Key information
Decision type: Mayor
Reference code: MD1503
Date signed:
Decision by: Boris Johnson, Former Mayor of London (May 2008 - May 2016)
Executive summary
This MD seeks Mayoral approval of the GLA Environment Team’s 2014-15 work programme and associated expenditure of up to a maximum of £917,000. The work programme and associated expenditure was approved in principle by the GLA’s Investment and Performance Board on the 20 February and 19 March. The work programme will facilitate and enable the delivery of the Mayor’s vision for London as the best big city.
Decision
That the Mayor approves expenditure of up to a maximum of £917,000 to deliver the Environment Team’s 2014-15 work programme (as set out in 2.3) and related exemptions from the requirement of the GLA’s Contracts and Funding Code to seek three or more written quotes in relation to the awarding of contracts to:
- Greenspace Information for Greater London (GiGL) for the management and analysis of Green Infrastructure and natural environment data for London, at a total cost of up to £60,000 (£20,000 per annum);
- The Ellen MacArthur Foundation for the GLA’s membership of the Ellen MacArthur Foundation Circular Economy 100 Cities Programme and to take 10 SMEs through the programme at a total cost of £17,500; and
- C40 (working with participating C40 cities) to develop datasets to quantify the size and nature of the Low Carbon and Environmental Goods and Services sector in London at a cost of up to £30,000.
Part 1: Non-confidential facts and advice
1. Introduction and background
1.1 The overall aim of the Environment Team’s work programme is to maintain and extend London’s position as the leading global city (as set out in 2020 Vision) by ensuring that London is clean, efficient, resilient and uses resources responsibly to support a growing economy, a growing population and improving the quality of life of Londoners.
1.2 The Investment and Performance Board (20 Feb and 19 March) approved in principle:
• Activities and associated expenditure relating to the Environment Team’s 2015-16 activities at a total cost of £643k (£280k in support of statutory functions and £363k for delivering on wider environmental-related mayoral commitments and activities)
• The activities and associated expenditure relating to the Environment Team’s 2015-16 additional projects at a total cost of £274k
1.3 The following expenditure associated with the Environment Team’s 2014-15 work programme has previously been approved under cover of:
• MD 1288 - approved the commitment of £110k in 2015-16 to undertake specialist energy assessments of planning applications.
• MD1223 - approved the commitment of £40K for Capital Clean-up in 2015-16
1.4 Accordingly, the Mayor is asked to approve expenditure of £917k to enable the delivery of the Environment Team’s 2015-16 work programme and the immediate expenditure related decisions as set out in 2.3.
2. Objectives and expected outcomes
2.1 The Environment Team’s work programme has two objectives: To make London a resilient, greener city and a more resource efficient city. Underpinning both these objectives is the need to secure investment and create jobs, so the work programme focuses on seeking opportunities to diversify the economy and create the conditions for sustainable growth.
2.2 The Environment Team’s work programme will assist with achieving the Mayor’s vision of London being the “greatest city in the world” through:
• Delivering the Mayor’s environmental commitments and strategies, using our strategic perspective and analysis to maximise impact and value for money
• Delivering on statutory responsibilities, both devolved national responsibilities and statutory strategies
• Working with key stakeholders to encourage and enable them to work more coherently together to deliver on the Mayor’s priorities
• Providing critical support to mayoral priorities such as working to deliver 2020 Vision and developing the London Infrastructure Plan, Smart City programme and the LEP’s work programme.
2.3 The table below sets out the main elements of the work programme, overall costs and immediate expenditure related decisions. Note there will be additional decisions required throughout the financial year to utilise all the available budget, or relating to any additional income or expenditure.
3.1 Each of the Mayor’s environmental strategies, from where much of the Environment Team’s work programme has been drawn, have been through a formal process of consultation and integrated impact assessments including a full equalities impact assessment which identified the potential equalities impact of the relevant strategies and appropriate mitigation measures.
