The UK Government has introduced legislation for larger companies to record their emissions annually. Fulfilling the Energy Saving Opportunity Scheme (ESOS) requirements has financial benefits for large organizations and contributes to environmental sustainability in the UK.
However, around 11,900 organizations struggle with meeting the same requirements due to inaccurate emission calculations and the lack of awareness regarding the best practices for energy efficiency. Hence, this article talks about the reasons behind implementing the ESOS, its action plan, and how Sophus X can help you meet the said requirements efficiently.
The Energy Savings Opportunity Scheme (ESOS): Reasons Explained!
The UK Government has implemented ESOS for various reasons, including increasing energy efficiency, reducing greenhouse gas emissions, lowering the bills, minimizing operational costs, spreading awareness about energy consumption, and holding organizations accountable for the same.
Increasing Energy Efficiency
Increasing energy efficiency is one of the top reasons behind the implementation of the ESOS. With ESOS implemented, large organizations will keep an eye on their current energy consumption, and look for ways to cut down costs by leveraging cost-effective practices and energy-efficient technologies.
It further leads to the growth of such organizations in the energy efficiency sector, giving rise to better economic opportunities.
Reducing Greenhouse Gas Emissions
Reducing greenhouse gas emissions gives rise to a healthy environment by helping effectively in achieving the UK’s climate change goals to stop global warming.
“The Committee on Climate Change recommends a new emissions target for the UK: net-zero greenhouse gasses by 2050.”
The fewer the greenhouse gasses, the cleaner the environment to breathe in.
Lowering the Bills
From minimizing the operational costs and lowering the bills, following the ESOS brings many financial benefits for larger organizations. Later, the organizations can invest the saved costs to yield more profit and elevate on the financial ladder leaving their competitors behind.
Spreading Awareness
ESOS helps increase awareness regarding energy consumption by an organization, making the organizations focus more on energy management techniques, and stay accountable for the energy they consume. All of this ensures that the energy is used within limits, and future generations aren’t deprived of it.
The ESOS Action Plan: A Detailed Overview
Once you’ve submitted the compliance notification, you must generate an ESOS action plan. It’s compulsory for all organizations. Its purpose is to make the organizations consider the energy-saving actions (from the ESOS audit or an alternative compliance route) that they want to perform before the next ESOS assessment. Also, it lets them plan the actions that they’ll publicly commit to carry out in the future to save energy.
Your ESOS action plan should contain the following information: the steps you intend to take to reduce energy consumption, their timing, clarification if they were recommended through your ESOS assessment, your four-year energy saving expectations, and the way you estimated the savings.
The Dos and Don’t of the ESOS Action Plan
- The action plan must have the signature of a board-level director or an equivalent.
- It should be submitted via the compliance notification system by 5 December 2024.
- Don’t justify the inclusion of particular actions in your action plan.
The Details You Shouldn’t Miss
- You must state whether you performed the specified actions in the annual progress updates.
- You must inform the UK Government about your intent of not taking any actions for energy saving by submitting a notification stating the same.
- If you take any energy-saving actions after submitting the notification, you must submit an annual progress update stating the actions you’ve taken.
- In case of having no energy responsibility during a compliance period, you must provide a compliance notification stating the same.
- If you fail to submit the action plan timely, it will be recorded and published that you don’t want to carry out any energy-saving actions.
How Sophus X Comes Up As a Life-saver for Large Organizations?
Sophus X comes up as a life-saver for large organizations by helping them meet the ESOS requirements efficiently instead of letting them manage everything alone. From accurately calculating the carbon emissions to implementing strategies for energy efficiency, it covers all the important aspects.
Calculating the Carbon Emissions
Be it the Scope 1 or direct emissions coming from sources such as an on-site furnace burning gas, a petrol car being driven as a part of the work, air-conditioners releasing refrigerant gasses, etc, or the Scope 2 or indirect emissions, the ones arising from your organization’s consumption of purchased energy, Sophus X calculates all of them.
Thus, handing over the emission calculation responsibility to Sophus X will give you complete relief from the doubts and consequences of inaccurate calculations. It further frees up your time for other important tasks and to brainstorm better ideas to reduce costs without compromising performance – another aspect where Sophus X comes forward as your helping hand.
Implementing Powerful Strategies
After tracking carbon emissions, Sophus can be leveraged to optimize business strategies for supply chain decisions. This optimization focuses on reducing the carbon footprint while effectively balancing the trade-offs between cost and emissions.
We develop powerful carbon-reducing strategies. Our model considers different scenarios and the what-if situations before recommending an appropriate solution that helps you achieve energy efficiency.
Furthermore, we offer you a wide range of options for modes of transportation, investing in energy-saving equipment, choosing different sourcing origins, etc. You can choose the option based on your preference, and fulfill the ESOS requirements effortlessly.
Conclusion
Now, you must have understood that ESOS is an energy-saving opportunity in its true sense instead of an obligation that doesn’t have direct benefits for the organizations complying with it. Also, preparing an ESOS action plan gives you and the UK Government clarity about your already completed and upcoming energy-saving steps.
Here is a recap of how Sophus X stays beside you throughout the process, letting you meet the requirements with minimum effort.
- Calculation capability for Scope 1 and Scope 2 emissions.
- Zero chances of inaccurate calculations and their consequences.
- More time for other important tasks of your organization.
- A balance between cost and emission reduction.
- Availability of options for improved decision-making.
Let Sophus X help you gain financial benefits while guiding you to contribute to environmental sustainability effectively.
FAQs
How Does Sophus X Calculate the Carbon Emissions Accurately?
Sophus X calculates the carbon emissions accurately by using advanced algorithms and comprehensive data analysis, minimizing the risk of errors and ensuring compliance with ESOS requirements.
Does Sophus X Calculate Scope 3 Carbon Emissions?
No, Sophus X doesn’t calculate Scope 3 carbon emissions. It only focuses on the automatic calculation of Scope 1 and Scope 2 emissions.
What Is the Difference Between SECR and ESOS?
The main difference between SECR and ESOS is that SECR covers reporting and disclosure of carbon emissions and energy consumption, while ESOS focuses on energy audits and the identification of energy-saving opportunities.
What Is the Purpose of an ESOS Audit?
The purpose of an ESOS audit is to identify cost-effective energy-saving practices. Also, it helps to see how an organization is currently calculating and managing energy consumption along with any quality management policies or systems.
