Issue - meetings

A report seeking approval of the proposed model for a heat network Zoning Co-ordination Body in Greater Manchester to include Oldham Council.

Members considered a report of the Executive Director of Place/Deputy Chief Executive that was seeking approval for the proposed model for a heat network Zoning Co-ordination Body (ZCB) in Greater Manchester to include Oldham Council, and to accept up to £400,000 in revenue grant funding from DESNZ for activities associated with the design and implementation of the ZCB in Oldham in the 2026/27 Financial Year.

The report presented two Options:

Option 1 (preferred Option) – To approve the proposed GMCA ZCB model and accept the grant funding for 2026/27. Under this option, Oldham Council will progress as a participant in the ZCB programme and will receive grant funding to support the design and implementation process and the ongoing procurement of a Strategic Energy Partner for the borough.

Option 2 - To not approve the proposed GMCA ZCB model or accept the grant funding for 2026/27. Under this option Oldham Council will need to work directly with DESNZ on an individual Local Authority model which would involve increased costs, reduced co-ordination with GMCA and other GM councils and could potentially have to fund the local ZCB from Council funds.

Resolved:

That the Governance, Resources and Strategy Scrutiny Board requests that the recommendations in the submitted report of the Executive Director of Place/Deputy Chief Executive be approved as follows:

1. To accept up to £400,000 in revenue grant funding from DESNZ for the 2026/27 Financial Year, to support ongoing work on the design and implementation of the ZCB model in Oldham
2. To note the work to date on design of a ZCB model led by DESNZ with the GMCA and Oldham, Stockport and Trafford Councils, including the funding request to DESNZ for up to £5m to fund the initial 3-year implementation of the ZCB within these authorities
3. To note that approval of the ZCB model is required at GMCA level in order to comply with the forthcoming national Statutory Instrument on Heat Network Zoning. Approval at GMCA is being sought concurrently with this Cabinet report
4. To approve in principle Oldham Council’s participation in the proposed GMCA ZCB model once the ZCB has been stood up by GMCA
5. To delegate authority to accept Oldham’s initial 3-year ZCB funding settlement (which may be circa £565,000 (TBC), awarded on an annual basis), and authority to implement the ZCB in Oldham, to the Deputy Chief Executive (Place) in consultation with the Chief Executive, Director of Growth, Director of Finance and the Director of Legal.