We are now under 100 days away from the deadline of the second phase for ESOS (Energy Savings Opportunities Scheme) which is the 5th December 2019. This means that qualifying companies are required to register their ESOS status and certification with the government by 5th December 2019. Failure to complete your ESOS assessment could result in a fine of up to £50,000.
The qualifying criteria for companies are;
- Employs 250 or more people, or
- Has an annual turnover in excess of €50 million (£44,845,000), and an annual balance sheet total in excess of €43 million (£38,566,700), or
- Is an overseas company with a UK registered establishment with 250 or more UK income tax paying employees.
Recent evidence from the government is indicating that just five per cent of businesses are taking forward the audit’s recommendations in full. This is concerning as it suggests that businesses are not viewing ESOS as an opportunity to reduce energy usage which will in turn reduce energy bills and reduce their impact on the environment.
LCMB believe businesses cannot afford to pass on the energy saving opportunities that your ESOS assessment can offer. According to the Carbon Trust most organisations could reduce their energy use by 15 to 20%. And each pound saved on energy is equivalent to an additional £20 of top line sales for a business with an average net operating margin of 5%. Therefore, an energy saving of £50,000 will have the same bottom line impact for your business as increasing your sales by £1million. To find out more about how to get the most from ESOS please read our Top 10 Tips for turning ESOS into your Business Weapon guide.
LCMB are experienced in all things energy and building management, our mission is to make your buildings work harder and your resources go further.
Our ESOS lead assessors can manage your ESOS assessment from conception to accreditation and if you want to go beyond compliance and improve the return you get from your ESOS investment get in touch.