MEES – Minimum Energy Efficiency Standard Regulations

From 1st April 2018, the new legal standard for minimum energy efficiency (MEES) will come in force, applying to rented commercial and domestic properties.  The new law makes it unlawful to let properties with an Energy Performance Certificate (EPC) rating of ‘F’ or ‘G’ (the lowest two current ratings), thereby creating a new minimum standard of E, and aiming to improve the energy efficiency of the most inefficient properties.

What is MEES?

The minimum energy efficiency standard (MEES) was introduced in March 2015 by the Energy Efficiency (Private Rented Property) (England and Wales) Regulations 2015, and originates from the Energy Act 2011.

How Envision Can Help

All building owners and landlords need to know how efficient their property portfolio is.  Any building without an EPC or with an EPC rating lower than the new minimum standard ‘E’ rating must be reviewed and measures implemented to improve the overall energy performance of the building.

Making energy performance improvements in existing buildings requires specialist input from a Building Services Engineer and Low Carbon Consultant.  Envision are experts in the assessment of buildings energy performance, routinely advising our clients on building performance and the methods available to improve an EPC rating.  We can work with you to ensure that your buildings are compliant with the new MEES regulation requirements.

Using TAS and Design Builder Dynamic Simulation Modelling (DSM) assessment tools, we can provide a far more accurate assessment of energy performance in comparison to basic iSBEM calculations. This approach provides better results to meeting the minimum standard.

Stages of Assessment

By combing energy assessment techniques with building energy use analysis, Envision are able to predict the CO₂ emissions of a building accurately. Our expert consultants advise on options to minimise the buildings energy consumption by analysing a range of building technology options and servicing strategies.

We can advise on the benefits of adapting passive design techniques, energy reduction strategies and system refurbishments to improve the operational energy efficiency of building services, alongside the application of any viable renewable energy solutions.

        Audit & Assessment

• Energy audit of building and installed services.
• Dynamic Simulation modelling assessment.
• Presentation of assessment and recommendations.

        Analysis & Solutions for improvements

• Review of performance improvement options.
• Economic viability and payback considerations.
• Review of the practicality of implementation.
• Full design of building services solutions and technical advice to implement.

         Operational Implementation

• Oversee and witness system refurbishment and commissioning.
• Re-assessment following application of recommendations.
• Lodgement of new improved EPC with Landmark Register.

MEES – THE KEY FACTS

Scope of MEES.

From April 2018, MEES will apply to the granting of a lease on commercial and residential properties in England and Wales, including renewals where an EPC already exists.

All property types are included within the scope of MEES, with the exception of those who do not currently require an EPC.

The regulations exclude any property with a tenancy of less than 6 months or longer than 99 years.  However, sub-lettings and assignments are covered by the regulations.

From 1^st April 2020, MEES will be extended to cover all domestic leases, including those already in place.  The same requirement will apply to all commercial leases from 1^st April 2023.

MEES Requirements.

MEES requires landlords to make the required energy efficiency improvements to obtain a minimum EPC rating of E, and to ensure compliance before any lease is granted.

Ratings below this are considered sub-standard.

MEES Implications

MEES will make it impossible to rent out properties unless they are upgraded to an EPC ‘E’ rating – it is estimated that 20% of properties do not meet this criterion.

Landlord’s therefore face a potential loss of rental income, as well as a negative impact on property valuations if their marketability is diminished.  Rental reviews and dilapidations assessments may also be affected.

 MEES Exemptions

 Landlords can let a building that does not comply with MEES if they can demonstrate:

• That all cost-effective energy efficiency improvements have been made, either under the Green Deal’s Golden Rule or under a new provision that requires improvements to pay for themselves within no more than 7 years, and the minimum E rating has not been met;
• That consent to undertake the works has been refused by a third party, such as the relevant Local Authority or an incumbent tenant;
• That a suitably qualified expert provides written advice that the improvements would result in a devaluation of the property by more than 5%, or would damage the property.

Any exemptions are only valid for five years and cannot be transferred to a new landlord.  They will need to be lodged on the Government’s Private Rented Sector (PRS) Exemptions Register.

MEES Enforcement and Penalties

MEES will be enforced by Local Weights and Measures Authorities (LWMAs), who will issue compliance notices should they believe a landlord is in breach of MEES.

Should a landlord fail to comply with such a notice, LWMAs have the power to enforce civil penalties, based on the property’s rental value and the length of non-compliance.

For a breach of less than three months, the penalty will be equivalent to 10% of the property’s rental value, with a minimum penalty of £5,000 and a maximum of £50,000.

After three months, the penalty rises to 20%, with a minimum penalty of £10,000 and a maximum of £150,000.

Providing false or misleading information on the PRS Exemptions Register can also incur a fine of £5,000.

Contact Details

Please contact our specialist energy assessment engineers to devise your compliance strategy and mitigate your risks.