Overcoming Strata Decision Making Barriers to Climate Change Adaptation

One of the issues this study has already identified is the existence of structural barriers to adaptation in existing building for climate change.

In most Australian states making the changes and upgrades to common property structures and acquiring the additional equipment needed to make 'green' improvements to the building is not included within normal repair and maintenance and will be classified as upgrades.  And, upgrades require higher level approvals. 

In most states a a special resolution (three quarter majority) is required but in the ACT and for South Australian community schemes where the upgrades costs more than $5,000, an approval by unanimous resolution is necessary.

So, environmental upgrades are harder to approve and implement than ordinary repairs - reducing the likelihood of them happening.  That includes many of the changes a strata building might need to make to adapt itself to improve its resilience to climate change weather effects.

But, one Australian exception exists in the ACT where the new (2011) strata legislation permits upgrades and additions for installation of sustainability or utility infrastructure on the common property with only an ordinary (simple majority) decision.  This facilitates these kinds of upgrades.  But the definition of “sustainability infrastructure” is limited covering only infrastructure and equipment that improves the environmental sustainability of the units or reduces the environmental impact of the owners corporation and the unit owners (including related utility service connections and equipment.).  The laws cite examples such as - solar panels, clotheslines, rainwater tanks.

But even these reduced approval thresholds may not apply to climate change adaptation work that is not also sustainability infrastructure.

You can read the relevant provision (section 23) here.

One of the recommendations we're likely to make in this study is to alter the definitions of what is within normal maintenance and repair to include works and equipment that improves climate change resilience and to reduce the decision making thresholds for that kind of work and equipment.