Agenda of Sustainable Futures Committee

Minutes of the Sustainable Futures Committee

Meeting Date: Thursday, 17 August 2017

Location: Jervis Bay Rooms, City Administrative Centre, Bridge Road, Nowra

Time: 4:00 pm

The following members were present:

Clr Kaye Gartner - Chairperson

Clr Patricia White – by teleconference

Clr Amanda Findley

Clr John Levett

Clr Nina Cheyne

Clr Mark Kitchener

Mr David Brawn

Mr Oisin Sweeney

Mr Robert Hayward

Mr Peter McVay

Ms Larraine Larri

Others present:

Craig Milburn – Director Finance, Corporate and Community Services

Carmel Krogh – Director Shoalhaven Water

Ben Stewart – Director Assets and Works

Phil Costello – Director Planning Environment Development Services

Kelie Clarke – Environmental Services Manager

Elizabeth Dixon – Environmental Planning and Assessment Team Supervisor

Jessica Rippon – Executive Manager, Communications

Representatives from the Office of Environment and Heritage

Apologies / Leave of Absence

Apologies were received from: Clr Wells and Clr Gash

Confirmation of the Minutes

RESOLVED (Clr Gartner / David Brawn)

That the Minutes of the Sustainable Futures Committee held on Wednesday 19 July 2017 be confirmed.

CARRIED

Business Arising from Previous Minutes

Carmel Krogh gave a verbal update on the resources commitment. She confirmed the budget of $50,000 and in addition there is approval for a new role to assist in energy management initiatives. Carmel advised that she has had tentative discussions with Kelie regarding the job description for the role and will provide a written report for the next committee meeting.

Action: Carmel Krogh to provide a written report for the next Sustainable Futures Committee meeting.

Declarations of Interest

Oisin Sweeney - SF17.17 ENOVA - Renewable Energy Retailer – less than significant non-pecuniary interest declaration – Mr Sweeney is an ENOVA shareholder and will promote the ENOVA model as very relevant to the Shoalhaven – will remain in the room and will take part in discussion and vote.

Presentations

SF17.8 Office of Environment and Heritage - Briefing

HPERM Ref: D17/257406

Representatives from the Office of Environment and Heritage briefed the Committee with regard to the following:

· Climate Change Fund

· NSW Climate Change Policy Framework & the roles of the NSW Government

Achiever net-zero emissions by 2050
More resilient to a changing climate
Develop value for emissions savings
Embed climate change consideration in government decision making
Develop action plans and carry out policy investigations
Review in 2020

· Outline of the Paris Agreement

· Climate Change Fund Draft Strategic Plan

o Energy Efficiency , Advanced energy and energy market outlook, preparing for a changing climate

o $500m environmental future fundingn package – three themes:

Advanced energy ($200m)
Energy efficiency ($200)
Climate change adaption ($100)

Energy savings target of 16,000 GWh a year by 2020

Support vulnerable households to save energy and money
Support large energy users to identify energy savings opportunities
Expand investment under the Government Resource Efficiency Policy
Transition to 21^st century transport fleet & government power purchase agreements
NSW Government agencies managing climate change risks
Overview of OEH climate change impacts and adaption program

Information and knowledge delivery
Regional and sectoral assessment
Stakeholder engagement & capacity building

SF17.9 Community Member - Sustainable Futures Committee - Induction and Code of Conduct

HPERM Ref: D17/234398

Craig Milburn provided a presentation on Council’s Code of Conduct and Meeting Procedure.

Reports

SF17.18 Cities Power Partnership	HPERM Ref: D17/260521
The Committee discussed the Cities Power Partnership proposed draft pledges.
Recommendation That Council 1. Decide to partner with other South East Coast Councils through this program i.e. Kiama, Eurobodalla and Bega Valley 2. Call a meeting of Mayors and General Managers of these Councils, to take place by mid-November, to formalise this partnership. 3. Staff establish formal liaisons with partner Councils for information exchange and joint project funding and management.
Recommendation (By consent) That Council 1. Decide to partner with other South East Coast Councils through this program i.e. Kiama, Eurobodalla and Bega Valley 2. Call a meeting of Mayors and General Managers of these Councils, to take place by mid-November, to formalise this partnership. 3. Staff establish formal liaisons with partner Councils for information exchange and joint project funding and management. 4. To adopt the Cities Power Partnership Pledges. CARRIED

SF17.10 Overview Report - The International and National Picture

HPERM Ref: D17/254138

Recommendation (Item to be determined under delegated authority)

That the report, regarding the International and National Picture be received for information.

