Energy Savings Opportunity Scheme - ESOS

The first and second phases of the scheme gave larger companies information on their energy use and how this might cost effectively be reduced. Companies that have followed through with actions are now reaping the benefits. Although non compliance can carry fines, the real loss is reputational.

Does ESOS apply to you?

We are now approaching the third phase of ESOS with a qualification date of 31 December 2022, four years after the last phase.
You are likely to be in scope of ESOS if, on the qualification date, you are:
1. An undertaking which has 250 or more employees.
2. An undertaking which has fewer than 250 employees, but has:
an annual turnover exceeding £44m and a balance sheet exceeding £38.m.
3. Part of a corporate group which includes an undertaking which meets criteria (1) or (2) above.
The Scheme is administered by the Environment Agency and further details can be found at https://www.gov.uk/guidance/energy-savings-opportunity-scheme-esos It should be noted that scheme details may be subject to change.

What do I have to do to comply with ESOS?
In simple terms, an ESOS Assessment requires participants to do three things:
1. Measure your total energy consumption
You must measure your total annual energy consumption across your buildings, transport and industrial activities. The year must include 31 December 2022.
2. Conduct energy audits to identify cost-effective energy efficiency recommendations.
You must ensure that at least 90% of your total energy consumption is subject to an ESOS compliant energy audit, a Display Energy Certificate, a Green Deal Assessment or a certified ISO 50001 Energy Management System during each phase of the scheme.
If you choose to comply with ESOS using an existing certification or assessment, it must be valid at the compliance date – 5 December 2023. Previous audit work, for instance performed as part of other energy audit schemes, can be used towards compliance for ESOS, provided it was conducted within the compliance period (6 December 2018 - 5 December 2023), and meets the minimum standards required of ESOS Energy Audits. The audit can use data that has been collected at any time during this period provided that the audit itself is carried out no later than 24 months after the data period and the data has not already been used for an audit in a previous Phase.
Unless your total energy consumption is covered by a certified ISO 50001 Energy Management System, you must ensure that your ESOS Assessment is conducted or reviewed by an accredited Lead Assessor (the lead assessor may be an in-house expert or external consultant).
3. Report compliance to the Environment Agency (as the scheme administrator)
By 5 December 2023 (now 5 June 2024), you must notify the Environment Agency (as the scheme administrator) that you have complied with the scheme.
Prior to notifying the Environment Agency, you must ensure that your ESOS Assessment has been reviewed by a Board-level Director and approved by a Lead Assessor.

Tim Linford is an accredited Lead Assessor for ESOS

contact Tim for further discusion about your needs.