Energy Savings Opportunity Scheme (ESOS)

What is it?

The UK Government’s Energy Savings Opportunity Scheme (ESOS) will address the requirements of Article 8 of the EU Energy Efficiency Directive which, in order to promote energy efficiency, requires all Member States to introduce a system of energy audits for large enterprises.

The Department for BEIS (Business, Energy and Industrial Strategy) is the regulator for ESOS which is now entering Phase 2.  The Environment Agency's latest guidance for potential scheme participants can be found here

Will my organization be affected?

Yes, if on the 31 December 2018 your organization:

  1. Had 250 or more employees in the UK.
  2. Had fewer than 250 employees, but has an annual turnover exceeding €50m (£38,937,777*) and a balance sheet exceeding €43m (£33,486,489*).

When is the next deadline?

The next submission deadline (phase 2 of ESOS) is 5 December 2019.  This is the date by which an organization must notify that it has a certified  ISO 50001 Energy Management System in place.  This must be performed by an accredited certification body.  If the organisation is not ISO 50001 certified they must collect data for reporting their total energy consumption via an ESOS audit.  The earliest this can begin is the start of 2018, as ESOS compliance requires a 12 month period of total energy consumption data which includes the qualification date of 31 December 2018.

Use your energy management system to comply and avoid ESOS audits

The good news is that BEIS has confirmed that companies with a certified ISO 50001 Energy Management system will have no further compliance requirements under the ESOS.  The route to compliance will be merely to inform the scheme administrator (The Environment Agency) that a valid certified ISO 50001 certificate is in place.

The Environment Agency, the scheme administrators explain on their ESOS webpage: “If you qualify for ESOS and your organization is fully covered by ISO 50001 you don’t need to carry out an ESOS assessment. You just need to notify the Environment Agency that this is the case and you are compliant with ESOS.””

Lucideon has been providing ISO 50001 certification to many organizations since the standard was launched in 2011 and has services available for companies and organizations at all stages of their ISO 50001 journey and is UKAS-accredited to certify all levels of organization from corporates to complex industrial operations, for single sites to multi-site operations.

For many organizations, especially those with existing management systems (e.g. ISO14001), the implementation and certification of an ISO 50001 system is comfortably achievable within 12 months. For those organizations who are unsure whether the ISO 50001 route is right for them, the best first step is a 'Gap Analysis' to assess the current status and evaluate the effort needed.

Read more about ISO 50001 and energy management on our Energy Management Systems (ISO 50001) page

*These figures have now been fixed by the Environment Agency based on the prevailing exchange rate.

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    Energy Savings Opportunity Scheme (ESOS)

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