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Energy retrofit rebates for stratas

Rebates for strata corporations or owners?

When exploring rebates for upgrades and retrofits to improve energy efficiency of strata buildings, the first step is understanding whether the strata corporation or the owner of a strata lot is responsible for the repair and maintenance of the component. The Strata Property Act (SPA) and bylaws set out who is responsible for repair and maintenance including replacement. To learn more see Who pays for repairs? Owner or strata?

Example 1: An owner has a detached home on a strata lot in a bare land strata. The owner is responsible for all parts of the building including the exterior. The owner should look for rebates available to individuals.

Example 2: The gas boiler that heats hot water for a condo building is near the end of its life. Since it’s common property, the strata corporation is responsible for it. The strata council should look for rebates available to strata corporations.

Example 3: The aluminum windows in a townhouse or condo building are 40 years old and many owners would like to have new ones. After checking the strata plan and bylaws, owners and council determine that the strata corporation is responsible for the repair and maintenance of windows. The strata council should look for rebates available to strata corporations.

Example 4: A strata lot in a duplex or townhouse unit has its own gas furnace or electric baseboard heating. The owner is interested in getting a heat pump. The owner should look for rebates available to individuals. The owner will need permission before making alterations to common property such as putting holes in an exterior wall. There are numerous legal considerations. For example, when considering a location for the outdoor compressor unit, check the strata plan to see if the location is designated as common property, limited common property, or part of the strata lot. See Handling requests for heat pumps and air conditioners to learn more.

Example 5: A mixed-use strata has residential and commercial strata lots. Some rebate programs are only available to the residential portion of the strata. Owners of non-residential strata lots might qualify for programs for businesses. Strata corporations should check program details carefully and may wish to seek legal advice. All owners contribute to a special levy by paying their proportionate share. Commercial strata lots would have to pay their portion of a levy for a strata corporation’s project even if they feel they don’t benefit, and vice-versa.

Example 6: An owner in a townhouse complex wants to replace the windows because there are rebates available to individuals. Under the SPA and bylaws, the strata corporation is responsible for exterior walls, windows, insulation, etc. These are common expenses of the strata corporation. The strata expects it might replace windows in 5 or 6 years. However, the owner wants new windows now and offers to pay the cost. She signs an indemnity agreement to take responsibility for the alterations. Six years later the strata owners approve a project to replace the windows in 2 buildings to be funded by a special levy. All owners contribute to a special levy. Owners who chose to pay for work on their own are not exempt from paying their proportionate share of a special levy. To avoid disputes and legal complications, it is advisable to look for rebates for strata corporations, and seek legal advice as needed.

CleanBC Multi-Unit Residential Building Retrofit Program

This program from CleanBC and BC Hydro is available to certain residential condominium strata corporations, purpose-built rental, or equity co-op buildings that have a BC Hydro account. In this article, we will discuss how the program applies to strata corporations.

Buildings must be 3 storeys or higher with common area lighting and central mechanical systems such as heating and ventilation. In mixed-use stratas, only the systems and components that serve the residential lots are eligible. Owners of commercial strata lots may be eligible for other programs. See energy-efficient equipment upgrades for businesses.

The CleanBC Multi-Unit Residential Building Retrofit Program offers the following studies and rebates:

  • Opportunity Assessment
  • Feasibility Study
  • Rebates
  • An energy coaching service is expected to launch in 2025

See the program guide for complete details including eligibility requirements, rebates, and how to apply.

Program 1: Opportunity Assessment

The “opportunity assessment” report provides condominium stratas with a high-level, short-and-long-term plan for transitioning their building from using electric baseboards or gas to high-efficiency heating, cooling, and lighting systems to improve building efficiency. The report might point out opportunities for integrating solar panels and battery energy storage, and EV charging readiness. The report identifies retrofit opportunities, highlights priority retrofits (based on the strata’s priorities and energy savings/GHG (greenhouse gas) emissions) and links strata corporations to available BC Hydro program rebates and other financial supports such as provincial and federal tax credits.

The opportunity assessment is prepared by a BC Hydro Alliance of Energy Professional consultant. It includes a site visit, a customer report, and an excel workbook with a retrofit opportunity register and building data to populate a program database. The assessment workbook functions as the basis for a feasibility study (see program 2).

The opportunity assessment IS NOT a depreciation report or an EV ready plan. While it reviews electrical capacity it DOES NOT meet the criteria of an electrical planning report under the Strata Property Act. However, it may be economical to have the same professional prepare your electrical planning report. Stratas must obtain their electrical planning report from an electrical engineer or an applied science technologist.

