Energy Performance Certificates: When will you need one?
The Government has changed the goal posts, conflicting reports provide confusing messages and the media hype has gone into overdrive. It is no wonder that many organisations are not prepared for tackling energy issues. With the announcement of accredited schemes for non-domestic property, the time has come to look at Energy Performance Certificates (EPCs) and Display Energy Certificates (DECs) in more detail.
Driving the initiative
The EU directive came in to force in January 2003 requiring member countries to “promote the improvement of the energy performance of buildings”. This is to be implemented as The Energy Performance of Buildings (Certificates and Inspections) (England and Wales) Act 2007.
Timescales and type of building affected
At the moment, the proposed timescale for implementation is as follows:
- From 6 April 2008 all commercial building over 10,000 m² (circa 100,000 sq ft) constructed, sold or let will require an EPC.
- From 1 July 2008 all commercial buildings over 2,500 m² (circa 25,000 sq ft) constructed, sold or let will require an EPC.
- From 1 October 2008 all remaining commercial building will require an EPC when constructed, sold or let, and public buildings over 1,000 m² (circa 10,000 sq ft) will have to have a Display Energy Certificate.
- From 1 January 2009 air conditioning inspections will be required for plants over 250kW, with all remaining plants requiring inspections from 1 January 2011.
Accredited Assessors
The lack of Energy Assessors and the shortage of information required for an EPC have meant that many organisations are, understandably, still in the dark.
The Chartered Institution of Building Services Engineers (CIBSE) has recently (10 January 2008) been approved by the Department for Communities and Local Government (CLG) to run an accredited energy assessor scheme. Another 11 accredited schemes have been approved by the CLG although, unlike CIBSE, not all can offer the full range of energy services. The relevant consultants are now enrolling on to courses and a list of trained, approved EPC Assessors will begin to evolve.
What is an Energy Performance Certificate (EPC)?
An EPC is a certificate which summarises the energy performance of a building, produced from detailed information and criteria which is coordinated and reviewed by an Accredited Energy Assessor using approved software. An EPC will be required when new buildings are completed or when sales or letting transactions take place.
What is a Display Energy Certificate (DEC)?
A DEC shows the energy performance of a building based upon actual energy consumption, as recorded annually over periods of up to three years. The 1 October 2008 deadline means that most public buildings with a total useful floor area greater than 1,000 m² (circa 10,000 sq ft) are required to act now if they are to gather data required for their DEC.
The DEC must be displayed in a prominent place clearly visible to the public. The Accredited Energy Assessor will also produce an Advisory Report with recommendations to improve energy performance.
Penalties for non-compliance
The legislation falls under civil law and will be enforced by Weights and Measures Authorities (Trading Standards).
Failure to have an EPC may result in a penalty of up to £5,000. The penalty fine is based upon a sliding scale and is dependent on ratable value of the property. In addition, the construction, sale or rental of a property may be at risk as clients will be unlikely to complete a transaction without an EPC.
Penalties will range from £500 for failing to display a DEC to £1,000 for failing to have a valid Advisory Report.
Next steps
The provision of EPCs and DECs is part of an ongoing strategy for TAP and we have set up a Joint Venture company with APS (Chartered Surveyors and Project Managers) to combine the skills and training of both organisations and to obtain accreditation from both CIBSE and the RICS. We aim to provide not only a comprehensive assessment process for buildings, but also advise on the ongoing management of energy and the training of landlords and occupiers on the effective introduction of economic, low carbon property solutions.
Our intention is to provide a thorough, 'best in class' solution to energy management and property-related matters. We will provide an extended range of statutory compliance assessments including EPCs, DECs, DDA Access Audits and Health and Safety Risk Assessments.
For more details on the energy performance of buildings and property-related matters, please contact Andrew Battersby, The Anslow Partnership LLP. Email abattersby@anslowconsulting.co.uk Tel 020 7553 2050.