Agenda Document Pack - Moray Council - 13/08/2024
Moray Council · 13 August 2024
Back to Moray Council — 13 August 2024 and its agenda
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Moray Council Tuesday, 13 August 2024 NOTICE IS HEREBY GIVEN that a Meeting of Moray Council is to be held in the Council Chambers,Council Office, High Street, Elgin, IV30 1BX at 11.30am or immediately following Planning and Regulatory Services Committee whichever is the earlier. BUSINESS 1. Sederunt 2. Declaration of Group Decisions and Members Interests * 3. Minute of Meeting of Moray Council on 26 June 2024 5 - 14 4. Written Questions ** 5. Chief Social Work Officer Annual Report 2023-2024 Report by Chief Social Work Officer 15 - 48 6. Moray Integration Joint Board Summary Report Report by Chief Office, Health and Social Care Moray 49 - 66 7. Forres Conservation Heritage Scheme Delivery Phase Report by Depute Chief Executive (Economy, Environment and Finance) 67 - 74 8. Findhorn and Kinloss Area Bus Service Report by Depute Chief Executive (Economy, Environment and Finance) 75 - 82 9. Local Heat and Energy Strategy Report by Depute Chief Executive (Economy, Environment and Finance) 83 - 180 Page 1
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10. LED Replacement Programme Corporate Buildings Report by Depute Chief Executive (Economy, Environment and Finance) 181 - 184 11. Programme to Install Solar Photovoltaic on Council Buildings Report by Depute Chief Executive (Economy, Environment and Finance) 185 - 188 12. Information Reports - if called in Information Reports - Not for Discussion at this Meeting Any member wishing to call in a noting or information report from one meeting shall give notice to Committee Services at least 48 hours before the meeting for which the report is published. The Notice shall be countersigned by one other elected member and shall explain the reason for call in including any action sought. Information Report - By Election - Ward 7 - Elgin South Report by the Depute Chief Executive (Education, Communities and Organisational Development) 189 - 190 Information Report - Sundry Debt Write Off for 2024-2025 Report by Depute Chief Executive (Economy, Environment and Finance) 191 - 194 Watching the Meeting You can watch the webcast live by going to: http://www.moray.gov.uk/moray_standard/page_43661.html Webcasts are available to view for 1 year following the meeting. You can also attend the meeting in person, if you wish to do so, please come to the High Street entrance door and a member of staff will be let into the building. Page 2
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GUIDANCE NOTES * Declaration of Group Decisions and Members Interests - The Chair of the meeting shall seek declarations from any individual or political group at the beginning of a meeting whether any prior decision has been reached on how the individual or members of the group will vote on any item(s) of business on the Agenda, and if so on which item(s). A prior decision shall be one that the individual or the group deems to be mandatory on the individual or the group members such that the individual or the group members will be subject to sanctions should they not vote in accordance with the prior decision. Any such prior decisions will be recorded in the Minute of the meeting. Page 3
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MORAY COUNCIL Moray Council SEDERUNT Councillor Kathleen Robertson (Chair) Councillor Donald Gatt (Depute Chair) Councillor James Allan (Member) Councillor Peter Bloomfield (Member) Councillor Neil Cameron (Member) Councillor Tracy Colyer (Member) Councillor Theresa Coull (Member) Councillor John Cowe (Member) Councillor John Divers (Member) Councillor Amber Dunbar (Member) Councillor Jérémie Fernandes (Member) Councillor David Gordon (Member) Councillor Juli Harris (Member) Councillor Sandy Keith (Member) Councillor Scott Lawrence (Member) Councillor Graham Leadbitter (Member) Councillor Marc Macrae (Member) Councillor Paul McBain (Member) Councillor Neil McLennan (Member) Councillor Shona Morrison (Member) Councillor Bridget Mustard (Member) Councillor Derek Ross (Member) Councillor John Stuart (Member) Councillor Draeyk van der Horn (Member) Councillor Sonya Warren (Member) Councillor Ben Williams (Member) Clerk Name: Tracey Sutherland Clerk Telephone: 07971 879268 Clerk Email: committee.services@moray.gov.uk Page 4
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MORAY COUNCIL Minute of Meeting of the Moray Council Wednesday, 26 June 2024 Council Chambers, Council Office, High Street, Elgin, IV30 1BX PRESENT Councillor Peter Bloomfield, Councillor Neil Cameron, Councillor Tracy Colyer, Councillor Theresa Coull, Councillor Amber Dunbar, Councillor Donald Gatt, Councillor David Gordon, Councillor Juli Harris, Councillor Sandy Keith, Councillor Scott Lawrence, Councillor Graham Leadbitter, Councillor Marc Macrae, Councillor Paul McBain, Councillor Neil McLennan, Councillor Shona Morrison, Councillor Kathleen Robertson, Councillor Derek Ross, Councillor John Stuart, Councillor Draeyk van der Horn, Councillor Sonya Warren, Councillor Ben Williams APOLOGIES Councillor James Allan, Councillor John Cowe, Councillor John Divers, Councillor Jérémie Fernandes, Councillor Bridget Mustard IN ATTENDANCE Interim Chief Executive, Depute Chief Executive (Economy, Environment and Finance), Depute Chief Executive (Education, Communities and Organisational Development), Head of Governance, Strategy and Performance, Head of Environmental and Commercial Services, Head of Housing and Property Services, Head of HR, ICT and Organisational Development, Public Transport Manager, Design and Construction Manager, Asset Manager, Strategic Planning and Development Manager and Lissa Rowan, Committee Services Officer as Clerk to the Meeting. 1. Chair Councillor Robertson, being Council Leader, chaired the meeting. 2. Withdrawal of Item 8b) Grant for Maintaining Teacher Numbers The Chair stated that, following consultation with Senior Officers, she had taken the decision to withdraw the report "Grant for Maintaining Teacher Numbers" as this was to be discussed at an upcoming COSLA Leaders meeting on 28 June 2024 where a national position may be agreed. As funding had to be agreed by 12 July 2024, the Chair stated that the Interim Chief Executive may have to exercise his emergency powers for subsequent homologation by Council, in line with procedures used previously. This was agreed. Item 3. Page 5
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3. Condolences The Council joined the Chair in expressing their deepest sympathies to Councillor Divers following the passing of his wife and assured him of their thoughts and prayers at this difficult time. 4. Declaration of Group Decisions and Members Interests In terms of Standing Orders 21 and 23 and The Councillors' Code of conduct the Council noted that there were no declarations for Group Leaders or Spokesperson in regard to any prior decisions taken on how members will vote on any item on the agenda or any declarations of Member's interests in respect of any item on the agenda. For transparency: • in relation to item 12 "Moray Sport and Leisure Asset Review", Councillors Macrae, Cameron and Gordon stated that they were Council appointed representatives on Moray Leisure Centre - Board of Directors; and • in relation to item 8a) "Unaudited Annual Accounts for 2023-24", Councillor Gatt stated that he was Chair of the Grampian Joint Valuation Board and Councillor Dunbar stated that she was Depute Chair of HITRANS. 5. Resolution The meeting resolved that in terms of Section 50A (4) and (5) of the Local Government (Scotland) Act 1973, as amended, the public and media representatives be excluded from the meeting for Items 10 and 11 of business on the grounds that it involves the likely disclosure of exempt information of the class. Para number of the minute Para Number of Schedule 7a 19 Para 6 - Information relating to the financial or business affairs of any particular person(s); Paras 8 and 9 – Information on proposed terms and/or expenditure to be incurred by the Authority 20 Para 9 – Information on terms proposed or to be proposed by or to the Authority 21 Para 8 – Information on the amount of any expenditure proposed to be incurred by the authority 6. Next Meeting of Council The Chair stated that a request had been made to change the next scheduled meeting of the Council from 7 August 2024 to 14 August 2024, to allow Officers time to prepare reports for the agenda following the summer holiday period and asked the Council to consider this during the tea break. Page 6
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On resumption of the meeting, following consideration amongst Members during the tea break, the Council agreed to move the next meeting of Council on 7 August 2024 to immediately following the Planning and Regulatory Services Committee on 13 August 2024. 7. Minute of Meeting dated 22 May 2024 Under reference to paragraph 1 of the Minute, Councillor Williams raised concern that the wording surrounding his declaration for transparency alluded to a conversation he had had with the Monitoring Officer in relation to these specific items, when in fact it had been a previous discussion, and asked that the minute be changed to reflect this. This was agreed. Thereafter, the Minute of the meeting of Moray Council dated 22 May 2024 was approved subject to a change to reflect that Councillor Williams had made a transparency statement as a result of a previous discussion he had had with the Monitoring Officer. 8. Written Questions The Council noted that no written questions had been submitted. 9. Regulation of Investigatory Powers (Scotland) Act 2000 and Regulaton of Investigation Powers Act 2000 - Authorised Officers The meeting had before it a report by the Depute Chief Executive (Economy, Environment and Finance) informing the Council of changes in Authorising Officers relative to the Regulation of Investigatory Powers (Sc) Act 2000 (RIPSA) and the Regulation of Investigatory Powers Act 2000 (RIPA). Following consideration, the Council unanimously agreed: i) to note the recent staffing changes which impact on RIPSA/RIPA operations; ii) the revised list of Authoring Officers as set out in Appendix 1 of the report, subject to all officers having completed relevant training; iii) to delegate authority to the Chief Executive to appoint or otherwise make interim changes to Authorising Officers and the Senior Responsible Officer on behalf of the Council in periods between review of the corporate Scheme of Delegation, subject to any changes being intimated to all members and published on the Council website. 10. School Transport Policy and Implementation The meeting had before it a report by the Depute Chief Executive (Economy, Environment and Finance) informing the Council of the position relating to home to school transport tenders for the next five years, the potential for increased costs and options available to counter these increased costs. Page 7
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Following consideration, the Council unanimously agreed to: i) note the contents of the report and approve public consultation on the options relating to walking distance as set out in paragraphs 5.2-5.4, mileage payments as set out in paragraphs 5.5-5.6 and walking routes as set out in paragraphs 5.7-5.8 of the report; and ii) approve the use of public registered services and the Under-22 scheme for certain secondary school routes as set out in paragraphs 5.9-5.12 of the report. 11. Short to Medium Term Financial Strategy Under reference to paragraph 7 of the Minute of the meeting of Moray Council dated 28 February 2024, the meeting had before it a report by the Depute Chief Executive (Economy, Environment and Finance) asking the Council to consider the revised budget for 2024/25 and consequent revisions to the estimated budget position for 2025/26 and 2026/27. During her introduction, the Chief Financial Officer advised that the confidential/draft watermark on the Short to Medium Term Financial Strategy should have been removed prior to printing and confirmed that the strategy was neither confidential nor draft. This was noted. Following consideration, the Council unanimously agreed to: i) note the revised budget for 2024/25 and, based on current estimates, consequent anticipated improvement in the financial position for 2025/26 as set out in Appendix 1 of the report; ii) note the timeline for future revisions of the budget gap; iii) note that there is still considerable uncertainty around key budget assumptions in 2024/25 which may further alter the budget gap; iv) note, notwithstanding the improvement in budget position from that reported in February, a significant structural deficit remains and given ongoing uncertainties, the Council still requires to make very significant levels of savings in a short timeframe; v) note that this report meets a target in the Best Value Action Plan of reporting a revised Short to Medium Term Financial Strategy by June 2024; and vi) approve the Short to Medium Term Financial Strategy as set out in Appendix 2 of report. 12. Unaudited Annual Accounts for 2023-24 The meeting had before it a report by the Depute Chief Executive (Economy, Environment and Finance) asking the Council to consider the unaudited Annual Accounts for the year to 31 March 2024 for both Moray Council and the Connected Charity Trust Funds administered by the Council. Page 8
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During discussion surrounding councillor expenses, concern was raised that these had increased from £12,857 in 2022/23 to £17,753 in 2023/24, and, given that Council Services were having to look for ways to reduce spend, it was asked that Councillors review their own future expenses claims and that these also be scrutinised to ensure they are being claimed in line with council policy and criteria for claiming. In response, the Interim Chief Executive advised that he would take this point on board. Thereafter, the Council unanimously agreed to note the: i) unaudited Annual Accounts for Moray Council for the year ended 31 March 2024; ii) Moray Council Connected Charity Trust Funds Trustees’ Report and Financial Statements for the year ended 31 March 2024; iii) that Councillor expenses will be scrutinised in line with council policy and criteria for claiming. 13. Capital Plan 2023-24 Under reference to paragraph 7 of the Minute of the meeting of the Corporate Committee dated 28 August 2024, the meeting had before it a report by the Depute Chief Executive (Economy, Environment and Finance) informing the Council of the expenditure to 31 March 2024 under the capital plan for financial year 2023/24 including recommended budget adjustments for inclusion in the Capital Plan for 2024/25 and future years. Following consideration, the Council unanimously agreed to: i) note full year expenditure to 31 March 2024 of £30,429,000 against a budget of £42,936,000, as set out in Appendix 1 of the report and against an estimated out-turn of £25.2 million; ii) note the projected overall expenditure for projects spanning more than one financial year, as set out in Appendix 2 of the report; iii) approve carry forwards and amendments to 2024/25 and future years totalling a decrease of £13,638,000 in 2024/25 and an increase of £24,848,000 from 2025/26 onwards as detailed in sections 4 and 5 of the report; and iv) note that a full review of the Council’s Capital Strategy and indicative ten year capital plan for 2024 to 2034 will be carried out by the end of September 2024 and reported to Council, in accordance with the Best Value Action Plan approved by Council on 11 June 2024. 14. 2023-24 Revenue Out-Turn Variances from Budget Under reference to paragraph 10 of the Minute of Moray Council dated 6 March 2024, the Meeting had before it a report by the Depute Chief Executive (Economy, Environment and Finance) advising the Council of the major variances from the Page 9
