Guide to SECR

What is the impact on my business? 

Introduced in 2018, the UK’s SECR policy increases the number of companies required to share energy use and carbon emissions data with the UK government.

Coinciding with the end of the CRC Energy Efficiency Scheme, the legislation has impacted almost 12,000 UK companies since its launch.

If you are a new company operating in the UK, keep reading to see what you need to do.

What legislation applies to your business?

Check the legislation tracker

Do I have to comply?

SECR compliance is required if your company is quoted, i.e., listed on a public exchange. Large and unquoted or LLPs (large limited liability partnerships) also need to comply if they meet at least two of the following conditions:

£36M

or more in turnover, accounting for the profitability of your business

£18M

or more on balance sheet, accounting for the size of your business

250

or more employees, accounting for the size and the social impact of your business

SECR checklist – Quoted Companies

Rules differ depending on which category you fall under, with quoted companies expected to report:

  • Global scope 1 and 2 GHG emissions. Scope 3 emissions are voluntary but strongly recommended.
  • At least one emissions intensity ratio. Intensity ratios compare emissions data with an appropriate business metric or financial indicator such as sales revenue or floor space (sqm).
  • Previous year’s energy use and GHG figures.
  • Energy efficiency actions, including a description of the main measures taken to increase energy efficiency over a financial year.
  • Methodology used.

SECR checklist – large, unquoted companies and LLPs

If you fall under either category, SECR requires you to report the following information:

  • UK energy use and associated GHG emissions.
  • Previous year’s figures for energy use and GHG emissions.
  • At least one intensity ratio.
  • Energy efficiency actions.
  • Methodology used.

What else should I know?

A “comply or explain” clause within the SECR guidelines allows companies to omit information provided they can adequately describe what was excluded and why it could not be collected.

However, while this is in place for a reason, it is recommended you supply everything expected of you.

If you are in any doubt as to how to deliver, our sustainability experts and carbon reporting tool will help you both measure scope 1, 2, and 3 emissions and share the data in an SECR-compliant format.

One-Click Reporting to support SECR compliance

With Normative One-Click Reporting, automatically export your carbon emissions calculations in a SECR-compliant format.

  • Stay on top of regional and industry reporting requirements with automatically formatted carbon reports.
  • Ensure your reports are audit-proof with Normative’s scientific calculations, rigorous versioning, and proven reporting track record.
  • Access expert climate strategists to analyze and activate your carbon data.
Learn more about Normative

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report with confidence.