2.III.i. Progress and current status on EPCs at sale or rental of buildings – OVERVIEW

In some Austrian provinces, EPCs have been issued for buildings (as a basis for granting subsidies) for many years. In Austria, issuing an EPC became mandatory in 2012 through the federal law “Energieausweis‐Vorlage‐Gesetz”¹⁶ at the point of sale or rent of a building or building unit following the implementation of the EPBD (Directive 2010/31/EU). An EPC has to be provided for both residential and non-residential buildings (commercial and public) and is valid for ten (10) years.

In December 2012, the Federal Law Gazette I No. 137/2006 and its recast No. 27/2012 (EAVG) was tightened by implementing a penalty (up to 1,450 €) if an EPC is not provided by the owner in the case of selling or renting a property.

A complete update of the various systems in place for some years has been carried out since 2017. This includes:

• An improved methodology and a new software programme incorporating cost-effective recommendations for dwellings.
• A new EPC template for houses and apartments. The new template is more attractive and clear, and highlights the recommendations for both common and private areas in condominiums.
• New software and an enhanced methodology for public buildings developed in early 2017.
• Establishment of a structural dialogue and increased participation of accredited experts.

The Flemish Energy Agency is the responsible organisation for implementing EPCs. In January 2006, the certification of new buildings started with the implementation of the energy performance requirements. 

More than 265,000 EPCs for new buildings have been issued in the Flemish region since 2006.

For existing residential buildings (for sale), certification started on 1 November 2008. In case of the rental of existing houses, certification is compulsory as of January 2009. More than 1.5 million EPCs for existing residential buildings have been issued since then. For small non‐residential buildings, certification started on 1 January 2020 in case of sale or rental. Approximately 2,300 certificates were issued from January to mid-April. The implementation of the energy certification scheme for large non-residential buildings is still under development and is expected to start in 2022.

Only a qualified expert can issue an EPC, and the qualified expert has to use a specific certification software, provided by the Flemish Government. All EPCs must be reported to a (non‐public) database¹³, which is the property of the Flemish Energy Agency. Qualified experts can only view their own files/EPCs.

The energy score on the EPC is based on a calculation (asset rating). The EPC was updated and the new EPC was launched in the beginning of 2019, showing the energy performance in terms of labels (F to A) and offering a more detailed advice for (staged) renovation towards achieving the 2050 goal (depending on the qualified expert’s input). For single-family houses the EPC also shows the renovation costs.

An EPC has to be available from the moment a building is put up for sale or rent. The buyer receives the EPC, and in case of rental, the tenant receives a copy of the EPC. In case of sale, the notary has to report the absence of the EPC to the Flemish Energy Agency. Since December 2015, the notary has to pay a fine when they do not report the absence of the EPC to the Flemish Energy Agency. When an EPC is not available by the time of advertising, the seller has to pay a fine.

The EPC is valid for a period of ten (10) years. Currently, there is no obligation that a new EPC should be issued in case of renovation.

From 2022, an EPC will also have to be available for the common parts of an apartment building. This obligation is separate from sales and rentals. It is an instrument to familiarise the owners and the building manager with the energy performance of the building and to inform them about the best steps to be taken to start the energy-efficient renovation.

The EPC for common parts contains information and advice concerning the common parts of the building, e.g. building envelope, collective central heating installations or ventilation systems covering multiple units, etc. As not all information is available for the certifier (information about the individual heating systems, etc. is encapsulated within the individual EPCs), the EPC does not contain a global energy score of the building. The EPC information of the common parts is used when the EPC of an apartment in the building is prepared. The two certificates (for the apartment unit and for the building’s common parts) complement each other.

The EPC for common parts is also valid for ten (10) years. However, since this EPC serves as the basis for the EPCs of the individual apartments in the building at any moment in time, it is mandatory to update it when major energy renovation measures have been performed.

a. Oversight and administration system

For existing residential buildings, a dedicated, stand-alone software called PACE¹² is used by assessors to input the building data collected, after which the server generates the EPC. The PACE software includes built-in validation rules which prevent incomplete EPCs from being sent to the database. It also contains validation rules for input data to prevent mistakes (with rules prohibiting or flagging certain values). The files with the building data and the EPC are recorded in a database before the certificate is sent to the assessors by e-mail in a PDF format.

b. How apartments are certified in apartment buildings

Certification is performed individually for each apartment. In case systems are collective (e.g., heating or cooling system, ventilation, and/or RES), an assessor performs an initial report regarding those collective systems, and data is collected and inputted into a database in order for the certificates for each connected apartment to be issued.

c. Format and content of the EPC

For residential buildings, the EPC (Figure 7) contains graphics regarding the global evaluation of energy performance, information on input data and recommendations. It also includes illustrations and comments as well as explanations of the importance and type of documentation that can be considered as acceptable evidence.

Figure 7. Graphic layout of the EPC.

d. EPC activity levels

Between June 2010 and late June 2020, more than 600,000 EPCs for existing residential buildings were registered in the database. This represents about 38% of the building stock. It is not possible to know how many EPCs have been issued for building renovations, since it is not a mandatory EPC input data.

For new residential buildings, 53,870 EPCs have already been issued and registered in the database.

e. Typical EPC costs

For existing residential buildings, the certification process is quick (about four hours), in order to keep the price – which is displayed on the certificate – low. In the early stages of certification, the average price for single-family houses was 480 € (VAT included). Currently, it is about 240 € (VAT included). The average price for an apartment was initially 250-350 € and is currently about 165 €.

The total turnover generated since the beginning of the certification of existing residential buildings in June 2010 is about 141 million € (VAT included).

f. Assessor corps

By June 2020, more than 1,780 assessors were accredited.

For a firm to be accredited, there must be at least one accredited expert working for the company.

g. Compliance levels by sector

From May 2015, an administrative fine of 1,000 € is due in the absence of an EPC at the time of the transaction. The fine will be doubled in the case of recidivism within three (3) years. From 1 January 2019 to 31 December 2019, this fine has been applied eleven (11) times. Other fines are also incurred, e.g., for failing to communicate EPC results to the buyer or tenant.

