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Net Zero Statement 

Starting 1 October 2023

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Net Zero Development

"Net zero" refers to the balance between the amount of greenhouse gas emissions produced and the amount removed from the atmosphere. Achieving net zero implies that an entity is taking action to mitigate its impact on climate change by minimising or offsetting its greenhouse gas emissions.

As outlined by the NSW State Sustainable Buildings SEPP, a Net Zero Development is one that can achieve Net Zero operational emissions and is capable of not using on-site fossil fuels by providing adequate space to convert plant and equipment to operate on 100% renewable sources. Net Zero only targets operational and building emissions from on-site fossil fuels and electricity consumption.

 

 

 

Reaching net zero emissions | NSW Climate and Energy Action

 

Net Zero Statement

The NSW government's State Environment Planning Policy (Sustainable Building SEPP) 2022 SB SEPP has introduced net zero measures and reporting that will require developments to describe how a project will avoid dependence on fossil fuels and be capable of operating at net zero emissions by 2035.

A Net Zero Statement will be required to be submitted at the development application stage for large commercial developments (offices with a net lettable area of at least 1,000 metre squares, hotel or motel with at least 100 rooms and serviced apartments with at least 100 apartments). Certain State Significant Developments that have cultural, health and educational uses as specified in the SEPP will also require a Net Zero Statement.

Although a Net Zero Statement can be prepared by any qualified member of the design team (architect, designer, engineer) however it must be certified by a qualified mechanical or electrical engineer.

 

City of Sydney Requirements

The City of Sydney has introduced energy and net zero requirements for large commercial developments (offices, shopping centres and hotels) from 1 October 2023, and is due to be amended in the City of Sydney DCP.

From 1 January 2026, outlined large commercial developments in the City of Sydney will have to demonstrate they will be net zero energy for the first five years of operations, using 100% renewable energy through renewable energy sources (either onsite or offsite).

 

 

 


What is in a Net Zero Statement? 

The SB SEPP requires all affected developments to be fossil fuel-free immediately upon occupation or use. However, where fossil-fuel dependent buildings are used, a transition strategy must be provided to demonstrate how the development will operate fossil-fuel free by 2035.

The Net Zero Statement is approximately a 3-4 document that outlines the net zero pathway of the development identifying either the on-site fossil fuel usage and on-site/off-site renewable energy generation. The statement will also summarise energy efficient design strategies in the development and provide energy consumption and emissions calculations (if available).

Check out this Net Zero Statement Checklist from the NSW Department of Planning and Environment.

 

 

 

 

 

 

 

Abbreviations & Glossary

GFA: Gross floor area

GHG: Greenhouse gas emissions

HVAC: Heating, ventilation and air conditioning 

 

Emission Scopes:

A mechanism for classifying different sources of GHG emissions used in carbon accounting. There are three 'scopes':

Scope 1

Scope 1 covers direct emissions from on-site fuel combustion (e.g. diesel, natural gas and LPG).

 

Scope 2

Scope 2 covers indirect emissions from the consumption of purchased electricity, steam, heating and cooling.

 

Scope 3

Scope 3 covers indirect emissions from activities not owned or controlled by the reporting organisation, including the production of fuel, electricity transmission losses, embodied carbon in construction and maintenance (including materials and products) tenant energy consumption, waste treatment, water treatment and travel to/from the building.

Net Zero Checklist

Cover Letter
  • Project details and overview

  • Confirm if development is fossil fuel-free or requires a transition strategy

  • Certified and signed by a mechanical or electrical engineer

On-Site Fossil Fuel Usage

If development is fossil fuel-free:

  • Provide evidence of fossil fuel-free operations

If development is fossil fuel dependent:

  • Provide details of each fossil fuel system used and electrification transition strategy

Provide evidence the development will operate without fossil fuel by 2035 by confirming it:

  • Incorporates infrastructure or space for necessary infrastructure to transition - plant, equipment, ventilation etc
Energy Efficiency

Have energy reduction initiatives been described for the following?

  • Passive design features - building orientation, natural ventilation, insulation, glazing performance, air tightness etc
  • Technical design features - energy efficient HVAC and lighting systems, smart controls and occupancy sensors etc
Renewable Energy Generation and Storage
  • Have renewable energy or storage initiatives been described? - solar panels, photovoltaics, wind turbines etc
Estimated Energy Consumption if available
  • Estimated fossil fuel consumption per year
  • Estimated electricity consumption per year
  • Total estimated energy consumption per year kWh/y/mof GFA 
Estimated GHG emissions for energy use if available
  • Estimated direct (Scope 1) GHG emissions per year
  • Estimated indirect (Scope 2 and 3) GHG emissions per year
  • Total estimated GHG emissions per year

 

Net Zero Statement FAQ's

  • What is a Net Zero Statement?

    The Net Zero Statement is a document that outlines the net zero pathway of a development identifying either the on-site fossil fuel usage or on-site/off-site renewable energy generation. The statement will also summarise energy-efficient design strategies in the development and provide energy consumption and emissions calculations (if available).

  • When is a Net Zero Statement required?

    A net Zero Statement is required for large commercial developments are have a net lettable area of 1,000m2. Hotels and motels with at least 100 rooms and serviced apartments with at least 100 apartments will also need to submit a Net Zero Statement with their development application package. 

    In addition, certain state-significant cultural, educational, or health-related developments will also be required to provide a statement.

  • Who can sign off on a Net Zero Statement?

    Only qualified mechanical or electrical engineers can certify a Net Zero Statement.

  • What is included in a Net Zero Statement?

    A net zero statement will include:

    A Cover Letter and Certification from a qualified mechanical or electrical engineer.

    A detailed summary of On-Site Fossil Fuel Usage.

    Similarly, a summary of Renewable Energy and Storage infrastructure that will be a part of the development.

    An outline of Energy-Efficient Design strategies to minimise energy consumption in the development.

    If available, Energy Consumption and Emissions Calculations.

  • How can a Net Zero Statement help you?

    The NSW government's State Environment Planning Policy (Sustainable Building SEPP) 2022 SB SEPP now requires A Net Zero Statement to be submitted at the development application stage for large commercial developments.


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