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What is the Energy Performance of Buildings Directive?
The EU Energy Performance of Buildings Directive (EPBD) was introduced in the UK from January 2006 with a three year implementation period ending January 2009. Its objective is to improve energy efficiency and reduce carbon emissions as part of the government’s strategy to achieve a sustainable environment and meet climate change targets agreed under the Kyoto Protocol. The EPBD introduced higher standards of energy conservation for new and refurbished buildings from April 2006 and will require energy performance certification for all buildings when sold or leased. In addition it will introduce regular inspections for larger air conditioning systems and advice on more efficient boiler operation for commercial property.
Commercial property
There are two types of energy certificate required for new and existing commercial buildings; Energy Performance Certificates that will be required on construction, sale or lease of all buildings by October 2008 and Display Energy Certificates (DEC) required for public buildings over 1000m2 from April 2008.
1. Energy Performance Certificates From April 2008 all newly constructed non-dwellings will require an Energy Performance Certificate and existing buildings with a floor area over 500m2 will require an EPC when sold or rented. The certificate will include an energy rating, as well as advice on how to make cost effective improvements to the building to make it more energy efficient. The ratings will be similar to those currently used for white goods, ranging from A to G, with A the best and G the worst. From October 2008 the requirement for an EPC will be extended to all non-dwellings sold or rented (not just those over 500m2). From January 2009 air conditioning systems (larger than 12kW) will be subject to inspection every five years.
2. Display Energy Performance Certificates Public buildings over 1000m2 occupied or part occupied by public authorities or by institutions providing public services and therefore frequently visited by the public, will require Display Energy Certificates (DECs). This form of certificate must be publicly displayed within the building and is different in form and content from an Energy Performance Certificate. Display certificates are produced using a different methodology and are based on actual energy usage over a three year period (if available). The building is given an operational rating which assesses how well it has been operated based on actual energy consumption information. Display Energy Certificates will come to come into effect from 6 April 2008 and must be renewed every year.
This is in addition to the requirement for an EPC when a public building is constructed, sold or rented out.
When are EPCs/Display certificates required?
Display Energy Certificates are required annually for all public buildings over 1000m2 from April 2008. Energy Performance Certificates will be introduced for non dwellings upon construction, sale or lease from April 2008.
Newly constructed buildings
All newly constructed buildings will require an EPC. Off plan buildings do not require an EPC until the construction is complete, however the government are encouraging the production of a predictive EPC based on the building regulation compliance check at the design stage.
Commercial Sales and Lettings
An Energy Performance Certificate is valid for 10 years and must be made available to a prospective buyer or tenant at the earliest opportunity before entering a contract for sale of lease but no later than the release of marketing material or the request for a visit to the property. For commercial lettings an EPC is only required for a newly leased property.
There is no need to obtain an Energy Performance Certificate for an existing tenancy. If a valid Energy Performance Certificate still exists when changing tenants no new certificate is required. This applies to both private and social sector landlords and tenants. Who is responsible for commissioning an EPC? Landlords and property managers are responsible for ensuring that an Energy Performance Certificate and/or Display Certificate is made available.
How long is an EPC/Display Certificate valid for?
Energy Performance Certificates are valid for 10 Years except for marketed sales of dwellings where a Home Information Pack is required and the EPC must be no older than twelve months at the time of pack assembly. Display Energy Certificates are valid for 10 years. The accompanying advisory report on cost effective improvements is valid for 7 years.
Are there any enforcements?
Building Control will enforce certification of newly constructed buildings Trading Standards will enforce certification of existing buildings. Penalty fines of up to £5000 will apply if a valid certificate is not produced up to 6 months after the certificate was required or a valid Display Energy Certificate is not displayed.