Navigating the world of energy regulations can sometimes be confusing. Business owners can often find themselves tangled in a web of energy rules, with ESOS and SECR being the two essential sets of regulations they have to meet.
On the face of it, these two schemes seem quite similar. So, can they be combined? Unfortunately, the answer is no. Let’s have a look why…
ESOS (the Energy Saving Opportunities Scheme) targets large companies that boast more than 250 employees or have a certain level of turnover and balance sheet total. If you're in this bracket, every four years, you’re required to take a close look at your energy consumption, identify where you could be saving energy and report back to the Environment Agency.
The ESOS process involves:
It’s like a health check for your business's energy use, helping you stay efficient and eco-friendly.
SECR (the Streamlined Energy and Carbon Reporting framework) on the other hand, happens annually. It’s not just for the big players either – any company whose shares are traded on the stock exchange has to get involved. Similar to ESOS, unquoted companies and Limited Liability Partnerships that meet certain size criteria also need to comply.
SECR is about reporting your energy use and carbon emissions every year. It's a bit more regular than ESOS and adds that extra layer of keeping tabs on your carbon footprint, not just your energy use.
So, we’ve got ESOS focusing on energy use every four years and SECR keeping an annual eye on both energy use and carbon emissions. It sounds as though they are similar enough to put together for efficiency’s sake, right?
Not exactly. Both ESOS and SECR aim to improve energy efficiency and reduce carbon emissions. But their particular areas of focus, compliance criteria and regulatory frameworks make it impossible to combine them into a single scheme.
Each plays a unique role and eligible businesses need to comply with both if they meet the respective criteria. Otherwise, you could end up paying some pretty hefty fines for non-compliance.
But try not to see this as a negative. By addressing your energy use and emissions, you have the opportunity to find more ways to become more eco-friendly. You won’t only be complying with necessary regulations but also giving your business a green makeover and potentially cutting costs on your energy bills.
Getting your business ESOS and SECR-compliant can feel like a hassle, especially when you're juggling other priorities. But with the right help, it doesn't have to be a headache.
Volta Compliance is a dedicated team of electrical contractors with over 20 years of experience working on commercial and industrial installations. We can take care of your company’s ESOS and SECR obligations to make sure you stay compliant – and go the extra mile to save you money.
For expert advice, more information on our services or a free no-obligation quote, call us on 0113 436 0402 or email [email protected].
