Published: 18th September 2024
In recent years, it has become increasingly crucial to address concerns regarding energy efficiency and sustainability, including within the property sector. A regulation that is in place to ensure sustainability targets are being met, is the requirement of Energy Performance Certificates (EPCs) within the property industry.
However, do commercial properties need an EPC? In this article, we discuss whether an EPC is a necessity for commercial properties or not.
An EPC provides an assessment of a building’s energy efficiency, giving it a rating from A (highly efficient) to G (least efficient). Along with the rating, the certificate offers recommendations on how to enhance the building’s energy performance, helping property owners identify ways to reduce energy consumption and improve sustainability. Find out more on our previous blog, Understanding Minimum EPC Ratings for Commercial Properties and why they are important.
In short, yes. The majority of commercial properties require an EPC to comply with regulations in the UK. It’s important to know whether or not your commercial property falls into the categories of requiring one. An EPC is required for commercial properties in these instances:
Whilst the majority of commercial buildings require an EPC, there can be a few exceptions, including temporary buildings that will not be in use for longer than two years, buildings that are stand-alone, not connecting to any other properties and less than 50m², and any buildings with a low energy usage. However, you must check local regulations as these exceptions can vary from location to location.
A Display Energy Certificate (DEC) must be displayed clearly in any building over 250m2 that is frequented by the public or houses public authorities. If a building is between 250m2 – 1000m2 then the DEC is valid for 10 years, if a building is over 1000m2 then the certificate is only valid for 1 year. This regulation was put in place from July 2015.
The importance of a DEC is to give the actual rating, known as the operational rating of energy performance of a building and provides an advisory report for considerations on how the occupants can take steps to improve the rating, alongside raising awareness and informing the public of the building’s energy usage. The operational rating is based on the amount of energy the building has used in the last 12 months.
In order to calculate a DEC, a Low Carbon Energy Assessor takes into account the building’s energy usage annually, the total floor area, the type of building, and the heating and cooling systems it has in place.
EPCs are important specifications required for commercial properties to ensure legal compliance and energy efficiency to name a few. In most cases, it is a requirement for commercial properties to obtain an EPC, especially when they are newly built, and or being sold or leased. By understanding the importance of them, property owners can stay up to date and ensure their properties are compliant with regulations and avoid hefty fines, whilst focusing on a more energy efficient future.
If you need any further information about EPCs or DECs, get in touch with us today.