Are you wanting to on-charge water usage to your tenant?
In NSW, you can only ask the tenant to pay water usage charges if the minimum criteria have been met. The minimum criteria that is required to be met in order to on-charge water usage to a tenant is as follows:
- The rental premises must be separately metered;
- All shower heads must have a maximum flow rate of 9 litres per minute
- All internal cold water taps and single mixer taps in kitchen sinks or bathroom hand basins have a maximum flow rate of 9 litres per minute
- All taps and toilets on the property need to be checked at the start of a tenancy and any leaks repaired
- Taps and toilets must also be checked whenever any other water efficiency measures are installed, repaired or upgraded and any leaks fixed.
- The charges must not exceed the amount billed for water usage by the water supplier;
- The landlord or agent can request payment from the tenant for water usage charges within 3 months of a bill being issued.
- The tenant is to be provided with a copy of the bill.
- The tenant must be given at least 21 days to pay the water usage amount owing.
As of 23rd March 2025, an additional requirement to the minimum criteria for the on-charge of water usage to a tenant outlined under the Residential Tenancies Act will come into place that all toilets are dual flush with a minimum 3 star rating in accordance with the WELS scheme. As such, leading up to this change, if the toilet cistern/s at your investment property require replacement, we recommend replacing them with a dual flush with a minimum 3 star rating in accordance with the WELS scheme to prevent further expense down the track if wanting to on-charge water usage to your tenant.
To ensure accurate compliance, it is a policy of Property Excellence that, if intending to on-charge water usage during a tenancy to the tenant, the property must:
- Have had a water efficiency compliance check carried out by a licensed plumber and certification issued outlining the minimum criteria has been met (during the period of the current tenancy);
- Before a new tenancy commences, have a water efficiency compliance check carried out by a Licensed Plumber and certification issued outlining the minimum criteria has been met;
- Any repairs or installation of required water efficiency measures to ensure the property meets the minimum criteria as outlined above, are to be carried out by a licensed plumber;
- If during a tenancy plumbing repairs are carried out, a water efficiency compliance check is to be carried out by a licensed plumber and certification issued outlining the minimum criteria has been met.