Passive House and the cost of living crisis
Australia is currently facing a cost of living crisis, with a significant proportion of the population struggling to keep up with the increasing costs of housing, energy, and other essential expenses. This issue affects people from all walks of life, including low-income earners, retirees, and even middle-class families. Unfortunately, the average house being built will still cost a small fortune to run, but building or renovating your new home to Passive House standards could be a potential solution.
For those that don't know, Passive House is a rigorous building standard where homes are designed to reduce the energy consumption of a building to a minimum while also maximising its comfort and indoor air quality. Originating in Germany, this design principle has gained widespread recognition and popularity worldwide, with thousands of Passive House buildings constructed globally. In Australia, Passive House Australia is leading the way in promoting and educating about this innovative building design principle.
But how does Passive House play a role in addressing the following living crisis issues? Let's look at three issues we are facing.
Rising energy costs: Energy costs have been consistently increasing in Australia, putting a strain on household budgets and contributing to the cost of living crisis. The average gas bill is 4x what it was in 2021
Housing affordability: The cost of housing in Australia has been steadily increasing, making it difficult for many people to afford a home. Building costs have increased by 30% over the last two years.
Healthcare costs: The cost of healthcare in Australia is also increasing, with many people struggling to afford necessary medical treatments and medications. In 2019-2020 Australia spent $205b on healthcare.
Rising Energy Costs
One of the key benefits of Passive House design is that it significantly reduces the cost of living for homeowners. Passive House buildings can maintain a comfortable indoor temperature with minimal energy consumption by using highly efficient insulation, airtight building envelopes, and energy-saving technologies such as mechanical heat recovery. Homeowners can then save money on their energy bills each month, freeing up more of their income for other expenses, especially if they pair it with solar.
Passive houses are designed to significantly reduce energy costs by using several fundamental principles:
Insulation: Passive houses are built with high-quality insulation in the walls, roof, and floor, reducing heat loss in winter and heat gain in summer, reducing the need for heating and cooling.
Airtight construction: Passive houses are designed to be highly airtight, preventing air from escaping and reducing the need for heating and cooling but also improving indoor air quality by using an HRV to bring in fresh filtered air.
Efficient windows: Passive houses use windows designed to provide high insulation levels and reduce heat loss in winter and heat gain in summer.
Passive solar design: Passive houses use passive solar design to take advantage of the sun's natural heating and cooling properties, reducing the need for artificial heating and cooling. This is achieved through carefully placed windows and shading devices, as well as the orientation of the building to make the most of the sun's energy.
By implementing these principles, passive houses can maintain a comfortable indoor temperature with minimal heating and cooling, leading to lower energy costs for homeowners. This reduction in energy usage also has a positive impact on the environment by reducing carbon emissions. We can tell you that our past clients who have followed these principles have reduced their energy consumption.
There have also been several studies and real-world examples in Australia that support the energy-saving benefits of passive houses. Here are a few:
A study by the University of Adelaide found that passive houses in Australia can reduce energy consumption for heating and cooling by up to 75% compared to conventional homes.
Passive House Australia, a non-profit organisation, has conducted several case studies demonstrating the energy savings of passive houses in Australia. For example, one case study showed that a passive house in Victoria used 80% less energy for heating and cooling compared to a conventional home of a similar size.
The New South Wales Office of Environment and Heritage has published several case studies of passive houses in Australia, including a passive house in New South Wales that used 80% less.
Housing Affordability
One of the biggest challenges is the initial cost of building a Passive House, which can be higher than traditional construction methods due to the use of specialised materials and technologies. However, it is important to note that the long-term cost savings and improved comfort and indoor air quality more than offset this initial investment. We understand that everyone has different financial constraints, but it provides a starting point for discussion.
Passive House requires a higher upfront cost, but Passive House looks to play the long-term game. For example, Passive House buildings are designed to be highly durable, with long-lasting materials and a focus on quality construction practices. This means that homeowners will likely save money on maintenance and repairs in the long term and avoid the costs associated with frequent renovations or replacements.
Passive House is a multigenerational building design approach that focuses on creating comfortable, healthy, and energy-efficient homes for many generations. While the benefits of Passive House design are clear, it is also important to consider the challenges that must be overcome to make this solution accessible to the wider population.
