Agenda item - Fleet Procurement Options

Report of the Executive Director, Economy, Environment & Culture

1)           That the Committee approves Option 4 as the approach to procurement of the council fleet as set out in appendix 1. This approach to include consideration of opportunities to reduce the need to travel, and to incorporate e-bikes and e-cargo bikes into the fleet.

2)            That the Committee agrees that this approach should be developed as part of a council-wide Fleet Strategy which will be brought to this Committee and to Policy & Resources Committee for final approval.

3)           That the Committee notes the requirement for additional borrowing to purchase a sufficient number of new vehicles within City Environmental Management, to meet service requirements, which will be based on a business case and will be considered as part of budget setting.

49.1      The Committee considered a report of the Executive Director, Economy, Environment & Culture that sought approval for the approach towards the future procurement of the council fleet. If agreed that will form the basis of a council wide Fleet Strategy and Replacement Programme which would be developed over the next six months.

49.2      Councillor West stated that it was important to note in relation to the carbon cost calculation detailed in the report that this accounted for just fuelling and maintenance of the vehicle and not the energy used to make it. That would be an important point of consideration and potential refinement going forward.

49.3      On behalf of the Green Group, Councillor West moved a motion to amend recommendation 2.1 as shown in bold italics below:

2.1    That the Committee approves Option 4 as the approach to procurement of the council fleet as set out in appendix 1. This approach to include consideration of opportunities to reduce the need to travel, and to incorporate e-bikes and e-cargo bikes into the fleet.

49.4      Introducing the motion, Councillor West stated that whilst he welcomed the report that would update and ageing fleet that was costly in maintenance and staff time and resource, successive Administrations had waited too long to bring about that action. Furthermore, Councillor West stated there was no information in the report on reducing the need to travel.

49.5      Councillor Lloyd formally seconded the motion and referred to the huge potential of hydrogen fuel cells.

49.6      Councillor Wares stated that the report was an attempt to fix a dire situation the City Environment Directorate had found itself in due to lack of funding and forward planning. Councillor Wares noted that the options set out in Appendix 1 were all costed except the option the committee was being asked to agree. Councillor Wares stated that the proposals were subject to the budget setting process however, there was no indication of the outcome of that process and it could potentially lead to an absence of funding that would in turn lead to a collapse of the strategy. Councillor Wares asked if consideration had been given to refurbishing or retrofitting the fleet with Euro 6 engines that may be more cost effective and have a smaller carbon footprint than replacing the fleet.

49.7      The Assistant Director, City Environment clarified that more analysis on cost was required and that would be ready for the budget setting process. It was likely that borrowing would be required to purchase fleet and that savings would meet that cost. The Head of Fleet Management explained that in relation to refurbishment, discussions were underway with three companies on specification and cost and that would be an option considered. Furthermore, officers were considering options to bring in an in-house repair mechanism to further reduce costs and speed up repair times.

49.8      Councillor Wilkinson welcomed the report adding that it was an indication of the Administration’s commitment to tackling poor air quality, climate change and reducing carbon emissions.

49.9      Councillor Moonan welcomed the report that sat within the Administration’s wider work and agenda towards moving to carbon neutrality.

49.10   The Chair moved the motion to the vote that passed.

49.11   The Chair then put the recommendations, as amended to the vote that were agreed.

49.12   RESOLVED-  

1)           That the Committee approves Option 4 as the approach to procurement of the council fleet as set out in appendix 1. This approach to include consideration of opportunities to reduce the need to travel, and to incorporate e-bikes and e-cargo bikes into the fleet.

2)            That the Committee agrees that this approach should be developed as part of a council-wide Fleet Strategy which will be brought to this Committee and to Policy & Resources Committee for final approval.

3)           That the Committee notes the requirement for additional borrowing to purchase a sufficient number of new vehicles within City Environmental Management, to meet service requirements, which will be based on a business case and will be considered as part of budget setting.