The Environmental Upgrade Agreement
Preston Rowe Paterson offer a number of sustainability services that assist owners in the Environmental Upgrade Agreement process, which gives existing commercial and industrial owners access to finance for environmental improvements.
Activities classified as an upgrade under the EUA include improving energy or water efficiency, reducing waste and greenhouse gas emissions, recycling, pollution prevention or reduction, renewable energy projects and reducing car use by encouraging activities like walking and cycling (NSW Government, Environment & Heritage). Within NSW; The City of Sydney, North Sydney Council, Parramatta Council and Wollongong Council have all adopted the program.
The Centre for International Economics reported that buildings are contributing to at least 23 per cent of Australia’s greenhouse gas emissions, so it’s no surprise the NSW government is encouraging building owners to take advantage of the finance model and upgrade existing buildings. By upgrading the sustainability of these buildings we can significantly reduce carbon emissions within Australia.
Evidence shows that sustainable upgrades result in long term financial savings, increase the buildings value and are more appealing for tenants; overall EUA’s offer a variety of benefits to the owner, tenant and local council.
- Building owners benefit by improved cash flow; the ability to pass repayment costs onto tenants; energy efficiency savings; improved asset value & NABERS rating and improved occupancy opportunities (LowCarbon Australia).
- Advantages to tenants include reduced day-to-day operating costs and energy bills, meeting demand for energy-efficient environments and a commitment to sustainability (LowCarbon Australia).
- Local councils demonstrate a commitment to the local environment and sustainability by offering EUA‘s; and continue to build strong community relationships (LowCarbon Australia).
Preston Rowe Paterson recognise the importance of preservation and the need to reduce our carbon footprint, as a result we exercise a variety of sustainability services. In house, we have undertaken numerous policies to ensure we are environmentally responsible and conscious; for example the introduction of online programs that reduce paper output. For our clients we offer feasibility studies and ultimately valuations along with:
- NABERS building upgrade option studies
- Green building valuations
- Green lease provision advisory
- Valuations of buildings subject to environmental upgrade agreements
- Valuations of buildings with Green Star ratings
- Green building outgoings assessments
- Cost/benefit studies and market analysis of green development
If you are considering upgrading a building under the Environmental Upgrade Agreement let Preston Rowe Paterson assist you in the process. For a confidential discussion, contact Greg Preston on 0408 622 400 or phone our office on 9292 7400.
Image source: NSW Government, Environment & Heritage.