Business Insights | EV Charging and Energy Performance: Navigating the New Regulatory Landscape

Executive Summary

The European property market is changing rapidly due to new government rules and tenant expectations. The Energy Performance of Buildings Directive (EPBD 2024/1275) is part of the EU's climate strategy and sets strict targets for making buildings more energy efficient and carbon neutral, which includes the installation of and futureproofing for EV charging infrastructure, aiming to achieve zero-emission buildings by 2050.

Before this, the UK Building Regulations Part S came into effect in June 2022, requiring EV charge points in new homes and commercial buildings, as well as buildings undergoing major refurbishments. 

Part S targets similar decarbonisation goals as the EPBD, particularly around sustainable transport infrastructure. Both frameworks aim to reduce carbon emissions from buildings, but the EPBD takes a broader approach by also targeting building energy performance, renovation standards, and digital technology integration. 

The regulations present a significant opportunity for property owners to attract and retain tenants by demonstrating early compliance with these evolving requirements. Forward-thinking landlords who proactively implement energy efficiency measures and sustainable features, including EV charging infrastructure, can position themselves as preferred partners for environmentally conscious tenants. Conversely, non-compliance poses considerable risks, including tenant loss, reduced lease revenues, and potential regulatory penalties or other enforcement consequences.

This opportunity-risk dynamic is already evident in market behaviour. Approximately one third of tenants surveyed would exit or reject a building that does not have a green building certificate, EV charging, or facilities that support cycling or walking. Additionally, 45% of lenders in Europe require business plans for buildings failing to meet these criteria, whilst 42% are inclined to provide more favourable loan terms if the buildings are more sustainable. This creates both challenges and opportunities for investors, landlords, and property owners who must navigate these changing market conditions strategically.

Understanding the New Requirements

The UK's Part S regulations have different limits for residential and commercial buildings. Property owners who don't comply may face financial penalties, damage to their reputation, and reduced competitiveness within the market.

Does This Apply to You?

These regulations affect different segments in the real estate market. Investors must ensure their properties are ready for these regulations. Property owners and landlords are responsible for implementing infrastructure upgrades and ensuring compliance with national and EU requirements. Tenants with long-term leases will increasingly demand energy-efficient spaces. Check if your properties need to follow these rules, particularly if they are being renovated, open to the public, or exceed certain size limits.

Geographic Variability

The implementation of these regulations varies across the European Union and the UK, with different countries moving forward at their own pace, as illustrated in the map below. Countries within the European Union have until end of 2025 to establish a draft National Building Renovation Plan, and by May 2026 those directives must be set into their national laws. The following sample highlights the varying speed at which these regulations are being adopted across the EU and the UK:

• Germany and the Netherlands are still finalising their national implementation of the EV directive.
• France is actively implementing solar panels and EV infrastructure buildings
• The UK, whilst actively implementing Part S, faces ongoing challenges around infrastructure limitations and costs.

Phase 1: Member states are developing national strategies and roadmaps
Phase 2: Consultation & Legislative Preparation: Stakeholders are engaged and aligning national building codes with EPBD requirements
Phase 3: Pilot programs have launched with preparation for broader deployment underway
Phase 4: Member states are actively enforcing compliance through regulations and certification requirements

Increased Demand and Market Trends

According to CBRE's latest Office Tenant Survey of large European companies, more than 60% now view EV charging as a valuable amenity and would take action if it was not present. This supports the EPBD's emphasis on sustainable transport infrastructure and strengthens the business case for early adoption.

Providing EV charging is no longer considered an amenity—it is becoming a basic requirement for attracting and retaining tenants, particularly those with corporate sustainability commitments.

Compliance Challenges: Key Considerations

Property owners must meet UK Part S and EU EPBD requirements despite complex technical, financial, and operational challenges. 

Site Strategy

Property owners need to check which sites are best suited for EV infrastructure using a thorough assessment. This involves determining available space and whether charging infrastructure will be shared or dedicated to specific users. 

When evaluating sites, consider proximity to the main electrical supply to reduce installation costs and complexity. Properties with ground-floor parking are easier to upgrade than those with basement parking, which may require additional ventilation systems. Multi-storey parking facilities present unique challenges, as charging infrastructure on upper levels may require significant electrical upgrades.

The critical factor is tenant mix. Office buildings with long-term corporate tenants often have more predictable demand than retail properties. Corporate tenants typically see higher usage rates. Urban properties will see greater demand than rural locations.

Consider how practical it is to retrofit existing buildings. Survey tenants to measure interest and willingness to pay for charging services. Properties undergoing planned refurbishments offer cost-effective opportunities to install charging infrastructure during broader upgrade works.

Investment and Ownership Models

Property owners must evaluate capital investment requirements and potential return. Upfront costs can vary from £2,000 to £10,000 per charging point, rising to £50,000 or more for rapid charging stations with complex electrical upgrades.

Four main EV charging ownership models are available, each with different financial impacts: 

When evaluating return on investment, consider direct revenue from charging fees and indirect benefits like increased property values, improved tenant retention, and enhanced appeal. 

