What is Compare My Build?

An interactive comparison platform for home buyers to evaluate builders, plans, and inclusions in their region side-by-side.

What is a 7 star NatHERS energy rating?

NatHERS (Nationwide House Energy Rating Scheme) rates homes from 0–10 stars based on modelled heating and cooling energy use. NCC 2022 introduced a 7-star NatHERS benchmark for new homes, with commencement dates and jurisdictional variations differing across Australia. The previous minimum under NCC 2019 was 6 stars.

Does meeting the 7-star benchmark cost more to build?

It can, but there is no reliable Australia-wide fixed premium. Cost depends on climate, orientation, the starting design and the measures needed for compliance. Passive-design changes can sometimes improve the rating with little material cost, while other projects may need higher-spec insulation or glazing.

What makes a home achieve 7 stars?

Common measures include improved ceiling insulation (R5.0+), bulk wall insulation, double or triple glazed windows, draught sealing, better building orientation, and efficient mechanical systems.

Is 7 stars mandatory now?

Not as a blanket rule for every new home in Australia. NCC 2022 introduced a 7-star thermal-performance benchmark, but adoption dates, state and territory variations and alternative compliance pathways differ. In Queensland, for example, most houses and townhouses require 7 stars, while eligible small homes can use a 5-star pathway and eligible raised-floor houses can use a 6-star pathway under QDC 4.1.

Free for home$Spot costly upgradesCompare real builder

Free for home buyers$Spot costly upgradesCompare real builder inclusions

Home›Build Knowledge Hub›Building Process›Energy Efficiency›7 Star Energy Rating Explained

Energy Efficiency

7 Star Energy Rating Explained

What the NCC 2022 7-star NatHERS benchmark means for new homes — including state variations, compliance pathways and what to check with your builder.

5 min·Compare My Build — Independent Resource· Updated September 2026

Introduction

NCC 2022 increased the residential thermal-performance benchmark to 7-star NatHERS (Nationwide House Energy Rating Scheme), up from the previous 6-star minimum. Commencement dates, jurisdictional variations and some permitted compliance pathways differ across states and territories. This has direct implications for what your builder must include and how much your home may cost.

Feature	6 Star (Previous NCC Benchmark)	7 Star (NCC 2022 Benchmark)
Ceiling insulation	R4.0 typical	R5.0–R6.0 typical
Wall insulation	Optional in some climates	Required in most climates
Windows	Single glazed	Double glazing may be required
Draught sealing	Basic	More comprehensive
Heating/cooling demand	Higher modelled load	Lower modelled load — amount varies by climate and design
Build cost impact	Historical baseline	Project-specific — design, climate and compliance pathway matter

Pros

+ Lower modelled heating and cooling demand than a comparable lower-rated design
+ More comfortable homes — better temperature stability
+ Can reduce reliance on heating and cooling systems
+ Higher thermal performance can improve long-term energy efficiency

Cons

− Cost impact varies by design, climate and the measures needed to comply
− Requires careful design and compliance — more complexity
− Some legacy builder designs may need redesigning to comply
− A 7-star rating does not by itself predict your actual household electricity bill

Cost Comparison

NCC 2022 thermal benchmark7 stars in many jurisdictions, subject to local variations

Compliance measuresDesign-specific — insulation, glazing, shading and orientation all interact

Actual bill savingsVaries by climate, household use, appliances and tariff

NCC 2022 sets a 7-star thermal-performance benchmark, but jurisdictions can vary the requirements or allow alternative pathways. Confirm the rules that apply to your project.

Common Builder Inclusions

›Builders must meet the residential energy-efficiency requirements that apply in the project’s state or territory, including any local NCC variations
›Typical measures: R5.0+ ceiling insulation, bulk wall insulation, improved glazing
›Some builders use orientation and design to achieve 7 stars without premium glazing
›If your project uses a NatHERS software pathway, ask for the NatHERS certificate and confirm it matches the approved design