Faqs

Alternative energy sources are coming and it is likely Strata Committees and Owners Corporations will need to turn their minds to the installation of charging stations. Sales of electrical vehicles is on the rise and sooner or later, petrol vehicles will be a thing of the past. Driverless cars are also being tested by most of the reputable vehicle companies. 

If it is intended to install an EV station sometime in the future, it is a good idea to informally discuss with owners in relation to their interest for such a proposal. Assuming there is interest, contact either an electrical engineer or an experienced electrical contractor to carry out a site inspection and write a report relating to installation. Do you have the basic electrical infrastructure to support EV charging stations? The experts should also advise on the optimum space to install the charger and the type of charger most suitable to your building or you. 

Turn your minds to the costs of the purchase of the equipment and installation and obtain several quotes. The cheapest is not necessarily the best, and one should consider what type of charger(s) is/are required e.g., a fast charger or an overnight one. Technology is changing at an exponential speed, so it is a good idea to keep an eye on developments. Once you have an idea of the costs and have decided to proceed, these estimated costs should be a line item in your next budget. 

Check out the environmental and sustainability benefits. 

It’s best to take time, get professional advice and carry out your research. We wish you all the best in adapting to our fast-changing world.  

A by-law is essential whether or not the owners corporation or individual lot owner are carrying out the installation. If the owners corporation installs the charger then ensure there is a billing system that individualises the use and cost. Check with your local authority if they have any regulations applicable to the installation and maintenance of EV stations and engage a strata lawyer with expertise in this area to advise and draft a by-law.

We also suggest you also contact your insurer to establish if they have any mandatory requirements that affect your cover and/or premiums.  There are also specific sections in the Strata Schemes Management Act 2015 that relate to sustainability infrastructure and matters that the owners corporation must consider prior to implementing this. 

Embedded networks are private electricity networks that serve multiple premises, such as in apartment blocks, caravan parks and shopping centres. 

If you do not have an embedded network in your scheme, be prepared to be approached. When and if that occurs, immediately contact a legal adviser who has experience and expertise in this area. It is a tricky and complex area of law and the devil in the detail.  

Embedded networks in strata buildings can have both advantages and disadvantages. It’s important to establish whether they are mandatory or not and can vary by location and regulations. In New South Wales, the rules differ. In addition to consulting with a lawyer, it is worthwhile to consult with the local authorities for guidance.

Cost Savings: Embedded networks can sometimes negotiate better energy rates, resulting in potential cost savings for residents. 

Centralized Management: They allow for centralized energy management, making it easier to monitor and optimize energy usage. 

Renewable Energy Integration: Embedded networks can facilitate the integration of renewable energy sources, reducing the environmental impact. 

Potential Income: Strata committees can earn income from managing the embedded network, which can offset other strata costs. 

Limited Choice: There may be limited options for energy providers, reducing competition and potentially leading to higher prices. 

Lack of Transparency: It is not unusual to find it challenging to understand how energy costs are calculated within embedded networks, leading to transparency issues. Hence the engagement of experts is recommended. 

Contractual Obligations: One of the risks is after signing up you may find the owners corporation is locked into energy contracts which can lead to future unhappiness and disputes from residents/owners because of the limit of flexibility. 

Regulatory Changes: Regulations governing embedded networks can change over time, potentially impacting their viability. It is important to keep abreast of any changes. 

Whether embedded networks are mandatory, depends on local regulations and the strata by-laws.  

Consult with legal experts familiar with NSW strata laws to determine the specific requirements for your situation and advice. This should be recorded and hopefully that will help establish that the owners corporation has acted in the best interests of the owners and residents and minimise future misunderstandings and disputes. 

Here is a useful link from the New South Wales Fair Trading