Minimum Energy Efficiency Standards – Landlords to fund necessary improvement?
Sunday’s national press have leaked what could be the boost that we have been waiting for by suggesting that landlords will be required to fund improvements to achieve Minimum Energy Efficiency Standards (MEES) for domestic properties.
From April 2016, The Energy Efficiency (Private Rented Property)(England and Wales) Regulations 2015 introduced minimum energy efficiency standards (MEES) in the residential and commercial private rented sector.
The Minimum Energy Efficiency Standards dictate that a landlord with an EPC Rating below an E will be required to undertake work to improve the energy performance of their property; otherwise they could face heavy penalties. These new standards will be phased in over the next five years, moving from targeting new leases to targeting ALL residential and commercial leases.
When Green Deal was mothballed last year it created a gap in the regulations as improvements were only mandatory if there was “no upfront costs” to the landlord. An article in Sunday’s Telegraph states that Government may well be on the verge of closing this loop hole by requiring landlords to fund the improvement at their own expense up to, the article suggests, a “hypothetical maximum of £5000”.
An Ideal first step for landlords is to commission an up-to-date Energy Performance Certificate, as this will identify the current rating (which may have changed over time), and recommend opportunities for improvement. This is great news for both energy assessors, as it could mean they receive more business.
Elmhurst Energy have produced MEES guides and fact sheets for Domestic Energy Assessors and Non Domestic Energy Assessors to use, in order to educate landlords and market their services.
Elmhurst’s Operations Director Martyn Reed has commented “the guides and fact sheet are a fantastic tool for energy assessors to use. not only will they educate landlords and letting agents about the imminent Minimum Energy Standards, but they will also give them a reason to use the services provided by their local energy assessor”.
Moreover the fact sheets can be edited by assessors to include their own contact details when they are visiting landlords/letting agents.