing wider benefits

A more strategic approach to HomeBuilder could help the economy and move us towards a lower-carbon future.

The need to upskill tradies and limitations of local manufacturing are often cited as barriers to improving the sustainability of Australian housing. HomeBuilder could offer incentives to overcome these obstacles. Setting higher building performance standards as a condition of the HomeBuilder grant would upskill workers and create jobs.

Tradies would have the opportunity to work on tens of thousands of houses with higher performance ratings. This would provide extensive professional experience of building more sustainable housing across the country. Local manufacturing and secondary industries could innovate and supply sustainable building materials and technologies for Australian conditions.

Improving housing sustainability would also help achieve broader federal and state government policy goals. For a start, it would help Australia achieve targets for reducing greenhouse gas emissions. It would also help with issues such as energy vulnerability and security.

As a final note, economists, housing researchers and social housing organisations argue that a program designed to deliver more social housing would provide greater benefits. Australia certainly needs to increase its social housing stock. HomeBuilder could have helped with this.

If future stimulus schemes target social housing, we suggest environmental and energy performance should be top priorities from the outset.

Read more: Why the focus of stimulus plans has to be construction that puts social housing first

Authors: Trivess Moore, Senior Lecturer, School of Property, Construction and Project Management, RMIT University

Read more https://theconversation.com/homebuilder-misses-a-chance-to-make-our-homes-perform-better-for-us-and-the-planet-140067

Business News

How Businesses Can Prepare for Unexpected Power Outages

Power failures can occur quickly. The supply may be interrupted by bad weather, issues with the electricity network, damaged equipment or local construction work. This can be just a hassle for a fam...

Daily Bulletin - avatar Daily Bulletin

How Chatswood Tutoring Can Fit Into a Student’s Weekly Routine

Create a Predictable Weekly Structure A consistent weekly routine can make study easier to manage when students are balancing several subjects. Chatswood tutoring can provide a fixed learning point a...

Daily Bulletin - avatar Daily Bulletin

The Rise of Digital Marketplaces in the Australian Trade Sector

For decades, the Australian trade and construction sector operated almost entirely on word-of-mouth recommendations and local community networks. Small business owners typically relied on local newspa...

Daily Bulletin - avatar Daily Bulletin

How Immigration Lawyers Can Help

Introduction Visa decisions can shape employment, family life, study plans, travel, and future residence. A small omission can lead to delay, added expense, or refusal. Immigration lawyers assess l...

Daily Bulletin - avatar Daily Bulletin

How Industrial Drying Equipment Supports Efficient Processing

Many industrial processes require moisture to be removed from compressed air, products or process materials before they move to the next stage. Excess moisture can affect equipment performance, produc...

Daily Bulletin - avatar Daily Bulletin

Practical Ways a Whiteboard Can Improve Workplace Communication

Effective communication helps teams stay organised, share ideas and keep track of important information. While digital tools are now common in many workplaces, a whiteboard continues to provide a simp...

Daily Bulletin - avatar Daily Bulletin

Designing Eco-Friendly Custom Water Bottles for Your Next Event

The Evolution of Sustainable Event Merchandise Event planning has undergone a massive transformation over the last decade. Gone are the days when organizers could hand out cheap, single use plastic...

Daily Bulletin - avatar Daily Bulletin

Why Choosing a Professional Florist Melbourne Makes Flower Delivery Impactful

Flowers have a great power to speak when humans cannot express their feelings with right words. Flowers are the best gifts when you are celebrating a birthday or welcoming a newborn child into your fa...

Daily Bulletin - avatar Daily Bulletin

The Business Case for Choosing Australian Fabricators Over Imported Alternatives

For a long time, you might have defaulted to overseas suppliers when sourcing fabricated metal components for a project. The unit price was lower on paper, and the maths seemed straightforward. That...

Daily Bulletin - avatar Daily Bulletin

The Daily Magazine

How to Set a Budget Before Bidding at Auction

Placing a bid at an online art auction is an exciting way to discover rare paintings, home content...

Does a Modern James Bond Exist?

Image Credit: MysteryShot What the Movies Get Right About Private Investigators There are a few mov...

How Australian Businesses Can Effectively Manage Tax Audits and Disputes

Managing a small business in Australia is inherently challenging, but recent shifts in regulatory ...

From Coastal Calm to Classic Comfort: The Right Carpet for Every Style of Home

Carpet is often chosen near the end of a room makeover, after the walls, furniture, and lighting h...

How to Add a Heart to a Photo in Seconds

Visual storytelling has rapidly evolved in the digital age, transforming how we share our daily expe...

Why Small-Denomination Physical Gold is Becoming the Ultimate Defensive Asset

In a landscape of lingering macroeconomic uncertainty and rising domestic living costs, everyday i...

Why Your Feet Spread During Running and What That Means for Shoe Fit

The trainers felt brilliant in the shop. You walked around, bounced on your toes, checked the mirror...

How to Vet and Hire the Right Property Expert in the Australian Market

Navigating the Australian real estate market has become a highly strategic exercise. Recent nation...

Moving From Australia to Wellington: The Practical Settling-In Checklist

Wellington has a lot going for it. It's compact, walkable and full of cafes, with a harbour that r...