Decision details

Before the Committee was a report by the Director for Digital and Resources, copies of which had been circulated to all Members and a copy of which is attached to the signed copy of these minutes as Item 10.

The report updated members on work undertaken since March 2022 on the Worthing Heat Network, during which time the procurement exercise has been completed that has identified Pinnacle Power as the preferred organisation to become the council's concessionaire partner.

Subject to approval, Pinnacle Power would fund, design, build, operate and maintain a new, low carbon heat network for Worthing Town Centre that is estimated to save 55,000 tonnes of CO2 within the first fifteen years of operation.

The report set out information about:

? the procurement exercise,

? the preferred bidder's solution

? the contractual elements of the procurement

? funding arrangements

? next steps

Additionally, the report outlined a successful Public Sector Decarbonisation Scheme bid for £2.47m that will support the council in delivering enabling works to its estate in order to ensure that its town centre estate connects to the heat network efficiently.

Members discussed the report and congratulated officers on the work undertaken in connection with the report. The position of the Borough as a golden shareholder was highlighted to members of the sub-committee

Decision

That the Worthing Sub Committee of the Joint Strategic Committee

i)   Noted the progress in the report

ii) Delegated authority to the Director for Digital, Sustainability & Resources, in consultation with the Cabinet Members for Resources and the Climate Emergency to:

? Negotiate final terms and enter into the Concession Agreement on behalf of Worthing Borough Council

? Negotiate and enter into the Connection Agreement and Heat Supply Agreement for all Worthing Borough Council buildings listed at Section 4.25

? Negotiate and let any contracts associated with the Public Sector Decarbonisation Scheme funded programme of works, providing the same are within the approved budget.

iv) recommended to Council approve an amendment to the General Fund capital programme budget of £7,454,490 funded as follows:

? £2,449,200 from the Public Sector Decarbonisation Scheme

? £5,005,230 from additional prudential borrowing

iii)  approved a budget virement of £255,000 HNIP funding. As outlined at 6.2, this will be used to support the procurement and contract work associated with the project

iv) approved and authorised the appointment of Worthing Borough Council as the golden shareholder in the Special Purpose Vehicle as set out in this report and to authorise the Chief Executive Officer or their delegated nominee, in consultation with the Leader of the Council to take all actions and make all decisions required of the golden shareholder under the contractual arrangements with the appointed concessionaire.

Call-in

The call-in deadline for the decisions will be 5.00pm on 16 March 2023.