Venue: Virtual Meeting - Zoom
Contact: Eirian Roberts 01286 679018
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APOLOGIES To receive any
apologies for absence. Minutes: Councillor Ian B.
Roberts and Colen Everett (Flinthsire Council), Yana Williams (Coleg Cambria),
Professor Iwan Davies (Bangor University), Judith Greenhalgh (Denbighshire
Council) and Dilwyn Williams (Gwynedd Council) |
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DECLARATION OF PERSONAL INTEREST To receive any declarations of personal interest Minutes: No declarations of
personal interest were received. |
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URGENT BUSINESS To note any items
which are urgent business in the opinion of the Chair for consideration. Minutes: None to note. |
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MINUTES OF THE PREVIOUS MEETING PDF 239 KB The Chair shall propose that the minutes of the meeting held on 5th February, 2021 be signed as a true record. Minutes: The Chair signed
the minutes of the previous meeting of the NWEAB held on 5 February 2021 as a
true record. |
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2021/22 REVENUE AND CAPITAL BUDGET PDF 706 KB Report by Dafydd
L. Edwards, Host Authority Statutory Finance Officer. Additional documents: Decision: 1. Approve the 2021/22 Revenue Budget as
presented in Appendix 1 to the report.
This includes the one-off virements of £415,000 in the revenue budget to
be funded from the 2. Approve the Capital Budget for 2021/22 to 2025/26
as presented in Appendix 2. 3. Fund the Gateway Reviews (Assurance) for the
NWEAB and Project Sponsor led projects. 5. Request the Portfolio Management Office to
review the project costs during the year as more information becomes available,
further to unforeseen costs now identified in the revenue budget. This review
to consider the option of funding part of this expenditure from the individual
project’s capital budget. Minutes: The report was
submitted by Dafydd L. Edwards (Statutory Finance Officer - Host Authority) and
Sian Pugh (Group Accountant - Corporate and Projects). RESOLVED (1) Approve
the 2021/22 Revenue Budget as presented in Appendix 1 to the report. This includes the one-off virements of
£415,000 in the revenue budget to be funded from the (2) Approve
the Capital Budget for 2021/22 to 2025/26 as presented in Appendix 2. (3) Fund
the Gateway Reviews (Assurance) for the NWEAB and Project Sponsor led projects.
(4) Formally
request all six local authorities to cooperate in using their funding
flexibility (5) Request
the Portfolio Management Office to review the project costs during the year as
more information becomes available, further to unforeseen costs now identified
in the revenue budget. This review to
consider the option of funding part of this expenditure from the individual
project’s capital budget. REASONS FOR THE DECISION (1) To set out the proposed budget per
expenditure heading and the corresponding funding streams for the year. (2) To set out the proposed budget per
expenditure heading and the corresponding funding streams for 2021/22 until
2025/26. (3) In order to operate effectively within the
funding available, the NWEAB requires an annual budget to be approved. (4) To authorise the Portfolio Director to incur
expenditure in accordance with the approved budget. DISCUSSION The report was
submitted, which proposed the 2021/22 Revenue and Capital Budget for the NWEAB. Details were
provided about the background and relevant considerations and the consultations
held. The Statutory
Finance Officer of the Host Authority provided details of the changes and the
unexpected situations which had arisen since the Board last discussed the
budget, and which had driven the majority of the use of reserve funds, namely:- ·
The unexpected substantial one-off costs in relation
to developing business cases. ·
The costs of the legal support to those business
cases. He explained:- ·
That there was sufficient money in the reserve funds
to implement this, but that the intention was to try to build the reserve fund
rather than using it at the beginning. ·
That the Portfolio Director, the Operations Manager
and the Monitoring Officer of the Host Authority had been challenged on the
figures, and that the additional one-off costs were rough estimates at present. He further noted:- ·
As the first instalment of the £16m Growth Deal grant
had been received on 12 March 2021, that the partners' contributions were on
the low side of the range submitted to the Board in October 2020. · Following the UK Government's announcement in the Chancellor's Budget in relation to reducing the funding contribution from 15 years to 10 years, that the entire financial position would need to be revisited. The Chancellor's announcement had been unexpected for Welsh Government also, ... view the full minutes text for item 5. |
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POSITION STATEMENT ON CLIMATE AND ECOLOGICAL CHANGE PDF 655 KB Report by Alwen
Williams, Portfolio Director. Additional documents: Decision: 1. To adopt the proposed position statement as
set out in section 5.1 of the report on how the Growth Deal projects will
deliver against regional, Welsh Government and UK Government aspirations on
climate and ecological change, with the following adaptations:- ·
To
