This is a report seeking approval to enter into a framework contract for the purchase of gas through ESPO’s Gas Framework, for the period April 2023 – March 2027.

Portfolio Holder – Councillor Peter Butlin

Councillor Peter Butlin (Deputy Leader, Finance and Property) presented this report which sought approval to enter into a framework contract for the purchase of gas through ESPO’s Gas Framework, for the period April 2023 – March 2027.  Councillor Butlin reflected on the substantial increases in gas prices in the market and the significant buying power which was leveraged by ESPO, including the opportunity to forward buy.  He noted that initial indications suggested an overall increase in energy costs of around 30% over the next 2 years should be anticipated.  Although there was an option to consider a green energy tariff, this would add an additional immediate 30% increase and it was therefore preferred that the environment and energy team explore alternative strategies for beginning to move to cost effective green energies.

Resolved:

That Cabinet agree to the Council entering a framework contract for the purchase of gas through ESPO’s Gas Framework, for the period April 2023 – March 2027 on terms and conditions considered acceptable to the Strategic Director for Resources, in consultation with the Portfolio Holder for Finance and Property.