The new Energy Performance Diagnosis (DPE): the essential thing to remember in 2023

Among the mandatory real estate diagnostics, the energy performance diagnosis has become an essential in the life of selling owners or lessors for many years. Today a real tool for measuring the energy consumption of a property, it offers a broad vision of the state of the housing stock, but also of the possibilities of rehabilitating buildings at the bottom of the ranking. Find all the useful information to understand the profound changes in DPE since 2021.

What is DPE?

The energy performance diagnosis (DPE) is an essential tool for evaluating the energy consumption of a property, for sale or rent. It has undergone many changes in correlation with current energy needs and tends to harden over the years to respond to future climate issues.

Definition of DPE

The energy performance diagnosis is part of the mandatory real estate technical diagnostics when selling or renting a property. It is used to estimate the energy consumption of any residential building, with the aim of reducing greenhouse gas emissions. This DPE is carried out by a diagnostician approved by the Ministry of Ecological Transition – often at the same time as other mandatory technical diagnoses – during the construction, sale or rental of a dwelling.

The objective of the energy performance diagnosis is part of an environmental approach, with the aim of informing and raising awareness among owners and tenants of the energy impact of their living space. In addition, energy loss has a cost. A diagnosis makes it possible to consider long-term solutions to reduce the energy consumption of a property.

How to perform a DPE?

To carry out an energy performance diagnosis, the owner of the property for sale or rent must call on a certified professional. The Ministry of Ecological Transition offers an online directory that lists certified diagnosticians. The energy diagnosis technique is specified by the decree of 8 October 2021 and must be scrupulously respected.

The diagnostician uses the 3CL method (calculation of conventional consumption of housing) by collecting all relevant information on heating, domestic hot water production, air conditioning and ventilation equipment. Before the reform of the energy performance diagnosis, the diagnostician lowered his calculation on household bills. This technique was abandoned because it was based on consumption habits rather than tangible criteria.

In case of non-compliance with the obligation to consult a certified diagnostician, the owner may be sanctioned with a fine of 1500 €. Similarly, an unlicensed diagnostician who intervenes on a housing without certification may also receive a fine of 1500 €.

How much does it cost to carry out a DPE?

The realization of the energy performance diagnosis, in the same way as all mandatory technical diagnostics, is the responsibility of the selling owner or lessor.

The price of an energy performance diagnosis depends on several factors such as the surface area of the dwelling, its location, its equipment, but more often, the diagnostician himself. It is considered that a DPE costs between 100 € and 250 €.

Validity period of the DPE

The energy performance diagnosis is valid for a period of 10 years. Beyond that, owners who wish to sell or rent a property must call on a certified diagnostician to carry out a new DPE.

DPE transmission

Once he has carried out the energy performance diagnosis, the diagnostician must send the results to the Ecological Transition Agency (ADEME). The latter then transmits an identification number to be entered on the energy performance diagnosis and to be communicated to the owner. If the DPE does not mention this number, it is not valid.

In addition, if the diagnostician does not notify the results of the DPE to ADEME, he may receive a fine of 1500 €.

DPE: what has changed since July 1, 2021

The year 2021 marked many changes in the application of the energy performance diagnosis, with a clear objective: to fight against energy-intensive housing. Since Decree No. 2021-19 of 11 January 2021, the decency of a property is established according to strict criteria. The Climate Law only reinforces this will from the beginning of 2023 until 2034.

The objective: to fight against thermal sieves

Mandatory since 2007, the energy performance diagnosis provides detailed information on the condition of a building or dwelling as part of its sale or rental. The future buyer can then have a precise idea of the energy loads of the property as well as the potential work to be carried out to increase its performance. These measures now aim to gradually remove energy-intensive housing, which the energy performance diagnosis classifies between E and G, from the current building stock. The maximum energy consumption threshold is, for the moment, set at 450 kWh/m2; i.e. properties that exceed this threshold will be excluded from the rental market. Only G-rated housing is affected by this measure, but all properties located between E and G will be impacted by 2034.

To raise the energy class of a dwelling and be able to continue renting it, owners will have to carry out renovation work to meet the criteria of decency provided by the State. The rents of properties classified between F and G and whose lease was signed before January 1, 2023 are now frozen until the necessary work is completed. Thus, housing that has not been renovated by 2025 can no longer be offered for rent.

New energy labels

Until July 1, 2021, there were two separate labels:

–      The energy label: it represented the consumption in kWh/m2 of energy-intensive dwellings, from green to red.

–      The climate label: it designated greenhouse gas emissions in kWh/m2 in purple gradient.

Today, these two labels have merged for clarity. Thus, the rating that appears, from A to G, on this new label takes into account the worse of the two classes. This feature could push homeowners to improve the energy footprint of the homes they offer for rent or sale.

A common diagnosis for sale and rental

The energy performance diagnosis is the same when it comes to a home for sale or a property for rent.

