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Rule changes to NSW’s Energy Savings Scheme  (ESS) will provide more incentives
for HVAC&R upgrades and simplify the NABERS rating method.

Rule changes to the ESS, which will directly affect the HVAC&R and building services industries, will commence on April 1 this year.

Industry consultation began last year and included a forum in November inviting participants to make submissions to the NSW government, which closed on December 11.

The NSW government is proposing wide-ranging changes to the scheme, which provides financial incentives to businesses that save energy by installing, improving or replacing equipment.

This includes building retrofits and HVAC&R upgrades, with the government seeking to provide more opportunities for business to access the scheme and to remove unnecessary red tape.

Since the ESS was introduced in 2009, the government has helped more than 17,000 businesses assess their energy use.

ESS is part of the government’s 10-year plan dubbed “NSW 2021”, which aims to realise annual energy savings of 16,000 gigawatt hours (GWh) by 2020.

Since 2009, ESS has secured over 5400 GWh of electricity savings to be delivered over the life of implemented projects.

The scheme encourages homeowners to replace old air conditioners and fridges, and for businesses it usually involves optimising building management systems and undertaking HVAC&R upgrades with newer energy-saving technologies.

“For businesses, the most common energy saving opportunities are in lighting, air conditioning, compressed air units and refrigeration,” a Department of Energy spokesperson said.

“The changes proposed in the department’s consultation paper aim to enhance the ESS to realise more of these cost-effective opportunities, and contribute to government actions to limit the impact of the sharp increases in the cost of electricity bills and reduce pressure on future price rises.”

While the scheme is encouraging householders to use more high efficiency appliances and to retire old fridges and freezers, the government is keen to broaden energy saving opportunities for businesses.

As part of this, the government has identified ways to improve the NABERS method so that it is easier to use.

Over 450 buildings in NSW have a current NABERS energy rating but many more are eligible and take-up has been slow.

For example, the current method only provides incentives for one-off building retrofits rather than continuous improvement.

The government has identified administrative issues to improve NABERS and simpler ways to calculate savings.

This includes new deemed savings for commercial refrigeration, packaged air conditioners and chillers.

The proposed saving methods and how they apply to chillers, compressors and other equipment is outlined in the ESS consultation paper ,which also supports lowering ESS accreditation and compliance costs.