According to the Energy Efficiency Act in force, an EPC is mandatory for the purpose of selling or renting out a new or existing building (or an individual building unit). However, there are exceptions for some buildings: buildings of cultural merit, places of worship, and residential buildings with a limited annual time of use, to name a few. The energy performance of a new building, before the commissioning stage, is required to be certified by an “Energy Performance Certificate of New Building”.

In all of these cases:

1. Upon the sale of the building as a whole, the seller shall provide the purchaser with the original EPC of the building.

2. Upon the sale of a building unit in a building, the seller shall provide the purchaser with a copy of the EPC of the building.

3. Upon renting the building, or a building unit therein, the landlord shall provide the tenant with a copy of the EPC of the building.

As of January 2014, sale advertisements published in the media must indicate the building energy class. This obligation is commonly followed.

The law imposes penalties for owners who fail to provide an EPC at the time of selling, renting, or leasing a building. Penalties are also imposed if the owner fails to deliver the EPC to the buyer, or if they fail to indicate the energy class in the sale advertisement published in the media.

EPCs for buildings that are for sale or rent have been mandatory since 2010. In late 2015, it became mandatory for the central government to buy and rent only high energy-efficient buildings, meaning only energy class B or better. Currently, EPCs that have been issued for existing buildings represent 10.6% of the total number of EPCs issued. The National Energy and Climate Plan acknowledges strengthening the role of EPC in the real estate market as one of the measures needed to achieve 2030 goals. This will require the revision of sale and rental legislation and the further connection of the EPC with financial incentives.  

The building owner covered by the Energy Management Act must show and hand over the EPC or its verified copy when selling or renting the building, either as a whole or in part. The handover must happen at the latest when signing the contract; this applies for all building types. An EPC issued for an apartment building serves as an EPC for each apartment unit within the building. In case of sale or rental of an apartment unit, the Apartment Owners Association must provide the EPC to the apartment unit owner.

If the building owner does not fulfil these obligations, a penalty can be imposed by the State Energy Inspection.

The price of the EPC can typically range between 120 € and 150 € for an apartment or for a single‐family house, and may go up to between 2,000 € and 3,000 € for hospitals or large apartment buildings.

The Danish Energy Agency is responsible for implementing the EPC system. All EPCs are registered in a central database and displayed on the public website www.sparenergi.dk. In Denmark, a total of around 60,000 new EPCs are registered annually (Table 4).

Table 3. Number of yearly issued EPCs from 2010 to 2019.

It is estimated that the compliance level is high due to few complaints received from tenants and buyers.

A survey from 2016 reveals a high awareness of the EPC in Denmark. Nine out of 10 respondents recognise that they have received an EPC when purchasing their property. In addition to that, 92% have read parts of the report, and more than half have read the entire report.

The survey also showed that the recommendations in the EPC report are particularly relevant to owners with properties marked as either D, E, F or G. Among these, 39% have acted on the proposals in the EPC report to make energy-efficient renovations.

Figure 5. Labels used in the Danish building energy performance certification scheme.

Estonia has one central public building register, named 'Register of Construction Works'¹³, through which experts issue EPCs. All the EPCs issued, including related data, calculations and other information available, are compiled into this database, which is publicly available to all citizens.

EPCs are required for all new buildings and for the sale or rental of existing buildings. Some building types, such as buildings with heated floor area smaller than 50 m², are excluded by default (as stated in the Land Use and Building Act and the Energy Performance of Building Act).

Legislation to implement the requirements of the EPBD was adopted at the beginning of 2013 and came into force in June 2013. All requirements apply to private and public buildings (residential, commercial and public).

EPCs are needed for all new buildings, along with the building permit application. For existing buildings, an EPC is needed when the building (or a part of a building, e.g., an apartment) is sold or rented. Energy performance certification extends to the whole building or a significant portion of the building if the building has multiple usage areas. Single apartments are not certified separately.

The transition periods for the implementation of EPC requirements are given in Table 6.

Table 6. Implementation of EPC requirements.

New building types were included on 1 June 2017; an EPC is now also required for swimming halls, indoor skating rinks, warehouses, logistics buildings and motor vehicle buildings (garages over 50 m²).

The Ministry of the Environment is responsible for legislation and guidelines regarding EPCs, EPC templates and other instructions concerning the issuance of certificates.

The EPC is produced by a qualified expert. The ARA is the administrative authority ensuring the quality of certificates and qualified experts, and the appropriate preparation and use of the EPCs. As the responsible authority, it also makes compliance checks of issued EPCs.

Format and content of the EPC

The current EPC layout is shown in Figure 6. The EPC layout changed in 2018 as the legislation for EPCs was aligned with the renewed National Building Code, especially pertaining to new buildings. There are two EPC versions in use in Finland, one according to 2013 legislation and another following the legislation of 2018. EPCs for all new buildings are issued by the 2018 EPC layout.

Figure 6: Current format of the EPC in Finland (new EPC introduced in 2018).

Certification requirements, as well as the format and content of the EPC, are the same for residential, non-residential and public buildings. The energy label classifies buildings on an efficiency scale, ranging from A (high energy efficiency) to G (poor energy efficiency). As an example, the efficiency scale for apartment buildings (2018) is shown in Table 7.

Table 7: Efficiency scale for apartment buildings.

Energy performance is based on overall primary energy consumption (kWh_E/m².year), taking the energy source (primary resource factor) into account. Primary energy factors for energy sources are fixed in the National Building Code as described previously in Table 2.

The EPC is always based on calculated energy consumption, which makes it possible to compare different buildings instead of different users. For existing buildings, information on the available measured energy consumption must be reported alongside the calculated energy consumption if the information is available. A qualified expert must inspect the renovated building and assess the energy efficiency of the building elements and components as well as the technical systems (external walls, doors, windows, heating and DHW systems, ventilation systems, lighting and other electrical systems, e.g., electrical heating systems). An on-site inspection is required.

The qualified expert must suggest targeted cost-effective energy saving measures to be included in the EPC. Savings in kWh_E/year must be calculated in detail for each measure.

The EPC is valid for ten (10) years. However, it is recommended, though not required, that the certificate is updated following a major reconstruction of the building envelope or of the technical systems, even if the works take place before the expiry date.

