Issue - meetings

To consider a report of the Executive Councillor (Sustainable Future)

The report summarises a proposal to provide a loan to Stockport Hydro from the Council’s Green Regeneration Fund. Stockport Hydro is an Industrial and Provident Society for the benefit of the community (IPS BenCom).  Its scheme at Otterspool Weir is Greater Manchester's first community-owned hydro-electric project.  The generating plant at Otterspool weir is now fully functional and is generating renewable electricity. However because of a number of outstanding financial issues Stockport Hydro has requested financial assistance from Stockport Council in the form of a 10 year loan at 7% interest for up to £45,000 to assist the scheme.

The Executive is requested to approve the loan offer to Stockport Hydro, as described under section 3.0 of the report.

Officer contact: Darren Pegram, 0161 474 3171, Darren.pegram@stockport.gov.uk

The Executive Councillor (Sustainable Future) submitted a report (copies of which had been circulated) inviting the Executive Meeting to consider a proposal to provide a 10 year loan at 7% interest for up to £45,000 to Stockport Hydro to assist with the community-owned hydro-electric project at Otterspool Weir, to be funded from the Council’s Green Regeneration Fund.

RESOLVED – That approval be given to a 10 year loan at 7% interest for up to £45,000 to Stockport Hydro, as described under section 3.0 of the report.

To consider a report of the Service Director (Place Development).

Stockport Hydro is an Industrial and Provident Society for the benefit of the community.  Its scheme at Otterspool Weir is Greater Manchester's first community-owned hydro-electric project.  The hydro scheme on the River Goyt is now constructed and capable of generating electricity but there are some outstanding financial issues for which Stockport Hydro is seeking assistance from Stockport Council.

The Scrutiny Committee is invited to comment on the proposed loan offer to Stockport Hydro, as described under section 3.of the report.

Officer contact, Darren Pegram, Sustainability Manager, telephone number 0161 474 3171, email: darren.pegram@stockport.gov.uk

The Service Director (Place Development) submitted a report (copies of which had been circulated) in connection with the Otterspool Weir Hydro Scheme. The scheme was Greater Manchester’s first community-owned hydro-electric project. The hydro scheme was now constructed and capable of generating electricity but there were some outstanding financial issues for which Stockport Hydro was seeking assistance from the Council.

The Executive Councillor, for Sustainable Futures (Councillor Stuart Bodsworth) attended the meeting to present the report and answer member’s questions.

It was reported that the Environment and Economy Scrutiny Committee on 29 November had supported the proposed loan to Stockport Hydro and requested that an update report be submitted to the Scrutiny Committee in six months’ time and a more detailed update report in twelve months’ time.

RESOLVED – That the Executive Meeting be advised that this Scrutiny Committee supports the proposed loan to Stockport Hydro as detailed in the report.

To consider a report of the Service Director (Place Development)

Stockport Hydro is an Industrial and Provident Society for the benefit of the community. Its scheme at Otterspool Weir is Greater Manchester’s first community-owned hydro-electric project. The hydro scheme on the River Goyt is now constructed and capable of generating electricity but there are some outstanding financial issues for which Stockport Hydro is seeking assistance from Stockport Council.

The Scrutiny Committee is invited to comment on the proposed loan offer to Stockport Hydro, as detailed under section 3 of the report.

Officer contact: Darren Pegram on 0161 474 3171, e mail: darren.pegram@stockport.gov.uk.

The Service Director (Place Development) submitted a report (copies of which had been circulated) in connection with the Otterspool Weir Hydro Scheme. The scheme was Greater Manchester’s first community-owned hydro-electric project. The hydro scheme was now constructed and capable of generating electricity but there were some outstanding financial issues for which Stockport Hydro was seeking assistance from the Council.

The Executive Councillor for Sustainable Future (Councillor Stuart Bodsworth) also attended the meeting to respond to Members’ questions.

The following comments were made/issues raised:-

•           The rent charged by the Council as the landowner of the site was a commercial rent.

•           The primary financer of the scheme was the charity bank.

•           The 7% loan over a 10 year period was a good investment rate for the Council and would be reinvested into other schemes through the Green Regeneration Fund.

•           As a commercial interest charge would be made to the proposed loan by the Council, it was not in breach of State Aid requirements.

•           Provided the appropriate checks and balances were in place, this was a worthwhile scheme for the Council to be involved with.

RESOLVED – (1) That the Executive Meeting be advised that this Scrutiny Committee supports the proposed loan to Stockport Hydro.

(2) That an update report be submitted to the Scrutiny Committee in six months’ time and a more detailed update report in twelve months’ time.