Agenda item

Award of Electrical Inspection Reports Contract 2024 - 2029

Minutes:

The report sought approval in accordance with CSO. 9.07.1 (d) to award a contract for up to five years for the provision of planned maintenance, repairs and testing Electrical Installation Condition Reports (EICR) compliance for domestic electrical and communal electrical distribution systems.

 

 

The Cabinet Member RESOLVED

 

 

1. To approve the award of a contract and associated expenditure for the provision of planned maintenance, repairs and testing of Electrical Installation Condition Reports (EICR) for domestic and communal electrical distribution systems for an initial two (2) years, plus up to three (3) annual extensions of one (1) year each (total maximum five (5) years), for a total maximum contract value of £5,893,605.30, subject to contract requirements with a proposed start date of 1st July 2024, a JCT Measured Term 2016 will be used.

 

2. To delegate the three annual extensions of one year each, to the Director of Placemaking & Housing in consultation and agreement with the Cabinet Member for Housing and Planning (Deputy Leader).

 

 

 

Reasons for decision

 

Haringey implemented 2 temporary EICR contracts in September 2022 to complete the backlog of overdue and non-compliant EICRs, which were subsequently self-reported to the Regulator For Social Housing and committed to completing via a Voluntary Undertaking in April 2023.

 

These contracts were coming to an end in March 2024 and a new contract was required to be put in place to continue with the EICR programme.

 

The 18th Edition Wiring Regulations - IET BS7671 required landlords to undertake regular electrical condition reports and recommend that they were undertaken at least every 5-years, or upon new tenancies, within homes, and communal areas.

 

Haringey had at the time of writing the report, 15,023 dwellings and 789 communal systems (15,812 total) that require periodic inspections at least once every 5 years. These numbers would fluctuate based on changes in stock and management responsibility, e.g. sales, acquisitions, and demolition. Therefore, under the contract the Council required on average to undertake 3159 inspections every year. There were also, approximately 350 voids per year that also required testing when a new tenancy was commenced. However, this was undertaken by the voids team and was funded separately, through the voids budget.

 

The Council did not undertake EICRs in leasehold properties and there were no leasehold implications for communal tests as the costs of each inspection, as detailed in the Exempt part of the report, once every 5 years, was significantly below the annual threshold for a Qualifying Long-Term Agreement. Leaseholder contributions to costs for communal testing would be re-charged through normal service charges and were below the S20 consultation threshold. Any major works resulting would be consulted on separately as part of a major works or planned programme consultation.

 

Haringey did not currently have the in-house resource capacity and capability to deliver the required programme of EICRs alongside the level of responsive repairs and voids works due to staff turnover. However, Haringey would continue to deliver the electrical responsive repairs through its in-house team and would continue to review the potential for bringing EICRs and other works back in house as and when it could recruit the required resources.

 

Haringey needed to maintain the current programme of EICRs through external contractors under the new contract to ensure the Council maintained compliance with the regulations and to minimise the risk to residents, staff, and properties from electric shock and/or fire, due to properties without a valid EICR. 4.8 Valid electrical inspection condition reports enable us to demonstrate compliance with regulatory requirements, by identifying and/or preventing significant electrical hazards. It also supported the requirements of the Building Safety Bill 2022 and The Fire Safety Act 2021, ensuring they did not contribute to the risk and spread of fire in multi-storey, multi-occupancy rented accommodation.

 

Valid electrical inspection condition reports enable the Council to demonstrate compliance with regulatory requirements, by identifying and/or preventing significant electrical hazards. It also supported the requirements of the Building Safety Bill 2022 and The Fire Safety Act 2021, ensuring they did not contribute to the risk and spread of fire in multi-storey, multi-occupancy rented accommodation.

 

 

Alternative options considered

 

Do nothing. This would mean that the current contract would expire, and the Council would not be able to undertake the required 5 yearly testing programme. Furthermore, it would leave the residents subject to living in buildings where there could be electrical safety issues that go unrecorded and unremedied if the Council did not undertake electrical inspections and improvement works. In addition, the Council would not be compliant with the Electrical Regulations, and could be found to be in breach of the Regulator for Social Housing’s Home Standard.

 

Extend the current contract. This was legally possible under the Council’s constitution and Cabinet authority; however, it was not viable as this was initially procured and awarded on a fixed term basis and has already been extended following Cabinet approval on the basis that we would tender a longer-term contract to replace it.

 

Undertake all the work in-house. This option was not currently viable due to the current lack of specialist skills available in the market for Haringey to recruit. However, this was the intention in the longer-term and will be kept constantly under review.

 

Supporting documents: