The impact of the Building Energy Efficiency Act is far reaching. Businesses and individuals are exposed to significant financial penalties if they don’t comply. We therefore provide a refresher on your BEEC obligations and the proactive steps you can take to comply.

When is a BEEC required?

A BEEC is required if your building or tenancy is disclosure affected (a commercial office greater than 2,000 square meters) and you are selling, leasing or sub-leasing a building or area of a building. An owner or tenant cannot offer to sell or lease a building that is disclosure affected unless they have a valid and current BEEC registered on the Building Energy Efficiency Register.

The practical issues of obtaining a BEEC

There are two pre-requisites a vendor or landlord must have to obtain a BEEC

  • A current NABERS energy for offices rating; and
  • A current lighting assessment for the building/tenancy.

The BEEC will also contain a uniform general energy efficiency guidance statement.

The catch is, a BEEC is only valid for up to 12 months and only valid during the time that both the NABERS energy rating for offices and the lighting assessment remain current - the moment one ceases is the moment the BEEC validity ceases.

Planning ahead

Vendors, landlords and tenants should consider how long it may take to sell or lease premises, and whether their NABERS energy for office rating or lighting assessment will expire during the time the office space is for sale or lease. If so, the office rating or lighting assessment should be renewed, or at the very least you might receive a “Please Explain” letter.

Since the Building Energy Efficiency Certificate (BEEC) requirements came into force late last year, the government has sent at least 150 ‘please explain’ letters.