The UK Government has announced changes to ESOS Phase III and Phase IV.
A summary of the changes follows;


ESOS Phase III Additional Requirements

  • The reduction of the 10% de minimis exemption to 5% to drive inclusion of more sites / transport.
  • No changes have to be made to existing energy audits that have already been undertaken for Phase 3.
  • A standardised template is to be developed by the Government and is to be completed including compliance information in the ESOS report (by the lead assessor).
  • The addition of an energy intensity metric in (kWh/m2 or kWh/mile) in energy audits.
  • ESOS reports to provide more information on next steps for implementing recommendations.
  • Participants to set a target or action plan following the Phase 3 compliance deadline which they will report against in Phase 4.
  • ESOS reports to be shared with subsidiaries.
  • A recommendations template may be developed.


ESOS Phase IV Potential Changes

  • Scheme Entry thresholds could change in line with SECR (i.e. one of the following 250 employees, balance sheet £18m and turnover £36m).
  • Tighter rules (clarity) around the sampling of sites with rules on the minimum numbers of sites to be audited.
  • Focus on energy management and behaviour change in energy audits.
  • Net Zero PAS standard for ESOS audits to be developed and net zero included in energy audits.
  • EN 16247 or ISO50002 standard adoption for energy auditing.
  • Clarity on the use of half hourly electricity data in energy audits.
  • Removal of DEC as a compliance pathway.
  • Recommendations templates to be developed.
  • ESOS public reporting on progress of implementation and results.

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