Construction industry beware: environmental performance limit (milieuprestatie) for new buildings to be amended!

What is the EPL?

The EPL sets requirements for the sustainability of building materials used in the construction of new buildings. The EPL is determined using the 'Bepalingsmethode Milieuprestatie Gebouwen en GWW-werken'. In this way, the environmental impact of the building materials used is calculated, leading to the final environmental performance for the building. Environmental factors considered include the effects on climate change and ozone depletion caused by the production of the building materials. For example, the use of bio-based materials, such as ecological insulation material or bamboo, leads to a lower EPL rating. In contrast, the use of currently common building materials, such as cement and steel, leads to a higher EPL rating. The current EPL is set at 0.8 for new construction houses and 1.0 for new construction offices and has already been amended in 2018 and 2021. The Minister believes that construction industry can comply with an amended EPL, which should further promote the transition to sustainable and circular construction. For this reason, it was previously decided that competent authorities no longer have the opportunity to set deviating rules or regulations on the EPL, but that only the national EPL applies.

When does the EPL apply?

The EPL currently applies only to the construction of new homes and new office buildings. Buildings with other functions, such as industrial functions or storage functions, are currently not included. Furthermore, the EPL also does not currently apply to office buildings that are briefly smaller than 100 m2 (similar to the energy label requirement). Also, the EPL for office buildings is currently not applicable if the office building is part of a building with other functions.

What are the implications of the announced amendments?

The first consequence of the amendments is that the EPL will also apply to new buildings with functions, for which the EPL currently does not apply. These include: (depending on the area of the building) healthcare functions, sports functions, industrial functions, educational functions and retail functions, but an EPL also applies to all "other" functions. The new EPL depends, among other things, on the type of function, the area of the building and whether functions are combined in one building. In the process, a new, more detailed, calculation methodology for the EPL is being introduced, which also includes six entirely new environmental factors, such as toxicity, particulate matter formation and water scarcity. To allow the construction industry sufficient time to make the necessary preparations for the above, the proposed entry into force date has been set at July 1, 2025.

Furthermore, the consent of the Dutch Lower and Upper Houses to the announced amendments must be awaited. This is because an amendment to the Environmental Building Decree, which includes the EPL, is subject to a so-called "pre-amendment procedure," which means that an amendment requires the consent of the Lower and Upper Houses of Parliament.

Do you have questions about what the amended EPL means for you or your business? Please feel free to contact Alexandra Danopoulos (06-39223800 or a.danopoulos@ploum.nl) or Tim Vlug (t.vlug@ploum.nl).