Updates to H1 Energy Efficiency Compliance Settings

MBIE has updated the H1 Energy Efficiency acceptable solutions and verification methods to improve clarity, flexibility and affordability.

The changes follow public consultation in late 2024/early 2025, which sought feedback on how H1 was working in practice, including compliance complexity, cost impacts and how well the settings aligned with modern building methods. Click here to read Property Council’s high-level submission.

The changes to H1 energy efficiency include:
  • More flexibility in insulation requirements with the Schedule Method being removed as a compliance pathway for insulation   
  • Clearer measurement rules, with the roof, wall and floor areas being measured using overall internal dimensions to ensure more consistency  
  • Improved modelling methods in H1/VM1 and H1/VM2 to better align with modern building practices  
  • New requirements to ensure thermal bridging from wall framing is more accurately accounted for  
  • Enhanced tools and tables for windows and slab-on-ground floors to cover more common building scenarios.  

The updated AS/VMs take effect immediately, and a 12-month transition period will run until 26 November 2026. Designers have a 12-month transition period to fully adopt the changes by that date.  

One of Property Council’s key submission recommendations was that any changes be supported by clear sector education, to enable a smooth transition and avoid unnecessary compliance and construction costs. We are pleased to see MBIE committing to work alongside the sector to ensure there is widespread understanding of the changes and how they will be implemented during the transition period. 

Author | Sandamali Ambepitiya

Sandamali arrived at Property Council with a Bachelor of Arts and Law, and experience as an advisor with the Employers & Manufacturers Association.

Conscientious and detailed, Sandamali leads our advocacy in the South Island and Wellington regions. She is also leading our work on the reform of the resource management and building systems and sustainability / seismic strengthening.

An excellent listener, Sandamali is in her element when facilitating stakeholders and members to develop our advocacy positions.

sandamali@propertynz.co.nz

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