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approved budget in the actual out-turn for 2023/24 and asking for approval of adjustments to the budget for 2024/25 where income and expenditure trends are forecast to continue and where there has been slippage in projects which are proposed to be funded from reserves. Following consideration, the Council unanimously agreed: i) to note the major variances in 2023/24 from those anticipated in March 2024, as summarised in Appendix 1 of the report; ii) to note that net expenditure is £8,975,000 less than forecast, with £5,011,000 within services; £6,436,000 less in forecast loans charges (with £7,526,000 due to the adjustment for retrospective service concession); and £2,472,000 more in central provisions; iii) to note the major variances from the approved budget for 2023/24 as summarised in Appendix 2 of the report; iv) to note that the outturn of an underspend of £7,691,000 consists of an underspend on services of £6,186,000 (including DSM and PEF and other ear-marked funding); an overspend of £1,541,000 on loans charges offset by a one-off reduction of £7,526,000 relating to the retrospective element of the service concession flexibility and additional requirement for central provisions of £4,480,000; v) to note that £11,011,000 requires to be transferred into specific ear-marked reserves resulting in a reduction in working reserve of £14,176,000, £3,519,000 more than forecast as additional requirement for ear-marked reserves was identified during the accounting process for the year end; vi) to approve additional budgets for projects subject to slippage in 2023/24 as detailed in paragraph 3.36 to 3.41 of the report, totalling £192,000 to be funded from the Working ear-marked reserve; and vii) to approve ongoing savings of £225,000 as summarised in paragraph 3.35 of the report. 15. Building Information Modelling The meeting had before it a report by the Depute Chief Executive (Economy, Environment and Finance) providing an update on progress in relation to Building Information Modelling (BIM) and asking Council to approve the full business case and the request for resource. The Council joined the Chair in commending Officers for the report which had proved to be an interesting read and thereafter unanimously agreed to: i) approve the Full Business Case for Building Information Modelling (BIM) as set out in Appendix I of the report; ii) the request for funding of £74k to proceed with the proposed rollout; and iii) note that periodic updates on progress will be provided to the Economic Development and Infrastructure Services Committee to monitor and scrutinise progress. Page 10
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16. Moray Sport and Leisure Asset Review Under reference to paragraph 14 of the Minute of the meeting of Moray Council dated 25 October 2023, the meeting had before it a report by the Depute Chief Executive (Education, Communities and Organisational Development) informing the Council of the engagement work to date regarding the sport and leisure service connected to budget savings and service redesign and asking for approval for funding to undertake an asset review to provide the evidence base for future service delivery. Following consideration, the Council unanimously agreed to: i) note the work undertaken to date regarding budgets savings and service redesign connected to the sport and leisure service; ii) allocate £28,000 from the transformation reserve fund to undertake a Sport and Leisure asset review to provide further evidence base that will contribute to the design of our future leisure estate; and iii) note that a report will be presented back to Council within 6 months detailing the findings of the asset review. 17. Public Performance Report 2023-24 The meeting had before it a report by the Depute Chief Executive (Education, Communities and Organisational Development) asking the Council to consider the Public Performance Report (PPR) 2023-24 which reports progress and performances of council services against Corporate Plan 2019-24 priorities. During discussion, Officers were commended for the report, which was clear, concise, and easy to read however in relation to the spend of £5.2 million on vehicles and electric car charges, it was queried whether a link to locations of electric car charging points could be placed on the front page of the Council's website. In response, the Head of Environmental and Commercial Services agreed to ensure that clear link to locations of electric car charging points is available on the Council's website. Thereafter, the Council unanimously agreed to: i) approve the PPR 2023-24 which reports Council performance and progress against Corporate Plan 2019-24 priorities and that the PPR be published on the council website; ii) note that a clear link to locations of electric car charging points would be available on the Council's website. 18. Corporate Plan - Progress Update 2023-24 Under reference to paragraph 6 of the Minute of the meeting of Moray Council dated 3 March 2020, a report by the Depute Chief Executive (Education, Communities and Organisational Development) informed the Council of progress made during 2023-24 on the final year of the 2019-24 Corporate Plan. Page 11
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Following consideration, the Council unanimously agreed to note progress made during 2023-24 on the Corporate Plan 2019-24. 19. Former Toilets, Leys Road, Forres [Paras 6, 8 and 9] The meeting had before it a report by the Depute Chief Executive (Economy, Environment and Finance) asking the Council to consider offers to acquire the former toilets at Leys Road, Forres. Following consideration, the Council unanimously agreed to: i) approve a sale of the former toilets at Leys Road, Forres as detailed in Section 5 of the report; and ii) to authorise the Asset Manager (Commercial Buildings) and the Legal Services Manager to finalise detailed terms and conditions and conclude the transaction. 20. Moray Affordable Housing Programme - Council Land Acquisition [Para 9] Under reference to paragraph 10 of the Minute of the meeting of the Housing and Community Safety Committee dated 7 May 2024, a report by the Depute Chief Executive (Economy, Environment and Finance) asked the Council to agree to purchase a site at Speyview, Aberlour for development of new Council housing. Councillor Gatt having considered the report in detail, welcomed the proposed development of affordable housing in Speyside and moved that the Council agree the recommendations as printed within the report. Councillor Macrae seconded this. There being no-one otherwise minded, the Council unanimously agreed to: i) purchase of the site detailed at Section 5 of the report, at a purchase price which does not exceed the District Valuer’s valuation; and ii) remit the Legal Services Manager to conclude the purchase of the site on the main terms as set out in paragraph 5.4 of the report. 21. Long Term Town Fund - Elgin Town Board Update [Para 8] Under reference to paragraph 10 of the Minute of the meeting of the Economic Development and Infrastructure Services Committee dated 30 April 2024, the meeting had before it a report by the Depute Chief Executive (Economy, Environment and Finance) informing the Council of progress by Elgin Town Board and asking the Council to consider shortlisted projects which are likely to have a financial and/or staffing implication for the Council. The Council joined the Chair in commending all involved in progressing the Elgin Town Board including volunteers from local communities and thereafter unanimously agreed: i) to note progress made by Elgin Town Board; Page 12
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ii) to note the financial and staffing implications for the Council arising from the shortlisted projects identified in Appendix 1 to the report; iii) that the shortlisted projects in Appendix 1 be supported by the Council should the Elgin Town Board be minded to include them within the 10 year vision and 3 year Investment Plan, subject to a maintenance agreement being agreed between the Council and Elgin Town Board prior to submission of the Vision and Investment Plan to the UK Government; and iv) that delegated authority be granted to the Chief Financial Officer and Head of Economic Growth and Development to agree the terms of a maintenance agreement to ensure projects do not result in additional revenue expenditure for the Council. Page 13
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REPORT TO: MORAY COUNCIL ON 13 AUGUST 2024 SUBJECT: ANNUAL REPORT OF THE CHIEF SOCIAL WORK OFFICER 2023-2024 BY: CHIEF SOCIAL WORK OFFICER 1. REASON FOR REPORT 1.1 To inform the Council of the annual report of the Chief Social Work Officer (CSWO) on the statutory work undertaken on the Council’s behalf during the period 1 April 2023 to 31 March 2024 inclusive. 2. RECOMMENDATION 2.1 It is recommended that the Council consider and note the contents of this report. 3. BACKGROUND 3.1 In compliance with their statutory functions under the Social Work (Scotland) Act 1968, all local authorities have a CSWO. For a number of years CSWOs have produced Annual Reports about social work services which are provided for relevant committees, full Council and Integration Joint Boards. 3.2 The Office of the Chief Social Work Adviser in the Scottish Government (OCSWA) collates an overview Summary Report based on the key content of the reports from all local authorities in Scotland. This summary would • Be of value to CSWOs and also support the CSWA in their role of raising the profile and highlighting the value and contribution of social work services; and • Be a useful addition to the set of information available to aid understanding of quality and performance in social work services across Scotland. 3.3 The Council’s Social Work Services require to support and protect people of all ages as well as contributing to community safety by reducing offending and managing the risk posted by known offenders. Social Work has to manage this together with the implications of significant demographic change and financial constraint whilst fulfilling a widening array of legal obligations and duties. Item 5. Page 15
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3.4 The annual report is attached at APPENDIX 1. This report was completed and presented to the IJB by the previous Chief Social Work Officer. The current Interim Chief Social Work Officer is now formally presenting this report. 4. SUMMARY OF IMPLICATIONS (a) Corporate Plan and 10 Year Plan (Local Outcomes Improvement Plan (LOIP)) and Moray Integrated Joint Board Strategic Plan “Partners in Care 2022 – 2032” This report is in line with the Moray 2026 Plan – healthier citizens, ambitious and confident young people, adults living healthier, sustainable independent lives safeguarded from harm and Council priority 4 – More of our children have a better start in life and are ready to succeed. (b) Policy and Legal The service referred to in this report fall within the scope of a number of important pieces of legislation including: • Social Work (Scotland) Act 1968 • The Adult Support & Protection (Scotland) Act 2007 • The Community Care & Health (Scotland) Act 2002 • The Children (Scotland) Act 1995 • The Joint Inspection of Children’s Services & Inspection of Social Work Services (Scotland) Act 2006 • Adoption and Children (Scotland) Act 2007 • Looked After Children (Scotland) Regulations 2009 • The Public Bodies (Joint Working) (Scotland) Act 2014 • Children & Young People (Scotland) Act 2014 Significant policies and white papers that relate to these services include: • Changing Lives, the Future of Unpaid Care in Scotland (2006) • Delivery for Health (2005) • All our Futures: Planning for a Scotland with an Ageing Population (2007) • Better Health, Better Care: Action Plan for a Healthier Scotland (2007) • Better Outcomes for Older People: Framework for Joint Services (2005) • National Guidance for Child Protection in Scotland, The Scottish Government 2014 (c) Financial implications There are no direct financial implications arising from this report. Future priorities will be addressed within the context of the financial planning process. Page 16
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(d) Risk Implications There are no risk implications associated with or arising from this report. (e) Staffing Implications There are no staffing implications directly relating to this report. (f) Property There are no property implications arising from this report. (g) Equalities/Socio Economic Impact There are no issues directly arising from this report. (h) Climate Change and Biodiversity Impacts There are no issues directly arising from this report. (i) Consultations The following have been consulted in the preparation of this report: MIJB Senior Management Team; Aileen Scott, Legal Services Manager; Head of Children and Families and Justice Social Work and Democratic Services Manager, who are in agreement with the content of this report relating to their service area. 5. CONCLUSION 5.1 This report shows that Social Work, like other areas of health and social care are experiencing pressures. Author of Report: Tracy Stephen, Chief Social Work Officer/Head of Service Background Papers: Attached at Appendix 1 Ref: Page 17
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Appendix 1 Annual Report by Moray Chief Social Work Officer 2023 - 2024 Introduction I am pleased to present the Chief Social Work Officer (CSWO) report for the period spanning 1st April 2023 to 31st March 2024. This year has brought about a different set of challenges, chiefly related to the financial position of Moray IJB and the continuing difficulties in recruitment across social work and social care. There has continued to be a lot of policy change across the wider system and staff wellbeing has come into much sharper focus as staffing levels and resources became scarce. That said, the staff across the health and social care partnership have been extraordinary and their commitment and relentless efforts are keenly felt by the members of our community who they are supporting. This was the first year of children, families and justice services social work being in the Health and Social Care Partnership as a delegated service into Moray Integration Joint Board. This created a year of many changes and adjustments for everyone across the partnership but it has felt like a positive step forward in being able to work in an integrated way with adult social work and social care, amongst others. Governance, accountability, and statutory functions The CSWO chairs a Practice Governance Board both within Children, Justice and Adult Services. The CSWO reports into the Integration Joint Board and related Audit, Risk and Performance and Clinical and Care Governance Committees as well as the Education, Children’s and Leisure Services Council Committee, as necessary. There is also requirement to attend and support both the Adult and Child Protection Committees. The CSWO chairs the GIRFEC Leadership Group and attends a wide range of partnership meetings across the Health and Social Care Partnership, Children’s Services, wider NHS Grampian Partnership and across Adults and Justice Services. The CSWO also attends a regular national CSWO meeting, as well as linking into Social Work Scotland Standing Committee and related subgroups. Item 5. Page 19
