Big boost for energy efficient homes
The Australian Government has announced a new $2 million program to provide affordable energy efficient housing to low income earners.
The government has allocated $2 million from the Clean Energy Finance Corporation’s budget for loans that provide energy efficient community housing.
The program is expected to contribute to the construction of 1000 homes over the next five years.
Community housing providers will also be able to access finance to retrofit existing buildings to improve energy efficiency for tenants. This may include switching to LED lighting, updating household appliances, installing solar panels and improving insulation.
Environment Minister Greg Hunt says the project is “one way we are making our cities more liveable”, while also “supporting the construction of energy efficient affordable housing for our communities”.
“This is a very practical way to drive down household energy costs, which can make a real and positive difference for low income families,” Hunt adds.
Glenn Byres, chief of Policy and Housing at the Property Council, has welcomed the new program.
“The property industry in Australia is the most sustainable in the world and this program will help us maintain that edge,” he says.
The Australian and New Zealand property industry was named world’s ‘green leader’ for the fifth consecutive year in the 2015 Global Real Estate Sustainability Benchmark (GRESB) survey.
“This program ticks a number of positive boxes in improving housing affordability, easing cost of living and reducing emissions,” Byres adds.
The Australian Sustainable Built Environment Council, of which the Property Council is a foundation member, has welcomed the decision.
“Given that Australia’s housing is responsible for 13 per cent of Australia’s greenhouse gas emissions, this is a good first step towards improving the country’s building stock,” says ASBEC President, Ken Maher.
The Australian Government had directed the CEFC to focus on cities and the built environment under its new Investment Mandate, which includes financing emerging and innovative renewable energy technologies and energy efficiency measures.
The CEFC’s latest Market Report: Financing Energy Efficient Community Housing identifies strong demand for new community housing over the next decade, with more than 200,000 approved applicants on waiting lists for social housing Australia-wide.
CEFC says this will require private sector investment of up to $15 billion over 10 years at current growth rates.