Energy Statement
An Energy Statement demonstrates how a proposed development will minimise energy demand and carbon dioxide emissions. With the UK committed to achieving net zero carbon emissions by 2050, local planning authorities are placing increasing emphasis on the energy performance of new buildings. Many councils now require developments to achieve specific carbon reduction targets beyond the minimum standards set by Building Regulations, and an Energy Statement is the document that proves compliance with these requirements.
Typical Cost
£300 – £5,000+
Turnaround
1 – 6 weeks
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What is a Energy Statement?
An Energy Statement is a technical report that sets out the energy strategy for a proposed development. It quantifies the predicted energy demand and associated carbon dioxide emissions of the development, then demonstrates how these will be reduced through a combination of energy efficiency measures, low-carbon heating technologies, and on-site renewable energy generation. The statement follows the energy hierarchy of 'be lean, be clean, be green' — first reducing demand through fabric efficiency, then supplying energy efficiently, and finally generating energy from renewable sources.
When is a Energy Statement required?
An Energy Statement is required by most local planning authorities for major planning applications, and by some councils for all applications involving new dwellings or commercial floorspace. In London, the requirement is set out in London Plan Policy SI 2, which applies to all referable applications and major developments. Outside London, the requirement stems from local plan policies that typically mandate a percentage reduction in carbon emissions beyond Building Regulations Part L. Check your local authority's planning policy and validation checklist to confirm whether an Energy Statement is required for your scheme.
What does a Energy Statement include?
A comprehensive Energy Statement includes a baseline energy demand assessment using Building Regulations Part L as the benchmark, an analysis of fabric efficiency measures such as enhanced insulation, high-performance glazing, and airtightness improvements, consideration of efficient heating and cooling systems including heat pumps, district heating connections, and heat recovery ventilation, an assessment of on-site renewable energy technologies such as solar photovoltaic panels, solar thermal systems, and heat pumps, SAP or SBEM calculations demonstrating the predicted energy performance and carbon emissions, a comparison of regulated and unregulated energy demand, and a summary showing how the development achieves the required carbon reduction against the local policy target.
How much does a Energy Statement cost?
An Energy Statement for a small residential development of fewer than 10 dwellings typically costs between £1,000 and £2,500. For major residential schemes of 10 to 50 dwellings, costs usually range from £2,500 to £5,000. Large mixed-use developments or schemes requiring dynamic thermal modelling, overheating analysis, or detailed renewable energy feasibility studies may cost £5,000 to £12,000. These costs often include the SAP or SBEM calculations needed to support the statement.
Who can prepare a Energy Statement?
Energy Statements are prepared by energy consultants, sustainability consultants, or building services engineers with expertise in energy modelling and renewable energy technologies. Practitioners should be qualified SAP assessors or SBEM modellers and have experience of the specific policy requirements of the local authority. Membership of bodies such as the Energy Institute, CIBSE (Chartered Institution of Building Services Engineers), or the Association for Environment Conscious Building adds credibility.
How long does a Energy Statement take?
An Energy Statement typically takes 3 to 6 weeks to prepare, depending on the complexity of the development and the level of energy modelling required. The statement can only be finalised once the building design, construction specifications, and proposed heating systems are sufficiently developed to allow accurate modelling. For London schemes requiring GLA referral, additional time should be allowed for preparing the GLA carbon emission reporting spreadsheet.
Frequently Asked Questions
What carbon reduction target does my development need to meet?
The target depends on your local authority's planning policy. Many councils require a 10 to 35 per cent improvement over Building Regulations Part L 2021 baseline. In London, the target is net zero carbon for major developments, with a minimum 35 per cent on-site reduction. Any shortfall can be addressed through a carbon offset payment. Check your local plan or supplementary planning document for the specific percentage applicable to your scheme.
What is the energy hierarchy?
The energy hierarchy is a sequential approach to reducing carbon emissions. It prioritises 'be lean' — minimising energy demand through fabric efficiency and passive design. Next comes 'be clean' — supplying energy efficiently through low-carbon heating systems and district heat networks. Finally, 'be green' — generating on-site renewable energy from technologies such as solar panels and heat pumps. The Energy Statement should demonstrate that each level of the hierarchy has been addressed.
Do I need to install solar panels?
There is no automatic requirement to install solar panels, but most Energy Statements include photovoltaic panels as part of the renewable energy strategy because they are the most cost-effective and widely applicable technology. Some local policies specify a minimum renewable energy contribution, and solar PV is usually the simplest way to achieve this. The Energy Statement should demonstrate that the most appropriate renewable technologies have been selected for the specific site and building type.
What is a carbon offset payment?
A carbon offset payment is a financial contribution made to the local authority to compensate for carbon emissions that cannot be reduced on site. This mechanism is commonly used in London, where developments must achieve net zero carbon but may struggle to achieve the full reduction through on-site measures alone. The offset payment is typically calculated per tonne of carbon remaining, with rates ranging from £60 to £95 per tonne over a 30-year period. The funds are used by the council to deliver carbon reduction projects elsewhere in the borough.
What is the difference between SAP and SBEM?
SAP (Standard Assessment Procedure) is the methodology used to assess the energy performance of residential buildings. SBEM (Simplified Building Energy Model) is the equivalent for non-domestic buildings such as offices, shops, and schools. Both methodologies produce energy performance ratings that demonstrate compliance with Building Regulations Part L. Your Energy Statement should use the appropriate methodology for the building type.
Does the Energy Statement need to cover unregulated energy?
Building Regulations Part L only controls regulated energy — that used for heating, cooling, ventilation, hot water, and fixed lighting. Unregulated energy from appliances, lifts, and plug loads is not covered by Part L but contributes significantly to total carbon emissions. Many local policies, particularly the London Plan, require the Energy Statement to report both regulated and unregulated emissions, though reduction targets typically apply only to regulated energy.
What is an air source heat pump and should my development use one?
An air source heat pump extracts heat from the outside air and uses it to provide space heating and hot water for a building. Following changes to Building Regulations in 2022, heat pumps have become the default heating technology for new dwellings because gas boilers can no longer meet the carbon emission targets set by Part L 2021. Your Energy Statement should assess the suitability of heat pumps for the development and demonstrate the carbon savings compared to conventional heating systems.
How does the Energy Statement relate to Building Regulations Part L?
The Energy Statement demonstrates compliance with planning policy carbon reduction targets that go beyond the minimum requirements of Building Regulations Part L. Part L sets the baseline standard, and planning policies typically require a further percentage reduction on top of that baseline. The Energy Statement uses the same SAP or SBEM modelling methodology as Part L compliance but targets a higher level of performance.
Can I use carbon offsets instead of on-site renewable energy?
In London, carbon offset payments are accepted for residual emissions that cannot practically be eliminated on site, provided the minimum 35 per cent on-site reduction is achieved. Outside London, policies vary — some authorities accept offset payments while others require all reductions to be achieved on site. The Energy Statement should prioritise on-site measures and only propose offsetting as a last resort for emissions that genuinely cannot be reduced through practical on-site interventions.
Do I need a separate Overheating Assessment?
An Energy Statement addresses energy demand and carbon emissions but does not fully assess overheating risk. Many local authorities and the London Plan require a separate Overheating Risk Assessment in accordance with CIBSE TM59 for residential developments and TM52 for non-domestic buildings. This is typically submitted alongside the Energy Statement but is a distinct document with its own methodology and pass criteria.