SECR stands for Streamlined Energy and Carbon Reporting. SECR was proposed to make carbon and energy reporting easier for businesses.
The legislation was developed to increase awareness of energy efficiency across your property’s estate and help identify ways in which businesses can reduce their carbon emissions.
SECR has been devised to make carbon and energy reporting easier for businesses, by aligning it with existing mandatory reporting procedures. A SECR report may help you find ways in which your business can reduce its carbon emissions.
SECR must be reported on each financial year and qualifying businesses must include SECR findings in their Directors Report or an equivalent Energy and Carbon Report for LLPs. Your Directors Report may be rejected if it does not contain SECR data and a late filing penalty may be applied.
SECR legislation effect’s the following types of businesses:
- Quoted companies of any size that are already obliged to report their Greenhouse Gas annually.
- Unquoted companies incorporated in the UK are defined as ‘large’ under the Companies Act 2006. This also applies to registered and unregistered companies.
- ‘Large’ Limited Liability Partnerships (LLPs) will be required to prepare and file an ‘Energy and Carbon Report’.
Business Groups are classed as large if they meet the below criteria:
- They employ 250 or more employees
- They turnover more than 36 million annually
- They have an annual balance sheet total of 18 million or more
Your business must report on the following if SECR applies to you:
- Scope 1 Emissions – Mandatory (Direct Emissions) – Activities owned or controlled by your organisation that release emissions into the atmosphere e.g. boilers, vehicles refrigerants such as F gases
- Scope 2 Emissions – Mandatory (Energy Indirect Emissions) – Emissions being released into the atmosphere associated with your purchased electricity, heat & steam or cooling
- Scope 3 Emissions – Discretionary (Other Indirect Emissions) – Emissions that are a consequence of your business activities which occur from sources out of your controls e.g. business travel by means not owned/controlled by you, waste disposal.
How Can We Help?
Compliance365 can help you identify ways to reduce your business’s carbon emissions and energy consumption, producing a streamlined energy and carbon report to be included within your directors’ report.
At Compliance365 we can help you collect information through our C365Cloud Compliance software. Our C365Cloud software has been created to help organisations monitor, evidence, and improve their estate facilities and compliance management. The information C365Cloud has gathered can then be presented back in an Executive Summary suitable for a Director’s Report.
Contact us today on 01924 669940 or send us an email to firstname.lastname@example.org to find out more about how we can help you with SECR.