Argyll and Bute Council Carbon Management Programme · Argyll and Bute Council Carbon Management...

Argyll and Bute Council Carbon Management Programme

Carbon Management Plan working with

Argyll and Bute Council

Carbon Management Programme

Carbon Management Plan (CMP)

Date: 31 March 2009

Version number: 1

Owner: Sandy Mactaggart

Approval route: Council Executive

Approval status: Council Executive consideration 21 May 2009

Cover photograph illustrates the range of natural resources (e.g. wood, wind and wave) available within the area.



Page 2

Contents

Foreword from Sally Reid, Chief Executive Argyll & Bute Council 4

Foreword from John Semple, Chair of Environment Policy & Performance Group (PPG) and Member Sponsor 5

Foreword from the Carbon Trust 6

Management Summary 7

1 Introduction 8

2. Carbon Management Strategy 9

2.1 Context and drivers for Carbon Management 9

2.2 Our low carbon vision 10

2.3 Strategic themes 10

2.4 Targets and objectives 11

3 Emissions Baseline and Projections 13

3.1 Scope 13

3.2 Baseline 14

4 Carbon Management Projects 16

4.1 Rationale for Project Identification 16

4.2 Existing projects 18

4.3 Planned / funded projects 19

4.4 Projected achievement towards target 19

5. Carbon Management Plan Financing 21

5.1 Assumptions 21

5.2 Benefits / savings quantified and un-quantified 22

5.3 Additional resources 22

5.4 Financial costs and sources of funding 23

6 Actions to Embed Carbon Management in Your Organisation 25

6.1 Corporate Strategy embedding CO2 saving across your organisation 25

6.2 Programme Management bringing it all together effectively 25

6.3 Responsibility being clear that saving CO2 26

6.4 Data Management measuring the difference, measuring the benefit 26

6.5 Communication and Training ensuring everyone is aware 27

6.6 Finance and Investment the money to match the commitment 28

6.7 Policy Alignment saving CO2 across your operations 29



Page 3

7 Programme Management of the CM Programme 30

7.1 The Programme Board strategic ownership and oversight 31

7.2 The Carbon Management Team delivering the projects 32

7.3 Succession planning for key roles 32

7.4 Ongoing stakeholder management 32

7.5 Carbon Management Programme - Risk Register 33

7.6 Annual Progress Review 33

Appendix A: Carbon Management Matrix Embedding 34

Appendix B.1 - Summary of CMP Initial Business Cases 35

Appendix B.2 - Exemplar IBCs 38

Appendix C: Carbon Management Programme 57

Appendix D: Carbon Management Programme - Risk Register 58



Page 4

Foreword from Sally Reid, Chief Executive Argyll & Bute Council The Council has identified action to tackle climate change as a key strategic outcome within

or 2009-12 and has put in place targets for the reduction in the greenhouse gas emissions established through the development of the Carbon

Management Plan (CMP).

brought together existing initiatives along with a series of new projects developed during the CMP planning process into a single coherent plan.

I would like to express my appreciation to the Carbon Trust for their support in the development of CMP, which has raised Member and staff awareness of the issues and risks associated with global warming, and has provided the Council with the platform to tackle climate change effectively.

I am confident that the Council can reduce green house gas emissions by harnessing the imagination, commitment and innovation of our staff, and through the deployment of smart, well researched and reliable technologies which complement and maximise the fantastic opportunities afforded by our weather, landscape and seascape within Argyll & Bute

Sally Reid Chief Executive Argyll & Bute Council



Page 5

Foreword from John Semple, Chair of Environment Policy & Performance Group (PPG) and Member Sponsor

Argyll & Bute is a challenging place to live. Over the centuries our ancestors have developed the unique communities we call home by using the natural assets available locally in order to survive: seas, forests, peatlands, machrie, hillside, farmland, rivers, lochs and coastline; the unique characteristics of the local environment has lent attributes to support our communities.

c location makes our climate and weather patterns key to the way we

so keeps land temperatures higher, winter seasons are shorter, rain is generally less than other parts of The Highlands and the sun shines more. We owe much of what has been achieved here to our temperate climate. The Challenges which face our communities in the decades to come will be dictated to, not by the way we use our natural assets, but by how we are affected by Climate Change.

Photograph of recent landslip at Rest and Be Thankful, Argyll the result of high levels of rainfall.

While there are still some who believe it to be a Hollywood invention, Enhanced Global Warming; the cause of Climate Change, is a scientific fact. Climate Change will affect the viability of our communities in the future; from extreme weather events to rising sea levels, the degree of severity can only be estimated against what steps the Global Community takes to reduce Climate Change, doing nothing is inconceivable. Countries all over the world are mobilising, from Government Policy down to community and individual actions. The main

Global Warming. The most common to come from human activity is Carbon Dioxide.

reducing our use of fuels which emit Carbon Dioxide; oil based fuel such as gas, heating oil or petrol, or coal and peat. We can reduce our emissions either by switching to a greener fuel, being more efficient in our use of fuel, or stopping the activities which use fuel. We can all do our bit by switching off, turning down or leaving the car at home, and in doing so saving on our bills. Argyll & Bute Council is also doing its bit. I am pleased to be associated with this Carbon Management Plan - it shows good all-round benefits for the people of Argyll & Bute as tax payers as well contributing to the global effort which, if successful, will protect our communities from Climate Change.

Councillor John Semple



Page 6

Foreword from the Carbon Trust

Cutting carbon emissions as part of the fight against climate change should be a key priority for local authorities - it's all about getting your own house in order and leading by example. The UK government has identified the public sector as key to delivering carbon reduction across the UK inline with its Kyoto commitments and the Public Sector Carbon Management programme is designed in response to this. It assists organisations in saving money on energy and putting it to good use in other areas, whilst making a positive contribution to the environment by lowering their carbon emissions.

Argyll and Bute Council was selected in 2008, amidst strong competition, to take part in this ambitious programme. Argyll and Bute Council partnered with the Carbon Trust on this programme in order to realise vast carbon and cost savings. This Carbon Management Plan commits the organisation to a target of reducing CO2 by 20% by 2014 and underpins potential financial savings to the organisation of around £0.8 Million per annum.

There are those that can and those that do. Public sector organisations can contribute significantly to reducing CO2 emissions. The Carbon Trust is very proud to support Argyll and Bute Council in their ongoing implementation of carbon management.

Richard Rugg

Head of Public Sector, Carbon Trust



Page 7

Management Summary

from the Carbon Trust. The Carbon Management Plan has for the first time quantified the for financial year 2007/8.

The Council has identified a challenging but achievable target to reduce its carbon emissions by 20% by March 2014.

Programme for 2009 -12, which for an investment of approximately £2.5M of capital and revenue, has the potential to deliver a projected annual reduction of 2,500 tonnes of carbon

3 year period the Carbon Management Plan projects annual revenue savings of approximately £800K with an average payback period for projects of 4.3 years.

The Carbon Management Plan has established a Carbon Management Board and Programme Team which has within 6 months successfully developed the 3 year investment programme. This programme, founded on the appraisal of Initial Business Cases, has brought together a number of diverse and inter-departmental initiatives and activities to tackle climate change within one coherent plan.

The Council considered the programme within the 2009/10 Budget Process and has approved both the programme and the allocation of staff and financial resources subject to Business Case assessment.

The development of the Carbon Management Programme from 2009 onwards will be a dynamic process. To be successful and sustainable, the Council must prove competent and creative in developing future opportunities and delivering on specific project objectives. Underpinning the programme Cases and Risk which will inform future Council decision making and the allocation of finance and resources.

The Council recognises that it in order to achieve the strategic outcomes identified within its Corporate Plan it must embrace organisational and behavioural change which will require a careful balance between if maximum benefits are to be achieved.

The Council has put in place a robust system of Performance Reporting and Programme Governance to support the Carbon Management Programme through the annual and quarterly reporting cycle to the Strategic Management Team and the Environmental PPG which will both advocate and scrutinise strategic direction, policy and performance.



Page 8

1 Introduction

th January 2007 and has subsequently progressed a number of initiatives to tackle aspects of climate change and address the requirement to reduce green house gas emissions. These initiatives which range from energy management to staff travel have largely been undertaken as departmental programmes which have been conducted without reference to a Corporate framework. There is an ever growing body of environmental awareness within the Council and recognition from Members and staff that more can be achieved to tackle climate change both on a strategic and on a daily practical level. Before joining the Carbon Trust Local Authority Carbon Management (LACM) Programme in May 2008, the Council had not compiled an accurate assessment of its greenhouse gas emissions and had not set any meaningful targets to reduce the impact of its emissions on the environment. In joining the programme the Council agreed the following project objectives with the Carbon Trust in which were all successfully completed to programme:

Project Plan completed and approved by the Programme Board and signed off by the Programme Sponsor by 10th July 2008.

carbon emission baseline established Sept 2008

Set targets for reducing these emissions Sept 2008

Identify opportunities to reduce emissions and attain target reductions Sept 2008

quantify anticipated emissions and cost savings and determine capital investment required Oct 2008

Appraise Business Case outcomes to determine priority projects Nov 2008.

Establish a programme to deliver emissions and cost savings Nov 2008

agement Plan for approval by the Programme Board and signed off by the Programme Sponsor by 31st March 2009.

PPG and the Council 21 May 2009.

The LACM has provided the focus for integrating existing programmes and initiatives within one Corporate Programme. The LACM programme has been built up from the bottom with the current 3 year programme of projects which captured the ideas put forward by key con keholder Partners at the initial Ideas Workshop.

guidance with projects selected for inclusion within the programme evaluated against the appraisal criteria: IMPACT, AFFORDABILITY, and DELIVERABILITY & RISK.



Page 9

2. Carbon Management Strategy

The Council has recognised the importance of tackling climate change and has identified it as a Strategic Outcome within the Corporate Plan for 2009-12. The long term Carbon Management Strategy is simple; the Council must manage and reduce its future emissions to achieve reductions targets within defined time frames and seek to achieve greater levels of excellence beyond. The positive outcomes which are derived from this strategy include reducing current revenue costs, mitigating future financial risk from rising energy costs, reducing dependency on diminishing fossil fuels, controlling environmental risk exposure and ensuring compliance with all statutory obligations in force. The vehicle which will deliver these strategic outcomes is a sustained Carbon Management Programme, founded on competent Business Case and Risk Management principles, which targets the following areas:

Organisational behaviour & change management

Technical, procurement and energy saving solutions

Transport & travel

Renewable energy technologies as:

o Energy sources, and;

o Sources of income generation to offset energy costs

Argyll & Bute Council is well placed amongst Scottish Local Authorities to harness the opportunities for developing renewable technologies which can take advantage of local natural resources and weather conditions to reduce future carbon emissions, and to benefit its communities by offsetting energy costs from installing renewable energy technologies.

2.1 Context and drivers for Carbon Management

-2012 and beyond is set out below:



Page 10

2.2 Our low carbon vision

Our Vision is to:

gas emissions by harnessing the imagination, commitment and innovation of our staff and the deployment of smart, well researched and reliable technologies which complement and maximise the fantastic opportunities afforded by our weather, landscape and seas

2.3 Strategic themes

Key strategic themes are:

Political & managerial commitment, zeal and will to work over the long term to reduce greenhouse gas emissions.

The procurement, development and the retention of:

o Engineering and technical skills which can deliver energy saving and renewable energy projects and solutions.

o Project Development, Business Case Development and Project Management skills to deliver the Carbon Management Programme.

o Organisational behaviour and change management skills:

Communications skills which effectively engage with staff at an appropriate level and which positively alter staff perception and behaviour in favour of reducing green house gas emissions

Communications Campaigns must be consistent, sustained but remain fresh over the Long Term.

management processes to shape and change behaviour, and the commitment to manage effective change with interventions as required.

and/or property upgrade projects to minimise future green house gas emissions and utility costs in line

.

The development of effective partnerships with stakeholders within the private and public sector (e.g. NHS Highland) and within our communities who can lever in finance, resources, community vigour & commitment and expertise to assist with the delivery of our strategic aims.

cil operations where it can achieve a - Islay. These areas can

be used to galvanise community involvement and to help engender and sustain ions.

Eco Blingmeaningful reductions in carbon emissions or energy savings.

Supporting the Curriculum For Excellence within Argyll & Bute schools.

Arg

yll

an

d B

ute

Co

uncil

Carb

on

Ma

na

ge

me

nt

Pro

gra

mm

e

Carb

on

Ma

na

gem

en

t P

lan

wo

rkin

g w

ith

Pa

ge

11

2.4

T

arg

ets

an

d o

bje

cti

ve

s

Th

e

has identified

-12 is b

elo

w:

Ou

tsta

nd

ing

En

vir

on

men

t

En

viro

nm

ent

pro

mo

tin

g o

ur

cu

ltu

ral, s

ocia

l a

nd

na

tura

l h

erita

ge a

nd

pro

tectin

g o

ur

un

iqu

e a

rea

Ref

Ou

tco

me

Ac

tio

ns t

o

ach

ieve

ou

tco

me

Su

ccess

measu

res

Ke

y

date

s

Lead

A

dd

itio

nal

Bu

dg

et

(reven

ue c

ap

ital)

So

urc

e

of

the

ou

tco

me

Lin

k t

o

nati

on

al

ou

tco

mes

Ris

ks

2009/1

0

£000s

2010/1

1

£000s

2011/1

2

£000s

AB

C01

a

Ta

ck

lin

g

cli

ma

te

ch

an

ge

Arg

yll

an

d

Bu

te

co

ntr

ibu

tin

g

to n

atio

na

l a

ctio

n o

n

clim

ate

ch

ang

e

Red

ucin

g th

e

Cou

ncil'

s

gre

en

ho

use

ga

s

em

issio

ns

thro

ugh

the

d

eve

lopm

ent

of

the

Ca

rbo

n

Ma

na

ge

me

nt

Pla

n

Ba

se

26

,49

1

ton

nes C

O2

Ta

rge

t 2

3,9

17

to

nn

es

Red

uctio

n

9.7

% (

2,5

74

to

nn

es)

Ap

r 2

00

9

Dir

ecto

r O

S

37

1

51

2

21

0

74

8

14

5

50

0

Natio

na

l 1

4

SR

29

failu

re t

o

co

ntr

ol

en

erg

y/u

tilit

y

co

sts

AB

C01

b

Deve

lop

me

nt o

f a

re

ne

wa

ble

e

ne

rgy s

tra

teg

y

for

Arg

yll

an

d

Bu

te

Str

ate

gy w

ith

cle

ar

me

asu

rable

o

bje

ctive

s f

or

ren

ew

ab

les

de

ve

lopm

ent

(ma

rine

and

la

nd

)

Au

g

20

09

Dir

ecto

r D

S

Natio

na

l

2,

14

Incre

ase

by 2

, th

e n

o.

of

win

d

farm

d

eve

lope

rs

sig

ne

d u

p t

o

Str

ate

gic

C

on

co

rda

t

Ma

rch

2

01

2



Page 12

In establishing the Carbon Management Programme the Council has set the following Targets and Objectives:

2 emissions by 20% by March 2014, using financial year 2007/2008 as a base-li 2 emissions year on year.

efforts or renewables implementation, by 12% by March 2014; using financial year 2007/2008 as a base-line.

For an investment of approximately £2.5M of capital and revenue, deliver a projected annual reduction of 2,500 tonnes of carbon emissions; equivalent to a reduction of 10% in

arbon Management Programme.

decision making processes, particularly in terms of Asset Management, future capital decision making and procurement.

