EPCs are more than just part of the property business. In a house sale, the purpose of the EPC is to give prospective buyers an estimate of the comparative running costs (in terms of fuel consumption). E rated homes will cost several hundred pounds per year more to keep warm than C or D rated homes.
Energy efficiency
The coloured A-G ratings that you see on an EPC (the same ratings as appear on most domestic appliances) refer to the energy efficiency of the building and a second value is given for the potential energy efficiency.
The EPC report goes much further than this simple statement - it makes recommendations which, if followed, can lift the rating to the improved level. Also, an estimate is given of the potential annual savings of following the recommendations. For instance installing low energy light bulbs could save £20-30, increasing your loft insulation £50, and installing a more efficient boiler £100 or more.
Environmental impact
Every EPC has a second set of ratings that show the environmental impact of the property. For an average 3-bedroom house with gas central heating, the environmental rating and the energy efficiency rating will both be around D (55-68). With photovoltaic panels or a heat pump generating some of the energy, the environmental rating will be considerably higher becausing it is not emmitting as much CO2.
CO2 emissions
The introduction of EPCs, from 2007 onwards has been a result of the Government's commitment to reducing CO2 emissions, by reducing the amount of fossil fuel we burn. Even for climate change sceptics, this has to be seen as a good thing. Fossil fuels are in finite supply and the cost will rise as supply decreases, so at some point we will have no alternative but to switch to what is called a 'low carbon economy'. The Government has drawn up a plan for how to achieve this called the UK Low Carbon Transition Plan. EPCs will play a very important part in this transition
