Environmental Legislation impacts Commercial Property

The Protection of the Environment Operations Act 1997 (POEA) covers a range of regulations with regard to water, land, air and noise pollution and waste management. It is important to discuss your obligations with a solicitor as, in some cases, the oversight of environmental law carries serious fines. Even accidental non-compliance can result in unwanted prosecution and penalties.

Each person involved, including owners and managers, need to be aware of any environmental legislation that governs the particular property, and any work that might be conducted within or on that property. Individuals need to minimise their environmental impact by implementing preventative control measures. Managers and company directors can be prosecuted if they ignore the conventions or conduct themselves as though they are not ultimately responsible, so it is sensible to consult a professional and to keep up-to-date about the relevant legislative requirements.

As well as consulting a solicitor, it is wise to have a wide-ranging plan, including:

• environmental management
• staff training and supervision
• independent or government audits.

Energy Efficiency: Mandatory Disclosure from 1 November 2010
Under the Building Energy Efficiency Disclosure Act 2010, a company’s responsibilities regarding the Commercial Building Disclosure scheme (CBD scheme) commenced on 1 November 2010.
 
As well as office buildings being able to provide productive spaces for people to work, they are now expected to comply with legislation regarding environmental sustainability and reduced energy usage. In recognising this, DECC has partnered with Investa, City of Sydney, City of Melbourne and the Institute of Sustainable Futures to develop the Green Lease Guide which can be used by people when selecting office space.

The guide provides commercial tenants with advice about what to consider when selecting a building and designing an office interior in order to meet ‘greener’ demands. This Green Lease Guide can be downloaded from Green Lease Guide

Energy Audits

The NSW government will conduct an energy audit for commercial organisations to ascertain energy usage and provide business cases with payback periods and a plan for implementation of changes. These proactive measures can include technology upgrades and retrofits, improved maintenance procedures or staff retraining to bring about behavioural changes. Technical support is provided during the implementation phase by the resource efficiency contractor.

Government energy audits are worthwhile as they are cost efficient in the long-term; provide specialist advice and technical support; and develop a better understanding of energy issues and usage. These are topical issues with the proposed costing for carbon and for other environmental impact on the global agenda.

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• Business & Commercial Law
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