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Appendix 1 The governance and accountability arrangements for Moray remain chiefly unchanged throughout this period. Work will continue around trying to better align the governance structures across health and social care. This year saw a joint inspection of children at risk of harm which created an amount of additional activity, between July 2023 and January 2024. The partnership worked well together to support the process and the inspection report was as expected, where partners were aware of the areas still requiring development. There was a Fostering, Adoption and Adult Placements inspection in July 2023 which resulted in an improved grading of Good. There was also a nationwide thematic inspection in relation to children’s disability services which included Moray. There were many challenges experienced across Adult Services, with the continued issue of delayed discharges and care at home and there have been transformational ideas and a high level of commitment from staff to find solutions to the situation. Reducing resources and a requirement to find savings created opportunities to approach challenges in a different way and rethink the way people are provided with support to best meet their needs. There have been challenges with recruitment of Social Workers and social care staff across this year and this has had an impact on staff who continue to work increasing caseloads. Although this is a national issue, it is felt keenly in Moray as a rural area as recruitment can be a challenge at any time, with this year being particularly difficult. Within Health and Social Care Moray the CSWO is part of the Senior Management Team that meets on a weekly basis. The Chief Social Work Officer relies on reporting from Service Managers, Consultant Practitioners and the development and performance staff to have oversight of the wider system and the quality of social work practice. Developments in this area are required to ensure that the right information is being collected and scrutinised. The data dashboard using Microsoft Power BI has now been developed for Children’s and Justice Services and it is hoped that not only will this provide much more relevant reporting to stakeholders, but there may in the future be opportunities to publish recent data. Page 20
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Appendix 1 Children and families This year has seen a number of significant challenges within Children and Families Social Work, mainly pertaining to recruitment and retention of staff, similar to many other areas. This led to increased workloads for staff and some failed recruitment drives. The recruitment of agency workers was also a challenge, as Moray can be a difficult place to attract people to, due to the rurality and geography of the authority, despite the fact that when people come here to work and live, they tend to remain. Work is ongoing related to the partnership’s efforts to progress with the Whole Family Wellbeing Fund and both staff absence and capacity impacted progress. The commitment shown to making improvements across the Children’s Services Partnership has been inspiring and with everyone working together, the children’s services plan came together cohesively. Services across the partnership, in place to protect children and young people at risk of harm, were inspected between July and December 2023. Services were assessed as adequate and the key inspection findings were: - The partnership’s approach to identification and initial response to risk was helping to keep children and young people safe. - The majority of children and young people were benefitting from caring and trusting relationships with key staff, but not all felt that staff spent the time with them that they needed. - Where available, specialist services were helping children and young people recover from abuse and neglect. - Young people at risk of harm from themselves or to others, or from risk in the community did not always receive the help they needed to make a positive difference in their lives. - Children and young people and parents and carers were contributing to decisions about their lives, though not all had access yet to independent advocacy. - Children and young people at risk of harm were not yet routinely influencing service planning and delivery. - The child protection committee had not yet fully developed the mechanisms necessary to understand and communicate the difference that services were making to the lives of children and young people at risk of harm. Alongside partners, Social Work Services are now engaged in an improvement plan to develop and improve the service and practice for children and young people at risk of harm. Positively, the Children’s Services Plan 2023-2026 was launched in October 2023, setting out the vision for children, young people and their families. The Social Work Service has incorporated the aims of this plan into a Social Work Plan for 2024-2027. Central to this plan is reducing the number of children going into care, developing best practice and transforming our culture. Page 21
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Appendix 1 Population of approx. 94, 280 (NRS Mid-Year Population Estimates data released on 26 March 24) 18.8% of those are under 18 Approx. 95% of young people under 16 identify as White -Scottish 20% single parent family 62% small family 18% large family (3 or more children) (Moray CSP, 2023) 0.97% of children and young people have a ‘looked after’ status 95 % 5 % Nationality White Scottish Other Page 22
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Appendix 1 Overall at the end of March 2024 there were 1185 open cases to the Children and Families and Justice Social Work department. Excluding aftercare cases 23% of the people using all other services had previous care experience. • Access Team 172 • West Area Team 233 • East Team 136 • Youth Justice 45 • Throughcare and Aftercare 87 • Disability Pod 90 • Justice Service 422 There were 2614 referrals into the Access Team in the year 23/24 which is an overall decrease of 13.27% on the previous year. Of these 624 were Child Protection referrals which is a 14.4% decrease in Child Protection referrals on the previous year. 136 233 172 90 45 37 50 422 Cases open as at 31 March 2024 East SW West SW Access Disability Pod Youth Justice Throughcare Aftercare Justice Services Page 23
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Appendix 1 There was also a decrease of 26 referrals relating to domestic abuse which is a decrease 6.9%. Area Teams West and East Area Teams had an average of 18% child protection cases open across the services. Both area teams also struggled with similar staffing challenges putting the teams under additional pressure. There were 173 looked after and accommodated children. 71 children’s names were placed on the North East Child Protection Register at the end of March 2024. *Numbers exclude justice services and aftercare services Overall there was a slight increase in children being received into local authority care in Moray from March 23 until November 23, there is been evidence of social workers finding creative solutions to support families to stay together and keep children remaining within their families which resulted in an overall decrease in numbers at the end of March 24. Of the children and young people who were leaving care (no longer formally looked after) there were 58 who left care and this was also a decrease of 26.7% from the previous year. 173 71 469 Categories of Open Cases Looked After Child Child Protection Registration Child In Need Page 24
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Appendix 1 The Promise During this period developments were focussed on keeping The Promise to Moray’s children and young people. Our Champion’s Board was refreshed and we launched Moray’s Children’s Services Plan which incorporated the Promise Plan for Moray, Child Poverty plan and the Corporate Parenting Plan. Staff absences impacted our ability to progress the activity we hoped, but a new structure to support the priorities of the plan helped to continue towards our goals. Bairn’s hoose conversations took us to consider our current building at Hamilton Drive, which is a shared unit for police, social work and health colleagues and has the potential to become a format of Bairn’s hoose. Those conversations will continue within the Child Protection Committee. This year has seen the first annual review of the Scottish Child Interview Model (SCIM). The design and implementation of the model has brought accolade to the North East of Scotland with the model winning the Chief Constable’s Excellence Award 2023 under category of Service Improvement. The SCIM is now firmly embedded and well-established across the North East. The proposed hybrid model allowing central coordination supported by local management and structures has been implemented, along with the successful delivery of ‘soft boundaries’ and a single North East IRD process. The Implementation Group continues to provide oversight, support, and direction of the SCIM with quarterly reports developed and considered by the group and reported to the three associated CPCs. Total Number of JIIs (SCIM) During 2023, a total of 676 JIIs were completed by the SCIM team with an additional 108 requiring to be completed out with the team utilising the 5-Day model. As such, over the course of the review period, 87% of interviews were conducted under the SCIM, far exceeding the team’s initial commitment of 60%. 279 41 % 253 38 % 144 21 % 2023 - Number of Interviews Aberdeen City Aberdeenshire Moray Page 25
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Appendix 1 Children’s Services Learning Reviews Child I (Irvine) The circumstances pertaining to Irvine were felt to be similar in nature to the recent learning review the partnership undertook for Haddon. While the partnership agreed there would be benefit for a smaller review and support for practitioners the learning is reflected in the wider action plan from both reviews. The Strategic Manager learning event held 22nd January 2024 and A practitioner Feedback Event held 5th February 2024. Both reviews of Flora and Hadden were undertaken internally and were noted as excellent examples of learning reviews by the Care Inspectorate. As such both were presented to the Care Inspectorate Knowledge Hub to disseminate the wider learning, both presentations generated lots of interest and questions, we were thanked for sharing the learning widely. Out of Area Placements In April of 2024 there were 23 agency placements which was a decrease of 4 from the start of the financial year. For residential care the number of placements reduced from 18 to 15, there was 1 secure care placement and for foster care there was a decrease from 9 to 7. Reduction in the overall number of placements related to young people becoming adults or a change in the practice model. In 2023/24 the Placement Oversight Meeting has continued to have oversight of agency placements and supports care planning. This is with a view to ensuring that high cost care options are only used when necessary and to support young people returning to placements in Moray. The carer recruitment campaign for foster care and supported lodgings has continued to broaden placement options and reducing the need for agency/out of area placements. Placement Services Placement Services comprises Fostering, Adoption, Kinship, Supported Lodgings, Continuing Care and Throughcare & Aftercare. The Fostering Service experienced an increase in the number of foster carers from 34 to 37. This was an increase of 8.87% and followed increased activity with the Marketing Plan and a focus placed on recruitment within the Carer Recruitment Campaign. Page 26
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Appendix 1 The Adoption Service undertook one assessment which was due to be heard at panel in May 2024. Two young people from outwith Moray were placed with Moray Adopters where four young people achieved legal permanence by each being made subject to a Permanence Order with Authority to Adopt. In Kinship Care the number of kinship household moved from 28 to 30 which was an increase of 7%. Linked with this, the number of kinship placements formalised via a legal order moved from 38 to 36 during the year which was a decrease of 5%. Two placements ended as the young people returned to parental care. In Supported Lodgings the number of households moved from 4 to 7 where the number of being offered placements increased from 5 to 10. This reflected a move by Supported Lodgings carers to provide more than one placement. It also reflected some applicants wishing to provide a supported lodgings placement to unaccompanied asylum seeking children. As with the Fostering Service a Marketing Plan and Business Plan resulted in a more targeted recruitment campaign as part of the Carer Recruitment Campaign. In Continuing Care the number of placements increased from 7 to 9, a rise of 28%, providing young people with placement stability and continuity as they transitioned into adulthood. This also reflected the effectiveness of the Continuing Care Policy and the degree to which it was embedded within practice. Champion’s Board Moray Champions Board continues to thrive and during the last year has been the driving force behind events which have enabled young people to connect with their peers, develop new and valuable skills, and be involved in the co-production and decision making of services. Key achievements include- • Care Leavers Event supported by 15 Corporate Parents from across the partnership. • Care Day Celebrations hosted by 10 care experienced young people and attended by 50 Corporate Parents. • Participation in Moray Council Recruitment Process. • 8 young people hosted a Summer BBQ which provided peer support opportunities for young care experienced children. • Co-produced a new Care Leavers Housing Protocol. • 3 young people created and launched a video addressing stigma in Education. • 8 young people supported the joint inspection of children’s services by developing a welcome video for inspectors and hosting an engagement event with young inspectors from the Care Inspectorate. • Moray Champions Board took a lead role in the commissioning including service design and delivery of the new advocacy provider for Moray. Page 27
