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A UK-Equivalent to Mandatory Energy Benchmarking?

DECC logoThe UK’s Department of Energy & Climate Change (DECC) wants to require commercial businesses with 250 employees or more to identify ways to invest in energy efficiency.

These assessments, as part of the new Energy Savings Opportunity Scheme (ESOS), could benefit the UK by as much as $2.9 billion, says DECC.

On average, an enterprise taking up recommendations from an energy savings assessment will invest $22,000 per year in energy efficiency measures and benefit from bill savings of $85,000 per year, according to DECC.

There would be no legal requirements to implement the energy saving measures identified, but the assessments could help large businesses and other large organizations to consider the benefits of investing in energy efficiency.

Net social benefits of $2.9 billion could be achieved even if only 6 percent of the potential energy savings identified through assessments in buildings and industrial processes were implemented by participating organizations, says DECC.

A consultation on the plan for compulsory assessments will run until Oct. 3.

In the US, there is a growing trend in large cities to mandate large buildings to benchmark their energy usage via EPA’s Portfolio Manager. But building owners aren’t required to act on the information.

The new UK scheme would complement other Government initiatives aimed at helping business make investments to improve energy efficiency, such as the non-domestic Green Deal, Electricity Demand Reduction, and Enhanced Capital Allowances for energy-saving plant and machinery.

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