Updated 3 November 2026
Off the Plan Potential Problem #47: Utility Connections
How can utility delays affect an off-the-plan purchase?
Utility delays can prevent a newly built home from being safely occupied or rented, but the consequences depend on which service is missing and why. Buyers should distinguish unfinished infrastructure from an account awaiting activation. Obtain written information and legal advice before assuming the delay allows settlement to be postponed or the contract cancelled.
A completed kitchen or an installed meter does not prove the property has functioning permanent services. Check electricity, water, drainage, hot water and any specified gas supply, as well as broadband arrangements. Allow for temporary accommodation or other alternatives if the expected moving date changes.
Who is responsible for connecting utilities?
Responsibility depends on the development, contract and service arrangements. The developer or builder generally arranges the infrastructure required by the project, while the purchaser may need to establish retail accounts and book activation. Networks, metering providers, strata managers and telecommunications carriers may also have separate roles that must be coordinated before occupation.
The Planning Portal’s handover guidance separates infrastructure connections from selecting providers. Ask the developer to identify outstanding works, the responsible entity and a realistic completion date for each service. A provider’s retail booking cannot necessarily fix missing building infrastructure or an unresolved network connection.
What should the contract say about utility connections?
Before signing, have your lawyer check which services the developer promises, what must be operational at completion, who pays connection costs and how delays are dealt with. Review the specifications and disclosure documents alongside the special conditions. Marketing descriptions such as ready to connect may not mean that an active retail service is included.
Ask about permanent supply, shared infrastructure, easements, embedded networks and the broadband carrier. The NSW off-the-plan guide identifies service and management contracts buyers should investigate. Have important requirements documented in enforceable terms, particularly if immediate occupation, rental income or working from home is central to the purchase.
Does an occupation certificate prove every service is working?
An occupation certificate is generally required to occupy or use a new building, and a partial certificate covers only the relevant completed part. It addresses regulatory suitability for occupation. It does not establish that your individual electricity account or broadband subscription has been activated, or resolve every question about compliance with the sale contract.
Check the certificate’s scope and the contract. Where the statutory term for off-the-plan strata contracts applies, the vendor must serve the relevant certificate at least fourteen days before completion. Its application has conditions and exceptions. Settlement and lawful occupation must be checked separately.
Can you refuse to settle because utilities are unavailable?
A missing utility does not automatically entitle you to refuse settlement. Your lawyer must assess the contract, applicable statutory protections, the actual defect or delay, and any notices already served. An unjustified refusal can expose a purchaser to default consequences, even where the connection problem is inconvenient or causes additional expense.
Raise the issue before the completion deadline. Your lawyer may seek evidence, negotiate an extension or propose a documented resolution. Do not deduct money from the settlement balance without an agreed or legally available basis. Off-the-plan statutory protections have their own conditions and timeframes.
How should you check electricity, water and gas arrangements?
Confirm that the permanent services for your particular lot are installed, approved where required and capable of activation. Match the final address, lot or unit number and service identifiers with the provider’s records. Check hot water and wastewater arrangements as well as incoming supply, especially where the building uses shared systems.
An electricity NMI identifies the connection and differs from the meter serial number. Ask about any temporary construction supply. Water connections may involve shared services or different metering arrangements; do not assume every apartment has its own account. An all-electric home does not need a gas connection.
Why can broadband be delayed after the building is finished?
A finished building may still require telecommunications infrastructure, address registration, installation appointments or retail activation before broadband works. Identify the network serving the development and confirm its readiness for your exact premises. Then arrange a suitable plan with a provider; the developer’s infrastructure arrangements do not automatically create your internet service.
Not every development uses nbn. Where it does, follow nbn’s guidance for new properties and ask the provider about equipment, appointments, charges and activation dates. For essential home-office use, check mobile coverage and a practical backup rather than relying solely on a projected connection date.
What should you check about embedded networks?
An apartment development may supply electricity, gas, central hot water or air conditioning through an embedded network. Obtain the supplier’s terms, current prices, metering arrangements and connection charges before committing. Ask whether switching providers is practically available for each service; owning the apartment does not necessarily give you unrestricted retail choice.
