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Energy Audit – Part II

March 20, 2009 Featured, Money Matters, REAL ESTATE No Comments

In recent weeks, provincial proposals regarding mandatory home energy audits and the harmonization of the GST and PST have been priorities. TREB and OREA are working closely to bring the concerns of REALTORS® on these issues to the provincial government and all MPPs. Efforts are on-going and opportunities for TREB Members to take action on these issues are being planned and will be launched soon.
Mandatory Energy Audits – Background

The provincial government has introduced the Green Energy Act, which, if passed, would require home owners to provide information regarding the home’s energy efficiency prior to the sale or lease of the property. Energy efficiency information about the property would have to be determined and provided by standardized methods established by the provincial government. The Province has not yet provided information on these details. This legislation has not yet been passed and is not in effect.

TREB / OREA Actions – Mandatory Energy Audits

TREB and OREA are working closely on this issue. Action is underway and additional actions, including options for TREB Members to directly get involved, are being planned. Recent actions have included:

• Meetings with key officials from Ministry of Energy
• Meetings with key opposition party MPPs
• Concerns submitted to all MPPs formally in writing;
• REALTOR® concerns raised by MPPs during legislative debates on this issue
• Meetings scheduled with Premier’s policy staff
• On-going media efforts, which have been successful in generating public attention

Background – GST / PST Harmonization

With regard to the harmonization of the federal Goods and Services Tax with the Provincial Sales Tax, recent public comments made by government officials have suggested that the government is considering this action. Combing these taxes into a single Harmonized Sales Tax (HST) could have implications for home buyers, including:

• adding significant tax to services such as moving costs, legal fees, home inspection fees, mortgage insurance premiums, title insurance, and REALTOR® commissions; and,
• adding significant tax to the purchase price of newly constructed homes.

TREB / OREA Actions – GST / PST Harmonization

Once again, TREB and OREA are working closely on this issue, and opportunities for Member involvement are being planed. Recent actions have included:

• submitting concerns formally in writing to all MPPs
• submitted formal written concerns to Minister of Finance and the Premier
• planning on-going media efforts

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