UK: Guidance on Energy Savings Opportunity Scheme (ESOS)

On 8th February 2019 the Environment Agency and Department for Business, Energy & Industrial Strategy have published the Guidance on Energy Savings Opportunity Scheme (ESOS). This Guidance explains if a company is qualified for ESOS and how to comply with it.

ESOS is the UK’s response to Article 8 of the European Commission’s Energy Efficiency Directive. It aims to cut carbon emissions by requiring the thousands of large businesses that operate in the UK to measure their energy consumption and identify measures that could be implemented to achieve energy savings. The Environment Agency is the UK scheme administrator.

An organization will need to comply with ESOS if it operates in the UK and:

– employs 250 or more people,

– or has an annual turnover in excess of 50 million euro (£38,937,777), and an annual balance sheet total in excess of 43 million euro (£33,486,489)

Under ESOS, all companies required to comply must undertake an energy audit conducted or overseen by an approved ESOS Lead Assessor once every four years, unless the organisation is fully covered by ISO 50001. Audits will include an estimate of total energy consumption covering buildings, industrial processes, and transport, and identify energy saving opportunities. Organisations must notify the Environment Agency by a set deadline that they have complied with their ESOS obligations.

The deadline for the first compliance period, 5 December 2015, has now passed. The deadline for the second compliance period (ESOS phase 2) is 5 December 2019.

The Contents of the Guidance are the following:

  • About ESOS
  • Deadlines for ESOS compliance
  • Find out if you qualify
  • Complete an ESOS assessment
  • Submit your ESOS notification of compliance
  • If you missed the 5 December 2015 deadline
  • If you do not qualify for ESOS
  • ESOS compliant energy audits
  • ESOS regulation and penalties
  • Approved registers of ESOS lead assessors
  • ESOS published data
  • More information about ESOS