IPOA PRESS RELEASE 10^th October 2006

for immediate release

Property Owners Beware! What Will Our Soon To Be Energy Rated Properties Cost Us ?

The increasing cost of energy is a major point of conversation amongst consumers. While motorists are currently benefiting from a reduction in the price of petrol due to a decrease in the price of oil (down by 23% since July), the cost of electricity and gas for property-owners and tenants is only going in one direction – UP! With Bord Gais increasing prices by more than 33% from October and ESB prices increasing by almost 13.5% from January, energy costs will burn a rapidly growing hole in our pockets. And yet to be added to the mix is the unavoidable cost that our soon to be energy rated homes will impose upon us. This is one of the implications of the EU Energy Performance of Buildings Directive that is soon to enter Irish law.

The details of the Directive will be implemented in Ireland over the next two years. The Directive includes the establishment of a Building Energy Rating (BER) certificate which will be required at the sale or rental of a building, or on the completion of a new building. Your success at selling or renting your property will be partly determined by whether your property is A-rated or C-rated! According to Jeff Colley, Advisor, Green House Sessions & Editor Construct Ireland

"There are a number of factors converging to make energy performance count, including rising energy prices and concerns about security of supply, a growing sense of environmental responsibility amongst the public, and perhaps most significantly, property market slowdown.  We've had a seller's market for several years coupled with a buoyant economy and relatively cheap energy costs.   Buyers may have wanted energy efficient homes, but in a seller's market haven't had the power to make demands in this regard.  Building Energy Ratings, however, should now provide a mechanism to cement a clear correlation between a building's energy performance and its value.  The fact that we're heading for a buyer's market as energy ratings come in should help to make energy performance key.  In this changing market, buildings coming onto the market will have to compete for the attention of buyers, and getting a good Building Energy Rating may be the difference between selling a property or not".

The impact of the Energy Directive on residential property owners in Ireland will be significant on all levels. The Directive will have a direct effect on the financial yield of investments and on the management and running of rental property. So property owners, builders and agents must start preparing - measures can be taken now and in the coming years to ensure that property and clients, and in turn your bank balance are A-rated and that energy does not take a further toll on your pocket!

For further information on how to energy proof your property to make your property energy efficient and the implications that the Energy Directive will have, the Irish Property Owners Association is holding a one-day conference entitled "The Green House Sessions" on 17th October  in Croke Park. Designed in conjunction with energy expert Duncan Stewart, the event will be addressed by Minister Noel Dempsey and will have an esteemed panel of experts in the area. Contact 087-7643788 for further details.

Ends

for further information contact Gemma Ryan or Sara Corcoran 087-7643788/7624258

the Irish Property Owners Association (IPOA)