Regulations:Streamlined Energy and Carbon Reporting (SECR)

Description

SECR is a mandatory policy for large organisations in the UK requiring them to annually report their energy and carbon emissions and any energy efficiency measures that they have taken. SECR encourages organisations to improve energy efficiency and reduce carbon emissions. As SECR regulation evolves, organisations may face stricter compliance requirements, such as mandatory Scope 3 reporting, or rethinking operational and reporting processes.

Who must comply

1. Quoted companies of any size (including SMEs) that are already obliged to report under mandatory greenhouse gas reporting regulations.
2. Large unquoted companies and Limited Liability Partnerships (LLPs).

To be considered ‘large’, the organisation must meet at least two of the three criteria in a reporting year:

• Turnover: £36 million or more 
• Balance sheet: £18 million or more
• Employees: 250 or more

An organisation is exempt if their energy use is 40 MWh or less over the reporting period.

How to comply

1. Understand if your organisation is legally required to comply, or if it is in your interest to voluntarily comply.
2. Establish reportable operations and organisational boundaries – identify entities that require reporting and determine the boundaries for each scope of emissions.
3. Set up an accounting framework – identify data sources, processes and controls to obtain relevant information and define a reporting process for carbon-related data.
4. Report and disclose – define internal governance for reporting, review energy usage levels and carbon emissions conversions and finally, report in line with the SECR requirements.

By when must you comply

Reporting period: 1 April to 31 March

Key Resource

UK Gov SECR Guide

Related legislation

• Energy Savings Opportunity
• Scheme Public Procurement Notice

Page contributors

Layla Atassi, Planet Mark