RESOLVED (By consent)

That the report, regarding the International and National Picture be received for information.

CARRIED

SF17.11 Renewable Energy - Planning Processes - Set Targets

HPERM Ref: D17/254251

Recommendation

That Council:

1. Use strategic and statutory planning processes to provide renewable energy both at the residential, commercial and larger scale.

2. Power Council operations by renewables directly and set targets to increase the level of renewable power for Council operations over time.

RESOLVED (By consent)

That the Committee support a renewable energy pledge to be incorporated into the Cities Power Partnership Pledges.

CARRIED

SF17.12 Energy Efficiency - Planning Applications - Benchmarks

HPERM Ref: D17/254285

Recommendation

That Council set minimum energy efficiency benchmarks for all planning applications.

RESOLVED (By consent)

That the Committee support an energy efficiency pledge to be incorporated into the Cities Power Partnership Pledges.

CARRIED

SF17.13 Sustainable Transport - Council Planning and Design

HPERM Ref: D17/254312

Recommendation

That Council encourage sustainable transport use (public transport, walking and cycling) through Council transport planning and design.

RESOLVED (By consent)

That the Committee support a sustainable transport pledge to be incorporated into the Cities Power Partnership Pledges.

CARRIED

SF17.14 Working Together and Influence - Set Targets - Sustainable Energy Policies

HPERM Ref: D17/254372

Recommendation

That Council set city level renewable energy or emissions reduction targets and Sustainable Energy Policies to provide a common goal and shared expectations for local residents and businesses.

RESOLVED (By consent)

That the Committee support a working together and influence pledge to be incorporated into the Cities Power Partnership Pledges.

CARRIED

SF17.15 Helping Nature Help People	HPERM Ref: D17/253999
Oisin Sweeney spoke briefly to this report and advised the Committee that he will provide more information regarding nature-based solutions at the next meeting of the Committee.
Recommendation That Shoalhaven City Council develop and implement a Policy to facilitate nature-based solutions to ensure Shoalhaven residents have resilient communities in wildlife-friendly surrounds.
RESOLVED (By Consent) That the Helping Nature Help People agenda item be deferred to the next meeting of the Committee scheduled for 12 October 2017. CARRIED

SF17.16 Bellingen Shire Council - Renewable Energy - Council Buildings

HPERM Ref: D17/254094

Oisin Sweeney - SF17.17 ENOVA - Renewable Energy Retailer – less than significant non-pecuniary interest declaration – Mr Sweeney is an ENOVA shareholder and will promote the ENOVA model as very relevant to the Shoalhaven – remained in the room and will took part in discussion and vote.

Oisin Sweeney advised the Committee that he wanted to highlight the leadership that Bellingen Shire are demonstrating with regard to renewable energy use on council buildings.

Recommendation (Item to be determined under delegated authority)

That the Sustainable Futures Committee hold a discussion regarding the information and attachment.

RESOLVED (By consent)

That the Committee receive the report regarding Bellingen Shire Council - renewable energy – council buildings report for information.

CARRIED

Note: The Chair advised the members if they wish to have an item included in a Committee agenda it should be emailed to Council’s Governance Unit. It was also noted that agenda items may be provided for information only.

General Business

SF17.17 ENOVA - Renewable Energy Retailer

HPERM Ref: D17/254057

This item has been requested for discussion by Mr Oisin Sweeney. ENOVA is a company based in the northern rivers that offers a model in advance of this discussion. https://enovaenergy.com.au/about-us/

RESOLVED (By consent)

Item deferred for discussion at the next Committee meeting scheduled for 12 October 2017.

CARRIED

Introduction of Items as Matters of Urgency

Recommendation (Item to be determined under delegated authority)

That the following addendum reports be introduced as matters of urgency:

1. SF17.18 Cities Power Partnership

RESOLVED (By consent)

That the following addendum reports be introduced as matters of urgency:

2. SF17.18 Cities Power Partnership

CARRIED

The Chairperson ruled the matters as ones of urgency as they relate to urgent business of Council and allowed their introduction.

Addendum Reports

SF17.18 Cities Power Partnership

HPERM Ref: D17/260521

Item dealt with earlier in the meeting.

SF17.19 Additional Item - Council Budget 2018/19

Craig Milburn spoke to the Committee with regard to the program of Council’s budget preparation for 2018/19 will be distributed to members for their information.