Embed the process of annual project identification and development through options appraisal to IBC stage

Develop, in conjunction with Strategic Finance a set of evaluative criteria reflective of the within future

capital planning and business case guidance.

Encourage workforce involvement in the identification of opportunities for carbon reduction projects and the implementation of actions.

Raise the environmental profile of the Council.

Lead by example and encourage partners and the wider community to make changes to reduce carbon emissions.



Page 13

3 Emissions Baseline and Projections

3.1 Scope

The following areas represent the sources of emissions which form the basis of Argyll and Bute CouncManagement Programme:

Energy Consumption in Council occupied buildings (arising from Council owned and tenanted premises).

Energy Consumption by street-lighting.

Fleet vehicle fuel consumption

Employee Business Travel.

Waste Management (arising from Council owned and tenanted premises).

The initial scope is believed to include the most prominent sources of emissions and also those in which the Council can exert greatest influence.

In addressing these sources of emissions, examples of specialist areas of activity which will also fall within the scope of the Carbon Management Programme are:

Procurement.

Information Technology.

Construction projects New and Refurbishment.

Working practices e.g. homeworking; business travel, use of video conferencing etc.

Human Resources

The following areas represent the sources of emissions which are not initially proposed to be covered within the scope of the Carbon Management Programme (but may be included in the near future):

Water Consumption in Council occupied buildings (arising from Council owned and tenanted premises).

Employee Home-Work-Home Travel.

Ferry/Air Business Travel.

These topics have not been included in the initial scope, primarily as improvements need to be made in terms of data collection to establish a robust emissions baseline. Also, it could be

addressing the areas of greatest impact.



Page 14

The scope of the Carbon Management Programme is not exhaustive and will be continually re-assessed over the duration of the programme.

3.2 Baseline

Argyll and Bute Council have set the Carbon Management Programme baseline year to financial year 2007/2008, which ran from 1st April 2007 to 31st March 2008.

The emissions factors, the source of this information and the charging matrix that has been employed in this Carbon Management Plan is summarised in Table 3.2.1.

Table 3.2.1 Summary table of emissions factors and fuel costs applied to baseline emissions (costs reflect market prices around November 2008)

Source

Baseline Cost

Rates Utilised

Baseline Emissions

Factors Utilised

Source of Emissions

Factors

Buildings Oil £0.48/litre 0.251kg CO2/kWh www.defra.gov.uk

Buildings Gas £0.03/kWh 0.185kg CO2/kWh www.defra.gov.uk

Buildings Electricity £0.12/kWh 0.523kg CO2/kWh www.defra.gov.uk

Buildings Wood £0.02/kWh 0kg CO2/kWh www.ipcc-nggip.iges.or.jp

Buildings Heat (Wood) £0.04/kWh 0kg CO2/kWh www.ipcc-nggip.iges.or.jp

Buildings Water (inc sewerage) £1.93/m³ 0.404kg CO2/m³ www.defra.gov.uk

Unmetered Electricity* £0.11/kWh 0.523kg CO2/kWh www.defra.gov.uk

Fleet Transport £0.85/litre 2.63kg CO2/litre www.defra.gov.uk

Business Travel £0.218/km 0.21kg CO2/km www.defra.gov.uk

Waste (Council Buildings Only) £110/tonne 447kg CO2/tonne www.defra.gov.uk

*Unmetered electricity generally consists of street lighting.

It should be noted that, occasionally in fuel contract negotiations, Argyll and Bute Council procures electricity from renewable sources. Any electricity procured in this manner is deemed still to come from the National grid and Argyll and Bute Council will continue to apply the DEFRA/Carbon Trust recommended emissions factors.



Page 15

Table 3.2.2 Summary table of emissions for baseline year 2007/2008

Source Baseline Cost £ % Cost

Baseline

Emissions

CO2

Tonnes CO2 %

Buildings Oil 853,090 12.0 4,767 18.0

Buildings Gas 445,062 6.3 2,744 10.4

Buildings Electricity 2,361,171 33.2 10,290 38.8

Unmetered Electricity* 653,245 9.2 3,106 11.7

Fleet Transport 871,012 12.2 2,695 10.2

Business Travel 1,588,326 22.3 1,510 5.7

Waste (Council Buildings Only)** 339,516 4.8 1,379 5.2

TOTAL BASELINE 7,111,422 100.0 26,491 100.0

*Unmetered electricity generally consists of street lighting.

**Waste generated from Council buildings estimated to be 7.6% of total sent to landfill

Figure 3.2.3 Summary of emissions (CO2 tonnes) for baseline year 2007/2008



Page 16

4 Carbon Management Projects

4.1 Rationale for Project Identification

Initially, a target CO2 emissions reduction of 20% in 5 years did not seem to be particularly ambitious when compared to targets being set by other public bodies participating in the Local Authority Carbon Management Programme (LACM6). It soon became clear however, when compiling the initial list of carbon reduction projects, that it would need a significant amount of resource and creativity to achieve a target reduction figure of 5,298 tonnes CO2 inside the 5 years. Achieving further targets beyond this level would represent an even more daunting challenge.

From Table 3.2.2 in Section 3.2, Baseline , it is clear that there are a number of areas that should offer an initial approach for the Council:

Building energy use accounts for approximately two thirds of the baseline CO2 emissions.

Building heating systems represent a large portion of buildings energy use.

Heating oil represents 18% of the emissions baseline; oil which is a diminishing resource is delivered by road and can represent a major environmental and financial headache when leaks occur.

Electricity use in Buildings accounts for almost 40% of the emissions baseline and when added to electric use by street-lighting, this figure rises to approximately 50%.

Business mileage accounts for only about 6% of the emissions baseline, but accounts for in excess of 20% of the overall baseline financial cost.

property upgrade office rationalisation projects in Helensburgh and Oban.

Conduct assortment of building energy efficiency projects.

Convert wet heating systems fuel type from oil/electric to Biomass/gas.

Consider electric generation opportunities.

Reduce business mileage (financial case strong).

Furthermore, the issue of security of fuel supply is considered to be one of some importance. Continued use of fossil fuels maintains a reliance on a diminishing resource and the basic economics of supply and demand will presumably drive pricing levels to uneconomic (or unsustainable) levels. For Argyll and Bute Council, this focuses attention on our ongoing use of heating oil and gas whilst continued investment in oil heating systems is not considered to be prudent, oil to gas conversions have been proposed for a limited selection of sites as these fairly straightforward projects offer a carbon saving of around 25% and a quick return on investment. Although electricity generation on the National Grid is heavily reliant on fossil fuels, it is not thought that there will be security of supply issues as there are reasonable prospects that the Grid electricity mix could gradually move to alternative fuel sources e.g. greater reliance on renewable and nuclear power.



Page 17

locally sourced and sustainable option, which also provides the local economy with economic, social and environmental benefit.

The financial and staffing resource required to deliver the Carbon Management Programme is considerable. Both are covered elsewhere in this document, but it is necessary to consider their impact on project priorities in this section. It is not proposed that traditional capital expenditure be pursued to fund the carbon management initiatives. Instead, a cocktail of funding which is being proposed this will involve use of revenue budgets, existing energy/utility efficiency budgets and Prudential

B it will be necessary to try to identify those projects that offer both a solid reduction in carbon emissions whilst offering as short a payback as possible (such that the funding available is not tied up for long periods of time, thereby limiting future programme progress).

Likewise, staffing resources are finite and it will be necessary to try to identify those projects that offer a solid reduction in carbon emissions without bogging down the limited human resources available.

Therefore, the .

Additional considerations which can influence the priority of any particular project include the following:

Where short term capital investment would be required in any event, due to plant/equipment etc approaching the end of their natural/useful life cycle.

To address key drivers associated with the Carbon Reduction Commitment or other appropriate legislation if it is extended to include Argyll & Bute.

Grant funding availability; many renewable projects could conceivably benefit from 100% feasibility funding and up to 50% towards the capital investment.

While there will be a few exceptions to the rule e.g. experimentation with new technologies to offer learning/curricular opportunities and to inform future business cases, the fundamental criteria which will be used to determine project priority are: Impact, Affordability, and Deliverability & Risk.

In terms of IBC and OBC evaluation, the availability of grant funding will significantly affect the viability of projects.



Page 18

4.2 Existing projects

The following projects are either underway or have been completed since the emissions baseline year.

Table 4.2.1 Existing Projects

Ref Project Lead Cost £ Funding Source

Human Resources Staff Weeks

Annual Saving Pay back

% of Target

Year £ CO2

BC1 Rothesay Pool Oil to gas fuel conversion

B Roberts

38,922 Utility Fund

1 5,658 33 6.9 0.63 2009/2010

BC43 NPDO Schools employment of a specialist energy consultant to ensure adoption of best practice

D Logan

10,000 NPDO Project

4 26,500 141 0.4 2.66 2009/2010

BC60 Rothesay Community Education Centre Electric to Gas Heating Conversion

W Luke

9,000 Capital/Utility Fund

1 1,200 7 7.5 0.13 2009/2010

BC61 Toward Primary School Installation of pv system*

P Gillies

1,000 Utility Fund

0.5 825 4 1.2 0.07 2009/2010

BC62 Drumlemble Primary School Installation of pv system*

P Gillies

1,000 Utility Fund

0.5 825 4 1.2 0.07 2008/2009

*Toward/Drumlemble photo-voltaic projects substantially grant funded

The table columns are described in more detail below.

Reference a unique reference for reporting purposes that corresponds to the initial business cases in Appendix B.

Project - short title for the project.

Lead the individual or team that will lead/own the project.

Cost £ total implementation cost (excludes staff costs but includes consultancy support).

Funding Source details the funding source which then determines whether capital or revenue investment and whether borrowing is required.

Human Resources estimated amount of staff time (in weeks) that will need to be afforded to this project.

Annual savings financial (£) and CO2 (tonnes)

Payback (years) the overall implementation cost divided by the annual saving.

% of target the percentage of your CO2 saving target that this project will annually contribute.

Year the first financial year this project will begin to deliver a CO2 saving.

Each project is described in more detail in Appendix B, making use of the unique reference numbers.



Page 19

4.3 Planned / funded projects

The list of Projects at Appendix C were considered and approved by the Council as part of the Budget process for 2009/10. An up to date list of projects under current consideration is summarised within Appendix B1. Exemplars of the IBCs approved by the Programme Board are at Appendix B.2.

In developing the IBCs the Programme Team utilised fuel prices and energy costs from around 1st November 2008. Each project taken forward from IBC stage will require a Final Business Case (founded on current and projected fuel and energy costs) to be developed and approved by the Programme Board before proceeding to implementation/construction.

4.4 Projected achievement towards target

Table 4.4.1 and figure 4.4.2 below portray the total carbon emissions pertaining to the initial scope of the Carbon Management Programme (Years 1-3) for Argyll and Bute Council.

Furthermore, the figure (pie chart) and table give an indication of the anticipated CO2 reduction levels in percentage terms that are expected to be attained through projects/processes already identified and also displays the level of emissions that remain to be identified/addressed over the remaining period of the initial five years of the Carbon Management Programme.

Table 4.4.1 Carbon Emissions Reduction Projection

Carbon Emissions

(%)

Value at Stake (£)

CO2 Emissions (Tonnes)

Carbon Emissions Balance 80% 5,689,138 21193

Carbon Emissions Target (Year 1-3)

- Projected Reduction 9.7% 689,808 3102

Carbon Emissions Target - Projected Shortfall (Years 4-5)

10.3% 732,764 2156

TOTAL 100% 7,111,422 26491



Page 20

Figure 4.4.2 Carbon Emissions Reductions Projection



Page 21

5. Carbon Management Plan Financing

5.1 Assumptions

It has been necessary to make a number of assumptions in the preparation of the Carbon Management Plan. Specific to financing of the Plan, the following assumptions should be borne in mind:

Gas and electricity costs are volatile. As such, the financial component of a business case can be rendered obsolete in a matter of days. As of January 2009, the largest extent of the pricing of gas and electricity for Argyll and Bute premises was known for financial year 2009/2010. Any new business cases will reflect these rates and any existing business cases have been revised to reflect these rates. The greater the project payback, then the greater the exposure will be to fluctuating prices beyond that of gas and electricity already procured.

Heating Oil and Vehicle Fuel costs are volatile. As above, the financial component of a business case can be rendered obsolete in a matter of days. Current fuel supply contract arrangements link heating oil and vehicle fuel pricing to reflect market conditions on an ongoing basis. To maintain some consistency across the full range of business cases, an assumption has been made as to the price of heating oil and vehicle fuel. This is obviously a matter of conjecture, but for the purpose of business case evaluation, it has been assumed that heating oil is delivered at 50p/litre and vehicle fuel at 85p/litre. Any new business cases will reflect these rates and any existing business cases have been revised to reflect these rates. The greater the project payback, then the greater the exposure will be to fluctuating prices.

A number of fuel conversion projects are contained within the Carbon Management Plan. Where Oil to gas conversions are proposed, it is assumed, that in the longer term oil prices will continue to exceed that of gas by an attractive margin. It should be noted that although market prices for different fuels tend to follow similar trends, situations could arise whereby both unfavourable or favourable differentials could arise e.g. conflicts in the Middle East affect oil production and/or political differences between Ukraine and Russia affect gas supplies etc.

Where feasibility studies are proposed, it has been assumed that the projects will be viable and as such have been included as Carbon Management projects.



Page 22

5.2 Benefits / savings quantified and un-quantified

A shopping basket of carbon reduction projects has been identified. The projects vary dramatically in terms of human resources required, financial resources required, financial return, carbon emissions reduction and risk etc.

Table 5.2.1 provides a summary of projects which have been identified in the initial stage of the Carbon Management programme and have notional benefits/savings quantified.

Table 5.2.1 Projected Annual Carbon and Financial Savings

2008/09 2009/10

Year 1

2010/11

Year 2

2011/12

Year 3

2012/13

Year 4

2013/14

Year 5

Annual cost saving

0 £137,984 £536,783 £793,303 Note * Note *

Cumulative annual cost saving

0 0 £674,766 £1,468,069 - -

Annual CO2 saving (tonnes)

0 337 1,243 2,574 - -

Cumulative annual CO2 saving (tonnes)

0 337 1,580 4,154 - -

% of Annual target achieved

0 1.3% 4.7% 9.7% - -

Note * - The Carbon Management Programme has been developed for 2009-12. Future projects for 2012 (and associated CO2 and revenue savings) will be developed within the annual planning and budgeting cycle.

In addition to quantifiable benefits, there are also benefits derived from the programme which are much more difficult to evaluate. These include:

Corporate reputation

Socio-economic factors

Reducing exposure to fossil fuel supply problems

Progress to Carbon Reduction Commitment (CRC) objectives

5.3 Additional resources

It is clear that the Carbon Management Plan offers tremendous opportunity to Argyll and Bute Council. There is however the need to identify staffing resource who possess the skills, knowledge and capacity to fully support the programme and ensure project delivery.



Page 23

Table 5.3.1 below provides an indicative assessment of the dedicated staffing resources that will need to be secured to support the delivery of the programme. In some cases, the staffing resource will not be additional as existing personnel may be able to absorb project works into their existing activity, but it is recognised that the Council will have to procure technical skills and resource capacity.

