SECR Reporting Guide
Comprehensive Streamlined Energy and Carbon Reporting (SECR) guidance for UK businesses. Navigate SECR requirements and integrate with UK SRS reporting.
What is SECR?
Streamlined Energy and Carbon Reporting (SECR) is a UK mandatory reporting framework that requires large companies to report on their energy use and carbon emissions. SECR came into effect for reporting periods beginning on or after 1 April 2019.
SECR Scope and Thresholds
SECR applies to:
- Large companies: Companies that meet 2 or more of the following criteria:
- More than 250 employees
- Annual turnover greater than £36 million
- Annual balance sheet total greater than £18 million
- Large partnerships: Partnerships with more than 250 partners or staff
- Quoted companies: UK quoted companies (regardless of size)
SECR Reporting Requirements
Mandatory Disclosures
- Energy consumption: Total energy consumption in kWh
- Scope 1 emissions: Direct emissions from owned/controlled sources
- Scope 2 emissions: Indirect emissions from purchased energy
- Energy intensity ratio: Energy use per unit of activity
- Methodology: Basis of calculation and data sources
- Previous year comparison: Year-on-year changes
Additional Requirements for Quoted Companies
- Scope 3 emissions: Other indirect emissions (where material)
- Energy efficiency actions: Measures taken to improve energy efficiency
- Annual report inclusion: SECR information in Directors' Report
SECR Calculation Methodology
Energy Consumption
Calculate total energy consumption including:
- Gas consumption (kWh)
- Electricity consumption (kWh)
- Transport fuel consumption (kWh)
- Other fuels (converted to kWh)
Carbon Emissions
- Scope 1: Apply emission factors to fuel consumption
- Scope 2: Apply grid electricity emission factors
- Scope 3: Material categories for quoted companies
Intensity Metrics
Choose appropriate intensity denominators such as:
- Per square metre of floor space
- Per full-time employee
- Per unit of production
- Per £ turnover
SECR Compliance Steps
1. Determine Applicability
Assess whether your organisation meets SECR thresholds for the reporting period.
2. Define Organisational Boundary
Establish reporting boundaries using financial or operational control approach.
3. Collect Energy Data
Gather energy consumption data from all sources within your boundary.
4. Calculate Emissions
Apply appropriate emission factors to convert energy use to CO2 equivalent.
5. Calculate Intensity Ratios
Select and calculate meaningful intensity metrics for your business.
6. Prepare Disclosures
Document methodology, data sources, and prepare SECR statement.
7. Include in Annual Report
Incorporate SECR information in Directors' Report or equivalent.
SECR and UK SRS Integration
SECR provides a foundation for UK SRS compliance, offering:
- Data foundation: SECR data supports UK SRS S2 disclosures
- Process alignment: Similar data collection and calculation methods
- Scope expansion: UK SRS builds on SECR with broader sustainability metrics
- Enhanced governance: UK SRS requires more detailed climate governance
Key Differences
- Scope: UK SRS covers broader sustainability topics beyond energy/carbon
- Detail: UK SRS requires more comprehensive climate risk and transition planning
- Assurance: UK SRS includes limited assurance requirements
- Timeline: Different reporting deadlines and implementation phases
Best Practices
- Data quality: Implement robust data collection and verification processes
- Consistency: Maintain consistent methodologies year-over-year
- Transparency: Clearly document assumptions and limitations
- Integration: Align SECR with broader sustainability reporting
- Continuous improvement: Regularly review and enhance data systems
Get Started with SECR Compliance
Begin your SECR compliance journey by assessing your reporting obligations and establishing energy data collection systems.