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Appendix 1 • 5 young people worked with Morays Promise Team to co-produce and submit a successful funding bid to Corra, to develop a local maintaining relationships project. During the last year 10 young people are active members of the Champions Board attending weekly sessions and have been supported by 4 multiagency facilitators including adults from the Through Care After Care Team, Morays Youth Team, and Police Scotland. The group has been supported regularly by 7 Corporate Parents from across the partnership. Next steps for the group include developing a care leavers drop in hub and a Champions Board weekly podcast. Unaccompanied children and young people seeking asylum In 2023/24 there was a significant increase in the number of unaccompanied asylum seeking children (UASC) supported by Placement Services via the National Transfer Scheme. The number of young people increased from 6 to 10 UASC who were under 18 and for the over 18’s, still being supported, increased from 3 to 7. They were placed in Supported Lodgings, college accommodation or Local Authority housing supported by staff from the Throughcare & Aftercare Team. This highlights the commitment by Moray Council to support those unaccompanied asylum seeking children via the National Transfer Scheme. Youth Justice There have been 67 referrals into Youth Justice over the last year, with 45 young people actively engaging with the team at the end of this reporting period. These numbers have remained fairly consistent throughout this period. At this time 8% of open cases within Justice Social work and Youth Justice are care experienced young people. This relates to 31% within Youth Justice and 6% in Justice Social Work. 39 25 14 467 422 45 JSW/YJ COMBINED JUSTICE SW YOUTH JUSTICE CEYP Total case load Page 28
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Appendix 1 There remains a continued commitment to reducing the number of care experienced young people open to Justice Services and the early identification of individuals so that appropriate supports and early interventions can be offered. There have been 61 children and young people referred to the Scottish Children’s Reporter Administration during this period. 5 of those individuals were female indicating that it continues to be young males who require the highest level of support in respect of being in conflict with the law. The most common offence reported is vandalism with threatening or abusive behaviour next highest, it is evident that these behaviours have a significant impact on the local community and other young people. Targeted interventions are used to address these types of behaviour working with the young people and their care givers. Multi-agency working with education, police and fire service continues to address risks and provide information and safety advice to young people and their families. Youth Justice staff have undertaken training in relation to criminal exploitation and young people which has enhanced their knowledge in relation to contextual safeguarding and particular risks faced by young people within the community. There has also been further training completed in relation to completing risk assessments for young people displaying sexually harmful behaviour which ensures that young people are provided with the right care and support alongside addressing behaviours that are of concern. The Youth Justice team carry out interventions for all 16 and 17 year olds who are assessed as suitable for diversion from prosecution and continue to provide a support role to young people who appear from Court. During this period the team have supported two individuals who have been remanded by the Court to a secure care placement and supported the Justice Social work team in ensuring that approaches when working with younger people within the criminal justice system are appropriate and upholding the rights of children. Justice Services Justice services supported 324 requests for a Justice Social Work Report which converted into 249 community payback orders over the reporting period. The service was able to provide some bespoke and creative supports to people who need it the most in the community, whilst also maintaining contact with individuals in custody who will be released on statutory measures. During this period there were 6 individuals who were released from prison on statutory measures and 16 who were offered support through voluntary throughcare. Work has been undertaken through the Community Justice partnership to improve the voluntary provision offered with partners as the uptake on this support remains quite low. Page 29
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Appendix 1 Stats as of 31 March 2024: At the end of reporting period there were 92 individuals being subject to MAPPA in the community, 2 of these were MAPPA level 2 and none at MAPPA level 3. During this period there was a CAT 3 referral into MAPPA which was managed until transfer of the case to another local authority area. Bail supervision and electronic monitoring assessments allow an opportunity for early intervention work to take place and early identification of support needs whilst offering a robust alternative to remand. Assessments are completed in all cases where bail is being opposed and there has been a significant increase in these over this period. Bail supervision clinics have now been set up by the support work team in Justice to ensure that contact levels meet the requirements, and practical and emotional support is available in addition to referrals to other agencies. We continue to prioritise women, parents or those with caring responsibilities, individuals who may be more vulnerable due to addiction or mental health issues and under 25’s. 12551 hours of unpaid work have been completed over this reporting period covering the majority of areas in Moray. Whilst most of this work is undertaken by the unpaid work squads in the community, at the end of this period 14 individuals were being supported in individual placements. These placements include charity and third sector organisations which does not take away employment opportunities for other people. This has meant we have been able to support a female who was pregnant to compete her hours and has also resulted in on-going voluntary placements following individuals completing their hours. Improved links have been made between Unpaid Work staff and Moray Pathways in order to link people with employment support at the earliest opportunity. This also allows the individuals to maximise the potential for ‘other activity’ hours that can make up to 30% of Moray Cat 1's Total: 126 In prison: 34 In hospital: 0 In community: 92 Police owned: 54 JSW owned: 38 NHS owned: 0 Cat 3's In community: 0 SPS - due for release 1 Restricted Patients Total: 2 In community: 0 In hospital: 2 11 122 8 29 0 20 40 60 80 100 120 140 2022/2023 2023/2024 Bail Supervision Disposal Assessment Page 30
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Appendix 1 hours on an Order. This approach has resulted in increased access to funding for training courses for individuals alongside support to gain employment. The team also continue to work in partnership with Moray Food Plus in the growing and distribution of fresh produce to the local community from our polytunnel, we also utilise this space for group work activities. During this reporting period we have continued to run a men and women’s group which is open to anyone within the service. An 8-week health and wellbeing programme was run in partnership with the NHS Health Promotions team, with sessions also supported by Moray Arts Development Engagement. There are a number of other interventions used within the team aimed at reducing reoffending including structured programme work targeting particular offences i.e. sexual or domestic offending which is delivered in a group, 2:1 or 1:1 depending on the programme and individuals risks and needs. Policy, Development and Commissioning There was significant work undertaken by the Policy, Development and Commissioning team to develop and implement procedures and resources to support staff across the partnership in their practice. Procedures developed this year include: Revised Multi-agency Child Protection Procedure incorporating Protection From Serious Harm The National Guidance for Child Protection 2023 is translated into the Moray context and the procedure ensures that our approach to safeguarding young people who may be at risk of significant harm is firmly anchored in child protection practice. Further to this, where there is actual or potential risk of serious harm, the procedure introduces Protection for Serious Harm Planning to support the partnership manage risk. Multiagency Reflective Case Discussion Procedure Reflective Case Discussions have been written into practice to support practitioners to reflect upon the barriers to positive outcomes for families Multiagency Escalation Procedure Where there is a variance in, for example, the assessment of risk or approach to planning between partners to a plan, the Escalation Procedure will support practitioners to resolve the problem and make progress for children and their families. Secure Care Procedure When secure care may be an option for a young person, to prevent risk of harm to themselves or others, the Secure Care Procedure outlines the potential routes to secure acre and the efforts which must be made to prevent this options form being utilised. Page 31
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Appendix 1 Moray Support in Pregnancy Pathway A revision of the Moray Vulnerable Pregnancy Pathway, the Support in Pregnancy Pathway, sets out the duties, roles and responsibilities to women whose pregnancy is considered vulnerable. Graded Care Profile 2 Procedure The Graded Care Profile 2 was introduced to Moray to support the assessment and response to neglect. This procedure sets out the response to the assessment to ensure that were neglect is assessed as present, children, young people and their families can rely on a consistent approach across the partnership. Induction Procedure Mirroring the national picture, the recruitment and retention of qualified social work staff has been a challenge in Moray. The Induction Procedure was introduced to welcome new staff. Child Protection materials A series of leaflets relating to child protection practice (Inter-agency Referrals Discussion, Child Protection Planning Meetings, Child Protection Investigations) were developed to support practitioners to help children, young people and their families understand the service and support their participation in planning. Training and Development In the dates between April 2023 and April 2024, the following training has been received by staff: Safe and Together The multi-agency roll out of Safe & Together has been ongoing during this period and over 60 staff members attended the four day CORE sessions. In total, 82% staff members are now licensed to use the tool with the remainder scheduled to be trained over summer 2024. This is a total increase of 54% over the period. 3 social work staff members are trained as trainers. In addition to this, a series of quarterly Practitioner Forums have been introduced to support trained staff. Page 32
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Appendix 1 Safer Sleep The multi-agency Safer Sleep training delivered by the Cot Death Trust has now been attended by 71% of children and families social work staff. This training was specifically in relation to Sudden and Unexplained Death of an Infant and/or Child giving staff a good understanding of potential causes, as well as how to interact with families who may face this awful situation. This increase equates to a further 16% of staff receiving training. Our Family Story The assessment paperwork ‘Our Family Story’ introduced in the previous period was still being trained in the past 12 months and 76% of children & families staff have now received training in its use, an increase of 17%. Solution-Orientated Practice/Meetings Moray is continuing to embrace the multi-agency use of Solution Oriented Practice/Meetings. This way of working ties in directly with child protection planning meetings, the Our Family Story assessment and soon to be launch Child Planning paperwork suite. 76% of staff are familiar with this model, which is a 17% increase during this period. Graded Care Profile 2 As of October 2023, 18 members of staff across the partnership were prepared to become Graded Care Profile 2 trainers, 5 of which are from the children & families social work department. To date, 11 training sessions have been scheduled and a total of 31 staff members becoming licensed practitioners, alongside multi-agency colleagues. This equates to 30% of the eligible workforce, with a further 40% to be captured over the remainder of the year. Short briefings have also been delivered to individuals who would have little use for the licensed tool, but would benefit from a general understanding. These have been well attended and attendees span across the HSP, Council employees and third sector staff. Page 33
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Appendix 1 In addition to the aforementioned sessions, the department has come together with the CSWO at multiple sessions to assist with the creation of a Social Work Plan. This are designed to work alongside the existing Children’s Services Plan 23-26. These sessions have allowed for collaborative working, critical thinking, and the introduction of appropriate Team performance indicators. Furthermore, Senior Social Workers now have their own mentoring sessions with a representative from HR, covering staffing related issues, like the FARM process. Parallel to the delivery of the above training, further learning opportunities have been being developed. Over the summer months, staff are due to receive training in newly developed topics such as: Child Criminal Exploitation, Child Sexual Exploitation, Contextual Safeguarding, and Court Skills. Adult Services Challenges were keenly felt across adult services, with the pressures of delayed hospital discharge continuing. There are many examples of staff pulling together to find creative solutions to support different parts of the system to enable support to be focussed in the correct areas. Plans to progress the MRI scanner for Moray and the related decant of Ward 4, Mental Health services to complete necessary anti-ligature works was making good progress and many practitioners came together to carefully plan how the works could happen concurrently and in the least intrusive way possible both for patients of Ward 4 but also of Dr Grays Hospital. Unfortunately, despite making good progress towards finding an ultimate solution, Scottish Government advised that it was unlikely to be able to fund this project and so an alternative route to making support to people both safe and sustainable, with a focus on community supports and maintaining people at home where possible and in their best interests. Community Care Referrals to Community Care NHS24 Public Protection Referral - Adult Police Concern Report - Adult Referral to Community Care Team+ Scottish Ambulance Service Referral - Adult Scottish Fire & Rescue Service Referral - Adult 2023/24 205 1332 2136 120 52 2022/23 187 1645 2042 74 16 2021/22 12 1333 2227 23 11 Page 34
