South Australian Independent Senator Tim Storer introduced to the Senate his Treasury Laws Amendment (Improving the Energy Efficiency of Rental Properties) Bill 2018 on Wednesday, which underscores energy efficiency and reducing energy bills for low-income households.
Under the proposed bill, landlords may claim a tax offset of up to $2000 per year during a three-year trial period for energy efficiency upgrades to rental properties leased at $300 per week or less, nearly 30% below median market rent.
Property Council of Australia’s Chief Executive Ken Morrison welcomed the initiative, highlighting the bill’s impact on both landlords and tenants.
“This bill isn’t a silver bullet to make all buildings energy efficient, but it’s an important step to address the split incentive that exists between landlords and tenants, where landlords make the investment in energy saving upgrades, but tenants experience the benefit through lower bills,” he said.
In a related survey by the Property Council of Australia, the Australian Council of Social Service, and the Energy Efficiency Council, it was found that Aussies would like governments to further support energy efficiency indicatives so that energy bills for households and businesses can be minimised.
Another important insight was that 88% of voters support government’s investment in energy efficiency.
Voters also rallied behind a wide range of specific energy efficiency policies, including 84% who support for action to improve the homes of vulnerable households.
“In recent days we’ve seen the Government step back from their commitment to deliver the National Energy Guarantee, a policy that would bring together energy and climate policy to deliver desperately needed certainty for investment by businesses and importantly, put downward pressure on energy bills for households who are struggling with historically high costs of living,” Morrison said.
While Morrison acknowledged that Australia’s property industry is already leading its global peers in sustainability, he also highlighted the essential role that the governments need to play in establishing more comprehensive policies that target energy efficiency across properties in the nation.
