NSW Water Efficiency Changes for Rental Properties – What Landlords Need to Know Before March 2025

Water conservation is a growing priority in New South Wales, and rental properties are no exception. To improve efficiency and reduce water wastage, new regulations are set to take effect from 23 March 2025. These updates will introduce stricter requirements for landlords, ensuring rental properties meet modern water-saving standards.

If you're a landlord or property manager, now is the time to prepare. Let’s break down the current rules and the upcoming changes to help you stay compliant.

Current Water Efficiency Requirements in NSW Rental Properties

Under existing NSW tenancy laws, landlords can only pass on water usage charges to tenants if the property meets specific water efficiency measures, including:

• No leaking taps or toilets – At the start of a tenancy and whenever maintenance is carried out, all taps and toilets must be free from leaks.

• Efficient showerheads – Must have a maximum flow rate of 9 liters per minute.

• Kitchen and bathroom taps – All internal cold water taps and single mixer taps for kitchen sinks and bathroom basins must also have a maximum flow rate of 9 liters per minute.

These regulations are designed to ensure tenants aren’t paying for excessive water wastage while encouraging landlords to maintain water-efficient properties.

What’s Changing from 23 March 2025?

The biggest update coming next year relates to toilets.

• Mandatory Dual-Flush Toilets with a 3-Star Water Efficiency Rating

From March 2025, all toilets in rental properties must be dual-flush models with a minimum 3-star rating under the Water Efficiency Labelling and Standards (WELS) scheme.

This means that any single-flush or outdated dual-flush toilets that don’t meet the required standard will need to be replaced. If landlords fail to upgrade their toilets before the deadline, they won’t be able to pass on water usage charges to tenants.

What Landlords Should Do Now

With the deadline fast approaching, landlords should take the following steps to ensure compliance:

• Check your current toilets – If they are single-flush or do not meet the 3-star WELS rating, plan for an upgrade.

• Book a plumber – Don’t wait until the last minute; upgrading multiple properties at once could become costly or difficult if demand spikes closer to the deadline.

• Keep maintenance records – Ensure you document any upgrades or inspections for compliance purposes.

• Seek expert property management support – One Agency Elite Property Group is well aware of these changes and has been actively working with our landlords to ensure compliance. If you're a landlord who is not currently managed by One Agency, contact us today to learn how our property management services can help you stay ahead of these requirements.

By making these changes before March 2025, landlords can continue passing on water usage charges to tenants while also contributing to water conservation efforts across NSW.

For more details on water efficiency requirements, visit the official NSW Fair Trading website.