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What it is, who it applies to, what has to be done and how can help.

What is it?
ESOS is the name of the scheme given to the UK’s implementation of Article 8 of the European Commission’s Energy Efficiency Directive (EED) which requires mandatory energy audits for large organisations at least every 4 years. The aim is to help and encourage large organisations to cut carbon emissions and contribute to the EU reduction target of 20% by 2020.

Who does it apply to?
The mandatory energy audits (ESOS audits in the UK) referred to in paragraph 4 of Article 8 of the EED apply to organisations which are not SMEs (small and medium-sized enterprises), i.e. large organisations.

An SME is defined as:
employing fewer than 250 employees and having an annual turnover not exceeding €50 million
an annual balance sheet not exceeding €43 million. 

Thus, large organisation is taken to be one which has more than 250 employees, or fewer than 250 employees but has an annual turnover exceeding €50 million and a balance sheet exceeding €43 million.

What has to be done?
To comply with ESOS (and the EED), all large companies within the EU must undertake an energy audit at least once once every four years. Audits must be "carried out in an independent manner by qualified and/or accredited experts according to qualification criteria" and as a minimum "shall be based on the following guidelines: 

(a) be based on up-to-date, measured, traceable operational data on energy consumption and (for electricity) load profiles;

(b) comprise a detailed review of the energy consumption profile of buildings or groups of buildings, industrial operations or installations, including transportation;

(c) build, whenever possible, on life-cycle cost analysis (LCCA) instead of Simple Payback Periods (SPP) in order to take account of long-term savings, residual values of long-term investments and discount rates;

(d) be proportionate, and sufficiently representative to permit the drawing of a reliable picture of overall energy performance and the reliable identification of the most significant opportunities for improvement.

Energy audits shall allow detailed and validated calculations for the proposed measures so as to provide clear information on potential savings."

In the UK ESOS Energy Audits must be undertaken or approved by a Lead Assessor, who may be an  internal expert or an external individual. The audit must be reviewed and signed off by a board-level director before being submitted to the Environment Agency, the scheme administrator in the UK.

How we can help.
ESOS Lead Assessor accredited by the Energy Institute we can bring our experience and knowledge to bear on your energy audits. We have experience in the following areas:

Commercial - hotels, leisure (fitness centres, swimming pools), offices, universities, supermarkets, etc.

Industrial - dairy, brewery, plastic moulding, packaging, printing, automotive, engineering, textiles (dyeing, printing, laundry, steam press, etc.), etc.

For help with your ESOS compliance in the UK, or mandatory Energy Audits in the EU contact us now.

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