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Streamlined Energy and Carbon Reporting (SECR)

Streamlined Energy and Carbon Reporting

SECR explained

Qualifying organisations must report their energy usage and greenhouse gas emissions under Streamlined Energy and Carbon Reporting. SECR replaced the Carbon Reduction Commitment (CRC) Energy Efficiency Scheme from 1 April 2019, when it became mandatory for qualifying organisations to publish this information in their Directors Report or ‘Energy and Carbon Report’. The first report will be due on or after 1 April 2020, with the exact date depending on your organisation’s financial year. SECR applies to nearly 12,000 companies, many more than CRC.

What is SECR?

Streamlined Energy and Carbon Reporting (SECR) is a mandatory, UK governmental scheme, designed to help reach the 2050 goal of reducing UK carbon emissions to net zero.
  
The new framework is a part of the government’s plan to make energy and carbon reporting simpler for organisations, while also helping them find ways to improve their energy usage and cut costs.

SECR focuses on the sustainability of our energy supplies and encourages both energy efficiency and the adoption of clean energy sources.

SECR is designed to encourage carbon reduction from large energy users as they are required to report on energy consumption, efficiency measures and emissions.

This will provide greater transparency for investors, and other stakeholders, on business energy efficiency and low carbon readiness so has potential financial and reputational implications for all businesses involved.

Who does SECR affect?

SECR applies to more than 11,900 businesses* including:

  • All UK-incorporated companies quoted on a stock exchange
  • ‘Large’ unquoted UK-incorporated companies, registered or unregistered
  • ‘Large’ Limited Liability Partnerships (LLPs)

Unquoted companies or LLPs are defined as ‘large’ if they meet at least two of the following three criteria in a reporting year:

  • A turnover of £36million or more
  • A balance sheet of £18million or more
  • 250 employees or more

*Carbon Trust

SECR obligations for your organisation

What your annual report needs to cover:

If you’re a quoted company:

  • Annual global greenhouse gas (GHG) emissions from activities for which the company is responsible including combustion of fuel and operation of any facility; and the annual emissions from the purchase of electricity, heat, steam or cooling by the company for its own use
  • Underlying global energy use that’s used to calculate emissions
  • Previous year’s figures for energy use and GHG (exempt in first year of reporting)
  • At least one intensity ratio (a measure of a company’s energy inefficiency)
  • Methodologies used in calculation of disclosures
    Information about energy efficiency action taken in the organisation’s financial year

If you’re an unquoted company or LLP:

  • UK energy use (to include as a minimum purchased electricity, gas and transport)
  • Associated GHG emissions
  • Previous year’s figures for energy use and GHG (exempt in first year of reporting)
  • At least one intensity ratio
  • Methodologies used in calculation of disclosures
  • Information about energy efficiency action taken in the organisation’s financial year

How to reduce carbon emissions

Choosing renewable energy can help your organisation to report lower greenhouse gas emissions. For example, if you select SSE Green as your choice of electricity supply then this would enable you to report zero carbon emissions for the electricity you’ve used. Under the GHG Protocol Corporate Standard market-based methodology, businesses on an SSE Green Electricity contract can report zero Scope 2 emissions.

Having a complete picture of your energy, carbon and other services can make a huge difference. Clarity from SSE is our energy visualisation platform that gives you a forensic picture of not just your energy consumption, but also water, EV, carbon, heat, steam and virtual metering and sub-metering. With this knowledge, you can make changes to cut your energy wastage, your bills, and your carbon footprint.

Carbon footprint reduction shows that your organisation has made a commitment to sustainability. That's good for your business reputation and it's particularly attractive to consumers who value environmental sustainability.

Using your invoices for SECR

To obtain copy invoices, visit our Business Energy Centre – if you need log-in details, please register.

For further help, contact us or ask your account manager.

Net zero solutions

Choosing renewable

Going green is good for business

Clarity

Clarity online reporting tool

Access the information you need to build a more sustainable business

Optimisation

Energy optimisation

Our energy management systems can help you control consumption

Improving efficiency

From ideas and tips to bespoke plans and smart metering, we can help