The Northern Territory government is seeking industry feedback on potential changes to its energy efficiency provisions for buildings.
Following a local industry investigation in 2020 into the potential adoption of NCC Section J in the Northern Territory and in response to industry feedback, a cost benefit analysis has been conducted by energy-efficiency specialists DeltaQ. The analysis examines the impact of the potential adoption of either the energy efficiency provisions in the NCC 2016 or NCC 2019 from both private (owner-occupier) and social (NT economy-wide) perspectives.
The analysis concludes that:
- NCC 2019 significantly outperforms NCC 2016 under all scenarios considered.
- Building archetypes that are compliant with NCC 2016 cost 1.7–2.6 per cent ($59–72 per m2) more than the base case building in Darwin, and 1.3–2.1 per cent ($44–58 per m2) more than the base case buildings in Alice Springs.
- The cost of NCC 2019-compliant buildings was found to be 1.4–2.4 per cent ($57–81 per m2) and 1.3–1.7 per cent ($42–76 per m2) more than the base case in Darwin and Alice Springs, respectively.
- 6–27 per cent energy savings are available if NCC 2016 is adopted, compared to 13–40 per cent energy savings if NCC 2019 is adopted instead (NCC 2019 average energy savings of 23 per cent across all building archetypes in Darwin, and 29 per cent for Alice Springs).
- The adoption of NCC 2019 was shown to generate the largest greenhouse gas savings of 891,000 tonnes of CO2 cumulative over the modelled period from financial year 2023 to financial year 2070. Relative to the base case, the emissions savings associated with the adoption of NCC2019 and NCC2016 are 23.3 per cent and 12.3 per cent respectively.
- Under the expected or most likely scenario, from a social perspective NCC 2019 produces a net social benefit for the NT of $276 million (net present value). This is 2.7 times the net present value (NPV) associated with implementing NCC 2016 ($103 million). The benefit cost ratios (BCR) for adopting NCC 2019 and NCC 2016 were 3.6 and 2.0 respectively.
- From a private owner-occupier perspective, NCC 2019 will have a NPV of $295 million (BCR of 3.8) which is also 2.7 times larger than that of NCC 2016 (NPV $108 million at a BCR of 2.0).
The Northern Territory government is inviting industry feedback on the findings of the cost benefit analysis and what the adoption of NCC Section J could look like. To provide input, email firstname.lastname@example.org or send written submissions to GPO Box 1680, Darwin NT 0801.
To read the draft report NCC Section J in the NT – Potential for Adoption and NCC Section J Case Studies: Single-Storey Office Buildings Darwin and Alice Springs, click here.
Submissions close April 26, 2022.
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