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Who Pays Water Rates When Renting in Victoria?

December 23, 2022
Who pays water rates when renting in Victoria

Are you setting up utilities when renting and wondering, who pays water rates when renting in Victoria? The local council charges water rates in Victoria, where the tenants and landlords pay separately. If you live in a rental property, you must pay all the charges yourself, including the water rates. Amongst others, these are the bills you must pay will renting.

However, landlords can also pay for water rates in Victoria if they agree with you in the lease. 

Do tenants pay the water bills?

Landlords and tenants are both responsible for paying their respective bills. The tenant can get help with this through several programs. Victoria’s water authority is one example of such a water program.

You can submit a written request for the initial connection of the water and electricity as per the residential tenancies act. The rental provider pays for the sewerage infrastructure and service charges. Nevertheless, there’s no obligation to apply for rent assistance if your income falls below $49,000 per year (or less than $60,000 in metropolitan areas).

A For Lease sign advertising a rental property in Carlton North.
Image credit: ABC

How much is the water bill for a rental property?

The average water bill in Melbourne is $120 per month. Also, the average water bill for 2 person household is $240 a month. Therefore, if you live in Victoria and rent an apartment or house, you’ll be paying the same amount as your landlord, which could get expensive if they live in a high-rise building.

What do tenants pay for when renting?

When buying an apartment in Melbourne, Victoria, there are several things that tenants pay for. These include

  • Water, electricity, and gas: The landlord must provide water and electricity to each tenant. They also have to pay for the gas used in their home or business. However, the services depend on the written agreement between the tenant and landlord.
  • Council rates: If you live in an apartment block, your landlord must collect council rates from each tenant’s properties. It can be done via electronic funds transfer (EFT), direct debit, or cheque if they choose not to use EFT or direct debit channels.

Does it include sewage disposal charges or utility costs?

  • Cleaning services: Landlords may charge tenants for cleaning services such as weekly/fortnightly housekeeping checks by professional cleaners who come into your unit once every two weeks or bi-weekly, depending on how often your unit needs cleaning at any given period throughout each month/year cycle.
  • Sewerage disposal charges: The landlord asks for the disposal charges for the tenants if it is included in the tenancy agreement.

Is water included in the service charge?

Landlords pay the bill for tenants, but tenants don’t pay it themselves if the lease says this so. However, if they have separately metered, the rental provider pays their paying bills, such as electricity, gas, energy bills, utility costs and charges, water bills, telephone lines, internet connections, supply charges, and other excessive usage charges.

How do I sort my water bill when renting?

  • Ask the landlord for a copy of your water charges in the rental properties.
  • Check with your water company to determine how much you will be paying. Moreover, it also depends on your average water usage.
  • Ask your landlord to confirm the service charge if you need more clarification. You can read their previous residential tenancies for complete knowledge about their policies.
  • Ask the rental providers about the tenancy agreement in a written notice about the charges relating to electricity charges, water supply, utility charges, drainage services, and other excessive charges in the rented premises beforehand.

What is included in the property service charge?

The cost of living in Melbourne includes the property service charge which is a combination of council rates and water rates . It can also include other charges such as rubbish collection, water, gas, and electricity usage.

The amount you pay for your property service charge depends on the size of your property and whether you have shared it with another householder. Moreover, the water costs and charges depend on the water supplied through the connection. 

The Victorian government departments should provide water efficiency labelling for drinking water services. If you own your home outright, you don’t have to pay council tax monthly – owners pay $500 per year as part of their Council tax bill.

What does the service charge for the water bill in Victoria include?

The service charges of the bill in Victoria is a flat fee you must pay monthly. This amount covers all your water usage and additional costs, such as metre readings and replacing old metres.

Concluding highlights

So who pays water rates when renting in Victoria? When renting in Victoria, your landlord takes care of the water. 

It’s important to understand that this does not mean tenants have no responsibilities regarding payment.

Law has cleared the tenants to pay their water bill unless a rental agreement exists.

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