Compliance/Clearance Certificates - What homeowners need to know

Electrical Certificates of Compliance (COC) are set out as a legal requirement in sections 5, 7, and 9 of The Electrical Installation Regulations amendment to the Occupational Health and Safety Act of 1993. It is a legal requirement for all property transfers except for cases where the property has no electrical installations.

The primary function of this certificate is to ensure the safety of any electrical installations within an existing structure on that property. For example, a home should be free of all defects such as earth leakages or electrical shorts and comply fully with building regulation frameworks.

Ensuring the safety of the property and homeowner

When purchasing a home, there are various aspects that one may not be fully aware of. Most modern homeowners are less concerned with the minutiae of the electrical work and simply demand that it is safe and functional. The COC ensures that a professional in this field has assured that the property is safe and that all electrical works are installed correctly.

This certificate is vital to the application process if you're applying for a bond or home insurance. No bank or registered insurance provider will approve an application without this document to avoid risk.

The period of validation 

COCs are valid for no longer than two years from the date of issue and must be renewed within that time frame. This is especially true if a homeowner is looking to make renovations or sell the property. However, Clearance Certificates nearing expiration will remain valid during the transfer process.

Who is responsible for the cost of the certificate?

In most cases, it is the responsibility of the seller to pay for issuing a clearance certificate. However, there have been some cases where the opposite is true. This is generally a rare occurrence with extenuating circumstances, but the law does not make any stipulation about which party is solely responsible for this.

COCs do not have a set fee, and the cost of which is usually calculated based on the number of DB boards, phases and level of sophistication of the installation. The certificate may cost anywhere from  R800 upwards for an inspection, depending on the complexity of the installation, and obviously excludes the cost of any repairs required to ensure the property's compliance.

Problems that may occur after a purchase

Despite best attempts to ensure the safety of new homeowners, there are still situations where compliance certificates may have been issued, but, irrespective of this, the home contains electrical faults. Property Practitioners are generally the first people the homeowner will contact. 

Understandably, a new homeowner will become annoyed with either the seller or the property practitioner, but in most cases, neither party may even be aware that issues exist. Remember that neither the seller nor property practitioner is qualified to test and approve the home's electrical work. The liability for any negligence in issuing a certificate lies with the electrician who signed off the COC for the property.

Our favourite tip with regard to Electrical CoCs, via Sean Wynne of NGL Attorneys, is for a buyer to include a special condition in the Offer to Purchase which stipulates that the electrical Certificate of Compliance is issued via an electrician registered with either ECA(SA) (Electrical Contractors Association) or the ECB (Electrical Conformance Board of SA) which will allow for recourse should any issues arise. 

Contact Hamiltons Property Portfolio for all your buying or selling requirements:

Gauteng: 011 463 0155

Western Cape: 021 418 0328 

Garden Route: 044 050 3295

Eastern Cape: 076 927 7787

Winelands: 082 825 9020 

Or email reception@hamiltons.co.za 

Hamilton's Property Portfolio holds a Fidelity Fund Certificate issued by the Property Practitioners Regulatory Authority.