Streamlined Energy and Carbon ReportingComplete UK SECR Compliance Guide
Master Streamlined Energy and Carbon Reporting (SECR) requirements for UK companies. Mandatory for businesses exceeding £36m turnover, £18m balance sheet, or 250 employees. Expert guidance for SECR compliance.
SECR Applies If You Exceed 2 of These 3 Thresholds:
What is Streamlined Energy and Carbon Reporting?
Streamlined Energy and Carbon Reporting (SECR) is a mandatory UK framework requiring large companies to disclose energy use and carbon emissions in their annual reports. Introduced in April 2019, SECR replaced the Carbon Reduction Commitment (CRC) scheme.
Key SECR Requirements:
- Annual energy consumption (kWh) disclosure
- Associated greenhouse gas emissions (tCO2e)
- At least one intensity metric
- Previous year comparisons
- Energy efficiency actions taken
SECR Timeline & Deadlines
Who Must Comply with SECR?
Quoted Companies
All UK incorporated companies listed on London Stock Exchange Main Market, NYSE, NASDAQ, or EEA exchange
Must Report:
- • Global energy use & GHG emissions
- • Scope 1 & 2 emissions minimum
- • Intensity metrics
- • Methodology used
Large Unquoted Companies & LLPs
UK incorporated companies and LLPs exceeding 2 of 3 thresholds
Thresholds (meet 2 of 3):
- • £36 million annual turnover
- • £18 million balance sheet
- • 250 employees average
SECR Exemptions
Low Energy Users
Under 40,000 kWh/year
Subsidiaries
If included in parent report
Charities
Not-for-profit sector
Streamlined Energy and Carbon Reporting Requirements
Energy & Emissions Data
- ▶Energy consumption: Total kWh from electricity, gas, transport
- ▶GHG emissions: Scope 1 & 2 in tCO2e (Scope 3 optional)
- ▶UK vs overseas: Split between UK and offshore operations
Intensity Metrics
- ▶Choose appropriate metric: Per revenue, FTE, floor area, or production unit
- ▶Year-on-year comparison: Show trends and improvements
- ▶Sector-specific: Use industry-relevant denominators
Narrative Disclosures
- ▶Methodology: Calculation approach and standards used
- ▶Energy efficiency: Actions taken in the reporting period
- ▶Data coverage: Explain any exclusions or estimates
SECR Carbon Reporting Methodology
Approved Methodologies for SECR
Streamlined Energy and Carbon Reporting requires use of recognized methodologies:
Recommended Standards:
- GHG Protocol: Corporate Accounting Standard
- ISO 14064-1: GHG inventories
- UK Government: Environmental Reporting Guidelines
- DEFRA: Conversion factors for GHG reporting
Calculation Steps:
- 1.Identify emission sources and collect activity data
- 2.Apply appropriate emission factors (DEFRA/IEA)
- 3.Calculate total emissions by scope
- 4.Determine intensity metrics
- 5.Prepare narrative disclosures
Official SECR Resources:
SECR vs Other Reporting Frameworks
| Aspect | SECR | ESOS | UK SRS (Future) | TCFD |
|---|---|---|---|---|
| Scope | Energy & carbon reporting | Energy audits | Full sustainability | Climate risks |
| Frequency | Annual | Every 4 years | Annual | Annual |
| Threshold | £36m/£18m/250 | £44m/£38m/250 | Listed companies | Premium listed |
| Location | Directors' Report | Internal/EA | Annual Report | Annual Report |
SECR Implementation Support
SECR Gap Analysis
Assess your current position against Streamlined Energy and Carbon Reporting requirements
- • Threshold assessment
- • Data availability review
- • Compliance roadmap
Data Collection & Calculation
Establish systems for SECR carbon reporting and energy data management
- • Energy data gathering
- • Emissions calculations
- • Intensity metrics
Report Preparation
Prepare compliant SECR disclosures for your Directors' Report
- • Narrative drafting
- • Board approval
- • Annual filing
From SECR to UK SRS: Preparing for the Future
While SECR remains mandatory, UK SRS will expand requirements from 2026-27. Strong SECR compliance provides the foundation for future UK SRS readiness.
Current: SECR Requirements
- Basic energy and carbon reporting
- Scope 1 & 2 emissions focus
- Directors' Report disclosure
- Size-based thresholds
Future: UK SRS Expansion
- Comprehensive sustainability reporting
- Mandatory Scope 3 emissions
- Climate scenario analysis
- External assurance required
Build your reporting capabilities now with SECR compliance
Learn about UK SRS Standards →Expert Streamlined Energy and Carbon Reporting Support
Ensure compliance with SECR requirements. Our experts help you implement Streamlined Energy and Carbon Reporting that meets regulatory standards and prepares you for future UK SRS requirements.
Supporting 500+ UK companies with SECR compliance since 2019