Knowledge

The Government of Jersey is planning to introduce a mandatory Jersey Energy Performance Assessments ("JEPA") regime in Jersey, as part of Jersey's Carbon Neutral Roadmap. The Government of Jersey updated the timescales for the implementation of the regime on 12 October, meaning that there will be a requirement for a JEPA to be in place from 1 January 2026.

What is a JEPA?

A JEPA gives a property an energy efficiency rating. It is anticipated that the regime will operate very similarly to the Energy Performance Certificate ("EPC") regime in place in the UK. Like EPCs, JEPAs may also set out the likely cost of energy usage at the property and include recommendations for energy efficient improvement works.

How to obtain a JEPA

JEPAs are issued by an accredited energy assessor, following a site visit. The assessor will conduct an energy audit which assesses the energy usage and efficiency of the property. A JEPA will rate a building (normally on a scale between A – G) depending on its efficiency.

The Government of Jersey maintains a list of accredited domestic energy assessors (who are able to carry out energy audits on residential property). The Government of Jersey is engaged in the training of accredited energy assessors for commercial property.

The JEPA regime

During the course of 2024, the Government of Jersey intends to draft and lodge the relevant legislation to implement a mandatory JEPA regime for both commercial and residential property.

Whilst the exact nature of the planned legislation is not yet known, it is anticipated that Jersey will adopt a regime which closely follows the UK model (where EPCs have been a legal requirement since 2007). It is expected that:
-    by 1 January 2026, legislation will require a valid JEPA to be in place at the point of sale or rental of a property; and
-    no earlier than 1 January 2028, legislation will prevent the sale or rental of a property which does not have a valid JEPA which certifies that the property meets a minimum energy efficiency standard.

These requirements will apply to residential and commercial property.

The Government of Jersey has budgeted for, and is planning to provide, a number of subsidies to assist owners with the cost of putting JEPAs in place. The subsidies are principally aimed at residential property owners, although a limited number of commercial property owners will also benefit.

Impact

• whilst more accredited energy assessors are being trained, it may be that the demand for JEPAs outstrips the available supply (which could lead to transactional delays);
• depending on the minimum efficiency rating required by legislation, owners and landlords may need to carry out improvement works to their premises before they can sell or lease their property;
• the value of a property could be affected where it does not meet relevant energy efficiency standards;
• although it is not anticipated that the legislation will require a JEPA at the point of remortgage, it is possible that lenders will require a JEPA as part of their approval process; and
• whilst the draft legislation is not currently available:
• • prospective purchasers are now more likely to raise enquiries as to the energy efficiency of a property; and
  • prospective sellers may wish to obtain a JEPA and carry out improvement work where relevant. 
    
    

Next steps

Property owners may wish to assess the energy efficiency of their property so that they are fully informed before the legislation is introduced. Prospective purchasers should assess the possible cost of improvement works when purchasing property and, where appropriate, request a JEPA from the seller in advance of completion.

If you would like any further information, please get in touch with your usual Bedell Cristin contact or one of the contacts listed.