SECR – Data and Calculating Emissions

13th Jul 2020

Last week in Streamlined Energy and Carbon Reporting – Energy Efficient Actions we talked about how organisations must clearly state the Energy Efficient Actions they have undertaken and clearly state if they have not. This week we are going to talk determining consumption data and calculating emissions. We feel this is probably going to be the main area where people could struggle.

There is no prescribed method for calculating energy usage and emissions for an organisation, however according to the UK Government Environmental Reporting Guidelines, it is important that robust and accepted methods are used.

There is scope for interpretation but where possible it is recommended that established methods such as GHG Reporting Protocol, ISO Standard 14064-1:2018 and GRI Sustainability Reporting Guidelines. Also, if you have been involved in other schemes previously, such as ESOS, CCA, EU ETS, CRC, data obtained through this would be accepted.

There is a distinction between directly and indirectly determined data.

Determining Consumption Data for SECR – Direct Data

– Invoices from suppliers

– Meter Read Data

– Annual statements from suppliers; these were common in CRC reporting

Once you have consumption data in kWh, it is a matter of determining consumption of CO₂e emissions using standard emissions factors that are on the government website. These are updated year on year, so the factors used to calculate emissions from energy usage will need to be updated annually.

With CRC there was legal requirement for energy suppliers to produce a statement to show energy consumption that period. That legal requirement is no longer, however some energy suppliers are continuing the practice.

Determining Consumption Data for SECR – Estimated Data

It is not always possible to directly determine consumption data, and this is an area where many organisations are particularly likely to struggle.

For organisations that have involved in energy management schemes before, this is familiar territory. However, where organisations do not know enough about SECR, when it comes to completing financial reports, they may unearth a data gap because they have not been gathering the data they need.

Three main methods of estimation have been proposed:

1. Direct comparison

Using figures from another comparable time period to fill the gap i.e. the same day/week/month in another year.

2. Pro-rata extrapolation

This method uses figures available for one time period to get consumption figures for another time period.

3. Benchmarking

Using the energy consumption of one asset or activity as a proxy to estimate the consumption of another asset.

If you would like Swan Energy to supply an example of any of these methods, please get in contact with joe.youldon@swanenergy.co.uk

There are not the only methods that can be used. Any robust and transparent way of determining data can be used if explained properly. An example being determining transport fuel use from expenditure on fuel cards.