Tenancy Act Amendments

First amendment to energy efficiency standards for rental homes announced.

In July 2022 the Real Estate Institute of the ACT (REIACT) released its Public Exposure Draft Tenancies Amendment Bill, seeking comment on several changes to the Tenancy Act, which included removing no-cause evictions and increasing Energy Efficiency Ratings (EER) of rental properties.

The changes are being introduced in stages and last week it was announced that the EER would be the first amendment to be introduced.

What is impacted?
This new standard is specifically related to ceiling insulation. Where a home has no insulation or insufficient insulation it must be raised to R5. Properties with an R2 rating or above will not be required to increase the insulation’s thermal rating. 

When do properties need to comply with the new rules?
The new standards will be introduced from 1st April 2023, with a phase in period of 30th November 2026.

Landlords will be required to meeting the standard within nine months of a lease being signed and new properties to the rental market will have three months to comply with the standard. 

From April 2023 all advertisements and agreements must disclose adherence to the new rules.

Is there any financial assistance available?
To assist with upfront costs, rental providers will be able to access supports from 1 April 2023 though the Sustainable Household Scheme and Home Energy Support Program. More information on support will be available by early 2023.

More information is available on the ACT government website.