31 July 2014

ESOS means mandatory energy auditing for larger organisations

The government has completed its consultation process and has now published its draft guidance on implementing its new Energy Saving Opportunities Scheme (ESOS).

ESOS is a mandatory energy assessment and energy saving identification scheme that is being implemented to comply with Article 8 of the EU Energy Efficiency Directive.

In order to comply with these new regulations, a company that qualifies as a large undertaking (250 employees) on the 31 December 2014, must do three things:

1. Measure its total energy consumption, including buildings, transport and industrial activities
2. Conduct energy audits to identify cost-effective energy efficiency recommendations
3. Report compliance to the Environment Agency by 5 December 2015

Although participants are not required to implement the energy efficiency recommendations, the Government is hoping that companies will take advantage of the cost savings identified.

The energy audits need to be conducted or reviewed by a qualified lead assessor, who may be an external consultant or an in-house expert. They will need to demonstrate their competence by registering with an appropriate professional body whose professional register has been approved by the Environment Agency.

Companies are exempt from the regulations if they have obtained the ISO 5001 Energy Management System. Otherwise, they will have to conduct an audit every four years.

For further details and copies of the draft guidance, please contact Steve Walker on 01676 526050, or email [email protected]