What is the purpose of an EPC or energy performance certificate?

All real estate transactions in Luxembourg require the production of an Energy Performance Certificate. The EPC or energy passport certifies the energy quality of a dwelling.
When selling or renting a property, the owner must provide the buyer with an energy passport proving its energy performance.

The EPC calculates the energy performance of a building.

The Energy Performance Certificate is more commonly known as an energy passport.

The EPC defines the energy consumption of a building or dwelling. It is drawn up over several pages, according to very precise standards. The EPC determines three main elements:

• the energy performance class. This determines the primary energy consumption index for the dwelling
• the thermal insulation class. This corresponds to the heating requirement index of the dwelling
• the energy performance class. This defines the building's CO2 emissions.

Each classification is rated from A to I.

Grade A is the best class. It corresponds to so-called passive houses. Class B is the grade given to low-energy homes. Class C corresponds to energy-efficient homes. Class I is the lowest class.

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When is the EPC mandatory in Luxembourg?

The Energy Performance Certificate has been mandatory since the Grand Ducal regulation of November 30, 2007. The EPC is valid for 10 years. It is transferred from owner to owner.

EPC mandatory for the sale or rental of older buildings

The EPC is required when selling, converting, extending, or building a home. Even in the case of rental, the owner must provide the Energy Performance Certificate to their tenant.

However, in the event of renovation and improvement work on the building, it is advisable to obtain a new energy passport. This is because the energy performance will be affected by the work. A new EPC will be very useful if the property is resold. The value of your property depends on it.

AAA energy passport for new buildings in Luxembourg

Since 2017, all new buildings in Luxembourg must meet an AAA rating on the three elements used to calculate energy consumption.

EPC and renovation of real estate in Luxembourg

In Luxembourg, the EPC is for information purposes only. Regardless of a building's calculated energy performance, there is no obligation to renovate the property to improve its energy performance.

However, the Luxembourg government does provide financial assistance for home renovations. This assistance is specifically aimed at improving the energy performance of buildings.

Obtaining an energy performance certificate in Luxembourg

The energy performance certificate is mandatory when selling or renting a property. The owner must be able to provide it. The Energy Performance Certificate must be issued by professionals certified by the Luxembourg government.

Although it is possible to assess the energy performance of your home using tools available on the internet, these assessments cannot be used as official documents required for real estate transactions.

You can find a list of approved professionals on guichet.lu who can issue an Energy Performance Certificate for your home.

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Energy performance and rent setting in Luxembourg

In 2022, the government introduced a bill to correlate rents with the energy performance of homes. The aim is to combat "energy-inefficient" properties. This law is still pending at the moment.

In practice, under this energy performance law, rents would be capped according to the classification of the property. This cap would also be linked to the investment made by the owner. In concrete terms, the tenant would see their rent increase to:

• A maximum of 3.5% of the capital invested by the owner in housing with a CPE rating of A to E
• A maximum of 3.0% of the capital invested by the owner in low energy performance housing (rated F to I)

For the record, the maximum rent is currently 5% of the capital invested. There is currently no concept of energy performance.

Find out more about renting accommodation in Luxembourg.