SECR — Streamlined Energy and Carbon Reporting

Streamlined Energy and Carbon Reporting (SECR) is a UK reporting framework that requires certain businesses to disclose information about their energy consumption, greenhouse gas emissions and energy-efficiency activities.

For qualifying organisations, SECR forms part of the annual reporting process. Understanding whether your business is within scope, what information must be reported and how to prepare accurate data is essential for maintaining compliance.

At CN Investments, we help businesses understand their SECR obligations, prepare the relevant reporting information and identify opportunities to improve energy efficiency and reduce carbon emissions.

What Is SECR?

SECR stands for Streamlined Energy and Carbon Reporting.

The framework was introduced to improve transparency around corporate energy use and carbon emissions. It replaced the Carbon Reduction Commitment (CRC) Energy Efficiency Scheme and broadened reporting requirements for qualifying organisations.

SECR requires businesses to report relevant energy consumption and associated greenhouse gas emissions, while also describing the principal measures they have taken, or intend to take, to improve energy efficiency.

Although SECR is a statutory reporting requirement, it can also provide valuable insight into operational performance, energy costs and opportunities for carbon reduction.

Who Needs to Comply with SECR?

SECR generally applies to:

• Quoted companies
• Large unquoted companies
• Large limited liability partnerships (LLPs)

For large unquoted companies and LLPs, an organisation will generally need to meet at least two of the following three criteria:

• More than 250 employees
• Annual turnover of more than £36 million
• Balance sheet total of more than £18 million

The detailed application of the legislation depends on the organisation’s circumstances, and certain exemptions may apply.

Businesses should assess their reporting obligations carefully rather than relying on a single financial or operational measure.

What Does SECR Require?

The information required depends on the type of organisation and the applicable reporting requirements. However, qualifying businesses generally need to report information covering:

Energy Consumption

Businesses must report relevant energy consumption during the financial year.

This may include:

• Electricity
• Gas
• Transport fuel
• Other relevant energy sources

The precise scope depends on the organisation’s activities and circumstances.

Greenhouse Gas Emissions

Businesses must report the greenhouse gas emissions associated with their relevant energy consumption.

These figures are generally calculated using appropriate government-published greenhouse gas conversion factors.

Accurate energy data and consistent calculation methods are essential for reliable reporting.

Energy-Intensity Ratio

Qualifying organisations generally need to report an energy-intensity ratio.

This compares energy consumption against an appropriate business metric, such as revenue, floor area, production output or another relevant measure.

The most suitable ratio depends on the organisation’s activities.

Energy-Efficiency Actions

Businesses must describe the principal energy-efficiency measures they have taken, or intend to take.

These may include:

• LED lighting upgrades
• Heating and cooling optimisation
• Building insulation
• Energy-efficient equipment
• Energy monitoring systems
• Renewable energy installations
• Improvements to operational processes

The report should provide meaningful information about the measures rather than simply making general environmental statements.

How Is SECR Reported?

SECR information is generally included within the relevant annual reporting documentation.

For many qualifying companies, this will form part of the directors’ report or strategic report, depending on the organisation’s circumstances and the applicable requirements.

The reporting process should be coordinated with the company’s wider annual reporting cycle to ensure the required information is prepared and included within the relevant statutory deadlines.

What Information Do Businesses Need to Collect?

Preparing for SECR starts with understanding the organisation’s energy use and identifying the data required for the reporting period.

Businesses may need to collect:

• Electricity consumption
• Gas consumption
• Transport fuel data
• Other relevant energy consumption
• Utility bills and meter readings
• Supplier statements
• Fleet or fuel records
• Relevant business metrics
• Details of energy-efficiency measures

Where information is held by landlords, facilities managers or other third parties, additional coordination may be required.

Starting early helps identify missing data and resolve inconsistencies before the report is prepared.

Common SECR Reporting Challenges

Businesses often encounter practical challenges when preparing their SECR information.

Incomplete Energy Data

Missing bills, estimated readings or information held across different departments can make reporting more difficult.

Multiple Sites or Energy Sources

Organisations with several premises or varied operations may need to coordinate data from multiple sources.

Incorrect Emissions Calculations

Using inappropriate conversion factors or inconsistent units can affect the accuracy of reported emissions.

Unclear Reporting Scope

Businesses need to understand which energy sources and activities fall within the relevant reporting requirements.

Late Preparation

Leaving data collection until close to the annual reporting deadline can create unnecessary pressure and limit the time available to resolve issues.

SECR and Energy Efficiency

SECR is not simply about reporting historical energy consumption. It can also help businesses identify opportunities to improve efficiency and reduce operating costs.

By reviewing energy use and understanding where consumption occurs, organisations may be able to identify practical improvements such as:

• Reducing unnecessary energy consumption
• Improving building performance
• Upgrading inefficient equipment
• Optimising heating and cooling
• Improving energy management
• Supporting longer-term carbon reduction plans

For businesses developing a wider Net Zero strategy, SECR can provide a useful foundation for understanding current energy performance.

How CN Investments Can Help

Preparing an SECR report requires accurate data, appropriate calculations and a clear understanding of the relevant reporting obligations.

At CN Investments, we support businesses with the practical aspects of SECR reporting, helping them understand their obligations, organise relevant information and prepare clear, accurate reporting content.

Our approach focuses on:

• Understanding your reporting requirements
• Reviewing relevant energy data
• Supporting emissions calculations
• Preparing reporting information
• Identifying opportunities for improved energy efficiency
• Connecting SECR with wider carbon reduction objectives

Whether you are preparing your first SECR report or reviewing your existing reporting process, professional support can help you approach the requirements with confidence.

Contact CN Investments to discuss your SECR requirements.

Explore Our SECR Knowledge Centre

Continue learning about Streamlined Energy and Carbon Reporting with our supporting articles:

What Is SECR? A Guide to Streamlined Energy and Carbon Reporting

A straightforward introduction to SECR, including who needs to comply, what must be reported and why the framework matters.

Read: What Is SECR?

SECR Reporting Requirements: What Businesses Need to Include

A practical guide to the information businesses need to collect and report, including energy consumption, emissions, intensity ratios and energy-efficiency actions.

Read: SECR Reporting Requirements

Frequently Asked Questions

What does SECR stand for?

SECR stands for Streamlined Energy and Carbon Reporting.

Who is required to comply with SECR?

SECR generally applies to quoted companies, large unquoted companies and large LLPs, subject to the detailed requirements and any applicable exemptions.

What does a SECR report include?

A SECR report generally includes relevant energy consumption, associated greenhouse gas emissions, an energy-intensity ratio and information about principal energy-efficiency actions.

Is SECR the same as ESOS?

No. SECR and ESOS are separate UK energy and carbon compliance frameworks. SECR focuses on annual energy and carbon reporting, while ESOS is an energy assessment and compliance scheme for qualifying large organisations.

When does SECR reporting take place?

SECR reporting is generally completed as part of the organisation’s annual reporting cycle, within the applicable statutory deadlines.

Can CN Investments help with SECR?

Yes. CN Investments can support businesses with understanding their SECR obligations, preparing relevant reporting information and identifying opportunities to improve energy efficiency.

Conclusion

SECR provides qualifying organisations with a structured way to report energy consumption, greenhouse gas emissions and energy-efficiency activity.

By preparing early, collecting accurate data and understanding the applicable requirements, businesses can make the reporting process more manageable while gaining valuable insight into their energy performance.

If your organisation needs support with SECR, CN Investments can help you understand the requirements and prepare for compliant reporting.