Tuffin Ferraby Taylor on EPC process problems

With the introduction of the next stage of EPC regulations coming in to force on 1 October, 2008, leading industry figures are warning that problems with the process are set to worsen.

As of Wednesday, owners of all commercial buildings with a floor area of more than 50 square meters must provide an EPC when selling or leasing their property.

They must also be commissioned when a new building is erected or when an existing building undergoes major modifications to the heating, hot water and air conditioning of if significant building work is carried out.

Property owners and occupiers face a number of challenges, including:.

* A limited number of accredited assessors will create a long waiting list.

* Buildings must be measured up correctly before an assessor can start, a process that can take up to three weeks.

* Lack of awareness of the whole process can lead to unnecessary expense.

For example, fees can increase considerably if the owner can not provide scale drawings or operation and maintenance manuals.

This date will also be the cut off date by which all public sector buildings must display a DEC, demonstrating the energy performance level of the building.

David Tuffin, former president of the RICS and managing partner of building and property consultancy Tuffin Ferraby Taylor, says: "The number of buildings affected from 1 October is around 80% of the UK's total stock, yet the number of accredited assessors has barely risen since the last round of introductions in July 2008".

"This is going to lead to a huge shortfall in the availability of assessors".

"The biggest problem that building owners are going to face is leaving EPC's to the last minute and finding that the process will be slow and arduous and will hold up their transaction, losing them money".

Tuffin also warns that a lack of understanding of the process can result in less favourable EPC ratings.

He explains: "An EPC is prepared using a computerised programme based on default settings determined by the age and type of building".

"This does not take in to consideration specific elements of a particular building and can result in an EPC rating that is lower than it could be".

"The result of this could be that a building is undervalued".

"Building owners must be able to provide the extra information themselves in order for it to be considered in the final rating." The advice coming from Tuffin Ferraby Taylor, especially to owners of large property portfolios, is to sit down with a trusted consultant and technical building expert to consider and implement an EPC strategy that includes:.

* Pre-emptively preparing EPCs for portfolios and prioritising any properties where transactions are imminent.

* Prioritising empty buildings because these may need to be the first to be let or sold with the introduction of the empty rates policy.

* Reviewing portfolio composition and identifying any complex properties where more sophisticated energy modelling would be beneficial.

* Collating scale drawings and operation and maintenance information, procuring information where it is unavailable.

* Identify and advise accredited assessors in advance and obtain competitive fee proposals based on a series of inspections rather than on a building by building basis.

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