Issue - items at meetings - Corporate Energy Procurement - Gas Contract

38.1

The Cabinet considered a report of the Director of Finance & Resources seeking authority to delegate approval powers to the Director of Finance and Resources following a tender exercise in compliance with the European Union Public Procurement Directive to re-let the Brighton and Hove City Council Gas contract (for copy see minute book).

38.2

In response to questions from Councillor Mitchell, Councillor Caulfield commented that the impact of fuel price increases for tenants would be mitigated by the ongoing rent restructuring process. Options were also being considered to combat fuel poverty for tenants; including the provision of more energy efficient boilers and improved insulation. These improvements were being developed in consultation with the Sustainability Team and their advice in minimising consumption and offering advice on sustainable lifestyles would be beneficial.

38.3

In relation to a point raised by Councillor Mitchell about bringing pressure to bear on utility companies demanding that lower income customers use pre-payment methods, the Chairman commented that Government should be lobbied on the issue.

38.3

RESOLVED – Having considered the information and the reasons set out in the report, the Cabinet accepted the following recommendations:

(1) That a contract is awarded to the best gas bid, via the most beneficial procurement route following appraisal and recommendations from the council’s energy adviser.

 (2) That the current OJEU procurement route continues whilst options are retained to place a contract through the most beneficial procurement route

(3) That the Director of Finance & Resources be given delegated powers, following consultation with the Cabinet member, Leader, and Opposition Spokesperson to award the contract and take all other steps necessary for the implementation of the proposals.

(4) That the Director of Adult Social Care and Housing be authorised to increase gas heating service charges for council tenants to reflect the increase in contract prices from 1st October 2008.