From April 2006, changes in Part L of the Building Regulations will require major cuts in carbon emissions from buildings with the intention of combating global warming. This will undoubtedly have a significant impact on the building industry.
Almost half the carbon dioxide emissions in the United Kingdom comes from the burning of fossil fuels to provide energy for heating, lighting, ventilating and air-conditioning buildings. The new measures are expected to lead to a saving of one million tonnes of carbon per year by 2010.
From April, Part L of the Building Regulations will require all new commercial buildings to produce 27 per cent less carbon than is allowed under current standards. This will have a significant impact on the way property is designed and constructed and will apply to existing stock and new buildings. Cost plans and building designs will now need to be developed in anticipation of these more stringent requirements and “energy performance certificates” will be required for buildings when offered for sale or to let.
Part L also incorporates a minimum standard for the various elements of the building envelope, heating, ventilation and air conditioning and also lighting systems. The likelihood is therefore that the most energy efficient buildings, whether they be new or existing, will become the most desirable and therefore another variable is thrown into the calculation of which buildings to construct, invest in, purchase, sell, manage and rent.
The potential implication for occupiers is that the cost of additional works will inflate service charges and this may also have a knock on effect with rents. For employers and contractors, it is suggested that construction costs are likely to rise by up to 5 per cent from having to install new triple glazing and thermally efficient glass.
First published in Construction News, Spring 2006.
