TWO local builders have warned the cost of constructing a new home will increase under the Victorian Government’s new energy-rating compliance system that came into effect this week.
Larry Dimasi and Luke Tierney expect the regulation, where the minimum energy-efficiency building standards for new homes increase from six to seven stars, will lead to costs rising by about $20,000 on an average $600,000 build.
The changes add a new whole-of-home energy-use budget that includes fixed appliances such as heating and cooling, hot water and lighting.
A government spokesperson said the new rules would make homes cheaper to run, more comfortable to live in and more resilient to extreme weather.
While Mr Dimasi and Mr Tierney acknowledged the regulations would save homeowners money on electricity bills in the long term, they warned there would be an extra cost during the building process.
“Depending on the orientation of the house, there could be an increase where you’ve got double-laminated windows, additional insulation requirements in the walls, you will need a disabled ramp into the house and one of the bathrooms will now need disability access,” said Mr Dimasi, who runs Dolfen Developments.
Latest data from CoreLogic data shows that fewer people splurged on their dream home in the first quarter of this year, with dwelling approvals hitting a 12-year low across regional Victoria in January.
However, a Mildura-based building expert who does housing energy assessments across the country disputed the idea there would be cost increases for new, more energy-efficient homes.
En-rate’s John Fisher said there was a “clear solution” to keeping costs down.
“If you can get a designer to design a house that meets the seven-star rating, you can get it built for pretty much the same cost as now,” said Mr Fisher.
“If you’re building a massive house with lots of glazing, there might be extra costs, but it’s not as scary as many people think.”
