Energy Savings Scheme

The Energy Savings Opportunity Scheme (ESOS) requires large companies to undertake energy audits including transport, buildings and industrial operations every four years. This is in accordance with the EU Energy Efficiency Directive.

All companies with either 250 or more employees or those with less than 250 employees but an annual turnover exceeding 50 million (approximately £40 million) and a balance sheet exceeding $43 million (approximately £34 million) are in scope of ESOS. Companies need to measure total energy consumption; conduct energy audits to identify cost-effective recommendations; report compliance to the Environment Agency (the scheme administrator).

  • At least 90 per cent of total energy consumption is subject to ESOS
  • Only fuel purchased by the company will be covered by ESOS
  • Sub-contracted transport is excluded
  • There will be financial penalties for non-compliance

An ESOS Lead Assessor will be required to conduct the audits. The Environment Agency has published it’s an approved list of public bodies that hold registers of Lead Assessors. These assessors must meet the Publicity Available Specification (PAS) 51215 Energy Efficiency Assessment – Competency of a lead energy assessor.

As of 8 October 2015, the Environment Agency announced that there will be a period of grace until 29 January 2016 for those companies encountering difficulties in meeting the EU deadline of 5 December 2015. Additionally, for organisations committing to achieve compliance through ISO 50001 certification, enforcement action will not normally be taken as long as notification is received by 30 June 2016.

Energy Savings Opportunity Scheme (ESOS) Compliance Guide

Need More Information?

If you are a Logistics UK member and have a query regarding this topic, or need more information, contact our Member Advice Centre

Member Advice Centre