Agenda Item No.
THE VALE OF GLAMORGAN COUNCIL
CABINET: 4TH FEBRUARY, 2013
REFERENCE FROM SCRUTINY COMMITTEE (ECONOMY AND ENVIRONMENT): 15TH JANUARY, 2013
“ PROSIECT GWYRDD PARTNERSHIP - RESIDUAL WASTE TREATMENT (DVSH) -
The Director advised of the progress being made in procuring future residual waste treatment within the Prosiect Gwyrdd Partnership.
Prosiect Gwyrdd was a Partnership of five Councils within South Wales involving ourselves, Cardiff, Caerphilly, Newport and Monmouthshire Councils. The Project had completed the 'Detailed Solutions' stage of the procurement process and the evaluation of the bids had confirmed that there were two strong detailed bids. The bidders, Veolia and Viridor, had been invited through to the 'Final Tender' stage with substantial negotiation still to take place on technical, legal, commercial and financial issues. Following closure of the dialogue and final assessment, a Preferred Bidder would be recommended to the constituent Authorities early in 2013.
The Director advised that as part of the procurement process the Council had initially provided waste profile information to the Prosiect Gwyrdd team (in 2009) to be included within the outline business case. This had been reported to Cabinet on the 3rd June 2009 and Council on 30th June 2009 (Min no C463 refers) and Cabinet had subsequently at that time resolved:
· T H A T the data and assumptions provided for the Council’s waste tonnage profile as detailed in Annex 1 to the report be approved.
· T H A T, in respect of Prosiect Gwyrdd, the Vale of Glamorgan’s Waste Flow Model (Table 2 and Figure 2, Appendix B of Annex 1 to the report) and the resultant Vale of Glamorgan Contract Waste Profile and associated waste tonnage required for the calculation of the guaranteed minimum payment referred to in Section 5 of Annex 1 and which information would be issued to the final two bidders be approved.
· T H A T the Prosiect Gwyrdd Background Note attached as Annex 1 to the report be noted together with the indicative overall Prosiect Gwyrdd contract waste profile and associated waste tonnages to be used to calculate the guaranteed minimum payment which overall profile / tonnage are subject to each other partnering Council approving their respective waste profile and tonnages.
· T H A T authority be delegated to the Director of Environmental and Economic Regeneration, as the Council’s Business Advisor for Prosiect Gwyrdd, in consultation with the Cabinet Member for Visible and Building Services to make minor amendments to the Vale of Glamorgan’s contract waste profiles and associated waste tonnages where such amendments are not substantive.
The report before the Scrutiny Committee highlighted that the procurement decisions, whilst overseen by the Joint Committee, were being taken forward by an officer Project Board with the support of a fully resourced Project Team and Project Director to deliver the complex procurement stages, within the Lead Authority governance model.
The indicative decision timescale for the acceptance of the 'preferred bidder' was detailed as follows:
· Project Board 30th January 2013;
· Public Announcement of the 'preferred bidder' and site location 1st February 2013;
· Joint Committee 7th February 2013;
· Joint Scrutiny Panel 13th February 2013;
· Partnership's Full Council's 26th February to 6th March 2013.
It was noted that a further report would be presented to the Scrutiny Committee following the announcement of the preferred bidder prior to the decision being made at the Vale of Glamorgan Full Council meeting on 6th March as to whether to agree to the contract.
The report also highlighted that since the project’s inception all partnering Councils had contributed equally to the costs of project revenue expenditure after applying the approved level of grant funding.
During discussion a member who had been the previous Chairman of the Joint Scrutiny Panel for Prosiect Gwyrdd prior to the Local Government elections in 2012 advised that, following a two day Call for Evidence on the matter, he had come to the conclusion that he was against the use of incinerator technology and would vote against such technology involved. The Vice-Chairman of the Scrutiny Committee, who was a current Member of the said Scrutiny Panel advised that, although she had been unable to attend the site visits that had been arranged to various technologies, she was aware that Councillors from other Authorities, on the Panel, who she understood had previously had certain reservations, had attended the visits and had been impressed by the technology to be used. Following further consideration of the report Members requested that should the contract be awarded, they be afforded the opportunity to view the agreed technology firsthand.
In noting the financial commitment of the Authority and the contents of the report, it was subsequently
(1) T H A T the procurement process to date be noted.
(2) T H A T a further report be presented to the Scrutiny Committee in February 2013 detailing the identity of the preferred bidder and the proposed inter-Authority agreement between all partners for the contract term.
(3) T H A T the report be referred to Cabinet for consideration.
Reasons for recommendations
(1) To update Committee on the project as it progresses to the final stages of procurement.
(2) To allow this Committee to consider matters further prior to a report on the project being presented to the meeting of Council in March 2013.
(3) To update Cabinet and to advise of any comments made by this Committee on this progress report.”
Attached at Appendix A - Report to Scrutiny Committee (Economy and Environment): 15th January, 2013