Energy Savings Opportunity Scheme


All large UK companies outside the public sector have to comply with the Energy savings opportunity scheme. This is a mandatory energy audit and assessment system which requires businesses to maintain records on the consumption of electricity and fuels including transport fuels and related emissions as well as performing regular audits of their portfolio to identify opportunities for energy reduction.

ESOS has now moved to the second phase; the compliance deadline for completion of Phase 2 audits is 5th December 2019.

An organisation will qualify for the second compliance period if, on 31 December 2018, it met the ESOS definition of a large undertaking.

A large undertaking is any UK company that either:

  • employs 250 or more people,


  • has an annual turnover in excess of 50 million euro (£44,500,000), and
  • an annual balance sheet total in excess of 43 million euro (£38,200,000).

Corporate groups qualify if at least one UK group member meets the ESOS definition of a large undertaking.

An overseas company with a UK registered establishment which has 250 or more UK employees (paying income tax in the UK) will still need to abide by the ESOS regulations phase 2.

Businesses who have the ISO 50001 certification across all their services are automatically classed as compliant with ESOS Phase 2.

For more information on how this Statutory Instrument might apply to your business and what you need to do to comply, please log into the ICON hub.