Building Energy Performance Certificate (PENB): When you need it and how to get it

Certificate of the building's energy efficiency, abbreviated PENB, is a document that evaluates the energy efficiency of the property. It is important for landlords because PENB duties depend on the transaction, building or unit, advertisement and statutory exceptions; check Act No. 406/2000 Coll. and current MPO guidance before renting or selling. In this guide you will learn when you need a PENB, how to get one, how much it costs and how it can affect the value of your property.

What is a PENB

Definition and purpose

The building energy performance certificate is an official document that assesses the overall energy consumption of a building. It includes energy consumption for heating, cooling, water heating, lighting and ventilation. PENB is enshrined in Act No. 406/2000 Coll., on energy management, and in Decree No. 264/2020 Coll.

How it looks

PENB has a standardized graphic form that resembles energy labels on appliances. Contains:

• Energy class of the building (A-G)
• Total supplied energy in kWh/m2 per year
• Non-renewable primary energy in kWh/m2 per year
• Partial assessment of individual systems (heating, water heating, etc.)
• Recommended measures to reduce energy demand
• Identification data of the building and processor
• Date of creation and validity

Energy classes A-G

Buildings are classified into seven energy classes:

• A – Extremely economical: Passive and zero-energy houses, lowest energy consumption. Typically new buildings with excellent insulation, heat pump and recovery.
• B – Very economical: Low-energy buildings. Quality insulation, modern windows, efficient heating. The applicable requirements for new buildings and energy class depend on the current law and project; do not treat class B as a universal rule.
• C – Energy-saving: Above-average energy-efficient buildings. Insulated older buildings after reconstruction, some new buildings.
• D – Less economical: Average buildings. Partially insulated panel houses, older brick houses with partial modifications.
• E – Uneconomical: Below average buildings. Uninsulated panel houses, older buildings without modifications.
• F – Very uneconomical: Buildings with high consumption. Old brick houses without insulation, bad windows.
• G – Extremely inefficient: The worst energy class. Historic buildings, objects in a state of disrepair.

When is PENB mandatory

Sale of real estate

When selling a building or apartment unit, the seller is obliged to submit PENB to the buyer. This obligation has been valid since 2013.

What this means in practice:

• PENB must be available when the property is advertised
• The energy class must be indicated in the ad
• The buyer must receive the original or a certified copy of the PENB

Leasing the property

When renting the whole building or part of it (apartment, non-residential space) the lessor is obliged to submit PENB tenants. This obligation has been valid since 2016.

What this means in practice:

• PENB must be available when negotiating a lease
• The energy class should be indicated in the advertisement
• The tenant has the right to inspect the PENB
• The landlord must enable the acquisition of a copy

New buildings

Each new building must have a PENB as part of the project documentation. Without it, it is not possible to obtain a building permit or approval.

Major renovation

For a major renovation of a building (reconstruction affecting more than 25% of the building envelope), it is necessary to process a new PENB.

Buildings over 250 m2 used by public authorities

Buildings over 250 m2 in which public administration bodies are located and which are accessible to the public must have PENB visibly located.

When you do not need PENB

PENB is not required for:

• Buildings with a total energy reference area of less than 50 m2
• Buildings for family recreation (cottages, cottages) used for less than 4 months a year
• Industrial and production operations with high energy consumption from technological processes
• Objects of historical preservation (if would meeting the requirements unacceptably change their character)
• Churches and other buildings for religious services

How to get a PENB

Step 1: Find an energy specialist

PENB can only process an energy specialist with authorization from the Ministry of Industry and Trade (MPO). You can find a list of authorized specialists on the MPO website in the Energy Specialists section.

What to ask:

• Are you authorized to process PENB?
• How many PENB have you processed?
• What is the price and what does it include?
• How long will processing take?
• Will a personal inspection of the property be necessary?

Step 2: Prepare documents

Energy specialist will need:

• Project documentation of the building (if any)
• Construction information: material of walls, roof, floors, type of windows
• Heating information: type of boiler, radiators, underfloor heating
• Water heating: type of heater, storage tank
• Ventilation: natural or forced, recuperation
• Photovoltaics or other renewable sources (if any)
• Drawing documentation or at least floor plans
• Energy invoices for the last 1-3 years (for verification)

Step 3: Inspection of the property

The specialist will carry out an inspection of the property, during which he will verify:

• Actual condition of the structures
• Type and condition of windows
• Heating system
• Insulation and thermal insulation
• Dimensions of the building

Step 4: Processing PENB

On the basis of the collected data, the specialist calculates the energy demand of the building using specialized software and issues a PENB.

Processing time:

• Apartment: 3-7 working days
• Family house: 5-10 working days
• Apartment building: 7-14 working days

Step 5: Registration in the database ENEX

Processed PENB the energy specialist must register in the ENEX electronic database maintained by the Ministry of Trade and Industry. Registration is mandatory and ensures quality control.

How much does PENB cost

Indicative prices

The price of PENB depends on the type and size of the property:

• Apartment: Kč 5,000-8,000
• Family house (up to 150 m2): Kč 7,000-10,000
• Family house (over 150 m2): 10,000-15,000 Kč
• Apartment building (up to 10 apartments): 10,000-18,000 Kč
• Apartment building (over 10 apartments): 15,000-25,000 Kč
• Commercial building: 15,000-40,000 Kč

What affects the price

• Building size: Bigger building = more work = higher price
• Availability of documentation: Without project documentation, a more detailed survey is necessary
• Building complexity: Multiple zones, different heating systems
• Location: Prices vary regionally
• Necessity of surveying: If there are no floor plans, surveying is necessary buildings

Beware of suspiciously low prices

PENB processed "remotely" without inspection of the property for Kč 2,000-3,000 may be of poor quality or even invalid. An energy specialist must personally inspect the property and verify the data.