4.1 Key risks and issues
4.1.1 Delays in undertaking any of the activities listed above (due to not having budgets or contracts in place) are likely to lead to an interruption in service provision that may have a negative reputational impact on the Mayor. Mitigation: The timelines and expected costs for all activities have been reviewed. In addition, risk registers will be drawn up for individual projects (where appropriate) to identify and monitor risks. High value / high risk projects will be monitored through IPB and lower value / lower value risks will be monitored through the Environment team’s monitoring and review process.
4.1.2 Staff resources have been identified within the GLA Environment team to manage and take forward the projects set out in 2.3. These are set out in the Environment Team’s business plan and will be monitored and reviewed by the Environment Team’s management team.
4.2 Links to Mayoral strategies and priorities
4.2.1 The Environment Team’s 2015-16 work programme will contribute towards:
• The efficient and effective delivery of Mayoral commitments
• The diversification of the economy (principally through supporting the growth of the green economy), driving investment and job creation
• The efficient and effective delivery of policies and targets in the London Plan and the Mayor’s environmental strategies, including:
4.2.2 Climate change mitigation and energy
• Reducing London’s CO2 emissions by 20 per cent by 2015, 40 per cent by 2020 and 60 per cent by 2025 against a 1990 baseline
• Supplying 25 per cent of London’s energy from decentralised energy sources by 2025
4.2.3 Air quality
• Halving road transport exhaust NOx emissions in central London by 2020 to deliver the best air quality of any major world city and achieve EU legal air quality limits for nitrogen dioxide (NO2).
• Delivering a 64% reduction in particulate matter (PM2.5) transport exhaust emissions in central London by 2020 to protect human health.
• Fulfilling the Mayor’s statutory duties relating to Local Air Quality Management as set out in the Environment Act 1995.
• Securing investment in London for the next generation of ultra low emission vehicles to create jobs and growth as well as to deliver the Mayor’s Ultra Low Emission Zone.
4.2.4 Municipal waste management
• To reduce the amount of household waste produced from 970kg per household per year in 2009-10 to 790kg per household per year by 2031. This is equivalent to a 20 per cent reduction.
• To recycle or compost at least 45 per cent of municipal waste by 2015, 50 per cent by 2020 and 60 per cent by 2031
• To cut London’s greenhouse gas emissions from municipal waste management by one million tonnes CO2 equivalent by 2031.
4.2.5 Water
• Helping to balance London’s supply and demand for water by using the water we have more wisely, tackling water poverty and safeguarding the water environment
4.2.6 Green Infrastructure
• Increasing London’s tree cover by 5 per cent by 2025
• Increasing green cover in the Central Activities Zone by 5 per cent by 2030
4.2.7 Climate change adaptation
• Increasing resilience of critical infrastructure and vulnerable communities
• Raising awareness and building capacity of key stakeholders to manage prioritised risks
• Promoting London as a safe place to do business and invest in.
• Promoting London as an international leader in the ‘adaptation economy’.
4.3 Impact Assessments and consultations
4.3.1 Each of the Mayor’s environmental strategies, from where much of the Environment Team’s work programme has been drawn, have been through a formal process of consultation and integrated impact assessments have been undertaken.
5.1 The Mayor is requested to approve expenditure of £917,000 to deliver the Environment Team’s 2015-16 work programmes as detailed in the table under paragraph 2.3 above. Approval is also sought for three exemptions from the requirement of the GLA’s Contracts Code of Practice to seek three or more written quotes in relation to the awarding of a contract for services to.
5.2. The table below shows how the Environment programme budget has been allocated between the statutory and non-statutory elements, approvals and the total resources allocated towards the 2015-16 Environment programme budget:
* Excluding Energy Assessment commitment of £110,000 approved via MD1288
5.3 A programme budget of £390,000 was allocated to the Environment unit as part of the 2015-16 budget setting process in order to support the delivery of the Mayor’s statutory functions in environment. This included the Energy Assessment commitment of £110,000 approved via MD1288 and presented to IPB in January 2014.
