Sustainability

Question 1

You mention the Futures Report 2020 in your submission, can you tell me about this.

Answer 1

• The report centres around change and explores existing practices and future predictions
• Case studies include:
  
  • Building roads out of plastic
  • Extracting big data and reusing it - the construction industry holds the second most data in the world behind the financial industry
  • Adopting drone technology for surveying - the client utilises this advancement in technology for roof surveys
• It also explores protecting cities from climate change, cities such as Lagos, Tokyo and Dakar could be mostly underwater if there is a global sea temperature rise is 2 degrees Celsius

Question 2

You mention the implementing the UN’s sustainability goals, could you tell me what these are.

Answer 2

• The RICS released a Guidance Note on implementing the UN’s sustainable development goals
• These centre around existing guidance and partnerships the RICS has entered into for sustainable development
• Examples of existing guidance such as:
  
  • Sustainability and commercial property valuation
  • The valuation of assets in the commercial renewable energy sector
• Partnerships include:
  
  • Ska - the client has targeted a silver ska rating for the office refurbishment
  • United Nations Environment Programme (UNEP)
• The UK has signed up to the UN’s net zero initiative which aims to have net zero carbon by 2050

Question 3

Could you tell me about your clients sustainability policy?

Answer 3

• To be net zero by 2035
• The Big Turn Off - launched in October encouraging colleagues by screen background to turn off computers when not in use
• LED lighting being rolled out into all shops
• Cycle to work scheme
• Entain forest setup which has planted 1 million trees so far

Question 4

Can you tell me your understanding of MEES.

Answer 4

• Minimum Energy Efficiency Standards 2015, part of the Government’s 5 yearly sustainability policies
• Minimum energy rating of an E for all new leases, extensions, renewals from 1st April 2018
• Minimum rating for all existing leases by 1st April 2023
• Unless expressly documented in the lease, the duty holder is the owner
• Exemptions include:
  
  • Religious buildings
  • Where the tenancy is less than 6 months with no security of tenure
  • Where the tenancy is more than 99 years
  • When it is not feasible to achieve a rating more than an E:
    
    • When all possible improvements with payback of 7 years or sooner have been made
  • When the devaluation from improvements is more than 5%
  • When planning permission for improvements is refused by the Local Authority
  • Exemptions need to be registered every 5 years
• Penalties for non-compliance:
  
  • When a breach has lasted less than 3 months, a fine of £5,000 or 10% of the RV whichever greater. Max fine of £50,000
  • When a breach has lasted more than 3 months, a fine of £10,000 or 20% of the RV whichever greater. Max fine of £150,000

Question 5

What are the requirements for EPC’s?

Answer 5

• If a building is more than 50 sq.m
• When it is newly built, sold, let for more than 6 months (& less than 9 years), or refurbished, altered
• Must be commissioned within 7 days of marketed
• As of September 2020, a physical EPC certificate is not required for marketing material. The agent simply has to provide a link to the government portal
• If an EPC is not procured, maximum penalty of 12.5% of the RV minimum of £500, max of £5,000

Question 6

What are the exemptions for EPC’s

Answer 6

• If it is listed and the minimum rating cannot be achieved
• Temporary buildings of 2 years or less
• Places of worship
• An industrial unit or workshop which doesn’t use much energy
• Buildings due to be demolished with planning in place