Action: The program of Council’s budget preparation for 2018/19 to be distributed to members for their information

There being no further business, the meeting concluded, the time being 6.07pm.

Clr Gartner

CHAIRPERSON

Sustainable Futures Committee – Thursday 12 October 2017

Page 7

SF17.22 Renewable Energy Management - Progress

HPERM Ref: D17/314816

Group: Shoalhaven Water Group

Purpose / Summary

This report provides an update to the Committee on the progress with staffing resources for Council’s energy management initiatives and provides recommendations to further develop pilot solar schemes utilising Shoalhaven Water assets.

Recommendation (Item to be determined under delegated authority)

That the Committee note the resourcing process and support the preparation of documents for Expressions of Interest for land-based and floating solar projects.

Options

1. The Committee can choose not support the proposed strategy to develop pilot or specific projects for solar power generation

Implications: Further advice and direction would be required to revise the current direction.

Background

The Committee is aware that Council has now committed to funding an additional full-time resource to facilitate and develop Council’s sustainable energy directions. Such a role is new to Council’s structure and discussions have been held across all the group directors of Council to ensure that support can be provided organisation-wide. It is intended that this new resource be located within the Assets and Works Group within the Asset Management Section. Given the appointment of a new Section Manager in this area, embedding of a new structure and resource will take some months. To ensure that the momentum sought by the committee is not lost, a contract resource has already been engaged to progress the potential opportunities for renewable energy projects and energy use optimisation until a permanent in-house resource is established for the energy management initiatives

The work to date has focussed on the following 2 areas:

1. What are the current rates and structure of Council’s electricity accounts and where are the savings opportunities

2. Feasibility of renewable energy for existing sites and identification of target sites for solar

These areas are discussed below.

Electricity Accounts

Council’s electricity is charged through 2 separate contracts – A retail contract for large sites (43 sites) and a retail contract for small sites (538 sites). Origin Energy is the Retailer for both contracts and Endeavour Energy is the Network provider. The accounts are a complicated conglomeration of charges based on consumption, demand and voltage required. To add complexity, the Network Provider and the Retailer have different peak/off peak times as shown in the diagram below.

The following chart summarises the rates:

The current contracts are in place until 2019.

The following graph shows the effective cost per kWh vs consumption for the 2016/17 financial year for the 30 highest use sites.

Analysis of the individual accounts has been carried out to determine potential savings opportunities (for example to optimise time of use tariffs). A snapshot is given in the graph below. Those with the higher demand charges as a percentage of the total bills indicates there may be opportunity to lower bills (subject to operational requirements).

Potential savings opportunities are now being explored with operational personnel (e.g. Culburra STP as shown in the graph below).

Feasibility of renewable energy

Council’s current policy - “Renewable Energy Installations on Council’s Assets” includes the following table to give an indication of what sites would be priority sites for renewable installations. It should be noted that the policy also states that this list is not comprehensive and installations could also be prioritised depending on Council’s wish to provide visible leadership on renewable energy.

The policy gives the following key considerations before installing renewables:

1. Is the asset a high energy user?

2. Is it a highly visible facility?

3. Will Council struggle to run the asset if energy prices rise substantially?

4. Does facilities and asset management agree renewable energy is a priority?

5. Is there an opportunity for community education to be coupled with an installation?

6. Have you undertaken initial analysis / investigation work to see what type of renewable solution would best fit the asset? E.g. wind monitoring, is roof north facing, shading such as trees.

7. Have you considered maintenance issues?

8. Have you worked out the pay-back period?

9. Have you checked for Government Grants to offset the cost to Council?

Identification of possible sites for solar (Shoalhaven Water Assets)

Some preliminary analysis has been undertaken to determine possible sites for solar energy. The following diagram gives a snapshot of potential Shoalhaven Water sites based on usage for the last 4 years.

It should also be noted that there are already some sites where we are recording solar exposure (e.g. Callala Sewage Treatment Plant as shown in the diagram below).

It is proposed to investigate sites for a land based solar farm and a floating solar installation. There is sufficient land at Callala Sewage Treatment Plant for a land based solar system – see photo below.

Callala uses 1000GJ per year (270,000 kWh) with a maximum demand of 150kVA. 41% of the electricity is used between 9am and 5pm.

Bamarang Dam could be further investigated for a floating solar system. There is approximately 30ha of suitable dam surface area.

