Purpose

To vary a Development Agreement for a temporary plant (heat source) at NWCC and Peel Road in South Kilburn.

Decision

That the Corporate Director Finance and Resources:

i)             Varies the original Development Agreement between the Council and Countryside Properties in order to incorporate installation of a temporary plant (heat source) into the Agreement at a value of £462,671.00. the temporary plant will serve NWCC East (cores E, F and G), NWCC West (cores A, B, C and D) and Peel Phase 4, whilst the South Kilburn Decentralised Energy Network (SKDEN) is being built and becomes available as a permanent heat source.

ii)            Varies the original Development Agreement between the Council and Countryside Properties in order to incorporate the installation of a heat pipework section under the section of Neville Road within the NWCC site, for use when the SKDHN is connected, at a capped value of £326,572.00, to avoid the greater cost and disruption of installing this at a later date.

iii)           For a budget of £50,000.00 to decommission the temporary plant when the SKDHN becomes available for permanent connection in January 2026.

Reasons for the decision

As detailed within the accompanying report.

Alternative options considered

As detailed within the accompanying report.