Encouraging efficiency?
A new regulation to be introduced at the beginning of 2009 will require residential buildings - either in the primary or secondary market - to be given a certificate indicating how energy efficient they are. The certificates are designed with the protection of both customers and the environment in mind.
Customers interested in buying or renting an office building or private residence will be able to demand information about the property's energy standard. The certificate will let interested parties estimate the costs, mainly in terms of electricity and heating, needed to maintain the property. The impetus behind Poland's new energy certificate regulation is a 2002 European Union directive which obligates member states to impose such certificates, but so far has only been partially implemented into Polish law.
Running late
The Ministry of Infrastructure, which oversees construction industry legislation in Poland, is in charge of the introduction of the certificates. "The amendment to the construction law is to underscore that the sale or rent of a building without an energy certificate will not be possible," a ministry spokesperson said. The amendment is still being drafted by the ministry, but must come into force on January 1.
One aspect of the regulation sets procedure for the auditors who will prepare and issue these kinds of certificates. According to information obtained from the ministry, detailed directives will be signed into law by the Minister of Infrastructure in the next few days. They will set methodology of defining the energy characteristics of a building or an apartment. There is no decision yet as to what the certificate will look like, nor has the fee for obtaining a certificate been set.
Ratings game
The buildings will be judged and given a certificate based on the amount of energy used for residential purposes, such as lighting, air-conditioning and heating. According to the draft amendment, seven energy ratings will be created, with "A" being the most efficient and "G" at the other end of the scale. This rating will give an indication as to what it will cost to maintain the building.
Certificates expire after a period of 10 years, but can be extended after an inspection by a qualified auditor. If a building should undergo renovation work, the investor or owner will need to reapply for a new certificate, unless the renovation does not significantly change the building's energy standard.
Energy certification will be required for single- and multi-family residential buildings, other multi-tenant residential buildings such as hotels and dormitories, and buildings that serve a public function, such as hospitals, schools, office buildings and shopping centers. In the case of edifices 1,000 sqm and larger, information about the energy rating should be displayed on the premises.
Some buildings will be excluded from certification, however. These include historical buildings listed in historical registries, churches, chapels, synagogues and other places of religious faith.
Higher price, no penalty
"Without a doubt, the rating of the energy certificate will influence the price of the property," Peter Obernhuber of UBM, a housing and office developer, said. "By knowing the energy costs, the purchaser's decision will be easier. And the certificate will contain guidelines, in case the new owner would like to make some changes to the property," he added.
UBM is currently developing the Oaza Kampinos residential estate, located northeast of Warsaw. All of the single-family homes built in the project will fulfill the requirements for a class-A energy standard.
"When the new regulations go into effect ... it can only positively affect the value of this investment and be a great capital deposit," Obernhuber added. According to the company, buyers in Oaza Kampinos will see the latest sustainable solutions, such as solar panels, to heat the inside of houses, heat water and save energy.
Energy savings and environmental friendliness are also key features of Orco Property Group's Feliz Residence, located in Warsaw's Ochota district. The project will feature solar panels on the roof, rainwater recycling and energy-efficient outdoor lighting systems, all of which will contribute to environmental conservation, as well as to reduction of costs for both buildings and apartments.
Long-term standard
Not all developers are satisfied with the new energy certificate law though. Mermaid Properties, for example, claims there are loopholes in the new regulation. "The draft amendment does not contain any penalties for not having a certificate. In practice, this means that it will still be possible to sell real estate without this document," pointed out Łukasz Dołęga, a partner and vice chairman of the board at Mermaid Properties, whose River House project in Warsaw complies with all EU construction and energy requirements.
Under new regulations the developer will be obliged to show the certificate only upon the purchaser's request. Auditors responsible for issuing certificates, however, will be penalized by law for falsifying the ratings.
"A valid energy certificate in the case of residential real estate can mean a higher purchasing price," admitted Dołęga. "I believe that in the long-run, buyers will realize the advantage of living in a building with a high energy rating. One advantage is clearly lower energy consumption, so the purchase is an investment that will pay for itself," he added.