Purpose

To engage a provider to manage
the energy centre that will serve the new Leisure centre and the
new residential development on Vincent Road. The provider will be
responsible for all billing to the end users.

Content

1.           
Agreed to undertake the procurement of a concession
contract with an Energy Service Company (ESCO) to operate and
maintain the energy centre and distribution network for the
Woolwich Leisure Centre and residential site, at an estimated
contract value of £30m over 25 years.
 
2.           
Noted that the £30m value is not a cost to the
Council, this is the value of providing heat to the leisure centre,
residential development and Tramshed (should they decide to
connect) over the lifetime of the contract.  The Council will not be paying these costs and
will in fact generate income from the ESCO. This is explained
further within the report.