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Appendix 1 Need in the community continues to rise as the age of the population does in Moray with reducing resources across the board. This gives rise to a need to work relentlessly to support people in need to access family and community assets and third sector supports first and foremost, also supporting people to remain at home and be independent. Care at Home The Care at Home Service provides practical support and personal care, to people with an assessed need, to support them to live as independently as they can at home or in a homely setting in their community. Care at Home (CAH) provision is one of the most challenging sectors within Health and Social Care. Social Care staff provide services to some of the most vulnerable in our communities. Citizens regularly face social isolation, difficulty with everyday tasks and mobility, long term health concerns and financial worries. Self-Directed Support (SDS) is the way that care and support is delivered, making the principles of choice and control central to care and support, and giving individuals full opportunity to take control of their support and their lives. In Moray, option 3 CAH services are delivered by the Health and Social Care Partnership’s own CAH or by our Partner, Care Quality Scotland (CQS). Weekly monitoring of the unmet need in CAH has been in place since August 2021. In Spring 2023, a strategic review of current CAH arrangements was commissioned by HSCM Senior Management Team. There is an ongoing review of the current contract with a focus on service improvement and sustainability. As part of the review, a CAH Workshop was held on 4 March 2024 to revisit the vision “In Moray we want to empower people to live independent lives near the people and places that are important to them. We want to support people to regain their independence after a period of ill health or following a traumatic event.” Care at Home Position Planned hours of care at home refers to the assessed package of care based on an assessment completed to assist individuals to meet their personal outcomes. As of 25th February 2024, the planned weekly hours of care were 4752. Number of planned weekly hours (Feb 2023) Number of planned weekly hours (Feb 2024) Change % Internal Care at Home 3,550 3,871 +321 +9.04% Partner Provider 1,446 881 -565 -39.07% Total 4,996 4,752 -244 -4.88% Page 35
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Appendix 1 A weekly care at home hub meeting was established in January 2023 with the aim of better understanding challenges faced in each locality and keeping track of where and how care is being provided, to understand risks faced by the service users and providers and to assist in developing strategies for improvement across the service. Performance information from these meetings is submitted weekly to the Collaborative Care Home Support Team Meeting, which oversees provision of care at home and care homes by internal and external services. A Strategic Care at Home Group was set up in 2023 to look at the commissioning element of CAH and how internal services can support progress in this area. This is managed and progressed by the Commissioning Team, supported by the Locality Managers. Internal CAH underwent an unannounced inspection between the 9th to 15th November 2023. This was the first inspection since 2020 and all six actions identified had been met in full, with the service being awarded the grade of five (very good) in the following categories: • How well do we support people’s wellbeing; • How good is out leadership; • How good is our staff team; and • How well is our care and support planned. The service was commended for having several projects ongoing, looking at innovative solutions to difficulties facing the care sector and improving people’s outcomes. Recruitment/Retention/Training: Since April 2023, 58 new staff have started in the service as shown in Figure 1. It also shows 48 staff have left, the reasons for this are shown in figure 1 below. Figure 1 As a result of the CAH Practice Governance Forum, a new induction training programme has been developed, which is now held every 2 months, and has had excellent feedback from participants and CAH staff. This will continue to be collected after each course is completed, with a view to more formally reviewing the programme throughout 2024/25. 0 2 4 6 8 10 12 14 16 18 20 Reasons employees have left Care at Home Service 24 23 / Page 36
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Appendix 1 The retention rate in CAH remains high at 79% for staff that have joined the service since April 2023. Staff feedback gathered by the Care Inspectorate during the inspection was also incredibly positive about all aspects within the service. There has been significant work from Health and Social Care Moray with the help of internal services, to support the external partner. It was hoped that we will see substantial improvements during 2024. The partner provider had a moratorium placed upon the service leading to a reduction in almost 60 packages of care since September. CAH have devised a Self-assessment tool based on the Care Inspectorate framework, which was highly commended as part of the Inspection process. A forum was established in 2023 for internal CAH services. This is held on a weekly basis and ensures consistency, best practices, staff development, manages service and user risk and supports CAH to meet legislative requirements. From the Quarter 2 and 3 performance report, the number of delayed discharges at the December 2023 snapshot was 37, this was an increase from 26 at the end of quarter 2. It was noted that delayed discharges for the winter (October – March) period showed a common trend with previous years. Daily huddles and increased multi-disciplinary team working are prioritising delayed discharge reduction work. Total Number of hours of care not provided each week – those waiting in community and hospital Mental Health Mental Health Officer Workforce There are currently 13.8FTE Mental Health Officers practicing in Moray. Only 1 MHO has a dedicated MHO role with the remaining having substantive posts. Two of the FTE work in Out of Hours Social Work. A recent workload measurement exercise indicated that daytime MHOs with substantive posts spend on average 1 day per week on MHO work. As with the Page 37
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Appendix 1 situation throughout Scotland there are challenges in growing the MHO workforce to meet demand. One Mental Health Officer (MHO) qualified in 2023. There are currently two MHO candidates in training who are expected to qualify towards the end of 2024. However, it is possible retirements will reduce the workforce in the near future given the age profile of MHOs, with 5 being over the age of 60 (see table 1) and some seriously considering retirement. MHOS ≤25 25-29 30-34 35-39 40-44 45-49 50-54 55-59 60-64 65+ FEMALE 0 0 0 0 4 2 2 1 3 0 MALE 0 0 0 0 0 0 0 1 2 0 TOTAL 0 0 0 0 4 2 2 2 5 0 Table 1 Moray seconded an Advanced Practitioner in 2022 attached to the Mental Health Team to focus solely on Adults with Incapacity work to mirror the MHO who had a dedicated MHO role focussing largely on Mental Health Act work. Because the funding was a one-off payment with no further funding forthcoming we were only able to recruit for two years, starting in July 2022. The seconded post holder left that post early due to being recruited to a permanent post and the social work secondment post was ended on maternity leave. The AWI dedicated role was instrumental in almost clearing the MHO report waiting list but this has since grown again with 20 being on the waiting list as of 31st March 2024. Mental Health Act Table 2 There is an upward trend in both Short Term Detention Certificates (STDCs). This represents a 42% increase from previous year. For CTOs there has been an increase of 44% increase since 2021- 2022. It is not possible to draw conclusions from this given the natural annual fluctuations and the small numbers involved. Data collection and reporting is an area for improvement in the coming year. Comparative data 2021-2024 (Numbers of EDCs in brackets show attributable to there being no MHO on duty Out of Hours). The gateway into Mental Health compulsory treatment is expected to be through Short Term Detention Certificates rather than Emergency Detention. In total in 2023-2024 there were 21 EDCs, 8 EDCs of which had no MHO consent were attributable to no MHO being available. All EDCs were converted to an STDC the following two days or revoked. Scrutiny into the reason for EDCs in the past year indicated that some EDCs had been incorrectly attributed to there not being an MHO available and clarification of availability of ORDER 2021- 2022 2022- 2023 2023- 2024 EDC 17(8) 23(10) 21(8) STDC 66 60 85 CTO 18 11 26 CO 2 1 0 Page 38
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Appendix 1 MHOs was sent to the Clinical Director for distribution. The number of EDCs should decrease during the coming year when the remaining social worker in Out of Hours Social Work qualifies as an MHO in Autumn of 2024. Adult’s with Incapacity In 2022-2023 referrals for an MHO Adults with Incapacity report was 79 which was more than a 100% increase compared to pre-pandemic levels. In 2023-2024 numbers of referrals fell to 62 after a 3-year trend of increasing referrals, a decrease of 27%. Unfortunately, the waiting list for an MHO report has increased to 20. During 2023 -2024 there were 46 welfare guardianships granted in Moray. Table 3 Applicant Learning Disability Dementia Head injury Mental Health ARBD Total Private 24 12 2 0 0 38 CSWO 2 4 0 1 1 8 There are 50 CSWO welfare guardianships in existence, each overseen by a delegated guardian. Adult Commissioning In the last year the team have been focusing on the improvements identified in the external audit from KPMG in February 2023. This process has ensured that the governance surrounding commissioning decisions has been approved and the role that Commissioning has within Health and Social Care Moray has been strengthened. To maintain the processes around commissioning, contracts and monitoring, the team has created a procedure with a number of process maps underpinning the content. These process maps identify governance routes, monitoring processes and internal ways of working. The team have also been working hard to ensure that contracts are current, and they have awarded 13 contracts and undertaken 5 letters of extension. The team is currently working on 12 contracts which are at various stages of the commissioning cycle. Within this, the voice of the citizens of Moray gets stronger as they are included in the commissioning cycle, from consultation stage to sitting on a tender panel. A particular strength of the Adult Social Care Commissioning team is with the proactive and reactive monitoring of contracts. The proactive element of the monitoring of contracts involves a weekly submission of staffing absences, a monthly submission of Comments, Complaints and Incidents, an annual site visit by a Commissioning Co-ordinator, a 6 monthly Page 39
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Appendix 1 finance meeting and an annual contract meeting. This ensures that relationships with providers are strong, and they are well supported. This information is then detailed to the Lead Officer. The Commissioning Team also meet weekly with Social Work and Health colleagues as well as with the Care Inspectorate to identify any potential issues. Where there are issues, the Commissioning Team lead on reactive monitoring which is a three-tiered approach: Supportive Monitoring, Enhanced Monitoring and Social Work led Large Scale Investigations. The approach to be used is authorised through the Collaborative Care Meeting and is a well-received way of monitoring that is supportive, whilst also holding all internal and external colleagues to account for improvement actions. This way of monitoring has been praised by colleagues in the Care Inspectorate as it supports their inspections and any improvements that they agree with providers. Over the next year, the Commissioning Team will be focussing largely on ensuring that Health and Social Care Moray have contracts that are current and appropriate. They will also take the work on commissioning processes from the last year and undertake shared learning within Health and Social Care Moray to upskill and teach colleagues about ethical commissioning. Learning Disability Following the management changes in relation to the Service Manager and Social Work Team manager roles in 2023, there have been further changes in 2024 with the current Health Team Manager retiring from this position at the end of May 2024. Recruitment is ongoing in relation to this role. Approximately 450 people with a Learning Disability are supported and receive a wide spectrum of services from a multi-disciplinary team, to promote their safety, health and wellbeing, and ensure that they have access to full and independent lives. Implementing the Dynamic Support Register has been a significant area of development within the service over the last year. This is in line with the Coming Home Implementation Memorandum of Understanding between the Scottish Government and COSLA and aims to improve monitoring of the experiences of people with learning disabilities and complex care needs who are in hospital, who are in out-of-area placements and/or whose current support arrangements are at risk of breaking down. In the last year there have been 3 people supported through this process to return to their homes in Moray following discharge from a Learning Disability or Mental Health hospital bed, and 9 people supported to stabilise support arrangements which had been at risk of breaking down. There continue to be 5 Page 40
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Appendix 1 people living out of area or in hospital and 7 people whose current support arrangements are at risk of breaking down that are being proactively supported through this process. Housing has been an area of significant development within the service over recent years and it is imperative this momentum continues in order to meet the needs of those on the Dynamic Support Register and to proactively prevent people being added to the register. The service is working in partnership with Moray Council Housing Department as well as external providers to achieve this. This includes the continued plan to increase our provision within the Woodview service which offers independent living to some of the most vulnerable adults who have complex and challenging needs. There has been significant progress over the last year in planning for implementation of Annual Health Checks for adults with Learning Disabilities. These checks have been introduced by the Scottish Government to address and reduce health inequalities experienced by those with a Learning Disability. Working in partnership with one GP practice, the service is soon to commence a pilot involving 20 people with Learning Disabilities with a view to rolling this out more widely thereafter. The transition workers within the Health and Social Care Partnership continue to work closely with the children and families disability pod, ensuring that planning for young adults begins at the earliest possible opportunity. Our Adult Learning Disability service has continued to experience challenges in recruiting into vacant posts, particularly within Social Work and Psychiatry however the team have worked exceptionally hard to provide continuous support to people despite the aforementioned challenges around Covid and recovery. Unpaid Carers Carers UK predicts 3 in 5 of us will be a carer at some point in our lives. There are approximately 800, 00 carers in Scotland, with an estimated 16,200 unpaid carers in Moray. Not all unpaid carers in Moray require formal support from statutory services to assist them to meet the demand of the role, or to receive formal support for the person they care for, however, carers rights are enshrined in the Carers (Scotland) Act 2016, and alongside the national Carers Strategy, our local Moray Carers strategy 2023-2026 “Recognised, Valued and Supported” for both adult and young carers was launched on 1st April 2023. Our strategy has three key priorities: Priority 1 Recognition for Carers Priority 2 Valuing Carers Priority 3 Supporting Carers Page 41