EPC activity levels

Since the legislation changed in June 2013, about 62,672 EPCs have been sent to the ARA, of which 34,034 have been produced in 2015. At the end of 2019, there were altogether 138,548 EPCs in the EPC database that was launched in 2015.

Typical EPC costs

The cost of the EPC depends on the building type and size. The price of an EPC for a new single-family house is about 150 - 200 €, and for an existing single-family house, 300 - 360 €. Costs of EPCs for larger residential and for non-residential buildings are not available, but the costs vary according to building size and type as well as other factors such as location and materials available (energy consumption, etc.). The prices are according to the last survey completed in 2016. The next survey is planned to be completed within 2020.

Assessor corps

The Ministry of the Environment originally designated two accreditation bodies, “FISE Oy" and “Kiinteistöalan Koulutussäätiö ry”, to approve qualified experts; at the end of 2019, only FISE Oy is working as an accreditation body. There are two levels of qualified experts, with the higher level needed for buildings requiring dynamic simulations (e.g., for new buildings with cooling facilities). To ensure the quality of the EPCs, the Ministry of the Environment, Housing Finance and Development Centre ARA, the accreditation bodies as well as training organisations work together so that the experts are able to maintain and develop their professional skills.

To apply for accreditation, the expert must have adequate training and a suitable educational background (e.g., a degree in building technology or architecture or, for the higher level, a master's degree in building technology or a related field), the lack of which can be compensated with work experience. The qualification has to be approved by a test administered by the accreditation body, and is valid for seven (7) years, after which it needs to be renewed. Qualification and accreditation for qualified experts is the same for all building types, public and private. At the end of 2019 there were altogether 1,181 registered qualified experts, of which 821 possess base level qualifications, and 360 possess higher level qualifications.

The French EPC, called “Diagnostic de Performance Energétique” (DPE), was introduced in 2006 and is issued by a qualified expert. Issuing an EPC for both existing and new buildings requires the qualified expert to assess the thermal efficiency of the building following an on-site visit, by inspecting the envelope, HVAC and domestic hot water systems. Once issued, the EPC is automatically sent to the EPC national database (mandatory since 2013), and is valid for 10 years. The energy performance can either be estimated (using a calculation methodology) or measured (using energy bills), depending on the building’s type.

Table 3. Methods used for assessing compliance with EPC standards.

The precise number of EPCs issued as of April 2013 can be determined based on the data provided by the national EPC database. Table 4 shows a total of nearly 3.8 million EPCs registered on the database. The number of EPCs before 2013 can only be estimated.

The total figure (before and after 2013) is estimated to circa 13 million EPCs for all building types, which represents more than a third of the national building stock.

Table 4. Total number of EPCs issued since 2013.

The requirement to show or hand out the EPC is compulsory when showing a flat or building to the prospective buyer or tenant at the latest. In case of non-compliance, a penalty can be issued to the owner of the building by the local authorities named by the regions (normally the building authority).

The legal requirement in Greece that each new rental or sale transaction must be accompanied by an EPC still remains³. The only change, according to Law 4342/2015, Article 58, paragraph 3, is that from 9 November 2015 all new rentals must adhere to the unique protocol number of the EPC being inserted into the electronic platform of the General Secretariat of Information Systems of the Ministry of Finance (www.gsis.gr).

According to the National Energy and Climate Plan (NECP), some regulatory provisions are expected to be promoted in 2020. More specifically:

• After 31 December 2023, all buildings housing public authorities must be classified under energy category B or higher on the basis of the EPC;
• As of 1 January 2021, all new buildings or building units rented or purchased by central government bodies must be nearly zero-energy buildings (energy category A or higher);
• As of 1 January 2021, for each building or building unit that is available for sale or rent, the energy efficiency index shown in the EPC should be declared in all commercial advertisements.

Issued EPCs

Until the end of 2019, a total number of 1,815,232 EPCs have been issued according to the Energy Inspections Department. In 2019 alone, 315,804 EPCs were issued. The number of EPCs according to the reason of issuance is presented in Table 3⁴. The Departments of Energy Inspection have developed a web platform which provides many statistical data of the issued EPCs (http://www.ypeka.gr/Default.aspx?tabid=907&language=el-GR).

Figure 3 presents the total number of issued EPCs per year. Figure 4 depicts the energy categories of the residential buildings equipped with EPCs, while Figure 5 shows the energy categories of the tertiary sector buildings equipped with EPCs.

Table 3. EPCs according to the reason of issuance.

Figure 3.  Issued EPCs per year.

Figure 4.  Energy categories of residential buildings.

Figure 5.  Energy categories of tertiary sector buildings.

Energy auditors, inspectors’ qualifications

The required qualification of energy auditors and their classification in three categories was set with Law 4409/2016 (part 3, Article 52), approved by Parliament in July 2016. According to this law, the energy auditors are classified in three categories: Class A, Class B and Class C.

Class A: energy auditors/inspectors that belong to Class A can perform audits and inspections for the following categories:

• building audits for buildings or building units with a total area lower than 250 m²;
• heating systems inspections for heating systems with a heating capacity lower than 50 kW;
• AC system inspections for AC systems with a cooling capacity lower than 50 KW.

Eligible: all auditors/inspectors already registered in the national registry.

Class B: auditors/inspectors in Class B can perform audits and inspections for:

• buildings or building units from 250 m² to 1,000 m²;
• heating systems with a heating capacity from 50 kW to 400 kW;
• AC systems with a cooling capacity from 50 kW to 400 kW.

Eligible: auditors falling under class A who have conducted at least 30 audits of Class A, 20% of which for non-residential buildings with heating systems or AC systems larger than 15 kW.

Class C: auditors in Class C can perform audits and inspections for:

• buildings or building units above 1,000 m²;
• heating systems with a heating capacity above 400 kW;
• AC systems with a cooling capacity above 400 kW.

Eligible: auditors that have successfully passed the examination foreseen by Presidential Decree 100/2010 Article 9 or auditors that fall under Class B who have already conducted at least 10 Class B audits.

At the end of 2019, the total number of energy auditors/inspectors registered in the National Registry for Energy Auditors was 21,489. Table 4 classifies them by type of inspections.

Table 4. Energy auditors/inspectors by type of inspections.