Table 5.3.1 Projected Staffing Resources Required to deliver the Carbon Management Plan

2009/10 2010/11 2011/12

Total (Staff Weeks) 95 81+ 19+

+ It is expected that additional staff weeks will be required to develop/manage new projects identified within Years 1 & 2 and beyond

Generally, the staff time identified above relates to input to deliver particular projects and not that to maintain the programme over a longer term. As a very crude measure, an indicative staff requirement of 2-3 members of professional staff time will be required to deliver the programme. Additional Technical & Project Management Resource As the Council does not possess the full extent of the requisite experience, technical expertise and staff capacity required, it is envisaged that the Council must establish what external Technical and Project Management resource it will require to assist with the development of projects from IBC through Feasibility to OBC stage, and then if approved, through the construction phase to project commissioning. Given that the public sector is scarred by a number of renewable projects which have failed to deliver projected savings or have been struck by technical difficulties, it is essential that the Council approaches the procurement of external resource through a structured and progressive process to identify successful technologies and successful companies/consultants who are leaders in this field. Initial discussions with NHS Highland in early 2009 have identified the scope for a potential joint procurement exercise to determine external companies and consultants who possess the requisite technical expertise and track record of successful project delivery which will be required to support renewable energy projects in particular.

5.4 Financial costs and sources of funding

The Carbon Management Plan has developed a programme of projects which have been subject to a process of Initial Business Case evaluation. The projects identified within the approved programme for 2009-12 are all assessed as self funding projects; through revenue savings achieved to support prudential borrowing for capital investment or for direct revenue funding of projects.

The Carbon Management Plan and Carbon Management Programme will be funded on robust

Planning Guidance and financial standing orders.



Page 24

Projects within the Carbon Management Programme for 2009-12 were considered by Members and approved as part of the Budget Process for 2009/10.

The Carbon Management Programme is at Appendix C. The programme identifies project funding from: CEEF, Prudential Borrowing, Utility Fund and Revenue.



Page 25

6 Actions to Embed Carbon Management in Your Organisation

The Carbon Management Embedding Matrix at Appendix A provides an assessment of how firmly Carbon Management is embedded within the Council. Given that Argyll & Bute joined the LACM programme in 2008, the initial assessment is very encouraging at this stage; with the Council scoring above the midpoint for the majority of criteria. The areas which the Council currently is weak in are Communications & Training and Policy Alignment. Table below provides a summary of the position.

Score (1-6)

Corporate Strategy

Programme Management

Responsibility Data Management

Communication and Training

Finance & Investment

Policy Alignment

2008/9 4 4 4 4.5 2 3.5 2

The weakness in Communication & Training will be addressed by the Programme Board and project Team in Year One through the development and implementation of the associated Initial Business Case.

The weakness in Policy Alignment will be addressed through the Environment PPG.

6.1 Corporate Strategy embedding CO2 saving across your organisation

The Council has identified tackling climate change as the first of its 14 Strategic Outcomes within its Corporate Plan for 2009-12, which is at Section 2.1. The Council has specifically identified a 3 Year Target carbon saving of 9.7% within the Corporate Plan, and a 5 Year target of 20% identified within the Carbon Management Plan which will be approved by the Full Council in April 2009.

The Carbon Management Programme Board will be responsible for taking forward and developing mechanisms to embed CO2 savings within the wider Council through the Carbon Management Programme and will consider proposals within Year One for the establishment of Departmental and Service targets.

The Environment PPG has directed that the Carbon Management Programme Board develop a framework to assess and calculate the impact upon green house gas emissions as part of standard Corporate and Service decision making processes in Year One.

6.2 Programme Management bringing it all together effectively

Programme Management, Governance and the Budget Process are covered in Section Seven of this Plan.



Page 26

6.3 Responsibility being clear that saving CO2

In introducing and developing the Carbon Management PIan, the Member Sponsor, the Programme Sponsor and the Programme Leader were responsible for both raising the

issues and risks related to climate change and for ensuring that Members considered the requirement to tackle climate change within the development of the Corporate Plan. The Council has approved the Carbon Management Plan and has established the requirement to tackle climate change within its Corporate Plan and has identified 3 and 5 year targets for savings in green house gas emissions.

to embed responsibility and commitment across the Council at all levels. In broadening responsibility across the organisation, a structured programme will be established by the Programme Team, which will be guided by the Programme Board and referred to the Strategic Management Team and Council committees as appropriate.

In Year One, the focus will be upon identifying key staff members who have responsibilities for the day to day operation of assets (property and vehicles) who can effect carbon savings reductions. Examples of key staff will be Janitors, Caretakers, HGV drivers and Leisure Duty Officers. A programme of training, supported by post training audits will be put in place which will target this key group of staff.

The development of an effective Communication & Training Plan will take this Year One objective forward as outlined at Section 6.4. In the medium term, options which can be considered will include:

engagement at the local level this can double the effectiveness and longevity of your awareness campaigns.

The inclusion of specific carbon saving responsibilities in relevant job descriptions, e.g. Heads of Service.

The use of carbon saving objectives for staff as part of their performance development reviews.

6.4 Data Management measuring the difference, measuring the benefit

Argyll and Bute Council Energy Team possess a Stark Energy Management monitoring and targeting system.

with the following utility consumption and cost information:

Gas

Half Hourly Electricity

Non Half Hourly Electricity (work in progress)

Heating Oil

Water (work in progress)



Page 27

and it is this process that ensures easy access to the key data. Once populated, the Stark system can be used to generate a system of regular and appropriate carbon management reports. It is proposed that the Stark system be expanded further in scope to incorporate information pertaining to the following:

Staff Business Mileage

Fleet Vehicle Fuel Use or Mileage

Buildings Waste

Street-lighting

Ferry travel, air travel, commuting etc (future)

In this case, it is necessary to ensure a regular flow (monthly proposed) of accurate information from a variety of sources to the Energy Team such that the Stark system can be updated. The Energy Team will be responsible for the monitoring of carbon emissions and the targeting of carbon savings projects. A selection of carbon management reports will be circulated by the Energy Team to a variety of interested parties. This will vary between a quarterly and an annual basis depending on the particular report and the audience it is intended for.

The availability of the Performance Management System (Pyramid) and this will, in turn, provide the platform for recording progress in the delivery of energy saving and carbon reduction projects. The Annual Progress Review Report will be reported to the Council Executive, Environmental PPG and SMT.

6.5 Communication and Training ensuring everyone is aware

From the launch of the Carbon Management Programme in June 2008, the programme has achieved prominent visibility at Member level through the Environment PPG, and through the consideration of the Business Case for energy saving projects developed as part of the

Change programme in December 2008 - February 2009. There is a satisfactory level of awareness at senior and middle management level of the programme, which has built upon the initial splash wit in June 2008, through well supported workshop sessions (30 staff) held in September and as evidenced by the number of suggestions received from staff members and from Councillors in the development of the programme to date. In addition, the CMP has been presented to the Community Services Departmental Management Team, the Operational Services Departmental Management Team and the Operational Services Management Seminar (circa 50 3rd & 4th tier managers), which covers the majority of managers within the Council who have property and vehicle fleet responsibilities.

The CMP has been considered by the Strategic Management Team and has been built into



Page 28

The focus of the initial communication exercise (Member and management engagement) can therefore be considered to have been successful to date. Without survey information, it is not possible at this stage to assess whether the introduction of the CMP has penetrated beyond Member and management levels into the wider Council operation, but as no targeted campaign has been put in place, whilst staff may well have heard of the CMP and be aware of its broad principles, it is unlikely that awareness goes much beyond that.

The Carbon Management Programme is a long term programme, it is essential therefore that the Communication & Training programme which will support the CMP is also a long term and sustained programme. It must be recognised that there is a risk of cynicism and negative perception from staff if a campaign is put in place which is of poor quality, trite or banal. The Awareness Campaign and Training Programme require to be sustained over a 5 year period with the same messages delivered in fresh, innovative, forceful and sophisticated manner to keep staff motivated and engaged.

To plan, structure and resource a long term sustained and effective campaign will require further research and support from partners (Carbon Trust & Energy Savings Trust) and other Local Authorities who have run awareness programmes (successful or otherwise) to date. The development of the long term programme is seen as a major challenge for the Programme Board in Year One.

Whilst the long term programme is key to the long term support of the CMP, it will be possible in Year One to put in place specific targeted measures which can raise awareness amongst key operational staff that can affect energy use. In Year One it is intended to target the following operational staff:

Leisure Staff

School Janitors and Janitor/Cleaners

HGV drivers

Staff training sessions have been arranged for Leisure Staff through the Energy Savings Trust, and a programme of training for school janitors and janitor/cleaners is programmed for

training undertaken on a one-one basis to reinforce key messages and actions.

As the CMP brings together a number of existing initiatives under one programme, the Programme Board must consider the opportunities which exist to integrate the awareness work and training programmes being undertaken through Eco Schools, Alienergy, GRAB & Recycling to ensure consistency o for the Council.

6.6 Finance and Investment the money to match the commitment

This factor is covered in Sections Five and Seven of this Plan. The Carbon Management Plan has developed a programme of projects which have been subject to a process of Initial Business Case evaluation. The projects identified within the approved programme for 2009-12 are all assessed as self funding projects.



Page 29

The Carbon Management Plan and Carbon Management Programme will be funded on robust

Planning Guidance and financial standing orders.

6.7 Policy Alignment saving CO2 across your operations

The Scoring matrix at Appendix A hiof its policies relating to tackling climate change.

At present the Council has a number of different Services and external partners working on projects which advance recycling, energy efficiency, renewable energy and climate change awareness. The establishment of the Carbon Management Plan allows all of these different service and project areas to be focussed within the scope of the Carbon Management Programme.

In 2009-10, the Programme Board will sponsor the review of the scope, terms of reference, outcomes and the performance of internal Council services and external partner organisations it funds, and will, through the process of this review, establish the framework and timetable for the alignment of policy, planning and performance management to tackle climate change across the Council.

The Programme Board will also establish priorities for the review and alignment of existing Council policies which will include:

o Procurement sustainable procurement

o Capital projects energy / carbon whole life costing

o HR business travel and essential car users allowance

In April 2009, the Council will consider the Process For Change Business Case which includes a Procurement Theme. In developing the High Level Business Case, the Project Manager has included within the scope of the project the opportunities for making green house gas emission savings through strategic procurement policy.



Page 30

7 Programme Management of the CM Programme

The Carbon Management Programme governance and management structure is given below:

Programme Member Sponsor - Chair of Environmental PPG

Programme Sponsor - Head of Facility Services

Programme Leader - Energy Manager

Programme Board - Head of Community Regeneration

Programme Board - Senior Planning/Development Officer

Programme Board - Finance Manager (Operational Services)

Programme Board - Finance Manager (Community Services)

Key Programme Stakeholders are:

Chief Executive

Strategic Management Team Directorate

Environment PPG

Staff

Community Partners / Partners e.g. NHS, Alienergy

Funding Agencies

General Public

Strategic Management Team

(Directorate)

Programme Sponsor

(Head of Facility Services)

Programme Lead

(Energy Manager)

Progamme Board Environment PPG

Programme Team

Programme Team Line Management/

Stakeholders

Full Council



Page 31

7.1 The Programme Board strategic ownership and oversight

The Programme Board will meet every quarter to review performance and progress and will approve the development of future Carbon Management programmes in advance of the Annual Budget Process. The Programme Board consists of seven key staff members this includes the Programme Sponsor, Councillor Sponsor, Programme Leader and Finance

have a stake in reducing green house gas emissions and reducing revenue expenditure. The Programme Board will request that other key Council staff attend Programme Board meetings as appropriate. The Governance, Planning and Budget cycle which will support the continuation of the Carbon Management Plan is given below. This cycle will ensure that Carbon Management becomes embedded within the Coannual Corporate and Service Planning and associated budget process.



Page 32

The Programme Board will report on progress through the Programme Sponsor to the Strategic Management Team and the Environment PPG quarterly.

The Programme Board will report the Annual Progress Review to the SMT, Environment PPG

7.2 The Carbon Management Team delivering the projects

The Carbon Management Team will meet quarterly to review performance and progress - a month in advance of the Programme Board.

In Year One, the Carbon Management Team meetings will be initially chaired by the Programme Sponsor until the programme cycle is established; thereafter they will be chaired by the Programme Leader.

The Programme Team is responsible for the:

Execution of the Carbon Management programme and the delivery of projects

Performance Reporting through the Pyramid System)

Development of future programme options

Development of Initial Business Cases

Annual Performance Review

7.3 Succession planning for key roles

The Argyll & Bute Carbon Management Programme has identified the Carbon Management Board and Team by postholder rather than by individual. There is no succession plan in place other than key roles will be filled by the appropriate replacement postholder should a Board or Team member leave the Council.

7.4 Ongoing stakeholder management

The Governance, Planning and Budget Cycle provide the framework by which the Programme Board and Programme Team will engage with the following key stakeholders:

Chief Executive

Strategic Management Team Directorate

Environment PPG

The Carbon Management Programme Board will determine the framework by which the Programme will engage with the following stakeholders:

Staff

Community Partners / Partners e.g. NHS, Alienergy

Support Agencies e.g. Carbon Trust, Energy Saving Trust



Page 33

Funding Agencies

Consultants & contractors

General Public

7.5 Carbon Management Programme - Risk Register

The Carbon Management Programme Team will maintain a Programme Risk Register and Issues Log which will be reviewed by the Programme Board quarterly, and will be included within the Annual Progress Review. The Programme Risk Register dated 31 March 2009 is at Appendix D.

7.6 Annual Progress Review

The Carbon Management Programme Team will produce an Annual Progress Review Report for consideration by the Programme Board, SMT, Environment PPG and Council Executive as set out within the Governance, Planning and Budget Cycle identified at Section 7.1.

Pyramid Performance Reporting System.

