Decision details

Decision:

1.    Cabinet notes the current position in relation to the energy efficiency of the Council’s housing stock in “off-grid” areas of the District, and options around works to improve the properties;

2.    Cabinet notes the award of £926k Green Homes Grant to the Council and the use of the Chief Executive’s delegated powers to accept the Grant on behalf of the Council; and

3.    Cabinet approves the award of a contract to Phoenix Gas Services Ltd to undertake the installation of electrical heating and renewable technology to Council owned dwellings for a three year period (with a potential one year extension) to a maximum total value of £7,492,752.00.

Considerations/reasons for decision:

·       The report of the Cabinet Member for Housing and Planning on the procurement of the off-gas heating contract.

·       The Council’s commitment in its Corporate Plan 2020-2023 to provide “Housing that meets the needs of all residents”.

·       The Council has identified around 1200 properties in its housing stock in rural locations with no mains gas supply.

·       The Council will receive a Green Homes Grant of £926k (£850k capital grant and £76.5k project/admin costs), increasing the budget available in 2021/2022 from £3,885,000 to £4,811,000.

·       The delegated decision made by the Chief Executive to formally accept the allocation of grant funding.

·       The deadline for spend of the Grant is 31 December 2021.

·       Three contractors expressed an interest in undertaking the works, with Phoenix Gas Services Ltd ranked overall 1st place in Lot 7 and 2nd

place in Lot 9.

Options considered:

1.    Do nothing – this option was discounted as currently, the minimum energy efficiency standards allowed for rented properties are a minimum of an E rating on their Energy Performance Certificate (EPC). From 2025, a rented property will need to have a certification rating of C or above to ensure homes are more energy-efficient and to reduce carbon waste. As a registered Social Housing provider the Council exempt from these regulations but aspires to meet them.

2.    Use alternative tender and procurement options – alternative procurement methods were discounted due to the tight deadlines for spend of the Green Homes Grant.