Review of the Commercial Building Disclosure Program (CBD)
On 4 February 2016, The Minister for Resources, Energy and Northern Australia the Hon. Josh Frydenberg MP released the report on the Commercial Building Disclosure (CBD) Program Review.
The independent review, produced by ACIL Allen Consulting, found the program to be a successful and effective way of delivering significant benefits at a minimal cost to industry and government. The review concluded the program has delivered $44 million in benefits over the last four years by assisting to improve the energy efficiency of Australia’s large office buildings.
The report highlights a number of key findings and recommendations:
- The Commercial Building Disclosure Program is an appropriate program that complements a suite of related government policies and programs, and should continue.
- The CBD Program has been effective in inducing positive behaviour change in relation to commercial building energy efficiency in affected buildings, resulting in significant benefits.
- The CBD Program remains the principal Commonwealth Government program for driving energy efficiency improvements in the office sector.
- The focus for the CBD program should remain on office buildings.
Minister Frydenberg agreed that the CBD Program will continue and consideration would be given to the recommended regulatory changes to the program that is projected to deliver an additional $13 million in energy efficiency benefits by 2028 and streamline industry regulatory obligations. The proposed changes to the program include:
- Lowering the threshold for mandatory disclosure of energy efficiency information on buildings from 2000 square metres to 1000 square metres to capture smaller office buildings; and
- Extending the certification validity period for the energy efficiency office lighting assessment, known as a tenancy lighting assessment (TLA), from one to five years.
In March 2016, the Department of Industry, Innovation and Science undertook a public consultation on the proposed changes.
On 21 June 2016, Minister Frydenberg announced that the proposed regulatory changes to the CBD program will be implemented on the following timeline:
- The mandatory disclosure threshold will reduce to 1,000 square metres from 1 July 2017, providing a transition period of one year; and
- The validity period for TLAs will be extended from one to five years and will take effect for all new TLAs submitted from 1 September 2016.