Issue - meetings

[Report of the Director for Planning, Regeneration and Development. To be introduced by  the Cabinet member for Economic Development, Soicla Inclusion &Sustainability.To present to Cabinet the proposal for a Decentralised Energy Network serving North Tottenham; to present the business case supporting this; and to seek approval to commence procurement.

The Cabinet Member for Economic Development, Social Inclusion and Sustainability introduced the report which set the proposal to establish a District Energy Network (DEN) for the North Tottenham area to support regeneration in Tottenham.

The report was the culmination of work by the Council over the last 8 years to establish a municipal energy company to challenge energy distribution in the markets, provide residents with affordable electricity and heat whilst keeping to low carbon requirements. The Spurs development has enabled this business case to be taken forward. The stadium would draw power and heat for local delivery to Northumberland Park and High Road West

The Cabinet Member highlighted this exciting opportunity which was not without dependencies and sensitivities linked to the regeneration programme proposed for North Tottenham. The DEN Project would need to achieve the overall objectives and parameters set out in the Business Case and report. Securing external funding towards the project, such as from the Heat Networks Investment Programme run by the Department of Business, Energy and Industrial Strategy would underwrite some of the development of the project and the investment profile for the Council

RESOLVED

1.    To consider the Business Case attached as Appendix 1 in the open report and Appendix 2 in the exempt report setting out the preferred delivery approach for the North Tottenham DEN and demonstrating project viability.

2.    To establish a District Energy Network for the North Tottenham area, subject to recommendations 3) and 4) below.

3.    That Option 2 as set out in paragraphs 6.25 to 6.31 and 6.60 to 6.64 of this report (the 100% Council Owned Special Purpose Vehicle) is the most appropriate delivery structure and gives delegated authority to the Director of Regeneration, Planning and Development in conjunction with the Council’s s151 officer after consultation with the Cabinet Member for Economic Development, Social Inclusion and Sustainability, to refine and finalise the delivery structure. The final structure and design of the SPV will be reported back to Cabinet for approval.

4.    To give delegated authority to the Director of Regeneration, Planning and Development in conjunction with the Council’s 151 officer, after consultation with the Cabinet Member for Economic Development, Social Inclusion and Sustainability, to agree amendments to the Business Case (and the supporting technical and financial models) that may be required, insofar as the overall objectives and parameters of the Business Case can still be achieved (as set out in section 6.18). This will ensure that the project can alter based on key dependencies and sensitivities changing, and that all agreements (including pricing structure) can be put in place to ensure that the business case can be delivered. Any substantial changes in the business case will be reported back to Cabinet for approval. The business case prior to Financial Close including supporting agreements will be reported back to Cabinet for approval.

5.    To facilitate the development of the Business Case including financial model give Delegated Authority to the Director of Regeneration, Planning and Development in conjunction with the Council’s s151  ...  view the full minutes text for item 162