The Minimum Energy Efficiency Standards (MEES) are currently playing a key role in the country’s efforts to reduce energy use and greenhouse gas emissions in the commercial property sector.

These standards, introduced by the Energy Act 2011 and detailed in the Energy Efficiency (Private Rented Property) (England and Wales) Regulations 2015, set clear rules for commercial landlords.

According to these regulations, commercial properties must have an ‘E’ rating or higher on their Energy Performance Certificates (EPC) to be legally rented out.

The requirements started in April 2018 for new leases and renewals, extending to all commercial leases by April last year (2023).

The aims of MEES are straightforward: to reduce energy consumption in commercial buildings and to contribute to the overall goal of reducing carbon emissions.

Local authorities are responsible for enforcing these standards, with the power to fine landlords who don’t comply.

The fines can be significant, depending on how long the infringement goes on and the value of the property.

There’s also a clear process for landlords to dispute or appeal against enforcement actions.

Technical compliance and energy efficiency measures

To comply with MEES, landlords need to understand the EPC assessment process well.

Accredited assessors are crucial in this, using specific metrics to measure a building’s energy efficiency.

(We can put you in touch with an accredited assessor through our network of contacts).

The result of this assessment affects whether a property meets the legal requirements – again, needing at least an ‘E’ rating for leasing.

Landlords can take various steps to improve their properties’ EPC ratings.

These improvements not only help with compliance but can also lower operating costs and increase property values.

The range of possible upgrades is broad, from better insulation to energy-efficient lighting and you should discuss these with your solicitor to determine which is option is best for your compliance needs.

There are exemptions to the MEES regulations, but they come with strict conditions.

These can be temporary or permanent and depend on certain situations like if the property’s value would decrease, or if necessary, improvements can’t get the needed permissions.

Applying for an exemption requires detailed documentation, and there’s a risk of misunderstanding or misuse of the exemption process.

MEES within the broader environmental and energy efficiency legislation

MEES are part of a larger body of UK and EU laws aimed at improving energy efficiency and reducing environmental impact.

They’ve led to a re-evaluation of leasing practices, ensuring properties meet or exceed energy efficiency standards and have encouraged a move towards upgrading and retrofitting properties, in recent years.

However, the journey to MEES compliance is filled with hurdles, especially the cost of making significant upgrades.

Owners of older, less efficient buildings face big challenges.

However, Government incentives, new technologies, and innovative financial strategies offer ways to overcome these barriers, helping to ensure compliance and promote environmental responsibility in the commercial property sector.

To learn more about MEES legislation, or for tailored advice based on your specific circumstances, please get in touch with our team.