Designing for climate: the future for Australian homes
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Before mechanical air-conditioning Australian homes were designed around a few core principals which enabled them to naturally respond to seasonal climate changes. These traditional practices are now being revisited as rising energy prices are drawing people to home designs which reduce the amount of energy needed to keep comfortable inside our homes all year round.
“Passive design” is the name of these traditional building design practices. They are also included in the Home Energy Rating software used for the energy efficiency compliance standards for all new homes in Australia under the National Construction Code. They are a wonderful place to start, along with key energy efficiency inclusions and energy generation and storage when considering a new build, a renovation or looking at an existing home on the market to buy or rent.
“Passive design” utilises a house’s layout, materials, and natural elements (such as sunlight and airflow) to regulate temperature with minimal energy use. Incorporating simple changes, like adding external shading or cross-ventilation pathways, can deliver a more comfortable home and reduce your energy use – keeping your home warmer in winter and cooler in summer.
These design principals provide a great baseline in a property which can be further enhanced with mechanical heating and cooling like split system air-conditioning as well as energy efficient hot water systems.
In this article, we’ll explore how these design principles can help you create your best home.
Passive design versus active design
As the name implies passive design is just an aspect of good building design that enables the property to naturally respond to seasonal temperature changes with ease.
Active design elements require you to bring them to switch them on in different seasons, like air conditioners or mechanical ventilation systems that control your home's temperature. These systems require energy so it’s important to purchase the most energy efficiency versions. (Make sure you look at the energy efficiency label on the appliance which will provide important information for you). These mechanical heating and cooling options offer more precise climate control, which can be beneficial in hotter or colder months.
Many energy efficiency design features require an active user, such as external shading which may need to be manually rolled out or switched on in summer and rolled back in winter
Passive Design Principals
Passive design utilises natural elements like direct sunlight, airflow, and building materials (referred to as Thermal Mass) that absorb, store and re-release heat and coolness when the air temperature changes.
A hybrid approach is the “sweet spot” which combines passive design and active temperature control for greater efficiency. For example, a well-insulated home with strategically placed windows and the right shading can reduce the need for heating or cooling but may still require the use of an energy-efficient reverse cycle air conditioner in the hotter months or in the middle of the day.
How does passive design work?
Passive building design is often broken up into seven elements. Orientation of a building to the north for solar access is the starting point. The other six elements of passive design — spatial zoning, thermal mass, ventilation, insulation, shading and glazing — can then be used to create homes that require minimal active heating or cooling.
They can assist you in retaining warmth during cooler months while reducing heating in warmer locations or seasons. and more are used to maintain a comfortable indoor temperature in your home, all while using less energy.
How passive design can help you design for climate
Passive design keeps homes warm by utilising the direction of the sun's path across a property at different times of year and key structural architectural elements.
For most of Australia, north-facing windows allow low winter sun to enter and naturally warm the interior spaces of your homes and with the right shading the high summer sun is kept out of the home in summer. Certain building materials such as brick, stone, and concrete slabs correctly placed are able to absorb heat during the day and release it at night when it's cooler – this is called thermal mass.
In hot inland areas like western NSW, passive cooling features such as deep eaves, cross-ventilation, and reflective roofing are essential.
However, in coastal locations like the Northern Beaches which have the advantage of cool sea breezes, cross ventilation pathways and ceiling fans may be enough to maintain a comfortable temperature for most of the summer months.
Design principles behind passive design
Passive design relies on five key principles to create comfortable, energy-efficient homes that minimise the use of mechanical heating and cooling systems.
Principle One: Thermal Insulation
Insulation in your walls, ceilings, and floors prevents heat loss in winter and keeps your home cool in summer.
Even with the best passive design features, you will lose some retained temperature if your home has poor insulation. This is why proper insulation is one of the cornerstones of passive design.
Source: Your Home [2]
Principle Two: Passive House Windows or Window glazing
Double or triple-glazed windows reduce heat loss in winter and heat gain in summer.
Up to 40% of a home's heating energy can be lost and up to 87% of its heat can be increased through windows. [4]
Source: YourHome [5]
Principle Three: Natural Ventilation
You can create cross-ventilation pathways by placing windows on opposite or adjacent walls to catch the coastal breeze or let in the evening southerly. This technique allows fresh air to flow through your home
Principle Four: Airtightness
It’s no secret that sealing gaps around doors and windows prevents unwanted drafts and improves energy efficiency. Airtightness goes hand-in-hand with good insulation, as once your home reaches the ideal temperature, you don’t want it to leak through the walls and windows.
Air barriers help create a continuous seal, preventing unwanted drafts and enhancing energy efficiency.
If you are wanting to make your home or investment property more comfortable, then making sure to seal all the air leaks is a great low-cost way to begin. This ensures the air you’re heating and cooling isn’t escaping which will result in much higher energy bills that you need to have.