If your strata is interested in obtaining an opportunity assessment, pre-approval from BC Hydro is required. Funding covers the cost of the report up to $5,000 but doesn’t cover tax. Once all program requirements are completed, BC Hydro issues payment directly to the consultant.

Any expense incurred by the strata does not qualify as an operating fund expenditure. An expenditure from the contingency reserve fund (CRF) requires a ¾ vote approval at an annual general meeting (AGM) or special general meeting (SGM) as an opportunity assessment report does not meet the majority vote criteria in SPA s. 92 and s. 96.

Program 2: Feasibility Study

Get funding up to $30,000 for a professional engineer to conduct an in-depth analysis of a specific system in your building to prepare for a retrofit project. The study will provide your strata with a detailed equipment replacement/retrofit strategy with a basis of design and a business case based on technical and financial analysis for the specific retrofits the owners are ready to undertake.

The feasibility study will provide a customer report, information on available rebates, as well as an excel workbook that displays all the energy and GHG savings metrics required for issuing an rebate and tracking the program’s success.

Pre-approval from BC Hydro is required. Funding covers the cost of the study up to $30,000 but doesn’t cover tax. BC Hydro can issue payment to the strata or directly to the consultant.

This expense doesn’t qualify as an operating fund expenditure. Any expenditure from the CRF requires a ¾ vote approval at an AGM or SGM as the feasibility study does not meet the majority vote criteria in SPA s. 92 and s. 96.

Program 3: Rebates

There are several rebates available to strata corporations for both fuel switching and energy efficiency. See the tables on pages 6-8 of the program guide for a detailed list of eligible components, equipment, and specifications. The monetary amount of maximum rebates varies for electrically-heated and fossil fuel-heated buildings. Rebates are up to 50% of incremental project costs, max $500,000. Incremental means the difference in cost between replacing the component like-for-like vs. a high-efficency model.

If the strata raises its portion of the project expenses by special levy, a ¾ vote approval is required at an AGM or SGM. A majority vote is required for an expenditure from the CRF if the work is recommended in the most current depreciation report. If not it requires a ¾ vote.

Rebates may interest strata corporations that are responsible to repair and maintain:

  • Rooftop air make-up units
  • Windows
  • Exterior and parkade lighting
  • Central space or water heating
  • In-suite water heaters (if they are the strata’s responsibility under the bylaws)

The program guide includes heat pumps for individual suites. These are applicable to owners of purpose-built rental buildings. Under the bylaws, strata corporations generally do not have authority to spend common funds for work or upgrades within strata lots such as installing individual heat pumps. Seek legal advice before approving a project that includes work that is not the strata corporation’s responsibility under the Strata Property Act and bylaws.

Find a qualified professional

The CleanBC Multi-Unit Residential Building Retrofit Program requires the strata to use a BC Hydro Alliance of Energy Professional. It’s important to check qualifications carefully to ensure you are working with a professional who can deliver all the services you want.

  • The Opportunity Assessment says to select a “consultant” that is a member of the Alliance of Energy Professionals.
  • The Feasibility Study requires a “professional engineer” that is a member of the Alliance of Energy Professionals.
  • If your strata also wants an electrical planning report the Strata Property Regulation requires the strata to obtain the report from an electrical engineer or an applied science technologist.

The BC Hydro website has an online referral form to help match people, businesses, rental property owners, and stratas with a member of the Alliance of Energy Professionals. The form doesn’t have options to indicate you want to participate in the Multi-Unit Residential Building Retrofit Program and there are some questions that are for individuals so they are difficult for a strata corporation to answer. One way to use the form effectively is:

  • In Step 2 “I am looking for”, select “Other” which then proceeds to Step 4.
  • In Step 4, describe waht you’re looking for. Example, “Our strata corporation is interested in participating in the Multi Unit Residential Building Retrofit Program to obtain an Opportunity Assessment and possibly a Feasibility Study. We want to work with an electrical engineer or applied science technologist whose qualifications meet the requirements of the MURB program and who will provide a separate quote to prepare an Electrical Planning Report that meets the requirements of the Strata Property Act.”
  • In Step 5, review and submit.

If your strata already has an electrical engineer or applied science technologist in mind for your Electrical Planning Report, ask them if they are member of the Alliance of Energy Professionals. If not, they can apply to become a member.

