2.5 Water Charges

What are water charges?

There are two types of water charges:

• Water rates - this is the charge for the supply of water to and from the property.
• Water consumption - this is a charge for the water used at the premises. (There has been no free water allowance on any water bills since January 1994.)

Who is responsible to pay water rates?

The owner is liable for the water rates assessed on the property (S.48), unless it is written into the tenancy agreement that the tenant must pay them. It is very unusual for the water rates to be paid by the tenant, and tenants can refuse (before signing the agreement) to agree that they will be responsible for the rates.

Who is responsible for water consumption charges?

The Water Authority always charges the owner for water used at rental premises. The owner is allowed to pass this cost on to the tenant.

All tenancy agreements should have something written into them about who will pay water consumption costs.

If you have an existing tenancy agreement you should check what you have agreed about the water. The agreement can be renegotiated during the tenancy but any changes should be recorded in writing.

If there is nothing written into your tenancy agreement about paying for water, then the amount you have to pay is negotiable. For example, you may be able to argue that if there is nothing in your agreement about water then you have not agreed to pay anything, or that you should only pay your own consumption costs but not the cost of watering the garden.

The owner can be penalised by the Water Authority if the bill is not paid on time. In some cases this penalty may be passed on to the tenant. If you are being charged a penalty you should seek advice.

Who is responsible for reading the water meter?

The water meter should be read at the beginning of the tenancy and recorded on the tenancy agreement or the property condition report. The reading can be done by the Water Authority, the owner/agent or yourself.

If the meter is going to be read by the Water Authority there will be a charge. Ask the owner/agent who is going to pay this charge. If it is going to be your responsibility it should be written into your tenancy agreement. If it is not written into your agreement you may be able to argue that it is not something you have agreed to and therefore you don't have to pay.

If a reading has not been carried out by the Water Authority or the owner/agent, you can do your own reading. Check that any reading done by the owner/agent is accurate, and if you do a reading have a witness to support you.

Should the owner contribute to water consumption costs?

How costs are shared should be negotiated at the beginning of the tenancy and written into the tenancy agreement.

It is fair for the tenant to ask the owner to contribute something to water costs if the tenant is being asked to water a garden. Sharing the costs for water usage is reasonable because you are helping the owner by maintaining their asset.

The amount you pay will depend on the individual circumstances of the tenancy and how much water is likely to be consumed. For example, is it a large garden or a small garden, a single tenant household or a large family?

How will I be charged for water?

There are three different ways to charge tenants for water. Whichever method is used should be written into your tenancy agreement.

What you owe for water should be worked out by one of the following methods:

• Method 1 - Full cost to the tenant
  The owner may pass the full cost of water directly on to the tenant. The owner/agent should provide a copy of the actual water account, as well as any calculations which have been made for the owner's share of the account.
• Method 2 - Cost apportioned
  The owner/agent can apportion the water account. This is usually done when there has been more than one tenancy during the 12 month billing period; and because water charges increase as more water is used. Apportioning stops the tenant who lives in the property during the first part of the 12 month billing period getting cheaper water and the second tenant or third tenant paying higher charges.
• Method 3 - Special meter reading
  A special meter reading can be done by the Water Authority at the start of the tenancy (at June 1996 the charge for a special reading was $7). The account is then marked as a "concession account". This means that when the next meter reading is taken the Water Authority works out what the normal charge would have been, as well as what the concessional charge would be. The lowest of the two will be the charge for water. Contact the Water Authority for more information.

Paying the Account

You should always ask for a copy of the actual water account as well as any calculations so you can check that the correct amount is being charged. Ask the Water Authority to provide you with details of the account if the owner/ agent refuses.

If you are having difficulty paying a water account you should write to the owner/agent explaining the difficulty and make a proposal as to how you will pay the account. Whatever is agreed should be confirmed in writing.

What if I Don't Pay the Account?

If you do not pay the water account by the due date, you may be served with a notice of breach of agreement. This gives you 14 days to make the payment or the owner/agent can start action to end your tenancy.

If you are in breach of your agreement and receive a breach notice, you should write and explain why you have not paid the water account and try to negotiate a solution. See section 3.7 When The Tenant Is In Breach Of The Agreement for more information.

What if I disagree with what the owner says I owe?

If you disagree with a water account you should write to the owner/agent, explain the reasons you disagree and offer to pay the amount you believe to be correct (see chapter 3.11 Writing a Letter to the owner/agent). If you cannot reach agreement with the owner/agent, either you or the owner/agent can apply to the Court for a decision on what is fair. See Chapter 6.2 Going to Court for more information.

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