Issue - meetings

This report proposes that rooftop solar PV is installed at South Oxhey Leisure Centre, funded by council capital budget and repaid through a Power Purchase Agreement1 with Sports and Leisure Management Ltd (SLM).

This report recommends that the Outline Business Case (OBC) is recommended to Policy & Resources Committee.

This report provides background context and a high-level overview of the OBC, which can be found in Appendix 1.

Recommendation

That:

       i.          The Climate Change and Leisure Committee recommend officers seek contractor quotations and then recommend the OBC to the Policy & Resources Committee.

The Climate Change and Sustainability Manager introduced the report.

Members expressed strong support for this project. They highlighted the financial viability of the project, noting that it pays for itself quickly and can generate positive returns that may be reinvested into capital funding. Emphasis was placed on the strategic importance of energy independence, reducing reliance on electricity imports from other countries, and aligning with sustainability goals. Members advocated for moving forward with procurement while continuing to review repayment details.

Members discussed that the rooftop solar has a break-even point of approximately four to four and a half years, while the car park solar canopy reaches break even after nine years. Officers explained that the solar panels come with a typical warranty of 25 years, and the inverter has a shorter warranty 10 - 25 years, with a potential replacement cost factored into the business case, or extended warranties secured. A full structural survey of the roof will be conducted to ensure its suitability and to assess maintenance needs. Roof maintenance, excluding solar related issues, is covered under the SLM contract. The solar canopy project is still under feasibility review, supported by grant funding, and is considered a separate initiative. The rooftop solar project is prioritised based on previous studies and feasibility findings. Members expressed approval of concentrating on the roof rather than the canopy, noting prior reservation about the latter. Members asked about the payback period and investment viability, comparing the current project to the previous one at William Penn. Officers responded by highlighting the fact that unlike the William Penn project, which was funded by a Sport England grant, the current roof project lacks grant funding and must be financially self-sustaining. Despite this, usage patterns and operational times of the leisure centre appear similar, suggesting that the payback period for the current investment would be comparable to what it would have been for William Penn if it has required full payment. Members noted concerns about the deterioration of panel efficiency after 25 years and questioned if this has been accounted for in the business case. Officers responded that while the current business case typically spans 25 years, modern solar panels can last up to 40 years, potentially providing additional benefits beyond the initial period. There was also mention of a possible future report to the Council recommending repowering or replacing the panels when efficiency declines, although such long-term planning is currently uncertain.

The Chair read out the recommendation and requested that the abbreviation OBC be changed to Outline Business Case in the recommendation.

Councillor Jon Tankard moved the recommendation with the amendment, seconded by Councillor Raj Khiroya.

On being put to the committee, the motion was declared CARRIED by the Chair the voting being by general assent.

RESOLVED:

That:

1. The Climate Change and Leisure Committee recommend officers seek contractor quotations and then recommend the Outline Business Case to the Policy & Resources Committee.