MSC Quarterly: The Clause 55 Changes & Their Impact on ESD
- admin792320
- Mar 25
- 3 min read
Updated: May 5

Why These Changes Matter
Victoria’s Amendment VC267 brings significant updates with Clause 55, increasing Environmental Sustainability Design (ESD) requirements for residential developments up to three storeys. These changes seek to make sustainability a core element of town planning applications, ensuring a greener and more energy-efficient future.
🔎 What’s Changing in Clause 55?
1️⃣ Permeability & Stormwater Management (Clause 55.05-1)
Key Updates:
At least 20% of surfaces must be pervious for better stormwater absorption.
Compliance with EPA best practice guidelines, requiring:
80% reduction in suspended solids.
45% reduction in phosphorus & nitrogen.
70% reduction in litter.
Certification via STORM, MUSIC or other locally accepted tool.
✅ Impact on development: Improved water quality, reduced urban heat effects, and better stormwater management.
ESD Consultant's Opinion: The same compliance targets and assessment tools are being used for Stormwater Management. There are no changes proposed.
2️⃣ Overshadowing of Solar Energy Systems (Clause 55.05-2)
New Requirement:
Buildings must be setback to prevent overshadowing existing rooftop solar panels (9 AM - 4 PM on September 22).
✅ Impact on development: Protects solar investments, ensuring efficient energy generation.
ESD Consultant's Opinion: This clause will be a design consideration that Architects/Designers must integrate into their designs.
3️⃣ Rooftop Solar Panel Readiness (Clause 55.05-3)
Future-Proofing Homes:
New dwellings must allocate rooftop space for future solar panels:
1 bedroom – 15m²
2-3 bedrooms – 26m²
4+ bedrooms – 34m²
Must be north, west, or east facing, located in the top two-thirds of a pitched roof, and free of obstructions.
✅ Impact on development: Enables easy solar panel installation, supporting Victoria’s renewable energy targets.
ESD Consultant's Opinion: This clause will be a design consideration that Architects/Designers must integrate into their designs. There is a high likelihood that some Council's will extend this requirement to include a Solar PV array as part of their ESD requirements.
4️⃣ Solar Protection for North-Facing Windows (Clause 55.05-4)
Reducing Heat Gain:
Mandatory north facing external shading (eaves, fixed shading, awnings) to reduce summer heat absorption.
Minimum shading depth: 0.25x the window height.
✅ Impact on development: Lowers air-conditioning costs and improves energy efficiency.
ESD Consultant's Opinion: This initiative is similar to the existing BESS credit for north shading devices that are already required in some Melbourne councils. This change is really mandating the North shading which will seek to increase the uptake of shading development in all Victorian Councils.
5️⃣ Waste & Recycling Facilities (Clause 55.05-5)
Better Waste Management:
Dedicated bin storage areas are now required:
Individual storage for dwellings – 1.8m²
3 dwellings or less (shared storage) – 5.4m²
4+ dwellings (shared storage) – 1m² per dwelling + 4m²
Apartment bin storage also have increased depth and height requirements.
✅ Impact on development: Reduces landfill waste and streamlines recycling.
ESD Consultant's Opinion: This clause will be a design consideration that Architects/Designers must integrate into their designs.
6️⃣ Noise Impact Mitigation (Clause 55.05-6)
Quieter Homes:
Mechanical plants (HVAC, lifts, etc.) must be away from bedrooms, unless noise barriers are installed.
✅ Impact on development: Enhances resident comfort and reduces noise pollution.
ESD Consultant's Opinion: This clause will be a design consideration that Architects/Designers must integrate into their designs.
7️⃣ Energy Efficiency for Apartments (Clause 55.05-7)
New NatHERS Cooling Standards:
Dwellings must comply with Clause 55.05-7 energy efficiency table values.
Ensures better thermal performance & lower cooling costs.
✅ Impact on development: Supports Victoria’s net-zero emissions target.
ESD Consultant's Opinion: This clause will require NatHERS preliminary energy ratings and will extend to developments that are designed as 'Townhouses' but are classified as 'Apartments' i.e. multi-unit developments with a common basement.
What This Means for ESD & Town Planning
These updates are the latest push to align with Victoria’s ESD Roadmap driving sustainable residential developments. While many changes impact architectural design, the most notable shift from ESD is the push for compulsory north shading and NatHERS Preliminary Energy Ratings for cooling load compliance.
Notably, there is no mention of the BESS tool or BESS compliance pathway. We may also notice a reduction in demand for a typical Sustainable Design Assessment (SDA) in residential developments.



