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The surprising amount businesses can save from ESOS

The Energy Savings Opportunity Scheme (ESOS) is approaching its phase 2 deadline on the 5th December 2019. The mandate is simple; businesses (with more than 250 employees, or an annual turnover of €50m) are required to undertake comprehensive assessments of their energy usage. This in turn can reveal genuine opportunities to make a collective difference in combating climate change, while offering businesses tangible cost savings.

Due to a high proportion of organisations missing the deadline in 2016 for phase 1, the government has enhanced the seriousness of the matter this time around with warnings of fines up to £50,000. However, it shouldn't need to be an exercise that requires incentivising, because the rewards for compliance are estimated to be up to 20% of savings from a business's energy bill. What's more, the ESOS audit can reveal further opportunities to save outside of replacing inefficient machinery or changing light bulbs, but through organisational behavioural change. Staff are inclined to act a certain way which can often be wasteful when it comes to energy usage. The ESOS audit will produce a variety of different recommendations that can enhance employee behaviour to become energy efficient, leading to real savings for businesses.

ESOS audits are expected to identify energy savings worth over £31 billion for UK businesses. So when it comes to ESOS, compliance is only the first step. Acting upon the recommendations from the energy assessment in a prioritised, strategic manner can enhance businesses not only in how they use their energy, but how employees adapt and participate in saving money for the business, and saving the planet.

Recommendations must be achievable as opposed to farfetched proposals – with feasible changes making an immediate and lasting impact to both costs and emissions.

Still unsure of the procedure, some firms are having to throw together last-minute audits by trawling through reams of historic data, rather than collecting information on a month by month basis. Again, this only adds to the process’s overall pressures while negating its purpose.

With ESOS Phase 3 commencing just after Christmas, affected businesses should really be taking advantage of the plethora of detailed suggestions generated from the initiative which will make real changes to outgoings and impact.

It is up to businesses to act and reap the rewards of ESOS, but they are not alone in this endeavour. At Avon Energy Partners, we can offer a comprehensive ESOS audit for your business at a competitive rate. With our qualified lead ESOS assessors, we can provide thorough, in depth reporting, and high level strategic recommendations that will save your business money.

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