Since January 2013, EPCs are registered in a central database operated by the Lechner Knowledge Center. The database is partly public. In the public part, a building´s energy performance class can be searched by using its address. Statistical information from the database is also publicly available, but only a limited number of searching criteria are allowed. Detailed statistical analysis is only for internal use. The licences for the certified experts are issued by the Hungarian Chamber of Engineers and the Chamber of Architects. The Chamber of Engineers runs the control system of the EPCs.

The EPC assigns an energy performance label to residential and non-residential buildings or building units, and it lists cost-effective measures for improving their energy performance. The energy label classifies the buildings on an efficiency scale ranging from AA++ (high energy efficiency) to HH (poor efficiency). The classification is based on the specific yearly primary energy need. The labels of the new EPC’s are presented in Figure 6.

Figure 6. Number of EPCs in function of energy class registered in the electronic system in 2016.

The cost of a certificate for an apartment unit is set by law (40 € + VAT per unit) when the certificate can be prepared based on plans and declarations²⁴. The same price applies for single-family houses. This cost has often been criticised by experts as unrealistically low, which has a strong negative impact on the quality of the certificate. For non-residential buildings, there is no legally defined price for an EPC.

Residential buildings constructed in the period 2015-2020 were considerably more energy efficient than those built in earlier periods, with 97% given an “A” rating compared with 35% in 2010-2014 and 1% in 2005-2009. There are 1,623 EPCs for non-residential buildings constructed between 2015 and 2020. Over one fifth (21%) of these buildings received an “A” rating compared with 8% of non-residential buildings constructed during 2010 to 2014⁵.

Currently, it is mandatory to draw up the EPC in the cases of sale, rental and transfer of the property (except in the case of leasing a single real estate unit). The transposition of Directive 844/2018, DL 48/2020, made it mandatory to include the EPC with the contract. Fines set at the national level range between 3,000 € and 18,000 €. Regions and autonomous provinces are in charge of control.

Since January 2012, it is mandatory to display the EPC rate in the commercial announcements of real estate agencies and, since October 2015, it is mandatory to display a plaque reporting the non-renewable and renewable energy performance index in terms of primary energy, the energy class and the envelope transmission performance (Figure 4). Fines range between 500 € and 3,000 € for people responsible of defaulting announcements.

Figure 4. Plaque in commercial advertisements from October 2015.

Latvia is currently amending the LEPB, which includes improved requirements for EPC issuing and sanctions.

A valid EPC is mandatory for all sale or rental transactions of buildings. The EPC for existing buildings requires the indication of energy efficiency improvement measures. The owner of a building must present a valid EPC to a potential buyer or tenant. When issuing the EPC, a qualified expert visits the building and assesses the geometry and the type of construction (walls, windows, insulation, thermal bridges, ventilation and airtightness, etc.) as well as the type and quality of heating, ventilation, AC and hot water systems. The establishment of the EPC includes a calculation of the heating and primary energy needs of the building. In case of sale, the notary checks the presence of the EPC. They will not proceed to the sale if there is no EPC.

EPCs were first introduced in Malta with the ratification of Legal Notice 261 of 2008² and made mandatory for housing units when built, sold or rented after 2 January 2009. For all other buildings, energy performance certification was made mandatory as of 1 June 2009.

The EPC methodologies Energy Performance of Residential Dwellings in Malta (EPRDM), and Simplified Building Energy Model for Malta (iSBEMmt) for residential and non-residential buildings, respectively, have become the approved national methodologies for certification purposes by means of Government Notices 1025 and 1035 of 2015 issued in October of the same year.

Where a building is not yet constructed, the certificate is based on a design rating, while certificates for completed buildings are based on an asset rating. In either case, the certificate is valid for 10 years and is stored in a central national database.

In recent years, administrative processes to ensure that EPC requirements are adhered to have been intensified. This has led to an increase in the ratio of the number of EPCs to existing households from an estimated 2% in 2014 to 23% by the end of 2019.

This process has been further enhanced through close collaboration with the Department of Inland Revenue by actions enabling access to private contracts related to public and private buildings so that the requirement for building owners to submit an EPC is effectively adhered to.

The new obligation to register all long-term and short-term housing rentals has further supported efforts to enforce EPC requirement for rentals. All private and public rental contracts are registered with the Housing Authority and thereby the availability of an EPC is checked simultaneously.

Figure 7: Extract from advertisement showing the uptake of the energy rating.

Table 6 shows that for 2,804,418 residential buildings an energy performance label has been registered in the period between 1 January 2015 and 31 December 2019. Note: double registrations for the same residential building are not taken into account in these numbers.

Table 6. Labels issued over the period between 1 January 2015 and 31 December 2019 (source: RVO).

Table 7 shows the transaction rates of residential buildings (houses), with or without EPC, from 2015 to 2019. These include the EPCs resulting from the VEL method as well as the Energy Index method (EI), see chapter 1. Introduction for a short explanation of both methods.

Table 7. Transaction rates of residential buildings (houses), with or without EPC, from 1 January 2015 to 31 December 2019.

According to data collected by the Land Registry and Mapping Agency (‘Kadaster’)¹², in 2015, 77% of houses with an EPC requirement had an EPC at the moment of sale. This had risen to 91% in 2019. Each year there has been an increase so far.

The presence of the label is checked by the ‘Inspectie voor de Leefomgeving en Transport’ (ILT, the National Governmental Inspection Authority¹³) of the Ministry of Infrastructure and Water Management. If the label is missing at the moment a building is passed on to a new owner, then the seller can be fined by ILT.

The legislation regarding energy performance certification has been in place since 1 January 2010 under the Energy Act, but following a political discussion, the regulation was revised as of 1 July 2010.

The EPC for both residential and non‐residential buildings is valid for ten (10) years, or until major changes are implemented in the building. EPCs are issued by Enova after online building data registration. The registered data is stored in the database at Enova's premises.

The owner of a building or apartment is responsible for the registration and presentation of an EPC at the point of sale or rent. The EPC shall be part of the marketing material to inform interested parties about the energy performance. The majority of the registered EPCs concern residential buildings. Each apartment needs to have an EPC, whereas for non-residential buildings the EPC is normally issued for the building as a whole. Of the 1.2 million EPCs issued as of January 2021, 97% concern dwellings. Table 3 shows the building stock and the corresponding number of EPCs in 2019. The data is extracted from Statistics Norway and Enova’s register of EPCs, and estimates are based on these statistics.

