Housing, Community Safety and Community Engagement Scrutiny Commission - Wednesday 18 September 2024 7.00 pm

September 18, 2024 View on council website
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Summary

This meeting was scheduled to include a presentation on the role of Tenants and Residents Associations (TRAs) and Tenant Management Organisations (TMOs), a report on gas consumption in the council's district heating networks, and the proposed work programme for the rest of the year. It should be noted that these documents only tell us what was scheduled to be discussed. They do not tell us what was actually said during the meeting, what questions were asked, or whether any decisions were made.

The role of TRAs and TMOs in wards

The commission was scheduled to receive a report on the role of TRAs and TMOs.

Southwark Council's Delivery Plan 2022 to 2026 aims to work with residents to design the services we provide and support local people to deliver for their community.

The report describes TRAs as unincorporated bodies run by residents of Southwark Council homes that represent the interests of their members, and provide them with a platform to discuss local issues.

TRAs do not generally have a statutory basis and are not governed by statutory rules although some TRAs are now registered as community interest companies (CICs).

TMOs, on the other hand, are incorporated bodies which deliver housing management services. They are governed by the Right to Manage Regulations 2012.

The Housing Act 1985 (s27AB) makes provision for the Council as a landlord to enter into management agreements with TMOs.

The council currently recognises 123 TRAs across the borough, an increase from 57 in 2022, and directly funds them to the tune of £178,000 per year. It also provides TRAs and other groups of residents with 'Get Involved Grant' funding for projects that improve the lives of residents.

The report suggests that the council intends to further support the development of TRAs and that there is ongoing work to hold repairs action days on none TRA estates to engage more residents and grow the number of TRAs.

The council's work with the Southwark Black Parents Forum, a registered charity that provides advocacy and advice to families, is cited as an example of how engaging with residents can help to strengthen TRAs.

The report goes on to list the 17 TMOs that operate in the borough. Fair Community Housing Services, which manages homes in Peckham, is scheduled to be returned to council management on 1 November 2024.

The recent external audit of the council's TMOs identified what the report calls significant weaknesses in the Council’s governance arrangements for TMOs. These are being addressed through a restructure of the council's TMO monitoring and support team.

The report also describes the council's intention to develop a new TMO contract monitoring toolkit, to be implemented in March 2025.

Excessive gas consumption in district heating networks and prohibitive costs for leaseholders

The commission was scheduled to receive a report on gas consumption within the council's district heating networks. The report was requested after leaseholders on the North Peckham and Gloucester Grove estates made a deputation to the council assembly.

According to the report, the council’s heat networks use an average of 19,000 kilowatt-hours (kWh) of gas per property per year, compared to the 11,500 kWh used by an average property heated by an individual gas boiler, as estimated by Ofgem1. The report attributes the difference in gas consumption to the inherent inefficiency of district heating systems. While individual boilers generate heat within the property, district heating systems lose heat through their networks of pipes, which can be several kilometres long.

The report uses the North Peckham district heating network as a case study to illustrate the reasons for high gas consumption.

The network, which also heats part of the Tuke School, is estimated to use around 28,100 kWh of gas per property per year. This is because the network’s boiler house is located some distance from the properties it heats, the system uses older, less efficient technology than other networks in the borough, and because most of the homes do not have heat meters2.

The report highlights the council’s plans to make the North Peckham network more efficient by completing a refurbishment of the boiler house and potentially installing heat meters. The report also raises the possibility of connecting the network to the SELCHP Energy Recovery Facility3 in Deptford.

Beyond North Peckham, the report identifies the Consort estate in Walworth as another network where gas consumption is likely to be higher than it should be. The network, which uses an average of 24,461 kWh of gas per property per year, is heated by boilers installed in the 1980s that are coming up for replacement.

The report acknowledges that the council has in recent years completed several projects to improve the efficiency and performance of its heat networks, including the installation of nearly 1,000 heat meters.

It also describes the council's work to secure external funding to support improvements to heat networks.

The report concludes by saying that while the council is not blind to some of the challenges of operating older heat networks, it does have a plan for improving things. This includes the development of a new energy management strategy.

Proposed Work Programme 2024-2025

The commission was scheduled to consider the work programme for the rest of the municipal year.

The report summarises the general terms of reference of the commission, as set out in the council's constitution.

Within their terms of reference, all scrutiny committees/commissions will:

a) review and scrutinise decisions made or actions taken in connection with the discharge of any of the council’s functions

The report then lists the issues that the commission is scheduled to consider during the 2024-25 municipal year.

The first meeting of the year, held on 23 July 2024, was scheduled to include presentations about the Homelessness Strategy and Southwark Independent Policing Oversight Board.

The 18 September 2024 meeting was scheduled to include, in addition to the aforementioned presentations on TRAs, TMOs, and district heating, a discussion of the results of an audit of electrical safety testing.

The remaining meetings of the year, scheduled for 25 November 2024, 24 February 2025 and 22 April 2025, do not yet have any items scheduled for discussion, but a number of potential topics are listed. These include:

  • Procurement and contract management for district heating, repairs and major works
  • Housing associations
  • Interviews with the Cabinet Member for Housing and the Cabinet Member for Community Safety and Neighbourhoods
  • Interviews with the Borough Police Commander and the Borough Fire Commander

  1. The Office of Gas and Electricity Markets (Ofgem) is the government regulator for the electricity and downstream natural gas markets in Great Britain. 

  2. Heat meters are devices that measure the amount of heat energy used to heat a home. They are often used to bill residents for their heating use, and can help to reduce energy consumption. 

  3. An Energy Recovery Facility (ERF) is a waste treatment facility that generates energy, such as electricity and heat, by burning waste.