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The new SEPP - What it means for new school developments

Written by KPMG Origins | Mar 22, 2023 3:10:36 AM
Executive summary:

  • The new SEPP comes into effect as of 1 October 2023 and contains sustainability requirements for new NSW school buildings or refurbishments valued at over $10m.
  • To achieve planning approval, new school developments will need to quantify the embodied carbon emissions attributable to the construction.
  • For those schools considered ‘State Significant Developments,’ a plan to minimise the use of on-site fossil fuels must be demonstrated to gain approval.
  • KPMG Origins Asset Impact enables new school developments to measure, track and report embodied emissions from materials with trust and transparency.  

In August 2022 the NSW Government issued the State Environmental Planning Policy (Sustainable Buildings) to ensure future developments are more sustainable and help achieve the state’s net zero targets. 

The new SEPP comes into effect as of 1 October 2023 and contains provisions to tighten the sustainability requirements for residential developments. The Policy also introduces sustainability standards for non-residential developments. 

For residential buildings, BASIX requirements will increase, with the following key changes introduced:

  • Embodied emissions must be quantified and reported to the planning authority
  • Measurement of the NatHERS rating for improved thermal performance will increase from 5.5-6 stars to 7 7-11%

For non-residential buildings, the following provisions will be introduced:

  • All developments will be required to measure and report embodied emissions
  • Large commercial developments will need to meet minimum water standards. The energy performance of the building will need to be verified post-occupation and after offsets have been purchased for residual emissions
  • Large commercial development will need to meet minimum water standards
  • Certain developments will be required to be fully electric or able to be converted to fully electric by 2035

What does this mean for new school developments?

The SEPP will apply to new school buildings raised, or any NSW refurbishments valued at over $10m after 1 October 2023. 

Since new school developments typically do not include residential buildings, the exception being schools with boarding facilities, it is the non-residential provisions detailed in the SEPP which will apply to schools.

To achieve planning approval, new school developments will need to quantify the embodied carbon emissions attributable to the construction of the facility as well as demonstrate a design that enables:

  • Minimisation of construction and demolition waste
  • Reduction of peak electricity demand by using energy efficient technology
  • Reduction of reliance on artificial lighting and mechanical heating and cooling through passive design
  • Generation and storage of renewable energy
  • Metering and monitoring of energy consumption
  • Minimisation of potable water use
In addition, for those schools considered ‘State Significant Developments,’ a plan to minimise the use of on-site fossil fuels must be demonstrated to gain approval to proceed.

How can KPMG Origins Asset Impact help school developments meet embodied carbon obligations?

KPMG Origins Asset Impact is a market-led digital tool that enables new school developments to measure, track and report embodied emissions from materials with trust and transparency. 

Asset Impact was piloted in collaboration with the Office of the NSW Building Commissioner and School Infrastructure NSW. It is designed to support schools achieve their net zero targets and embodied carbon obligations under the Sustainable Buildings SEPP. 

Reach out to the KPMG Origins team for a product demo.