Energy Savings Opportunity Scheme (ESOS)

What is the Energy Savings Opportunity Scheme?

The Energy Savings Opportunity Scheme (ESOS) is a mandatory energy assessment and energy saving identification scheme for large undertakings (and their corporate groups). The aim of ESOS compliance is to meet the target of lowering EU consumption by 20% by 2020. All large companies (>250 employees or turnover >€50 million and a balance sheet >€43 million) will have to complete an assessment of their energy consumption every four years. Any organisations that are close to the qualification thresholds must examine two consecutive accounting periods to determine whether they qualify as a large undertaking.

What are the ESOS Timescales?

The Compliance Date for the first phase of ESOS is the 5th December 2015, however the Environment Agency will not normally take enforcement action provided the notification of compliance is submitted and received by 29th January 2016.

What are The Implications For My Business?

If your organisation qualifies for ESOS by the Qualification Date, you are required to be compliant with the ESOS scheme by the Compliance Date. You are required to calculate your total energy consumption, identify areas of significant energy consumption through energy auditing, then appoint a lead assessor to sign off on the ESOS compliance. Qualifying organisations that have not notified the Environment Agency by 5th December 2015 are in breach of the regulations and at risk of enforcement action and penalties from the Environment Agency.

Other Routes To Compliance

If your organisation qualifies for ESOS and your organisation 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 you are compliant with ESOS. ISO 50001 supports organizations in all sectors to use energy more efficiently, through the development of an energy management system.