Turning Net Zero into Net Profit : Why Smart Buildings Are Winning From Australia’s Decarbonisation Push

Australia’s decarbonisation agenda is here, it’s legislated, and it’s reshaping how buildings are managed. The Climate Change Authority’s latest advice and the Government’s Built Environment Sector Plan make one thing very clear:

If your business requires HVAC, which typically accounts for around 50% of a building’s electricity use, your performance over the next decade will be judged on measured energy results and refrigerant stewardship, not vague commitments.

And you’ll be expected to deliver those results cost-effectively on the plant and equipment you already own.

Why this matters now

Targets are locked in. Australia has a legislated 2035 goal to cut emissions 62 to 70 percent below 2005 levels. The focus has shifted from plans to proof, you’ll be asked to show actual meter data and leak control, not promises.

For smart building owners, this marks the start of a measurable advantage, those who can prove efficiency and control refrigerant losses with hard data will lead the next decade of performance benchmarking.

The Government’s Built Environment Sector Plan (18 September 2025) boils it down to three practical levers:

1. Run what you’ve got better, lift operational efficiency and energy reductions on existing plant.

2. Be transparent in reporting, disclose credible, measured energy performance.

3. Manage refrigerant gas losses, detect and prevent leaks and keep simple, auditable records.

Meeting these levers isn’t just about avoiding penalties, it directly influences your NABERS stars, asset valuations, and operational budgets. Early movers can show measurable savings and stronger returns to boards and investors.

Acronyms (plain English)

• NABERS Energy: Australia’s 0–6 star rating based on measured energy use.

• A CBD (Commercial Building Disclosure): requires a BEEC (Building Energy Efficiency Certificate) (includes the NABERS Energy rating) to be shown in advertising for large office sales/leases

• The Built Environment Sector Plan (BESP) is a strategic framework from the Australian Government aimed at achieving decarbonisation in the built environment.

Whats In Force Today

• For large premises (≈1,000 m² and above). You must hold a current BEEC and display your NABERS Energy rating in all sale and lease advertising. Non-compliance can attract penalties.

• All sites using HVAC/R (regardless of size). The HFC phase-down targets an 85% import reduction by 31 Dec 2035, with a residual cap from 2036. The regulatory focus is on minimising leaks and keeping simple, accurate records rather than replacing equipment early.

• What’s next. Expect disclosure requirements to extend to more equipment types and smaller assets over time. The compliance bar is steadily rising.

Three Key Challenges

These are directly tied to real regulatory requirements and policy directions from the Australian Government’s Net Zero Plan and Built Environment Sector Plan (BESP), plus related existing programs like NABERS, CBD, and the HFC phase-down.

Challenge 1 - Use Less Electricity

The new performance measurement standard is verifiable energy data. Investors, regulators, and tenants are demanding credible evidence that buildings are becoming cheaper and cleaner to run.

You’re required now to measure, benchmark, and disclose actual energy use, not just tick boxes. This is why establishing credible baselines, improving operational efficiency, and producing repeatable, auditable energy data is critical.

It’s not optional, it’s how compliance, NABERS stars and asset values are determined.

What needs to be measured under BESP

1. Daily kWh for a recent and baseline period, annotated with weather notes.

2. Peak demand records (e.g. “Max 420 kW on Wed 3–4 pm”) and whether they’ve improved over time

3. Implement and report on four to six clear operational changes: start/stop time adjustments, set point stabilisation, short cycling reduction, economy cycle improvements.

   
   

The blunt (and costly) response is to replace major plants early, an expensive and often unnecessary move. The smarter path is to optimise the systems you already have, tune HVAC control strategies, fix operational waste, and optimise performance before spending capital to replace HVAC equipment.

Challenge 2 - Manage Refrigerant Leaks

Small refrigerant leaks look harmless in isolation and over a short time period, but they blow out annual emissions and operating costs.

With HFC imports being phased down 85% by 2035, regulators expect simple, reliable leak prevention and record-keeping across all sites.