Arg

yll

an

d B

ute

Co

uncil

Carb

on

Ma

na

ge

me

nt

Pro

gra

mm

e

Carb

on

Ma

na

gem

en

t P

lan

wo

rkin

g w

ith

Pa

ge

34

Ap

pen

dix

A:

Carb

on

Man

ag

em

en

t M

atr

ix

Em

bed

din

g

C

OR

PO

RA

TE

S

TR

AT

EG

Y

PR

OG

RA

MM

E

MA

NA

GE

ME

NT

R

ES

PO

NS

IBIL

ITY

D

AT

A M

AN

AG

EM

EN

T

CO

MM

UN

ICA

TIO

N &

T

RA

ININ

G

FIN

AN

CE

&

INV

ES

TM

EN

T

PO

LIC

Y A

LIG

NM

EN

T *

5

T

op level ta

rget

allo

cate

d a

cro

ss

org

anis

ation

C

O2 reduction targ

ets

in

Directo

rate

Busin

ess

Pla

ns

S

enio

r M

anagem

ent

Team

/Com

mitte

e/C

ourt

re

vie

w p

rogre

ss a

gain

st

targ

ets

on q

uart

erly

basis

Q

uart

erly d

iagnostic

report

s p

rovid

ed t

o

Directo

rate

s

P

rogre

ss a

gain

st ta

rget

publis

hed e

xte

rnally

CM

inte

gra

ted in

responsib

ilities o

f senio

r m

anagers

CM

part

of

all

job

descriptions

C

entr

al C

O2 reduction

advic

e a

vaila

ble

G

reen C

ham

pio

ns

leadin

g local action

gro

ups

Q

uart

erly c

olla

tion o

f C

O2 e

mis

sio

ns for

all

sourc

es

Data

exte

rnally

verified

M

&T

in p

lace for:

o b

uild

ings

o s

treet lig

hting

o w

aste

o

tra

nsport

A

ll sta

ff g

iven f

orm

alis

ed

CO

2 reduction:

oin

duction a

nd t

rain

ing

ocom

munic

ations

Join

t C

M

com

munic

ations w

ith

key p

art

ners

S

taff a

ware

ness teste

d

thro

ugh s

urv

eys

F

inance c

om

mitte

d for

2+

yrs

of P

rogra

mm

e

Exte

rnal fu

ndin

g b

ein

g

routinely

obta

ined

R

ing-f

enced f

und f

or

carb

on r

eduction

initia

tives

C

O2 f

riendly

opera

ting

pro

cedure

in p

lace

Centr

al te

am

pro

vid

e

advic

e a

nd r

evie

w,

when

requeste

d

B

arr

iers

to C

O2 reduction

routinely

consid

ere

d a

nd

rem

oved

4

C

O2 reduction

com

mitm

ent in

C

orp

ora

te S

trate

gy

Top level ta

rgets

set fo

rC

O2re

duction

C

limate

Change

Str

ate

gy r

evie

wed

annually

S

ponsor

revie

ws

pro

gre

ss a

nd r

em

oves

blo

ckages thro

ugh

regula

r P

rogra

mm

e

Board

s

P

rogre

ss a

gain

st ta

rgets

ro

utinely

report

ed t

o

Senio

r M

gt

Team

C

M inte

gra

ted in to

responsib

ilities o

f depart

ment h

ea

ds

S

enio

r M

anagem

ent

Team

/Com

mitte

e/C

ourt

re

gula

rly u

pdate

d

S

taff e

ngaged though

Gre

en C

ham

pio

n

netw

ork

A

nnual colla

tion o

f C

O2

em

issio

ns for:

o b

uild

ings

o s

treet lig

hting

o t

ransport

o

waste

D

ata

inte

rnally

revie

wed

A

ll sta

ff g

iven C

O2

reduction:

o

induction

o

com

munic

ations

o

CM

matt

ers

com

munic

ate

d t

o

exte

rnal com

munity

C

oord

inate

d f

inancin

g

for

CO

2re

duction

pro

jects

via

Pro

gra

mm

e

Board

F

inances c

om

mitte

d 1

yr

ahead

Som

e e

xte

rnal financin

g

C

om

pre

hensiv

e r

evie

w

of

polic

ies c

om

ple

te

Low

er

level polic

ies

revie

wed locally

U

npopula

r changes

bein

g c

onsid

ere

d

3

C

O2 reduction v

isio

n

cle

arly s

tate

d a

nd

publis

hed

C

limate

Change

Str

ate

gy e

ndors

ed b

y

Cabin

et

and p

ublic

ised

with s

taff

C

ore

team

regula

rly

revie

w C

M p

rogre

ss:

o a

ctions

o p

rofile

& t

arg

ets

o

new

opport

unitie

s

A

n indiv

idual pro

vid

es

full

tim

e f

ocus f

or

CO

2

reduction a

nd

coord

ination a

cro

ss the

org

anis

ation

S

enio

r S

ponsor

actively

engaged

C

olla

tion o

f C

O2

em

issio

ns for

limited

scope i.e

. build

ings o

nly

E

nvironm

enta

l /

energ

y

gro

up(s

) giv

en a

d h

oc:

o

train

ing

o

com

munic

ations

A

vie

w o

f th

e c

ost of C

O2

reduction is d

evelo

pin

g,

but

fin

ance r

em

ain

s a

d-

hoc

Som

e c

entr

alis

ed

resourc

e a

llocate

d

Fin

ance r

epre

senta

tion

on C

M T

eam

A

ll hig

h level and s

om

e

mid

level polic

ies

revie

wed,

irre

gula

rly

S

ubsta

ntial changes

made, show

ing C

O2

savin

gs

2

D

raft

Clim

ate

Change

Polic

y

C

limate

Change

refe

rences in o

ther

str

ate

gie

s

A

d h

oc r

evie

ws o

f C

M

actions p

rogre

ss

C

O2 reduction a

part

-tim

e r

esponsib

ility

of

a

few

depart

ment

cham

pio

ns

N

o C

O2 e

mis

sio

ns d

ata

com

pile

d

E

nerg

y d

ata

com

pile

d o

n

a r

egula

r basis

R

egula

r aw

are

ness

cam

paig

ns

S

taff g

iven C

M

info

rmation o

n a

d-h

oc

basis

A

d h

oc fin

ancin

g f

or

CO

2

reduction p

roje

cts

P

art

ial re

vie

w o

f key,

hig

h level polic

ies

S

om

e fin

ancia

l quic

k

win

s m

ade

1

No p

olic

y

N

o C

limate

Change

refe

rence

N

o C

M m

onito

ring

N

o r

ecognis

ed C

O2

reduction r

esponsib

ility

No C

O2em

issio

ns d

ata

com

pile

d

E

stim

ate

d b

illin

g

N

o c

om

munic

ation o

r tr

ain

ing

N

o s

pecific

fundin

g for

CO

2 reduction p

roje

cts

N

o a

lignm

ent of polic

ies

for

CO

2 reduction

BES

T

Wo

rst

* M

ajo

r opera

tional polic

ies a

nd p

rocedure

s, e.g

. C

apital P

roje

cts

, P

rocure

ment, H

R, B

usin

ess T

ravel



Page 35

APPENDIX B1 - Summary of Carbon Management Plan Initial Business Cases 2008/09

1. Rothesay Pool - Oil to Gas Fuel Conversion

2. Thomson Home, Rothesay - Oil to Gas Fuel Conversion

3. All Council Buildings - Re-lamping Best Practice

3.1 Option 1 - Expiry of Existing Lamps/Lights

3.2 Option 2 - Successive Programme of Building Re-Lamping (Highest Usage - Lowest

Usage)

4. Tiree High School - Renewable Opportunities for Heating

5. Islay High School/Bowmore PS - Oil/Electric to Biomass Conversion Feasibility

5.1 Islay High School/Bowmore PS - Oil/Electric to Biomass Conversion

6. Hermitage Primary School - Oil to Gas Fuel Conversion

7. John Logie Baird Primary School - Oil to Gas Fuel Conversion

8 Insulation Surveys to Key Community Services Properties.

8.1 Insulation programme Community Services properties - 11 properties

9. Insulation Surveys to all Shared Office, Leisure and Depots

9.1 Insulation Programme - 30 Properties

10. Oban High School - Oil to Gas Conversion Feasibility

10.1 Oban High School - Oil to Gas Conversion

10.2 Oban High School - Oil to Bio Mass Conversion (Dependant on Gas Availability)

Feasibility

10.3 Oban High School - Oil to Bio Mass Conversion (Dependant on Gas Availability)

11. Campbeltown Grammar School - Oil to Gas Conversion Feasibility

11.1 Campbeltown Grammar School - Oil to Gas Conversion

11.2 Campbeltown Grammar School - Oil to Biomass Conversion (Dependant on Gas

Availability) Feasibility

11.3 Campbeltown Grammar School - Oil to Biomass Conversion

12. St Kierans Primary/Kintyre CEC/Castlehill Primary - Heating Conversion to Biomass

Operation

13. Lochgilphead Library/Lochgilphead CEC/Manse Brae Offices - Heating Conversion to

Biomass Operation

14. Struan Lodge, Dunoon - Oil to Gas Fuel Conversion

15. Increase Recycling - All Council Buildings

16. Aqualibrium - Voltage Optimisation Trial

17. Wood Fuel Sourcing Biomass Supply Alienergy



Page 36

18. Lochgilphead Adult Resource Centre - Oil/Electric - Biomass Conversion (Connection

to District Heating)

19. Tarbert Academy - Heating Conversion to Biomass Operation

20. Travel Plan - Executive Controls - 15% Reduction in Business Mileage (From 4.5M

Miles to 3.85M Miles)

20.1 Travel Plan - Executive Controls - Foreign Travel, Conferences & Seminars

21. Queens Hall, Dunoon - Oil to Gas Fuel Conversion

22. Installation of Variable Speed Drives - Swimming Pools

23. Kilmory Castle & Nursery - Oil to Biomass Conversion Feasibility

23.1 Kilmory Castle & Nursery - Oil to Biomass Conversion

24. Biofuel Generator

25. Management of the PC Desktop

26. Server Virtualisation

27. Staff Awareness and Energy Saving Programme

27.1 Staff Awareness & Energy Saving Programme Aqualibrium 1:1 Training

27.2 Staff Awareness & Energy Saving Programme Argyll House Whole Building Trial

28. Fuel Saving - Council Fleet Vehicles

29. Portable Electric Heating Appliances Removal of all Unauthorised Appliances

(controlled by Energy Manager.

30. Street Lighting - Dimming Trial

31. Achahoish PS Electrical Generation - Wind Turbine (6kW)

32. Islay High School - Electrical Generation - Wind Turbine Feasibility

33. Gartbreck (Islay) Electrical Generation - Wind Turbine Feasibility

34. Energy Management Team Resource Required to Develop Future IBCs in All Areas for

Year Two and Beyond

35. Riverside Pool- Voltage Optimism Trial

36. Campbeltown CEC - Oil to Gas Conversion (Bio Mass to be Considered)

37. Street Lighting - Audit of Installation Capacity & Billing

38. Oban Office Rationalisation - Property Disposals and Development of Carbon Friendly

Alternative Accommodation Feasibility

39. Develop Carbon Neutral Concept for All Council Emissions Associated With The Isle of

Islay

40. Rothesay - Energy Sourcing from Community CHP Scheme (Biomass)

41. Rothesay/Dunoon - Feasibility of Mini Hydro from Reservoirs

42. All Council Buildings - Energy Audit Recommendations - Assorted Minor Projects



Page 37

43. NPDO Schools Employment of a Specialist Energy Consultant to Ensure Adoption of

Best Practice

44. Aqualibrium Pool Cover Installation

45. Smart Metering Trials

46. Achieve Carbon Trust Standard (Leisure Properties Initially)

47. Water Conservation Initiatives

48. General Review of DHW Provision

49. Research Council Electric Load Requirements Against National Grid Network

Capacities

50. Dalintober PS Oil to Gas Fuel Conversion

51. Electric Generation (Leisure) Feasibility to Harness Exercise Bike Energy

52. St Andrews Primary School Oil to Gas Heating Conversion

53. Electric Heating Systems Review of Controls

54. Waterless Urinal Trial

55. Catering Sub Metering Trial Greater Ownership of Catering Staff

56. Rothesay Leisure Pool Pool Area Partition (Feasibility)

57. Review Handling of Site Closures to avoid Unnecessary Costs

58. Adoption of Council-Wide Standards Carbon Friendly Specification & Design Advice;

Rationale for Project Decisions.

59. Renewables Event Scope Out Opportunities

60. Rothesay Community Education Centre Electric to Gas Heating Conversion

61. Toward Primary School Installation of pv System

62. Drumlemble Primary School Installation of pv System

63.1 TRV Installations Assorted Sites



64 Feasibility of procuring a mobile/commercial wind speed/direction logger

(Anemometer).



Page 38

APPENDIX B.2 Exemplar Projects IBCs



Page 39

Resources (Deliverability)

Management: demand on management resources are limited; an external mechanical services consultant (ATCO) will provide design and project management support ; the Technical Support Team will provide the project supervisory function on behalf of the client (Leisure Services).

Ownership and accountability

1. The Head of Facilty Se 2. The Business Case is the responsibility of the Property Services

Manager and the Energy Manager. 3. The Leisure Manager and the Site Manager will ensure that client

interests are served in terms of facility operation. 4. The Property Services Manager and Technical Support Team

Manager are responsible for project delivery (inc. technical decision making, provision of consultancy services and obtaining consents and approvals).

5. The Property Services Manager and Technical Support Team Manager are accountable for project delivery (inc. technical decision making, provision of consultancy services and obtaining consents and approvals) and for project hand-over.

6. The Site Manager will liaise with Highland Fuels to keep oil storage levels to the minimum.

7. The Leisure Manager, Site Manager and Energy Manager are to be consulted in decision making and be informed of progress.

8. The Site Manager and Energy Manager will be responsible for measurement of benefits.

CMP Business Case 1 / Action 1: Rothesay Pool Oil to Gas Fuel Conversion

Description and notes This project involves the installation of a new mains gas connection and conversion of the existing oil fired boilers to a gas fired type (via a burner exchange). Costs will also include for mechanical consultancy support, decommissioning of the existing oil system (inc. storage tank), boilerhouse ventilation works etc.

Rothesay Pool iusers. Mains gas is cheaper than oil and has lower carbon emissions (approx 25%). Heating oil is delivered by tanker/road which adds to both carbon emissions and risk of delivery failure; there are also environmental risks with the use of oil, should leaks occur.

Benefits (Impact) Emissions reduction 33 Tonnes CO2 per annum

Saving - £5,658 per annum

Simple Payback period 6.9 years

Move from tanker delivery of fuel to mains supply.

Costs/Funding (Affordability)

Financial investment - £38,922

Minimal change to maintenance costs

Funding Stre the project costs being recovered from the site energy budget

savings over the payback period.



Page 40

Ensuring success (Risk)

Competent services design.

Principal risks: ongoing availability of mains gas supply and at satisfactory pressures.

Pricing model assumes gas always to be relatively cheaper than oil. Both fuel prices volatile.

P.Gillies Revision 31st March 2009.

Performance / success measure

The amount of fuel used is not expected to alter greatly, but the fuel conversion will reap cost and carbon benefits. This can be readily evaluated after 12 months of operation (approx Nov 2009) by comparing historical oil cost/consumption/emissions data prior to fuel conversion (12 months from Sep 2007). Staff should read the gas meter regularly to ensure the most accurate comparison; this will also allow interim evaluations of success to be conducted.

Timing This project has already been authorised and completed.

Sources of information and guidance

Oil consumption data for Rothesay Pool was provided by Highland Fuels.

Annual oil cost taken as 46,000 litres at 48p/litre average (£22,080) with 137 tonnes CO2 emissions per annum.

Annual gas cost taken as 547400kWh at 3p/kWh (£16,422) with 104 tonnes CO2 emissions per annum.

Financial investment SGN £4,750; SSE £1,500; ATCO £3,750; A-Tech etc £28,972 Total £38,922



Page 41

CMP Business Case 8(a): Community Services - Programme of Insulation Surveys to All Community Services Properties

This project involves the survey of all Community Services Properties, throughout Argyll and Bute to establish the presence and condition of existing insulation measures, and to identify the necessary upgrading works. It is envisaged that in addition to topping up loft insulation, pipework insulation and installing cavity wall insulation, draught proofing measures shall be investigated.

To ensure that value for money is obtained, a Competitive Tendering process shall be used, with tenders being issued to suitably qualified and experienced insulation companies. (The Council successfully used a number of these firms in previous years in a programme of upgrading insulation to the councils former housing stock. The lessons learned from this project shall be incorporated into the proposed scheme). The tenders will include prices for the survey, and for the installation of insulation and draught proofing measures that may be thrown up following the survey.

Quality control measures shall be built in to the process, through checks on completed work, and through the use of a thermal imaging camera survey.

The costs associated with the survey are as follows:-

Professional fees

Comprising:-

Preparation of contract documents and specifications.

