Agenda item

The Executive Member for Neighbourhood Services.

The Executive Member for Neighbourhood Services, Councillor Avery, gave an overview of the report which asked Members to consider and approve options for the reduction in carbon emissions from the council’s fleet of diesel-powered vehicles. The Council currently operates 129 vehicles or plant, 115 which are operated using diesel fuel.

The key proposals were:

·        To increase the capital fleet replacement budget to enable the purchase of one Electric-powered refuse collection vehicle, by £250,000;

·        To delegate authority to the Head of Neighbourhood Operations, in consultation with Executive Members to enter into a procurement process for the electric refuse collection vehicles and three other diesel-powered dustcarts, which are at the end of their serviceable life.

·        A switch from powering our Refuse Collection vehicles from diesel to Hydrotreated Vegetable Oil commonly referred to as HVO.

Operating the vehicle fleet makes a substantial contribution to the Council’s carbon emissions. The purchase of one electric refuse collection vehicle (RCV) as part of its ongoing fleet replacement programme represents a measured approach to beginning the transition to low carbon RCVs, whilst recognising the relatively high cost of these vehicles.

The use of HVO in operating the refuse collection vehicle fleet provides a cost-effective means of reducing carbon emissions until such time as these existing RCV vehicles can be replaced with low carbon alternatives. The benefits include:

1.   A reduction in the overall council’s operational carbon emissions of 25%.

2.   A reduction in the refuse collection vehicle fleet’s carbon emissions of 76%.

These recommendations align with the Council’s Environmental Sustainability Strategy that commits the authority to work towards a target of net zero operational carbon emissions by 2030. The report contained more detail about the financial implications, sustainability and other benefits of the proposals and how the proposals will be implemented and associated risks mitigated.

The Head of Corporate Policy, Performance and Projects commented on the benefits of HVO being a recognised way of reducing carbon emissions from fleet vehicles. Paragraph 18 in the report details how the carbon reduction figures have been calculated. It is an interim measure until other options are available.

Visiting Members asked the following questions:

·        Electric RCVs Vehicles are already on the market so are there other options available. Was it about the level of risk appetite to recommend one rather than three?

·        Where is the Hydrotreated Vegetable Oil (HVO) sourced and can the Council guarantee the provenance. Can details be published on the Council’s website?

·        Whether hybrid vehicles were available until fully electric versions are available that include an electric lift and compressor.

The Leader stated that cost was a key factor as electric RCVs are twice the cost of the diesel alternative while hydrogen-powered vehicles are three times the cost. The recommendation in the report was to procure one electric RCV for garden waste rather than three in order to test the charging infrastructure. The Council was taking a cautious approach to what was relatively new technology. The Council cannot further delay the replacement of the other two additional diesel powered RCVs as they are at the end of their serviceable life.

Officers confirmed that all suppliers that were approached, audited the provenance and carbon footprint of the supply of HVO, from the source of the oil through to delivery, and the carbon emissions of each process.

Executive Member for Neighbourhood Services, Councillor Avery, explained that this report was a first step in using an electric RCV in order to collect garden waste to give real world practical experience so that use of RCVs can then be expanded throughout the fleet. The recommendation was based on a single bodied RCV which can be used for garden waste. There is not a suitable electric twin bodied RCV available. Officers confirmed that the bin lifters on all the vehicles purchased in 2020 and 2021 were electric therefore a form of hybrid service was in operation already.

·        Members asked for clarification on the ongoing cost implications of an electric RCV compared to diesel. It was also requested that the supporting business case be shared.

·        Members also asked whether the HVO is sourced from the UK or imported from overseas and its provenance.

Officers confirmed that there was not currently sufficient HVO being manufactured in the UK currently and it would therefore be imported from Europe with a guarantee that there will be no rape seed or virgin oil used. It will be recycled oil from the food industries and other industries. Officers confirmed that vehicles can be switched back to diesel from HVO if there are any issues, without any impact or alterations required.

The financial implications set out in the report were discussed. These included revenue and capital budget impacts. Current forecasts showed that it costs slightly more to charge electric vehicles compared to diesel fuel.

·        Members asked about the planned programme for vehicle replacement and when more vehicles would be procured in future. It was confirmed that an outline of the programme was set out in Table 3 of the report on p247.

·        The expense of electric vehicles and of the cost of vehicle recovery when the battery fails or when a vehicle breaks down was noted.

The Leader noted that all these were important steps forward to meet the Council’s Environmental Strategy and goals.

RESOLVED – that the Executive:

(i)               Approve the inclusion of £0.250million Capital Programme growth for the purchase of one electric refuse collection vehicle, funded from prudential borrowing, in the final budget report to Executive on 1 February 2024.

(ii)             Agree to delegate authority to award the vehicle supply contract(s) for the four refuse collection vehicles identified for replacement in 2023/24 (one EV garden waste vehicle, two diesel garden waste vehicles and one split body waste & recycling vehicle) to the Head of Neighbourhood Services in consultation with the Chief Finance Officer, the Executive Member for Neighbourhood Services and the Executive Member for Finance, Government & Organisation; following the undertaking of a procurement exercise in line with the Council’s Contract Procedure Rules.

(iii)           Endorse the transition of the existing diesel refuse collection vehicle fleet to run on Hydrotreated Vegetable Oil, noting the financial implications that were included within the draft budget proposals reported to Executive on 16 November 2023.