Energy Performance Certificates rate a building's energy efficiency. These A-G ratings (A being most efficient) are based on a thorough assessment that considers factors like insulation, heating systems, and window glazing.
The UK government is driving the nation towards Net Zero emissions, and commercial buildings are a key part of the plan. To achieve this, stricter energy efficiency standards have been set. By 2027, all commercial buildings will need a minimum EPC rating of C, rising to B by 2030.
Currently, only 12% meet these standards. Landlords and tenants need to act now to avoid penalties and prepare for potential upgrades. This guide will equip you with all you need to know about EPC requirements for budgeting and planning.
In the UK, any building up for sale or rent, whether residential or commercial, must legally have an Energy Performance Certificate (EPC).
You Need a Commercial EPC if you:
• Rent or sell the premises of your business.
• Complete the construction of a new building on your premises.
• Make significant changes to a separately occupied part of the premises.
Displaying your commercial EPC is mandatory for certain buildings, but only if they meet these three conditions:
• The building has a total useful floor area exceeding 500 square meters.
• The building is frequented by the public on a regular basis.
• A valid EPC already exists for the building, obtained during its sale, rental, or construction.
An EPC is not required for commercial property if the owner can demonstrate:
• that the building is listed or officially protected, and the minimum energy performance requirements would unacceptably alter it.
• it’s a temporary building that will only be used for 2 years or less.
• the building is used as a place of worship or for other religious activities.
• it is an industrial site, workshop or non-residential agricultural building that doesn’t use much energy.
• it’s a detached building with a total floor space of under 50 square metres.
• the building is due to be demolished by the seller or landlord and they have all the relevant planning and conservation consents.
EPCs are especially useful for potential buyers or tenants. They give a rough indication of how much it will cost to heat and cool the property. This can be a major factor in deciding whether to buy or rent a property.
Valid EPCs are also required by law before selling or buying a property. There are also Minimum Energy Efficiency Standards (MEES) that some properties must meet to be rented out.
An EPC can also help identify ways to improve a property’s energy efficiency, which could result in significant savings.
Schedule a professional assessment: A qualified assessor will evaluate your property and generate a valid EPC. Find an assessor here or let us handle it on your behalf.
Budget for the cost: this varies based on your property size and complexity.
To calculate your building’s EPC, a qualified assessor will consider:
• The size, shape, and overall quality of construction.
• How the building is typically occupied and heated.
Heating Systems Efficiency: how well they convert fuel to heat, type (e.g., furnace, boiler), and control mechanisms (e.g., thermostats) to determine their impact on energy consumption.
Cooling Systems and Ventilation: Similar to the heating systems, an assessor will review any cooling equipment, such as air conditioners, for their efficiency ratings and operational mechanisms to assess their energy use.
Lighting: The types of lighting, particularly those in communal areas, are assessed for their energy efficiency levels. This helps identify opportunities to upgrade to more efficient lighting solutions.
During the assessment, the assessor will also check your property's insulation, focusing on three key areas:
Wall Insulation: materials used, thickness, and how well they've been installed.
Roof Insulation: quality of insulation in the roof or attic areas.
Window Types and double-glazing.
The building's operational impact on the environment is also examined during an assessment.
Actual Energy Use: Data on the building's energy consumption is collected to understand usage patterns. This helps identify areas for potential improvement.
Carbon Emissions: Based on your business energy use, CO2 emissions are estimated to reflect the building's environmental footprint.
Onsite Renewables: If your business uses renewable energy sources, the assessor evaluates their effectiveness and contribution to reducing overall emissions.
Once they have this information, your assessor will use specialised software to generate your EPC rating. This rating will be a letter grade (A-G) along with a numerical energy efficiency indicator (EEI) – both reflecting how energy-efficient your building is.
Commercial property assessments typically take 45 minutes or more, with the size and nature of the building influencing the exact timeframe.
Your EPC lasts 10 years and can be reused during that time, provided that your rating is above F. But if you've made energy-saving improvements, a new EPC could boost your property's appeal when selling or renting. A higher rating makes your home more attractive to potential buyers and tenants looking for energy efficiency.
The price of a commercial EPC depends on the size and complexity of your business, but a building evaluation typically ranges from £150 to £500.
As of April 1, 2023, most properties will need an Energy Performance Certificate (EPC) rating of E or above to be considered compliant with the Minimum Energy Efficiency Standards (MEES).
But that's just the first step. To support the UK's net zero strategy by 2050, the EPC threshold is set to become even stricter in the coming years:
• By April 2027, commercial buildings will need a minimum EPC rating of C.
• By April 2030, the bar will be raised again to a minimum rating of B.
Failing to meet these deadlines comes with financial penalties and non-compliant commercial properties will be listed on a public register.
A high Energy Performance Certificate rating for your commercial property indicates reduced energy consumption, lower operational costs, and increased building value.
Here are the best strategies to achieve a better EPC rating:
- Swap traditional bulbs for LEDs, which use up to 90% less energy and last longer.
- Upgrade Your HVAC Systems: Modern, high-efficiency boilers and air conditioning units significantly reduce energy consumption and operational expenses.
- Proper insulation in walls, floors, roofs, and windows minimises heat loss, leading to lower heating costs.
- Solar panels or wind turbines provide clean, sustainable energy, reducing your reliance on grid electricity and potentially lowering energy costs.
- Effective ventilation systems lower humidity, odours, and pollutants, improving the efficiency of your heating and cooling systems.
Tracking energy data plays a crucial role in improving your commercial EPC rating. Tritility’s Energy Monitoring System (EMS) helps you gain control of all aspects of your energy consumption across multiple areas of your building.
Key Features:
• Personalised Dashboard: Get a clear view of your energy usage, costs, and CO2 outputs.
• Comprehensive Meter Monitoring: Keep track of all meter types, including non-half-hourly and gas meters.
• Out-of-Hours Data: Review your energy consumption during off-peak hours.
• Granular Monitoring: Dive deep with circuit-level monitoring across departments and equipment
Identify areas for improvement
By monitoring energy consumption across lighting, heating, ventilation, and equipment, you know exactly where energy might be wasted. The granular data our Energy Monitoring System provides allows for targeted and impactful improvements, rather than an ad hoc approach.
Evaluate the changes
Once energy-saving measures are in place, you can compare consumption patterns before and after the changes, quantifying the positive impact on your EPC rating.
Discover more benefits with Tritility's Energy Monitoring System.
Working towards Net Zero strategies? We've partnered with Future Net Zero to give you the tools you need to start your carbon reduction journey with insights and analytics that will keep you on track.
How we can help.
EPCs are crucial for businesses, not just for legal compliance but also for cost savings, environmental responsibility, and achieving sustainability goals. By understanding the requirements and benefits of EPCs, you can make informed decisions for your business and contribute to a greener future.
Contact us today for further guidance on your specific business energy needs. Our experts are here to help.