Commercial buildings could fail energy tests by 2018

Up to 35 per cent of commercial buildings in the UK could fall below new energy efficiency standards by 2018, warns professional services firm WSP.

The recent consultation launched by the Department of Energy & Climate Change (DECC) proposes to make it mandatory for commercial properties with a poor energy rating (lower than EPC 'E' rating) to be brought up to standard before they can be let from 2018.

But buildings that score an E rating in today's terms could be downgraded to an F rating by the time the regulations come into force because EPC scoring gets progressively tighter as building regulations get more stringent over time.

Construction and property engineering and management consultancy services firm WSP has modelled five reference buildings to show how the EPC bandings have changed between 2008 and 2013 - and how this could have changed against by 2018.

WSP's research suggests that if this is the case, then the proposed MEP consultation could affect up to 35 per cent of commercial property by 2018 - far higher than the 18 per cent mentioned in the consultation.

Anna Walton, WSP's lead on EPCs, said, "EPCs are benchmarked by building regulations which are revised on a regular basis. Our research shows EPC ratings drop half to one band each time the regulations change. By 2018, this could mean that buildings with an EPC 'E' rating today could be classed as an EPC 'F'. That would mean the number of buildings affected by DECC's proposals is much higher than the consultation sets out.

"These proposals will have a significant impact on owners' ability to lease their buildings if they're adopted. Many property owners are already reviewing their buildings and developing proactive strategies in anticipation of the regulations and getting ahead of the game, which is the right approach in our view."

WSP says there are some simple, cost-effective ways to improve a building's energy performance rating. The two simplest approaches are to make sure the EPC is based on accurate data, not assumptions and, where investment is needed, focus on efficient lighting, as this has a significant influence on scores.

Walton added, "Many older EPCs, created just after the EPC regulations came into force, are of lesser quality, and default values where efficiency values could be sourced. This gives a much lower EPC score than if accurate data is used.

"Furthermore, the rules, conventions and quality assurance were less developed than they are today, and many EPCs do not truly reflect the actual condition of the building. The question you need to ask yourself is, if they were re-run in 2018, would they stand up to the inevitable scrutiny of a potential investor?"

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