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Energy efficiency reporting regime set to come into force as final regulations published

Tuesday July 1st 2014

http://www.out-law.com/en/articles/2014/july/energy-efficiency-reporting-regime-set-to-come-into-force-as-final-regulations-published/

Large UK businesses will be required to report on their annual total energy consumption across their buildings, transport and industrial activities, and identify cost effective energy saving measures, by December next year, following the publication of final regulations by the government.

Energy minister Greg Barker has stated “The scheme is designed to support economic growth through smarter energy use; by ensuring participants have access to trusted advice on energy saving opportunities. It is good for business, good for the environment, and will help ensure that the UK continues to be regarded internationally as a leader on energy efficiency,” he said.

ESOS is aimed at all “large enterprises” with 250 employees or more; or those with fewer employees which meet certain annual turnover and profit thresholds. It will apply to large commercial businesses and charities but not to public sector bodies, as these are subject to different energy efficiency requirements under the Energy Efficiency Directive.

In addition to a total energy consumption assessment, an energy audit is required which will identify ways energy efficiency can be improved, and recommend cost effective measures.

Firms will not however be legally required to take up the recommendations of these energy audits. The recommendations should focus on “those aspects of energy use that are within the participant’s control” – for example, a landlord would not be required to assess the energy use of tenants occupying part of their office space, according to the consultation response.