Industry

Businesses in the construction sector that are concerned about the effect of any downturn in the economy on their business should consider how they might be able to get a slice of the $90 million Green Building Fund, launched in 2008.

The Green Building Fund is one of three initiatives in the Federal Government’s $240 million Clean Business Australia initiative. The other elements are the Climate Ready Program and the Retooling for Climate Change Program.

Grants from the Green Building Fund will be used to retrofit commercial office buildings with more environment-friendly fittings, to help reduce energy consumption by commercial office buildings.

Although builders won’t generally bid for grants themselves, they will be the ones that will carry out the work on office buildings to make them more environment-friendly, which will offer a much needed boost too many businesses in the construction sector.

How to Get Involved

The Federal Government has announced it will make grants from the Green Building Fund in two streams. In the first stream, owners of commercial office blocks will be targeted to retrofit and recommission buildings to reduce energy use. Up to 50 percent of project costs will be refunded through the grant scheme, for projects with a value of between $50,000 and $500,000.

The second stream will target industry associations, with the view to encouraging them to develop education programs for people who manage office buildings. Grants of up to $200,000 are available, for up to 50 percent of project costs.

The first round of applications for the two streams closed on 15 January 2009.

Builders that are interested in taking advantage of this program should make contact with industry associations such as Master Builders Australia and its relevant state chapters to get more information about how to take advantage of the Green Building Fund.

Announcing the launch of the fund in early November 2008, Senator Kim Carr, Minister for Innovation, Industry, Science and Research said “eligible projects can include upgrades to office lighting and heating, ventilation and air-conditioning systems. Improved glazing and shading, or investment in monitoring equipment and control systems to improve the building's energy efficiency may also be covered.”

Senator Carr said: “I'm especially keen to encourage projects that involve small, lower grade buildings, where there is real scope for improvement. The program has been designed to support this.”

Retooling for Climate Change

Another government initiative that should help drive the construction sector in 2009 is Retooling for Climate Change, an initiative which supports small and medium-sized businesses undertaking manufacturing activities in Australia.

The program helps Australian manufacturers reduce their environmental footprint, through projects that improve the energy and/or water efficiency of their production processes.

The program provides grants of between $10,000 and $500,000, up to a maximum of a third of the cost of a project.

Again, although the initiative does not directly target the construction sector, it will be builders that will be carrying out the work to ensure the initiative is a success.

It’s a good idea for builders to become fully informed with green building techniques to be able to take part in this work.

Some of the skills that manufacturers will be looking for to carry out this work might include the ability to construct storm water capture and water recycling facilities, and the ability to install insulation systems and systems to recover waste heat.

Importantly, only small and medium-sized manufacturers will be able to apply for these grants, so it’s worthwhile developing relationships with small manufacturers to get in on this type of work.

A criterion manufacturers have to meet to be eligible for the grants is to have access to the appropriate skills to carry out these projects, so manufacturers will also be actively looking to build relationships with builders with the skills to carry out this work.

Builders who might be looking to get access to work in this sector should contact industry bodies such as the Australian Pump Industries Association, Thermal Insulation Contractors Association of Australia and the Association of Building Sustainability Assessors to start making links with manufacturers.

To develop relationships with these groups, it’s a good idea to take out a membership or associate membership of the relevant industry bodies and start attending chapter meetings. Advertising your services in manufacturers’ trade journals, for example Manufacturers Monthly, is also a great idea. Even radio advertising will help develop recognition of your brand.

“Retooling will have a dual benefit of tackling climate change and putting manufacturing businesses on a more sustainable footing," Senator Carr said when the initiative was announced.

"It is about better outcomes for the environment and greater efficiencies for our manufacturers, who must be part of our low-carbon future.

“Australian manufacturers are already responding to climate change by reducing their energy consumption while continuing to increase production and exports. This program will accelerate these efforts," Senator Carr said.

To access eligibility criteria and to get more information about how to become involved in these projects and to access application forms go to www.ausindustry.gov.au. Grants for the federal government’s green building initiatives are generally given in rounds, and it’s a good idea to check this site regularly to ensure you know cut-off dates for applications and to get the right information to complete application forms.

The first round of applications for Retooling for Climate Change closed on 20 October 2008. The next round of applications closed on 16 February 2009, with a subsequent round closed on 1 June 2009.