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Minimum Energy Efficiency Standards for Commercial Property

Minimum Energy Efficiency Standards for Commercial Property

What is an Energy Performance Certificate?

An Energy Performance Certificate (EPC) is used to measure the efficiency of a building. Energy Assessors are responsible for producing the certificates, which remain valid for a period of 10 years. EPCs must be produced when a property is intended to be sold or rented out, there are some exceptions to this which are set out in Regulation 4 of the Energy Performance of Building (Scotland) Regulations 2008. The exceptions are:

  • Temporary buildings
  • Stand-alone building less than 50min floor area
  • Non-residential agricultural buildings and workshops with a low energy demand are determined based on multiple factors such as the intended human occupation and the presence of a functioning heating system.

Where a commercial unit forms part of a larger building with shared energy systems, then the EPCs are required for the entire building. However,  if the unit does not share any common energy systems with the rest of the building, then the EPC is only required for that specific unit.

It is worth noting that unlike in England, having a poor EPC rating does not legally prevent the selling or leasing of a property in Scotland.

How do we evaluate efficient energy?

Energy audits are crucial to determine where improvements can be made. There are multiple types of energy-efficient technologies available, such as LED lighting, smart heating and cooling systems, and insulation. All of these measures can help commercial property owners to reduce their energy consumption.

How can we understand the energy rates?

Energy rates are unit rates, which is the price per kilowatt-hour (kWh) of energy consumed. Meanwhile, the standing charge is a fixed daily fee covering administrative costs. To ensure maximum energy efficiency for your property, these rates must be negotiated and compared with multiple energy suppliers. By doing so, you can find the most cost-effective solution for your property.

How can business owners use energy management systems?

Energy Management Systems can provide commercial property owners with real-time insights into their energy consumption, helping to identify patterns and make informed decisions. By monitoring energy usage, tracking costs, and identifying areas for improvement, these systems can aid in achieving optimal energy efficiency and reducing costs in the long run.

What renewable energy options can assist commercial property owners in becoming energy efficient?

Renewable energy options such as solar panels and wind turbines can help commercial property owners become more cost-efficient. These sources of energy can be installed onsite, reducing the reliance on the power grid and generating income through feed-in tariffs and selling the excess energy back to the grid. Promoting environmental sustainability, saving on power costs and generating additional revenue streams.

How to meet the energy efficiency standards?

Commercial property owners can benefit from the expertise of energy consultants to help them meet the minimum standards and become more energy efficient. Energy consultants, as well as specialised solicitors, can provide invaluable experience and guidancein areas such as energy procurement, auditing, compliance and sustainable energy planning.These experts can help commercial property owners to reduce costs by identifying long-term savings opportunities through negotiating favourable energy contracts.

As a commercial property owner, it is important to understand energy pricing, regulatory requirements, and assessing energy-efficienct measures to optimise energy usage and reduce costs. We can help you navigate energy standards in a sustainable and cost-effective way by providing advice on energy-related obligations in legal documents. Wherever possible, we will remove the complexity; explain everything in easy-to-understand language, and make sure you are always comfortable and know what is happening. 

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