SECR (Carbon Reporting)

With an ever-growing culture surrounding the environmental impact of our businesses, Carbon Reporting is more than ever a crucial factor in an ESG-compliant company.  

Carbon Reporting may seem daunting, but GCL is here to make the process as simple as possible.  

What is SECR, and why has it been implemented? 

Streamlined Energy Carbon Reporting (SECR) is the name given to legislation put into place by the UK Government in 2019. This legislation, which replaces the Carbon Reduction Commitment scheme, encourages companies to report on their energy consumption and associated greenhouse gas emissions within their financial reporting for Companies House. It is a requirement for all non-SME companies.  

As well as an incentive to bring awareness to the carbon footprints of businesses, SECR intends to encourage the implementation of energy efficiency measures to reap both environmental and economic benefits. When implemented effectively, these measures should support companies in improving productivity and cutting costs, all while reducing carbon emissions.  

Who needs to comply with the SECR framework? 

The following categories of organisations are required to comply with the SECR unless they meet exemption criteria: 

1. Quoted companies of any size that are already obliged to report under mandatory greenhouse gas reporting regulations. 
2. Unquoted companies incorporated in the UK that meet the definition of ‘large’ under the Companies Act 2006 will have new reporting obligations. This applies to registered and unregistered companies. Note that the criteria for ‘large’ differs from the ESOS Regulations. 
3. ‘Large’ Limited Liability Partnerships (LLPs) will be required to prepare and file an ‘Energy and Carbon Report’. LLPs comprise any 2 of the following: · a turnover of £ 36 million or more; a balance sheet of £ 18 million or more; or 250 employees or more.  

Private sector companies that do not meet the above criteria are encouraged to report voluntarily in a similar manner. 

For more information about whether you need to comply, see government guidelines. 

What is detailed in the SECR disclosure? 

1. UK energy use – including electric consumption, gas combustion, and transport.
2. Greenhouse Gas Emissions - the annual gross quantity of emissions in tonnes of carbon dioxide equivalent  
3. Emissions intensity ratio - reports must state at least one metric which expresses the academy trust’s annual emissions in relation to a quantifiable factor (CO2e per pupil is recommended) 
4. Methodology - the methodology used to calculate the required information 

Carbon Reporting by Highly Qualified Specialists 

With over 30 years of experience in in-depth site surveys and energy management reports, our Chartered Energy Engineers are Energy Savings Opportunity Scheme (ESOS) trained and Carbon Trust accredited. GCL can assess your organisation’s emissions and create a structured plan for reducing them.  

Get in touch today to start your carbon reporting journey.  

For more information about other Energy Saving services offered by GCL, including the ESOS scheme, click here.