John Southan   John Southan
Assistant Solicitor
Wortley Byers LLP

Changes to Energy Performance Certificates and the New Green Deal Scheme

Sellers, landlords and their agents should take note of the following changes to the Energy Performance Certificate (EPC) regime, which will come into force from 6 April 2012.

  • The requirement to commission an EPC prior to marketing the property will apply to commercial and residential buildings, whether the property is for sale or rent.
  • Currently a seller/ landlord is obliged to use all reasonable efforts to ensure an EPC is available within 28 days of marketing the property but this will be reduced to 7 days.
  • Residential properties on the market before 6 April 2012 can continue to rely on the previous rules after that date, but not commercial or mixed properties.
  • The full EPC, once obtained, is to be attached to the particulars of sale/ letting rather than just the property's energy rating.
  • Compulsory registration of any air conditioning inspection report will be introduced.

Property owners should therefore consider energy efficiency early on in preparation for selling and letting their properties.

Additionally, you should be aware of the government's new "Green Deal" scheme. The Green Deal is expected to begin in autumn 2012.

Occupiers of commercial and residential premises will be able to fund works to improve the energy efficiency of their property without paying the cost upfront. The occupier must use accredited Green Deal providers for the works. The estimated savings would have to exceed the estimated cost of the works. The occupier will pay the cost within its future energy bills at the property.

The utility companies will collect payment as agents for the works provider. The debt will attach to the property rather than an individual so, if the property or tenancy is sold, payment will continue from the buyer in its utility bills at the property. A seller will be obliged to tell a buyer if any Green Deal plan affects the property.

The Green Deal will only apply to a specific range of works and the time period over which repayment is to be made is yet to be set. The detailed regulations governing the scheme are awaited and there is ongoing consultation.

If you require any further advice or assistance please contact John Southan or a member of the Property team at Wortley Byers on 01277 268357 or jsouthan@wortleybyers.co.uk.



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