Issuing of tenders and related processes

Receipt of tenders and reporting on results

Contractors Survey Charges

Comprising:-

Labour, transport and administrative costs

The/..



Page 42


Funding Stream: Central Energy Efficiency Fund (CEEF).

Management: The tendering of the work and management of the survey effort can be managed by the Community Services Capital programme team, utilising existing sources. Close liaison is envisaged with the councils Energy Manager.


1. The Head of Community Regeneration will be the

2. The Business Case is the responsibility of the Community Services Capital Programme Manager and the Energy Manager. Other responsibilities to be determined if project is given approval to proceed.


Timing and project coordination important, realistic timescales to be agreed to suit availability of professional staff

Competent management and administration

Competent contractor and suitably qualified/experienced surveying staff

Principal risks: ongoing availability of suitable contractors. Quality of survey information provided.

Site cooperation: access for survey work to be facilitated.

Description and notes (cont)

The estimated total cost of these being £25,000

It should be noted that further costs shall be incurred, if the works identified by the survey effort were to proceed. These would include, the payments to the contractor (at tendered rated) professional fees/supervision costs, and specialist thermal imaging camera surveys. It is anticipated that a further detailed and fully costed business case would be prepared following the issue of survey results. At this stage, results would require to be recorded in the councils Asset Management Database, or other suitable system, in order that improvements in insulation and the associated benefits can be monitored.

Typically the provision of thermal insulation, or the upgrading of existing insulation measures have low payback periods hence this initial survey exercise is considered an important element of the councils overall carbon management plan.

Consideration should be given to widening the scope of the contract to include the survey to include all council, properties thus ensuring the optimum economies of scale, and avoidance of duplication of effort.

Benefits (Impact) Emissions reduction to be established from survey results

Saving to be established from survey results

Simple Payback period to be established from survey results


Financial investment - £25,000 Estimate

No change to maintenance costs



Page 43

A.Redpath: Revision 31st March 2009.


The success of the survey shall be dictated by the quality of the information provided. This needs to be carefully specified in the contract document and results checked against the laid down standard.

Timing Following business case approval and the prompt confirmation of funding, it is anticipated that tenders could be issued early in financial year 2009/2010 with survey works commencing later in the year.

The duration of the survey effort would be determined by the final scope of the works but it is expected to take between 2 and 4 months.

Additionally, compliance with laid down timescales shall be monitored and any slippage shall be managed.


Financial investment Estimated costs based on standard fee charges for professional staff, and estimated number of hours for the site survey.



Page 44



Minimal change to maintenance costs

Resources

(Deliverability)

Funding Stream: Central Energy Efficiency Fund (CEEF).

Management: The tendering of the work and management of the project can be undertaken by the Community Services Capital programme team, utilising existing sources. Close liaison is envisaged with the Council s Energy Manager.


1. The Head of Community Regeneration will be the

2. The Business Case is the responsibility of the Community Services Capital Programme Manager and the Energy Manager.

3. Other responsibilities to be determined if the project is given approval to proceed.


Timing and project coordination important, realistic timescales to be agreed to suit availability of professional staff.

Competent management and administration.

Competent contractor and suitably qualified/experienced installation staff.

Principal risks: ongoing availability of suitable contractors. Quality of work, health and safety issues to be addressed regarding access and working at height etc.

Quality of work to be checked on completion .

Site cooperation; access for work to be facilitated.

CMP Business Case: Community Services 8 (b) Implementation of Already Identified Insulation Upgrades

Description and notes This project involves the implementation of insulation measures which have already been identified, primarily through Energy Management Surveys, instructed by the councils Energy Manager.

This information is available for a small percentage of Community Services properties.

Within these surveys, 11 buildings have been identified (8 schools and 3 elderly persons homes) which would immediately benefit form upgraded attic insulation.

This work could be implemented quickly with short lead in periods and modest management input.

Benefits (Impact) Emissions reduction - 67 Tonnes CO2 per annum

Estimated Saving - £9980 per annum

Simple Payback period 5.01 years



Page 45

A.Redpath: Revision 31st March 2009.


The amount of fuel used following the upgrading of insulation is expected to decrease in line with the estimated values. This can be readily evaluated after 12 months of operation by comparing historical oil/gas/electrical consumption data prior to the insulation being upgraded.

Timing Following business case approval and the prompt confirmation of funding, it is anticipated that tenders would be issued early in financial year 2009/2010 with site works commencing later in the year.


Information abstracted from existing energy management surveys/report conducted by external consultants.



Page 46


Management: demand on management resources are limited ; Technical Support Team to provide the project supervisory function on behalf of the client (Leisure Services).


1. The Head of Facility Services will be the 2. The Business Case is the responsibility of the Energy Manager. 3. Other responsibilities to be determined if project is given approval

to proceed.


voltage optimisation unit to be installed.

Possible risks; manufacturers claims exaggerated; possibility that certain electrical equipment may be affected by the installation of the voltage optimisation equipment;

CMP Business Case 16 / Action 1: Aqualibrium Voltage Optimisation Trial

Description and notes This business case promotes a trial installation of voltage optimisation equipment at Aqualibrium, Campbeltown.

Operating electrical equipment at high voltages leads to significantly higher energy consumption. Lighting and motors use more power at higher voltages. Voltage Optimisation lowers the voltage and improves the power quality for the relevant site.

PowerPerfector, a leading provider, make the following claims (and guarantees) for their product:

Electric kWh consumption and cost savings up to 20% can be achieved

Carbon Emissions of up to 20% can be achieved

Reduces maintenance costs on electrical equipment

Extends the life of electrical equipment

Protects electronic/electric equipment from transients

Reduces maximum demand and capacity charges

Etc

The product would appear to be approved by the Energy Institute and ESTA (Energy Services and Technology Association).

Benefits (Impact) Emissions reduction - 26 Tonnes estimate CO2 per annum

Saving - £6,000 estimate per annum

Simple Payback period 3.3 years estimate;


Financial investment £20,000 estimate

Reduced maintenance costs not quantified

Funding Stream: Utility Fund. This will be on the basis of a loan the project costs being recovered from the site energy budget savings over the payback period.



Page 47

P.Gillies 31st March 2009.


Site electrical meters/use will be monitored carefully (over several months half hourly information available) to try to ascertain effectiveness of the voltage optimiser; benefits to be compared to costs.

install further units.

Timing -3 hours to install the voltage optimiser.


Financial investment Estimated costs by P.Gillies using Powerperfector sales material.

Estimated savings by P.Gillies based on Powerperfector sales material (50,000kWh electricity per annum saving assumed for this site at a rate of 12p/kWh).

Carbon Trust have been promoting this product in the Local Authority Carbon Management Programme feedback is that it is on the



Page 48

CMP Business Case 18 / Action 1: Lochgilphead Adult Resource Centre Oil/Electric to Biomass Conversion (using connection to existing Whitegates District Heating Scheme)

Description and notes This project involves the installation of an underground heating (LPHW) connection from the existing Whitegates District Heating scheme (woodchip/biomass fuelled boiler, complete with oil fired back-up) to the nearby Lochgilphead Adult Resource Centre.

This connection would replace the need for the 2no. existing oil fired boilers, the oil tank and the electrical heating of DHW located in the boiler-house/tank room at the Resource Centre.

The Council would effectively pay a revenue cost for heat (as opposed to a fuel charge) to be provided from the district heating scheme.

Costs include for mechanical consultancy support, decommissioning of the existing oil system (inc. storage tank), installation of the underground LPHW pipework, installation of a heat exchanger, installation of new DHW indirect cylinder, controls alterations etc.

Lochgilphead Adult Resource Centre is one of Argyll and Bute smaller heating oil users. Biomass (woodchip assumed to be

sourced from sustainable sources) is regarded as carbon neutral and would therefore result in a 100% carbon saving against oil use and an estimate of 20% against electric use (used for DHW purposes only). Woodchip is cheaper than oil and is a more local/sustainable resource. Heating oil is delivered by tanker/road which adds to both carbon emissions and risk of delivery failure; there are also environmental risks with the use of oil, should leaks occur.

Existing heating plant at the Resource Centre will need capital investment in the near future (e.g. boilers 22 years old).

Benefits (Impact) Fuel Cost Saving - £1,356 per annum

Emissions reduction - 29 Tonnes CO2 per annum

Simple Payback period 17 years Estimate*

Support for Existing Community Scheme; unusual opportunity

Additional storage space through plant removals

Maintenance Cost Saving £1,000 per annum Estimate

*Above assumes no grant assistance; for a 50% grant, payback would improve to 8.5 years

Costs/Funding

(Affordability)


Removal of need for cyclical plant investment; saving est £15,000 (would reduce payback with capital costs being offset).



Page 49


Funding Stream: To be determined.

Management: demand on management resources are limited; it is proposed that a mechanical services consultant provide design and project management support and that the Technical Support Team provide the project supervisory function on behalf of the client (Community Services).


1. The Head of Facility Services will be the 2. The Business Case is the responsibility of the Community

Services Capital Programme Manager and the Energy Manager. 3. Other responsibilities to be determined if project is given approval

to proceed.


Competent services design and installation.

Principal risks: security of heat supply from a third party; legal agreement will need to be adopted; biomass taken to be carbon neutral based on existing Carbon Trust emissions handling.

Site cooperation; given some disruption is inevitable.

Heat charging mechanism to be agreed.



The amount of fuel used is not expected to alter greatly, but the fuel conversion will reap cost, carbon and maintenance benefits. This can be readily evaluated after 12 months of operation by comparing historical oil and electric cost/consumption/emissions data prior to fuel conversion with that for heat use after. Staff should read the heat meter and electric meters regularly to ensure the most accurate comparison; this will also allow interim evaluations of success to be conducted.

Timing To be confirmed.


Oil consumption data for Lochgilphead Adult Resource Centre was provided by Highland Fuels; Electric data provided by Scottish Power.

Oil cost (heating) taken as 9,769 litres at 48p/litre average (£4,689 per annum) with 26 tonnes CO2 emissions per annum.

Electric cost (DHW only) taken as 6,000kWh at 12p/kWh (£720 per annum) with 3 tonnes CO2 emissions per annum.

Financial investment Estimated costs based on a proposal provided by AliEnergy. Heat offered at a revenue cost of 3.7p/kWh.



Page 50

CMP Business Case 23 / Action 1: Kilmory Castle and Nursery - Oil to Biomass Conversion

Description and notes This project involves the installation of a centralised boilerhouse to replace 2no. existing boilerhouses at Kilmory Castle and possibly 1no.existing boilerhouse in the neighbouring plant nursery site.

Rationalisation of the 2no. boilerhouses within Kilmory castle was a Mabbets (Energy Services Consultant) energy saving recommendation as part of a Carbon Trust sponsored energy audit.

This business case proposes to take the Mabbets recommendation one step further with a view to achieving a higher carbon reduction figure. This will involve replacing the site(s) oil use with biomass.

There are perhaps a number of different ways to arrive at a centralised biomass solution. It is thought likely that there will be an optimum solution which will deliver the most attractive package of benefits (i.e. lower capital and ongoing revenue costs with reliable operation).

It is proposed that the Council employ a mechanical services consultant to prepare a design specification/client brief to arrive at a biomass solution. The consultant should thereafter invite tenders from a wide range of interested parties for this scheme as a minimum, it will be a requirement that the tenderer submit a formal quotation for

that the best ideas are given due consideration.

the existing nursery grounds to site a particular packaged central biomass plant (complete with woodchip storage) and install underground heating (LPHW) connections to pick up on the heating/DHW circuits fed from the existing boilerhouses. Access for woodchip delivery would be via the nursery vehicle entrance.

These connections would replace the need for the 3no. existing boiler-houses although some space may still be required for pumps, control panels and heating distribution pipework etc, there will be a freeing up of space in the existing boilerhouses.

Costs include for mechanical consultancy support, decommissioning of the existing oil system ( the Kilmory Castle oil storage tank will have to be retained initially site back-up generator is oil driven), biomass plant/storage (inc. housing), installation of the underground LPHW pipework, reconfiguration of pumping and heating pipework, controls alterations etc.



Page 51

Costs/Funding (Deliverability)

Financial investment - £250,000 Estimated/Notional

Funding Stream: To be determined.

Description and notes cont:

Kilmory Castle is fourth largest heating oil user, whilst Kilmory Nursery is one of the smaller users. Biomass (woodchip assumed to be sourced from sustainable sources) is regarded as carbon neutral and would therefore result in a 100% carbon saving against oil use. Woodchip is cheaper than oil and is a more local/sustainable resource. Heating oil is delivered by tanker/road which adds to both carbon emissions and risk of delivery failure; there are also environmental risks with the use of oil, should leaks occur. Existing heating plant/equipment at the above 2no. sites will need capital investment in the near future (not quantified). This investment could contribute to the biomass solution.

There are 2no. other Council occupied sites in reasonably close proximity (Lochgilphead Campus, which is oil heated and the Roads Depot in Kilmory Industrial Estate which is electrically heated) and the prospect of a development of the derelict Home Farm buildings. An increased plant capacity could see the creation of a district heating scheme and could extend to these sites or other non-Council sites. Heat could be sold to non-council premises in a collaboration exercise.

Whilst this proposal promotes the Counciplant/equipment, an alternative leasing type option would involve the Council entering into an agreement with community, non profit making or commercial partners to secure heat from an organisation who are responsible for the initial capital outlay, system maintenance and wood chip sourcing (or a combination of these). The cost of the heat provision would obviously incorporate a charge to cover revenue and capital investment etc. The invitation to tender will be open to this type of offer.

Benefits (Impact) Maintenance Cost Saving Not quantified; considered cost neutral at best

Fuel Cost Saving - £25,689 per annum

Emissions reduction - 260 Tonnes CO2 per annum

Simple Payback period 9.73 years Estimate

District heating scheme prospects

Removal of need for investment in existing ageing plant and equipment; saving to be

Additional storage space through plant removals

Investment in local economy

Staff CPD opportunity and curriculum aid

Information for future business cases and expansion of biomass

Additional energy/carbon/cost benefits not quantified

*Above assumes no grant assistance; for a 50% grant, payback would improve to 4.86 years



Page 52


Management: demand on management resources to be determined; it is proposed that a mechanical services consultant provide design and project management support ; Property Services to take the proposal to the concept of a firm project ; the Technical Support Team to provide the project supervisory function on behalf of the client (Operational Services).


1. The Head of Facility Services will be the 2. The Business Case is the responsibility of the Property Services

Manager and the Energy Manager. 3. Other responsibilities to be determined if project is given approval

to proceed.



Possible technical headaches.

Compliance with all appropriate legislation.

Planning permissions (inc. Historic Scotland) approved and building warrant obtained.

Principal risks: security of woodchip supply (ref business case no.17); high capital cost; lack of internal and industry knowledge of biomass systems; handling of non-oil back up or top up systems; biomass taken to be carbon neutral based on existing Carbon Trust emissions handling.

Site cooperation; given some disruption is inevitable (including addressing any ongoing operational headaches).

maintenance consider training up of staff in basic biomass maintenance and health & safety.

Parallel energy efficiency improvements inc. insulation opportunities and HVAC controls (esp. Kilmory extension).

Approvals for siting of biomass plant in nursery grounds and for underground pipework routes.


The fuel conversion and associated works will reap cost, energy saving and carbon benefits. This can be readily evaluated after 12 months of operation by comparing historical oil (and electric cost/consumption/emissions) data prior to fuel conversion with that for biomass use after.