Information from other sites

The following snapshots of projects in Lismore and around the world are provided for the Committee’s information.

Financial Implications

There are several possible models for financing, delivery and operation of any solar projects that Council could be involved in. It is proposed that an open expression of interest document be put to the market to initiate the development of business cases for the Committee’s consideration.

Sustainable Futures Committee – Thursday 12 October 2017

Page 20

SF17.24 Sustainable Business Practices In Local Government

HPERM Ref: D17/328542

Submitted by: Mr Peter McVay

Recommendation (Item to be determined under delegated authority)

That the report regarding sustainable business practices in Local Government be received for information.

Details

Some Shoalhaven City Councillors have recently questioned the costs and benefits of more sustainable business practices. Evidence internationally and across Australia suggest that a focus on sustainability is now widely recognised as core business for governments, business and communities. Harvard Business School found that sustainability must also be recognized as a vital component of any country’s competitiveness strategy. A focus on environmental sustainability—which entails a commitment to internalizing pollution externalities and managing natural resources for the long term rather than the short run—helps to eliminate waste, promote efficiency, and drive innovation. ^{^[1]}

Commonwealth Government organisations have a statutory requirement to report on their environmental performance and how they accord with and advance the principles of ecologically sustainable development (ESD).^{^[2]} Within NSW the Government Resource Efficiency Policy provides guidance for government operations to improve performance in the main areas of: energy, water and waste, and to reduce harmful air emissions. All general government sector agencies (NSW Treasury, 2015–16) are required to report annually on policy targets, actions and minimum standards by publishing financial year data and a statement of compliance.^{^[3]} Local Government NSW noted that:

‘Councils have a pivotal role in environmental management, including regulation and education. Increasingly, councils are pursuing initiatives to reduce their environmental footprint such as stormwater improvements, waste education, and biodiversity protection initiatives. Councils are also well placed to lead by example, and inform and encourage their communities (households, businesses etc) to take up environmental improvement programs and initiatives’.^{^[4]}

The lessons learned from other NSW local government councils (and for that matter, from local councils around Australia) are that more sustainable practices not only achieve better environmental outcomes but also save money. For example,

· in Eurobodalla Shire, emission reduction actions and achievements to date have demonstrated that there is a strong business case for action. Completed actions have generated significant energy cost savings totalling over $1 million per year. Council is on track to meet its commitment to reduce emissions by 25 per cent by 2020. A new corporate energy emissions reduction target of 80 per cent by 2030 has been established. An additional target will be to source 100 per cent of Council’s electricity from renewable energy by 2030. (Eurobodalla Shire Council, Emissions Reduction Plan, 2017-21);

· in the City of Parramatta the Resource Rescue and Reuse (The R3 program) was initiated as a means to reduce waste from the relocation of the City of Parramatta's main administration building and library in late 2015. The program rescued redundant resources such as stationery and furniture, reused them internally where possible and offered remaining items to local schools and community organisations to provide social and environmental benefits. As a result, Council was able to divert approximately 70 ute loads of material from landfill, while at the same time providing much needed resources to 52 schools, charities and community organisations to help them in delivering valuable services to local communities.^{^[5]}

· the Sunshine Coast Solar Farm is now live and feeding electricity into the power grid, making Sunshine Coast Council the first local government in Australia to offset 100 per cent of its electricity consumption with energy from a renewable source. The $50.4 million, 15MW solar farm, constructed at Vadora west of Coolum over the past 12 months with 57,960 panels, will feed into the Energex network and is estimated to save $22 million over 30 years after all costs are paid.^{^[6]}

Adapting to climate change impacts will also be an important role for local government councils like the Shoalhaven. Climate change has the potential to damage council assets, cause serious disruptions to the delivery of council services, generate unbudgeted financial impacts and affect the wellbeing of the community, particularly those vulnerable to weather extremes. The elderly and low income households in higher risk local communities could be significantly impacted by extreme weather events.^{^[7]} This highlights the important role that local councils need to play in climate change adaptation. Nevertheless, implementing change inevitably involves the introduction of some new risks for council and/or the community. Risks should be identified and appropriately managed through sound, transparent business planning and risk management processes that include expected outcomes, gross and net costs, timeframes, risk treatments and investment options. These should underpin initiatives arising from the Sustainable Futures Committee. Engaging and informing the community in relation to new initiatives and the management of opportunities and risks should also be part and parcel of the functioning of the Committee.

