The Vale of Glamorgan Council
Cabinet Meeting: 2 November, 2015
Cabinet Report of the Leader
Approval for a Variation in Solar PV (photovoltaic) contract
Purpose of the Report
To inform Cabinet of changes to the Solar PV contract that was approved in January 2015.
That the contents of the report be noted, and be considered alongside the Part II report later in the agenda.
Reason for the Recommendation
To allow the Part 1 and Part II reports to be considered together.
On 26th January 2015 Cabinet approved the development of a detailed criteria and conditions for use of the Energy Fund in order to improve the energy and water efficiency of Council buildings.
It was agreed that work should be undertaken at four buildings and the work was tendered on this basis.
Relevant Issues and Options
After the contract was awarded the government published a consultation document proposing to drastically cut the feed in tariff (FIT) by around 70% from 1st January 2016.
Whilst it is possible that the reduction in the FIT would encourage installers to price more keenly it is unlikely that in the short term any future solar PV projects would satisfy the 10 year simple pay back criteria of the ECRF. Hence installations need to be commissioned and registered with a FIT provider before the end of December 2015.
Funds within the ECRF allow the capacity of PV for installation to be increased before the drop in FIT tariff happens in January 2016. The proposed capacity for the Alps Depot could be increased from 50 kW to 100 kW and a new building, Cowbridge Comprehensive (50 kW) could be added.
Resource Implications (Financial and Employment)
There are sufficient resources within the ECRF fund to cover the increase in contract value.
For data protection reasons the details of how this work will be delivered is contained within the Part II report to this agenda .
Sustainability and Climate Change Implications
Not all of the PV generation will directly contribute to a reduction in the reported emissions associated with the Council as some of the electricity will be exported. However both generated and exported electricity will contribute to the income for the Council.
The increased solar capacity will assist the Council in meeting its annual carbon dioxide emission reduction targets. The resulting improvements in the Council infrastructure will assist the Council in meeting some of the 3% per annum carbon dioxide emission reduction target.
Legal Implications (to Include Human Rights Implications)
A formal document evidencing the agreed variation will need to be prepared and executed.
Crime and Disorder Implications
Equal Opportunities Implications (to include Welsh Language issues)
This proposal will assist in delivering the Corporate Plan outcome that 'current and future generations of Vale residents and visitors enjoy the built and natural environments of the Vale of Glamorgan and actively protect and maintain them. Within the Corporate Plan there is an objective under this outcome to 'Review and update the Council's Carbon Management Plan to reduce emissions from council buildings, street lighting and council vehicles. This proposal will assist in meeting that objective.
Policy Framework and Budget
This is a matter for Executive decision.
Consultation (including Ward Member Consultation)
Relevant Scrutiny Committee
Energy Manager -David Powell
Operational Manager (Property) - Jane Wade
Operational Manager Accountancy - Carolyn Michael
Head of Finance - Carys Lord
Quantity Surveyor - Dafydd Brown
Procurement Officer - Yvette Campbell
Group Auditor - Robert Waldron
Jane Wade - Operational Manager (Property Services)