Solar Power in Strata: A Practical Guide for NSW Apartment Owners

If you own a unit in a strata building and have been thinking about switching to solar energy, you’re part of a growing movement. With electricity prices climbing and more people wanting to reduce their environmental impact, solar panels are becoming a popular choice for apartment owners across New South Wales.

But installing solar panels in a shared building isn’t as straightforward as it is for standalone homes. Because common areas like the roof are jointly owned, there are rules and approvals you’ll need to follow. This guide walks you through the key steps, funding options, and legal considerations to help you make an informed decision.


What steps do I need to take to get solar panels approved?

In most apartment buildings, the roof is considered shared property. That means you can’t just install solar panels on your own—you’ll need permission from the Owners Corporation, which manages the building on behalf of all owners.

To move forward, you’ll need to:

  • Propose a motion at a general meeting that outlines your solar installation plan. Because solar panels are classified as sustainability infrastructure under NSW law, the motion will pass as long as fewer than half of the owners vote against it.

  • Draft a by-law that sets out the terms of the installation - Include who’s responsible for costs, maintenance and any future removal. This by-law must be approved by a special resolution, which typically requires support from at least 75% of votes cast.

  • Communicate clearly with other owners - Sharing information about the benefits, safety and impact of solar panels can help build support and reduce objections.


Is there financial support available for apartment owners?

To make solar more accessible for apartment residents, the NSW Government has introduced a grant program that helps cover the cost of shared solar systems in eligible buildings.

Here’s what you need to know:

  • Who can apply? Owners Corporations of residential apartment buildings or multi-unit dwellings.

  • How much is available? Up to 50% of the project cost, capped at $150,000 per building.

  • Total funding pool: $25 million.

  • Deadline: Applications close at 5:00pm on 1 December 2025, or earlier if the funds are fully allocated.

This initiative is designed to help apartment residents—including renters—access clean energy, lower their bills and contribute to a more sustainable future.

View the NSW Government Grant guidelines here.

Why should strata buildings consider solar energy?

There are plenty of reasons to consider solar energy in a shared building:

  • Lower power bills: Residents can use solar-generated electricity instead of relying entirely on the grid.

  • Environmental benefits: Solar energy is clean and renewable, helping reduce carbon emissions.

  • Boosted property value: Buildings with sustainability features may appeal more to buyers and renters.

  • Protection from rising costs: Solar can offer some independence from fluctuating energy prices.

  • Flexible participation: Not every owner needs to be involved. A shared system can be installed for those who opt in.

  • Efficient distribution: Embedded networks allow solar energy to be shared across units without needing separate solar providers.


What challenges should you be aware of before installing solar?

While solar has many upsides, there are also practical challenges to think about:

  • Initial costs: Solar systems can be expensive to install, though government grants can help offset this.

  • Getting approval: Some owners may be hesitant due to cost concerns, aesthetics or misinformation.

  • Limited roof space: Not all buildings have enough roof area to support a large solar system and fair allocation can be tricky.

  • Ongoing maintenance: Like any infrastructure, solar panels need upkeep over time.

  • Battery storage: Without batteries, solar energy can only be used during daylight hours. Batteries can be costly, but the Cheaper Home Batteries Program launched in July 2025 may help reduce the expense.


What can we learn from a real-life legal case about solar refusal?

In 2022, a NSW apartment owner took her Owners Corporation to the tribunal after they rejected her request to install solar panels on the roof of her unit. She had followed the correct process, including proposing motions and a by-law, but her application was denied without clear reasons.

The NSW Civil and Administrative Tribunal (NCAT) found that the refusal was unfair. The committee hadn’t properly considered the benefits of the proposal or engaged with the information she provided. The tribunal ruled in her favour, allowing the installation to go ahead.

This case highlights the importance of fair decision-making and shows that sustainability proposals deserve genuine consideration.


Is solar a smart investment for my strata scheme?

Solar energy offers a smart way for apartment owners to reduce costs, support the environment and add value to their homes. While the process in a strata setting involves approvals and legal steps, recent changes to the law—along with generous government funding—make it easier than ever to bring solar into your building.

If you’re considering solar panels or other green upgrades in your strata property, it’s a good idea to seek legal advice early. A well-prepared by-law and clear communication with your Owners Corporation can help smooth the path forward.

Need help drafting or reviewing strata by-laws? Contact the NSW Strata & Property team at Grace Lawyers on 1300 144 436 or enquiries@gracelawyers.com.au

Anna Hahm | Partner, Grace Lawyers

Anna Hahm is a seasoned legal practitioner with over a decade of experience running her own firm since 2012. Admitted to practice in the Supreme Court of NSW and the High Court of Australia in 2009, Anna’s practice encompasses commercial and contract law, property transactions, drafting by-laws, NCAT and debt recovery. She is also fluent in Korean and English.

Previous
Previous

Strata Insurance: What is a Fee-for-Service Model?

Next
Next

Strata Insurance: Tips for Making a Successful Water Damage Claim