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What is NABERS and why does it matter?

NABERS (National Australian Built Environment Rating System) started off in Australia, measuring how a building actually performs day to day—energy use, water use, indoor environment quality—rather than just theoretical or design-stage metrics. Over time, the methodology has spread internationally (including here in the UK) for one simple reason: it focuses on real-world performance and gives building owners a star rating, typically between one and six, to highlight how efficient and occupant-friendly a property truly is.

 

Why NABERS?

  • NABERS provides a recognised rating system, which can help market your building to tenants or investors.
  • Generally, the upgrades and strategies you adopt for a better NABERS rating cut your utility bills, so while there’s an upfront investment, this is often paid back longer term.
  • Good indoor air quality, stable temperatures, and well-designed lighting help keep people comfortable, leading to fewer complaints and better tenant retention.
  • As regulations tighten around carbon and operational efficiency, having a NABERS rating positions you ahead of the curve.

 

How to Achieve a Good NABERS Rating

 

  • The key is to think operations, not just design. Even a brand-new, highly engineered building can perform poorly if systems aren’t operated or maintained well.
  • Replacing outdated HVAC, re-commissioning your BMS (Building Management System), and adding better insulation or glazing can all increase your rating significantly.
  • Detailed monitoring helps you spot inefficiencies when they crop up. It also gives you the data you need to show benchmark and show improvements next time you reassess.
  • If the people using the building don’t adopt greener habits like switching off unused equipment, reporting comfort issues, it’s tough to keep performance high, so make sure this is considered in your leases (if you are a landlord), or briefed to your team (if you are a tenant).

 

When (and how) you can reassess

 

Unlike some ratings that focus on the building at the point of construction or a major refurbishment, NABERS can be, and typically is, reassessed throughout the building’s life. Building owners/managers can choose to review the rating every 12 months or so, allowing you to see how operational tweaks or occupant behaviour changes affect actual performance.

That ongoing re-evaluation is precisely what sets NABERS apart. It isn’t just a “you got 4 stars once, good luck forever” scenario. Instead, if undertake measures to improve the building efficiency, like refining your occupant engagement program, you can then measure the direct impact on your next NABERS rating. It keeps everyone motivated to maintain or improve the building’s efficiency beyond completion of the construction project.

 

Cost Uplifts & Payback

 

Older buildings may need substantial retrofits to meet a higher star rating, while newer stock might require fine-tuning rather than total overhauls. Here are some factors driving costs:

  • Scope of upgrades, for instance swapping out a few fan coil units is more cost effective than upgrading the entire heating system or building envelope.
  • The building age and condition -an older property might have deeply embedded inefficiencies – like minimal insulation or antiquated systems that call for major works.
  • Ongoing consultancy and certification – achieving and maintaining a high rating typically requires professional assessments regularly, but that’s also part of the benefit because you can keep pushing improvements rather than letting the building stagnate.

 

My take on it

 

I like that NABERS is about actual performance and not just design ambitions, which holds building managers accountable. Too often, accreditations can be seen as a ‘tick box’ exercise, and having the ongoing accountability helps to avoid this. NABERS is also highly suitable for refurbishment projects, where often other accreditations can become problematic. However, as with any major retrofit or refurbishment project, it is important to get cost advice early, and evaluate what options are available to help you achieve this rating before the design is developed to a concept and potentially inefficient designs are committed.

 

If you want to find out how NABERS might apply to your retrofit or refurbishment project, drop me a message. We’re always ready to crunch the numbers and help you map out the best path for your building’s ongoing performance.

About the author

What is NABERS and why does it matter?

David Shaw

Director at Torridon | Chartered Quantity Surveyor

Cost consultancy expert specialising in commercial refurbishment and fit-out projects

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