Issue - meetings

Following on from Minute 114 above, the Cabinet Member for Regeneration presented outline plans for the creation of a Council-owned Energy Services Company (ESCO) specifically for the purposes of producing and supplying renewable energy, energy efficiency and related services across the Borough.

The Cabinet Member referred to the key objectives of an ESCO and sought approval to a commitment of £250,000 from the Invest to Save contingency to support the development of the proposals, which would come forward to Cabinet later in the year.  It was also noted that the further report would explore the need for a Shadow Board to oversee any new arrangements.

Members spoke in general support of the proposals, particularly the involvement of the Borough’s schools in the plans, while it was also acknowledged that any plans needed to be ‘future proof’ in view of the long-term investment that would be required.

Cabinet resolved to:

(i)  Approve the principle to establish an Energy Services Company (ESCO) specifically for the purposes of producing and supplying renewable energy, energy efficiency and related services to schools, the corporate estate, housing and the community subject to detailed business planning and due diligence;

(ii)  Approve the interim mission and objectives of the ESCO to frame detailed business planning as follows:

a)  The mission of the ESCO is to help deliver the Council’s energy and carbon reduction objectives;

b)  The proposed objectives of the ESCO will be to:

·  generate savings and surpluses;

·  create and deliver energy related benefits for the corporate estate, housing and schools;

·  identify and deliver affordable energy projects;

·  reduce fuel poverty;

·  reduce carbon emissions;

·  create wider social and economic benefits for the community;

·  develop local energy expertise to support local economic development.

(iii)  Note that a further report would be submitted to Cabinet later in the year setting out a detailed business case prior to the establishment of the ESCO;

(iv)  Approve the allocation of £250,000 from the Invest to Save budget to fund detailed investment programme feasibility studies, business planning and financial and legal advice as set out within the report;

(v)  Approve, subject to satisfactory detailed feasibility studies and availability of satisfactory funding, the procurement of the following investment projects for direct delivery by the Council and potentially through an ESCO, as detailed in paragraph 2.2.3 of the report:

a)  Street lights LED replacement programme (borough-wide);

b)  Photovoltaic (PV) enabled street columns programme (borough-wide);

c)  Wind turbines programme (subject to Cabinet’s agreement to the locations);

d)  River Roding water turbine scheme;

e)  Barking Town Hall renewable energy and energy efficiency works;

f)  Gascoigne renewable energy and combined heat and power facility;

g)  Photovoltaic panel energy programme (corporate estate and initial HRA dwellings);

h)  Combined Heat and Power programme and associated energy efficiency works to Housing Revenue Account properties subject to HRA financing restrictions;

i)  Children’s centres photovoltaic panel programme;

j)  Heat, power and energy services to the borough’s schools.