Validity of PENB

Validity period

A PENB is generally valid for the period prescribed by the current Energy Management Act, commonly ten years unless an earlier change or statutory exception applies; check whether a certificate is required for the specific lease, sale, advertisement or building.

When must a new PENB be processed before

• After extensive renovation (insulation, replacement of windows, new boiler)
• When the heating method is changed
• When there is a significant change in the use of the building
• If the energy consumption changes significantly

Tip

If you are planning a renovation (insulation, new windows), it is worth waiting with the PENB only after completion. You will get a better energy class, which will increase the value of the property.

Fines for missing PENB

Sanctions for owners

The State Energy Inspectorate (SEI) can impose a fine for:

Natural persons (non-entrepreneurs):

• For a PENB breach: the applicable penalty depends on the current law and circumstances
• Failure to meet energy-certificate advertising duties may trigger a statutory penalty; verify the current Energy Management Act and amount.

Natural persons doing business and legal entities:

• For another PENB breach: check the current law and circumstances
• Failure to meet energy-certificate advertising duties may trigger a statutory penalty; verify the current Act and amount rather than using a fixed figure

Real enforcement

In practice, checks focus mainly on:

• Advertisements on on real estate servers (check for energy class listing)
• New buildings (check during approval)
• Public administration buildings

For leases between private individuals, enforcement is less intensive, but there is a risk of a fine. In addition, the tenant has the right to request a PENB and its failure to submit may be a reason for a dispute.

How PENB affects the value of the property

Impact on the price

The energy class of the property increasingly affects its market value:

• Class A-B: 5-15% premium compared to the average
• Class C: Corresponds to the average
• Grade D-E: 5-10% off average
• Grade F-G: 10-20% off and harder to sell/lease

Lease impact

Tenants are increasingly considering energy efficiency when choosing an apartment:

• Lower energy class = lower energy bills = willingness to pay higher rent
• Better energy class = competitive advantage when looking for a tenant
• Future tenants may require compensation for high energy costs

Future regulation EU

The European Union is moving towards stricter energy efficiency requirements buildings. The EPBD IV Directive foresees:

• Mandatory minimum standards of energy efficiency
• Gradual elimination of the worst energy classes from renting
• Mandatory renovation of the least efficient buildings

For landlords, this means that investments in energy efficiency will pay off more and more in the future.

How to improve the energy class

The most effective measures

1. Facade insulation

• Effect: Improvement by 1-2 classes
• Costs: 1,000-2,000 Kč/m2
• Payback: 8-15 years
• Subsidy: New green savings program

2. Replacement of windows

• Effect: Improvement by 0.5-1 class
• Costs: 8,000-15,000 Kč/window
• Payback: 10-20 years
• Subsidy: New green savings program

3. Modernization of heating

• Effect: Improvement by 0.5-1 class
• Heat pump: Kč 150,000-350,000
• Condensing boiler: Kč 40,000-80,000
• Subsidy: New green savings program, Boiler subsidies

4. Roof/attic insulation

• Effect: Improvement by 0.5-1 class
• Costs: 500-1,500 Kč/m2
• Payback: 5-12 years

5. Installation of recuperation

• Effect: Improvement by 0.5 class
• Costs: Kč 100,000-250,000
• Payback: 10-15 years

Subsidy programs

You can use:

• New green savings: Subsidies for insulation, windows, heating, photovoltaics
• Boiler subsidies: Replacing old boilers with solid fuels
• IROP: Subsidy for apartment buildings

Practical tips for landlords

1. Get PENB in time

Don't wait with PENB until the moment you rent. Processing takes 1-2 weeks and you need data for the ad.

2. State the energy class in the ad

This is required by law and it also increases the credibility of your offer. Tenants will appreciate the transparency.

3. Use PENB as a sales argument

If you have a good energy class (A-C), highlight it in the advertisement. Low energy costs are a strong argument for tenants.

4. Plan investments strategically

Use recommendations from PENB to plan renovations. Combine measures with subsidy programs for maximum effect.

5. Keep PENB safe

Keep the certificate and electronic copy for the applicable period. A certificate is not automatically required for every new lease; check the current statutory duty and exception for the transaction.

Summary

PENB duties for a landlord depend on the transaction, property, advertisement and statutory exceptions:

• PENB may be required when selling or renting, subject to the statutory exceptions
• Energy classes range from A (best) to G (worst)
• Processing typically costs 5,000-15,000 Kč depending on the type properties
• PENB validity and any replacement duty follow the current Energy Management Act; a ten-year period is subject to statutory exceptions and earlier changes
• Penalties depend on the breach and current Energy Performance of Buildings Act; check the current MPO/SEI guidance
• A better energy class increases the value of the property and makes it easier to rent

Investment in PENB and possible energy modifications will pay off not only in lower fines, but above all in higher property value and easier renting at a better price.

How Grento can help you

Grento is the most comprehensive Czech platform for real estate management, which will help you register real estate documents, including PENB cards. The system will notify you of approaching expirations. Try Grento for free and see for yourself.

> Czech-law scope and editorial note: Legal, tax, accounting, tenancy, service-charge, condominium, metrology, insurance and data-protection statements in this article refer to the Czech Republic and the rules effective for the relevant date. Figures and examples are illustrative, not legal or tax advice. Verify current rules with the relevant Czech authority or a qualified adviser.

> PENB clarification: Czech PENB duties and exceptions depend on the sale or lease, building or unit, advertisement and statutory facts. Check Act No. 406/2000 Coll. and current MPO guidance rather than treating a certificate, class or penalty as universal.