What is an EPC?
An EPC stands for Energy Performance Certificate.
The EPC (certificate) shows the efficiency of a Building asset.
It highlights both the energy use and carbon emissions per square metre.
The main focus of the front page is a graph - much like those you see for fridges and washing machines - which shows how well, in comparison to others your building performs.
The EPC comes with a separate Recommendation Report, suggesting ways to improve both the energy and emission use.
What is the Purpose of an EPC?
The purpose of a Commercial EPC is to support ongoing global action to overcome the causes of climate change and to support financial savings for you and future occupiers.
Principles behind Energy Performance Certificates:
Every EPC is stored on a central register. Scientists and policy makers can make use of this ever growing database. This accumulates data on building types, fabric, uses and energy assists in identifying common issues that significantly contribute to both high energy use and high carbon emissions. In other words each EPC assists this and future generations optimise the best interventions that reduce climatic impacts of buildings.
Scientists need to understand the state of all our buildings' energy performance to coordinate the best response to tackle climate change; but to obtain a full database of all properties would be very expensive. A much less expensive solution is to therefore collect an ongoing sample of properties, serving as a useful guide to the state of the UK's commercial property. One approach to obtaining a snapshot of properties is during a property's transition. That is why it was passed as law to undertake commercial EPCs when Selling, Renting or Leasing a building; though some Buildings are exempt.
Do I need a Commercial EPC?
A Commercial EPC is required by Law if Selling, Renting or Leasing a building - Some Buildings are Exempt.
Fines for Non-compliance are imposed by Trading Standards; the Building Owner is responsible.
How long does a Commercial EPC last?
The certificate is valid for ten years
Do Shops need an EPC?
A shop is a commercial property and therefore requires a commercial EPC when renting, leasing or selling.
Is it illegal to rent, lease or sell a commercial building without an EPC?
Yes. The legal basis comes from the Energy Performance of Buildings (England and Wales) Regulations 2012; and in Scotland from The Energy Performance of Buildings (Scotland) Regulations 2008
Local authority trading standards enforce and are known to vigorously enforce in some areas.
Penalties for not having an EPC
Civil penalties for commercial properties may be based on the rateable value of the property subject to a maximum cap of £150,000.
How Much Does a Commercial EPC Cost?
Prices vary depending on the size and complexity of the building. Northern Environmental strives to maintain excellent value, which is why we don't display our prices online. However as a guide other online prices for buildings under 250 sqm are around £230.
What is the process for a Commercial EPC?
All Commercial buildings are classified as either Level 3, 4 or 5.
A Commercial EPC can only be produced by an appropriately Qualified Assessor Level (NDEA) who must be registered with a Government approved accreditation scheme.
The assessor will visit the property and undertake a survey of the energy properties of the building. Photographic evidence will also be recorded, for quality assurance purposes.
Once the property has been surveyed the assessor will then model the building based on government-approved methodologies.
Once the modelling is complete the assessor will then generate the report; the Certificate is then lodged on Landmark Register and can be retrieved using a 24 digit pin.
Is a Commercial EPC required for lease renewal?
Generally, for England and Wales at least, yes.
It was common practice, based on Government Guidance before 2018 not to produce an EPC for lease renewals or properties with security of tenure; the rationale being the property is NOT being MARKETED for rent, lease, or sale.
However since April 2018 in England and Wales under The Energy Efficiency (Private Rented Property) (England and Wales) Regulations 2015 - the MEES Regulations - it is now unlawful to lease a building lower than an "E" rating. In short even for lease renewals, an EPC will be required in order to know that the building is compliant with this legislation.