Careful review of landlord-tenant agreements is essential to clarify who is responsible for each portion. Lease agreements should specify installation responsibilities, ongoing operational costs, insurance requirements, and what happens when tenants leave.

Infrastructure Readiness

Property owners must check whether their buildings can support EV charging infrastructure. Electrical capacity is the main consideration—most properties require significant upgrades to handle power demand from multiple charging points. A typical 7kW charging point needs 32 amps, whilst rapid 50kW chargers require 125 amps or more.

Many older properties need electrical system upgrades, including new consumer units, cabling, and potentially upgraded connections from the local electricity network operator. These upgrades can be costly and time-consuming, sometimes requiring several months to complete.

Local electricity networks may not have enough capacity for multiple high-power charging points. Property owners may need to work with Distribution Network Operators (DNOs) to upgrade local infrastructure, which involves significant costs and delays.

Mobile phone connectivity is essential for modern charging systems, which need reliable data connections for payments and monitoring. Properties with poor mobile coverage may need signal boosters.

Physical installation considerations include suitable locations, adequate space for vehicles to move, lighting, security, and accessibility. Outdoor installations need weather protection; indoor ones need ventilation.

Property owners must also reduce risks from vendor fragmentation. Choosing equipment and partners with good industry credentials and long-term stability is essential to avoid future compatibility issues or support problems.

Given the many considerations that are involved in the installation of EV charging infrastructure, many property owners choose to partner with a Charge Point Operator, instead of navigating this new landscape themselves.

EPBD and UK Part S Specific Requirements

The EPBD and Part S set specific EV charging infrastructure requirements with rollout timelines varying by building type and location.

Also, buildings undergoing major renovation must include EV charging points into renovation plans. This creates opportunities to incorporate charging infrastructure during renovations, potentially reducing overall installation costs.

Meeting Maintenance Requirements

Operations and maintenance are ongoing challenges that can become significant problems for facilities management teams as EV charging infrastructure and energy performance systems become more complex. Unlike traditional building systems that may require annual servicing, charging infrastructure needs regular monitoring, software updates, and responsive maintenance to ensure reliable operation. Additionally, property owners must arrange spare parts availability and organise technical support for the charging infrastructure to remain functional and safe.

Key considerations include:

1. Vendor coordination
   Becomes increasingly complex as properties integrate multiple technology systems from different suppliers. Charging equipment manufacturers, software providers, payment system operators, and maintenance contractors may all have different service schedules, reporting requirements, and response times. Facilities management teams need to set up clear service level agreements with each vendor, coordinate maintenance schedules to reduce disruption, and maintain comprehensive records of all service activities.
2. Evolving charging technology 
   Can worsen vendor coordination due to changes in equipment specifications, software requirements, and maintenance procedures. Facilities managers must stay informed about updates and ensure their maintenance contracts remain current with technological developments and to future-proof where possible.
3. System reliability
   Requires preventative monitoring and maintenance to prevent downtime and ensure optimal performance. Monitoring systems can be set up with daily system checks, regular performance analysis, and rapid response procedures for equipment failures. Modern charging systems include remote monitoring capabilities that can detect faults, track usage patterns, and predict maintenance needs. Regular maintenance schedules should include electrical safety checks, software updates, physical cleaning, and testing of safety systems.
4. Resource allocation 
   Will be necessary to manage the increased workload from operations and maintenance. In-house management provides greater control and response times but requires significant technical expertise and ongoing training. Outsourcing, in contrast, provides immediate access to a flexible workforce with the technical expertise and ongoing development to meet evolving changes within the EV industry, ensuring consistent service delivery and operational efficiency across all building types.
5. Training and development
   To handle modern charging and energy systems covers electrical safety, charging equipment operation, software systems, customer service for charging users, and emergency procedures. Training programmes will require regular training updates, certification programmes, and potentially specialist qualifications for key staff, given the rapid pace of technological change. Charging hardware OEMs will require certification and micro-credentials from technicians to service and maintain their equipment and to keep the warranty valid.
6. Performance Monitoring and Reporting
   Are essential for both compliance and operational efficiency. Energy performance requirements under the EPBD require detailed monitoring and reporting of building energy consumption, efficiency improvements, and progress towards zero-emission targets. Facilities management teams should set up comprehensive monitoring systems that track energy consumption, charging usage rates, maintenance costs, and user satisfaction. Regular reporting helps identify performance issues, improve operations, and demonstrate compliance with regulatory requirements.
7. Driver support
   To handle first-line troubleshooting and a seamless driver experience. This can be automated through AI, but it’s important to provide this to triage and in the first instance remote solve charger issues, reducing mean time to repair, labour hours and travel time.

Conclusion

The combination of EV charging requirements and energy performance standards creates both challenges and opportunities for property owners. Whilst compliance requires significant investment and planning, early adoption can provide competitive advantages in attracting tenants, meeting sustainability goals, creating value, and future-proofing property investments.

Success in this changing landscape requires a strategic approach that considers site-specific factors, financial models, infrastructure readiness, and long-term operational requirements. Property owners who proactively address these requirements will be better positioned to thrive in the evolving European property market.