David Brawn, Larraine J Larri, Peter McVay, Oisin Sweeney

Community Representatives Shoalhaven City Council Sustainable Futures Committee

Sustainable Futures Committee – Thursday 12 October 2017

Page 22

SF17.25 Discussion Paper on Progressing the Committee Agenda

HPERM Ref: D17/328567

Submitted by: Mr Peter McVay

Recommendation (Item to be determined under delegated authority)

That the Sustainable Future Committee begin:

1. Implementation such as through a prioritised action plan. This should assign clear responsibilities, identify all significant actions/risks and budget/investment requirements, consider timeframes and standardised reporting on progress to completion. Establishing small working groups involving staff, (councillors?) and community representatives on each of the agreed pledges may be useful in progressing the agreed initiatives;

2. Identifying what actions might be added to the agreed pledges to address the documented purpose of the committee. For example, what gaps are there in council’s adaptation strategy for climate change such as in relation to fire risk, storm/flooding risk, delineation of hazard lines, et al. Is the strategy using adaptive management to regularly review risks and actions?

3. Establishing the priorities to improve sustainability within the Shoalhaven LGA? eg promoting: local community and market gardens; local produce markets; local energy security projects such as solar gardens in addition to those on council land; community transport, etc

4. identifying the best ways to progress community education/engagement about sustainability and the potential impacts of climate change. Options might include an electronic newsletter from the committee, press releases to local media, local seminars possibly jointly with bodies such as Emergency Services, the Rural Fire Service and National Parks, social media focus, building reference groups of local champions within the community and local businesses on different initiatives, etc

Details

The purpose of the Sustainable Futures Committee set by Council is:

· To make recommendations to improve council’s response to potential impacts of climate change;

· To improve sustainability within the Shoalhaven Local Government Area;

· Develop a prioritised action plan that will empower the Shoalhaven Community to be more sustainable and improve the sustainability of Council operations and activities;

· Identify and action funding opportunities which will improve Council’s sustainability and its understanding and readiness of potential impacts of climate change;

· Identify ways to educate the community about sustainability and the potential impacts of climate change;

· Display strong leadership to the community by recommending sustainability and resilience building actions to council for consideration.

In implementing the above, the Committee at the August meeting agreed the following:

SF17.11 Renewable Energy - Planning Processes - Set Targets

HPERM Ref: D17/254251

RESOLVED (By consent)

That the Committee support a renewable energy pledge to be incorporated into the Cities Power

Partnership Pledges.

CARRIED

SF17.12 Energy Efficiency - Planning Applications – Benchmarks

HPERM Ref: D17/254285

RESOLVED (By consent)

That the Committee support an energy efficiency pledge to be incorporated into the Cities Power

Partnership Pledges.

CARRIED

SF17.13 Sustainable Transport - Council Planning and Design

HPERM Ref: D17/254312

RESOLVED (By consent)

That the Committee support a sustainable transport pledge to be incorporated into the Cities Power Partnership Pledges.

CARRIED

SF17.14 Working Together and Influence - Set Targets - Sustainable Energy Policies

HPERM Ref: D17/254372

RESOLVED (By consent)

That the Committee support a working together and influence pledge to be incorporated into the Cities Power Partnership Pledges.

CARRIED

SF17.15 Helping Nature Help People

HPERM Ref: D17/253999

Oisin Sweeney spoke briefly to this report and advised the Committee that he will provide more information regarding nature-based solutions at the next meeting of the Committee.

RESOLVED (By Consent)

That the Helping Nature Help People agenda item be deferred to the next meeting of the Committee scheduled for 12 October 2017.

David Brawn, Larraine J Larri, Peter McVay, Oisin Sweeney

Community Representatives Shoalhaven City Council Sustainable Futures Committee

[1] Environmental sustainability and competitiveness: policy imperative and corporate opportunity Daniel C. Esty and Steve Charnovitz; Harvard Business School, US Competitiveness Project

[2] This is a statutory requirement for federal bodies under Section 516A of the Environment Protection and Biodiversity Conservation Act 1999.

[7] Australia has committed to reducing greenhouse gas emissions by 26-28 per cent below 2005 levels by 2030 Included in this policy is the national Renewable Energy Target (RET) designed to reduce the greenhouse gas emissions in the electricity sector. The target for large-scale renewable generation of 33,000 GWh in 2020 which will mean that about 23.5 per cent of Australia’s electricity generation in 2020 will be from renewable sources.