Council to combine its energy contracts to drive efficiency
Gloucestershire County Council wants to line up its gas and electricity buying with its energy sales from Javelin Park to find the most efficient way of dealing with its future energy needs.
Last year the council moved all its electricity purchases to carbon neutral sources – and is using professional brokerage services to ensure it can do so affordably into the future.
In December 2019 cabinet adopted Gloucestershire’s climate change strategy which includes a commitment to buy only 100% renewable electricity for the council’s estate and its maintained schools.
The council has already met this commitment, making the switch in September 2019 to buy 100% sustainable green electricity which is generated from sources such as solar, wind, hydro-electric and wave power.
Prices for electricity and gas can change daily, and sometimes hourly, so the council needs to buy as far in advance as possible to fix prices.
For this reason, cabinet is being asked at its meeting next week to agree to extend the current gas and electricity purchase contracts. If cabinet agree then the council’s agents can begin to forward purchase its spring energy requirements from April 2021.
Cabinet will also be asked to approve 6 month extensions for these gas and electricity purchase contracts so the end dates will be aligned with an extended Javelin Park electricity sale contract. This means the council will then have the option from October 2023 to retender sales and purchasing as one contract if preferred.
Councillor Nigel Moor, cabinet member for environment and planning said: “We have already switched to 100% green electricity which meets the climate change commitment we made last year.
“We also need to stick with our current suppliers, who are performing well, so they can buy and sell our energy in advance and we can get the best possible prices to minimise our financial risk.
“I will also be recommending to cabinet that we line up our contracts to give us more options in the future to make our energy trading as efficient and cost effective as it can be.”
Papers for the cabinet meeting can be viewed online here.