Agenda item

[Report of the Director for Housing, Regeneration and Planning. To be introduced  by the Cabinet Member for Environment, Transport, and the Climate Emergency and Deputy Leader of the Council]

This report sets out the spending strategy for the carbon offset contributions collected through Section 106 monies from planning applications, to be made available for community carbon reduction projects.

The Cabinet Member for Environment, Transport and the Climate Emergency and Deputy Leader introduced the report which proposed a strategy to spend £0.390m of the collected carbon offset contributions as part of a new Community Carbon Fund over the next four and a half years. This fund would deliver collaborative projects across the borough between the Council and the community.

The Cabinet Member continued to set out the context for this decision which was reducing carbon emissions through new development which was an essential element in the Haringey Climate Change Action Plan (HCCAP) and the need to see developments achieving their carbon reductions on site.

It was further noted that approximately 90% of the borough’s carbon emissions came from sources outside the Council’s direct control. Therefore empowering, supporting, and publishing community-based action was vital for the Council to share best practice and enable grassroot projects to succeed; further aligning with the Council’s aim of collaborative working in co-production with the community. This decision would also align with the Council’s wider community wealth building work.

The following information was provided in response to questions from Cllr Palmer:

-       In relation to the £180k collected from carbon offset contributions, this was being used for fuel poverty relief and this programme was already in progress

-       The selection process for the Community Carbon Fund Allocation Panel was to be resolved, going forward. The intention was to engage with residents at the very start of the process. Cllr Hakata agreed to provide Cllr Palmer with the details of the selection process, including whether this would be cross party, once this was more fully understood and agreed.

-       Support to smaller groups for bid proposals was important and the intention was to proactively go out in the community, working with other Cabinet colleagues to share and develop knowledge on access to this fund. The Cabinet Member agreed to inform Cllr Palmer once an approach for this was established.

RESOLVED

1. To approve the use of £0.390m of the carbon offset monies collected under s106 obligations for the Haringey Community Carbon Fund and its administration.

2.   To agree to the first four-year allocation of funds from the Community Carbon Fund:

a. With a total spend of £390,000, the allocation over four financial years is proposed at:

i.          2021/22: £30,000 – scheme design, set up and advertising

ii.         2022/23: £105,000 – up to £90k initial community grants, £15k administration and advertising

iii.        2023/24 to 2025/26: Three further financial years of £85,000 grants per annum - £70,000 grants for the community, £15,000 administration and advertising

b.         To agree that where funds are not fully spent at the end of each year unspent funds will be rolled over to the next spending year, that funding could be transferred between funding years to fund more expensive projects, and that funding from other sources could be used to boost projects.

iii)        To agree that the decision to allocate the annual funding to specific carbon reduction bids in this period will be delegated to the Assistant Director Planning, Building Standards & Sustainability in consultation with the Cabinet Member for Environment, Transport and the Climate Emergency drawing on the advice of the Community Carbon Fund Allocation Panel.

Reasons for decision

Allocating the carbon offsetting funds to community schemes will deliver Objective Com2 of the HCCAP which commits to “empower and enable community-owned projects to deliver carbon reduction”, with a specific action under Com2 to set up a community energy fund. Grants to local community organisations will encourage residents, community groups and local businesses to live and operate more sustainably. Our residents and community groups are well-placed to identify, set up and run carbon reduction projects, whilst developing their skills. Funding will enable organisations to have a wider reach, with more projects to be coordinated and delivered across the borough.

The borough’s community groups can also use this funding to access and match fund external funding streams for carbon reduction. Examples include the National Lottery and the GLA’s London Community Energy Fund.

Alternative options considered

Do nothing, accumulate a larger pot of funds to spend at a later date

Accumulating a larger sum of the remaining money would enable spending on larger community projects in the borough at a later stage. At this time, the £390k is considered sufficient to kick-start the first four-year programme of community carbon reduction projects.

This option was rejected as there is a time pressure to spend the collected s106 money. Some s106 clawback clauses enable developers to request financial contributions to be paid back if the Council has not yet spent the money. The first collected contribution of £4,500 is set to expire in July 2021, and the second contribution in September 2022.

The proposal reflects the urgency of the Climate Emergency and adopted HCCAP. Allowing community groups to help them scale up their engagement and help the borough to get to the net zero carbon target by 2041.

            Alternative allocation of funds

The collected s106 money could also be allocated to alternative carbon reduction initiatives (set out in paragraph 6.3). These were ruled out due to:

Projects must be ‘additional’, demonstrating that they would not happen without this funding. Funding is a key barrier for community projects.

There is currently significant Government funding to retrofit public buildings, which the Council has secured over £4m in the last year.

The carbon offset funds are well suited to benefit community groups, due to:

•The relatively small amount of funding available, so would be unlikely to deliver the costs of significant project requirements.

This programme could unlock existing carbon reduction community funds set up by regional and national government that require match funding.

Funding was a key barrier for action during the HCCAP engagement period and this approach was recommended this approach.