In comparison, standard builds may have a shorter lifespan as they may not have been constructed using the same quality materials or construction techniques as a passive house. They may also not be designed to be as energy-efficient with poor water/moisture management systems, which could lead to faster degradation of the building over time.
Another challenge is the need for more awareness and understanding of Passive House design among the general population. Despite the growing popularity of this design principle, many people still need to become familiar with its benefits and are hesitant to invest in this type of construction. This highlights the need for increased education and awareness-raising efforts by organisations like Passive House Australia, as well as the development of new financing options that make investing in Passive House buildings easier.
We also want to acknowledge that building a Passive House and renovating and extending it requires a significant financial commitment that not everyone can make. Everyone has a right to live in a healthy and comfortable home, which requires legislative changes to help the less fortunate. We believe all government projects such as schools and child care centres, health care centres, aged care centres, and hospitals should be built to Passive House standards.
Health Care Costs
We spend 90% of our time indoors, but unfortunately, most of us live in homes with poor air quality. Passive houses are designed to provide a comfortable and healthy living environment with excellent air quality, natural light, and a stable indoor temperature.
Living in a home with good air quality can have several benefits for one's health, including:
Reduced Risk of Respiratory Problems: Good indoor air quality can help to reduce the risk of respiratory problems such as asthma, allergies, and other respiratory infections. This is because homes with good air quality are free from indoor air pollutants such as dust, mould and other allergens that can trigger respiratory problems.
Improved Mental Health: Good indoor air quality can help to improve mood, reduce stress levels, and increase overall mental well-being. This is because fresh air and natural light can help to reduce feelings of fatigue, depression, and anxiety.
Improved Cardiovascular Health: Good indoor air quality can help to reduce the risk of cardiovascular disease by reducing exposure to indoor air pollutants that can cause heart problems.
Poor air quality can have several negative effects on health, including:
Respiratory Problems: Poor indoor air quality can increase the risk of respiratory problems such as asthma, allergies, and other respiratory infections. This is because indoor air pollutants such as mould, dust, and pet dander can trigger respiratory problems and exacerbate existing conditions.
Cardiovascular Disease: Poor indoor air quality can increase the risk of cardiovascular disease by exposing residents to indoor air pollutants that can cause heart problems.
Cognitive and Mental Health Problems: Poor indoor air quality can have a negative impact on cognitive function and mental health, with studies linking poor air quality to cognitive decline, depression, and anxiety.
The cost to Australia of respiratory, cardiovascular disease, and mental health is high, with estimates suggesting that the economic burden of these health issues is in the billions of dollars annually.
Respiratory Diseases: Respiratory diseases, such as asthma and chronic obstructive pulmonary disease, are estimated to cost the Australian economy over $7 billion per year in direct and indirect costs, including hospitalisations, medication, and lost productivity.
Cardiovascular Disease: Cardiovascular disease is the leading cause of death in Australia, with an estimated cost of over $6 billion per year in direct and indirect costs, including hospitalisations, medications, and lost productivity.
Mental Health: Mental health problems, such as depression and anxiety, are estimated to cost the Australian economy over $20 billion per year in direct and indirect costs, including hospitalisations, medications, and lost productivity.
These figures highlight the high economic and social cost of respiratory, cardiovascular, and mental health problems in Australia and the importance of taking a multidisciplinary approach to reducing the burden of these health issues. By creating healthy and comfortable living spaces, such as passive houses, that prioritise good indoor air quality, natural light, and stable indoor temperatures, it is possible to reduce the risk of these health problems and improve overall well-being, thus contributing to reducing the cost to the healthcare system.
Australia's cost of living crisis is a complex and pressing issue that requires a multi-faceted solution. While Passive House design is not the only solution, it has the potential to play a significant role in mitigating this crisis by reducing the costs associated with housing, energy, and other essential expenses. By promoting Passive House design, educating the public about its benefits, and addressing the challenges that must be overcome, we can help to create a more sustainable and affordable future for all Australians.
If you want to know more about what we do and build a Passive House or High-Performance home, please don't hesitate to reach out. We are builders located in Melbournes Inner West who continue to push the boundaries of a sustainable home. Shoot us a DM via Instagram or jump to the contact us section on our website to reach out to us and say hi!