Agenda, decisions and minutes

Cabinet noted that Claudia Brown – (Operational Director Adult Social Care) was attending to represent Phil Porter (Strategic Director Community Wellbeing) and Ron Mansfield (Head of Communications) to represent Shazia Hussain (Assistant Chief Executive).

Cabinet NOTED that Claudia Brown (Operational Director Adult Social Care) was attending to represent Phil Porter (Strategic Director Community Wellbeing) and Rob Mansfield (Head of Communications) to represent Shazia Hussain (Assistant Chief Executive).

Members are invited to declare at this stage of the meeting, the nature and existence of any relevant disclosable pecuniary or personal interests in the items on this agenda and to specify the item(s) to which they relate.

There were no declarations of interest made at the meeting.

There were no declarations of interest made at the meeting.

To approve the minutes of the previous meeting held on Monday 11 April 2022 as a correct record.

Cabinet RESOLVED that the minutes of the previous meeting held on Monday 11 April 2022 be approved as an accurate record of the meeting.

RESOLVED that the minutes of the previous meeting held on Monday 11 April 2022 be approved as an accurate record of the meeting.

To consider any matters arising from the minutes of the previous meeting.

None.

None.

To discuss any petitions from members of the public, in accordance with Standing Order 66.

There were no petitions submitted for consideration at the meeting.

There were no petitions submitted for consideration at the meeting.

To consider any reference reports from the Council’s two Scrutiny Committees.

There were no references from either scrutiny committee submitted for consideration at the meeting.

There were no references from either scrutiny committee submitted for consideration at the meeting.

This report seeks authority to the procurement arrangements for the bulk energy contracts in relation to the supply of gas and electricity for the London Borough of Brent.

Cabinet noted the comments made by Councillor Lorber who had requested to speak at the meeting in respect of the item.  In addressing Cabinet, Councillor Lorber referred to section 3.2 of the report and sought further details on the basis of the decision taken in 2020 to provide for a two rather than four year energy supply period under the procurement framework along with an outline of any associated financial implications given the current and unprecedented increase in wholesale energy costs.

In responding to the comments raised, Councillor Mili Patel (as Deputy Leader and Cabinet Member for Finance, Resources & Reform) drew attention to the independent assessment of the Council’s energy procurement policy which had confirmed the proposed re-procurement arrangements remained fit for purpose and achieved prices better than market average as well as offering a range of additional services of value to the Council.  The proposed re-procurement and purchasing approach had also been designed to mitigate against overall market risk whilst also seeking to support the Council’s environmental objectives in considering how best to move towards procuring greener and zero carbon energy.

In terms of the overall financial impact (as detailed within section 8 of the report), members were advised of the difficulty in securing fixed term wholesale energy supply costs with the arrangements and approach outlined within the report designed to secure an optimal price for required energy usage and associated services whilst also seeking to mitigate against the risk and minimise significant exposure to further wholesale energy market volatility in the short to medium term.  Members noted the approach outlined also included the potential to avoid significant additional costs on energy contract prices in 2022-23 (on the basis detailed within the exempt appendix to the report).

Having considered the comments made and recognised the difficulties in predicting future market volatility at the time the decision was made to agree a two rather than four year energy supply period Cabinet RESOLVED:

(1)      To approve the award of a contract for the supply of electricity to NPower Limited for two years from 1^st October 2022 via a call-off from LASER Framework Y18003, and

(2)      To approve the award of a contract for the supply of gas to Total Gas and Power for two years from 1^st October 2022 via a call-off from the LASER Framework Y18002, and 

(3)      that alternatively to (1) and (2) above, to approve the award of contracts for gas and electricity to the next ranked Suppliers on Lot 1 of each of the Frameworks referred to in section 5 of the report, if NPower Limited or Total Gas and Power cannot, or do not accept the offer of a Council contract. Such award shall be in accordance with the offer and award process described in Section 7 of the report.

(4)      To approve the Council’s entry into an amended Access Agreement with Kent County Council referred to in sections 7.11 and 7.12 in the report, to enable its participation and purchase of gas  ...  view the full decision text for item 7.