Table 3. Total building stock and number of EPCs.

Figure 4. Two examples of EPCs or energy labels on the entry wall of non-residential buildings.

Experience shows that most of the EPCs for residential buildings relate to permanent houses; only a small proportion concern holiday houses. Likewise, registration is well advanced at the point of sale and less advanced at the point of rent. The number of new EPCs in 2019 seems to account for a considerable share of new houses as well as houses sold. Out of approximately 3 million dwellings, 20% are estimated to have an EPC as of 2019. This number is growing annually.

In the non-residential sector, approximately 8% of the buildings with a certifying obligation already have an EPC. Experience shows that most of the certificates concern buildings above 1,000 m², in which the obligation to display the EPC applies. The market for selling and renting non-residential buildings is not as uniform as the market for the residential sector, and in practice energy certification is much less developed.

Overview and administration system

The energy performance certification system is governed and administered by the Ministry of Development.

On the basis of the Act on Energy Performance of Buildings, there is a central register for the energy performance of buildings¹. This register contains five databases, mentioned in the introduction to this document.

Every EPC in Poland has to be prepared/submitted with the use of this register. EPCs should be issued every time the building or building unit is sold or offered for rent.

Format and content of the EPC

The ordinance of 27 February 2015 specifies the basic requirements, the calculation methodology and the format of the EPCs (Figure 2), as described in the CA EPBD Book 2016 country report for Poland.

Figure 2. Template of EPC.

EPC activity levels

According to the data of the General Office of Building Control, in the period between 1 January 2009 and 8 March 2015, a total of 541,193 new buildings were completed and handed over to occupants, each of which would have had an EPC. All would still be valid.

Moreover, in the same period, there were 26,114 multi-family buildings put into use. This number represents an additional several hundred thousand EPCs for the associated individual houses.

As mentioned, every EPC in Poland has to be prepared with the use of the national register. At the beginning of 2020, around 330,000 EPCs had been issued since 9 March 2015.

Typical EPC costs

The price of the EPC is fully market driven. The lowest prices offered in the publicly available transaction service are 40 €, whereas the highest price offer for buildings of a complicated structure exceeds 1,300 €. The typical price for an EPC for an apartment or a single-family building ranges between 50 € and 150 €. For a multi-occupancy apartment building, the typical price ranges between 200 € and 500 €.

Assessor corps

According to the Act on the Energy Performance of Buildings, an EPC may be issued only by a qualified expert.

Since 9 March 2015, every qualified expert has to be registered in the relevant database of the central register for the energy performance of buildings. On 25 March 2020, there were 15,660 registered qualified experts.

Compliance levels by sector

The EPC and its compliance with the energy performance levels is checked on the basis of data from the central register. According to this data, new and renovated buildings comply with the minimum levels enforced by Polish law. Values of annual primary energy consumption from registered EPCs are shown in
Tables 7 and 8.

Table 7. Value of the annual primary energy consumption of single- and multi-family buildings, depending on the year in which the building was put into use.

Table 8. Value of the annual primary energy consumption of public buildings, depending on the use of the building and the year in which it was put into use.

Enforcement with building owners and real estate actor

An EPC is required in every instance where the property is subject to a change of ownership, is sold or rented.

In the case of sale or rent, according to the Act on Energy Performance of Buildings, the owner should hand over the EPC to the buyer or tenant. If the EPC is not transferred, the buyer or tenant has the right to call on the owner to fulfil their obligations and may request the EPC at the expense of the owner. The buyer or tenant may not waive these rights. The owner and the buyer are informed about their rights by a notary while signing the notary deed.

Following the recast EPBD, a small boost in the real estate sector could be seen, and of course, the numbers of issued EPCs followed this trend. The EPC database is increasing each year, providing a better definition and representation of the building stock. At the beginning of 2020, there were a total of 1.8 million EPCs, with 90% of them issued for the residential sector and 10% for non-residential buildings.

As mentioned, a very important aspect closely related to this increase is the obligatory advertisement of the EPC label before the building is rented or sold and when offered to the market; this is a responsibility of both the building owner and the real estate agent. Cases of non-compliance are now being addressed on a more regular basis, mostly because notaries, as stated in the regulation, are obliged to report whenever a transaction occurs without the existence of an EPC. In such cases, building owners or real estate agents are asked to minimise the fault by issuing the EPC and providing it, free of charge, to the new owner. As a result, the real estate market has almost fully adopted the EPC as a mandatory document and advertisements in general include the necessary information on the building’s energy performance.

Certain ongoing studies, in particular run by the National Institute of Statistics (INE), aim to ascertain if better-labelled buildings are sold faster, or if a premium exists in the sale price. These studies will be important, as they can establish additional relevance for the EPC. The positive 'discrimination' for energy performance in buildings already exists, mainly when it comes to tax benefits for which reduced municipal real estate taxes are just an example. Private studies performed for the city centre of Lisbon also showed a clear relationship between energy classes and the transaction price²¹.

The number of sold and rented buildings with EPCs increases from year to year, but nevertheless the overall proportion of the total building stock with EPCs is very low. The total number of issued EPCs in 2019 was 17,801 (Figure 1), in 2018 – 17,132 and in 2017 – 15,896. EPCs issued each year for new and renovated buildings represent more than 95% of all yearly issued EPCs. More than one third of the total EPCs issued yearly originate from the Bratislava and Trnava regions in western Slovakia. The summary of issued EPCs as regards building categories and energy classes is presented in Table 3.

Figure 1. The number of EPCs in different regions of the Slovak Republic in 2019.

Table 3. Summary of data on performed EPCs in 2019 according to building categories and energy classes.

Ministerial Decree 35/2020, which amends and supplements Ministerial Decree 364/2012 as amended by Decree 324/2016, introduces the energy class A0⁺. The energy performance certificate template consists of 8 pages and the maximum validity of issued EPCs is 10 years. It includes the EPC identification number, basic identification data on the building including photograph, global indicator primary energy, evaluation of each place of consumption, measured data for energy consumption for heating for the last three years, share of renewable energy produced on-site, CO₂ emissions, the draft measures for improvement of energy performance of the building, date and contact details of the authorised person issuing the EPC and the expiry date of the EPC.

