With the Minimum Energy Efficiency Standards (MEES) to be introduced in April 2018, there has been some scaremongering regarding how the new regulations will affect businesses.
Engineering consultancy firm Cundall has now given advice on how to get the most out of Energy Performance Certificate (EPC) Assessments, with their comments primarily aimed as asset managers and property owners who are concerned that they will no longer be able to lease their property as a result of having an EPC rating of F or G.
The Energy Efficiency (Private Rented Property) (England & Wales) Regulations 2015, better known as MEES, comes into effect from April 2018.
They will initially stop the granting of a new lease on properties with an F or G rated EPC from April 2023 and will then stop the continued letting of a property with an EPC rating of F or G.
These regulations could have a significant impact on the value of a property portfolio if they are not considered and managed in advance. For instance, an EPC commissioned today could affect someone’s ability to continue to lease a property in 2023.
Cundall advises to first of all check the existing assessor’s accreditation scheme; the level and software for the assessment which is provided on the bottom of the certificate.
It is most likely that the rating can be significantly improved if the software is iSBEM and/or it is not a Level 5 assessment.
EPCs produced from simple Level 3 & 4 assessments using free iSBEM software can vary as much as 20% compared to a detailed Level 5 assessment using simulation tools. A 20% variation can be equal to two EPC bands, with the high level assessment generally giving better results.
Furthermore, the simple assessment usually means that the assessor uses default values due to lack of time and knowledge resulting in a worse rating.