How an EUA works

Building upgrade finance is an initiative that the City of Parramatta Council offers through the NSW Government's Environmental Upgrade Agreement (EUA) Scheme.

The EUA Scheme can assist in financing a broad range of building upgrades, that can benefit both owners and tenant.

Signed agreement

An EUA agreement is a three-way contract between the building owner, finance provider and City of Parramatta where the:

  • building owner agrees to carry out nominated upgrade works to their building
  • finance provider agrees to advance funds to the building owner to finance the upgrade works
  • Council agrees to put a Statutory Rates Charge on the land as security against the loan, and collects loan repayments (passed through to the finance provider) using their standard rates processes.

Loan terms

As Council levys a Statutory Rates Charge equal to the amount of the loan, the financier is provided with a high level of security against default. This enables the lender to offer up to 20 years fixed interest finance, at better than usual rates, as well as being accessible to a wider audience than traditional forms of financing. Repayments on the loan are collected by Council through the rates payment system and paid through to the financial institution. 


Where the tenant makes savings as a result of reduced energy or water costs, the tenant can be asked to contribute to loan repayments equal to the amount of savings they enjoy. These tenant contributions can be used to service the loan, significantly improving the return on investment. Tenants in turn benefit from leasing an upgraded building with improved amenity. Once the loan is repaid the tenant will stop paying contributions and just enjoy the savings from a reduced energy and water bill. 


The EUA Scheme must be used for upgrade works that result in improved energy or water efficiency or which lead to other forms of environmental improvement. Common upgrades such as replacement or refurbishment of air conditioning systems, hot water boilers, refrigeration units, lifts, lighting fixtures, bathroom renovations, or façade upgrades are typical examples.