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Streamlined Energy and Carbon Reporting(SECR)

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Key Benefits

Expert guidance

Understand carbon impact

Comply with energy legislation

Avoid penalties

About the service

The Streamlined Energy and Carbon Reporting (SECR) was introduced in the UK in April 2019 and was brought in to simplify energy and carbon emissions reporting for all businesses.

Streamlined Energy and Carbon Reporting (SECR) is mandatory for organisations who fall into the following categories

 “Quoted” companies – these can be of any size. They are already obliged to report under mandatory greenhouse gas reporting regulations.

“Unquoted” companies – companies that are incorporated in the UK and meet the definition of a ‘large’ company as defined by the Companies Act 2006, irrespective of whether they’re registered and unregistered companies. This includes ‘Large’ Limited Liability Partnerships (LLPs), ‘Large’ charitable organisations.

More simply, if your company meets two or more of the criteria below, your company will be considered “large”

  • You have more than 250 employees
  • You have a turnover greater than £36m
  • Your balance sheet totals more than £18m

t is estimated that around 12,000 UK organisations will need to comply with the SECR regulations as they meet the mandatory requirements outlined.

As well as those businesses that must comply, due to the rising importance of Corperate Social Responsibility (CSR), some organisations may decide to voluntarily carry out Energy and Carbon Reporting in a similar manner to the SECR regulations.

If you are unsure whether your organisation will need to comply with SECR regulations or simply want to understand your business’ carbon impact, contact us for advice.

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Complying with SECR

There are several key requirements that all qualifying UK organisations must do to comply with SECR.

  • Quantify your organisations energy usage for a 12 month period in kWh for Scope 1,2 and 3 emissions.
  • Quantify your organisations Co2 emissions for the same 12 month period in tCO2e for Scope 1,2 and 3 emissions.
  • Report on energy efficiency measures implemented in the last 12 months.
  • Report against at least one intensity metric
  • Describe the methodology used for the SECR reporting
  • Finally, the SECR information must be published in the Directors report submitted along with the company accounts for each financial year. Some exemptions apply.
  • From year 2 onwards - report the previous years figures

SECR & CRC

There are several key requirements that all qualifying UK organisations must do to comply with SECR.

SECR will run alongside ESOS. Qualifying companies must still comply with the ESOS regulations every four years by the set deadline as well as complete SECR requirements annually.

Please note that SECR is not replacing the Energy Savings Opportunity Scheme (ESOS). ESOS will continue separately with the planned future phases. The next phase of ESOS is phase 3, with a deadline of 5th December 2023.

While ESOS and SECR are separate schemes, defined through separate legislation, participants can use the information from ESOS to, for example, support energy and emissions reporting and narrative on energy efficiency action taken in their annual reports.

Importance of SECR

The main aim of the SECR is to simplify energy and carbon reporting for businesses. It can be described as a reform package that will reduce administrative burdens, raise awareness of energy efficiency, reduce bills, save carbon and improve company transparency.

This initiative requires businesses to measure energy/carbon using existing standards and by including the SECR information within the Directors reports, the hope is to raise awareness of energy and carbon within decision makers of the business.

For more information regarding SECR for your business call 01273 455 664.

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