In November 2024 the Consumer Policy Research Centre (CPRC) in partnership with Anika Legal and Consumer Action Law Centre (CALC) released a 23-page report entitled "Too Hot, Too Cold, Too Costly: Victorian Renters Pay the Price for Energy-Inefficient Homes".
Although this report is principally based on small group research conducted in one Australia state, the housing circumstances it describes are common to many towns and villages across the country, both in metropolitan and regional areas.
It should be noted that although the report appears to address private rental situations, it is not unknown for renters in government subsidised social housing to experience health & safety issues relating to a lack of energy efficiency built into dwellings they rent and/or experience delays in receiving needed repairs to the rental property.
The following excepts are drawn from the first 15 pages of the report.
How can we make it easier for people who rent to keep their home warm in winter and cool in summer? How can we make sure that the cost of energy isn’t excessive for people who rent?
All renters deserve to live in a safe, healthy and energy efficient home. Recent quantitative research has highlighted how rental homes with poor energy efficiency cause harm.
Up to 40% of households renting in Australia experience energy hardship, threatening their financial stability, health and housing security.
A national survey by Better Renting found that three in four renters in Australia are cutting back on heating and cooling to reduce energy costs. Only 22% of renters in Victoria have adequate ceiling insulation in their home, and 38% described their home as being too cold "almost all the time" in winter.
This report looks closely at the experiences of a group of renters in Victoria. Anika Legal, in partnership with Consumer Action Law Centre (CALC), provided financial counselling and legal advice to renters. This research investigated the experiences of these clients in terms of energy inefficiency in their rental properties, as well as the impacts on health and financial wellbeing resulting from inefficient energy use. The research also examined renters’ understanding of their rights, knowledge of complaints pathways, and experiences of dispute resolution.
Consumer Policy Research Centre (CPRC) provided an independent analysis of findings, jointly reported here, in collaboration with Anika Legal.
Overall, the results tell a targeted story of the challenges people face enforcing their rights as renters. There is a clear link between energy efficient homes and decreasing cost of energy use. However, the incentives for a landlord to make a home energy efficient do not go far enough to adequately protect renters. As one of our renters posited, a car needs a roadworthy. Why doesn’t a house?.....
Our renters reported living in energy inefficient and faulty homes
Most of our renters told us that the energy efficiency of their homes was ‘poor’ or ‘very poor’.
They cited critical structural faults hindering the overall energy efficiency, examples included holes in the roof, gaps in floorboards, single pane windows, and draughty doors.
Additionally, several renters found major faults within their air conditioning units, electric water heaters, gas pipes and/or plumbing system. Some renters reported damage to key facilities in their home including a broken toilet valve, shower screen and fence. One renter said that their home had numerous faults and even lacked necessities including a front door lock, security gate/screen, kitchen exhaust fan and smoke alarm....
Our renters believed that the poor energy efficiency of their homes, combined with unrepaired faults, directly contributed to the increase in their energy and water bills. Our renters were concerned about their ability to clear existing debts and cover any future increase in energy and water prices.
Our renters and their households experienced significant negative impacts due to poor energy efficiency and faults in their homes
Our renters reported that poor energy efficiency resulted in a range of negative impacts on their household. Of these impacts, financial costs and health and safety concerns were the most significant.
Our renters often felt that they had to choose between turning on the heating during colder weather or enduring the cold to save money. When our renters did turn on their heating, they often felt stressed about how they would cover the additional cost to their energy bills. This resulted in these renters experiencing a lower sense of wellbeing and feeling disempowered and insecure in their current living situation. When our renters did not turn on their heating, they reported feeling concerned about the physical and mental health impacts associated with being cold all the time....
In addition, our renters were concerned about the health and safety risks posed by faults including leaky water and sewerage pipes. For instance, several of our renters were worried about the presence of mould in their homes and others identified the safety risk of puddles around water leakages. One renter even recounted an experience where their young son was hospitalised after slipping in a puddle of water that had leaked from a bathroom tap. These risks caused renters to feel anxious over the health and safety of their household.
Further, another renter reported experiencing negative impacts including stress, anxiety, relationship tension and less time to enjoy leisure activities. These impacts occurred after the renter had endured major gas leaks for several months....
Our renters are picking up the slack when landlords don’t act
Our renters often prefer to fix the problem themselves
When encountering a problem with their home, our renters tend to contact their friends, family, community workers, or often find a way to fix the problem themselves. Our renters take it upon themselves to purchase repair materials, appliances and other household products to regulate temperatures inside their homes, incurring out of pocket expenses for these improvements.
For example, several of our renters opted to purchase cheap standing heaters, fans, new blinds, and/or electric blankets. In other cases, one renter chose to seal gaps to prevent cold draughts, while another decided to patch holes in the roof....
Our renters are concerned about rent increases
Many of our renters are concerned that even basic improvements made to a property might lead to an increase in rent. One renter shared an experience where a neighbour’s rent was increased despite the landlord having already received a reimbursement for the property to be improved in line with minimum standards....
Our renters are aware of power imbalances, and this can influence their actions
Our renters recognised the power imbalance between themselves and their landlords, understanding that landlords control both rent prices and the security of their tenancy. This precarious dynamic often left renters feeling powerless and influenced the extent to which renters were willing to engage with their landlords. One renter expressed that they did not want to draw attention to themselves or remind their landlord of their presence. This sentiment was echoed by another renter who preferred to manage any repairs themselves to avoid potential retribution from their landlord.....
The full report can be read and downloaded at
https://anika-clerk.s3.amazonaws.com/documents/Too_Hot_Too_Cold_Too_Costly_-_December_2024.pdf
