The Energy Savings Opportunity Scheme, or ESOS, is a new initiative in the UK designed to comply with the EU requirement for compulsory energy audits in of medium to large companies. This forms part of obligations under the Energy Directive 2012.
How does this affect me?
You are required to comply with ESOS if your company or group in part or cumulatively employs more than 250 people or have a turnover in excess of £38m and a balance sheet exceeding £34m on the 31st December 2014. There are some exemptions, but if any part of an organisation based in the UK meets these criteria, then ESOS is a mandatory requirement.
What is it?
ESOS requires qualifying businesses to audit all of their energy use and efficiency every 4 years, covering buildings, transport and industrial processes. The deadline for the first compliance period is 5th December 2015. By this date, an ESOS Assessment must be completed and signed off by an ESOS Lead Assessor and submitted by your organisation. The Assessment must report fuel spend and energy efficiency across the 3 different strands for a 12 month period which will include 31st December 2014. The process must then be repeated every 4 years.
Are there exemptions to this requirement?
Any organisation that is accredited to ISO 50001 is exempt from the obligation as they already accurately monitor and report their energy efficiency. However, you are still obliged to report that this is the case to the enforcing authority, the Environment Agency, by the compliance date.
How do I comply?
- Step 1: Find a Lead Assessor who will identify your requirements and then manage the completion of individual energy audits to cover your energy use
- Step 2: Calculate your total energy consumption using this information
- Step 3: Analyse significant energy consumption by your company and it's subsidiaries
- Step 4: Understand where savings can be made from the recommendations contained within the energy audits
- Step 5: Ensure that you are compliant with the requirements of the scheme
- Step 6: Submit the ESOS Assessment as signed off by your Lead Assessor
- Step 7: Invest in measures highlighted by the process, and continue to record your ongoing energy consumption for use in the next assessment cycle
And if I don't comply?
The Environment Agency is responsible for the enforcement of ESOS requirements, and is authorised to incur penalties of up to £50,000 and ongoing fines for continuing non-compliance. You should also keep in mind that this process is designed to identify savings, so these should more than outway the cost of completing the assessment in the first instance, and if not will be an investment in long-term savings.
This initiative is designed and equipped to deliver large-scale improvement measures that will significantly contribute to the EU's energy reduction targets for 2020.
For more information, see the Government guidance to ESOS HERE
Tudor Edward are qualified ESOS Lead Assessors, and can not only co-ordinate and project manage your entire ESOS submission, but also have significant expertise and experience in Display Energy Certification for the Buildings component audits and have industry-wide contacts with experts for forensic and detailed audits for all other areas involved.
Call us to discuss your ESOS requirements on 0113 391 2828