Certain companies are now required to participate in SECR under The Companies Directors’ report and Limited Liability Partnerships (energy and carbon report) Regulations 2018 which came in to action on 1st April 2019.
Guidance has been published to help more than 11,000 businesses get ready for the energy and emissions rules.
What is streamlined energy and carbon reporting?
The primary objective of SECR is to further incentivise energy efficiency with the aim of reducing carbon emissions to meet climate change targets. The UK Government legislation has replaced the CRC Energy Efficient Scheme which ended in April 2019.
When is SECR reporting required?
SECR has been required since April 2020. The reporting must align with the company’s financial year and this must be made clear in the annual report.
Which companies need to comply with SECR?
Companies who need to comply with SECR must meet two or more of the following criteria:
- Annual turnover of more than £36 million
- Over 250 employees
- Annual balance sheet of £18 million plus
Businesses which use less than 40 MWh over the reporting period are exempt however, but will need to include a statement of their energy use to confirm this.
SECR reporting requirements
Dependant on what category your business falls in to can change the SECR reporting requirements relevant to you.
UK incorporated quoted companies face the most stringent reporting requirements, they must;
- Report their annual greenhouse gas emissions and energy consumed from the purchase of gas and electricity.
- State what proportion of their energy consumption relates to emissions in the UK including UK offshore areas.
- State the measures in place to increase energy efficiency
UK incorporated unquoted companies must;
- Report annual greenhouse gas emissions and energy consumed within the UK including combustion of gas or transport fuel.
- Report purchases of electricity.
- Describe energy efficiency measures.
UK incorporated LLP’s must;
- Prepare an annual report including energy consumption and efficiency measures.
Get in touch today to see how eyebright can help your company prepare for and comply with SECR.