What are the energy-efficiency renovation requirements for condominiums?
The Climate and Resilience Act established a number of requirements for condominium associations, along with a timeline for implementation, in order to encourage them to accelerate their energy transition.
The DPE has become mandatory
The Climate and Resilience Act of August 22 requires condominium associations to conduct an Energy Performance Assessment (DPE) for all multi-unit residential buildings for which a building permit was filed before January 1, 2013. This assessment must be conducted according to the following schedule:
As of January 2024, the Energy Performance Certificate (DPE) is mandatory for condominium complexes with more than 200 residential units and for single-owner buildings. As of January 2025, it will become mandatory for condominium complexes with between 50 and 200 residential units. Finally, as of January 2026, it will be mandatory for condominium complexes with fewer than 50 residential units.
Please note that condominiums built on or after July 1, 2021, are exempt from the energy performance certificate (EPC) requirement, as they are presumed to have been built to standards that would earn them an A or B rating.
The energy performance certificate (DPE) for a condominium is valid for 10 years, unless it indicates that the building has been rated A, B, or C. It should not be confused with the individual energy performance certificate (DPE), which is the one you have prepared to determine your home’s energy rating. The condominium energy performance certificate, or collective energy performance certificate, assesses the entire building by estimating its energy consumption and greenhouse gas emissions.
Prepared by an independent, certified energy auditor who has been specifically trained to conduct this type of energy performance assessment, the document also includes recommendations on the work needed to improve the building's energy performance, as well as an estimate of the theoretical costs.
Although it is not mandatory for condominiums, the property manager may decide to have an energy audit conducted in addition to the mandatory Energy Performance Certificate (DPE). This audit goes beyond the scope of the DPE, providing a more in-depth analysis of the current situation, recommendations for work to be undertaken, and a cost estimate for the work. In addition, to qualify for certain financial assistance programs, such as MaPrimeRénov' Copropriété, you must provide either an energy audit or a Comprehensive Technical Assessment (DTG).
Finally, please note that the property manager is required to present the results of the collective energy performance assessment at the general meeting following its completion.
The requirement to develop a multi-year construction plan
According to ANAH’s definition, “the multi-year work plan is intended to establish a 10-year schedule of common-area improvements to be carried out within the condominium, with the aim of maintaining the building, safeguarding the health and safety of the occupants, achieving energy savings, and reducing greenhouse gas emissions.”
To give co-owners a more comprehensive overview of the work needed to maintain their building, the development of a multi-year work plan (PPT) is now mandatory for condominiums over 15 years old, according to the following schedule:
Effective January 1, 2023, for condominium associations with more than 200 units; effective January 1, 2024, for condominium associations with between 50 and 200 units; and effective January 1, 2025, for condominium associations with fewer than 50 units.
The multi-year work plan (PPT) includes a list of necessary work, an estimate of the level of performance the completed work is expected to achieve, a prioritization of the work to be undertaken, a rough estimate of the cost of the work, and a proposed timeline for completing the work.
If a comprehensive technical assessment (CTA) is conducted and it indicates that no work will be needed for the 10 years following its completion, the condominium association is exempt from establishing a maintenance plan.
A renovation fund must be established
To finance upcoming renovations, condominium associations must establish a “renovation fund.” Established in 2014 but amended by the Climate and Resilience Act of August 22, 2021, the renovation fund is a financial reserve that the condominium association can use to develop the draft multi-year renovation plan (PPT) and, if necessary, a comprehensive technical assessment (DTG), as well as to carry out the work provided for in the PPT and any work not provided for in the PPT but that is necessary for “the preservation of the building, the protection of the health and safety of the occupants, and the achievement of energy savings,” along with any work decided upon by the property manager in the event of an emergency.
The renovation fund is financed by contributions:
If a PPT has been approved, the annual assessment may not be less than 2.5% of the cost of the work specified in the PPT or 5% of the condominium association’s projected budget. However, it may be higher if a majority of the co-owners vote in favor.
If no PPT has been approved, the annual dues may not be less than 5% of the condominium’s projected budget. However, they may be higher if a majority of the co-owners vote in favor.
It should be noted that the repair fund requires the opening of a specific bank account to receive contributions, and the use of these funds must be approved by a majority vote of all co-owners. Finally, the amounts paid are tied to the unit and become the property of the property manager; in other words, a co-owner who sells their unit will not be able to recover the contributions already paid into the repair fund.
