Decision details

To consider the Report of the Cabinet Member for Housing detailing proposals for Energy Efficiency works to proceed and be formalised/ratified by Cabinet in accordance with Financial Regulations.

(i)  Subject to Council approving the new HRA capital programme at its meeting on 16 November, to approve in accordance with Financial Procedure Rules, spending of £3M (phased £498,000 in 2011/12 and £2,502,000 in 2012/13) on the central heating distribution system and related works at Oslo, Havre, Copenhagen and Hampton Towers, utilising the funding in the HRA capital programme currently shown under the heading “International Way Cladding”.

(ii)  To note that this is a contribution towards a larger scheme that provides significant structural and environmental improvements to these blocks in a key area of the City including new windows, heating, and external insulation as well as the installation of energy-saving Photo-Voltaic (PV) panels on roof tops.

1. Including sums in a Capital Programme does not give authority to spend the money. This is done by a separate scheme approval process. Financial Procedure Rules require that all schemes with a total estimated cost of more than £500,000 are to be approved by Cabinet before they can proceed.
2. Schemes with an estimated cost of up to £500,000 can be approved by an Executive Director following consultation with appropriate officers and Cabinet Members. Within this, schemes over £200,000 will usually require a formal report, decision-making meeting and decision notice.

(i)  If Southampton City Council were to fully fund the project this would cost in excess of £9M.

(ii)  An alternative solution is not to carry out these works immediately but this would result in these particular buildings requiring Health & Safety repair works to the external “eternet” asbestos panels and fixings within the next 12 -18 months.  This element alone would cost the Council approx £5–6M. Following this in a further 4-5 years, the windows would have to be replaced having reached the end of their effective life.  This would cost the Council a further approx £2-3M.