Streamline your energy and carbon reporting | Webinar Q&A Recap
We recently hosted a webinar on ‘How to Streamline Your Energy and Carbon Reporting’. Our experts discussed the basics of SECR and who qualifies, we then delved deeper and gave practical insights into what to after you know that you qualify, and how to maximise the impact of your reporting.
In case you missed it, here’s a recap of our recent webinar “Streamlining your Energy and Carbon Reporting”. We’ve summarised the key takeaways and answered your most pressing questions.
Takeaway 1: SECR has arrived, understand if you qualify
Streamlined Energy and Carbon Reporting (grace insert link), which came into force on 1st April 2019, applies to all quoted business, LLPs and unquoted businesses that meet two out of the three criteria below:
>£18m Balance Sheet
Companies should speak with their legal and finance departments to determine whether they will need to comply with the new regulations. As you can see in the results from our poll from the webinar there is still a lot of uncertainty around SECR. Get in touch with us if you need further support or advice.
Q1.Do charities, universities and public organisations qualify for SECR?
Registered companies or companies/LLPs owned by universities, academies or NHS Trusts may fall within the scope of SECR even if undertaking public, or not for profit activities.
Takeaway 2: Reporting requirements vary, do a data mapping exercise to determine data sources and availability
The table below outlines the reporting requirements for SECR reporting. We recommend reading the BESI reporting guidance and aligning your disclosure to the Greenhouse Gas Protocol Standard.
Conducting a data mapping exercise should identify data sources, owners and availability. The purpose of conducting the exercise is to ensure you fully understand the buildings within your portfolio and which fuel sources are consumed in them. Similarly, you can ensure you have a good understanding of all the transport data sources relevant to your organisation. The next stage entails mapping out where you can access this information and when it will be available. The resulting map will allow you to create a comprehensive and efficient data collection process and avoid a last minute rush!
Q2: What is the deadline for reporting?
Companies with financial years ending March 31st 2020 will be required to produce a SECR disclosure in their annual filings in April 2020. Companies with financial years ending 31st Dec 2020 will be required to produce a SECR disclosure in their annual filings in Jan 2021. Your reporting period should be for 12 months and correspond with your financial year.
Q3: What transport fuel needs to be included?
SECR reports much include the annual quantity of energy consumed from activities for which the company is responsible. This includes the consumption of fuel for business purposes, not where a transportation service is procured that includes an indirect payment for the fuel consumption.
Fuel used in company cars on business use
Fuel used in fleet vehicles which you operate on business use
Fuel used in personal/hire cars on business use (incl. fuel for which you reimburse employees)
Fuel used in private jets, aircraft, trains, ships or drilling platform
Onsite transport such as fork-lift trucks
Fuel associated with transport where you do not operate the vehicles e.g. trains, flights, taxis
Takeaway 3: Use energy and carbon data to move beyond compliance
A lot of organisations begin their energy and carbon data reporting programmes as a pure compliance exercise. Some leave it at that, but there is a lot of value to be gained through embedding the use of this data within your organisation. Once you have a complete and accurate dataset for SECR, you can then start to analyse the consumption trends to identify buildings where there is the potential to save energy. Enriching this consumption data with other sources such as operating hours, FTEs, details of refurbishments etc. will then help you to focus in on those that would yield the highest savings. Finally, verifying the savings you’ve made from any initiatives undertaken not only proves the business case but enables you to further develop your programme by understanding which interventions are the most successful.
Q4: Does SECR require external verification?
There is no requirement for emission and energy use data to be independently verified, however we recommend it as best practice. There is a reputational risk in disclosing misleading data publicly and verification helps provide a check to ensure this does not happen. It also gives you confidence in the data you’re using to build investment business cases for further energy reduction activities.
Takeaway 4: Complete our checklist to understand how ready you are to comply with SECR
We recommend you use the checklist below to under your readiness to comply with SECR. The response column has been completed as an example.
If you have any questions about what you’ve read here or would like a member of our team to get in touch with you to discuss SECR please email email@example.com