SECR

From 1st April 2019, it became law for around 11,900 large UK companies, including over 8,000 ESOS obligated companies to calculate and include energy usage and carbon emissions data in their annual accounts filed at Companies House under new SECR legislation.

CLS Energy have already taken numerous companies to full SECR compliance including: Abbey Logistics, Agilent, Aico, Bottomline, Cancer Research UK, Comex 2000, Future Industrial Services, Great Ormond Street Hospital Charity, Howard Tenens, Hunt Forest Group, Landmark Trust, M J Church, RSPB, and Unsurge.

SECR links to carbon management. We have been delivering Carbon Reduction and Management Plans since 2008. Companies including Aico, Bottomline, John O’Conner, HTG (UK), and the Landmark Trust continue to work with us towards carbon neutrality and/or net zero carbon goals.

For our ESOS mandated Companies, CLS Energy Ltd are providing this as an add-on service.

For more than 4,300 UK companies, SECR will be entirely new. We would be pleased to help you to take best advantage of this opportunity. We can also offer the full consultancy package to help you achieve net carbon neutrality.

Large companies and Limited Liability Partnerships (LLPs) are defined under the Companies Act 2006 as mandated to conduct SECR as follows:

Reporting for SECR (in scope ‘Private’ Companies and LLPs) must include:

• UK energy use (Minimum purchased electricity, gas & transport).
• Scope 1 and 2 emissions (quoted companies)
• Associated greenhouse gas emissions (six of the the seven Kyoto gases).
• At least one intensity ratio.
• Previous year’s figures for energy use and GHG emissions (except first year).
• Information  about energy efficiency actions taken in the financial year.
• Methodologies used in calculation of disclosures.
• Formal report setting out measures to deliver energy efficiency during the period

The requirements of  SECR will apply to a company’s financial years from the point they exceed two of the three points in the coloured table above.

Please begin collecting all of your electrical energy, combustible fuel and all transport fuel data if you believe you may be captured by it. Even if you are not, this is good practice.

More and more companies are being asked for their Scope 3 emissions by customers and suppliers. The earlier you commence this journey, the more prepared you will be.

Exemptions to SECR include those whose total energy use is below 40MWh over the 12 month reporting period. However, this still requires a report. Whilst this may sound a lot, 40MWh is equivalent to around 9 houses worth of electricity or one to two company cars in use.

If you believe your company may be affected by SECR or you’d like to understand how we can support you to ensure compliance, please contact our sustainability and energy experts in complete confidence and no obligation by e-mail at info@clsenergy.com or call 01865 421008 to discuss. 

If you have more questions visit our FAQ section on ESOS and SECR.

The Companies (Directors’ Report) and Limited Liability Partnerships (Energy and Carbon Report) Regulations (2018), implements Government policy on Streamlined Energy and Carbon Reporting (SECR).