ESOS Phase 2 (2019) Has Started
18 Sep 2017

The Energy Savings Opportunity Scheme (ESOS) is entering its second phase with the compliance deadline of 5th December 2019.

You must take part in ESOS if your organisation qualifies as a large undertaking on the qualification date which, for the second compliance period, is 31 December 2018.

A large undertaking is:

- any UK undertaking that meets either one or both of the conditions below:


  • it employs 250 or more people
  • it has an annual turnover in excess of 50 million euro (£38,937,777), and an annual balance sheet total in excess of 43 million euro (£33,486,489)

To comply with ESOS regulations large businesses will need to undertake an ESOS Assessment, including the following elements:

  • Ensure ESOS audit is overseen, conducted or reviewed by an ESOS Lead Assessor
  • Measure total energy consumption for all energy used in buildings, industrial processes and transportation
  • Identify significant energy use accounting for 90% of total energy consumption
  • Agree audit methodology for new audits
  • Identify practical energy saving opportunities
  • Calculate energy/cost savings of measures identified using life cycle analysis where applicable
  • Present audit recommendations
  • Obtain board level director(s) sign off of audits findings and recommendations
  • Notify the Scheme Administrator of compliance by the December 5th 2019
  • Maintain an ESOS Evidence Pack to substantiate the audit and its findings and recommendations

If you know that you will qualify for Phase 2 it is prudent to start doing your energy assessments now. Audits carried out now will be compliant with ESOS phase 2 as long as it covers at least one year’s energy measurement any time between 6 December 2014 and 5 December 2019 and it was not previously used for ESOS phase 1. Different energy streams or sites can be assessed at different times so the work can be spread to suit your business needs.

At this stage, you will not be able to analyse your total energy consumption (TEC) as this has to include the qualification date of 31 December 2018, however where you know that an energy supply will be included in your significant energy consumption (SEC) you can do the audit work on this supply; in most cases, it is unlikely that the SEC will have changed from phase 1. ENGIE have 20+ years of experience in carrying out energy audits to the BS EN 16247–1 British Standard for energy audits in industry, commercial and public sectors. Our team consists of chartered energy managers and chartered energy engineers who meet the requirements specified by PAS 51215, the specification for the competence of a lead energy assessor. Our in-house registered lead assessors enable ENGIE to provide the full ESOS service including sign-off. The formal ESOS Assessment must be carried out or reviewed by a qualified Lead Energy Assessor.

ENGIE also have in-house specialists to provide the transport aspect of the ESOS audit. Currently ENGIE carry out audits of transportation (car, plane, train etc) to understand expenditure and carbon emissions for “Carbon Footprints” and can offer travel plans/policy and solutions for improving this aspect of energy use if applicable.

ENGIE have qualified and experienced ISO 50001 Internal Auditors, Implementers and Energy Managers capable of carrying the necessary steps to achieve ISO 50001 accreditation. ISO 50001 is an alternative and more comprehensive route to ESOS compliance.

Reasons to act now:

Start Making Energy Savings Now – Significant energy savings can be identified through ESOS and starting now will enable you to implement and realise these savings sooner.

Reduce Disruption – With plenty of time to carry out the audits, you can plan and spread the work to suit your business operations.

ESOS Registered Lead Assessors are limited – In the last round of ESOS, UK companies were struggling to find quality Lead Assessors as there are only hundreds of assessors in the UK to cover thousands of qualifying companies.

Guarantee Compliance – Following ESOS Phase 1, the EA carried out audits on a sample of submissions and found that 65% were not fully compliant. Starting early will ensure that you have everything covered. It is expected that the EA will have a more strict approach with penalties for non-compliance in phase 2.

If you wish to discuss your compliance requirements, please contact me on the details below:

Matt Dracup BEng (Hons) CEng MEI CMVP
Chartered Energy Manager
Energy Services Director I&C
Energy Solutions
UK & Ireland
Email: This email address is being protected from spambots. You need JavaScript enabled to view it.
Tel. +44 (0) 7976 345 933

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