RICS v2 – What do you need to know?

The Royal Institution of Chartered Surveyors (RICS) released the second version of its Whole Life Carbon Assessment for the Built Environment (WLCA) and it has been in effect since 01 July 2024. Overall, RICS v2 aims to provide a more robust, detailed, and internationally aligned framework for whole life carbon assessments, helping the industry move towards more sustainable and carbon-neutral buildings.

Here is a run-down of the key updates that may impact your Whole Life Carbon assessments.

• Focus on ‘retrofit first’ approach:
  • A standard emissions factor now needs to be applied to the demolished floor area. This encourages developers to opt for a ‘retrofit first’ mentality as demolition now comes with a preloaded embodied carbon penalty.
• New Lifecycle Modules:
  • New lifecycle modules have been added to allow for greater clarity on emission sources:
    • A0 – Preconstruction emissions
    • B8 – User activities (e.g., commuting)
    • D1 and D2 – Loads and benefits beyond site boundary
• Data Quality and Reporting:
  • Clarity provided for data sources, carbon data and conversion factors for use in the assessment.
  • Part L calculations are no longer considered compatible for B6 reporting. It is now necessary to report operational energy modelling using a localised methodology, such as CIBSE TM54, NABERS or the Passive House Planning Package (PHPP).
  • Rather than relying solely on the SAP 10.2 factors, three distinct sets of carbon factors have now been established, specific needs of the modelling and the project’s stage.
  • To account for uncertainty in modelling inputs, carbon assessors must consider contingency factors based on the uncertainty at the time of the assessment (15% for early design and 6% for technical design and construction).

• Improved Calculation Methods:
  • In line with industry changes, decarbonisation figures can now be applied to refrigerant emissions (B1.2); B2-B4 emissions based on the assumption that materials used in these life cycle stages will be produced with future decarbonised carbon factors.
• Alignment with International Standards:
  • V2 is aligned with international standards such as the European standards EN 15978, EN 17472 and EN 15643. This alignment helps ensure consistency and comparability in carbon assessments globally.
  • It integrates principles from the International Financial Reporting Standards (IFRS) for improved financial and carbon reporting integration. This will be crucial for investors and businesses who are increasingly considering sustainability factors in their decision-making processes.
• Carbon Offsetting:
  • More comprehensive advice on carbon offsetting has been provided.