ESOS and Energy Audits

The Energy Savings Opportunity Scheme (ESOS) is an energy assessment and energy saving scheme, established by the Energy Savings Opportunity Scheme Regulations 2014 (ESOS Regulations).

ESOS and Energy Audits/Surveys

The Energy Savings Opportunity Scheme (ESOS) is an energy assessment and energy saving scheme, established by the Energy Savings Opportunity Scheme Regulations 2014 (ESOS Regulations).

The scheme applies to large UK undertakings which meets either one or both of the following conditions:

  • Employs 250 or more people or
  • Annual turnover in excess of 50 million Euros and an annual balance sheet total in excess of 43 million Euros

The scheme is administered in England and Wales by the Environment Agency.

We are currently in Phase 3 of a four year cycle, which runs from 6 December 2019 to 5 December 2023. The qualification date is 31 December 2022 and the compliance date is 5 December 2023.

Routes to Compliance

It is necessary to calculate Total Energy Consumption (TEC) in a 12 month reference period which includes the qualification date of 31 December 2022. So the earliest energy data set will be from 1 January to 31 December 2022. The energy use is for buildings, processes and transport.

Up to 10% of TEC can be excluded under the de minimis rule to produce the Significant Energy Use (SEC).

The SEC energy use must be subject to one of the following, or a combination of:

  • Green Deal Assessments
  • Display Energy Certifications
  • ISO 50001
  • ESOS Energy Audits

The ESOS assessment, compliance and submission of notification to the Environment Agency by 5 December 2019 must be overseen and approved by a qualified ESOS Lead Assessor accredited to an ESOS Register, approved by the Environment Agency. The ESOS assessment must also be reviewed and signed off by both the Lead Assessor and a board level Director.

The ESOS Lead Assessor, John Mulholland, had good retail experience, was very personable and got on very well with my team. Findings were presented in a commercial way with costs and savings. They looked sensible and we will use them as benchmarks as we start to implement the recommendations. Chris Bannister, Financial Controller, Maplin Electronics Ltd
John is a highly experienced energy management expert with a keen eye for detail. I have worked with him closely undertaking audits of companies’ compliance to the Energy Saving Opportunity Scheme (ESOS) regulations on behalf of the scheme regulator, the Environment Agency. This work requires a thorough understanding of every aspect of ESOS regulations and an ability to cut through complexity to deliver clear recommendations. John has delivered work of the highest standard and has proved an unfailingly reliable project partner. He has been a real asset to our team. Tim Crozier-Cole, ESOS Compliance Director, Verco

Click here to view the Maplin case study

What Next?

You need to appoint a Lead Assessor and you can start now to conduct ESOS Energy Audits, if that is your selected route to compliance. The Lead Assessor does not necessarily need to conduct the ESOS Energy Audits but does need to review them.

If you intend to use ISO 50001 as the route to ESOS compliance then now is the time to start as this takes considerably longer and involves appointing a certification body to conduct external audits on the Energy Management System (EnMS). To comply with ESOS, the ISO 50001 certification must be held on the compliance date of 5 December 2023.

The revised version of ISO 50001:2018 was published in August 2018. For organisations holding ISO 5001:2011, they have until August 2021 to transition to the 2018 version of the Standard. So by the next ESOS compliance date (5 December 2023) anyone using ISO 50001 certification as a means of compliance will be using ISO 50001:2018. (See download “Transition to ISO 50001:2018”)

How can I help?

  • Provide an ESOS assessment/strategy
  • Provide a qualified and experienced ESOS Lead Assessor
  • ISO 50001
  • ESOS Energy Audits
  • Conduct compliance ESOS Energy Audits
  • Compile a compliant ESOS Evidence Pack/Summary Report
  • Present ESOS findings at Board level
  • Help with the Notification to the Environment Agency
  • Provide ISO 50001 services

Eur Ing John Mulholland BScTech CEng CSci MIChemE FEI has been an accredited ESOS Lead Assessor since 2015 and is registered with the Energy Institute (RPEC) where he is a Fellow. Since 2015 John has acted as Lead Assessor for 12 large and medium sized organisations and has conducted over 60 compliance ESOS Energy Audits.

Since 2017 John has acted as an ESOS compliance auditor on behalf of the Environment Agency and has conducted over 30 ESOS compliance audits. This valuable experience feeds directly into his ESOS compliance work for clients. (See testimonial from Verco on the left).

Contact me about ESOS and Energy Audits