This Q&A article is about the benefits of individual water meters in WA strata schemes.
Question: The majority of owners in our WA survey strata voted to install individual water meters on each lot. We voted against it. Are we required to install a separate water meter at our cost?
We own a lot in a managed survey strata plan. The strata company voted for all owners to install water meters so that each owner would be billed individually for their water usage.
We voted no, but a loud majority voted yes, as they have always been vocal about water usage. We have now received an email saying we must organise the installation of our water meter. Our strata manager tells us that, as the property is a survey strata, it is our responsibility to do this, and it must be done. Is this correct? We have had this property since 2006. This has never been a problem before.
Answer: If there was a vote and a majority voted for the installation of water meters and billing, then yes, you would need to attend to the items agreed to at the meeting.
Regarding the water meters, if there was a vote and a majority voted for the installation of water meters and billing, then yes, you would need to attend to the items agreed to at the meeting.
Currently, you are paying for water in your levies and water usage is calculated by unit entitlement. Many strata schemes install individually billed water meters, allowing them to charge each lot based on usage. This is a fairer and more equitable manner of billing.
Another reason for the individual meters is to mitigate against excess water bill charges due to water leaks. In some schemes we’ve managed, lots had undetected leaks or detected leaks that failed to be repaired. The scheme paid thousands of dollars extra in water. Separate water meters assist with excessive water usage and in being able to detect leaks. Large water bills are easier to manage if the scheme can determine if the usage is in a lot or common area.
Jamie Horner
Empire Estate Agents
E: JHorner@empireestateagents.com
P: (08) 9262 0400
This post appears in the September 2023 edition of The WA Strata Magazine.
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Our 21-lot strata observed huge increases in water usage over a couple of years and investigated. It became apparent that there were up to 7 people living in some of the 2 bedroom units. Located near a primary school, the washing lines were in constant use and taxis were doing their end-of-shift wash using the common area twice daily too.
Levies increased by 30% to cater for the $3,500+ pa permanent increase which owners complained about as we have no lift, swimming pool or common laundry to account for excessive use. Over the following year or two, while still monitoring the situation we spoke with WaterCorp, obtained quotes for the installation of sub-meters and presented a funded proposal to the AGM and obtained majority approval. While council members were frustrated at the delays and the years it took, this was fortunate for, just after installation, WaterCorp changed it’s requirements for reading meters but allowed us to upgrade to its meters with just a small cost difference.
The end result…
> user pays for their consumption with the strata company paying for reticulation of common area;
> the water bills dropped by $3000 almost immediately;
> no sub-meter reading charges from management;
> recovery of the overall cost recovered in the equivalent of 3.5 years of the additional consumption.
A long-term benefit after several years of pain, and levy contributions could be directed to other areas to the benefit of all owners. As owners there is a need to develop a shared vision for the scheme over the remainder of its life.
Hi Em
That is fantastic that your scheme implemented the change and yes I do agree the time taken to quote, complete required forms, budget, and implement can take time and upfront costs, however, there are long-term benefits as you have detailed. In my original post, I did not mention it but we manage a scheme where due to one common strata meter, owners get upset at how much owners water their gardens, or how many occupants a lot has and unfortunately neighbours since do not get along, billing based on usage does remove many of the issues you raised and a long term vision for a better strata community.
Hi Carolyn
Thanks for your comment and I do agree with what Shane White had advised as per the details above, however just because a Strata Company is not responsible for maintaining an item does not preclude the strata company from enforcing an Owner to maintain it or carry out work as per Section 94 of the Act.
As noted in my original answer it is a more fair and equitable way of managing the costs of water consumption to each Lot and can assist greatly if there are leaks, you may want to consider this and the vote conducted based on the majority.
Kind regards
Dear Jamie, I am wondering if you have seen recent SAT decisions on or related easement issues?
When Shane White oversaw the conversion of our scheme to survey strata he advised the maintenance of utility mains is strata company responsibility. However the pipes leading away from the mains were the responsibility of each lot owner.
As the strata company has no power over pipes that are not responsibility, the strata company can not simply vote to put an owner through the expense and risk of altering their own pipes.
So, it is arguable that the extent of the easement does not allow the strata company to take any action beyond connecting the lots to the water supply, and maintaining such. Section 63(1) states the easement exists ‘to the extent reasonably required for the provision of utility services to each lot and the common property’. The term ‘utility conduit’ which means ‘a conduit for the provision of a utility service (including pipes, wires, cables and ducts)’ evidently only means the relevant pipes and does not appear to include the water meters. Accordingly, the utility service easement likely does not entitle the strata company to undertake the upgrading works in relation to the water meters. We consider his view accords with some recent SAT decisions on related easement issues.