Figure 2. First page of the EPC template for residential, non-residential and public buildings.

On average, approximately 11,500 EPCs are issued per year in Slovenia. In total, the number of all EPCs by May 2021 was around 73,250.

The majority (over 80%) of EPCs were issued for the residential sector. Here it must be noted that for multi-apartment buildings there is a distinction between EPCs for a whole building and EPCs for an individual apartment within a multi-family building. The shares for the 2018 – 2021 period are presented in Figure 4.

Figure 4: The structure of issued EPCs for the residential sector in the 2018 – 2021 period.

Figure 5:  Share of EPCs per non-residential building type in detail, for the 2018-2021 period.

Figure 6: Number of EPCs issued per month from July 2013 to May 2021.

The Spanish regulation establishes obligations to certify residential and commercial buildings in an indistinct manner, provided that a purchase or rental transaction of the building is made. In the case of public buildings, the obligation since 2015 includes all those with a size above 250 m².

The information of the energy performance certificates (EPCs) is collected and registered in each of the seventeen (17) Autonomous Communities and in the two (2) Autonomous Cities of Spain; thus, nineteen (19) official EPC registries have been established.

The regional registries originally obtained information directly from the EPC issued in paper format and collected information on building owners, certifiers, and the physical location and identification of the building, as well as information on the overall qualification obtained. The information collected nowadays from the EPCs has changed substantially since 2016, when the certification software was updated to generate a digital file with building information that included partial indicators on consumption, emissions, and construction characteristics of the buildings, as well as the power generation systems and improvement measures.

All this information is included in the EPC databases, but there is not yet an integrated database that aggregates the information from the nineteen registers into one single database. Therefore, each regional registry compiles its specific report on the state of the certificates, and the reports are published every six (6) months on the official certification website.

https://energia.gob.es/desarrollo/EficienciaEnergetica/CertificacionEnergetica/Paginas/certificacion.aspx

https://energia.gob.es/desarrollo/EficienciaEnergetica/CertificacionEnergetica/Documentos/Paginas/documentosInformativos.aspx

There are currently three million issued EPCs, covering both new and existing buildings (Figure 3).

Figure 3. Number of registered certificates (Dec 2017) (source: CCAA registration).

Since 2009, all new buildings, as well as all existing buildings sold or rented, shall have an EPC. Boverket administers and supervises the EPC scheme and the national register of EPCs. This is regulated in Law 2006:985, Ordinance 2006:1592 and Regulation BFS 2007:4 on EPCs for buildings (henceforth BED).

In 2018, BED (BFS 2018:11 BED 10) was revised with the definition of the building's energy performance expressed as the primary energy number, to harmonise with the BBR. The change meant that the actual classification requirements were adjusted, but the rating levels remained unchanged.

• A = energy performance ≤ 50% of the requirement for a new building
• B = energy performance > 50 - ≤ 75% of the requirement for a new building
• C = energy performance > 75 - ≤ 100% the requirement for a new building
• D = energy performance > 100 - ≤ 135% of the requirement for a new building
• E = energy performance > 135 - ≤ 180% of the requirement for a new building
• F = energy performance > 180 - ≤ 235% of the requirement for a new building
• G = energy performance > 235% of the requirement for a new building

As of October 2021, over 680,000 buildings have been certified and registered in the national register of EPCs. Since May 2017, over 390,000 individual EPCs have been issued, a large proportion of these being related to renewal in case of sale or rental of buildings.

Boverket can enforce conditional fines in case a building owner has not obtained and registered an EPC. The first fine is at the level of the cost of an EPC, followed by further fines if the EPC is still not obtained¹¹. More information is available in the relevant country report of the ‘Book: 2016 – Implementing the Energy Performance of Buildings Directive (EPBD) – Featuring Country Reports’¹¹.

Overview and administration system

The systems in place are identical across all building sectors. The Government has approved Accreditation Schemes which are responsible for managing energy assessors and for ensuring their assessors are competent and possess the appropriate skills and qualifications to conduct energy assessments that comply with the requirements of the Energy Performance of Buildings Regulations. Accreditation Schemes are monitored and audited which means their approval may be revoked at any time. In December 2019, there were six Accreditation Schemes.

Accredited Energy Assessors must use Government‐approved software tools to produce regulatory outputs such as EPCs, recommendations reports, Air Conditioning Inspection Reports, etc. The outputs generated by the software are lodged on the Energy Performance of Buildings Registers which cover both England and Wales. These outputs are publicly available.

Format and content of the EPC

Residential

The EPC provides a calculated energy rating (asset rating) of the current and potential energy efficiency of the building on an A to G scale (Figure 7). The current rating is based on the characteristics of the building, a standardised occupancy profile and the energy consumption cost. The potential rating shows the effect of undertaking the EPC’s recommendations. The average EPC for a residential property in England & Wales is D. Typically, the average rating for a new residential property is B.

Figure 7: Residential EPC classes, asset ratings, and examples of current and potential ratings.

In 2012, the format of the EPC was revised based on consumer research. The residential EPC is shorter, uses plain English and has an improved design. It focuses on potential costs and savings. In 2018, further revisions were made to the EPC to clarify how the information contained within EPCs may be used. The first page of a residential EPC is shown in Figure 8.

Figure 8: First page of a residential EPC.

The EPC includes: an environmental impact rating in terms of CO₂ emissions and a list of cost‐effective recommendations. It indicates the potential energy efficiency and environmental impact ratings if all cost‐effective measures were installed. For new buildings, the current and potential rating may be similar.

Non‐residential

Energy performance is shown as a CO₂‐based asset rating against an A+ to G scale (Figure 9). The EPC includes two benchmarks: the energy rating if the property were new and the energy rating if it were typical of the existing stock (Figure 10). Standard cost‐effective recommendations are generated by the EPC software. The recommendations report includes improvements that are appropriate for the building. Bespoke recommendations may also be provided, based on the assessor’s knowledge.

Figure 9: First page of a non-residential EPC.