5.4 In addition £363,000 “non-statutory” element of the Environment’s programme budget was also provided through the 2015-16 budget setting process in order to support the delivery of the Mayor’s non- statutory functions in environment.
5.5 Separately £40,000 was allocated for Capital Clean-up project (MD1123) as part of 2015-16 budget setting process.
5.6 If budget is required for new projects or there is an increase in expenditure then officers should use the Environment programme budget approved in this MD as the first port of call and should consider re-prioritisation of projects before making any more budget bids.
5.7 If at any stage of the programme there is a need for any consultancy work, officers have to ensure that the requirements relating to consultancy services within the Authority’s Financial Regulations and Expenses & Benefits Framework are adhered to and costs will be contained within the existing Environment budget allocation for 2015-16.
5.8 Should this decision relate to a contract at any stage, officers have to ensure that the requirements of the Authority’s Contracts and Funding Code are adhered to.
5.9 Any changes to this proposal will be subject to further approval via the Authority’s decision-making process.
5.10 The Environment team within the Development, Enterprise & Environment will be responsible for managing this project.
6.1 The foregoing sections of this report indicate that:
6.1.1 the decisions requested of the Mayor fall within the GLA’s statutory powers to do such things considered to further or which are facilitative of, or conducive or incidental to the promotion of economic and social development and the improvement of the environment in Greater London. In formulating the proposals in respect of which a decision is sought officers have complied with the GLA’s related statutory duties to:
a. pay due regard to the principle that there should be equality of opportunity for all people;
b. consider how the proposals will promote the improvement of health of persons, health inequalities between persons and to contribute towards the achievement of sustainable development in the United Kingdom; and
c. consult with appropriate bodies.
6.2 Section 2 if this report indicates that there may be contributions of up to £110,000 to the costs of third party projects which amount to the provision of grant funding and not payment for works, supplies or services. Officers must ensure that:
6.2.1 the funding is distributed fairly, transparently, in accordance with the GLA’s equalities
and in manner which affords value for money in accordance with the Contracts and Funding Code; and
6.2.2 appropriate funding agreements are put in place between and executed by the GLA and
the recipient of the funding before any commitment to fund is made.
6.3 All other services or supplies required must be procured by Transport for London
Procurement (who will determine the detail of the procurement strategy to be adopted) in accordance with the GLA’s Contracts and Funding Code. Officers must liaise with Transport for London Procurement in this regard and ensure that appropriate contracts are put in place between and executed by the GLA and the successful bidders before the commencement of any such services or supplies.
6.4 Section 3.6 of the GLA’s Contracts and Funding Code (“Code”) requires that contracts with values of the level set out at decisions 1,2 and 3 be awarded following the seeking of at least three written quotations/should be called off from accessible frameworks. However, section 5 of the Code also provides that an exemption from this requirement may be justified where there is a complete absence of competition for the services or supplies in question and where the proposed provider has been involved previously in the project in question. Officers have indicated in section 2 that this is the case. Therefore, the Mayor may approve the proposed awards and exemptions if satisfied with the content of this report.
6.5 To the extent that it is proposed that the costs of the scheduled activity are to be met (in whole or part) by 3rd party funding officers should not place reliance upon any such funding until legally binding commitments to the same are secured.
6.6 Officers must ensure that they comply fully with all GLA HR/Head of Paid Service protocols in respect of any staffing proposals, in particular the need to gain all necessary approvals for the creation of any new posts.
6.7 To the extent that it is proposed that any policy related activities are to be undertaken/funded under contracts/funding agreements for periods that extend beyond April 2016 officers must ensure that those contracts and funding agreements contain no fault break clauses and milestones and schedules are developed in a way which does not unreasonably fetter the discretion of a successor administration to terminate the same.
Single Source documents: - Green data management - Circular Economy - Low carbon and environmental goods and services
Signed decision document
Environment Team work programme 2015-16 (signed) PDF
Supporting documents
Single Source documents