What needs to be measured under BESP

• Continuous unit health checks run over a one week period.

• Estimated refrigerant loss rates (kg/year) by gas type.

• Refrigerant leakage fix and re-test records.

• Quarterly refrigerant top-up summaries by asset (how much gas was replaced)

Challenge 3 - Keep it Consistent Across Sites

Climate targets aren’t achieved by one-off wins. You need season to season consistency and simple reporting frameworks that survive organisational (staff) changes and HVAC portfolio growth.

What needs to be measured under BESP (quarterly)

• Site-by-site table with % kWh change, peak kW change, and refrigerant check status.

• Two-page energy + one-page refrigerant summaries for every site.

• Upgrade trigger notes when optimisation plateaus or risk increases.

• A short 3–5 slide executive summary for leadership, backed by detailed packs on file.

How We Help

At Cresstec - our mission to serve our clients is simple

1. Cut avoidable electricity usage on the plant you already own.

2. Detect small refrigerant losses before they become big bills and bigger emissions.

3. Measure and report gains in a way that is easy to present to stakeholders.

How We Do This

HDAC - “HVAC Data Acquisition & AI Control”

• Retrofit now and defer equipment upgrades - HDAC installs on the plant you already own, so savings start now and the solution carries forward when you later upgrade equipment.

• Prove the savings - HDAC meters the entire HVAC system and every compressor and applies deterministic AI control, so you can show a clean before/after kWh chart and a simple peak snapshot for easy reporting.

• Smooth the operation and reduce faults - We optimise your systems operation with real-time monitoring. HDAC eliminates system issues such as short cycling and diagnoses faults so you get fewer call outs and longer asset life.

• Reporting that is quick and credible - Measured and metered data feeds simple, reusable reporting across sites means assessors and NABERS conversations are easier because the numbers are transparent.

REED - “Regulating Efficiency & Emissions Device” (includes HDAC)

• Catch tiny leaks early and cut (Scope 1) - REED’s precision sensing and fluidly connected design detects small refrigerant losses at pressure and can in the case of micro leaks mitigate until repaired to avoid repeated top-ups and emissions.

• Right charge for the actual load - Dynamic charge optimisation removes and returns refrigerant as conditions change, lowering compressor work and energy per unit of cooling.

• Simple CO₂-e records that pass scrutiny - REED logs gas type, kilograms, estimated CO₂-e, the fix and the re-test on a single page, giving you an audit-ready refrigerant story without a paper chase.

• Quick retrofit with minimal disruption - Two pipes per circuit and light power needs suit packaged units through large systems. Installs are fast and results roll up cleanly across sites.

💡 Ready to Get Ahead?

If you’re curious what kind of impact this could have on your sites, we’ll show you. Book a free site assessment and ROI calculation, and you’ll see just how short the payback period can be, often surprisingly quick.

It’s a simple way to get clarity, explore your options, and hear how we’ve helped other facility owners cut costs and hit their performance targets without unnecessary upgrades.

Turn your compliance goals into measurable returns. Learn more at Cresstec.com or schedule your tailored savings audit today.

References

Australian Government, Department of Climate Change, Energy, the Environment and Water (DCCEEW). (2025). Australia’s Net Zero Plan. Canberra: DCCEEW.Available at: https://www.dcceew.gov.au/climate-change/publications/net-zero-plan (Accessed 17 October 2025).

Australian Government, The Treasury. (2025). Built Environment Sector Plan. Canberra: Treasury.Available at: https://treasury.gov.au/publication/p2025-698821 (Accessed 17 October 2025).

Australian Government, The Treasury. (2025). Australia’s Net Zero Transformation: Treasury Modelling and Analysis. Canberra: Treasury.Available at: https://treasury.gov.au/publication/p2025-700922 (Accessed 17 October 2025).

Climate Change Authority (CCA). (2025). Emissions Reduction Plan. Canberra: Climate Change Authority.Available at: https://www.climatechangeauthority.gov.au/emissions-reduction-plan (Accessed 17 October 2025)