Figure 10: Non-residential EPC benchmarks.

EPC activity levels

EPCs are produced for buildings on construction, sale and rent and are valid for 10 years. All EPCs become valid once the data that generates the EPC has been lodged on the Energy Performance of Buildings Registers²³. The Energy Performance of Buildings Registers contains ~21 million residential and non-residential EPCs (including multiple EPCs produced for a single building) in England and Wales, which is growing on average by ~1.7 million lodgements per year. This represents a valuable source of information as they cover an increasingly larger proportion of the 24.2 million English homes.

Most EPCs on the Energy Performance of Buildings Registers are publicly accessible through an address search, unless the building owner has opted out. All EPCs on the Energy Performance of Buildings Registers are accessible through a unique reference number search. The Government has published quarterly statistics on EPC activity in England & Wales⁴³. Data from 2008 to December 2019 is included in Tables 6 and 7, Figures 11 and 12.

Table 6: Residential EPCs, 2008 to 2019, England.

“not recorded” = invalid EPC data entry.

Figure 11: Residential EPCs, 2008 to 2019, England. Percentages by EPC band.

Table 7: Non-residential EPCs, 2008 to 2019, England.

“not recorded” = invalid EPC data entry.

Figure 12: Non-residential EPCs, 2008 to 2019, England. Percentages by EPC band.

Previously, bulk data was only made available to a limited number of authorised recipients, such as local authorities, universities and researchers. The value of information about the energy performance of buildings in delivering national climate change objectives is significant. In 2017, the Government extended access to bulk data to a greater number of users by publishing the data on its open data platform⁴⁴.

Typical EPC costs

EPC costs vary significantly and are market led. In practice, the cost of an EPC will typically vary according to a number of factors including size, location and age of the building. Indicative lowest costs based on internet search:

• for residential EPCs: £35 to £80 (~41 to ~93 €)
• for non‐residential EPCs: £140 to £200 (~162 to ~223 €)

The cost may include the lodgement fee payable each time the data that generates an EPC is lodged on to the relevant Energy Performance of Buildings Register. The lodgement fee for the domestic register is £1.82 (~2.11 €), for the non-domestic register the fee is £9.84 (~11.4 €).

Energy assessors

National Occupational Standards (NOS)⁴⁵ for gaining accreditation as an energy assessor have been developed to ensure energy assessors are competent and possess the appropriate skills to conduct energy assessments. The type of accreditation (Table 8) will depend on the type of building being assessed, the complexity of the software and the type of outputs being produced. Accreditation Schemes ensure accredited energy assessors satisfy the NOS requirements through training and examinations, or by demonstrating they have suitable qualifications and experience.

Table 8: The type and number of registered energy assessors in England and Wales.

The NOS apply across England and Wales, therefore, accredited energy assessors can operate in both jurisdictions. Energy assessors must also carry out minimum Continuous Professional Development (CPD) requirements. For example, energy assessors must complete 10 hours of CPD per year per type of assessment. Penalties for not meeting the CPD requirement include temporary suspension from the Accreditation Scheme, which prevents the assessor from producing.

Tables 2 & 3 and Figures 7 & 8 provide Wales-specific data.⁶

Table 2. Residential EPCs, 2008 to December 2019 Wales.

“not recorded” = faulty EPC (cancelled, withdrawn, etc.)

Figure 7. Residential EPCs, 2008 to December 2019, Wales. Percentages by EPC band.

Table 3. Non-residential EPCs, 2008 to December 2019, Wales.

_{“not recorded” = faulty EPC (cancelled, withdrawn, etc.)}

Figure 8. Non-residential EPCs, 2008 to December 2019, Wales. Percentages by EPC band.

Overview and administration

The Northern Ireland approach generally mirrors the England provisions. The same English Accreditation Schemes accredit Energy Assessors to produce Energy Performance of Buildings Regulations outputs, i.e. EPCs and Recommendations Reports. See England report for details.

Regulatory outputs (such as EPCs) are recorded on the Northern Ireland registers²⁷ and are publicly available using the building’s address, postcode, or the outputs’ unique reference number. Selected organisations have access to limited bulk data, and anyone with an EPC can opt‐out of having their data publicly available.

Format and content of the EPC

Domestic

The EPC shows the “Asset Rating” (i.e. a calculated energy rating) of the current and potential energy efficiency of the building on a scale from A (very efficient) to G (least efficient) (Figure 10). The rating is based on the building’s characteristics, its services, a standardised occupancy profile and estimated energy consumption costs. The average domestic EPC rating is 60, which is in band D. The average EPC rating for a new domestic property is 81, which is in band B.

Figure 10 shows the first page of the EPC for new domestic units. The EPC for existing domestic units is very similar. The EPC includes a list of cost‐effective energy efficiency recommendations and indicates the potential energy rating if all recommendations were installed.

Figure 10. First page of Northern Ireland EPC for new domestic units.

Non‐domestic

The EPC for non-domestic buildings is identical to England except for the reference to Northern Ireland in the top right-hand corner (Figure 11). Please refer to the England report for further details.

Figure 11. First page of Northern Ireland non-domestic EPC.

EPC activity levels

As in England, domestic and non-domestic EPCs produced on construction, sale and rent are valid for 10 years. All EPCs become legally valid after they are recorded on the national register. Historical data to December 2019 is included in Tables 2 and 3, Figures 12 and 13.

Table 2. Domestic EPCs Northern Ireland to December 2019.

Figure 12. Breakdown of Domestic EPCs by EPC band in Northern Ireland to December 2019.

Table 3. Non-domestic EPCs Northern Ireland to December 2019.

Figure 13. Breakdown of Non-Domestic EPCs by EPC band in Northern Ireland to December 2019.

Typical EPC costs

EPC costs vary. Indicative starting costs (lowest market costs based on internet search), including the registration fee (payable each time an EPC is recorded on the national register), are:

• for a domestic EPC: ~£60 to £120 (~70€ to ~140€)
• for a non‐domestic EPC: ~£200 (~233€).

Assessor corps

The English National Occupational Standards (NOS) were adopted in Northern Ireland. See England report for details. Table 4 details the qualifications of Energy Assessors with a registered address in Northern Ireland as of March 2020. Assessors accredited to operate in England and Wales are also accredited to operate in Northern Ireland.