This image shows all the places where air leaks can occur in Australian homes.
Principle Five: Thermal mass
Materials like brick, concrete, and stone absorb and store heat during the day, releasing it when temperatures drop to maintain a stable indoor climate.
In Australia, thermal mass works best in regions with large temperature fluctuations, like inland NSW.
Other Considerations
External Shading
Eaves, pergolas, outdoor blinds, and well-placed trees are a must for keeping the direct sun off your home. Proper shading devices block the summer heat while letting in that much-needed winter sunshine, making your home more comfortable year-round without needing to rely on your AC.
Orientation
Where you place your home and windows matters. North-facing windows capture the winter sun, while smart shading helps block out the summer heat.
Optimising a home’s orientation during the planning stage can reduce reliance on artificial heating and cooling, significantly improving long-term energy efficiency.
Source: Your Home [1]
What are the benefits of passive design?
Investing some time and money into passive design strategies (for new builds or existing homes) will make your home more comfortable and energy-efficient. Here are a few benefits to expect as a return on your investment.
Increased comfort
Can you put a price on comfort? Luckily, you won’t have to, as you’ll save money, all while making your home more comfortable to live in.
Homes which use passive design principles stay warmer in winter and cooler in summer, providing a stable indoor climate. This means fewer hot summer nights and cold winter mornings.
Better indoor air quality
Natural ventilation reduces humidity, mould, and pollutants, creating a healthier living environment. This is a key consideration for every homeowner and renter, but especially for families, people with health issues, and retirees.
Lower energy bills
Lower energy consumption means lower energy bills. Consider the potential savings from passive design and weigh the initial investment against your future savings.
Property value
A passively designed building not only enhances comfort and reduces energy costs, but also makes your property more attractive to future buyers. It’s a great way to add value to your home, as well as making it more efficient.
Less impact on the planet
Passive homes have a smaller carbon footprint, lowering greenhouse gas emissions using energy-efficient principles rather than mechanical systems.
Passive design considerations for different climates
Australia has many climates, so there is no one-size-fits-all way to implement passive design in your home. It’s best to design or renovate your home to suit your local conditions and distinct climate zone.
Here’s what you’ll need to consider in your region.
Northern Australia (tropical)
When it’s hot and humid, airflow is everything. To stay cool, your home in Northern Australia needs big windows for cross-breezes, high ceilings, deep eaves, and light-coloured roofs.
Central Australia (desert)
With a mixture of scorching days and freezing nights, homes will need thermal mass to soak up heat during the day and release it at night. Consider brick, stone and concrete. Shading and insulation also help maintain a steady indoor temperature.
Southeast and Southwest Coasts (temperate)
A mix of warm and cool seasons means balance is key. North-facing windows capture winter sun, shading prevents summer heat, and good insulation keeps things steady.
Southwest WA (Mediterranean)
Hot, dry summers and mild winters need shading, cross-ventilation, and thermal mass to keep things comfortable. Insulation will also stop the winter heat loss.
Southeastern New South Wales (alpine)
Cold winters mean you’ll want to maximise natural warmth. Homes will need airtight insulation, double-glazing, and north-facing windows to capture the sun.
Getting passive design processes right for your climate means lower energy bills and a more comfortable home year-round.
Passive design is not the same as Passivhaus Certified
Australia's diverse climates have inspired innovative design solutions across the country. Although the names passive design and Passivhaus Certified are similar they are different. Passivhaus Certified is a design certification which was developed in Europe and is now available in Australia with more and more builders being qualified to deliver these very comfortable homes.
For a new home it’s a great option to consider. You may have seen this type of energy performance house design features on Grand Design. They are highly energy efficient homes which are incredibly airtight and under rigorous testing to be able to guarantee this.
Many of the principles of Passive House are common to passive design, though with some key exceptions.
A Certified Passive House must have:
- appropriate levels of thermal insulation
- a design that reduces thermal bridges
- airtightness
- high-performance windows and doors
- mechanical ventilation with heat recovery.
Source: Passive House Institute in yourhome
This design certification features the inclusion of a special mechanical heat recovery ventilation system which delivers continual circulated fresh air into the house.
You can find out more about PassivHaus Certified at the
The Australian Passivhaus Association
Examples of effective Certified PassivHaus design in Australia
Here are a few notable examples.
The Fern, Sydney
Tucked away in Redfern, Sydney, The Fern is Australia’s first Passivhaus-certified apartment building. Designed by Oliver Steele, it features triple-glazed windows, airtight construction, and structural thermal breaks, making it six times more energy-efficient than standard apartments.
With solar power, smart metering, and 24/7 filtered fresh air, The Fern offers a clean, quiet, and comfortable sanctuary in the city.