Mabbets suggested that a heating system re-design (inc. obsoleting the use of 1no. boilerhouse) would secure substantial energy savings (estimated to be 549,000kWh) whilst there are expected to be energy efficiency savings derived from the move to a newly designed centralised plant, the Mabbets claims are considered to be optimistic.

These are not included in the benefits section herein.



Page 53


Timing Timing is most likely to be influenced through the need to obtain planning permissions and ensure compliance with other regulation. Otherwise, there are intermittent windows of opportunity to obtain grant funding; given the high capital cost, this project may best be

until suitable levels of grant funding can be accessed.

Much of the work could be carried out without affecting existing heating systems; but at some point there would have to be a plant changeover and this would best be addressed during the summer months.


Oil consumption data for Kilmory Castle and Nursery, Lochgilphead provided by Highland Fuels.

Kilmory Castle; delivered oil cost taken as 86,549 litres at 48p/litre average with 231 tonnes CO2 emissions per annum (£41,543).

Kilmory Nursery; delivered oil cost taken as 10,025 litres at 48p/litre average with 29 tonnes CO2 emissions per annum (£4,812).

Woodchip is taken to cost 2p/kWh (delivered); estimated annual cost for 100% woodchip fuel source £20,666.

Financial investment Estimated costs based on a site visit with a mechanical consultant and networking re external installations. Costs and grant funding availability difficult to estimate may be an option to consider an upper level cost that would preclude the project from proceeding.



Page 54

CMP Business Case 33 / Action 1: Gartbreck Waste Site, Islay Wind Turbine Installation

Description and notes Gartbreck Waste Site (postcode PA43 7JG) is located in a fairly isolated and exposed/windswept spot; it is on the coast to the South West of the town of Bowmore on the Isle of Islay. The mean wind speed for the area is expected to be favourable i.e. in the region of 6m/s (based on a desk top exercise).

This project involves the proposal to install one or more wind turbine(s) within the grounds of the Gartbreck waste site.

There is scope to increase the number or size of the turbines, but a single 5kW turbine is considered here for IBC demonstration purposes. Economies of scale will no doubt come into play for more ambitious installations.

First impressions from a visit to the site were that the site configuration and location offers an attractive opportunity to harness wind energy.

Community Energy Scotland has expressed an interest in supporting an installation through grant funding.

The Gartbreck Waste Site has limited electrical use and could only justify a small turbine in its own right; the extent of land and the location however present possibilities for the introduction of larger wind generating stations with a view to grid export. It is not known however at this stage whether a practical/suitable national grid connection opportunity exists.

This initial business case in some way overlaps with another business case (No. BC39) which assesses the prospect of a fully Carbon Neutral Isle of Islay in terms of Council activity/emissions. Carbon Emissions Reduction Target (CERT) funding would be a possibility here and so any support offered to facilitate BC39, could impact on the proposals etc contained herein.

In terms of Business Case 39, this site presents a very good opportunity to install a capacity of turbine(s) that could export onto the national grid and offset those Council carbon emissions elsewhere on the island that cannot be addressed through other means.

nd turbine installations, the Council will explore the opportunity to develop a GIS tool that considers favourable areas of mean wind speed, that identifies areas of likely planning consent and set these in relation to Council owned properties and land.



Page 55


Management: demand on management resources are limited; an external specialist consultant may be required to offer feasibility/project support ;otherwise to be decided.


1. The Head of Facility Services will be the 2. The Business Case is the responsibility of the Community

Services Property Manager and the Energy Manager. 3. Other responsibilities to be determined if project is given approval

to proceed.



Compliance with SSE connection requirements and other appropriate legislation as required.

Planning permissions approved and building warrant obtained

Communication with affected parties/community groups.

Principal risks: wind energy un-reliable; high capital cost and possible high cost of repairs and maintenance; possible local objections.

Site and community cooperation; given some disruption is inevitable (including addressing any ongoing operational headaches).

Consider training up of staff in relevant basic house-keeping, maintenance and health & safety.

If applicable, parallel energy efficiency improvements to be considered.

Internal approvals for siting of wind turbine, for underground cabling routes and connection to site supply if applicable.

If applicable, consider use of excess generation at periods of low electrical demand and whether site should be grid connected.

Benefits (Impact) Electrical Generation 11,200kWh per annum

Emissions reduction 5.86 Tonnes CO2 per annum

Saving - £1,344 per annum

Simple Payback period (No grant funding) 26 years

Simple Payback Period (50% grant funded) 13 years

ROC income not quantified.

Staff CPD opportunity.

Information for future business cases and expansion of wind turbine installations

Benchmark: £5,972 investment per tonne CO2 saved.


Financial investment - £35,000 (Estimated Installed Cost)

Some increase to maintenance costs; not quantified.

Funding stream to be confirmed. 50% grant funding expected to be feasible. CERT funding under investigation.



Page 56

P.Gillies Revision 31st March 2009.


The wind turbine installation will reap cost, energy and carbon saving benefits. This can be readily evaluated after 12 months of operation by comparing historical electric data prior to the turbine installation with that for after.

On site use or export of wind generated energy can be monitored this will

also allow interim evaluations of success to be conducted.

Timing Timing is most likely to be influenced through the need to obtain planning permissions and ensure compliance with other legislation. Otherwise, there are intermittent windows of opportunity to obtain grant funding; at present, it is thought likely that this project will qualify for 50% grant assistance.

Sources of information and guidance REC is Scottish and Southern Energy.

Annual site electric use is taken to be 14,812kWh; this at an annual cost of £1,777 (using a unit rate of 12p/kWh which includes CCL & excludes VAT); this at an annual 7.7 tonnes CO2 emissions.

Turbine selection for business case purpose; Iskra AT5-1 5kW; operates at wind speeds as low as 3m/s. Estimated outputs derived from manufacturer and Carbon Trust data (CT Wind Yield Estimation Tool).

A desktop exercise alludes to a mean wind speed at the waste site postcode of 6m/s and for the proposed turbine, suggests an energy harnessing potential of 11,200kWh per annum; at a cost of 12p/kWh, this presents an annual saving of circa £1,344.

Arg

yll

an

d B

ute

Co

uncil

Carb

on

Ma

na

ge

me

nt

Pro

gra

mm

e

Carb

on

Ma

na

gem

en

t P

lan

w

ork

ing

with

Pa

ge

57

AP

PE

ND

IX C

AR

GY

LL

& B

UT

E -

CA

RB

ON

MA

NA

GE

ME

NT

PR

OG

RA

MM

E 2

00

9-1

2 -

FIN

AN

CIA

L S

UM

MA

RY

Pro

ject

Cate

go

ry

Gran

t A

idN

ote

sR

isks

Inv

estm

en

t

Re

qu

ire

d

An

nu

al

Re

ve

nu

e

Sav

ing

s

An

nu

al

Re

ve

nu

e

Sav

ing

s

2009/1

0

An

nu

al

Re

ve

nu

e

Sav

ing

s

2010//1

An

nu

al

Re

ve

nu

e

Sav

ing

s

2011/1

2

Payb

ack

Pe

rio

d

(ye

ars)

Em

issio

ns

Re

du

cti

on

(To

nn

es C

O2

pe

r y

ear)

Em

issio

ns

Re

du

cti

on

(To

nn

es C

O2)

2009/1

0 Y

ear

1

Em

issio

ns

Re

du

cti

on

(To

nn

es C

O2)

20010/1

1 Y

ear

2

Em

issio

ns

Re

du

cti

on

(To

nn

es C

O2)

20011/1

2 Y

ear

3

2008/9

£

An

nu

al

En

erg

y &

Re

ve

nu

e

Co

sts

2009/1

0 £

2010/1

1 £

2011/1

2 £

2009/1

0 £

2010/1

1 £

2011/1

2 £

2009/1

0 £

2010/1

1 £

2011/1

2 £

2009/1

0 £

2010/1

1 £

2011/1

2

£

2009/1

0

Sta

ff

We

eks

2010/1

1

Sta

ff

We

eks

2011/1

2

Sta

ff

We

eks

FU

EL

CO

NV

ER

SIO

N (

INC

LU

DIN

G B

IOM

AS

S)

BC

23

Fu

el C

on

ve

rsio

nK

ilm

ory C

astl

e &

Nu

rse

ry -

Oil t

o

Bio

mass C

on

ve

rsio

n£250,0

00

£27,6

20

£0

£0

£27,6

20

9.1

260

00

260

£73,0

00

£37,5

00

£212,5

00

6.0

8.0

Year

One -

Undert

ake F

easib

ility &

Desig

n W

ork

to

Costp

lan S

tage -

Full B

usin

ess C

ase

Ris

k that F

inal B

usin

ess C

ase d

oes n

ot sta

ck u

p. S

upply

chain

ris

k, P

lannin

g R

isk, etc

BC

1F

ue

l C

on

ve

rsio

nR

oth

esay P

oo

l -

Oil t

o G

as F

ue

l

Co

nv

ersio

n£38,9

22

£10,6

97

£10,6

97

£10,6

97

£10,6

97

3.6

433

33

33

33

£58,0

00

£38,9

22

1.0

Work

s c

om

mitte

d

Ris

k that payback is less than fore

cast

BC

21

Fu

el C

on

ve

rsio

nQ

ue

en

s H

all, D

un

oo

n -

Oil t

o G

as

Fu

el C

on

ve

rsio

n£40,0

00

£12,7

18

£3,1

80

£12,7

18

£12,7

18

3.1

430

830

30

£38,0

00

£40,0

00

2.5

Year

One -

Undert

ake F

easib

ility, D

esig

n W

ork

&

Undert

ake W

ork

s -

10 y

ear p

ru

de

nti

al b

orro

win

g

fin

an

ce

Ris

k o

f achie

vin

g g

as s

upply

agre

em

ent -

pote

ntial risk to

delivery

tim

escale

BC

2F

ue

l C

on

ve

rsio

nT

ho

mso

n H

om

e, R

oth

esay -

Oil t

o

Gas C

on

ve

rsio

n

£40,0

00

£14,7

22

£3,6

81

£14,7

22

£14,7

22

2.7

134

934

34

£35,0

00

£40,0

00

2.5

Year

One -

Undert

ake F

easib

ility, D

esig

n W

ork

&

Undert

ake W

ork

s -

10 y

ear p

ru

de

nti

al b

orro

win

g

fin

an

ce

Ris

k o

f achie

vin

g g

as s

upply

agre

em

ent -

pote

ntial risk to

delivery

tim

escale

BC

14

Fu

el C

on

ve

rsio

nS

tru

an

Lo

dg

e, D

un

oo

n -

Oil t

o G

as

Co

nv

ersio

n

£40,0

00

£12,4

00

£3,1

00

£12,4

00

£12,4

00

3.2

29

729

29

£2,0

00

£40,0

00

2.5

Year

One -

Undert

ake F

easib

ility, D

esig

n W

ork

&

Undert

ake W

ork

s -

10 y

ear p

ru

de

nti

al b

orro

win

g

fin

an

ce

Ris

k o

f achie

vin

g g

as s

upply

agre

em

ent -

pote

ntial risk to

delivery

tim

escale

BC

6F

ue

l C

on

ve

rsio

nH

erm

itag

e P

rim

ary S

ch

oo

l -

Oil t

o G

as

Co

nv

ersio

n

£70,0

00

£12,7

18

£3,1

80

£12,7

18

£12,7

18

5.5

30

830

30

£28,0

00

£70,0

00

2.5

Year

One -

Undert

ake F

easib

ility, D

esig

n W

ork

&

Undert

ake W

ork

s -

10 y

ear p

ru

de

nti

al b

orro

win

g

fin

an

ce

Ris

k o

f achie

vin

g g

as s

upply

agre

em

ent -

pote

ntial risk to

delivery

tim

escale

BC

7F

ue

l C

on

ve

rsio

nJo

hn

Lo

gie

Bair

d P

S -

Oil t

o G

as

Co

nv

ersio

n£40,0

00

£14,3

90

£3,5

98

£14,3

90

£14,3

90

2.8

34

934

34

£32,0

00

£40,0

00

2.5

Year

One -

Undert

ake F

easib

ility, D

esig

n W

ork

&

Undert

ake W

ork

s -

10 y

ear p

ru

de

nti

al b

orro

win

g

fin

an

ce

Ris

k o

f achie

vin

g g

as s

upply

agre

em

ent -

pote

ntial risk to

delivery

tim

escale

BC

10.1

Fu

el C

on

ve

rsio

nO

ban

Hig

h S

ch

oo

l -

Oil t

o G

as

Co

nv

ersio

n

£65,0

00

£0

£0

£0

£0

1.8

00

00

£68,0

00

£9,7

50

£55,2

50

4.0

3.0

Year

One -

Undert

ake F

easib

ility &

Desig

n W

ork

to

Costp

lan S

tage -

Full B

usin

ess C

ase

Ris

k that F

inal B

usin

ess C

ase d

oes n

ot sta

ck u

p. S

upply

chain

ris

k, P

lannin

g R

isk, etc

BC

36

Fu

el C

on

ve

rsio

nC

am

pb

elt

ow

n C

EC

- O

il t

o G

as

Co

nv

ersio

n (

Bio

Mass t

o b

e

co

nsid

ere

d)

£40,0

00

£12,0

00

£3,0

00

£12,0

00

£12,0

00

3.5

30

830

30

£2,0

00

£40,0

00

2.5

Year

One -

Undert

ake F

easib

ility, D

esig

n W

ork

&

Undert

ake W

ork

s -

10 y

ear p

ru

de

nti

al b

orro

win

g

fin

an

ce

. N

ote

- B

io M

ass to b

e c

onsid

ere

d w

ithin

options a

ppra

isal

Ris

k o

f achie

vin

g g

as s

upply

agre

em

ent -

pote

ntial risk to

delivery

tim

escale

BC

10.2

Fu

el C

on

ve

rsio

nO

ban

Hig

h S

ch

oo

l -

Oil t

o B

io M

ass

Co

nv

ersio

n£250,0

00

£27,6

20

£27,6

20

9.1

260

00

260

£68,0

00

£37,5

00

£212,5

00

6.0

8.0

Year

One -

Undert

ake F

easib

ility &

Desig

n W

ork

to

Costp

lan S

tage -

Full B

usin

ess C

ase

Ris

k that F

inal B

usin

ess C

ase d

oes n

ot sta

ck u

p. S

upply

chain

ris

k, P

lannin

g R

isk, etc

BC

11

Fu

el C

on

ve

rsio

nC

am

pb

elt

ow

n G

ram

mar S

ch

oo

l -

Oil

to G

as C

on

ve

rsio

n / B

io M

ass

Co

nv

ersio

n£225,0

00

£28,8

80

£28,8

80

7.8

269

00

269

£74,0

00

£33,7

50

£191,2

50

6.0

8.0

Year

One -

Undert

ake F

easib

ility &

Desig

n W

ork

to

Costp

lan S

tage -

Full B

usin

ess C

ase

Ris

k that F

inal B

usin

ess C

ase d

oes n

ot sta

ck u

p. S

upply

chain

ris

k, P

lannin

g R

isk, etc

BC

5F

ue

l C

on

ve

rsio

nIs

lay H

igh

Sch

oo

l -

Oil/E

lectr

ic t

o

Bio

mass C

on

ve

rsio

n£275,0

00

£43,8

06

£43,8

06

6.2

8347

00

347

£58,0

00

£41,2

50

£233,7

50

6.0

8.0

Year

One -

Undert

ake F

easib

ility &

Desig

n W

ork

to

Costp

lan S

tage -

Full B

usin

ess C

ase

Ris

k that F

inal B

usin

ess C

ase d

oes n

ot sta

ck u

p. S

upply

chain

ris

k, P

lannin

g R

isk, etc

BC

18

Fu

el C

on

ve

rsio

nL

och

gilp

he

ad

Ad

ult

Re

so

urce

Ce

ntr

e

- O

il/e

lectr

ic -

Bio

mass c

on

ve

rsio

n

(co

nn

ecti

on

to

Dis

tric

t H

eati

ng

)£40,0

00

£2,5

00

£2,5

00

£2,5

00

16

29

29

29

£14,0

00

£6,0

00

£34,0

00

3.0

3.0

Year

One -

Undert

ake F

easib

ility &

Desig

n W

ork

to

Costp

lan S

tage -

Full B

usin

ess C

ase. D

eliver

Year

Tw

o.