DPE building and housing

Small and medium-sized condominiums are now required to carry out a collective energy performance diagnosis in accordance with Law No. 2012-788 of 12 July 2010, known as the Grenelle 2 law. This diagnosis, mandatory for buildings with less than 50 lots that have collective equipment (heating, domestic hot water, air conditioning, etc.), makes it possible to take into account the building as a whole, including common areas. Buildings with more than 50 lots will have to carry out an energy audit instead of the DPE.

The collective DPE contains a description of the condominium and its equipment, an indication of its energy consumption, an “energy” label and a “climate” label, as well as work recommendations. This diagnosis can replace the individual DPE when selling or renting a property. However, it is necessary and more advantageous to carry out an individual DPE if work has been carried out that may have changed the energy class of the dwelling.

Location taken into account

The DPE indirectly takes into account the location of the building in the event that it is located in a climatic zone that could influence the diagnosis.

Regarding the price, the price is not regulated, it is appropriate for the diagnostician to pass on the cost of travel according to the location of the property to be diagnosed.

The end of blank DPE

From 1 July 2021, it is forbidden to present a blank energy performance diagnosis. This document, which was not completed, mainly concerned dwellings built before 1948. Indeed, the DPE was based on invoices, and therefore on the personal consumption of the current owners of a property. For older homes, it was often impossible to provide complete traceability without the documents of the previous owners. The blank DPE no longer exists since this practice called “on invoices” is now prohibited.

This decision stems from a desire on the part of the State to allow full transparency on the situation of the residential housing stock. It thus ensures that it offers decent housing, with measured energy consumption and better managed energy bills.

Better readability of the annual energy bill

The new energy performance diagnosis also offers better clarity on the annual costs represented by a home’s energy bills. From the first page of the DPE, homeowners will be able to find a price range that gives a general idea of the expenses to be expected concerning:

–         domestic hot water;

–         heating;

–         lighting;

–         ventilation;

–         air conditioning.

A revised calculation method

Before the reform of energy performance diagnostics, certified diagnosticians used household data as the basis for their calculation. Considered too risky, the process has changed to move towards a more factual methodology. Thus, the new DPE is based on the characteristics of the building or dwelling rather than on the practices of its inhabitants:

–         the building;

–         materials: insulation, windows, etc.

–         heating;

–         lighting;

–         ventilation;

–         air conditioning.

These criteria provide an overview that allows a representative calculation of the typical use of a dwelling.

The DPE becomes enforceable

The first version of the DPE aimed to inform future buyers or tenants of a property about its energy consumption. The new version makes it enforceable thanks to Law No. 2018-1021 of 23 November 2018 known as the Elan law in order to fight against scams. Thus, the energy performance diagnosis takes on a legal value since it now engages the responsibility of the seller or the lessor, but also of the diagnostician.

In this case, this offers a guarantee to tenants or buyers of a property on its real energy performance. If the latter doubt the validity of the DPE provided by the seller or the lessor, they may require a new diagnosis to be carried out. In the event of a major discrepancy between the first DPE and the new one, tenants or buyers may request a reduction in the rent price or the sale price.

The DPE also becomes enforceable against diagnosticians who engage their responsibility for carrying out the diagnosis. In case of error, the owner can turn against the diagnostician and sue him.

Who is affected by the new DPE?

The new DPE concerns all residential real estate. It must therefore be carried out as soon as a building or housing is intended for sale or rental, and the former DPE is more than 10 years old.

The rates of the new DPE

The amount of the new DPE depends on several factors, the main one being the choice of diagnostician. Indeed, the tariffs for the energy performance diagnosis are not regulated. Certified professionals are therefore free to charge the prices they want. The bill may also vary depending on the location, area and equipment of the property. It is best to compare the rates of licensed diagnosticians before scheduling an appointment.

The period of validity of the new DPE remains unchanged

The validity period of the new DPE is 10 years, just like the old version.

Attention, there are two special cases corresponding to the transitional period between the two versions:

–      DPEs performed between 1 January 2013 and 31 December 2017 are no longer valid since 31 December 2022.

–      DPEs performed between 1 January 2018 and 30 June 2021 are valid until 31 December 2024.

Other changes in the new DPE

In addition to its simplified labels, its unified calculation method and its transitional validity period, the new DPE makes some changes concerning real estate work and advertisements.

From 2021, real estate ads must mention the “climate” class in addition to the “energy” class. This new label specifies greenhouse gas emissions in kilograms of CO2/m2 per year. All properties whose energy consumption threshold exceeds 330 kWh/m2 per year, above class F, must indicate “excessive energy consumption” on the advertisement. The amount of theoretical annual energy expenditure and the base year used should also be disclosed.

From April 2023, an energy audit will be mandatory for dwellings considered thermal sieves. This concerns buildings classified F or G in the DPE. The latter allows owners to better understand the energy needs of the properties they wish to rent or sell. To go further, the DPE will provide a quantified estimate of the work to be carried out in order to improve the energy performance of the dwelling and thus change the label. This is by no means an obligation, but a recommendation to make the residential housing stock more decent and less energy-intensive.

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