Embedded Networks - Most Frequently Asked Questions

The rise of embedded networks in strata schemes reflects a shift toward smarter, more efficient energy management.

Yet with new opportunities come new considerations, and many strata managers and owners are asking the same questions.

Here, we break down the essentials to help you navigate this evolving space.

What is an Embedded Network?

An embedded electricity network is a private distribution system within a strata scheme or property that connects to the main electricity grid via a Western Power master meter.

It allows for electricity distribution, sales, and in some cases, on-site generation. While some schemes choose to pass on lower prices directly to residents, others may use the network to generate revenue.

Infrastructure is typically owned by the owner’s corporation, though in some cases, a third party may manage and bill for usage and infrastructure fees.

What are the benefits of an Embedded Network?

Embedded networks can reduce living costs, offer competitive electricity rates through aggregated purchasing, and support renewable solutions like solar and batteries.

They remove the need for residents to shop around for retailers, while remaining compliant with energy regulation.

How can an embedded network provide an income or generate savings?

Schemes may secure favourable wholesale electricity rates and on-sell at regulated tariffs, generating income that can fund maintenance or improvements.

Renewable energy can also provide ongoing savings — once installation costs are covered, excess generation sold at regulated rates can provide a steady revenue stream. Alternatively, schemes may choose to pass savings directly to lot owners in line with their by-laws.

EMBEDDED NETWORKS — Most Frequently Asked Questions

The rise of embedded networks in strata schemes reflects a shift toward smarter, more efficient energy management.

Yet with new opportunities come new considerations, and many strata managers and owners are asking the same questions.

Here, we break down the essentials to help you navigate this evolving space.

What is the Embedded Network Code of Practice (ENCoP) and how does it affect Strata?

The upcoming Code will introduce clear requirements for all embedded networks, including billing transparency, dispute resolution, and individual supply agreements.

Even small schemes will be captured under these obligations. You can read more in this detailed article on ENCoP.

Why prepare now if it’s not compulsory until 2027?

Although ENCoP doesn’t take effect until 1 January 2027, registration is expected to commence from July 2026.

Schemes need to prepare well in advance — registration with the Energy and Water Ombudsman, financial planning for compliance costs, and passing the required strata resolutions all take time. Early preparation ensures a smoother transition.

Have government bodies listened to stakeholder guidance during the consultation phases of the embedded network code of practice?

In a large part they have. There are certain administrative aspects such as disclosure, billing frequency and arrears that industry has advocated for changes to that better reflect how Strata schemes operate.

Further consultation is expected late 2025 – early 2026, and stakeholders are encouraged to stay engaged.

Will strata service providers update their offering to meet the new compliance requirements?

At EnergyTec, we are actively reviewing the Code and evolving our compliance package, delivered via our Pharos portal, to ensure strata schemes are supported every step of the way.

The introduction of the Embedded Network Code of Practice marks a significant shift for strata schemes and property owners.

While embedded networks can deliver cost savings, efficiency, and renewable energy opportunities, navigating the regulatory and financial requirements takes planning.

At EnergyTec, we combine technical expertise with compliance knowledge to help you manage these changes with confidence. Whether you’re looking to establish, optimise, or future-proof your embedded network, our team is here to support you.

This article is bought to you by SCA (WA) Sponsor EnergyTec.