Decision details

It is resolved that:

(A)      Council note that a tender will be issued by May 2023 for a new Large Market Natural Gas Supply Contract, noting the financial implications and natural gas market forecast as outlined in Confidential Attachments A and B to the subject report;

(B)      Council note that in the tender, information will be sought as to the source of the gas to be used and the implications of it;

(C)      Council note that the timing of tender release will be based on a staff assessment of optimal market conditions to achieve the best outcome for Council;

(D)      Council note that an effort will be made to consider gas alternatives in order to transition away from fossil fuels faster than the 10-year target;

(E)      authority be delegated to the Chief Executive Officer to:

(i)         approve the acceptance of the tender for Large Market Natural Gas Supply with the prior consultation of the Chief Financial Officer, following a tender process in accordance with the Local Government Act 1993 and relevant regulations;

(ii)        negotiate, execute and administer the Large Market Natural Gas Supply Contract; and

(iii)      place protections against exposure to spot pricing within the contract, if possible; and

(F)       Council note that it will be provided with a CEO Update following the award of the Large Market Natural Gas Supply Contract.

The substantive motion, as varied by consent, was carried on the following show of hands –

Ayes (9)     The Chair (the Lord Mayor), Councillors Chan, Davis, Ellsmore, Gannon, Jarrett, Kok, Scott and Scully

Noes (1)     Councillor Weldon.

Substantive motion carried.

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