ESOS is a mandatory scheme requiring participation from all large enterprises.
What is ESOS?
ESOS (The Energy Savings Opportunity Scheme) has been set up by the UK Government (DECC) in response to an EU requirement to implement Article 8 of the Energy Efficiency Directive (Directive 2012/27/EU of the European Parliament)
Am I affected?
The ESOS legislation will apply to your business if you:
- Are a private sector organisation with more than 250 employees OR
- Have a turnover of at least €50m and a balance sheet of €43m.
What do I need to do?
- Measure total energy consumption (including transport) of the business.
- Conduct Energy Audits at sites and determine cost effective energy reduction recommendations.
- Report compliance to the Environment Agency every four years.
- Please note: DECC advises that ESOS will require director level sign-off.
When do I need to take action?
- Legally, you will need to identify your status to qualify no later than 31st December 2014.
- All reports on compliance to the scheme must be submitted by 5th December 2015.
What are the implications if I don’t comply?
There are financial implications if you do not comply with these regulations, including:
- A fixed penalty charge of up to £5,000.
- Additional daily charges which could reach up to £40,000 if you fail to provide notification of compliance.
- Risk of further discretionary penalties.
- Public notification on your failure to comply.
- Specific requirements for ESOS, including any exemptions.
- Multi-site analysis to determine how many sites need to be audited.
- Review current energy information which could be relevant and contribute towards ESOS.
- Identify the scope of surveys required to meet legislation.
- Demand for surveys will be high so the later you leave it, the higher the risk of not meeting the deadline.
- The sooner your reduction improvements can be identified and implemented, the sooner you can start making savings.
Call 01253 789816 and ask to speak to the ESOS team.