Energy Efficiency
EPC and MEES
Energy Efficiency in UK Commercial Properties
In the ever-evolving landscape of commercial property management in the UK, energy efficiency and sustainability have taken centre stage.
Two crucial components of this are EPC (Energy Performance Certificate) and MEES (Minimum Energy Efficiency Standards).
In this article, we’ll demystify these acronyms, explain their use, and the differences between them when it relates to commercial properties.
What Is an EPC?
An Energy Performance Certificate (EPC) is a document that provides insights into the energy efficiency of a commercial property. It assigns a rating from A (most efficient) to G (least efficient) based on the building’s energy performance. An EPC is not just about a rating; it’s also a source of recommendations for improving energy efficiency. Property owners, buyers, and tenants can use EPCs to gauge the property’s energy efficiency and identify potential areas for improvement.
When Is an EPC Required?
With commercial properties, an EPC is required in several instances :
- New Builds: When a new commercial property is constructed, an EPC must be obtained.
- Sales: When selling a commercial property, the seller is obligated to provide an EPC to prospective buyers.
- Renting: If a commercial property is being rented out, an EPC must be made available to potential tenants.
EPCs are valid for ten years, and it is the responsibility of the property owner to ensure its availability to anyone who might need it.
Understanding MEES
Minimum Energy Efficiency Standards (MEES) represent a different facet of energy efficiency regulation in commercial properties.
These standards are designed to drive improvements in the energy performance of buildings. MEES make it illegal to lease or renew leases on commercial properties that fall below a specific energy efficiency threshold.
When Do MEES Apply?
MEES came into effect on April 1, 2018, and they apply in the following situations:
- When a commercial property is being let to a new tenant or an existing lease is being renewed.
- The property must meet a minimum EPC rating of “E” or higher to comply with MEES.
Non-compliance with MEES can result in financial penalties and limitations on leasing the property.
Key Differences Between EPC and MEES
EPCs serve as information and advisory tools, while MEES are regulatory standards with legal implications.
EPCs are required when selling or renting a property, with a ten-year validity. MEES apply specifically to the leasing or renewal of leases in commercial properties.
EPCs do not impose mandatory energy efficiency requirements, whereas MEES mandate that a property must meet a minimum EPC rating to be legally let.
EPCs and MEES are both important components of the UK’s push for energy efficiency and sustainability in commercial properties.
EPCs provide information and recommendations, while MEES are mandatory standards that impose legal obligations.
Together, they contribute to a more energy-efficient and environmentally responsible commercial property sector in the UK.