38 Combined Heat and Power Unit for The ARC PDF 302 KB
Decision:
RESOLVED that the award of the contract for the installation of the Combined Heat and Power Units for The Arc to Pure World Energy Ltd, be approved.
Minutes:
Executive considered a detailed report, presented by the Portfolio Holder for Housing, which sought Members approval to award a contract for the installation of Combined Heat and Power (CHP) Units at the Arc.
In February 2024, Executive approved a report to accept a grant offer of £455,000 from the Swimming Pool Support Fund, and additional costs of £200,000 from the Transformation Reserve towards the installation of CHP units for the Arc. A procurement exercise had been completed to secure a contractor to supply and install the CHP units, and Pure World Energy had been the successful contractor through the procurement process.
The tender price was £499,795.50 and was inclusive of obtaining planning permissions, supply of all equipment, and full install of the project.
The Assistant Director Leisure, Health and Wellbeing, noted that the indicative savings to the Council on future electricity costs was substantial and in excess of £100,000 per annum.
Moved by Councillor Sandra Peake and seconded by Councillor John Ritchie
RESOLVED that the award of the contract for the installation of the Combined Heat and Power Units for the Arc to Pure World Energy Ltd, be approved.
Reasons for Recommendation
Following the grant award from the Swimming Pool Support Fund and subsequent approval from Executive, a procurement exercise was undertaken to find a suitable contractor for the installation of the CHP units.
Alternative Options and Reasons for Rejection
Continue with current operating systems of conventional gas fired boilers and not recoup the benefit of long-term savings.