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Hi Jimmy
I am an owner occupier of a unit within a block of 11 in Brookvale (NSW 2100). Myself and 1 other owner form the exec committee. Due to us having the 2 largest units in the block we actually make up 25% of the voting rights/costs. We get on well and there are very few issues in the units – most relate to the tenants in 2 of the units which are not owner occupied.
Last year was my first general/annual meeting and I was amazed at some of the costs charged for specific services.
I have already been able to reduce the strata/buildings insurance premium by 20% by not going with the Strata companies broker – who just happened to pay a commission roughly equal to the amount we saved!
The next cost I want to tackle is the communal electricity charges. There is a lot of communal area lighting, particularly the garage as it is on multiple levels due to the building being on a slope. The annual cost last year was $4500
The lighting is all old fashioned strip lights. We have already removed 1 of the 2 bulbs in each light to try and reduce costs.
During the day we only have half of the lights are on, but at night and all night all the lights are on – but with just 1 bulb as per above.
During the day most units are empty and at night the garage is hardly used so having lights on all day/night is unnecessary.
We have an upcoming annual meeting and I would like to put forward a suggestion that we change the lighting to include timer switches at each entry/exit door as well as the garage door.
Are there any health and safety laws that would not allow us to do this?
There is a very healthy balance of funds in the sinking fund that could pay for the electrical work without having to increase the strata fees.
The other option I was considering was adding solar panels to the roof of the building (on the roof of the other exec committee members unit). The units face east to west and would be able to capture a lot of sunlight. Do strata companies qualify for any govt grants to add solar panels?
Regards Ray
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Hi Ray
There are a lot of options you could look at, such as low energy lighting (which would require a change to the lighting units) and motion sensors to switch the lights on as soon as there’s movement in the area that requires lighting. They are more efficient than timers and don’t cost that much these days.
The way most owners corps look at this is to calculate how long it would take to recoup the outlay for a new system. It might take a couple of years but I’ve heard of buildings making their money back in 18 months … after that it’s all “profit”.
Willoughby Council is holding a seminar on Thursday night (Sep 18) and you can find out more about that HERE. or you could have a look at this PDF produced by Julien Freed, the guest speaker at the Willoughby seminar
Willoughby is one of several Sydney councils that have got together to suggest reliable suppliers for solar power units and you can have a look HERE where there are links to firms that can give you expert advice.
The opinions offered in these Forum posts and replies are not intended to be taken as legal advice. Readers with serious issues should consult experienced strata lawyers.
Hi Ray,
I can highly recommend Willoughby Council’s lighting seminar – Julien Freed is an expert in the area and has a lot of experience now with strata complexes.
There’s also a fantastic guide on Energy Efficient Lighting written by Julien and published by the Office of Environment & Heritage that you can download from http://www.environment.nsw.gov.au/business/lighting.htm
There are a number of case studies on the approaches taken in other buildings on the Green Strata and Smart Blocks sites. http://www.greenstrata.com.au/case-studies and http://www.smartblocks.com.au/case-studies
Try and take advantage of the incentives offered through the NSW Energy Savings Scheme if you upgrade your lighting. It might not be possible for small quantities, but it’s always worth asking the question. http://www.ess.nsw.gov.au
Solar systems are eligible for Small-Scale Technology Certificates (STCs). The installer normally handles these certificates, which means you get an up-front discount on the cost of your system. The rebate varies by location but is normally $500 to $600 for a one-kilowatt system. https://ret.cleanenergyregulator.gov.au/Certificates/Small-scale-Technology-Certificates/what-is-stc
You can also find more information on strata solar installations and case studies at http://www.greenstrata.com.au/topic/solar-photovoltaic-energy-production and http://www.smartblocks.com.au/what-can-i-do/install-solar/
Chris
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