Issue - meetings

The Cabinet is requested to consider the agenda report and make the following resolutions as set out below:

1.    Note the Environment Panel’s recommendations as set out in paragraph 9.1.

2.    Approve that the Council continues as a participating authority in a tripartite contract with the LASER Energy Buying Group and enter into a new ‘purchase in advance’ 4 year contract with effect from 1 October 2020.

3.    Subject to Council making funds available when determining the 2020-21 budget spending plans, approve that the Council pays the uplift cost for its electricity supply to become 100% renewable, estimated to be £1,000 per annum.

4.    Subject to Council making funds available when determining the 2020-21 budget spending plans, approve the uplift cost for a 100% renewable gas supply, estimated to be £4,500 for year one of the contract.

5.    Note the Environment Panel’s support for an investigation into the use of Power Purchase Agreements relating to renewable energy in relation to future energy procurement.

RESOLVED

1.    That the Environment Panel’s recommendations as set out in paragraph 9.1 be noted.

2.    That the Council continuing as a participating authority in a tripartite contract with the LASER Energy Buying Group and enter into a new ‘purchase in advance’ 4 year contract with effect from 1 October 2020 be approved.

3.    That subject to Council making funds available when determining the 2020-21budget spending plans, approve that the Council pays the uplift cost for its electricity supply to become 100% renewable, estimated to be £1,000 per annum.

4.    That subject to Council making funds available when determining the 2020-21 budget spending plans, approve the uplift cost for a 100% renewable gas supply, estimated to be £4,500 for year one of the contract.

5.    That the Environment Panel’s support for an investigation into the use of Power Purchase Agreements relating to renewable energy in relation to future energy procurement be noted.

Mrs Plant introduced the report. She explained that the approval would provide a new four year energy framework to secure the bulk of the council’s energy supplies from October 2020. The contracts will replace the council’s existing contracts which expire on 30 September 2020 this year. They seek to achieve annual price certainty and entry into the renewable energy market.  At present 100% renewable energy is not currently available due to Chichester Contract Services Depot at Westhampnett being offline to the gas network. Mrs Plant explained that the Environment Panel had scrutinised the procurement of the contracts and had agreed that they are compliant with the Constitution and provide best value. She then drew attention to the additional recommendation 5 from the Environment Panel.

Mr Wilding commented on the expense of purchasing renewable gas as set out in recommendation 4. Mr Bacon responded and explained that bio methane processing is considerable and costly as it requires the calorific output of the gas to be the same as natural gas entering the network and as such has a certified guarantee of origin.

Decision

The Cabinet then voted to make the resolutions below:

RESOLVED

1.    That the Environment Panel’s recommendations as set out in paragraph 9.1 be noted.

2.    That the Council continuing as a participating authority in a tripartite contract with the LASER Energy Buying Group and enter into a new ‘purchase in advance’ 4 year contract with effect from 1 October 2020 be approved.

3.    That subject to Council making funds available when determining the 2020-21budget spending plans, approve that the Council pays the uplift cost for its electricity supply to become 100% renewable, estimated to be £1,000 per annum.

4.    That subject to Council making funds available when determining the 2020-21 budget spending plans, approve the uplift cost for a 100% renewable gas supply, estimated to be £4,500 for year one of the contract.

5.    That the Environment Panel’s support for an investigation into the use of Power Purchase Agreements relating to renewable energy in relation to future energy procurement be noted.