Ris

k that F

inal B

usin

ess C

ase d

oes n

ot sta

ck u

p.

BC

17

Fu

el C

on

ve

rsio

nW

oo

d F

ue

l S

ou

rcin

g -

Bio

mass

Su

pp

ly

£5,0

00

£0

00

£0

£5,0

00

1.0

3.0

Scope for

develo

pm

ent in

conju

nction w

ith A

lienerg

y

and d

evelo

pm

ent of B

usin

ess c

ase for

Prim

ary

School

Bio

Mass.

Scope o

f pro

ject to

be c

onfirm

ed b

y P

B a

nd c

onfirm

ation o

f

fee c

harg

es (

if a

ny)

to u

ndert

ake IB

C/O

BC

as p

er

Council

requirem

ents

.

RE

NE

WA

BL

ES

BC

31

Re

ne

wab

les-

Win

dA

ch

ah

ois

h P

S E

lectr

ical G

en

erati

on

-

Win

d T

urb

ine

(6kW

)

£35,0

00

£2,7

50

£0

£0

£2,7

50

13.7

14

00

14

£17,5

00

£17,5

00

4.0

2.0

Year

One -

Undert

ake F

easib

ility &

Desig

n W

ork

to

Costp

lan S

tage -

Full B

usin

ess C

ase. A

ssum

es 5

0%

gra

nt aid

.

Ris

k that F

inal B

usin

ess C

ase d

oes n

ot sta

ck u

p -

gra

nt

support

im

pro

ves p

ositio

n.

BC

32

Re

ne

wab

les-

Win

dIs

lay H

igh

Sch

oo

l -

Ele

ctr

ical

Ge

ne

rati

on

- W

ind

Tu

rb

ine

£5,0

00

£58,0

00

£5,0

00

3.0

Year

Tw

o -

Undert

ake F

easib

ility &

Desig

n W

ork

to

Costp

lan S

tage -

Full B

usin

ess C

ase

Ris

k that F

inal B

usin

ess C

ase d

oes n

ot sta

ck u

p. P

lannin

g

Ris

k, etc

BC

33

Re

ne

wab

les-

Win

dG

artb

re

ak (

Isla

y)

Ele

ctr

ical

Ge

ne

rati

on

- W

ind

Tu

rb

ine

s£5,0

00

£3,0

00

£5,0

00

3.0

Year

Tw

o -

Undert

ake F

easib

ility &

Desig

n W

ork

to

Costp

lan S

tage -

Full B

usin

ess C

ase

Ris

k that F

inal B

usin

ess C

ase d

oes n

ot sta

ck u

p. P

lannin

g

Ris

k, etc

EN

ER

GY

EF

FIC

IEN

CY

- S

TA

TIO

NA

RY

SO

UR

CE

S

BC

3E

ne

rg

y E

ffic

ien

cy

pro

ject

All C

ou

ncil B

uild

ing

s -

Re

-lam

pin

g

Be

st

Pacti

ce

BC

3.1

En

erg

y E

ffic

ien

cy

pro

ject

Op

tio

n 1

- e

xp

iry o

f e

xis

tin

g lig

hts

£27,0

00

£3,0

00

£750

£3,0

00

£3,0

00

720

520

20

£0

£9,0

00

£9,0

00

£9,0

00

2.0

2.0

2.0

Pro

cure

ment &

main

teta

nce p

roto

cols

to b

e d

evelo

ped

and insta

lled to e

nsure

delivery

Lack o

f com

pliance / lack o

f know

ledeg / lack o

f contr

ol

leadin

g to r

epla

cem

ent of exis

ting p

oor

perf

orm

ing lam

ps

BC

3.2

En

erg

y E

ffic

ien

cy

pro

ject

Op

tio

n 2

- s

ucce

siv

e p

ro

gram

me

of

bu

ild

ing

re

-lam

pin

g (

hig

he

st

usag

e -

low

est

usag

e)

£125,0

00

£6,0

00

£0

£6,0

00

£6,0

00

740

10

40

40

£0

£50,0

00

£50,0

00

£25,0

00

3.0

3.0

2.0

Com

pre

hensiv

e p

rogra

mm

e o

f re

-lam

pin

g thro

ughout

Council p

ropert

y e

sta

te

Little r

isk o

ther

than fin

ance &

retu

rns

BC

8E

ne

rg

y E

ffic

ien

cy

pro

ject

Insu

lati

on

pro

gram

me

Co

mm

un

ity

Se

rv

ice

s p

ro

pe

rti

es -

11 p

ro

pe

rti

es

£50,0

00

£9,9

80

£2,4

95

£9,9

80

£9,9

80

567

17

67

67

£0

£50,0

00

1.0

Pro

gra

mm

e in p

lace -

requires fundin

gR

isk that in

sula

tion s

urv

eys d

o n

ot id

entify

sig

nific

ant savin

gs

BC

37.1

En

erg

y E

ffic

ien

cy

pro

ject

Insu

lati

on

Su

rv

eys t

o a

ll C

om

mu

nit

y

Se

rv

ice

s p

ro

pe

rti

es

£20,0

00

£3,9

92

£998

£3,9

92

£3,9

92

526.8

727

27

£0

£10,0

00

£10,0

00

1.0

1.0

Surv

ey P

rogra

mm

e r

equired -

to b

e funded fro

m C

RA

Ris

k that in

sula

tion s

urv

eys / p

rogra

mm

e d

oes n

ot deliver

effic

iency r

etu

rns

BC

37.2

En

erg

y E

ffic

ien

cy

pro

ject

Insu

lati

on

Su

rv

eys t

o a

ll S

hare

d

Off

ice

, L

eis

ure

an

d D

ep

ots

£20,0

00

£3,9

92

£998

£3,9

92

£3,9

92

526.8

727

27

£0

£10,0

00

£10,0

00

1.0

1.0

Surv

ey P

rogra

mm

e r

equired -

to b

e funded fro

m C

RA

Ris

k that in

sula

tion s

urv

eys d

o n

ot id

entify

sig

nific

ant savin

gs

BC

9E

ne

rg

y E

ffic

ien

cy

pro

ject

Insu

lati

on

pro

gram

me

- 3

0 p

ro

pe

rti

es

£136,3

64

£27,2

18

£6,8

05

£27,2

18

£27,2

18

5

183

46

183

183

£0

£68,1

82

£68,1

82

2.0

2.0

Pro

gra

mm

e to b

e d

evelo

ped fro

m Insula

tion S

urv

eys -

pro

gra

mm

e to b

e funded fro

m C

EE

F

Ris

k that in

sula

tion s

urv

eys / p

rogra

mm

e d

oes n

ot deliver

effic

iency r

etu

rns

BC

16

En

erg

y E

ffic

ien

cy

pro

ject

Aq

ualib

riu

m P

oo

l -

Vo

ltag

e

Op

tim

isati

on

tria

l£20,0

00

£6,2

50

£1,5

63

£6,2

50

£6,2

50

3.2

26

726

26

£118,0

00

£20,0

00

2.0

Pilot pro

ject to

be funded fro

m U

tility

Fund g

rant basis

R

isk that re

turn

s a

re n

ot cle

ar

and d

elivera

ble

BC

35

En

erg

y E

ffic

ien

cy

pro

ject

Riv

ersid

e P

oo

l- V

olt

ag

e O

pti

mis

m

tria

l`

£6,2

50

£0

£0

£6,2

50

3.2

26

726

26

£75,0

00

`

2.0

Pilot pro

ject to

be funded fro

m U

tility

Fund g

rant basis

R

isk that re

turn

s a

re n

ot cle

ar

and d

elivera

ble

BC

22

En

erg

y E

ffic

ien

cy

pro

ject

Insta

llati

on

of

Varia

ble

Sp

ee

d D

riv

es -

Sw

imm

ing

Po

ols

£49,5

00

£25,1

05

£0

£25,1

05

£25,1

05

1.9

875.5

19

76

76

£343,0

00

£0

£0

£0

£49,5

00

£0

£0

£0

£0

£0

£0

£0

£0

3.0

Year

One -

Undert

ake F

easib

ility, D

esig

n W

ork

&

Undert

ake W

ork

s -

10 y

ear p

ru

de

nti

al b

orro

win

g

fin

an

ce

Ris

k that pro

gra

mm

e d

oes n

ot deliver

effic

iency r

etu

rns

BC

25

En

erg

y E

ffic

ien

cy

pro

ject

Man

ag

em

en

t o

f th

e P

C D

eskto

p£31,4

74

£52,9

28

£0

£0

£52,9

28

0.7

545

00

45

£0

£3,2

58

£3,2

58

£3,2

58

£21,7

00

3.0

1.0

2.0

Pro

cure

ment of P

C c

ontr

ol softw

are

for

1800 P

Cs.

Little r

isk o

ther

than fin

ance &

retu

rns

BC

26

En

erg

y E

ffic

ien

cy

pro

ject

Se

rv

er V

irtu

alisati

on

£0

£0

1.0

AW

AIT

ING

IN

ITIA

L B

US

INE

SS

CA

SE

- p

ro

ject

like

ly

to b

e in

YE

AR

3

BC

30

En

erg

y E

ffic

ien

cy

pro

ject

Str

ee

t L

igh

tin

g -

dim

min

g

£5,0

00

£0

£5,0

00

2.0

4.0

AW

AIT

ING

IN

ITIA

L B

US

INE

SS

CA

SE

- e

sti

mate

d

fig

ure

s

FU

EL

EF

FIC

IEN

CY

- V

EH

ICL

ES

BC

28

Fu

el E

ffic

ien

cy

Pro

ject

Fu

el S

av

ing

- C

ou

ncil F

lee

t V

eh

icle

s

£20,0

00

£60,0

00

£15,0

00

£60,0

00

£60,0

00

0.5

116

29

116

116

£0

£10,0

00

£10,0

00

2.0

Fuel M

anagem

ent softw

are

work

aro

unds to b

e

develo

ped to im

pro

ve fuel security

, fu

el effic

iency a

nd

reduce idling. D

river

train

ing &

targ

et &

monitoring

Lin

e M

anagers

require to b

e e

ngaged to s

upport

changes in

driver

behavio

ur

by m

anagin

g their s

taff a

nd u

sin

g

perf

orm

ance r

eport

s to a

ssis

t behavio

ura

l changes

EN

ER

GY

EF

FIC

IEN

CY

- M

AN

AG

EM

EN

T P

RO

TO

CO

LS

BC

15

Be

hav

iou

ral

Pro

ject

Incre

ase

Re

cyclin

g -

all C

ou

ncil

bu

ild

ing

s

£100,0

00

£27,5

00

£6,8

75

£27,5

00

£27,5

00

490

23

90

90

£0

£100,0

00

Investm

ent in

additio

nal re

cycling p

rovis

ion w

ithin

Council facilitie

s to b

e fin

anced fro

m Z

ER

O W

AS

TE

FU

ND

. S

ep

arate

bid

fo

r t

his

Se

rv

ice

Bid

in

clu

de

d

wit

hin

Facilit

y S

erv

ice

s S

erv

ice

Pla

n.

Ris

k that C

ouncil s

taff d

o n

ot "b

uy in"

to r

ecycling m

essage

BC

20.1

Be

hav

iou

ral

Pro

ject

Trav

el P

lan

- E

xe

cu

tiv

e C

on

tro

ls -

15%

re

du

cti

on

in

bu

sin

ess m

ile

ag

e

(fro

m 4

.5M

mile

s t

o 3

.85M

mile

s)

£30,0

00

£238,2

67

£59,5

67

£238,2

67

£238,2

67

0.5

229

57

229

229

£1,5

86,0

00

£10,0

00

£10,0

00

£10,0

00

2.0

2.0

2.0

Council w

ill re

quire to a

dopt E

xecutive C

ontr

ols

on

travel -

this

will re

quire c

om

munic

ation w

ith s

taff -

fundin

g o

f w

hic

h is inclu

ded w

ithin

BC

26.

Ris

k that M

anagem

ent do n

ot support

contr

ols

and d

o n

ot

imple

ment w

ith e

qual rigour

acro

ss a

ll s

erv

ices

BC

20.2

Be

hav

iou

ral

Pro

ject

Trav

el P

lan

- E

xe

cu

tiv

e C

on

tro

ls -

Fo

re

ign

Trav

el, C

on

fere

nce

s &

Se

min

ars

£0

2.0

2.0

1.0

Council w

ill re

quire to a

dopt E

xecutive C

ontr

ols

on

travel -

this

will re

quire c

om

munic

ation w

ith s

taff -

fundin

g o

f w

hic

h is inclu

ded w

ithin

BC

26

Ris

k that M

anagem

ent do n

ot support

contr

ols

and d

o n

ot

imple

ment w

ith e

qual rigour

acro

ss a

ll s

erv

ices

BC

27

Be

hav

iou

ral

Pro

ject

Sta

ff A

ware

ne

ss &

En

erg

y S

av

ing

Pro

gram

me

£80,0

00

£100,0

00

£12,5

00

£33,3

33

£100,0

00

1204

26

68

204

£0

£20,0

00

£30,0

00

£30,0

00

4.0

4.0

4.0

Essential to

develo

p s

usta

ined a

nd long term

cam

paig

n

whic

h w

ill w

ork

. Y

ear

One -

pla

n is to initia

lly inte

gra

te

Eco S

chools

,Alienerg

y,G

RA

B &

Recycling. D

evelo

p &

Pilot (3

month

) Y

ear

Tw

o P

rogra

mm

e to e

sta

blish

success. Y

ear

One -

targ

et key o

pera

tional

Hig

h R

isk o

f cynic

ism

and n

egative p

erc

eption fro

m s

taff if

cam

paig

n is p

oo

r. C

am

paig

n &

pro

gra

mm

e r

equire to b

e

susta

ined o

ver

a 5

year

period w

ith the s

am

e m

essages

delivere

d in fre

sh, in

novative, fo

refu

l and s

ophis

ticate

d

manner

to k

ee

p s

taff

en

gag

ed

.

BC

36

Str

ee

t L

igh

tin

g -

Au

dit

of

insta

llati

on

cap

acit

y &

billin

g£10,0

00

£0

£10,0

00

4.0

4.0

AW

AIT

ING

IN

ITIA

L B

US

INE

SS

CA

SE

- e

sti

mate

d

fig

ure

s

Ris

k that C

ouncil is o

ver

payin

g for

Str

eet Lig

hting.

