What is an Energy Performance Certificate?
1. According to the Government 50 per cent of the UK’s energy consumption arises from the country’s 25 million buildings.
The Government supports the Kyoto Protocol and so is committed to reducing energy consumption. Improving the energy performance of our buildings will significantly help the country achieve our energy objectives.
2. EPC's are required from 1st October 2008
EPC's are required from 1st October 2008 for all "conditioned" commercial buildings over 50sq metre when they are sold, let, modified (building fabric or services) or constructed. A "conditioned" building is one with a roof and walls which uses energy to condition the indoor climate i.e. some levels of heating, mechanical ventilation or cooling
3. Failure to provide an EPC
Failure to provide an EPC can result in a fine of 12.5% of the rateable value of the building up to a maximum of £5,000. Enforcement is carried out by local Trading Standards departments.
4. EPCs are not required on construction, sale or rent for:
- Places of Worship (e.g churches)
- Temporary Buildings In Use For Less Than 2 Years (Portable Buildings and Site Buildings)
- Low Energy Demand Buildings (example Farms Outbuildings and Barns)
- Stand Alone Buildings Less Than 50 sq m. (Small outbuildings like Sheds or Summer Houses), In general, commercial premises are exempt that are less than 50 sq m Gross Internal Area. (GIA)
5. EPCs are not required on sale or rent for buildings due to be demolished.
The seller or landlord should be able to demonstrate that: the building is to be sold or let with vacant possession; and the building is suitable for demolition and the resulting site is suitable for redevelopment; and they believe, on reasonable grounds, that a prospective buyer or tenant intends to demolish the building (e.g. on evidence of an application for planning permission).
6. An EPC is valid for ten years
or until a newer EPC is prepared.
7. A building can either be the whole building or part of a building designed or altered to be used separately.
The sale and let of commercial buildings can be complex with floors let to different tenants, and with a mixture of retail, office and residential accommodation. The EPC required for any space you offer for sale or let must reflect the accommodation on offer.
8. Selling or letting a building as a whole?
You can prepare an EPC for the whole building, even if that building has parts designed or altered to be used separately with separate heating systems.
9. Selling of letting part of building, where the building has a common heating system ?
If a building has a common heating system, then the seller or prospective landlord can prepare (or make available) an EPC for the whole building or for a part designed or altered to be used separately. The EPC will be based on the energy consumption of the building apportioned in relation to the area of the accommodation being offered.
10.Buildings with separate parts and separate heating systems?
An EPC should be prepared (or made available) for each part of a building that is being offered separately for sale or let. The EPC should reflect the services in those part(s) being offered for sale or let and will include a portion of the energy consumption of any common areas that exist solely or mainly for access to the part.
11. Residential accommodation
Any separate residential accommodation that is self-contained will require its own EPC (using SAP or RdSAP as appropriate). Residential space that can only be accessed via commercial premises (i.e. a house with a shop in a downstairs room or a shop with accommodation where the access is through the shop) will be assessed with the commercial premises as a single building (where SBEM is more appropriate).
12. Transitional arrangements
Transitional arrangements provide that where non-dwellings of floor area 10,000 m2 or more were on the market prior to 1st April 2008, they need to have an EPC by 1st October 2008. If they are rented or sold before then, the EPC must be provided as soon as is reasonably practicable. Similar provisions will apply to non-dwellings of floor area of 2,500 m2 and more on the market before July 1st 2008.
