What is SECR?

SECR – the Streamlined Energy and Carbon Reporting framework will replace the CRC or the Carbon Reduction Commitment and applies to large UK companies. The start date for SECR will be 1st April 2019 and it is possible that your first reports could be submitted in April 2020.
The idea of the SECR is to simplify carbon and energy reporting for UK companies whilst also allowing a company to identify areas where they could save on energy costs and reduce carbon emissions.

  • SECR has a degree of cross over with the Energy Saving Opportunity Scheme (ESOS) scheme.
  • SECR will not charge for emissions like CRC does, instead the CCL (the Climate Change Levy) will be increased to cover reduced tax revenue. The increase will be from 0.583 p/kWh to 0.847 p/kWh.

Does my company qualify?

Your company qualifies as a large company and therefore for the SECR framework if:
Either:

  • It is a UK quoted company (MGHG)

Or a UK listed company with two out of three of the following:

  • Number of employees greater than 250
  • Turnover over £36m
  • A balance sheet total over £18m

What will I have to supply?

Quoted Companies will have to as a minimum supply:

  • Global Greenhouse Gases Protocol Scope 1 and Scope 2 emissions
  • Previous year’s figures, except for the first year
  • Methodology employed
  • At least one intensity ratio (e.g. 37kWhs per m² or 610 kWhs per ton processed)

And for financial years starting after April 1st 2019:

  • Global energy use
  • What was done to increase energy efficiency

Limited Liability Partnerships (LLPs) and Unquoted Companies will have to supply:

  • Electricity, gas and transport usage at a minimum
  • Scope 1 and 2 GHG emissions
  • One intensity ratio at a minimum (e.g. 37kWh per m2 or 610 kWh per tonne processed)
  • Methodology
  • Previous years figures, except in the first year

Your ESOS compliance will help with SECR compliance

Even though they are separate schemes, the Streamlined Energy and Carbon Reporting framework has considerable overlap with the Energy Saving Opportunity Scheme.

What next

If you have any questions or you would like Enistic’s help with SECR reporting or ESOS Phase 2 compliance or ISO50001 please just get in contact with me. My direct line is 01865 598 776 and my email is Darryl.Mattocks@Enistic.com.
Note that the final scheme guidances have not yet been issued so we cannot know for certain whether the enclosed advice will change between now and April. However, I expect that the scheme will not materially change and so for planning purposes, the above should be a good place to start.