Issue - meetings

Report of Climate Change Programme Manager

Purpose of report

To provide an update to the Executive on the funding attached to the Public Sector Decarbonisation Scheme (PSDS), allocate resources and implement the delivery of the associated building decarbonisation works in line with the Council's Strategic Priorities and carbon emissions reduction to achieve CDC’s Carbon Net Zero 2030 target.

Recommendations

The Executive resolves:

1.1           To proceed with the implementation of grant funding of £ 1,099,862 from the Public Sector Decarbonisation Scheme (PSDS) 4 as awarded by Salix Finance.

1.2           To approve an increase in the capital programme of £1,099,862 in line with the level of grant award, profiled in line with the timetable for receipt of the grant.

1.3           To reprofile the Net Zero Capital Projects budget to meet the match funding contribution of £350,911.40 and a further £210,000 to support deliver of the PSDS programme to fund:

1.3.1     Property team capacity and budget resource (personnel and funding) to manage procurement, contracts, installation oversight, and maintenance.

1.3.2     Capacity and budget resource (personnel and funding) to address

outstanding rectification works from the previous PSDS-funded projects.

1.4           To note the financial implications associated with this report, including that the profile of grant receipts is not flexible and so any slippage in the project will result in a risk that the council’s contribution to the scheme increases.

Resolved

(1)            That it be agreed to proceed with the implementation of grant funding of £ 1,099,862 from the Public Sector Decarbonisation Scheme (PSDS) 4 as awarded by Salix Finance.

(2)            That an increase in the capital programme of £1,099,862 in line with the level of grant award, profiled in line with the timetable for receipt of the grant, be approved.

(3)            That the Net Zero Capital Projects budget be reprofiled to meet the match funding contribution of £350,911.40 and a further £210,000 to support deliver of the PSDS programme to fund:

·       Property team capacity and budget resource (personnel and funding) to manage procurement, contracts, installation oversight, and maintenance.

·       Capacity and budget resource (personnel and funding) to address

outstanding rectification works from the previous PSDS-funded projects.

(4)            That the financial implications associated with the acceptance of the Public Sector Decarbonization Scheme 4 Grant, including that the profile of grant receipts is not flexible and so any slippage in the project will result in a risk that the council’s contribution to the scheme increases, be noted.

The Climate Change Programme Manager submitted a report to provide an update to the Executive on the funding attached to the Public Sector Decarbonisation Scheme (PSDS), allocate resources and implement the delivery of the associated building decarbonisation works in line with the Council's Strategic Priorities and carbon emissions reduction to achieve CDC’s Carbon Net Zero 2030 target.

In response to Executive member comments regarding the timescales and arrangements should a site not come forward, the Portfolio Holder for Greener Communities, Corporate Director Communities Climate Change Programme Manager explained that there was a three-year planned programme of work and a risk register would be set up as part of the management of the project. Confirmation had been received from three of the sites and there was wider work in the Climate Action Plan so there were contingency schemes to ensure use of the grant was optimised.   

Resolved

(1)            That it be agreed to proceed with the implementation of grant funding of £ 1,099,862 from the Public Sector Decarbonisation Scheme (PSDS) 4 as awarded by Salix Finance.

(2)            That an increase in the capital programme of £1,099,862 in line with the level of grant award, profiled in line with the timetable for receipt of the grant, be approved.

(3)            That the Net Zero Capital Projects budget be reprofiled to meet the match funding contribution of £350,911.40 and a further £210,000 to support deliver of the PSDS programme to fund:

·       Property team capacity and budget resource (personnel and funding) to manage procurement, contracts, installation oversight, and maintenance.

·       Capacity and budget resource (personnel and funding) to address

outstanding rectification works from the previous PSDS-funded projects.

(4)            That the financial implications associated with the acceptance of the Public Sector Decarbonization Scheme 4 Grant, including that the profile of grant receipts is not flexible and so any slippage in the project will result in a risk that the council’s contribution to the scheme increases, be noted.

Reasons

Accepting the PSDS funding offers a cost-effective and timely opportunity to make meaningful progress toward the Council’s Strategic Priorities and Carbon Net Zero 2030 target. The projects supported by this funding will make our estate more energy efficient, reduce long-term energy costs, and demonstrate leadership in sustainability across the district.

The Executive is therefore recommended to approve the acceptance of the PSDS grant and support the delivery of the funded projects, enabling timely mobilisation and ongoing oversight.

Alternative options

Option 1: Do Nothing: Rejected due to continued reliance on high-carbon heating systems, missed opportunity for grant funding, and failure to meet internal climate targets.

Option 2: Delay Decision: Rejected due to time-sensitive nature of funding acceptance and delivery deadlines imposed by Salix Finance.

Option 3: Fund Through Council Capital Only: Rejected due to high capital cost burden and absence of external match-funding opportunity.