With so much currently happening: Brexit negotiations, new policy frameworks SECR, end of CRC and FiT… it’s hard to believe that there is only 12 more months to comply with the next phase of Energy Savings Opportunity Scheme (ESOS).
ESOS is a mandatory reporting regulation that requires large undertakings to audit their energy use. The key word in this scheme is opportunity. The aim is to identify opportunity to save energy and potentially cut related energy costs.
Yes! It has already been 4 years. We are officially in the last 12 months to comply.
While ESOS phase 1 maybe in the distant memory of the corporate world, it remains fresh in the minds of Consultants, Energy Managers and Lead Assessors. Also, ever present in the mind of the Environment Agency’s (EA) own auditors, the introduction of ESOS requirements in 2014 was chaotic. As a result, many companies struggled to complete the scheme before the first compliance deadline 5th December 2015.
During phase 1, over 2700 companies were forced to send notifications advising of their need for late compliance to the EA in England. However, even with the resulting deadline extension into the first quarter of 2016, many organisations were ultimately fined for non-compliance. The EA continues to conduct ‘Have you complied’ audits for phase 1 ESOS while companies should be preparing for phase 2.
Are you ready?
Don’t leave choosing your assessor until too late. As the 12 months moves on it will be more challenging on the supply of auditors and Lead Assessors available to work with you. Research suggests that few companies have started to secure the support of Lead Assessors for the fast approaching ESOS Phase 2 compliance deadline on 5th December 2019. Its time to action support now to avoid repeating the bottlenecks and other challenges of phase 1.
Successfully supporting serval ESOS audits in phase 1, our Energy team and qualified ESOS Lead Assessor are experienced in conducting compliance audits and working with other Lead Assessors locally and internationally. Our goal is to support clients through and beyond compliance.
Who Must Comply?
Companies that have grown, merged and evolved since 2014, which could mean that they are now eligible for compliance. For those who are new to ESOS; large enterprises (except Public Sector Bodies), which meet either of the following criteria must comply with ESOS:
1. ≥250 employees
2. Annual turnover > £38 mil (€50 mil) and, Annual balance sheet total > £33 mil (€43mil)
3. Part of a Corporate Group undertaking that meets the one of the other criteria.
Your organisation will be assessed by these criteria as the ESOS qualification date – 31st December 2018. You may still be eligible to comply if your organisation is close to either of these criteria. Contact us for a consultation if you are unsure about your eligibility.
Routes to Compliance
Energy Assessments and notification of compliance must be completed by 5th December 2019 to comply with ESOS via:
• ESOS Energy Audit
• ISO 50001 Certification
• Display Energy Certificates
• Green Deal Assessments
Assessments must consider all business energy consumption for buildings, industrial processes and transport over 12 consecutive months including qualification date 31 December 2018.
Does ESOS apply to our Europe based businesses?
If you are a multinational organisation with businesses throughout Europe, you may also need to comply in these territories. Get in touch with us now! We have extensive experience with auditing for the transposed Article 8 of the European Energy Efficiency Directive; the ESOS equivalent in EU countries. Our lead assessors and consultants have worked in and with assessors in Europe to ensure our clients effectively comply with the regulation and meet business objectives.
Acclaro Advisory Expertise
The Acclaro Energy Programme helps organisations adapt for and address the very visible responsibilities that sit within energy efficiency. We aim to deliver the right result for our clients. That’s why we start our programme by finding out your drivers and barriers for making energy interventions. Understanding your concerns means we can deliver recommendations that really fit the way you work. We’d be happy to assist you in taking action whether mandatory or voluntary to manage risk, reduce cost or enhance business reputation.