The Proprietors Strata Plan 30102 v Energy Australia (formerly known as Sydney Electricity)

The Proprietors Strata Plan 30102 (the Owners Corporation) brought proceedings against Energy Australia (formerly known as Sydney Electricity) concerning the supply of electricity to a strata-titled building. The dispute centred on the interpretation of a deed entered into between the parties regarding the provision of electricity services and the associated charges. The matter was heard in the Supreme Court of New South Wales, Court of Appeal.

The primary legal issue before the Court of Appeal was whether Energy Australia was entitled to charge the Owners Corporation for electricity supplied to common property within the strata plan at a rate different from that charged to individual lot owners, particularly in light of the terms of the deed and the relevant legislation governing strata title schemes and electricity supply. The court was required to determine the proper construction of the deed and its interaction with statutory provisions.

The Court of Appeal's reasoning focused on the contractual obligations established by the deed and the statutory framework. It considered the nature of the supply of electricity to common property and whether the deed created a separate supply point or merely regulated the charges for a single supply. The court applied principles of contract interpretation, giving paramount importance to the plain meaning of the words used in the deed, whilst also considering the broader context of the legislation governing strata schemes and electricity supply. The court found that the deed did not permit Energy Australia to charge for electricity supplied to common property at a rate different from that applicable to individual lots under the terms of the deed.

The Court of Appeal allowed the appeal, setting aside the orders of the primary judge. The court ordered that Energy Australia was not entitled to charge the Owners Corporation for electricity supplied to the common property at a rate different from that charged to individual lot owners under the deed.