Learn more

For more information regarding this program visit BC Hydro’s website
email multiunitoffers@bchydro.com
or call: 604-522-4713 (Lower Mainland) or 1-866-522-4713 (elsewhere in BC)

CleanBC Better Buildings (commercial programs)

Some large stratas might qualify for other programs. CleanBC Better Buildings offers a range of incentives to help building owners reduce GHG (greenhouse gas) emissions.

For buildings up to 75,000 sq feet that currently use natural gas for space heating or domestic hot-water heating and intend to electrify, there are 2 commercial programs:

CleanBC Custom-Lite Program: Incentives are available for an energy study and custom capital funding incentives to help facilitate electrification opportunities for commercial, institutional, and multi-unit residential buildings. Individual Custom-Lite Projects are limited to a total of $48,000 or $72,000 in incentives depending on the equipment.

CleanBC Commercial Express Program: Support for electrification opportunities for commercial, institutional, and multi-unit residential buildings. This program provides a streamlined application process and doesn’t require an energy study to participate. The program offers capital incentives up to a maximum of $100,000 per project.

Contact a CleanBC Small Buildings Energy Coach at smallbuildings@betterbuildingsbc.ca or call 604-522-4713 (Lower Mainland) or 1-866-522-4713 (elsewhere in BC)

Large buildings with a BC Hydro Key Account Manager can check out:

CleanBC Custom Program: Incentives to retrofit your current building and explore fuel switching and other electrification measures in larger buildings. Incentives are available for an energy study and custom capital funding incentives up to $200,000.

Contact your BC Hydro Key Account Manager or the BC Hydro Energy Savings Business Help Desk at incentives@bchydro.com or call 604-522-4713 (Lower Mainland) or 1-866-522-4713 (elsewhere in BC)

Strata Energy Advisor (for stratas)

The BC Retrofit Accelerator (BCRA) has a suite of programs for strata, rental, non-profit, and commercial buildings to kick-start climate and energy upgrades in hundreds of larger buildings across BC.

The BCRA’s Strata Energy Advisor for strata corporations is coming soon! The program will provide advice and support for condo stratas to improve efficiency through energy upgrades timed with replacement projects. It will help strata councils identify opportunities to align your strata’s renewal projects with energy and climate upgrades, helping to achieve zero-emission buildings over time.

CleanBC Better Homes (for individuals)

Owners of residential strata lots in duplexes, triplexes, townhomes, and detached homes (such as in bare land stratas) are generally eligible for certain rebates in these programs. Certain conditions may apply such as household income. Strata corporations are not eligible.

These programs are administered by BC Hydro and FortisBC. The programs offer rebates for heat pumps, heat pump water heaters, high-efficiency windows and doors, ventilation, and insulation. The strata lot must have its own natural gas and/or electricity meter and the account must be in the name of the resident or homeowner. Utility accounts in the name of a strata corporation are not eligible.

Before participating in these programs, determine whether the owner of a strata lot or the strata corporation is responsible to repair and maintain the component.

  • Check the strata plan and bylaws.
  • Except in a bare land strata, the strata corporation is almost always responsible for exterior walls, windows, insulation, etc. These are common expenses of the strata corporation.
  • Owners who wish to add, alter, or replace these components must get the strata’s written permission.
  • The owner is usually required to sign an indemnity or assumption of liability agreement to take responsibility for the alteration.

Future strata projects may complete similar work on other areas of the building as a common expense from the CRF or by special levy.

  • All owners contribute to a special levy.
  • Owners who choose to pay for work to common property on their own are not exempt from future special levies.

To be eligible for CleanBC Better Homes programs, your strata lot must be primarily heated with:

  • Natural gas supplied by FortisBC or Pacific Northern Gas
  • Electricity supplied by BC Hydro, ForticBC, or a municipal utility
  • Oil or propane not supplied by FortisBC
  • Wood or other solid fuels

Visit the CleanBC websites above for details about eligibility, how to apply, deadlines, and more. Have questions? Contact an Energy Coach for information and general advice about energy efficiency upgrades and rebate programs.

Member-only resources

Log in to your account to access the following resources. *Indicates a resource for corporate members only.

  • Handling requests for heat pumps and air conditioners in stratas (slides)
  • Handling requests for heat pumps and air conditioners in stratas (transcript and case law)*
  • Strata alterations – Everything you ever wanted to know (28-page article by Shawn M. Smith, Cleveland Doan LLP)
  • Sample Indemnity Agreement
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