The proposal by the Greens that all dwellings being sold of rented have an energy-star rating has some superficial appeal because it adds to the very worthy requirement that new dwellings reach a four-star energy rating before being approved. However, when viewed more closely, the proposal is a case of closing the stable door after the horse has bolted.
The energy requirement for new houses is soundly based. As a general principle, builders catering for the first-home market will respond to the most significant factor in purchasers’ decision making … price. They will put up dwellings with the minimum acceptable standards for the minimum price. Unless they are forced to meet certain standards, price will dominate the way they build. This has huge long-term costs for the community. It is far more costly, or impossible, after construction to install top-range insulation; to orient a house to take maximum advantage of winter sun; to double glaze; to have effective-width eaves; and to have concrete-slab heat-absorbing floors. Unless these sorts of things are done at construction, the whole community suffers as resources … such a power-generation … are needlessly squandered on the energy needed to heat and cool them. There is a public interest in insisting on energy-efficient housing.
However, that public interest does not extend to the existing stock of dwellings. Owners of dwellings are in the best position to decide when energy costs are so high that energy-saving construction changes … such a double glazing or wall insulation are worthwhile. Further buyers and renters are in the best position to determine what is right for them. Buyers and renters do not need an official energy-rating certificate to help them make up their minds whether to buy or rent. There are so many personal factors involved in buying and renting, that the individuals involved should be left to decide themselves.
It may be, for example, that an uninsulated south-facing dwelling in walking distance from a buyers work will consume less energy (overall) than a triple-glazed, north-facing dwelling 15 kilometres from work. Work and leisure habits, family size, distance from work and a myriad of other factors are at play when people decide to rent or buy. If legislation forces owners to get an energy rating, it is inevitable that the cost will be passed on to the buyers and the renters … the very people the Greens hope to protest.
A far more sensible thing to do would be a cheap energy check list on what to look for when buying or renting a dwelling. Take a compass to work out the dwelling orientation. Measure the windows on the northern wall. Check the depth of the eaves. See if the walls are insulated. Check off-peak electricity systems. Is the hot water solar? Are the windows double glazed? How easy are conversions? And so on. But after all that, buyers and renters have to make their own choice. Most dwellings constructed in order areas are not very energy efficient, but provide other benefits. The important thing is for people to make an informed choice.
The other difficulty with the star rating is that it is an average created from a lot of different factors, each of which has different significance for different people. Moreover, the anecdotal evidence is that the star-rating requirements for new dwellings has not done a huge amount to change construction attitudes and there is nothing to suggest that a star rating will do much in the market for existing dwellings, other than to increase prices.