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In recent years, with growing awareness and knowledge of the impacts of energy on the climate and the increasing costs of energy, there has been much discussion around large organizations and their energy use. Typically, energy costs are in the top two or three overheads for most organizations. This even spills out onto the supply chain, logistics and outsourcing functions.

ISO 50001 on Energy Management Sytem Standard

When you take a closer look at businesses in the UK, research carried out by the Daily Telegraph1 and YouGov reveals that out of the 752 organizations surveyed, a fifth spend more than £250,000 a year on energy.

An issue highlighted in the research by the Daily Telegraph is that many organizations view the cost of energy as a fixed cost. This means that many organizations end up failing to take the initiative when ensuring they are as energy efficient as they could be.

The research looked at several factors following the end of ESOS phase one in 2016. It illustrates that (of the 750 companies surveyed) 40% of energy decision makers are engaging with their employees over sustainability issues, compared to 68% in 2016. There has even been a reduction in the interest of energy strategy, with 59% saying it was important to the board, compared with 64% in 2016.

To benchmark this, SGS analysed the voluntary questions in the notifications of compliance data released by the environment agency from ESOS phase one. The results of which showed a trend that those organizations who complied with ESOS using ISO 50001 energy management systems certification, have stronger senior management buy-in for energy-saving benchmarks and targets. With 54% confirming senior management have discussed the results of their ESOS assessment through ISO 50001, compared to 33% who complied through ESOS assessments. With this senior management buy-in, 97% of the organizations who complied through ISO 50001 stated they would act on energy saving measures highlighted through ISO 50001 compared to those organizations who used alternative routes to compliance, which sits at just 11%.

This is a vivid confirmation of the benefits of embedding energy management into an organization’s management practices and processes through the implementation of ISO 50001. By implementing ISO 50001 organizations are much more likely to be reaping the benefits and getting a return on investment (ROI) for the costs of the certification compared with ESOS compliance via ESOS assessments.

Look at ISO 50001 with SGS in more detail by downloading some of our available resources on our dedicated ISO 50001 page here.

For more information, please contact:

Terry Coyle
ISO 50001 Product Manager (UK)
t: +44 (0)1276 697715

1. Telegraph 2017

About SGS

SGS is the world's leading inspection, verification, testing and certification company. SGS is recognized as the global benchmark for quality and integrity. With more than 97,000 employees, SGS operates a network of over 2,600 offices and laboratories around the world.