68Guideline for orders

68 Guideline for orders (1) This section applies if an application is made to the ACAT under section 64B (1) (c) or section 64C (1) in relation to a rental rate increase. (2) The ACAT must allow a rental rate increase if— (a) for a fixed term agreement to which section 64A applies—the increase is allowed under the agreement and is not excessive; or (b) in any other case—the increase is not excessive. (3) For subsection (2)— (a) unless the tenant satisfies the ACAT otherwise, a rental rate increase is not excessive if it is equal to or less than the amount prescribed by regulation; and (b) unless the lessor satisfies the ACAT otherwise, a rental rate increase is excessive if it is more than the amount prescribed by (4) If a tenant or lessor proposes that a rental rate increase is or is not excessive, the ACAT, in considering whether it is satisfied about the proposal, must consider the following matters: (a) the rental rate before the proposed increase; (b) if the lessor previously increased the rental rate while the relevant tenant was tenant— (i) the amount of the last increase before the proposed increase; and (ii) the period since that increase; (c) outgoings or costs of the lessor in relation to the premises; (d) services provided by the lessor to the tenant; (e) the value of fixtures and goods supplied by the lessor as part of the tenancy; (f) the state of repair of the premises; (g) rental rates for comparable premises; (h) the value of any work performed or improvements carried out by the tenant with the lessor’s consent; (5) If the ACAT considers a proposed rental rate increase is excessive but a lesser increase would not be, it may disallow so much of the increase as is excessive.