Cabinet NOTED the comments made by Councillor Lorber who had requested to speak at the meeting in respect of the item.  In addressing Cabinet, Councillor Lorber referred to section 3.2 of the report and sought further details on the basis of the decision taken in 2020 to provide for a two rather than four year energy supply period under the procurement framework along with an outline of any associated financial implications given the current and unprecedented increase in wholesale energy costs.

In responding to the comments raised, Councillor Mili Patel (as Deputy Leader and Cabinet Member for Finance, Resources & Reform) drew attention to the independent assessment of the Council’s energy procurement policy which had confirmed the proposed re-procurement arrangements remained fit for purpose and achieved prices better than market average as well as offering a range of additional services of value to the Council.  The proposed re-procurement and purchasing approach had also been designed to mitigate against overall market risk whilst also seeking to support the Council’s environmental objectives in considering how best to move towards procuring greener and zero carbon energy, which was welcomed by members.

Councillor Mili Patel then formally introduced the report, which she advised was seeking authority to award the contracts relating to the purchase of gas and electricity (October 2022 – September 2024) on the basis of the procurement process outlined within the report.  In terms of the overall financial impact (as detailed within section 8 of the report) members were advised of the difficulty in securing fixed term wholesale energy supply costs, with the arrangements and approach which had been outlined within the report designed to secure an optimal price for required energy usage and associated services whilst also seeking to mitigate against the risk and minimise significant exposure to further wholesale energy market volatility in the short to medium term.  Members noted the approach outlined also included the potential to avoid significant additional costs on energy contract prices in 2022-23 (on the basis detailed within the exempt appendix to the report).

Having considered the comments made and recognised the difficulties in predicting future market volatility at the time the decision was made to agree a two rather than four year energy supply period Cabinet RESOLVED having noted the exempt information contained within the appendix to the report:

(1)      To approve the award of a contract for the supply of electricity to NPower Limited for two years from 1^st October 2022 via a call-off from LASER Framework Y18003, and

(2)      To approve the award of a contract for the supply of gas to Total Gas and Power for two years from 1^st October 2022 via a call-off from the LASER Framework Y18002, and 

(3)      that alternatively to (1) and (2) above, to approve the award of contracts for gas and electricity to the next ranked Suppliers on Lot 1 of each of the Frameworks referred to in section 5 of the report, if NPower Limited or Total Gas and Power cannot, or  ...  view the full minutes text for item 7.

To receive details of the Executive appointments made to Cabinet Committees and other bodies.

Cabinet RESOLVED to approve the Executive appointments to the following bodies, as set out with the agenda:

·                Barham Park Trust Committee

·                West London Economic Prosperity Board

Cabinet RESOLVED to note the appointments made by the Leader of the Council in relation to Cabinet, Joint IT Committee of the London Boroughs of Brent, Lewisham and Southwark, London Councils Grants Committee and London LGPS CIV Ltd and approve the Executive appointments to the following bodies, as listed below and set out within the agenda:

Barham Park Trust Committee

Full Members: Councillors M.Butt, Donnelly-Jackson, M.Patel, Krupa Sheth and Tatler

Substitute Members: Councillors Farah, Grahl, Knight and Nerva

West London Economic Prosperity Board

Full Member: Councillor Tatler

The following items are not for publication as they relate to the category of exempt information set out below, as specified under Part 1, Schedule 12A of the Local Government Act 1972:

Agenda Item 7:     Authority to Award Contracts for the Purchase of Gas and Electricity (October 2022 to September 2024) – Appendix A (Laser PIA Contractual Arrangements)

This appendix is classified as exempt under Paragraph 3 of Part 1 Schedule 12A of the Local Government Act 1972, namely: “Information relating to the financial of business affairs of any particular person (including the authority holding that information)”

There were no items that required the exclusion of the press or public.

There were no items that required the exclusion of the press and public at the meeting.

Notice of items to be raised under this heading must be given in writing to the Head of Executive and Member Services or her representative before the meeting in accordance with Standing Order 60.  Any decision taken urgency under this heading must comply with the provisions outlined in paragraphs 12 and 39 of the Council’s Access to Information Rules (Part 2 – Constitution).

None.

None.