Stringent energy efficiency legislation to be introduced in 2018 could blacklist some properties from the rental market, a Gwent expert claims.

From April 2018 new legislation embodied within the Energy Act 2011 will see the imposition of a minimum energy efficiency standard.

The new provision will mean that all commercial and residential buildings with poor rated Energy Performance Certificates, those which fall within the lowest bands ‘F & G’, facing a ban from being rented.

Nick Phillips, of Newport-based of g2a Energy, warns that the new law will affect all types of property and not just those being marketed for rental purposes.

Energy expert Nick said: “Property owners need to realise that the new legislation will not just affect rental property, there will an obvious knock on effect to poor EPC rated buildings being brought to market for sale through diminished valuations, lending decisions and interest from investors.”

Nick advises property owners, especially those who own properties which fall into the lower EPC bands, to ask themselves a few questions.

• Is my EPC rating accurate and how do I now?

• Does the age of my EPC affect its accuracy?

• Did I commission my own EPC or did I inherit it from the previous owner?

• Have I made significant changes to the property since the EPC was lodged?

Nick said: “You don’t need to be a rocket scientist to understand how EPC’s are determined, but if you don’t know the ins and outs of the methodology, you may waste time and money carrying out common sense upgrades only to find out the rating hasn’t moved much.

“Don’t take risks, be sure to adopt a calculated approach to possible upgrades by engaging a specialist to carry out a review of the current EPC as a starting point. Only by doing this will you know for sure if the rating is accurate or could be replaced by a new EPC overwriting any assumptions made by the previous assessor.

"This may mean your true EPC is actually better than you think. If you do need to upgrade your building, a quality energy assessor should be more than capable of providing you with a schedule of the most economic measures and the effect they will have on the EPC rating before you commit funds.

“Don’t put this off, thinking the new legislation may not happen. Climate change and energy security issues are not going away anytime soon, so protect your pocket and your asset by acting soon to lift your EPC rating out of trouble”.

g2a energy Limited is an energy and sustainability consultancy which provides new EPC’s and audits existing certificates. The business, based at The Estates Office, Gold Tops, Newport, employs a combination of chartered surveyors and building services engineers to determine the true performance rating of buildings and determine the most cost effective means of upgrading.

Fact file:

What is an EPC, how are they carried out and why were they introduced? An EPC provides interested parties with an instant view of the energy performance and environmental impact for buildings they may be interested in renting or buying in a recognisable energy label format similar to those, for example, used on fridges and freezers.

How are the ratings determined and by whom? Ratings are determined on an estimated running cost/standard occupancy basis for dwellings, and a CO2 emissions index for commercial buildings from data gathered by qualified Energy Assessors using only the very latest Government approved methodologies.

Who typically would be in the F & G bands? While there is no such thing as a typical F or G rated building, particular aspects of the construction and building services may make it much more likely a building will perform at these levels, as the calculations are complex it is impossible to say with any degree of accuracy which band the rating will fall into without a full survey by an experienced Assessor. This is why the common sense approach to upgrading may not produce the increased rating expected.

What kind of things would these people need to do to raise their property/ies into the higher bracket to comply with the law after April 2018? This could be something simple like changing the lighting, adding insulation to the construction or maybe changing a boiler or it could be far more reaching. Only a calculated assessment can determine the most economic measures for your specific building.