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Appendix 1 A local action plan has been developed to support us to embed our key priorities over the coming years, with work underway in line with our strategic aims. We have a commissioned service who provide information, support, advice and to offer both Adult Carer Support Plans and Young Carer Statements. Our Carers team is working alongside the Carers Support Service and our Commissioning team to ensure that the key outcomes are delivered in line with strategy. We are continuing to support unpaid carers through the work undertaken by the Day Opportunities team, with the SDS Enablers focussing on building relationships, taking a strength based, asset-based approach, and acknowledging the need for place-based support in people’s own communities. Through the team ensuring that the support delivered is focussed on meeting the needs of the unpaid carer, but also providing a meaningful outcome for the cared for person, short breaks and respite can be a positive experience for both individuals. The work of the team supports Strategic Outcome Three, Supporting Carers. Adult Protection Committee The adult protection committee continues to be an effective meeting and meets each quarter – chaired by the Independent Chair of both adult and child protection committees. Several developments have taken place in the last year within Adult Support and Protection. These have included: • Trauma informed approach to Case Conferences • Multi-agency training events • Multi-Agency Quality Assurance • The embedding of the Moray Integrated Vulnerable Adults process (MIVA) • ASP National Implementation Subgroup – Chronologies The trauma informed approach to Case Conferences is highlighted as a particular area of good practice with the team working alongside multi-agency practitioners and supported individuals to ensure that the Adult Support and Protection Case Conference Agenda and flow of the meeting was mindful of the trauma experienced by the people they support. One such example of the changes that have taken place included the support provided prior, during and after the meeting to individuals as well as ensuring that the meeting was as person-centred as possible, with professionals entering only after the individual and their representatives had arrived and had time with the Chair. This has proved successful, and we have seen a rise in individuals attending and contributing to their Case Conference. In relation to training the APC agreed a subgroup for ASP Learning and Development. The subgroup links to the Grampian Learning and Development ASP Group. The multi-agency Page 42
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Appendix 1 group will work to support developments and awareness on local issues relating to ASP work. Including • Hoarding and Self-Neglect • Referrals and local threshold awareness • Identifying areas of interest and further development • Undertaking a training needs analysis (TNA) Following the revision of the Adult Support and Protection Codes of Practice in 2022 a National Implementation Group was formed supported by the Scottish Government to support the embedding of the codes and changes to practise. A series of smaller Subgroups were then created to support this with participants from a breadth of services and organisations across Scotland (SWS, IRISS, Scottish Government, Care Inspectorate, Police, NHS, Health Improvement Scotland, Local Authorities, and the 3rd Sector). These subgroups cover 4 areas • Chronologies • Self-Evaluation • Advocacy and Voice of the Service User • Inquiry, investigative powers, and the role of the Council Officer The Adult Support and Protection Lead Officer for Moray currently facilitates the Chronology Group, with representation on a Grampian basis to all four of the Subgroups from the Pan Grampian Partnership. Following discussion, further presentation and partnership working, as well as agreement and interest from several Scottish Government Ministers who are responsible for Public Protection areas and work streams the remit of the Chronology Subgroup will now be widened to include all areas across the lifespan. This is an exciting development in which can lead to real transformational change in relation to Chronologies across the Lifespan and how we move forward collaboratively in tackling this challenging subject. The Subgroup will now work to • Develop and amend the draft tools alongside Iriss to ensure its relevance across the life span of an individual. • Discuss and plan communication and learning and development messaging. • Move forward to Championing Chronologies within Partnerships and Organisations • Plan involvement and consultation with lived experienced individuals in their information and what this means for them. • Agree governance and oversight on a national basis (currently this is via the National Adult Protection Strategic Forum) • Test the agreed draft tools within Pilot areas across Scotland. Page 43
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Appendix 1 Throughout the period 2023 – 2024 Moray has received 2 requests for Learning Review. One referral progressed to Adverse Event Review (AER). The further referral resulted in decision by the Learning Review Subgroup to not proceed with Learning Review but hold a Practitioners Event in relation to the case to enable any learning to be extracted and shared. The Practitioner Event is due to take place in May 2024. Moving forward into 2023/2024 the APC are revising their Multi-Agency Improvement Plan in consultation with front-line practitioners as well as revision of the Lead Agency Operational Guidance which will assist in bringing further clarity and support the embedding of this work stream. Adult Support and Protection A total of 920 Adult Support and Protection referrals have been received from April 2023 – March 2024. It is apparent that the significant rise we observed in 2022/2023 appears to have reached a plateau. The table below gives a further insight into this and shows the unprecedented rise in referrals witnessed last year and over the last 3 years. ASP Referrals 120 0 April May June July August Sep Oct Nov Dec Jan Feb March Figure 1 – number of ASP referrals received. Following receipt of an ASP referral a formal ‘screening’ process takes place to ascertain if the individual concerned could be at risk of harm. Instances where a screening is not required include should the referral be a duplicate; individual is already open to ASP process, or the referral is an ‘update’ of information already known for example. Below is a breakdown of the outcome of the ASP referrals received. 20 40 60 80 100 2021/22 2022/23 2023/24 Page 44
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Appendix 1 SCREENING OUTCOME NUMBER OF SCREENINGS PERCENTAGE OF ALL SCREENINGS FURTHER SOCIAL WORK INTERVENTION 379 52.20% NO SUPPORT REQUIRED 154 21.21% PROCEED TO IRD 131 18.04% REFERRAL TO EXTERNAL AGENCIES 26 3.58% SOCIAL WORK TEAM REFERRAL 32 4.41% NO OUTCOME RECORDED 3 0.41% OUTCOME OVERDUE 1 0.14% Figure 2: Screening outcomes Between April 2023 and March 2024 there have been 726 screenings completed, with 379 (52.2%) requiring further social work intervention. 154 (21.2%) did not require support, and a further 131 (18.0%) proceeded to IRD. The remaining 62 (8.54%) were referred to external agencies or social work team or have no outcome recorded. The use of an Inter-Agency Referral Discussion (IRD) for ASP has been in place in Moray since December 2021. Since commencement this process has provided better working relationships between partners, and feedback provided from practitioners has been favourable. The number of IRD’s held during the period April 2023 and March 2024 averaged 10 adults per month with 74 progressing to Adult Support and Protection Investigation compared to 58 the year prior. The advent of the Adult Support and Protection Minimum Dataset in conjunction with Iriss, who led the project alongside five learning partners commenced in April 2023. This mandatory dataset was welcomed in Moray and a step in the right direction in relation to generating meaningful and comparable data nationally. The implementation of this has not been without challenge for Moray in aligning our CareFirst System to capture the data required, but one that we see value in. Challenges and improvements We have faced a number of challenges across this year, getting used to the addition to the HSCP of children and justice social work. There were also challenges around reducing resources, increases in need in the community and staffing issues, both retention and recruitment and staff sickness. Staff have been extremely resilient this year when there have been a number of vacancies across the system but no let-up in need. There has been high levels of commitment to providing quality services to individuals who need support across the board and an improvement in how people consider the views of those they are supporting. Page 45
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Appendix 1 Undoubtedly, there is an increased need for justice social work and increasing prison population and recognition that community based sentences are most likely to allow the right conditions for change but this creates additional pressure on justice services and this has been an extremely busy year for the team. The cost of care is increasing along with the cost of living, so third sector partners, commissioned services and the general public have all been impacted by this and it creates unmet need at a time where we have an aging population and families are living under stressful conditions, particularly related to poverty. We have had to work closely with providers to recognise where they require additional support, and where we have had to look creatively at service provision to ensure we are helping the right people at the right time. There has been a significant increase in young people arriving in Moray through the UASC scheme and our teams have done an amazing job in helping the young people settle and have opportunities to reach their potential. Our mental health officers are declining in numbers and this creates additional requests for support from the officers we have in place, with less interest from staff in completing their mental health certificate, which perhaps reflects the pressures on the social work roles across the system. Delayed discharges continue to be a wicked issue but teams have worked relentlessly to shift the position related to this and to allow people to get home from hospital at the soonest opportunity, in line with our priority of home first. This has to be done in a way that balances people’s need for protection and support with being discharged from a disempowering hospital setting. Resources The Health and Social Care Partnership in Moray faced the same financial challenges as many other areas of the country. There is an increasing overspend and need to pull back in line with reducing budgets. Work has been ongoing throughout the year to identify where savings can be made and where efficiencies can be created by doing things differently. Children’s services commissioned a prevention of care service to work with families whose children were on the edge of care to enable more young people to remain at home with support on an intensive basis. Functional Family Therapy are now embedded and form part of the children’s services resource panel, to ensure the correct children and young people are given this service as a priority. The Whole Family Wellbeing Fund has allowed for continuation of some key posts, not least the Wellbeing Co-ordinators whose function it is to work with universal services to ensure Page 46
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Appendix 1 that the GIRFEC process is working well in Moray, with the child’s plan being developed by universal services to reduce the pressures on social work’s front door and to ensure that families are not elevated to third tier services unnecessarily. Plans are now in place to develop services that will help whole family support and reduce some of the difficulties that young people are experiencing within education, by providing a multi-agency team to pool all skills together to wrap around families. The resources to support children and young people is in high demand, with numbers of foster carers not meeting demand and the use of Out of Area placements continues to be a challenge as a number of social work departments compete for the same few placements available at times. There are also challenges around resources within care at home and care homes, as well as community care and the pressures of providing safe bespoke care on tightening purse strings is ever present and continues to be a source of stress for social workers. Moray also has a limited number of third sector and community organisations and there is a low presence of social care agencies to enable good competitive and ethical commissioning practices. We continue to try and find creative ways to ensure our commissioning processes allow us the best possible services for our communities. 2020/21 2021/22 2022/23 2023/24 Adult Social Work and Social Care Total Budget 49.6 58.5 60.4 63.9 Children, Young People & Families Total Budget 19.383 19.791 18.334 16.147 Justice Services Total Budget -0.106 -0.106 -0.109 -0.109 Workforce Number of front line social work posts: Adult Services: 46.8 FTE Children and Families: 57.08 FTE Justice: 13.5 FTE There continues to be a number of vacancies across Social Work, in particular around children and families, as with other parts of the country, with work happening alongside HR to try and find creative ways to fill posts and support succession planning. Page 47
