SA: Q&A Shared Water Meter Between Three Units & Splitting the Bill

This SA Article is about a shared water meter between three units.

Table of Contents:

• QUESTION: Do tenants pay for hot water usage and similar charges within a group of units?
• QUESTION: We have a shared water meter between three units. I find it very unfair as I contribute towards the other unit owners water usage. How can I change this?

Question: Do tenants pay for hot water usage and similar charges within a group of units?

Answer: Hot Water charges in Strata complexes vary

Hot Water charges in Strata complexes vary. Please see the below summary of the different ways water is billed and charged.

Complexes with individual hot water systems

In complexes where units have their own hot water system, the water is simply calculated by SA Water through the meter. It is normal for Strata Corporations to have one water meter and the bills are either charged directly to the Corporation or to the owner, based either by unit entitlement, equally or some other manner in which the Corporation have previously agreed to.

In some cases owners pay then charge the water use onto the tenant, but this would be outlined in the lease and covered under the Residential Tenancies Act.

Complexes with shared hot water systems (bulk hot water systems)

Larger complexes tend to have bulk hot water systems where the system supplies the hot water to each individual unit. This set-up involves each unit having a meter to calculate the water / gas used for each unit. Usually, the company that is contracted to manage the bulk hot water system then reads the meters and bills the tenants directly for their water use. In some cases, the costs of the meter reading and service costs are covered by the Corporation as they know they are recovering the costs of the water used by tenants and it is on a user based system.

In other cases, I have many older properties who have small hot water systems connected to 2 – 3 units and Origin bill those tenants directly for the use but it is not a manager’s bulk hot water system as outlined above.

Carrie McInerney
Horner Management
E: carrie@hornermanagement.com.au
P: 08 8234 5777

This post appears in Strata News #597.

Question: We have a shared water meter between three units. I find it very unfair as I contribute towards the other unit owners water usage. How can I change this?

In the article VIC: What’s yours and what‘s common property?, the author Stephen Raff states that:

“If a property owner is renting their property to a tenant and only has one meter for both gas and water for the entire owners corporation, the tenants cannot be charged for the water or gas bills. In order to pass the costs of these services from the owner to the tenant, a separate water or gas meter must be installed.

The Victorian Government encourages the installation of separate water meters in unit complexes, apartment blocks and commercial properties to encourage efficiency and provide a financial reward for people who reduce water use.“

Do these laws apply to South Australia? I am a tenant in a strata complex where we have a shared water meter. I’m being charged 1/3 strata charges of water use as we share one meter between 3 units.

I find it very unfair as I contribute towards the other unit owners water usage, especially when their use is more excessive than mine. In my complex, it appears water use is determined by whoever uses most and then this split 3 ways for each to pay.

Can you give some ideas according to strata regulations in SA in these areas? Does the SA Government encourage and support people who are efficient with water like the Victorian Government does?

Answer: Many Body Corporates these days are being built with separate meters making it very simple for individual billing and therefore eliminating the issue you have.

This is a good question and I will try to do my best to answer, however when it comes to tenancies and your rights you may want to raise this further with your property manager.

In these matters, I have found it to be quite common practice for tenants to pay a share of the account even though there may be only one meter, just as in your case.

You will need to go through your rental contract and locate what you have agreed to, as you may be able to change your arrangement. Please note the laws in SA are different than in Victoria.

Many Body Corporates these days are being built with separate meters making it very simple for individual billing and therefore eliminating the issue you have.

Many local authorities support the efficient use of natural resources, however, no legislation has been passed for you to benefit from this. Separate metering would be ideal.

It may be good for you to raise this with the landlord and ask for it to be discussed at their next AGM of the corporation.

For now, unless you can find a way for separate metering, your contributions may stay as a 1/3 share.

Tyson D’Sylva
Ace Body Corporate Management
E: tyson.d@acebodycorp.com.au
P: 08 8342 1544

This post appears in Strata News #168.

Read next:

• SA: Q&A Do outstanding amounts limit the ability to vote?
• SA: Q&A Strata Fee Increases and Unit Entitlements

This article is not intended to be personal advice and you should not rely on it as a substitute for any form of advice.

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