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The Importance of the Energy Efficiency Certificate
By Armin Gutschick & Anja Sämann-Gutschick
Anyone on Ibiza who has wanted to sell or rent their property in recent years, is familiar with the necessity of getting the “certificado de eficiencia energetica”. The energy efficiency certificate is an official document issued by a specialist, and the basic idea of it is to rank properties according to their energy efficiency. The ratings go from A to G – the same letters that have been used for home appliances (refrigerators, televisions, etc.) for some time.
The certificate contains important information about the energy characteristics of the property. It calculates the energy consumption that a building or apartment would use during one year under normal operating and occupancy conditions. Based on this calculation, the property is rated on a scale from A (the colour dark green representing maximum energy efficiency) to G (the colour red representing no energy efficiency). The calculation includes hot water production, heating, lighting, cooling and ventilation. It also takes into account elements such as the materials used for the exterior walls, the type of windows, and the presence of systems such as air conditioning, solar, photovol- taic and heat pumps.
The energy certificate plays an important role in Ibiza for various reasons. It provides a potential buyer with a valuable source of information to estimate the expected energy costs and the energy efficiency of a property. The higher the energy efficiency rating shown on the energy certificate, the lower the energy consumption, and the more it increases the value of the property. Construction companies who optimise insulation, use high-quality building materials and install PVC doors and windows will usually achieve an excellent classification on the energy performance certificate. This is likely to increase the attractiveness of the property. Another important aspect of the certificate is that its assessment of the various energy-relevant aspects of a building will identify the weak points in energy consumption that can be fixed. The certificate provides suggestions for improving energy efficiency such as optimising insulation, modernising heating or cooling systems, and using LED lighting. Implementing these measures will lower energy consumption, and these savings in energy costs will reduce the building’s operating costs over the long term.
Those who rent their properties should know that a new legal regulation came into effect in June of 2021, which makes the energy certificate also mandatory for holiday rentals. For those who are selling their house, a copy of the energy certificate must be attached to the notarised purchase contract, together with proof of registration in the relevant register (Consell Insular) of Ibiza. There has also been a change in how long an energy certificate remains valid. For most properties it stays at ten years, but it is reduced to only five years for properties that have been rated with the lowest qualification (letter G). On the positive side, tax residents who have been able to increase the energy efficiency of their residential property by more than 30% due to investments (heat pumps, photovoltaic systems or insulation) should generally be able to deduct up to 3,000 euros on their income tax return in the following three years. In order to obtain this tax relief it is necessary to have an updated energy certificate, which provides proof that the energy efficiency of the property has improved after the structural changes.
The cost of the energy certificate will vary depending on the size and complexity of the house. As a general rule, the price for issuing the certificate in Ibiza runs somewhere between 150 and 400 euros. It should be noted that the energy certificate may only be issued by architects or technical engineers who have personally inspected the property. Here in Ibiza, the Balearic Islands Administration is responsible for registering the energy certificate, and also for imposing any fines that may be incurred. If an owner does not present an energy certificate as required by law, he or she will face fines ranging from 300 euros (minor offence) to 6,000 euros (very serious offence).