amend the second bullet point to read "deliver
at least 40% less embodied carbon”. ·
To
amend the third bullet point to read "deliver
at least 10% net benefit for biodiversity”. ·
Delete
the final sentence, namely "The Portfolio Management Office will work with project sponsors to
deliver the best affordable solution for each project”. 2. To note that all Growth Deal projects will
need to set out to what degree they will deliver against the position statement
and any relevant mitigations as part of the business case
approval process. 3. To delegate to the Portfolio Director, authority to determine the appropriate means of implementation and measurement across the portfolio and to note that this will require external expertise to be commissioned to support the Portfolio Management Office. Minutes: The report was
submitted by Alwen Williams (Portfolio Director) and Robyn Lovelock (Growth
Deal Programme Manager). RESOLVED (1) To adopt the proposed position statement as
set out in section 5.1 of the report on how the Growth Deal projects will
deliver against regional, Welsh Government and UK Government aspirations on
climate and ecological change, with the following adaptations:- ·
To amend the second bullet
point to read "deliver at least
40% less embodied carbon". ·
To amend the third bullet
point to read "deliver at least
10% net benefit for biodiversity". ·
Delete the final sentence,
namely "The Portfolio Management
Office will work with project sponsors to deliver the best affordable solution
for each project". (2) To note that all Growth Deal projects will
need to set out to what degree they will deliver against the position statement
and any relevant mitigations as part of the business case approval process. (3) To delegate to the Portfolio Director,
authority to determine the appropriate means of implementation and measurement
across the portfolio and to note that this will require external expertise to
be commissioned to support the Portfolio Management Office. REASONS FOR THE DECISION Without a clear
position from the Board on climate and ecological change, opportunities to
shape project business cases may be lost. This could inadvertently result in
Growth Deal projects increasing regional carbon emissions and biodiversity
loss. DISCUSSION The report was
submitted, which presented a proposed position statement for the North Wales
Growth Deal in relation to climate and ecological change. Details were
provided about the background and relevant considerations and the consultations
held. During the
discussion, the following matters were raised:- ·
Concern
was expressed by some members that the proposed position statement did not go
far enough, and that the wording should be tightened, e.g. it should be noted
that 'all Growth Deal projects will ...',
rather than 'all Growth Deal projects
will aim to ...', etc. · It was stressed that the NWEAB should lead across North Wales on reducing carbon footprint, and it was suggested that all Growth Deal projects should deliver 50% less embodied carbon (rather than 40%, as noted in the proposed position statement) and deliver a 20% net benefit for biodiversity (rather than the 10% noted in the statement). In response, it was explained that Wales had not set a net benefit target for biodiversity, but it was acknowledged that the current situation was not supportive of the health of ecosystems, and that there was a need to be more ambitious. In the absence of a target for Wales, the DEFRA guidance was followed, which had consulted extensively over several months in England prior to establishing the net benefit of 10%. It was further noted that the target for embodied carbon was ambitious, and that it may be possible to tighten the wording. Attention was also drawn to the fact that the statement noted that projects would be encouraged to exceed these aspirations, but the wording also needed to acknowledge ... view the full minutes text for item 6. |
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DRAFT NORTH WALES ENERGY STRATEGY PDF 586 KB Report by Henry
Aron, Energy Programme Manager and Rhys Horan, Welsh Government Energy Service. Additional documents: Decision: 1. To endorse the draft North Wales Energy
Strategy and confirm the Board’s support for the commencement of preparatory
work on the action plan. 2. To agree to receive a further report on the draft action plan. Minutes: The report was
submitted by Henry Aron (Energy Programme Manager) and Rhys Horan (Welsh
Government Energy Service). RESOLVED (1) To endorse the draft North Wales Energy
Strategy in draft form and confirm the support of the Board for the
commencement of preparatory work on the action plan. (2) To agree to receive a further report on the
draft action plan. REASONS FOR THE DECISION The
current strategy provides a high-level vision, priority areas, energy modelling
and economic analysis which shall inform the development of the proposed action
plan. DISCUSSION The report was
submitted, which presented the North Wales Energy Strategy in draft form for
endorsement, to garner support for the proposed next steps, and to show that
the Strategy was in alignment with the regional commitment to the climate
change challenge. Details were
provided about the background and relevant considerations and the consultations
held. During the
discussion, the following matters were raised:- ·