Source: Australian Passivhaus Association [6]
“Passivhaus projects combine the right amounts of insulation with good windows, optimised shading, air tight construction and reliable ventilation to ensure that buildings are healthy and comfortable for occupants now and into the future.”
- Andy Marlow, an architect and passivhaus designer at Envirotecture and Passivhaus Design and Construct.
Owl Woods Passive House, Victoria
Located in Victoria’s Macedon Ranges, Owl Woods is a fully Passivhaus-certified home designed for year-round efficiency.
Built with airtight construction, high-performance insulation, and triple-glazed windows, it maintains a stable indoor temperature with minimal heating or cooling.
The home also uses thermal mass flooring to absorb and release heat naturally and strategic window placement for passive solar gain, achieving a high energy rating.
Source: Australian Passivhaus Association [7]
Ferry Road House, Sydney
Nestled in Sydney, the Ferry Road House exemplifies innovative Passivhaus Certified design on a challenging, narrow site.
Despite being just 3.8 metres wide, this home maximises space and energy efficiency. Strategically designed to capture northern light and scenic views, it features a light-filled courtyard with a green wall, enhancing natural illumination and providing a serene environment.
This design creates a comfortable internal living space and significantly reduces energy consumption, showcasing the potential of passive design in urban Australian settings.
Source: Home World Design [8]
Summing up
“Homes that are more comfortable all year round, with less ongoing affordability are the new “value proposition” for Australian homes, and you can understand why. Cost of living rises have impacted everyone and it’s becoming more and more expensive to maintain a comfortable temperature inside your home all year round.
Upgrading with energy efficiency features which include good building design is the new capitalisation pathway for residential property. This aligns with the new financial sector risk frameworks and the new upgrade loan product available from the banking sector.”
Cecille Weldon, Director Weldocno Advisory, Cecille is Australia's foremost expert on residential energy efficiency + property marketing.
As energy costs rise and climate concerns grow, more Australians are embracing passive design to create comfortable, efficient homes, lowering their power bills and their carbon footprints. This voluntary standard for building energy efficient buildings is growing in popularity and changing the way we design and build homes.
If you're looking to buy or build a home with an intelligent design in mind, the experts at DiJones can help. Our team understands the value of energy-efficient properties and can guide you toward a house that’s built for the future. Contact us today to learn more.
FAQs
Does passive design work in high-density urban areas?
Yes! Passive design principles and PassivHaus Certified homes are relevant to urban settings. Innovative solutions (such as light wells and strategically placed windows in interior spaces and green roofs and external shading in outdoor spaces) can also be used to regulate temperature and maximise natural ventilation systems, even in apartments or townhouses.
Can passive design principles be applied to renovations?
Absolutely. Renovations can enhance energy efficiency by incorporating better insulation, double-glazing, solar heating, improved ventilation, air tightness, and external shading.
It’s actually very common for homeowners to gradually add passive design elements (such as double-glazing, the right external shading on the right sides of the property, or insulation) and select building materials to increase the comfort and value of their homes.
Does passive design eliminate the need for heating and cooling?
Due to high-temperature fluctuations in most parts of Australia, it might not be possible to make your home 100% naturally cooled and heated. However, a well-designed home can still significantly reduce your electricity consumption.
While a well-designed passive home significantly reduces the need for artificial heating and cooling, extreme climates may still require backup systems. However, these systems can be smaller, more efficient, and used far less often, reducing energy costs, improving energy ratings, and improving heat transfer efficiency.
What are the biggest mistakes people make with passive design?
Here are four common mistakes people and home designers make when trying to implement passive design.
- Poor orientation: Misplacing windows can cause overheating or inadequate winter warmth.
- Wrong type of external shading: In most of Australia the western sun is strong – this side of the home requires shading or screening that is parallel to the window. In the northern side you need the right depth of shading to match the height of your windows to ensure you get the winter sun but also block the summer sun.
- Missing the opportunities for airtightness: Gaps around doors and windows can let the ideal temperature escape.
- Over-relying on thermal mass: Without proper air flow through the house, heat that’s absorbed from the bricks or concrete or tiles can get trapped inside.
When looking for a home or buildings designed with passive design elements, it helps to have real estate experts who understand passive design to help you avoid these mistakes.
Sources
[1] Australian Government: Your Home - Orientation. Sourced 2020.
[2] Australian Government: Your Home - Insulation. Sourced 2020.
[3] Australian Government: Your Home - Ventilation and airtightness. Sourced 2023.
[4 and 5] Australian Government: Your Home - Glazing. Sourced 2023.
[6] Australian Passivhaus - The Fern. Sourced 2025.
[7] Australian Passivhaus - Owl Woods. Sourced 2025.
[8] Home World Design - Ferry Road House. Sourced 2025
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