A Power Purchase Agreement for Local Government

Sector Snapshot

Portfolio Approach

Price Trends

Power Purchase Agreement Scope

Process and Timeline

UPDATE: PROCUREMENT AND FINANCE FACILITATOR Engaged Adam Zaborszczyk Two Key activities 1. Workshop - Introduction to PPAs (complete Jan) 2. Workshop- Communicating the Business Case (mid-May) ENERGY ADVISOR Evaluation complete Preferred supplier selected, awaiting CEO signoff To start, Feb 25

TIMELINE – ENERGY ADVISOR

TIMELINE – BUSINESS CASE

PROJECT BUDGET Aspect Low Range High Range Energy Advisor $ 74,800 $ 74,800 Legal Advisor $ 32,250 $ 40,000 Probity Advisor $ 12,000 $ 15,000 Commercial Advisor $ 20,000 $ 25,000 Facilitator $ 11,880 $ 16,000 Administration, misc $ 2,700 $ 3,750 Contiengency $ 69,370 $ 48,450 Total $ 223,000

KEY DATES ENERGY ADVISOR Workshops Presentations FACILITATOR March 7- PPAs 101 and contract options Presentations May 1- Draft Business Case May 10- Final Business Case FACILITATOR W/O May 13- Business Case Next Steps

PROCESS FOR NEW MEMBERS PRINCIPLES Additional partners will only enhance outcomes but may have resource implications New partners accept all business case recommendations i.e. no changes to approach TIMING Following completion of business case, prior to decision date to proceed with tender CONTRIBUTION Must match the financial contribution made by existing buyers group members PROCESS Formal letter signed by CEO addressed to the PCG, outlining load and other contributions

OTHER FUNDING SOURCES COLLABORATIVE COUNCILS Application submitted Feb 01 Sought $75,000 for Post Business Case Activities 1. Peer Review 2. Governance arrangements for future steps 3. Regional Workshops/ Roadshows 4. Project Management OTHER OPPORTUNITIES Public Sector Innovation Fund Minister Energy, Environment and Climate Change DELWP