Agenda item

*RESOLVED

That Cabinet delegate approval to the Service Director for Finance, in consultation with the Service Director for Economic Growth and the Deputy Leader, to carry out the procurement and award of a new energy contract to commence on 01/04/2023.

REASONS FOR DECISION

1.   The entering of a contract with a value above £100,000 is an Executive function of the Cabinet.

2.   The procurement of Energy is currently highly variable, with daily market price and supplier fluctuations. Best value for money would be achieved for the Council through being able to make an immediate decision on the tender price offered on the day. It is considered very unlikely that in the current situation a price could be offered and held for the time it would take to make the appropriate representations to Cabinet. An officer delegation is considered the most effective way to secure the best contract available at the time.

The Interim Service Director for Property and Technical Services presented a report setting out the process for procuring a new energy supplier and recommending that approval be delegated to the Service Director for Finance, in consultation with the Service Director for Economic Growth and the Deputy Leader, to carry out the procurement in good time to enable the award of a new energy contract(s) from 1 April 2023.

The Council’s current contracts for the supply of electricity and gas to its operational and non-operational assets terminate on 31 March 2023 and a new energy supplier would need to be procured in the early part of 2023.  There would need to be close dialogue with the broker, on the most appropriate time to act and to seek the best value for the Council and its tenants.

The outcome would also enable the Service Director for Finance to finalise the General Fund revenue budget estimates for 2023/24.

*RESOLVED

That Cabinet delegate approval to the Service Director for Finance, in consultation with the Service Director for Economic Growth and the Deputy Leader, to carry out the procurement and award of a new energy contract to commence on 01/04/2023.

REASONS FOR DECISION

1.   The entering of a contract with a value above £100,000 is an

     Executive function of the Cabinet.

2.   The procurement of energy is currently highly variable, with daily market price and supplier fluctuations. Best value for money would be achieved for the Council through being able to make an immediate decision on the tender price offered on the day. It is considered very unlikely that in the current situation a price could be offered and held for the time it would take to make the appropriate representations to Cabinet. An officer delegation is considered the most effective way to secure the best contract available at the time.