It was noted that the NWEAB's Low Carbon Energy
Programme Board was a part of this, and that all partners had contributed to
the journey to date. ·
The importance of ensuring that this did not detract
from the work of the NWEAB was stressed, due to the need to deliver on the
Growth Deal projects. ·
In response to a question, it was explained that £15bn
of expenditure that was needed to deliver the energy vision was a combination
of private and public sector investment. It was unclear as yet what the split
would be, but it also included expenditure from individuals, e.g. on electric
vehicles, heat pumps, etc. ·
The document was welcomed, and it was noted that it
set out clearly some of the current issues, and the options for the future
also. ·
The reference to the contribution that the tidal
lagoon could make was welcomed, and it was asked whether consideration had been
given to broader advantages than those of energy generation alone. In response,
it was explained that full consideration of all the advantages was not outlined
in the snapshot given, but the economic advantages, in terms of job creation etc.,
had been identified and shared. In going forward, this would be important, but
the detail was not yet available. |
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COMMERCIAL PRINCIPLES FOR THE NORTH WALES GROWTH DEAL PDF 398 KB Report by Hedd
Vaughan-Evans, Operations Manager. Decision: 1. To agree the Commercial Principles as set out
in section 5 of the report. 2. To note that the rationale for adopting a specific commercial position will be clearly set out alongside project business cases for the Board to consider. Minutes: The report was
submitted by Hedd Vaughan-Evans (Operations Manager). RESOLVED (1) To agree the Commercial Principles as set
out in section 5 of the report. (2) To note that the rationale for adopting a
specific commercial position will be clearly set out alongside project business
cases for the Board to consider. REASONS FOR THE DECISION To provide a clear
negotiating platform for the Portfolio Management Office. DISCUSSION The report was
submitted, which presented a series of Commercial Principles which, if adopted,
would be used by the Portfolio Management Office to negotiate commercial opportunities
involving the Growth Deal Projects. Details were
provided about the background and relevant considerations and the consultations
held. During the
discussion, the following matters were raised:- ·
In response to a question, it was explained that the
£100,000 for external legal support referred to in item 5 above reflected the
fact that there would be complex and detailed contractual work at times in
relation to the general funding agreements, and that the external legal support
referred to in paragraph 6.1 of the report was one element of this. It was
further explained that, in approving this report, the NWEAB would not commit to
direct expenditure. Nevertheless, there were financial implications to this,
but likely to be positive for the Board in terms of the abilities to take
advantage of commercial projects in order to have some sort of return. As the
Host Authority's Statutory Finance Officer had noted in his observations on the
report, this was not yet clear, and further work needed to be done in order to
identify the way forward in that regard. ·
It was noted that it was difficult to comprehend all
of this properly until genuine examples would be seen, but that the principles
seemed fair. ·
It was suggested that Commercial Principle 1 could be
difficult to define in terms of distinguishing between commercial returns as a
result of this investment and commercial returns as a result of something that
the body would do in any case. However,
it was accepted that the details were not currently available. |
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NORTH WALES GROWTH DEAL - PROCUREMENT PRINCIPLES PDF 474 KB Report by Hedd
Vaughan-Evans, Operations Manager. Additional documents: Decision: 1. To adopt the proposed procurement principles
for the North Wales Growth Deal. 2. To note the project sponsors will need to
demonstrate how they will deliver against these principles as part of the
project business case. Minutes: The report was
submitted by Hedd Vaughan-Evans (Operations Manager). RESOLVED (1) To adopt the proposed procurement principles
for the North Wales Growth Deal. (2) To note the project sponsors will need to
demonstrate how they will deliver against these principles as part of the
project business case. REASONS FOR THE DECISION To provide a clear
framework for projects to deliver against the aspirations of the North Wales
Economic Ambition Board. DISCUSSION The report was
submitted, which presented a series of procurement principles for the North
Wales Growth Deal. Details were
provided about the background and relevant considerations and the consultations
held. During the
discussion, the following matters were raised:- ·
It was noted that the principles were supported, but
in implementing them, there was a desire to see some more prominence given to
those principles that bring benefits to North Wales, such as climate and
ecological change, supporting the local supply chain, social value, skills,
jobs and opportunities etc. ·
It was expressed that it was hoped that the principles
would be implemented vigorously and would also be promoted. |