Issue - meetings

Report by Michael Hudson, Service Director – Finance and Jacqui White, Service Director – Business Services.

Cllr Stuart Wheeler presented a report which sought to explain the Council’s current energy supply arrangements which would end 31 March 2014, the work undertaken to establish the options and identify the best value procurement solution.  Cabinet’s views were sought on proposals to support the award of contracts to secure supply for a period of up to three years until 31 March 2017.

The report concluded that the Council and its partners were best served by procuring energy supplies from 1 April 2014 through entering into a contract with a Public Buying Organisation by 1 October 2013, implementing a locked pricing strategy and specifying further service levels in support of best value. It was noted that details of the electricity and gas opportunity assessments were recommended to be considered in private as they included exempt information.

The report detailed the various options open to the Council.

Cllr Stuart Wheeler thanked officers in particular Greg Lewis for a thorough and detailed piece of work on what was a very complex area.

Public participation

Mr Michael Sprules suggested that it might be cheaper to keep street lights on continuously as he had been given the impression that the energy used to switch them on an off was greater and therefore more expensive than leaving them on. It was however explained that with modern technology this was no longer the case.

Resolved:

(a)       That Cabinet agree to procure its energy requirements for council operated buildings and some schools, using a locked pricing strategy, through a PBO pre-approved framework for a maximum of a three year period from 1 April 2014 through to 31 March 2017.

(b)      That Cabinet give delegated authority to the Service Director, Business Services, in consultation with the Cabinet Member for Business Services, to have executed all necessary documents required for the Council to join an appropriate energy supply framework.

(c)       That Cabinet acknowledge the complexity of the energy market and resolve that in advance of the end of the new agreement, the council seek independent professional advice to develop an assessment of our energy requirements and associated options and recommendation for future procurement.

Reason for decision

To secure the council’s energy supplies from 1 April 2014 and deliver best value for the council and any partners that opt-in.