EN

ER

GY

EF

FIC

IEN

CY

- D

EV

EL

OP

ME

NT

OF

FU

TU

RE

IN

ITIA

L B

US

INE

SS

CA

SE

S

BC

34

En

erg

y M

an

ag

em

en

t T

eam

Re

so

urce

re

qu

ire

d t

o d

ev

elo

p f

utu

re

IBC

s&

OB

Cs in

all a

re

as f

or Y

ear T

wo

an

d b

eyo

nd

£505,0

00

£0

£5,0

00

£500,0

00

6.0

6.0

6.0

This

fig

ure

is a

n e

stim

ate

d s

um

required to d

evelo

p

futu

re IB

Cs a

nd O

BC

s a

nd w

ill be u

pdate

d a

nnually

within

the a

nnual budget &

pla

nnin

g c

ycle

.

To

tal In

ve

stm

en

t -

Cap

ital &

Re

ve

nu

e

To

tal A

nn

ual

En

erg

y &

Re

ve

nu

e

Sav

ing

Av

erag

e

(Me

an

)

Payb

ack

Pe

rio

d

To

tal C

arb

on

Sav

ing

Gran

t A

id

2009/1

0 £

2010/1

1 £

2011/1

2 £

2009/1

0 £

2010/1

1 £

2011/1

2 £

2009/1

0 £

2010/1

1 £

2011/1

2 £

2009/1

0 £

2010/1

1

£

2011/1

2

£

2009/1

0

Sta

ff

We

eks

2010/1

1

Sta

ff

We

eks

2011/1

2

Sta

ff

We

eks

Su

mm

ary

£2,6

93,2

60

£793,3

03

£137,9

84

£536,7

83

£793,3

03

4.7

2,5

74

337

1,2

43

2,5

74

£2,7

33,0

00

£92,2

58

£82,2

58

£52,2

58

£545,8

72

£939,2

50

£500,0

00

£100,0

00

£118,1

82

£93,1

82

£42,5

00

£10,0

00

£0

£17,5

00

95

81

19

Arg

yll &

Bu

te C

arb

on

Em

issio

ns B

ase

lin

e (

To

nn

es)

26,4

91

An

nu

al R

ed

ucti

on

in

Carb

on

Em

issio

ns a

s a

% o

f B

ase

lin

e

1.3

%4.7

%9.7

%

Re

ve

nu

e b

ud

ge

t -

top

slice

of

en

erg

y, fu

el &

CR

A b

ud

ge

t -N

o

Ad

dit

ion

al R

ev

en

ue

Re

qu

ire

d

Cap

ital b

ud

ge

t (a

dd

itio

nal p

ru

de

nti

al

bo

rro

win

g r

eq

uir

em

en

t)

Ce

ntr

al E

ne

rg

y E

ffic

ien

cy F

un

dU

tility

Fu

nd

Hu

man

Re

so

urce

s -

En

erg

y

Man

ag

em

en

t T

eam

(>

LG

E11)

Se

rv

ice

De

ve

lop

me

nt

Un

iqu

e r

ef

no

Acti

on

s t

o a

ch

iev

e o

utc

om

eR

ev

en

ue

bu

dg

et

- to

p s

lice

of

en

erg

y, fu

el &

CR

A

bu

dg

et

-No

Ad

dit

ion

al R

ev

en

ue

Re

qu

ire

d

Cap

ital b

ud

ge

t (a

dd

itio

nal p

ru

de

nti

al

bo

rro

win

g r

eq

uir

em

en

t)

Hu

man

Re

so

urce

s -

En

erg

y

Man

ag

em

en

t T

eam

(>

LG

E11)

Ce

ntr

al E

ne

rg

y E

ffic

ien

cy F

un

dU

tility

Fu

nd

AP

PE

ND

IX C

C

arb

on

Man

ag

em

en

t P

lan

2009

-2012

Arg

yll

an

d B

ute

Co

uncil

Carb

on

Ma

na

ge

me

nt

Pro

gra

mm

e

Carb

on

Ma

na

gem

en

t P

lan

wo

rkin

g w

ith

Pa

ge

58

Arg

yll &

Bu

te C

ou

ncil -

Lo

cal A

uth

ori

ty C

arb

on

Man

ag

em

en

t P

lan

Ap

pe

nd

ix D

RIS

K A

SS

ES

SM

EN

T

Re

fC

ate

go

ryR

isk D

escri

pti

on

Ch

an

ce

Imp

act

Sco

reR

isk

Le

ve

l

Barr

ier

Acti

on

Ris

k

Le

ad

Mit

igati

ng

Acti

on

1financia

l risk

Serv

ice D

epart

ments

are

unw

illin

g to a

llocate

suffic

ient capital &

revenue to d

eliv

er

pro

ject

initia

tives

34

12

Red

The p

rogra

mm

e w

ill n

ot succeed a

nd

carb

on a

nd r

evenue s

avin

gs w

ill n

ot be

deliv

ere

d

Pro

g.

Board

Initia

tives w

ill b

e founded b

y B

usin

ess C

ases w

hic

h w

ill m

odel both

financia

l outc

om

es a

nd c

arb

on s

avin

g b

enefits

whic

h w

ill a

llow

Depart

ments

and the C

ouncil

as a

whole

to m

ake info

rmed

2org

anis

ational risk

Serv

ice D

epart

ments

do n

ot see the p

rogra

mm

e

as a

priority

and d

o n

ot actively

support

it at all

levels

.

33

9A

mber

The p

rogra

mm

e w

ill n

ot succeed o

n a

susta

inable

basis

if th

ere

is n

ot str

ong

support

at all

managem

ent le

vels

- a

nd a

Pro

g.

Board

The S

MT

has c

onsid

ere

d a

nd a

ppro

ved the C

MP

and the C

ouncil

has a

ppro

ved the C

MP

within

the B

udget pro

cess for

2009/1

0.

The P

rogra

mm

e B

oard

must ensure

that S

erv

ice D

epart

ments

are

3

polit

ical / socie

tal

facto

rs

The C

ouncil

will

be h

arm

ed in term

s o

f

perc

eption a

nd p

erf

orm

ance m

easure

ment if it

does n

ot re

duce its

Carb

on e

mis

sio

ns

33

9A

mber

The C

ouncil

will

incur

polit

ical dam

age if

it d

oes n

ot addre

ss c

arb

on r

eduction

Pro

g.

Board

LA

CM

Pro

gra

mm

e m

ust deliv

er

carb

on s

avin

gs

4te

chnic

al /

opera

tional /

infr

astr

uctu

re

The C

ouncil

does n

ot have the technic

al

expert

ise o

r th

e level of re

sourc

e r

equired to

deliv

er

technic

al solu

tions to r

educe c

arb

on

33

9A

mber

The C

ouncil

has a

sm

all

Energ

y T

eam

with lim

ited c

apacity to d

evelo

p technic

al

solu

tions. It w

ill r

equire technic

al

Pro

g.

Board

To b

e r

evie

wed b

y P

roje

ct B

oard

3 J

uly

. P

ote

ntial to

identify

a

shop for

technic

al solu

tions

5le

gal and

regula

tory

ris

k

Pla

nnin

g G

uid

ance a

nd P

rocess p

revents

or

dela

ys the intr

oduction o

f new

technolo

gie

s a

nd /

or

technic

al solu

tions w

hic

h c

an r

educe c

arb

on

33

9A

mber

No e

ngagem

ent w

ithin

LA

CM

pro

gra

mm

e fro

m P

lannin

g T

eam

Pro

g.

Board

The H

ead o

f S

erv

ice (

Pla

nnin

g)

has c

om

mitte

d to p

rovid

ing a

lead

offcie

r fo

r in

itia

tives w

hic

h a

re lik

ely

to r

equire a

pla

nnin

g input.

Develo

pm

ent S

erv

ices (

Pla

nnin

g)

is r

epre

sente

d o

n the

6financia

l risk

The C

ouncil

will

incur

incre

asin

g r

evenue c

osts

if it does n

ot put in

pla

ce a

long term

and

susta

inable

pro

gra

mm

e o

f in

vestm

ent in

24

8A

mber

Incre

ased e

xposure

to futu

re r

isin

g

revenue c

osts

& p

ossib

le futu

re c

entr

al

govern

ment penaltie

s

Pro

g.

Board

The L

AC

M p

rogra

mm

e a

cts

as the c

ore

of th

e C

ouncil'

s futu

re

investm

ent pro

gra

mm

e a

nd w

ill b

ring togeth

er

Busin

ess C

ase

develo

pm

ent fo

r fu

ture

investm

ent decis

ions

7financia

l risk

Pro

posed Initia

tives &

pro

gra

mm

es o

f w

ork

do

not deliv

er

pla

nned fin

ancia

l savin

gs

24

8A

mber

A B

usin

ess C

ase m

ust be p

roduced for

each p

roposed initia

tive

Pro

g.

Board

Busin

ess C

ases s

hould

inclu

de p

rocess for

futu

re a

ssessm

ent of

outc

om

es a

gain

st pro

jections. T

he P

rogra

mm

e B

oard

will

consid

er

Fin

al busin

ess c

ases b

efo

re a

ppro

vin

g p

roje

cts

to

8pro

gra

mm

e r

isk

The p

rogra

mm

e d

oes n

ot pro

duce initia

tives

whic

h w

ill p

roduce targ

et savin

gs in term

s o

f

carb

on e

mis

sio

ns a

nd r

evenue s

avin

gs

24

8A

mber

The C

ouncil

cannot id

entify

a

pro

gra

mm

e o

f in

itia

tives w

hic

h c

an

deliv

er

the r

equired c

arb

on a

nd r

evenue

Pro

g.

Board

The P

rogra

mm

e T

eam

have a

ccess to the d

ata

base o

f th

e o

ther

LA

's s

uccessfu

l pro

jects

and c

an u

se them

as a

refe

rence s

ourc

e.

Pote

ntial fo

r S

trate

gic

Part

ner

with a

n U

tilit

y -

eg. S

cottis

h P

ow

er,

9

org

anis

ational risk

Dependency o

n fossil

fuels

will

thre

ate

n futu

re

opera

tions a

nd d

eliv

ery

of serv

ice

24

8A

mber

Futu

re fuel short

ages m

ay a

ffect

opera

tions -

e.g

. fe

rrie

s, care

hom

es,

refu

se c

olle

ction

Pro

g.

Board

LA

CM

Pro

gra

mm

e m

ust addre

ss w

ithin

fin

al pla

n

10

org

anis

ational risk

Sta

ff a

nd U

nio

n R

epre

senta

tives d

o n

ot support

the L

AC

M p

rogra

mm

e

24

8A

mber

Pro

gra

mm

e fails

due to lack o

f

coopera

tion a

nd a

ctions a

t lo

cal le

vels

Pro

g.

Board

LA

CM

Pro

gra

mm

e r

educes r

isk e

xposure

and d

ependency u

pon

fossil

fuels

(oil

& g

as)

11

pro

ject risk

Technic

al desig

n o

r constr

uction failu

re/p

oor

perf

orm

ance

24

8A

mber

Ris

k that C

ouncil

em

plo

ys p

oor

qualit

y

technic

al &

pro

ject m

anagem

ent

resourc

e a

nd d

evelo

ps a

nd b

uild

s

Pro

g.

Board

Robust pro

cure

ment pro

cess to r

esourc

e technic

al expert

ise,

capacity a

nd c

apabili

ty w

ith a

"tr

ack r

eco

rd o

f su

ccessfu

l

pro

ject

deliver

an

d o

utc

om

es". A

ll p

roje

cts

fo

un

de d

on

12

financia

l risk

The p

roposed p

rogra

mm

e o

f w

ork

s c

annot be

funded fro

m C

EE

F a

nd U

tilit

y F

und.

23

6A

mber

The e

xte

nt of fu

ture

carb

on &

revenue

savin

gs w

ill b

e lim

ited b

y c

apital and

revenue investm

ent le

vels

Pro

g.

Board

The L

AC

M p

rogra

mm

e a

cts

as the c

ore

of th

e C

ouncil'

s futu

re

investm

ent pro

gra

mm

e a

nd w

ill b

ring togeth

er

Busin

ess C

ase

develo

pm

ent fo

r fu

ture

investm

ent decis

ions -

LA

CM

fundin

g

13

legal and

regula

tory

ris

k

If the C

ouncil

does n

ot ta

ke s

teps to r

educe its

carb

on e

mis

sio

ns it is

at risk o

f fu

ture

legis

lative

penalty

23

6A

mber

Arg

yll

& B

ute

Council'

s c

urr

ent ele

ctr

icity

useage is less than the thre

shold

level of

the C

arb

on R

eduction C

om

mitm

ent. It is P

rog.

Board

The C

MP

will

develo

p d

iscip

lines, govern

ance a

nd technic

al

expert

ise, capacity a

nd e

xperience to d

eliv

er

carb

on (

and e

nerg

y)

savin

gs initia

tives a

nd p

roje

cts

whic

h w

ill m

itig

ate

again

st th

e r

isk

14

str

ate

gic

ris

kA

rgyll

& B

ute

Council

is n

ot com

mitte

d to d

eliv

er

futu

re c

arb

on &

gre

en h

ouse g

as e

mis

sio

n

savin

gs

14

4G

reen

Imple

menta

tion P

rogra

mm

e d

oes n

ot

receiv

e C

ouncil

support

and fin

ancia

l

com

mitm

ent

Pro

g.

Board

CM

P c

onsid

ere

d a

nd a

ppro

ved b

y C

ouncil

within

Budget P

rocess

for

2009/1

0 a

nd incorp

ora

ted w

ithin

Corp

ora

te P

lan 2

009-1

2

15

pro

ject risk

The P

rogra

mm

e B

oard

does n

ot fu

nction a

nd

lacks c

ohere

nce a

nd d

irection

13

3G

reen

Pro

ject pla

nnin

g is p

oor

and n

o c

lear

direction o

r obje

ctives a

re s

et

Pro

g.

Board

LA

CM

Pro

gra

mm

e a

nd P

roje

ct P

lan p

rovid

es focus, str

uctu

re a

nd

resourc

e for

deliv

ery

16

pro

gra

mm

e r

isk

The p

rogra

mm

e d

oes n

ot deliv

er

any m

eanin

gfu

l

reductions in c

arb

on e

mis

sio

ns

12

2G

reen

The p

rogra

mm

e d

oes n

ot either

monitor

or

deliv

er

futu

re c

arb

on s

avin

gs

Pro

g.

Board

Busin

ess C

ases s

hould

inclu

de p

rocess for

futu

re a

ssessm

ent of

outc

om

es a

gain

st pro

jections

17

pro

ject risk

The L

AC

M p

rogra

mm

e is n

ot deliv

ere

d to

tim

escale

11

1G

reen

The p

rogra

mm

e is n

ot deliv

ere

d to

tim

escale

due to s

taff s

ickness a

bsence

or

oth

er

exte

rnal unpla

nned facto

rs

Pro

g.

Board

CM

P c

om

ple

ted b

y 3

1 M

arc

h 2

009 a

nd s

ubm

itte

d to c

arb

on tru

st

on 3

April 2009. A

CT

ION

CO

MP

LE

TE

.

AP

PE

ND

IX D

Carb

on

Man

ag

em

en

t

Date post:	27-Mar-2020
Category:	Documents
Upload:	others
View:	0 times
Download:	0 times

Argyll and Bute Council Carbon Management Programme · Argyll and Bute Council Carbon Management...

Documents