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Energy efficiency is a legal necessity

Property is in the front line in the battle to reduce carbon emissions, reports Ian Tew

THE environment, and our impact upon it, is now an extremely topical and political issue. Businesses are currently responsible for about half of all the UK’s carbon emissions, and one small office can emit three to five tonnes of carbon dioxide a year.

Therefore it is easy to see how architects, specifiers, surveyors and developers can play a major part in reducing this statistic.

Historically this has proved difficult, due to increased capital cost of materials, building systems and services. Only companies who could afford to be green, or those who had political or social responsibilities, were willing to invest. Concern over climate change, legislation and changing social views over recent years have impacted on industry. Now companies from all sectors are more environmentally conscientious and are willing to invest in buildings which have green and sustainable qualities.

The main reasons for this shift in trend are:

Environmental issues are becoming increasingly understood and acknowledged.

The EU Directive on the Energy Performance of Buildings (EPBD) has now come into force for commercial property. It contains a range of provisions aimed at improving energy performance in buildings. As part of the Directive, an Energy Performance Certificate (EPC) is required at the point of sale or rental, or on completion of a new building. The scheme comes into operation in April on a phased basis depending on building size.

Developers now recognise that there is a distinct competitive advantage in marketing space which can boast a BREEAM excellent rating.

More and more companies are building to occupy and are prepared to consider life cycle costs and sustainability at the initial design stage.

Existing technologies are maturing and becoming more affordable and new technologies are being developed at a greater pace to meet appetite for sustainable development.

The most topical issue of the moment is the EPC. This must be provided by the owner/landlord to the prospective buyer or leaseholder. The legislation comes into operation on April 6, meaning non-residential premises subject to construction, sale or rent with a floor area of over 10,000 sq metres must have an EPC. On July 1, this extends to non residential premises over 2,500 sq metres, and finally, by October 1 2008, all non-residential properties subject to construction, sale or rent will require an EPC.

As with HIPs, the legislation has seen confusion and resistance from some sectors, but like HIPs, the Government is committed to it and is now in the final stages of agreement over its form. Many construction professionals, including staff at Knight Frank, are being trained to become assessors.

This additional training – together with the other skills we possess as a multi-disciplinary consultancy – allows us to proactively advise our clients on the ever-increasing requirements of commercial and residential property.

Ian Tew is a partner with property consultancy Knight Frank in Newcastle.

PAGE TWO: How green is your office?