ESOS Compliance 2024 onwards: Creating Effective Energy Action Plans That Drive Real Improvement

Learn how to comply with the UK Energy Savings Opportunity Scheme (ESOS) and create impactful energy action plans that reduce costs and carbon emissions. New ISEP guidance for ESOS compliance has been written by ISEP’s Climate Change and Energy Steering group members Helen Sprakes and Georgina Phillips.  

The legal deadline for the first ESOS action plan was 5th December 2024. However, as further guidance and templates were only released recently, to assist participants in preparing and submitting their action plans, the Environment Agency and Regulators for the Devolved Administrations will accept submitted action plans provided that you submit them by the 5th March 2025.

This paper takes a look at one of the key regulatory regimes affecting large organisations, and aims to provide organisations that must comply with the requirements of the UK Energy Savings Opportunity Scheme (ESOS) with guidance on what they need to do and how best to do it to make it worthwhile for their business and drive real improvement.

A change in the UK ESOS Regulations has meant that all participants in the Scheme must now complete an additional ESOS action plan, regardless of their route to compliance, detailing what energy reduction measures they intend to implement by the next ESOS compliance date in 2027 and providing annual reports on progress.  

At present there is very little ESOS Phase 3 guidance from the UK Government on what an effective ESOS action plan looks like. This paper has therefore been compiled to help address this, as well as help those individuals within an organisation that will be tasked with creating and delivering the plans to comply with mandatory ESOS reporting. 

The paper answers more simple questions such as: who needs to comply with ESOS?, how does ESOS benefit businesses? and what is involved in an ESOS audit? 

It goes on to include information on the legal minimum requirements, what an energy action plan is and where to start in developing one, as well as practical ideas for getting buy-in, the types of corporate energy efficiency measures to investigate, considerations when assigning responsibilities, and tips for implementation and reporting.  

As the UK continues on its path to net zero, finding energy savings for business is one of the lower-hanging fruits. Energy efficiency audits can uncover opportunities and energy-saving recommendations for carbon footprint reduction. This paper will therefore be helpful to a wide range of organisations, whether or not they are within the scope of needing to comply with ESOS.

ISEP members can download the guide 'Getting the most out of your ESOS action plan' here.

Non-ISEP members can purchase the document from our online shop (under 'Sustainability in Practice Guides')


Published by:
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Chloë Fiddy

Senior Policy and Engagement Lead

Chloë is the Senior Policy and Engagement Lead for Climate Change Mitigation and Adaptation at ISEP. Within this remit she works on policy advocacy and practice guidance projects relating to sustainability disclosures, particularly the aspects of emissions reporting, adaptive capacity, and risk and transition planning. Chloë is also a District Councillor and chairs the council’s Audit and Standards Committee. Previously she has worked at senior levels in the manufacturing and retail sectors, in climate and sustainable development planning roles in the public sector, and has served for a number of years as a charity trustee.