ESOS is a mandatory energy assessment scheme for organisations in the UK that meet the qualification criteria. The Environment Agency is the UK scheme administrator.
Organisations that qualify for ESOS must carry out ESOS assessments every 4 years. These assessments are audits of the energy used by their buildings, industrial processes and transport to identify cost-effective energy saving measures.
Organisations must notify the Environment Agency by a set deadline that they have complied with their ESOS obligations. You do not need to register as the Environment Agency do not expect to hear from organisations until 2015 when they are fully compliant.
ESOS applies to large UK undertakings and their corporate groups. It mainly affects businesses but can also apply to not-for-profit bodies and any other non public sector undertakings that are large enough to meet the qualification criteria.
DEADLINES FOR COMPLIANCE
By 5 December 2015 qualifying organisations must have carried out their ESOS assessment and notified the Environment Agency.
Participants must then carry out an ESOS assessment in each subsequent 4-year compliance period, ending on 5 December 2019, 2023 and so on.
You do not need to register as the Environment Agency does not expect to hear from organisations until 2015 when they are fully compliant.
CHECK IF YOU NEED TO COMPLY
Your organisation qualifies if, on 31 December 2014, it met the ESOS definition of a large undertaking.
Corporate groups qualify if at least one UK group member meets the ESOS definition of a large undertaking.
If you are very close to the qualification threshold read the full ESOS guidance which includes additional information on how to assess if you qualify.
A large undertaking is an organisation that carries out a trade or business which either:
- employs at least 250 people
- employs less than 250 people but 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)
The financial qualification thresholds are specified in the ESOS regulations in euros. The equivalent pound sterling figures specified in brackets were determined for the first compliance period based on the Bank of England daily spot exchange rate on 31 December 2014 (the qualification date).
HOW TO COMPLY: COMPLETING AN ESOS ASSESSMENT
If you qualify for ESOS and your organisation is fully covered by ISO 50001, you don't need to carry out an ESOS assessment. You just need to notify the Environment Agency that you are compliant with ESOS.
If you qualify for ESOS, but your organisation is not fully covered by ISO 50001, you need to carry out an ESOS assessment. The assessment helps you work out what your organisation needs to do to comply with the ESOS regulations.
GreenGenUK is fully staffed and experienced to help you comply with the ESOS requirement in a cost-effective manner and use the process to create a road map for implementing energy efficiency at a facility or organization.
GreenGenUK can help you:
1. Calculate your total energy consumption
This is the energy used by assets held or activities carried out by your organisation or group. This includes the energy consumed by buildings, industrial processes and transport. To find out how to calculate your total energy consumption read the full ESOS guidance.
2. Identify your areas of significant energy consumption
This is the energy used by assets held, or activities carried out, by your organisation that account for at least 90% of your total energy consumption. You then need to:
- find out whether ISO 50001, DECs or GDAs cover any of your areas of significant energy consumption
- identify whether ESOS compliant energy audits have been, or need to be, carried out for the areas of significant energy consumption not covered by ISO 50001, DECs or GDAs
As long as 90% of your total energy consumption is covered, you can use a mix of approaches with some of your energy consumption covered by ISO 50001; some by DECS or GDAs and some by ESOS energy audits.
3. Appoint a lead assessor
You need to appoint a lead assessor to carry out and oversee or review your energy audits and overall ESOS assessment. Lead assessors can be employees or external contractors as long as they are members of an approved professional body register. GreenGen can act as your Lead Assessor.
4. Notify the Environment Agency
You need to submit your ESOS notification of compliance to the Environment Agency when you have undertaken an ESOS assessment and are compliant with your obligations.
You must do this by 5 December 2015, and if applicable, every 4 years afterwards.
5. Keep records
You need to keep records of how you have complied with ESOS in an evidence pack. GreenGen UK will guide you through this entire process to ensure ESOS compliance.