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Appendix 1 Looking ahead Moray will see the introduction of a new CSWO and Head of Service this year, as I will be leaving the post in June. This coincides with the departure of the Chief Nurse and the Chief Officer at the same time as a new Chief Executive comes into the council. This will create some change for the workforce, it will be important to ensure services remain as stable as possible during this time of transition, with an opportunity for a fresh look at how we are doing and where we need to go. This next year should see the development of the Youth Pod within children’s services, bringing together our throughcare and youth justice services into one specialised team. This helps us meet the requirements of our improvement plan which followed the joint inspection of children at risk of harm. There should also be an improved performance reporting within children’s services as we have set out KPIs and developed the data dashboard to provide a better sense of how children’s and justice social work is performing. Overall the key feature of the next year will be realising challenging savings plans and ensuring that services to our most vulnerable citizen’s remain appropriate, proportionate and that we are upholding the rights and best interests of those we are charged with supporting. Tracy Stephen Moray Health and Social Care Partnership Chief Social Work Officer and Head of Service May 2024 Page 48
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REPORT TO: MORAY COUNCIL ON 13 AUGUST 2024 SUBJECT: APPROVED MINUTES OF MORAY INTEGRATION JOINT BOARD BY: CHIEF OFFICER, HEALTH AND SOCIAL CARE MORAY 1. REASON FOR REPORT 1.1 To inform the Council of the latest approved minutes of the meetings of the Moray Integration Joint Board. 1.2 This report is submitted under Section II (22) of the Council's Scheme of Administration relating to the Moray Integration Joint Board (MIJB). 2. RECOMMENDATION 2.1 The Council is invited to consider and note the content of this report. 3. BACKGROUND 3.1 The MIJB was established on 6 February 2016 under the terms of the Public Bodies (Joint Working) (Scotland) Act 2014 with full delegation of functions and resources to enable integration of primary and community health and social care services effective from 1 April 2016. The MIJB is a separate legal organisation and acts as principal in its own right. The principal ambitions of health and social care integration are to: • Support the improvement of the quality and consistency of services for patients, carers, service-users and their families. • Provide seamless, joined-up quality health and social care services in order to care for people in their homes or a homely setting where it is safe to do so. • Ensure resources are used effectively and efficiently to deliver services. 3.2 The approved minutes from the MIJB meetings held on 28 March 2024 and 30 May 2024, which were accepted as correct records of the meeting on 30 May 2024 and 27 June 2024, respectively, can be found at Appendix 1 and 2. A few key highlights from the meetings for the Moray Council to note were, the MIJB: Item 6. Page 49
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28 March 2024 • Noted the financial position of the Board as at 31 December 2023, showing an overall overspend of £7,110,508 on core services and noted the updated provisional forecast position for 2023/24 of an overspend of £11,210,917 on total budget for core services. • Approved for issue, the Directions arising from the updated budget position. • Noted a report by the Chief Financial Officer outlining the budget allocations to the MIJB and considered the revenue budget for 2024/25, the estimated funding gap and increase in charges agreed by Moray Council for 2024/25. The Board approved the uplift to social care providers as part of the continued policy commitment made by Scottish Government since November 2021. • Endorsed the 2024/25 proposed savings plan and requested officers progress to full integrated impact assessments. • Agreed to note the predicted prescribing budget resource requirements for 2024/25, alongside key drivers for growth and mitigations regarding costs. • Received a report on the Mental Health Pathway Mapping exercise and implementation of the Moray Mental Health Strategy. The Board requested a more detailed report is prepared for the June MIJB meeting for consideration. • Approved the vision and objectives for General Practice in Grampian as set out by the Programme Manager, NHS Grampian GP Vision Programme, and requested an update by March 2025. • Endorsed the actions being taken to continue to deliver Care at Home in Moray and noted the increasing demand on the service. 30 May 2024 • Agreed to note the expected financial position at the end of the current financial year and the implications for 2024/25 and noted the recovery action plan and the intent to progress the savings highlighted. • Requested the Deputy Chief Officer bring back a report regarding Ward 4 Dr Gray’s Hospital, setting out details on how risks will be mitigated, model options and clear timescales to the June meeting of the Board. • Noted and commented on a report by the Chief Officer which provided detail of the activities that support the delivery against the MIJB’s strategic priorities as articulated in the Strategic Plan, and the delivery against the 9 Health and Wellbeing outcomes. • Noted the unaudited revenue outturn position for the financial year 2023/24, the impact of the 2023/24 outturn on the 2024/25 revenue budget and approved for issue, the Directions arising from the updated budget position. • Noted the funding allocations proposed by NHS Grampian and Moray Council, noted the anticipated budget pressures and approved the 2024/25 proposed savings plan. • Formally approved the revenue budget for 2024/25, following consideration of the risks highlighted in the report at 4.30. • Agreed to note the updated Financial Strategic Risk Register which provides an overview of the strategic financial risks, along with a summary of actions which are in place to mitigate those risks. Page 50
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• Noted the contents of the Annual Chief Social Work Officer report for 2023/24. • Noted the completed Moray Alcohol and Drug Partnership annual reporting survey 2023/24 and agreed submission to the Scottish Government. • Noted the requirement to fully transition devices from analogue to digital by 31 January 2027 and requested a revised report be prepared for the Board meeting in June 2024 setting out the revised case, taking into account the financial position. • Delegated authority to the Interim Chief Executives of Moray Council and NHS Grampian to make an appointment of an Interim Chief Officer in consultation with the Chair and Vice Chair of MIJB for a period until the new Chief Officer takes up post (approximately 6 months), to allow the recruitment of the permanent post to proceed. • Noted a report by the Corporate Manager informing the Board of changes to membership of the MIJB and its Committees. • Noted an update of the General Adult Mental Health Secondary Care Pathway Review and an overview of the findings and recommendations. 3.3 The link to the webcast and reports submitted to the MIJB meeting on 28 March 2024 can be found here: https://moray.cmis.uk.com/moray/CouncilandGovernance/Meetings/tabid/70/ct l/ViewMeetingPublic/mid/397/Meeting/2010/Committee/18/Default.aspx 3.4 The link to the webcast and reports submitted to the MIJB meeting on 30 May 2024 can be found here: https://moray.cmis.uk.com/moray/CouncilandGovernance/Meetings/tabid/70/ct l/ViewMeetingPublic/mid/397/Meeting/2319/Committee/18/Default.aspx 3.5 Approved minutes, reports and link to webcast library for all MIJB meetings can be found here: https://moray.cmis.uk.com/moray/CouncilandGovernance/Committees/tabid/6 2/ctl/ViewCMIS_CommitteeDetails/mid/381/id/18/Default.aspx 4. SUMMARY OF IMPLICATIONS (a) Corporate Plan and 10 Year Plan (Local Outcomes Improvement Plan (LOIP)) This report forms part of the governance arrangements of MIJB; good governance arrangements will support the Board to fulfil its objectives. (b) Policy and Legal There are no policy or legal implications associated with this report. (c) Financial implications There are no financial implications associated with this report. (d) Risk Implications There are no risk implications associated with this report. (e) Staffing Implications Page 51
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There are no staffing implications arising from this report. (f) Property There are no property implications arising from this report. (g) Equalities/Socio Economic Impact An Equalities Impact Assessment is not required as there is no change to policy and procedures resulting from this report. (h) Climate Change and Biodiversity Impacts There are no climate change or biodiversity implications arising from this report. (i) Consultations Consultation on this report has taken place with Corporate Manager, Health and Social Care Moray who is in agreement with the content in relation to their area of responsibility. 5. CONCLUSION 5.1 This report provides a summary of the business addressed by the MIJB at their meetings on 28 March 2024 and 30 May 2024. Author of Report: Isla Whyte, Corporate Business Support Manager, Health and Social Care Moray Background Papers: available online Ref: SPMAN-305227695-140 Page 52
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MORAY COUNCIL Minute of Meeting of the Moray Integration Joint Board Thursday, 28 March 2024 Council Chambers, Council Office, High Street, Elgin, IV30 1BX PRESENT Mr Ivan Augustus, Councillor Peter Bloomfield, Mr Simon Bokor-Ingram, Mr Sean Coady, Councillor Tracy Colyer, Ms Sonya Duncan, Ms Jane Ewen, Councillor Scott Lawrence, Dr Robert Lockhart, Mr Derick Murray, Ms Deborah O'Shea, Mr Sandy Riddell, Mr Dennis Robertson, Dr Malcolm Simmons, Ms Tracy Stephen, Mr Kevin Todd, Councillor Ben Williams APOLOGIES Professor Duff Bruce, Mr Roddy Burns, Mr Adam Coldwells, Ms Deirdre McIntyre, Ms Elizabeth Robinson IN ATTENDANCE Ms Sheila Brumby, Third Sector Representative substitute; General Manager, Dr Gray's Hospital; Director of Planning and Performance, Digital Health and Care Innovation Centre (DHI) Scotland; Lead Pharmacist Primary Care, Moray Health and Social Care Partnership (HSCP); Consultant Psychiatrist and Clinical Lead; Primary Care Development Manager, Aberdeen City HSCP; Locality Manager; Service Manager, Provider Services; Head of Governance, Strategy and Performance and Caroline O'Connor, Committee Services Officer. 1. Chair The meeting was chaired by Mr Dennis Robertson. 2. Declaration of Member's Interests Mr Riddell stated for transparency that he was Chair of the Mental Welfare Commission Scotland. Councillor Williams stated for transparency a member of his family was employed by an organisation involved in Item 5 on the agenda, however this did not relate to the aspects included in the report and would therefore remain in the meeting. The Board noted that there were no other declarations of member's interests. 3. Minute of meeting of 25 January 2024 The minute of the meeting of 25 January 2024 was submitted and approved. 4. Action Log of 25 January 2024 The Action Log of the meeting of 25 January 2024 was discussed and updated accordingly. APPENDIX 1Item 6. Page 53
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5. Chief Officer Report The meeting had before it a report by the Chief Officer informing the Board of the Chief Officer activities that support the delivery against the Moray Integration Joint Board's (MIJB's) strategic priorities articulated in the Strategic Plan, and the delivery against the 9 Health and Wellbeing outcomes. Strategic planning needs to maintain a focus on transformational change to deliver services to our community within the resources we have available. 2024/25 will be a very challenging for delivering within the budget, with our two funding partners, Moray Council and NHS Grampian, under considerable financial pressure as well. The Chair asked, in relation to the pausing of Ward 4 anti-ligature work project, what immediate mitigations were in place for those requiring the services from Ward 4 to meet the needs in the interim in order to provide assurance to the Board. In response the General Manager, Dr Gray's advised there are range of environmental control measures already in place which have reduced the risk of ligature related safety incidents, noting further work was required to reach the level required by the Health and Safety Executive. He further advised the team are keen to develop a community model to enhance and support patients to reduce reliance on hospitalisation and this would form part of the risk assessment and investment considerations by the Short Life Working Group. Mr Riddell asked for assurance on behalf of the Board in relation to both the anti- ligature work and development of mental health pathways, that the Mental Health Welfare Commission, Health and Safety Executive and relevant department of the Scottish Government are fully sighted on what can be done within the funding network. In response the General Manager, Dr Gray's advised part of the asset management process will be clearly communicating what cannot be done along with the risks to the Scottish Government, key stakeholders and patients. Councillor Lawrence asked, in relation to Moray Growth Deal and Rural Centre of Excellence (RCE) for digital health care and innovation, for feedback on how Living Lab 5 (Mental Wellbeing) will assist with early intervention given that issues often start at an early age. In response and during the course of an update from the Director of Planning and Performance, DHI-Scotland, she advised Living Lab 5 is the least developed project and relates to all other Living Labs and is about preventing mental health escalating as far as possible. LL5 will commence in mid 2024. DHI are working with the wellbeing communities in Moray and a further update will be provided when more developed. Following consideration the Board unanimously agreed:- i) to note the content of the report; and ii) that transforming services to meet the aspirations of the MIJB's Strategic Plan remains a priority. 6. Order of Business Page 54
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The Chair sought agreement from the Board that Item 7 would be taken after Item 8 on the agenda to allow the Lead Pharmacist Primary Care, MHSCP to join the meeting to present the report. This was unanimously agreed. 7. Revenue Budget Monitoring Quarter 3 for 2023-24 The meeting had before it a report by the Chief Financial Officer updating the Board of the current Revenue Budget reporting position as at 31 December 2023 for the Moray Integration Joint Board budget. Mr Riddell expressed concern relating to the approved savings plan where savings achieved were far less than the target. In response the Chief Financial Officer advised there had been some ambitious targets set at the start of the year which had not come to fruition however other targets had been exceeded. Following lengthy consideration the Board unanimously agreed to:- i) note the financial position of the Board as at 31 December 2023 is showing an overall overspend of £7,110,508 on core services; ii) note the updated provisional forecast position for 2023/24 of an overspend of £11,210,917 on total budget for core services; iii) note the progress against the approved savings plan in paragraph 6; iv) note the budget pressures and emerging budget pressures as detailed in paragraph 7; v) note the revisions to staffing arrangements dealt with under delegated powers and in accordance with financial regulations within Moray Council (MC) and NHS Grampian (NHSG) for the period 1 October to 31 December 2023 as show in Appendix 3; and vi) approve for issue, the Directions arising from the updated budget position shown in Appendix 4. 8. Revenue Budget 2024-25 The meeting had before it a report by the Chief Financial Officer outlining the budget allocations to the Moray Integration Joint Board (MIJB) and considering the revenue budget for 2024/25, the estimated funding gap and the charges. Mr Murray expressed concern that the Board was not meeting its legal obligations to set a balanced budget. In response the Chief Financial Officer advised it is acceptable to have a working budget to identify how the savings will be made to balance the budget which will come back to the Board in May. Concern was raised by a number of members of Board regarding how realistic the timescales were for implementing significant change to deliver savings. In response the Chief Officer advised there are gateways in place which have already generated savings and the time will be used between now and May to engage with stakeholders to inform impact assessments. Page 55
