The Head of Financial Services submitted a report to Cabinet on 10 November 2021 seeking a Cabinet recommendation to Council for the approval of the loan to Low Carbon Hub to support investment in the Ray Valley Solar Project.

The Cabinet decisions are set out in the minutes of that meeting (included in this agenda).

Cabinet Member Cllr Turner will present the report and propose Cabinet’s recommendations.

Recommendation:

Cabinet recommends that Council resolves to

1.    approve a loan facility agreement with Low Carbon Hub of £2,000,000 together with the associated capital budget for a loan in respect of the Ray Valley Solar (RVS) local renewable energy project, whilst noting the reduction in the separate and already approved Salix grant-backed loan awarded under the Public Sector Decarbonisation Scheme. The investment will be funded from Council capital resources.

Council considered the report of the Head of Financial Services seeking approval of the loan to Low Carbon Hub to support investment in the Ray Valley Solar Project.

Cllr Turner, the Cabinet Member for Finance and Asset Management, introduced the report, proposed the recommendations and answered questions.

The recommendations were agreed on being seconded and put to the vote.

Council resolved to:

approve a loan facility agreement with Low Carbon Hub of £2,000,000 together with the associated capital budget for a loan in respect of the Ray Valley Solar (RVS) local renewable energy project, whilst noting the reduction in the separate and already approved Salix grant-backed loan awarded under the Public Sector Decarbonisation Scheme. The investment will be funded from Council capital resources.

The Head of Financial Services has submitted a report seek a Cabinet recommendation to full Council for the approval of the loan to Low Carbon Hub to support investment in the Ray Valley Solar Project.

Cabinet is recommended to:

1.    Recommend to Council the approval of a loan facility agreement with Low Carbon Hub of £2,000,000 together with the associated capital budget for a loan in respect of the Ray Valley Solar (RVS) local renewable energy project, whilst noting the reduction in the separate and already approved Salix grant-backed loan awarded under the Public Sector Decarbonisation Scheme. The investment will be funded from Council capital resources;

2.    Delegate authority to the Head of Financial Services/Section 151 Officer in consultation with the Head of Law & Governance and the Cabinet Member for Finance and Asset Management to enter into a loan agreement with Low Carbon Hub to undertake the necessary due diligence and approve the terms of the loan facility agreement and, thereafter, enter into any associated legal agreements that are necessary to give effect to the recommendations within this report; and

3.    Delegate authority to the Head of Financial Services/Section 151 Officer in consultation with the Head of Law & Governance and the Cabinet Member for Finance and Asset Management, to manage the loan facility. The authority under this recommendation shall include the power to negotiate and agree subsequent variations to the terms of the loan facility.

The Head of Financial Services had submitted a report seeking  a Cabinet recommendation to full Council for the approval of the loan to Low Carbon Hub to support investment in the Ray Valley Solar Project.

Cllr Ed Turner, Cabinet Member for Finance & Asset Management, introduced the report. The proposed loan to the Low Carbon Hub to support investment in the Ray Valley Solar Project reflected the Council’s continuing support for the work of the Low Carbon Hub and would, ultimately, contribute decarbonisation in the City as well as the Council’s financial goals.

Cabinet resolved to:

1.    Recommend to Council the approval of a loan facility agreement with Low Carbon Hub of £2,000,000 together with the associated capital budget for a loan in respect of the Ray Valley Solar (RVS) local renewable energy project, whilst noting the reduction in the separate and already approved Salix grant-backed loan awarded under the Public Sector Decarbonisation Scheme. The investment will be funded from Council capital resources;

2.    Delegate authority to the Head of Financial Services/Section 151 Officer in consultation with the Head of Law & Governance and the Cabinet Member for Finance and Asset Management to enter into a loan agreement with Low Carbon Hub to undertake the necessary due diligence and approve the terms of the loan facility agreement and, thereafter, enter into any associated legal agreements that are necessary to give effect to the recommendations within this report; and

3.    Delegate authority to the Head of Financial Services/Section 151 Officer in consultation with the Head of Law & Governance and the Cabinet Member for Finance and Asset Management, to manage the loan facility. The authority under this recommendation shall include the power to negotiate and agree subsequent variations to the terms of the loan facility.