ESOS Action Plans: What’s the cost of doing nothing?
If your organisation is in scope of ESOS, the deadline for submitting your Action Plan to the Environment Agency was 5th March 2025.
Hopefully your focus will now be turning to implementing the measures outlined in the plan: a progress update is due to the Environment Agency on 5th December 2025.
Deadlines aside, there is another compelling reason to bring your Action Plan to life – and that’s the opportunity cost. Businesses that treat this latest compliance obligation as a tick box exercise could be missing out on measures that reduce operating costs, as well as enhancing their environmental, social and governance (ESG) credentials.
ESOS Action Plans that deliver savings
Concept has been supporting many of our clients with their Action Plans – and one thing we encourage is to think of it less as a wish-list of Capex upgrades – and more of a chance to fix any holes in the current energy management process. We advocate measures that improve access to energy data: poor data stands out as one of the biggest hurdles to achieving energy and cost savings.
Organisations that take this approach see tangible cost benefits, including:
- A more streamlined approach to energy compliance, reducing the time/cost burden of data gathering and reporting duplication.
- A clear idea of how, when and where energy is being used, that easily flags instances of energy waste and identifies saving opportunities.
Enhancing your ESG profile
Action Plans also play a wider role in meeting the expectations of investors, customers and suppliers. These groups increasingly want to partner with companies that prioritise sustainability, and a well thought out Action Plan is evidence of a commitment that goes beyond compliance.
In a competitive market, the data tells us that sustainability pays. In a recent survey of business leaders, nearly half (47%) saw sustainability action as key to attracting more investment, and 70% cited its value in wider stakeholder relations. 61% of respondents said it was an important factor in attracting and retaining employees, and half cited its value in growing sales, increasing efficiency and reducing costs.
Is the cost of doing nothing holding your business back?
The window for producing ESOS Action Plans was relatively tight this time around, and some organisations may have had no choice but to sacrifice quality for speed, making the implementation phase harder. But the hidden costs of inaction could add up. If you’d like advice on unlocking the financial benefits of your ESOS Action Plan, get in touch with our team.
