Find out the exceptions to the Energy Certificate requirement

The Energy Performance Certificate is mandatory if you want to rent or sell your property and in some other cases. However, there are also waivers. This article can help you determine if your property is among the exceptions.

Reviewed by Raúl Ferrão on December 8, 2023

Energy Performance Certification is a process that aims to evaluate a property’s energy efficiency - but that’s not the only aim! This process also enables property owners to gain knowledge of work they can undertake to improve the energy performance of their dwellings and reduce associated costs.

However, situations exist where this evaluation does not make sense, which means that in some cases, the Energy Certificate may be waived. Nevertheless, if the issuance of an Energy Certificate is not needed, you may have to comply with other legal requirements that supersede this document.

Situations exempt from an Energy Certificate

We know that the Energy Certificate is mandatory for those wishing to rent or sell their property. However, there are situations where the Energy Certificate is waived.

According to Article 18, paragraph 2 of Decree-Law no. 101-D/2020, of 7 December, properties in the following circumstances are exempt from the requirement to present an Energy Certificate:

1. Single-family buildings, when they are stand-alone buildings with a useful floor area equal to or less than 50 m²;
2. Non-residential industrial, livestock or agricultural facilities;
3. Workshops with no current or foreseen energy consumption, linked to the cooling or heating of space, intended for human comfort;
4. Buildings with religious uses, including churches, synagogues, mosques and temples;
5. Buildings with no climate control, used exclusively for parking;
6. Warehouses where humans are not present, currently or foreseeably, for more than two hours per day or where occupancy is less than 0.025 persons per m2;
7. Sales or transfers in lieu of payment of buildings:
   • to co-owners;
   • to lessees;
   • to an expropriating entity;
   • when arising from the enforcement or insolvency proceedings;
   • when performed for the buildings’ total demolition on condition of prior confirmation by the competent licensing entity.
8. Conveyances without consideration, such as donations, legacies and inheritances;
9. Leases of the landlord’s usual residence for less than four months;
10. Leases to the building’s prior lessee at a time immediately preceding the new legal transaction;
11. Large buildings used for commerce and services that are not in operation, provided that their sale, transfer in lieu of payment, lease or conveyance does not take place;
12. Buildings in ruins;
13. Military infrastructures and buildings subject to control and confidentiality rules, in particular those allocated to the security forces and services or to information systems;
14. Buildings used for commerce and services located within facilities subject to the regime approved by Decree-Law no. 71/2008, of 15 April.

The official documentation confirms a property’s exemption from the Energy Certification requirement. Should this information prove insufficient, exemption from the Energy Certification requirement is provided through a statement issued by a Qualified Expert.

Is a ruin exempt from an Energy Certificate?

A property is designated a “building in ruins” when it exhibits a state of degradation of its surroundings that, for the purpose of application of the Energy Certificate, fully or partially hinders its use for its intended purpose.

According to the Portuguese National Energy Agency (ADENE), “if there is evidence that the property in question is in ruins or is vacant and is not in the condition to be occupied or used without undergoing rehabilitation/reconstruction work, said work involving a licensing process with issuance of the respective Energy Pre-Certificate and Energy Certificate, the property is then considered unusable for habitation and services.”

According to Article 18, sub-paragraph (g) of Decree-Law no. 101-D/2020, of 7 December, buildings classified as “building in ruins” are exempt from the Energy Certification System (SCE). Therefore, in the case of buildings in ruins, an Energy Certificate is not issued.

However, a building in ruins requires the issuance of a Provisional Declaration from the SCE. This document proves the current condition of the property in question.

Similarly to the Energy Certificate, the Provisional Declaration is issued on the SCE Portal by a Qualified Expert. Still, instead of providing the property’s energy rating, it classifies the building as a “building in ruins” based on evidence gathered at the site and subsequently submitted via the correct portal.

At Neves & Ferrão, we can help you with the Provisional Declaration for your building in ruins! Talk to us!

This declaration is valid as long as the property remains in the condition that resulted in this classification.

Do I need an Energy Certificate to sell a property through an estate agency?

The answer is YES! Any advertisement to sell or lease a property must indicate its energy rating, recorded on the respective building’s valid Energy Certificate. Consequently, Energy Certification is essential if you wish to publish an advertisement for sale or lease, even if you are doing so through an estate agency.

Advertisements or transactions involving buildings or units without an Energy Certificate are non-compliant and subject to a fine. The amount of the fine may range from €250 to €3,740 for individuals and €2,500 to €44,890 for companies.

Therefore, before considering putting your home for sale or rent, you first need to request the Energy Certificate for your property!

I have a property built prior to 1951: is an Energy Certificate mandatory?

Buildings or units built before 1951, when the General Regulation for Urban Structures (RGEU) came into effect, are exempt from an utilisation licence, unless the building has been altered, extended or rebuilt.

This exemption is often confused with the Energy Certificate exemption. The Energy Certificate is a mandatory document, even in this case. Why? Because property with a construction date prior to 1951 is covered by Decree-Law no, 101-D/2020, of 7 December.

This Decree-Law approves the Energy Certification System for Buildings (SCE), the Residential Buildings Energy Performance Regulation (REH) and the Commercial and Services Buildings Energy Performance Regulation (RECS). As such, the presentation of an Energy Certificate is mandatory in the sale or lease processes, even for properties built before 1951.

In summary, although there are situations that are exempt from an Energy Certificate, this document remains mandatory and essential in a property’s sale or lease process.

Being aware of circumstances where Energy Certification is waived enables you to make informed decisions regarding whether or not you need to request an Energy Certificate for your property.

Please be advised that even if you are not planning to place your property on the market, the Energy Certificate can provide added value and requesting it is worth considering. It can make you aware of improvements that, if carried out, will make your residence more energy-efficient and may also result in tax benefits and a reduction in energy expenses.

Learn about the benefits associated with Energy Certification!

Is your property exempt, or does it need an Energy Certificate?

Know more