Table 4. Energy Assessors’ qualifications and numbers Northern Ireland at March 2020.²⁸

 

Minimum Continuous Professional Development (CPD) requirements apply. Typically, assessors must attend 10 to 20 hours CPD/ year. If this requirement is not met, penalties include temporary expulsion from the Accreditation Scheme, which prevents the assessor from producing EPCs.

Enforcement with building owners and real estate actors

District Councils enforce the Regulations. They have powers to require the “relevant person” (i.e. the seller or prospective landlord) to produce copies of the EPC for inspection. In 2013, these powers were extended to include the “relevant person’s agent” e.g. Estate or Letting Agents. District Councils operate a three‐stage enforcement process: first a letter to encourage compliance, followed by a stronger “enforcement letter”, and then a penalty charge notice. By February 2020, 6,571 “enforcement letters” had been issued. The Department of Finance (DoF) is responsible for enforcement on District Councils’ buildings. DoF also funds awareness‐raising, a telephone helpline, and general coordination and reporting of compliance activities.

The annual compliance rate for real estate agents is on average 67%. This compliance percentage reflects a combination of both visiting agents on-site and scrutinising properties advertised on websites. The compliance with Display Energy Certificates (DECs) in the audited buildings of six District Councils (out of 11 in total in Northern Ireland) was 90% at the end of January 2020.

Penalties vary depending on the type of building

For domestic properties, the penalty is £200 (~233 €), whereas for non‐domestic properties, the penalty is 12.5% of the rateable value of the building, subject to a minimum of £500 (~582 €) and a maximum of £5,000 (~5,821 €).

Overview and administration

The Scottish approach generally mirrors English provisions. The Scottish Government entered into protocols with Approved Organisations to deliver EPCs. Approved Organisations “ensure that members are fit and proper persons [qualified to prepare and issue] EPCs”. Approved Organisations’ members produce EPCs (and other regulatory outputs) using Government-approved methodologies and tools.

All EPCs are produced from data recorded on the Scottish EPC Register¹⁶. EPCs are publicly accessible from the register using the EPC unique Report Reference Number (RRN). Regulations require that the EPC is “affixed”³⁷ to the building.

Format and content of the EPC

> Domestic buildings: The EPC (Figure 7) shows a calculated rating (asset rating) of the current and potential energy efficiency of the building on a scale from A (most efficient) to G (least efficient). The Energy Efficiency rating is based on the building’s characteristics, its services, standardised occupancy and energy cost. The average rating for a domestic building in Scotland is rating D (63).

Figure 7. Example of current and potential Energy Efficiency ratings, Scotland.

The EPC also includes an Environmental Impact rating, showing the calculated current and potential CO₂ emissions from the building (Figure 8). The average Environmental Impact rating for a domestic unit in Scotland is rating D (59).

Figure 8. Example of current and potential Environmental Impact ratings, Scotland.

The first page of the EPC for domestic units is shown in Figure 9. The EPC includes a list of cost-effective recommendations to improve the building’s energy efficiency and indicates the potential Energy Efficiency and Environmental Impact ratings if all cost‐effective measures were implemented.

Figure 9. First page of domestic EPC²⁴, Scotland.

> Non‐domestic buildings: Figure 10 shows the first page of the EPC for non‐domestic buildings. Energy performance is shown as a calculated CO₂‐based asset rating against an A to G scale. The rating is based on absolute CO₂ emissions, rather than the relative approach (actual vs reference/notional building) adopted in the rest of the UK. Primary and delivered energy consumptions are also shown. The EPC includes one benchmark, the energy rating if the building were constructed according to Building Regulations applicable at the time of the assessment (Figure 11). Recommendations, based on the assessor’s inspection, are included in the accompanying Recommendations Report.

Figure 10. First page of non-domestic EPC²⁵, Scotland.

Figure 11. Non-domestic EPC benchmark, Scotland.

EPC activity levels

Until 2012, only EPCs for existing domestic units were recorded on the Scottish EPCs register. EPCs for new buildings were submitted to Local Authorities as part of the Building Warrant process, and EPCs for existing non-domestic buildings were not recorded. A new Scottish register¹⁶ was implemented in 2013, and EPCs for all buildings have since been recorded. Tables 2 and 3 as well as Figures 12 and 13 show data to December 2019 and reflect these historical arrangements.

Asset rating EPCs are produced on construction, sale, rent and for display. EPCs become valid after the data used to produce them is recorded on the register. All EPCs are valid for 10 years.

Table 2. Domestic EPCs to December 2019, Scotland.

Figure 12. Domestic EPCs to December 2019. Percentages by EPC band, Scotland.

Table 3. Non-domestic EPCs to December 2019, Scotland.

Figure 13. Non-domestic EPCs to December 2019. Percentages by EPC band, Scotland.

Typical EPC costs

EPC costs vary greatly. Indicative starting costs (lowest market costs based on internet search), including the registration fee²⁸ payable each time an EPC is recorded on the register, are:

• for domestic EPCs: from £35 to £60 (~41 € to 70 €);
• for non‐domestic EPCs: from £129 to £150 (~150 € to 175 €).

Assessor corps

The Operating Framework requires Approved Organisations to reference the UK National Occupational Standards (NOS)³⁸ when establishing requirements for Energy Assessors. See England report for details. Four levels of registration are available for EPC assessors, instead of eight for the rest of the UK (Table 4). The Operating Framework requires Continued Professional Development (CPD). A minimum level of CPD hours is specified by each Approved Organisation.

Table 4. Energy assessors’ qualifications and numbers, Scotland³⁹

Enforcement with building owners and real estate actors

Local Authorities enforce the Regulations in their jurisdiction. They have the powers to require copies of EPCs. Failing to include the EPC rating in commercial media (when marketing a property) can result in enforcement actions. Penalties vary from £500 (~582 €) for domestic units, to £1,000 (~1,160 €) in any other case. Local Authorities can also consider criminal action⁴⁰.

The Scottish Government has no statistical information on enforcement proceedings or penalties since the coming into force of the requirements in 2008. Government is aware that complaints have been investigated and, where appropriate, EPCs obtained.