We have now passed the deadline period for phase 1 of the energy saving opportunity scheme (ESOS), this first phase required businesses to undertake mandatory energy audits if they fit into a certain business size. Businesses that acted earliest in Phase 1 by appointing a lead assessor, collecting data and analysed systems and processes, were among the organisations that reduced costs and maximised returns.
The Energy Savings Opportunity Scheme (ESOS) is a legislative policy that has been introduced by the government, in response to the European Union’s Energy Efficiency Directive and a 20% energy reduction target by 2020. It is mandatory, for all businesses that fall into the category of more than 250 employees or a turnover that is larger than €50 million (£38,937,777) and has a balance sheet in excess of €43 million (£33,486,489) to participate in ESOS.
If you missed the 5 December 2015 deadline, you will need to declare why you missed the compliance deadline and start the ESOS process to avoid enforcement action. If your business did not qualify, then ESOS is not mandatory, however you are recommended by to complete the ESOS process.
• You have more than 250 employees in the UK; or
• You have fewer than 250 employees, but have:
– an annual turnover exceeding €50m; and
– a balance sheet exceeding €43m; or
• You are part of a corporate group containing a ‘large undertaking’.
If you remain in scope of the scheme, you must then undertake ESOS assessments within each subsequent phase. Phase 2 commenced on 6th December 2015 and will run until the 5th December 2019. Businesses that are close to the qualification threshold or have substantially increased in recent years should also participate in the second phase, as accounts over a two year period, with anticipated and actual growth rates are considered.
How will Phase 2 impact my business?
If your business falls within the qualifying criteria, you are required to work with a lead assessor to undertake various roles in relation to your ESOS assessment. Your assessment should audit 90% of your total energy usage for one year, and present the results along with the identified efficiency opportunities and your evaluation of lifecycle costs to the regulator and keep a copy of the data.
GET Solutions are on-hand to offer you solid support and advice, and to guide you through any potential issues you may face during the ESOS process. We’ll make your ESOS journey as easy and cost effective as possible. Some of the ESOS areas we can assist with are Cavity Wall and Loft Insulation, Boiler Room Optimisation, Building Optimisation, Metering, Solar PV and LED Lighting.