Energy efficiency legislation can be a minefield, particularly for almshouse charities. To help tackle this issue we have developed this page to help answer some of the common questions we are asked.
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EPCs and MEES
Energy Performance Certificates (EPCs) and Minimum Energy Efficiency Standards (MEES) are two of the key measures for assessing whether a property is of a sufficient standard to be let.
Since 2008, an EPC is required for new occupants/residents and, whilst these laws do not specifically mention almshouses, consistent advice from government has stated that almshouses are required to follow this legislation. Once obtained, the EPC certificate is valid for 10 years with a new certificate note needed until after it has expired.
The Energy Efficiency (Private Rented Property) (England and Wales) Regulations 2015 relate to the requirement of a private rented property needing to achieve an EPC at a rating of E or above. This is what we mean when we refer to MEES. However, since almshouse charities do not provide ārentalā accommodation, we believe there is scope for almshouses to be excluded from the regulation. This is in line with the majority of Housing Associations and local authorities who are also exempt.
There have been discussions in the media recently regarding the requirement to reach EPC rating C by 2030. It is not the opinion of The Almshouse Association that members will be required to reach an EPC C rating by this date.
The EPC will include guidance on what could be arranged to reduce energy output. This is not always the same as reducing energy costs.
LISTED BUILDINGS
Around a third of almshouse charities are managing dwellings which are either listed or located in a conservation area. These buildings are a vital part of our history and a sign of the enduring nature of the almshouse model. However, we also need to have a rational consideration of what works can be carried out on these dwellings and whether they provide suitable accommodation for residents.
Useful advice on energy efficiency and listed buildings is provided by Historic England here.
Listed buildings are exempt from the requirement to obtain an EPC certificate, however, the exemption is qualified, and states: āInsofar as compliance with certain minimum energy performance requirements would unacceptably alter their character or appearanceā. The Association would still argue that the Minimum Energy Efficiency Standards (MEES) would not apply to a listed almshouse dwelling.
The Almshouse Association recommends EPCs are obtained on all dwellings and kept up-to-date; actions with regards to listed buildings can follow the measures below:
- Listed buildings can apply for an exemption from MEES should proposed improvements to meet the ‘E’ level exceed Ā£3,500. In such circumstances, the charity can apply for exemption and continue to appoint residents.
- The charity is not required to carry out EPC works that would be unacceptable to the listed building status. The local Historical Building Officer should advise, although HBOs are currently overstretched so this could take some time to conclude.
WHAT FUNDING IS AVAILABLE?
Funding a retrofit project is costly and many will be wondering how charities can afford to meet energy efficiency goals and remain financially sound.
Often, funding from government carries the requirement to be a Registered Provider of Social Housing, however, all almshouse charities can now access the Social Housing Decarbonisation Fund.
Other sources of funding can be limited. The first point of reference is your local council. Central government have provided local councils with funding which can be distributed as they see fit. At a local level they may be more open to considering charities who are not Registered Providers though of course the Ā restriction may still apply.
Other organisations may be operating locally who have grants available to support charitable organisations. It may also be worth having a conversation with your energy provider to see if they can provide any support through the ECO scheme.
The Association continues to offer its own loans and grant options for members, details of which can be found here.
REDUCING BILLS
Most of us are experiencing high bills right now and there are a limited number of options for reducing energy costs.
Depending on your circumstances charities may wish to spend more initially to install energy saving devices such as energy saving lightbulbs or solar panels. The aim here would be to reduce use of energy thereby bringing down monthly costs.
Alternatively, charities could look to discuss the situation with an energy broker who may be able to help get a reduced rate for your energy. The Almshouse Association does not recommend any particular broker, but we are aware of members who have worked with: