Based on information from NSW Fair Trading
Overview
In NSW, the tenancy agreement explains who connects electricity or gas and who pays for ongoing use. These services are usually not part of the rent. The agreement must clearly outline responsibilities for both landlords and tenants.
Who Pays for Utilities
Most tenants pay for electricity, non-bottled gas, oil and water usage when the property is separately metered. A separately metered property has its own meter that measures only what is used at that address and can receive its own bill. Electricity meters have an NMI, and gas meters have a MIRN or DPI. These numbers appear on energy bills and help match the meter to the correct property.
Understanding Separate Metering
A meter is considered separate when it only measures the supply used at the rental property. It must be installed correctly and must allow the supplier to issue a separate bill. If these conditions are met, the tenant is responsible for the utility charges linked to that meter.
Embedded Networks in Some Buildings
Many large apartment buildings, strata schemes, land-lease communities and retirement villages have embedded networks. These are private energy networks where the building owner or operator buys energy from a retailer and then sells it to residents.
Some meters inside embedded networks do not have an NMI, MIRN or DPI. They can still be treated as separately metered as long as they meet the other basic requirements. For tenancy agreements signed from 23 March 2020, landlords must state in the agreement when the property receives electricity or gas through an embedded network.
More information:
Australian Energy Regulator – https://www.aer.gov.au
NSW Energy and Water Ombudsman – https://www.ewon.com.au
Connecting Utilities and Contract Rules
When a supplier reconnects electricity or gas, a fee usually applies. Suppliers may also ask the tenant to sign a contract. Ending a contract early can bring extra charges, so tenants should allow their current contract to finish before signing a new one. Tenants must also keep payments up to date or arrange a repayment plan when needed.
Electricity and Non-Bottled Gas
The landlord pays for the installation and initial connection so that electricity or gas can be supplied. Once the service is active, the tenant pays for usage when the property is separately metered.
There are cases where the landlord must cover certain gas charges. If the property has gas available but no gas appliances and the tenant does not use gas at all, the landlord must pay the gas service availability charge. When a property is not separately metered, the landlord pays for electricity and non-bottled gas. Social housing follows different rules.
Non-Bottled Gas in Social Housing
Social housing tenants pay for non-bottled gas in properties without separate meters when the gas supply is used for a central hot-water system. The tenant must have an individual hot-water meter, and the charge is based on that meter and the method set out in the National Gas (NSW) Law.
Electricity Meter Repairs or Replacement
Landlords must pay for repairs or replacement of electricity meters, including advanced meters, when they are faulty, near the end of their life or identified through testing as likely to fail. This applies to tenancy agreements signed from 23 March 2020.
Bottled Gas Supply
The landlord pays for the installation and first supply or hire of bottled gas at the start of the tenancy. After that, the tenant pays for bottled gas during the tenancy.
Interference With Supply
Landlords or agents must not interfere with electricity, gas, water, telecommunications or other services. Interference is only permitted when necessary for safety, maintenance or repairs.
Access for Repairs
A landlord, agent or authorised tradesperson can enter the property to carry out repairs or maintenance. The tradesperson must have written approval from the landlord or agent. Tenants may request a copy of this approval before allowing entry.
Need Help Applying This to Your Investment Property?
If you are a landlord and would like guidance on how to apply best practices to your investment property, our team is here to help.
You are welcome to contact us at any time for clear advice tailored to your property and your responsibilities.