Renters and apartment owners in Victoria could soon find it easier to install solar panels, batteries, electric heating and water systems under proposed changes that would reduce the obstacles restricting access.
What happened: A new Victorian parliamentary inquiry report delivered in August found the state’s apartment owners have faced complex and expensive barriers to accessing renewable energy.
These barriers have impacted sustainability upgrades, which often need 75 percent agreement from owners corporations to install shared systems.
The inquiry has recommended cutting this to a 50 percent vote in support.
☝️ The threshold: For apartment owners, simply making the decision to install renewable energy is not enough. Most complexes adhere to strata and owners corporation set ups, meaning the decision relies on a majority vote – and a majority participation.
Cameron McDougall, a former Melbourne apartment owner, led a push to install a shared rooftop solar system as chair of an owners corporation.
McDouggal said 41 of 67 owners voted, with 40 supporting the proposal and one opposed. That represented about 59.7 percent, below the 75 percent threshold.
McDougall said the result was “very disappointing”, saying he believed rooftop solar would have increased the property’s value by about 12 percent.
Caroline Pribble has owned a unit in a Kew apartment building since 2022 and attempted to secure a shared solar system on the building’s roof in 2023.
However, while all owners voted, the proportion of support fell just short of the 75 percent requirement, a “frustrating” result after months of work in applying for a grant via the state government’s Solar for Apartments program.
“It would have been only a net cost of about $700 per unit, but the feasibility study proposed annual savings of $780 per unit,” Pribble told the Eastern Melburnian.
Kew apartment owner Caroline Pribble. Image Credit: Julian Meehan
🔑 Flat lifestyles: According to the 2021 Census, about one in eight Victorians live in a flat or apartment and one in three of those are renters. In Boroondara, 24.2 percent of occupied dwellings are flats or apartments – about 15,000 residences.
Money on the line: The Victorian government’s Solar for Apartments program offers rebates of up to $2,800 per apartment, covering an average 74 percent of installation costs. The program is due to end in April 2027 or when rebates run out.
🙏 What was recommended? The August inquiry into renewable installations on apartments made 25 recommendations, including:
Extending Solar for Apartments and expanding eligibility to larger buildings;
Establishing an apartment electrification strategy with avenues for gas substitution;
Reducing the approval threshold for sustainability upgrades to 50 percent; and
Introducing a voluntary disclosure scheme for sellers or landlords to include a property’s energy efficiency rating when selling or renting an apartment.
♨️ Keeping warm … at a cost: Another key finding was that electrifying older buildings can be technically difficult and expensive due to outdated infrastructure and safety requirements.
One recommendation asks for the state government to offer financial help so apartment owners can upgrade shared electrical infrastructure — such as switchboards and wiring — making it easier to install shared rooftop solar, batteries and electrification.
Replacement time? Michael Quach and his partner own an apartment in a 1960s low-rise apartment block in Kooyong. The pair recently decided to replace their “unreliable” 40-year-old gas heater, but soon hit roadblocks when considering electric options.
🗣️“Many tradies were not even going to entertain the idea, as instant electric wouldn’t work because there is not enough power in our old apartment’s circuitry,” he said. “The plumber said [a new gas system] would be more efficient and use less gas.”
Quach eventually paid to replace the old gas line and hire a cherry picker to install a gas hot water unit on his apartment building’s roof, with the total bill exceeding $10,000.
🔍 Too narrow: Electrify Boroondara deputy chair Russell Williams welcomed most of the recommendations but said the inquiry should have gone further.
🗣️ “People are paying more than they need to,” he told the Eastern Melburnian. “Most residents can save substantial money by reviewing their energy tariffs on an annual basis. Promoting and making that easier would be a great win, but it is unfortunately not as glamorous as putting solar on apartment roofs.”
⏭️ What’s next? The committee’s recommendations are not binding, but the state government must respond within six months.