Paving the Way for Environmentally Sustainable Design Practices

At Orion, we acknowledge the importance of sustainable design practices. As a result, it’s an increasing priority for our team to stay abreast of new technologies and engineering solutions in this area.

With the introduction of the Australian Government’s new Environmentally Sustainable Procurement (ESP) Policy in July 2024, there’s a clear signal that sustainability isn’t just a ‘nice-to-have’ anymore. It’s an essential part of project development, especially in the construction sector.

In response, we’ve started the process of reviewing and refining our sustainability practices to develop a comprehensive framework that will guide our future projects.

What is the ESP Policy?

The ESP Policy is all about raising the bar on sustainability. Think of it as a way to ensure projects are built with the future in mind – with an emphasis on Green Star/IS Ratings, sustainability planning, and regular reporting on environmental performance.

From July 2024, it requires certain government contracts in construction (and soon other sectors) to meet specific sustainability criteria, like reducing emissions, using resources more efficiently, and promoting circular economy practices.

Importantly, for most of us is that it only applies to:

1)    Government contracts, and the

2)    Procurement of construction services exceeding $7.5 million.

We don’t need to worry about it then, right?

While the immediate impact of the new ESP policy will only impact of a handful of projects, it does hint at the trajectory of potential future policy changes. This policy will push the industry towards more sustainable practices and innovation, and we’re already thinking ahead.

We know that by 1 July 2025, Phase 2 will include more procurement categories, with more detailed reporting and performance obligations. With further phases anticipated and still under consultation, these developments are expected to drive further sustainability innovation and compliance across the industry.

Looking Ahead to Environmentally Sustainable Procurement

Right now, we’re conducting a company-wide review of our business units to identify key areas and opportunities for improvement, and how we can incorporate innovative strategies to better meet the changing nature of sustainability standards.

We’re anticipating that these large scale policy changes will eventually find their way into development consents and standard practice. Therefore, we see this as an opportunity to future proof our operations and better serve our clients.

We’ll be keeping our clients and friends of Orion updated as we move forward with our findings and the new practices we implement to enhance sustainability across all our projects.

What We’ve Learned So Far

We’ve identified some key challenges that developers, contractors, and designers will face as they work to align with more stringent sustainability metrics.

• Supply chain complexity: In a world where significant supply chain challenges already exist, there will need to be even greater oversight to ensure material and waste management standards are met.
• Cost of Compliance: The requirement for Green Star/IS Ratings and the use of sustainable materials could lead to increased costs as implementing new sustainability practices may require upfront investment.
• Innovation and adapting new technologies: Keeping pace with, and adapting to, rapid technological advancements could be onerous for smaller entities with less resources.
• Data Collection and Reporting: Some companies may find it difficult to collect reliable data, particularly Scope 3 emissions, and this could lead to issues with accurate reporting.
• Policy Integration: There are already several policies and standards to consider in the strategic design phase, and at least in the initial stages, aligning these existing policies with any new policies could be a time consuming activity.

It’s interesting to see a material that’s already impacting on the development supply chain is low carbon or blended concrete. Blended concretes are designed to reduce the carbon footprint of traditional concrete. It helps developers meet sustainability goals, such as Green Star certification, by lowering CO2 emissions during production. However, increased demand for these eco-friendly alternatives has created some issues, such as inconsistent availability, higher costs for transport, and sourcing of fly ash or GGBS leading to delays or increased project expenses. It goes to show how important it is for developers to carefully manage supply chains and anticipate potential disruptions.

Considering Sustainability in the Strategic Design Phase

Incorporating sustainable practices in the strategic design phase is about making smarter choices that benefit both the environment and project outcomes. For our clients looking to achieve Green Star / IS ratings and net-zero carbon emissions, the benefits speak for themselves:

• Minimising environmental impact by considering energy efficiency, waste reduction, and sustainable materials from the outset to help reduce the overall environmental footprint of a project.
• Cost savings when integrated early as sustainable practices avoid the need for costly retrofits later in the project. This helps reduce the project costs and also avoid expensive modifications to meet future environmental regulations.
• Ensuring compliance assures that a project meets the regulatory requirements and certification standards, like Green Star, and reduces risk associated with non-compliance.
• Optimising resources which promotes the efficient use of materials, energy and water use, and aligns with circular economy practice and the reuse of resources where possible.
• Aligning stakeholders’ commitment to sustainability helps to bring together the expectations of clients, investors, and local communities, resulting in greater buy-in and support from all stakeholders.
• Reduction in social and wealth stratification, inequity and other roots of conflict by increasing access to basic needs.
• Sequestering more carbon and producing more energy than what is used in construction and operation.

Best Practices We’re Already Using

From the initial design stage through to final completion of a project, sustainability has always been a key focus in every civil design we do. The design phase is the ideal time to incorporate sustainability principles, and below are some of the sustainable design elements we focus on:  

• Urban Heat Island Mitigation – Orion primarily looks to address UHI impacts through achieving Tree Canopy Cover targets. With the development of smaller lot frontages comes more challenges, the importance of providing trees along driveways, bin collection areas, service areas, and near stormwater pits cannot be overstated. Introducing as many trees as possible into a design helps reduce the Urban Heat Island effect and improves air quality.
• Water Sensitive Urban Design (WSUD) – WSUD plays an important role in enhancing stormwater quality through the integration of features such as raingardens, bio-retention basins, and permeable surfaces. We recognise the value of WSUD elements in promoting biodiversity and passive irrigation, which supports a more sustainable urban environment.
• Street Connectivity and Road Network Design – Our cities’ road network design significantly impacts socio-economic factors such as crime rates, physical wellbeing, and general liveability metrics such as proximity to open space and facilities.
• Sustainable Materials Selection – This includes using materials such as low-carbon concrete, as mentioned earlier. It can also mean the re-use of demolished materials on site, for example using the mulch of removed vegetation for landscaping.

Biodiversity and Ecology Preservation – We consider it best practice to retain existing natural features as best as possible from the outset. It’s important to use design practices that promote native species and habitats, respect Indigenous knowledge and land management principles, and listens to stakeholder feedback and community needs.

Collaboration is Key

Collaboration has always been a core value at Orion, we promote building strong relationships in everything we do. It makes sense, then, that we feel the same about collaboration being at the heart of delivering successful, sustainable projects.

When we work collaboratively with external stakeholders on site specific solutions it can open the door to fresh perspectives, promoting effective problem solving for complex sustainability challenges. Additionally, collaboration can help smooth the path to project approvals due to broader community support, especially when a project is designed with local sustainability desires in mind. By working together with all stakeholders on a clear objective, we aim to exceed both regulatory requirements and the expectations of the community.