Sustainability standards for non-residential development took effect on 1 October 2023.
Sustainability standards for non-residential buildings helps drive NSW significantly closer to our target of net zero emissions. It ensures the places we work, visit and stay are more comfortable year-round, with less reliance on heating and cooling.
The non-residential building sustainability standards are in Chapter 3 of the State Environmental Planning Policy (Sustainable Buildings) 2022 (the Sustainable Buildings SEPP).
Find with information and resources on the NSW Planning Portal, including for major precincts, to help assessors and applicants understand and comply with the standards.
Requirements for non-residential development
The sustainability provisions for non-residential development include:
- general sustainability considerations for all development, including water and energy efficiency and waste minimisation
- embodied emission measurement and reporting for all developments
- minimum energy standards for large commercial development, with energy performance to be verified after the building is occupied and offsets purchased for residual emissions
- minimum water standards for large commercial development
- certain developments to be ‘all electric’ or capable of converting to operate without fossil fuels by 2035.
The provisions apply to all new non-residential development with an estimated development cost of $5 million or more or alterations of existing buildings for non-residential use with an estimated development cost of $10 million or more. Exemptions relating to land use zones are described in Chapter 3.1 of the SEPP.
Energy and water
The energy and water standards and net zero requirements apply to large commercial developments including offices over 1,000 m2 of net lettable area, hotels and motels with 100 rooms or more and serviced apartments with 100 apartments or more. The energy and water requirements align with the National Australian Built Environment Rating System (NABERS). NABERS have developed Agreements to Rate to support applicants to meet the standards.
Net zero
Certain state significant development, with health, education and cultural uses, also need to meet the net zero provisions. The Net Zero Technical Note (PDF, 146 KB) explains how to prepare a net zero statement. The statement must be verified by a mechanical or electrical engineer.
Embodied emissions
We have collaborated with NABERS to establish the embodied emissions reporting process for all non–residential development, using either the NABERS Embodied Emissions Material Form (EXCEL, 5 KB) or the NABERS Embodied Carbon Tool. Both integrate the NABERS Embodied Carbon Calculator to quantify upfront cradle–to–gate embodied emissions across life–cycle stages A1 to A3.
The Materials Form must be verified by a suitably qualified professional. Where the Carbon Tool is used, a declaration is also required identifying the person certifying the material quantities and data. The completed Materials Form or Carbon Tool output must be uploaded to the NSW Planning Portal at both the development application and construction certificate stage.
The Embodied Emissions Technical Note (PDF, 149 KB) further explains the reporting process.
NABERS have also included embodied emissions in the Agreements to Rate as an option for large commercial developments that wish to demonstrate leadership in decarbonisation.