The EPC looks broadly similar to the energy labels now provided with new cars and many household appliances. Its purpose is to indicate how energy efficient a building is.
The certificate will provide an energy rating of the building from A to G, where A is very efficient and G is the least efficient. The better the rating, the more energy-efficient the building is, and the lower the fuel bills are likely to be. The energy performance of the building is shown as a Carbon Dioxide (CO2) based index.
Each energy rating is based on the characteristics of the building itself and its services (such as heating and lighting). Hence this type of rating is known as an asset rating. The asset ratings will reflect considerations including the age and condition of the building. It is accompanied by a recommendation report, which provides recommendations on using the building more effectively, cost effective improvements to the building and other more expensive improvements which could enhance the building's energy performance.
As soon as a building is in the process of being offered for sale or to let, it is the responsibility of the seller/landlord and their agent to make available an EPC to prospective buyers free of charge. (A lease assignment would be considered to be a sale and the assignor and their agent should ensure an EPC is made available).
When a building being constructed is physically complete, it is the responsibility of the person carrying out the construction to give an EPC and recommendation report to the building owner and to notify Building Control that this has been done. Building Control will not issue a certificate of completion until they are satisfied this has been done.
If a building is modified to have more or fewer parts than it originally had and the modification includes the provision or extension of fixed services for heating, air conditioning or mechanical ventilation (ie those services that condition the indoor climate for the benefits of the occupants) then an EPC will be required. When the modifications are physically complete, it is the responsibility of the person carrying out the modification works to give an EPC and recommendation report to the building owner and to notify Building Control that this has been done. Building Control will not issue a certificate of completion until they are satisfied this has been done.
Transactions not considered to be a sale or a let:
The purpose of providing an EPC during the sale or letting process is to enable potential buyers or tenants to consider the energy performance of a building as part of their investment. Not all transactions will be considered to be eligible.
These will include:-
There may be other types of transaction that it might be argued do not require an EPC, for example, living accommodation at a workplace and tied to a job, or not-for-value transactions, but this will depend on the individual circumstances of any case.
The Government's own information about Commercial Energy Performance Certificates can be found here.
The MINIMUM ENERGY EFFICIENCY STANDARDS (MEES) came in to force on 1st April 2018 see our LATEST NEWS PAGE for full details