Purpose

This report seeks approval for the revised procurement strategy to appoint a community energy partner on a term concession contract to raise finance to fund and oversee the installation of solar and other energy saving technologies on Council buildings, schools and leisure centres. The approach removes the need for capital investment by the Council and leads to the host building benefitting from improved energy efficiency. The approach has been piloted successfully at three Camden secondary schools and Talacre Leisure Centre.

The strategy was originally approved by the Director of Environment and Sustainability on 16th October 2025, however since then the estimated concession contract value has been reviewed and increased from £247,500 to £990,000 to allow sufficient expansion of the programme across additional sites. 

This report sets out a proposed approach to the commissioning of a community energy partner to work with the Council over a 20-year term to install the energy saving technologies on various Council buildings, starting with up to eight schools. A 20-year term is required as this is typically the time required to service finance.

The contract is a below threshold concession contract, where the concessionaire will generate income from the installation of solar panels on the Council’s buildings. It is envisaged than a concession contract agreement will be entered into with the successful tenderer, and then individual tripartite licence agreements will be agreed between the Council, the Concessionaire, and the Occupier of each premises where solar energy installations are made, throughout the term of the Concession agreement. Within the 20 year concession agreement, the concessionaire will be able to enter into new licence agreements within the first 5 years of the concession agreement. This is to enable the full 15 years for each licence agreement required to service finance.

The procurement strategy report is being presented to the Director of Environment and Sustainability for approval in line with Contract Standing Orders and in line with the delegated authority from the Cabinet approval for the Climate Action Plan.

Decision

THAT the Director of Environment and Sustainability approves the procurement strategy for a community energy partner concession contract, which includes a price/quality split of 30/70 and contract term of 20 years, for an estimated aggregate value of £990,000.