The ESOS stands for the Energy Saving Opportunity Scheme, affecting all large UK organisations, and is the UK Government's approach to implementing Article 8 of the EU Energy Efficiency Directive.
It is a mandatory energy assessment and energy saving identification scheme for organisations operating in the UK.
It is predicted to save organisations in the UK nearly £2bn, and will effect over 9,000 companies and organisations who will be required to have undertaken initial audits by the 5th December 2015.
What is Required of Organisation Who Qualify?
ESOS participants must:
- Make an initial estimate of their total energy consumption (covering energy used in buildings, transport and industrial processes);
- Identify areas of significant energy consumption (which equate to at least 90% of their total consumption), and carry out a more detailed audit of those areas to establish where energy savings could be made; and
- Submit a formal notification to the scheme administrator, the Environmental Agency (EA).
Energy audits are a valuable tool in undertaking and improving the energy performance of an organisation. Undertaking energy audits allows them to:
- Measure and understand the energy consumption of an organisations assets and activities. Building an energy consumption profile showing where and how the organisation consumes energy. This data can also be used to identify any variations in energy use, both between areas and over time.
- Identify patterns, build explanations for these and identify any opportunities to reduce the overall energy use through increased level of efficiency.
ESOS sets minimum requirements for compliant ESOS Energy Audits. ESOS Energy Audits must:
- Use 12 months of energy consumption data, from within a specific period;
- Begin no earlier than 12 months before the commencement of the compliance period (than 6th December 2010);
- Begin no earlier than 24 months before the commencement of the first ESOS Energy Audit that the participant undertakes in the compliance period (e.g. for an ESOS Energy Audit undertaken on say 1st April 2015, data must begin no ealier than 1st April 2013);
- Use data not used to support ESOS compliance in a previous compliance period;
- Produce cost-effective recommendations for the area being audited or confirm that there is no scope for cost-effective energy efficiency improvement;
- Be overseen, conducted or reviewed by an ESOS Lead Assessor.
Who Must Comply?
The scheme will apply to organisations operating in the UK that have:
- 250 or more employees or;
- Fewer than 250 employees, but an annual turnover and balance sheet exceeding €50m and €43m, respectively;
- Under the terms of the scheme, eligible organisations are referred to as 'undertakings';
In addition, with a corporate group, it only takes one organisation to qualify for ESOS for the entire group to fall within the scheme, regardless of their size.
Compliance365 is an independent energy consultancy. We provide advice and guidance on all our services; how to save energy; how to save money on your energy bills; and ultimately how to become more energy efficient. Our aim is to be as cost effective and flexible as possible for our clients.
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