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The major has become the latest lender to join a government-backed trial that will see the energy rating scheme extended beyond new builds.
Westpac has become the first big four bank to join the government’s trial of the Nationwide House Energy Rating Scheme (NatHERS) for existing homes.
The NatHERS initiative offers home energy ratings to help households better understand their home’s energy performance, identify cost-effective upgrades to improve comfort, and reduce energy bills.
From 31 March, select Westpac customers applying to refinance or top up their mortgage could be invited to take part in the trial.
Trial participants will receive a free home energy rating certificate from an assessor to identify where energy efficiencies can be made and inform home improvement plans for energy savings and increased comfort.
The trial will be conducted in collaboration with the Australian government, the Commonwealth Scientific and Industrial Research Organisation (CSIRO), and property valuer Opteon.
Customer trials will involve gathering insights for a smoother rollout of energy ratings across existing housing by government and industry, once the expanded scheme launches from mid-2025.
Commenting on the trial’s expansion, Westpac managing director of mortgages James Hutton said: “Westpac has been an advocate for the expansion of the NatHERs scheme to include existing homes and we’re proud to be the first major Australian bank to participate.
“Our partnership will expand the reach of the program to more Australians seeking to make sustainable choices.
“This trial will give some of our customers the opportunity to be among the first homeowners in Australia to receive a trial NatHERS assessment for an existing home, and assess where energy efficiency improvements could be made to save on power costs.
“This collaboration will not only help to improve energy efficiency, it will also help our customers understand how they can reduce household energy bills.”
Push to boost home energy efficiency
The trial extending NatHERS to existing homes was first announced by Assistant Minister for Climate Change Josh Wilson in February.
First introduced in 1993 for new homes and major renovations, the trial is part of the government’s commitment to expanding NatHERS beyond new builds.
NatHERS currently provides a standardised rating of the energy efficiency of new homes on the basis of design, materials, construction, fixed appliances, and on-site energy generation and storage.
The program gives new homes an energy rating between 0 and 10 stars, with most jurisdictions setting 7 stars as the benchmark for new builds.
But the extended NatHERS would apply this rating to existing builds, with around 70 per cent of Australia’s 11 million existing homes estimated to have a 3-star or lower rating.
ING was the first lender to join the trial back in February.
[Related: ING becomes first bank to join NatHERS trial]
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