31 March 2023

The ACT Government has published further detail on how the ACT tenancy reforms due to commence on 1 April 2023 will provide greater comfort to tenants, literally. A media release published earlier today states that “rental homes across the ACT will now have to meet a minimum energy efficiency standard for ceiling insulation which will help keep Canberra homes comfortable, safe and energy efficient”.

The ACT Government reports further on the issue as follows:

New energy efficiency standard will support Canberra renters

Released 31/03/2023

Rental homes across the ACT will now have to meet a minimum energy efficiency standard for ceiling insulation which will help keep Canberra homes comfortable, safe and energy efficient.

Minister for Water, Energy and Emissions Reduction, Shane Rattenbury said the new regulation, which comes into effect tomorrow, will improve living conditions for Canberra renters and help them save money on energy bills.

“Roughly 30% of households in the ACT are renting and this new regulation will give renters in the ACT assurance that their homes are well insulated and more affordable to heat in winter and cool in summer,” Minister Rattenbury said.

“Up to 35% of heat is lost through the ceiling during colder months in an uninsulated house. This results in higher energy bills and makes homes uncomfortable to live in. A home’s level of thermal comfort has a direct impact on the health and wellbeing of those living there.

“As part of the ACT Government’s work to implement the standard, we will also invest in energy efficiency improvements for existing Housing ACT properties. This new regulation will help to create a more equitable Canberra community so that no one is left behind as we work towards 2045 zero emissions targets.

“The ACT Government is supporting rental providers in helping their homes meet the new standard. Under the Sustainable Household Scheme, eligible property owners can access zero interest loans of up to $15,000 to make necessary insulation upgrades.

“The regulation requires electrical safety checks and all installations to be undertaken by trained installers certified through the Energy Efficiency Council’s insulation installer certification program. All insulation installers and licensed electricians must also have current asbestos awareness training.

“We’ve consulted extensively with the insulation industry to ensure industry readiness. In addition to including a 4 year phase-in period, we are currently working with the Master Builders Association and Canberra Institute of Technology to provide training for insulation providers. This means that we are building capacity within the industry while simultaneously avoiding a significant demand spike for insulation materials and installers.

“Whether you currently live in a rental property, or you own one, I encourage you to learn more about the new regulation and what rights or obligations you may have under the new standard.”

The regulation requires that rental homes with no ceiling insulation or existing insulation rated less than R2 have insulation installed or upgraded to R5 level insulation, the level typically used in new builds. Rental homes with ceiling insulation currently rated at R2 or above will not need to be upgraded as they already meet the requirement.

The regulation commences on 1 April 2023, with  a phase-in period extending to 30 November 2026. Between 1 April 2023 and 30 November 2026, rental providers will have nine months from when a new lease is signed for the property to comply with the standard (unless they have an exemption).

From 1 April 2023, it will also be mandatory for rental providers to include details on whether or not their property is compliant with the minimum standard in all rental advertisements and in new residential tenancy agreements.

To find out more about the legislation, visit the ACT Government’s Justice and Community Safety website.

- Statement ends -

Shane Rattenbury, MLA | Media Releases