Energy Performance Certificates (EPC)

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If you are selling, renting or building a commercial property, you need a Commercial EPC. There are regulations and statutory requirements for sellers, landlords and agents relating to Energy Performance Certificates for commercial premises marketed for sale on or after the 6 April 2012

 

When is the EPC required?

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An EPC should be provided to a prospective buyer or tenant at the earliest opportunity and no later than when a viewing is conducted or when written information is provided about the building. Even if no marketing takes place it must be provided before entering into a contract to sell.

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How long is an EPC valid for?

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An EPC is valid for up to 10 years unless a newer EPC is produced for the property, in which case only the latter is valid. Are there any circumstances where I don't need an EPC? EPCs are not required on construction, sale or rent for:

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• Places of worship;

• Temporary buildings with a planned time of use less than two years;

• Standalone (entirely detached) buildings with a total useful floor area of less than 50m2 that are not dwellings;

• Industrial sites, workshops and non-residential agricultural buildings with low energy demand;

• On sale or rent for buildings due to be demolished

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What happens if I do not have an Energy Performance Certificate?

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The penalty for failing to make an EPC available to any prospective buyer or tenant when selling or letting non-dwellings is fixed, in most cases, at 12.5% of the rateable value of the building, subject to a minimum penalty of £500 and a maximum of £5,000. There is a default penalty of £750 where the formula cannot be applied. The EPC will still be required.

 

What if I have a building that is subdivided into separate parts?

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Selling or letting a building as a whole: You need an EPC for the whole building. If that building has parts designed or altered to be used separately with separate heating systems then it is also permissible to provide EPCs for each of the individual parts, plus an EPC for any communal areas.

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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 an EPC for the whole building or for the individual part designed or altered to be used separately (in which case Communal areas are ignored).

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.  If selling the whole building it is permissible to provide EPCs for each of the individual parts plus an EPC for the conditioned communal areas or provide one EPC for the whole building.

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How much does an Energy Performance Certificate cost?

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In England, Wales and Northern Ireland, only an accredited commercial energy assessor can supply a valid EPC and recommendation report. An EPC can vary in cost from £60 to £120, depending on the assessor.

Please note that the above information is not an authoritative interpretation of the law and is intended only for guidance. Any legislation referred to, while still current, may have been amended from the form in which it was originally enacted. Please contact us for further information.

 

Please note that the above information is not an authoritative interpretation of the law and is intended only for guidance. Any legislation referred to, while still current, may have been amended from the form in which it was originally enacted. Please contact us for further information.

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