From 1 July 2026, relevant NSW embedded-network sellers must join EWON and publish service and price information. IPART’s current guidance distinguishes those obligations from the new maximum-price and billing requirements, which are expected to commence in the first half of 2027. Do not assume all reforms already apply.
What should be checked at the pre-settlement inspection?
Use the pre-settlement inspection to identify whether services actually operate, rather than relying only on their appearance. Arrange appropriate professional checks where necessary and report problems promptly through your lawyer. Identify whether a problem affects your lot, common property or the wider network, because the responsible party and remedy may differ.
- Record visible meters, service labels and any reported outages or incomplete work.
- Check available hot and cold water, lighting and installed appliances safely with the appropriate person.
- Obtain written commissioning or activation information; do not tamper with locked equipment or improvise connections.
Can you rent the property before every connection is complete?
A landlord must provide premises that are fit for habitation and meet the applicable minimum standards. Missing essential power, plumbing, hot water or sanitation can prevent that. The absence of an internet subscription does not automatically have the same legal effect, although contractual promises about connectivity and the property’s particular circumstances still matter.
The NSW minimum standards cover energy supply, plumbing, water and bathroom facilities. Check lawful occupation and actual readiness before promising a tenancy start date. Distinguish infrastructure obligations from a tenant’s retail account arrangements, and tell the managing agent promptly about unresolved services.
Who should you contact if the connection problem remains unresolved?
Complain first to the entity responsible for the problem and keep the complaint reference, explanation and promised resolution date. Provider activation and billing disputes follow different routes from defective construction or a developer’s contractual breach. Involve your lawyer early if settlement, occupation or a legal deadline is approaching while the issue remains unresolved.
EWON handles eligible energy and water complaints involving its members; the TIO handles eligible phone and internet complaints after the provider has had an opportunity to respond. Building issues may involve Building Commission NSW, the owners corporation and NCAT’s home-building jurisdiction. Sale-contract relief may require court proceedings. A complaint does not itself suspend settlement or preserve every claim deadline.
Can you recover accommodation costs or lost rent?
Compensation depends on an established legal basis and evidence connecting the delay to recoverable loss. Accommodation expenses, additional charges or lost rent are not automatically payable by the developer or provider. Relevant matters include contractual obligations, causation, foreseeability, exclusions and reasonable steps taken to limit losses while the problem is addressed.
Keep invoices, payment records, booking changes, rental evidence and dated correspondence. Record reasonable alternatives considered. Avoid assuming every business loss or legal fee will be reimbursed, and obtain advice before signing a settlement or release that might affect further claims.
What does the V and V Properties case show about electricity delays?
In V & V Properties Pty Ltd v CSR Building Products Ltd [2009] QSC 207, completion of a Queensland industrial-land purchase depended on utilities being available at the boundary. Electricity was unavailable on settlement day. The Supreme Court of Queensland held that the purchaser validly terminated and ordered its bank-guarantee deposit returned.
The contract concerned three lots in a new industrial estate. Conduits and supply arrangements existed, but connection pillars had not been installed and electricity was not actually available as required by the negotiated condition. Administrative arrangements did not satisfy that condition.
This was a Queensland industrial transaction, not a NSW apartment dispute. Its practical lesson is to define connection obligations precisely and verify actual readiness. It does not create a general right for NSW purchasers to terminate whenever a utility is delayed.
How can you reduce the risk before moving in?
Prepare a written checklist covering infrastructure completion, occupation approval, provider activation and unresolved defects. Confirm dates with the responsible organisations and allow realistic flexibility for moving, leasing or working from the property. Seek legal advice before relying on a promised handover date or accepting a proposed solution to a missing service.
For off-the-plan purchase advice and contract review, contact Christine Manolakos and CM Lawyers. A lawyer can assess the connection clauses, completion requirements and available responses against your particular contract, while appropriate technical professionals verify the condition and operation of the services.
General information only, current at 3 November 2026. Have a lawyer check your contract, notices and circumstances before relying on this guide.
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