0808 189 0463


        0808 189 0463

        Updated: February 17, 2023

        All You Need to Know About ESOS Phase 3

        How a qualified lead assessor can help you qualify for the scheme

        ESOS is a mandatory scheme for qualifying UK companies to assess, measure and report on their energy usage and efficiencies. If your company was in scope for ESOS phases 1 and 2, it is highly likely that phase 3 will apply to you also, as the criteria remains consistent.

        Working with a qualified Lead Assessor on your ESOS phase 3 submission is highly recommended, as they can make sure you fit the requirements, avoid any unnecessary penalties and guide you quickly and smoothly through the process.

        How to make an ESOS Phase 3 submission

        Your first step should be to appoint a qualified ESOS Lead Assessor – we can match you with one who is the best fit for your business’ needs and requirements.

        Consider and prepare for the fact 90% of total energy usage within the organisation will need to be audited within the process.

        Before you connect with your assessor, follow these simple steps to help ensure your ESOS Phase 3 submission gets off on the right footing…

        1. Prepare to report on all energy usage including gas, electricity and fleet mileage.
        2. Conduct the required site audits capturing at least 90% of the total energy usage within the organisation.
        3. Appoint someone internally who can review, report and sign-off findings alongside your ESOS Lead Assessor and submit your application to the Environment Agency.
        4. Consider the potential to implement any beneficial solutions identified.

        ESOS Phase 3 will follow a similar process to ESOS Phases 1 & 2, therefore if you have previous submissions available, these will be very handy in reducing the potential costs associated with ESOS compliance

        Within each area there are specific requirements and areas where assistance is required, but with an ESOS Lead Assessor on your side, your business will be best placed to make a successful submission.

        Get in touch to speak with a qualified Lead Assessor

        ESOS Qualification Criteria

        The criteria for a business that must take part in ESOS Phase 3 is that you must meet the official definition of a “large undertaking”. That is, you either:

        • Employ 250 or more people; or
        • Have an annual turnover in excess of €50 million (£44 million) and an annual balance sheet total of over €43 million (£38 million).

        If you’re unsure or extremely close to either or both thresholds and don’t know for certain whether you’d fall in or out of scope, we’d recommend working with an approved ESOS Lead Assessor who will assist and provide clarification. Make an enquiry to get started with a Lead Assessor we’ve handpicked for your business and fully-vetted today.

        When to start on ESOS phase 3

        Right away! While there is no immediate obligation to start your ESOS phase 3 submission, there are plenty of benefits to doing so, not least the cost and time of ESOS Lead Assessors has historically risen as the deadlines for Phase 1 and 2 approached, so engaging with an assessor earlier is likely to be cost effective and will also allow more time to plan effectively.

        Furthermore, the reference period for your ESOS report should cover a 12-month period that includes the qualification date of 31 December 2022 and ends before the deadline of 5 December 2023.

        This means the start of your reference period could be any date between 1 January 2022 and 6 December 2022.

        Whether it’s the first ESOS submission of the business or you’re looking to follow on from submissions of ESOS phases 1 & 2, get in touch to speak with a specialist advisor who can make sure there’s no risk of penalties should your organisation fail to meet the ESOS Phase 3 deadlines.

        Get in touch to speak with a qualified Lead Assessor

        Craig Watson

        Craig Watson

        Commercial Energy Expert

        About the author

        Craig is a commercial energy advisor who has been working within the industry for over a decade.

        He’s recently worked as company owner and Operations Director with Experienced Energy Solutions, and is passionate about helping businesses save time, money and energy.

        Delivering market-leading consultation on all things energy related, Craig supports his customers by offering a fully transparent approach to help break energy management into a language anyone can understand.

        Craig is also a co-founder of Birmingham Net Zero and has previously held positions with leading gas and electricity suppliers as well as award winning energy consultants.

        FCA Disclaimer

        *Based on our research, the content contained in this article is accurate as of the most recent time of writing. Lender criteria and policies change regularly so speak to one of the advisors we work with to confirm the most accurate up to date information. The information on the site is not tailored advice to each individual reader, and as such does not constitute financial advice. All advisors working with us are fully qualified to provide mortgage advice and work only for firms that are authorised and regulated by the Financial Conduct Authority. They will offer any advice specific to you and your needs.

        Some types of buy to let mortgages are not regulated by the FCA. Think carefully before securing other debts against your home. As a mortgage is secured against your home, it may be repossessed if you do not keep up with repayments on your mortgage. Equity released from your home will also be secured against it.