Recently the Government released further guidance on how to approach ESOS audits, below are some key points from the document they produced.
DETERMINING SCOPE
Before you undertake ESOS assessments it’s essential to plan how you will approach them. A good starting point is to map out energy consuming activities undertaken at each of your sites and transport activities. Once you map out the sites and transport across the organisation and have their energy figures to hand you should look to exclude up to 10% of total energy consumption under the de minimis rule. You should focus audits on areas where the greatest total energy savings can be made.
MAKE USE OF EXISTING INFORMATION
As part of our ESOS scoping meeting, you should identify any existing information you have which can be used towards your energy audits. Look for previous data on energy and fuel use which has been collected, this can help to identify any gaps that need to be filled. If there’s any cases of previous audit work these may be able to contribute to ESOS compliance, also check to see if there’s any other coverage by ISO 50001 or DECs.
GATHERING INFORMATION
Gathering the relevant energy and fuel use information can take time. Within larger organisations it may have to come from separate departments which could include:
Finance team – for copies of supplier invoices
Facilities managers – for meter readings and invoices
Travel team – for information on journeys and distances travelled
Maintenance team – for meter readings and invoices
Vehicle fleet managers – for information on vehicles, fuel purchased and distance travelled
On this point, as part of our Easy ESOS service we can work with; meter readings, half-hourly reads, invoices, CSV energy data, sub-metering data or get the data straight from the tariff provider.
If there are any gaps in data, for example where you only have bill information at a site for 5 months, the ESOS assessor will have to estimate energy consumption.
PLANNING YOUR ESOS AUDITS
A good idea is to create an audit plan that includes all parties working on ESOS compliance, including the Lead Assessor.
With ESOS you can take a sample approach to the number of audits carried out. Many organisations will own a range of similar operations, such as small retail units or offices. In these circumstances it is not necessary to visit every site and participants should choose an appropriate sample. This number of visits proposed should be discussed and agreed with the Lead Assessor, this is a topic Enistic cover in our free scoping meeting.
ANALYSIS AND IDENTIFICATION OF OPPORTUNITIES
ESOS requires all participants to use Life Cycle Cost Analysis (LCCA) where practicable as well as simple pay back for each opportunity identified from the audit. These costs include; capital cost, operating cost, maintenance and disposal. Our software has a module that can calculate LCCA. A summary of energy saving opportunities should be kept, within our evidence pack we include an executive summary of all potential opportunities identified with the associated energy savings and cost savings as well as a detailed look on a site level where an audit was carried out.
ENGAGING SENIOR MANAGEMENT
It’s important Directors or senior managers have a good understanding of the scope, purpose and needs of the ESOS audit process, given that board-level sign off is required by at least one director to confirm they have reviewed the recommendations or the ESOS audits and are satisfied your organisation is compliant. As well as this, any major energy saving opportunities you wish to implement will likely need to be subjected to an investment appraisal process. We have produced a range of helpful guides on ESOS, to request one please call 0844 875 1600. An important message to convey to senior managers is that when approached correctly, ESOS will deliver cost savings and reduce waste.
EVIDENCE PACK STRUCTURE
An ESOS evidence pack is required to be produced. This is so that it’s readily available in the event that the Environment Agency requests to see it. It should include information on:
How the organisation meets the ESOS criteria
Scope of participation
Calculation of total energy consumption
Use of de minimis
Site auditors and lead assessor details
Audit reports
Evidence of Director sign off
With our ESOS software, all of the above are included in the evidence pack we produce for you.
If you are yet to determine the scope and approach of the ESOS auditing process, call us today on 0844 875 1600 to arrange a free scoping meeting.
For the full Government guidance on how to approach ESOS audits visit https://www.gov.uk/government/uploads/system/uploads/attachment_data/file/416692/DECC_Approaches_to_ESOS_audits_guide_FINAL_20_03_15.pdf