NSW eyeing minimum energy efficiency standards for rentals

The NSW government is considering introducing minimum energy efficiency rental standards (MEERS), which would establish mandatory energy-related requirements that rental homes must meet before they can be leased.

Currently, both Victoria and the ACT have minimum energy efficiency standards for rentals.

Victoria’s system includes the provision of energy efficient space heating and cooling and water heating, as well as insulation and draughtproofing. Landlords must also replace gas appliances at end of life with electric alternatives. Some of these requirements have been in place for a number of years already; others will be phased in from March 2027.

In the ACT, rental properties must meet minimum requirements for ceiling insulation. The Territory also has the world’s longest-running mandatory residential energy-efficiency rating disclosure scheme in the world, though this does not apply specifically to rental properties.

According to the NSW government, MEERS could set out mandatory requirements for energy-related features such as insulation, heating and cooling or hot water systems, or could require rental homes to meet an overall energy performance rating.

To inform this work, the Department of Climate Change, Energy, the Environment and Water and NSW Fair Trading are seeking feedback on a range of questions and issues, including people’s experiences with rental homes, whether MEERS should be introduced, what the aims and objectives could be, how it would work practically, and any possible challenges.

The consultation paper provides research results, examples of similar schemes from other jurisdictions and detailed options for implementation. The government is seeking input from a diversity of perspectives, including tradespeople, renters, landlords and real estate agents.

The survey paper and consultation can be accessed here.

Comments close May 31, 2026.

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