Energy Company Obligation (ECO)

The Energy Company Obligation (ECO) is a government scheme to obligate larger suppliers to deliver energy efficiency measures to domestic premises in Britain.

Obligation periods

We have now published the final report for Energy Companies Obligation (referred to as ECO1), which ran from January 2013 to March 2015. The report details our final determination of energy companies’ achievement against their obligations.

The new obligation period, known as ECO2, launched on 1 April 2015. It will run for the next two years to 31 March 2017.  It extends the original lifetime of the scheme which ended on 31 March 2015.

ECO targets

Suppliers are allocated a proportion of the overall ECO targets, depending on their relative share of the domestic gas and electricity market. Suppliers achieve their obligations by delivering energy efficiency measures at domestic premises. ECO has three obligations:

  1. Carbon Emissions Reduction Obligation
    Under the Carbon Emissions Reduction Obligation, obligated suppliers must promote ‘primary measures’, including roof and wall insulation and connections to district heating systems. Other ‘secondary measures’, which improve the insulating properties of a premises can also be installed at the same premises as primary measures.
  2. Carbon Saving Community Obligation
    Under the Carbon Saving Community Obligation, obligated suppliers must promote insulation measures and connections to district heating systems in areas of low income. The CSCO target has a sub-obligation, which requires that at least 15% of a supplier’s CSCO must be achieved by promoting measures to low income and vulnerable households in rural areas or deprived rural areas.
  3. Home Heating Cost Reduction Obligation
    Under the Home Heating Cost Reduction Obligation, obligated suppliers must promote measures which improve the ability of low income and vulnerable households (the ‘affordable warmth group’) to heat their homes. This includes actions that result in heating savings, such as the replacement or repair of a boiler.

Before ECO

ECO replaces two previous schemes, the Carbon Emissions Reduction Target (CERT) and the Community Energy Saving Programme (CESP). You can find out more about them in our section on previous energy efficiency schemes.

Publications and updates

  • Published: 17th Nov 2015
  • Agendas, minutes and presentations
  • 2 Associated documents
View the slides and minutes from the latest ECO Stakeholder Delivery Group (held on 29 October).

  • Published: 30th Sep 2015
  • Reports & plans
  • 1 Associated documents
The final report for the Energy Companies Obligation (ECO1) which ran from January 2013 to March 2015.

  • Published: 31st Mar 2015
  • News
  • 0 Associated documents
Please be advised that the ECO Register will be unavailable on the dates indicated in this publication due to essential maintenance.

  • Published: 2nd Mar 2015
  • Decisions
  • 3 Associated documents
We have now published a document which summarises the responses we received from stakeholders on the Energy Company Obligation 2015-2017 (ECO2): ECO2.2 Consultation.

  • Published: 14th Jan 2015
  • Consultations & responses
  • 2 Associated documents
Response to our consultation on specific HHCRO requirements

  • Published: 4th Dec 2014
  • Closed: 21st Jan 2015
  • Consultations & responses
  • 36 Associated documents
Consultation on how we propose to administer some of the changes to Energy Company Obligation (ECO) for the next obligation period (1 April 2015 to 31 March 2017), in line with the ECO Order 2014 .

  • Published: 19th Nov 2014
  • Guidance
  • 0 Associated documents
An online tool to help energy companies, the wider supply chain and consumers to identify areas that may be eligible for the installation of energy efficiency measures under the Carbon Savings Community Obligation element of the Energy Companies...

  • Published: 17th Oct 2014
  • Closed: 1st Dec 2014
  • Consultations & responses
  • 21 Associated documents
This consultation is seeking views on the proposed changes to the Home Heating Cost Reduction Obligation (HHCRO), and is part of a broader consultation period for our ECO2 Guidance for Suppliers.