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Energy Performance Certificates

More legislation! More compliance and at a time when the economy can least afford it. But the legislation was passed before the economic downturn, it simply takes affect at a really bad time. We’d advise our clients to give the matter serious consideration and in good time to avoid penalties.

As of 1st October 2008, EPC's (Energy Performance Certificates) are required for every property sold or let whether it be new build, refurbished or old. As Sales, Letting and Management Agents, there will be an obligation for us to provide you will professional advice in regards to how this new legislation will affect you, and ensure your legal advisers not to complete transactions without them

Beat the rush – it’s very likely to happen and there are currently insufficient numbers of qualified assessors available to carry out the assessments. LWE Commercial and 3 Counties Energy Assessments Ltd in Doncaster have aligned themselves to arrange, organise and undertake the assessments for you well in advance and where necessary of property you own or occupy.

We can arrange for them to be carried out throughout the region, or nationally if required. We guarantee priority attention in undertaking the assessments where you contact ourselves or 3 Counties Ltd direct using the “LWE” reference.

Below are some useful points that will hopefully explain the process

Energy Performance Certificates (EPCs)

The new Energy Performance of Buildings Regulations introduce the requirement for non-domestic commercial buildings to have an Energy Performance Certificate (EPC) on construction, sale or rent from 6 April 2008 with full implementation required by 1st October 2008. Some building modifications will also require an EPC on completion.

What is an Energy Performance Certificate?

An EPC conveys summary information about the potential energy performance of a building, its fabric and services. The Energy Performance Certificate gives an A to G rating - called the Asset Rating - of energy performance based on CO2 emissions and includes recommendations for improvement. EPCs will be accompanied by a Recommendation Report highlighting measures which, if adopted, have the potential to save energy and money. Energy Performance Certificates will remain valid for ten years unless the building is modified.

Which buildings need an EPC?

Energy Performance Certificates are required for non-domestic commercial buildings on construction, sale or letting, starting with the largest buildings from 6 April 2008. Some building modifications which result in the addition or removal of building parts and the extension or introduction of Heating, Ventilation and Air Conditioning (HVAC) services will also require an EPC. Implementation started with buildings with a gross floor area over 10,000 m². This was extended to buildings over 2,500 m² on 1st July 2008, and nearly all non-domestic commercial buildings will require an EPC at one of the above trigger points from 4th January 2009.

The following types of building do not require an Energy Performance Certificate:

  1. Places of worship
  2. Stand-alone non-dwellings less than 50 m²
  3. Temporary buildings with a planned life less than two years
  4. Industrial premises with low energy use where the space is mostly not heated or cooled (such as process and heavy engineering workshops and stores with localised work-station conditioning)
  5. Buildings to be demolished within two years

At what point is the EPC required?

On construction:

The constructor gives the Energy Performance Certificate and Recommendations Report to the purchaser on physical completion of the building and notifies Building Control, who will not issue the Certificate of Completion until the EPC is provided.

On sale or letting:

As soon as the building is offered for sale or rent the vendor or landlord must make an EPC available to prospective buyers or tenants. The Energy Performance Certificate may be for the entire building or individual units, and completion of a contract should not happen without it. An EPC is required if the transaction has not completed before the implementation date. Some multi-tenancy sale or rent scenarios are complex and you should seek advice from an accredited expert to determine whether an Energy Performance Certificate is required for the individual unit or the building as a whole.

On modification:

The person undertaking the work is responsible for providing the Energy Performance Certificate and Recommendations Report to the client. They must then notify Building Control, who will not issue the Certificate of Completion until the EPC is provided.

The maximum penalty for non-compliance is currently £5,000, enforceable by Trading Standards. The penalty notice also includes the requirement to produce a valid EPC – this is before the landlord or tenant takes into consideration the delay for occupation or rental stream.

We will be delighted to discuss what is required, how it can be undertaken and when. Please don’t hesitate to contact any of the team at LWE Commercial. Alternatively contact Keith Scott at 3 Counties Ltd, 01302 731062. Our sole aim is to ensure that our activity for our clients is not held up, delayed or affected by the lack of certificates and to ensure all our clients and associates are aware of the legislation and its relevance to them.

3 Counties Energy Assessments

Whether you are searching for new leasehold or freehold property to acquire,
looking for investment property to buy or sell, or have property to manage
ensure you seek good advice first at LWE Commercial Property Advisers.

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