5 key points of the new Energy Efficiency standards
Despite commercial properties requirements having stipulated the need for an EPC (Energy Performance Certificate) for almost 10 years, there has been few guidelines around energy efficiency within such premises. The Department for Energy and Climate Change (DECC) have now finalised new regulations around commercial EPC, and they become effective from 1st April 2018.
Here’s the 5 main points from the new rules from commercial property owners:
The minimum acceptable Energy Efficiency rating is E
EPC ratings range from A (the most efficient) to G (the least efficient). From 1st April, all commercial properties must have a commercial Energy Performance Certificate that rates them at least as an E. Anything lower will be deemed as unlawful. Providing the E is achieved as a minimum, any improvements to the building’s efficiency can be chosen and implemented by the landlord as desired.
Not achieving an E rating will be unlawful
If your property does not obtain at least a commercial EPC rating of E, you will be unable to lease it out or renew any existing leases. You may also be subject to a monetary fine of up to £5,000.
It’s not all about avoiding a fine!
Increasing the rating of your property’s commercial energy certificate isn’t just a way to avoid getting stung with a fine and blocked leasing. It contributes to the safety of your tenants, can add to the overall value of your property and will help keep energy bills down – a desirable bonus for potential tenants.
In the private rented sector, residential properties will be affected too
If a landlord is renting out a residential property privately, this will be counted as a commercial venture and therefore must meet the new EPC regulations. If you need more information on English or Scottish commercial EPC standards, contact Scottish Energy Services.
There are exceptions to the rule
Properties with pre-existing tenants may be subject to an exemption – but property owners will need to check. Some historically listed buildings will be automatically exempted, so if you have a listed property and are looking for commercial EPC England or commercial EPC Scotland standards, find an expert. If a residential building is to be let out privately for less than 4 months at a time, the energy performance standards will not apply.
However; don’t be complacent. Every exemption must be registered with the government and will be reviewed every 5 years.
Whatever your building type, it’s wise to consult with dedicated energy efficiency experts to ensure you’re in line with the new regulation.