European Valuers Focus on Green Issues!

Seville At the General Assembly of The European Group of Valuers' Associations held in Seville at the end of last month, delegates focused on the implications of green issues on property valuation. The European Union's requirements in relation to Energy Performance Certificates were also considered in detail.

Indeed the EU's Energy Performance of Buildings Directive was recognised as one of the most important pieces of property-relevant legislation in recent years. It imposes, inter alia, energy performance certificates (EPCs) for all buildings in the Union. The deadline for implementing the certification obligation was 6 January 2009. However general feedback on the first EPCs from some member states has not been good, because of the poor quality of the certificates. In response to the negative feedback the EU Commission has proposed to recast the Directive.

EPCs should be seen in the context a new Directive which sets a target of net zero energy on all new buildings from 2016

Whilst the effects on property values of EPCs and other green building certification initiatives are not yet entirely clear, the consensus amongst the 50 delegates, representing valuers' associations from across Europe, was that in future valuation reports should include at least an acknowledgement of the existence of an energy performance certificate in respect of any property valued or identify any requirements in this respect. It was agreed also that the Tegova EVS Editorial Board would consider what additions should be made to European Valuation Standards accordingly.

The General Assembly also witnessed the launch of the Spanish edition of European Valuation Standards 2009 and the approval of further Associations for entry to the "Recognised European Valuer Scheme. These were Bundesverband Offentlich Bestellter und Vereidigter Sowie Qualifizierter Sachverstandiger (BVS) of Germany and The Institute of Revenues, Rating and Valuation (IRRV) from the United Kingdom.

It was noted that with the rapid development of the REV scheme across Europe (so far including France, Germany, Poland, Russia and the United Kingdom) there should be some 1000 Recognised European Valuers by the end of the year.