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Following lengthy consideration the Board unanimously agreed to:- i) note the funding allocations proposed by NHS Grampian and Moray Council, detailed at 4.6; ii) note the anticipated budget pressures detailed in 4.10; iii) note and endorse the 2024/25 proposed savings plan at 4.16 and to progress to full integrated impact assessments and to commence staff and user consultation; iv) formally approve the uplift to social care providers as set out in 4.5 as part of the continued policy commitment made by Scottish Government since November 2021; v) note the increase in charges agreed by Moray Council for 2024/25 as detailed in Appendix 2 and that the review of the contributions policy will be brought back to the next meeting; vi) accept that the Revenue Budget for 2024/25 as detailed at Appendix 1 will be used as a working document to allow services to continue to be delivered and a robust recovery to be developed for the next meeting of the Board on 30 May 2024, following consideration of the risks highlighted in 4.33; vii) approve Directions for issue as set out at Appendix 3 to NHS Grampian and Moray Council; and viii) note the Medium Term Financial Plan will be updated for the meeting in May 2024 to reflect the recent amendments from both partner organisations and the details from this report. 9. Primary Care Prescribing Budget for 2024-25 The meeting had before it a report by the Lead Pharmacist, Health and Social Care Moray informing the Board of the predicted prescribing budget resource requirements for 2024-2025, alongside key drivers of growth and mitigations regarding costs. Following consideration the Board unanimously agreed to note:- i) the recommendations made in the paper regarding volume, costs, risks and the net predicted need for a budget source of £23,799m, as part of the overall Health and Social Care Partnership budget setting process for 2024-25; ii) the estimated budget requirements; and iii) mitigations regarding cost efficiencies. 10. Mental Health Pathway Mapping The meeting had before it a report by the Interim Integrated Service Manager, Mental Health and Drug and Alcohol Service updating the Board on progress on the Mental Health Pathway Mapping exercise and implementation of the Moray Page 56
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Mental Health Strategy as discussed at the Moray Integration Joint Board (MIJB) development session on 26 October 2023. Mr Riddell raised a number of concerns he had with the report, namely there being no timescale stated as to when the Strategic Oversight Group would report back to the Board, confusion around the role of Board as he would expect that experts in adult and children's services would draft a model and transitions for discussion at the Board and lastly, the details relating to waiting times at 3.15 were at odds with what was reported to the last Audit and Performance Review Committee asking for clarification regarding the figures provided to provide assurance to the Board. In response the Consultant Psychiatrist and Clinical Lead agreed with the points raised and agreed clarity would be provided in an updated report back to the Board. Councillor Bloomfield asked what the actions and outcomes are from the five key themes and principles as it was unclear from the report and asked for the reason for the age range of 25-64 in para 3.8 as the needs of individuals at either end of the ranges were very different. In response the Consultant Psychiatrist and Clinical Lead advised he would ensure these points would be addressed in the updated report. In response to a query from Dr Lockhart as to why there was no mention of adult Attention Deficit Hyperactivity Disorder (ADHD) in the report, the Consultant Psychiatrist and Clinical Lead confirmed he would ensure this was added to the updated report. The Chair noted the report was disappointing and asked for a more detailed report providing clarity on the points raised be prepared for the Board meeting on 27 June and the author of the report attend the meeting to answer any questions. There being no one otherwise minded the Board unanimously agreed, given members of the Board felt it was a disappointing paper and did not provide the clarity the Board would seek, that a full report providing clarity on all the points raised be prepared for the Board meeting on 27 June. 11. General Practice Vision and Objectives The meeting had before it a report by the Programme Manager, GP Vision Programme informing the Board of the outcomes and recommendations of the NHS Grampian GP Vision Programme, and seek endorsement of the vision and Specific, Measurable, Attainable, Realistic, Time-Bound (SMART) objectives related to this programme. Following consideration the Board unanimously agreed to:- i) approve the vision and objections for General Practice in Grampian as set out in Appendix A; and ii) instruct the Chief Officer to report back to the MIJB by the end of March 2025 with a progress update on the implementation of the vision and objectives. 12 Care at Home Service in Moray Page 57
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The meeting had before it a report by the Service Manager, Provider Services providing the Board with an update on the delivery of the Care at Home Service in Moray and the current demands faced. Following consideration the Board unanimously agreed to:- i) endorse the actions being taken to continue to deliver Care at Home in Moray; and ii) note the increasing demand on the Care at Home Service. Page 58
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MINUTE OF MEETING OF THE MORAY INTEGRATION JOINT BOARD Thursday, 30 May 2024 Council Chambers, Council Office, High Street, Elgin, IV30 1BX PRESENT Mr Ivan Augustus, Councillor Peter Bloomfield, Mr Simon Bokor-Ingram, Mrs Sheila Brumby, Mr Sean Coady, Councillor Tracy Colyer, Ms Sonya Duncan, Ms Jane Ewen, Councillor Scott Lawrence, Dr Robert Lockhart, Ms Deirdre McIntyre, Mr Derick Murray, Ms Deborah O'Shea, Mr Sandy Riddell, Mr Dennis Robertson, Dr Malcolm Simmons, Ms Tracy Stephen, Mr Kevin Todd, Ms Janette Topp, Councillor Ben Williams APOLOGIES Professor Duff Bruce, Mr Roddy Burns, Mr Adam Coldwells, Ms Elizabeth Robinson IN ATTENDANCE Interim Chief Executive, Moray Council; Head of Governance, Strategy and Performance; Clinical Lead, Home First; Interim Integrated Service Manager, Mental Health and Drug and Alcohol Service; Moray Alcohol and Drug Partnership Co-ordinator; Marie Burnell, Integrated Service Manager; Provider Services Manager; Lead for Mental Health and Learning Disability Inpatient, Specialist Services and Child and Adolescent Mental Health Services; Business Change Manager (TEC); Social Work Service Manager; Programme Manager for Rural Centre of Excellence, Digital Health Care and Innovation Centre (DHI) Scotland and Caroline O'Connor, Committee Services Officer. 1. Chair The meeting was chaired by Councillor Tracy Colyer. 2. Pre-Election Period The Chair reminded the Board the meeting was taking place during the pre-election period and, with regards to discussion relating to the budget, asked that members observe discretion with regards to discussion of any new new policies or actions APPENDIX 2 Item 6. Page 59
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which may be seen to be politically motivated at a time when it was important that the Board remains politically impartial. 3. Declaration of Member's Interests Councillor Williams stated for transparency a member of his family was employed by an organisation involved the Moray Growth Deal referred to in Items 5, 7 and 11 on the agenda, however this not relate to the aspects included in the reports and would therefore remain in the meeting. Mr Riddell stated for transparency that he was Chair of the Mental Welfare Commission Scotland. The Board noted there were no other declarations of member's interests. 4. Order of Business The Chair sought agreement from the Board that Item 15 the confidential paper would be taken after Item 2 on the agenda and the webcast would restart at 11am. This was unanimously agreed. 5. Financial Recovery Plan 2024-25 - Confidential The meeting had before it a joint report by the Chief Officer and the Chief Financial Officer providing the Board with a financial recovery action plan that addresses the 2024/25 budget gap between income and forecast expenditure. In response to concerns raised by Members of the Board regarding the risks associated with Saving Reference Number 19 in Appendix 1, the Deputy Chief Officer agreed to bring back a report setting out details on how risks will be mitigated, model options and clear timescales to the June meeting of the Board. During discussion the Head of Governance, Strategy and Performance reminded the Board of the pre-election guidance, noting the Board had to continue with business as usual which required to be balanced against political risk. Following lengthy consideration the Board unanimously agreed to:- i. note the expected financial position at the end of the current financial year and the implications for 2024/25; and ii. note the recovery action plan and the intent to progress the savings highlighted at Appendix 1, with full details included in Appendix 2, for implementation, and commence the staff and public engagement consultations necessary. 6. Thanks The Board, in noting that Ms Tracy Stephen was moving on from her post as Chief Social Work Officer and Head of Service following her appointment to Director of Children's Services at St Helens Council, joined the Chair in paying tribute to Ms Stephen for her hard work and contribution to the Board and wished her well for the future. The Board, in noting Mr Simon Bokor-Ingram had resigned as Chief Officer due to health reasons, joined the Chair in paying tribute to Mr Bokor-Ingram for his Page 60
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leadership and dedicated service and substantial contribution to the Board and wished him well for the future. 7. Minute of meeting of 28 March 2024 The minute of the meeting of 28 March 2024 was submitted and approved. 8. Action Log of 28 March 2024 The Action Log of the meeting of 28 March 2024 was discussed and updated accordingly. 9. Chief Officer Report The meeting had before it a report by the Chief Officer informing the Board of the Chief Officer activities that support the delivery against the Moray Integration Joint Board's (MIJB's) strategic priorities articulated in the Strategic Plan, and the delivery against the 9 Health and Wellbeing outcomes. Strategic planning needs to maintain a focus on transformational change to deliver services to our community within the resources we have available. 2024/25 is a very challenging year for delivering within the budget, with our two funding partners, Moray Council and NHS Grampian, under considerable financial pressure as well. The Chief Officer updated the Board in relation to paragraph 3.10 and confirmed, following the meeting of the Asset Management Group, there was no funding allocation available for this year for anti-ligature work in Ward 4 at Dr Gray's Hospital. He confirmed a report will be prepared for the meeting of the Board in June setting out the options in terms of mitigating the risks. In response to the update from the Chief Officer advising the report referred to in paragraph 3.20 had not yet been received from the Cabinet Secretary for Health and Social Care, Councillor Lawrence asked what plans are in place to meet with the SOS group once the report is published. The Chair confirmed once the report is published an online meeting will be arranged with relevant officers and voting members of the Board. The Chief Officer further offered assurance that the SOS group are part of the ongoing locality process. Following consideration the Board unanimously agreed:- i. to note the content of the report; and ii. that transforming services to meet the aspirations of the MIJB's Strategic Plan remains a priority. 10. Revenue Budget Outturn for 2023-24 The meeting had before it a report by the Chief Financial Officer informing the Board of the unaudited financial outturn for 2023/24 for the core budgets and the impact this outturn will have on the 2024/25 budget. Following consideration the Board unanimously agreed to:- i. note the unaudited revenue outturn position for the financial year 2023/24; Page 61
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ii. note the impact of the 2023/24 outturn on the 2024/25 revenue budget; and iii. approve for issue, the Directions shown in Appendix 4 to NHS Grampian and Moray Council. 11. Revenue Budget and Recovery Plan 2024-25 The meeting had before it a report by the Chief Financial Officer outlining the budget allocations to the Board and considering the revenue budget for 2024/25, the estimated funding gap and the charges. Mr Riddell requested that the discussions which had taken place between the relevant officers in NHS Grampian and Moray Council relating to the preparation of the budget become business as usual going forward to avoid unintended consequences and ensure more structured planning for future years. In response the Chair confirmed ongoing discussions were being held on a more frequent basis and additional meetings of the Board would be held if required. Mr Robertson further advised work is ongoing on a structure to ensure the Chief Financial Officers across the partnership are working together and suggested continuation of the pre budget development session format adopted in the preparation of the 2024/25 recovery to ensure appropriate scrutiny. Following consideration the Board unanimously agreed to:- i. note the funding allocations proposed by NHS Grampian and Moray Council, detailed at 4.6; ii. note the anticipated budget pressures detailed in 4.10; iii. approve the 2024/25 proposed savings plan at 4.23 and detailed in Appendix 2; iv. formally approve the Revenue Budget for 2024/25 as detailed in Appendix 1, following consideration on risks highlighted in 4.30; and v. approve Directions for issue as set out at Appendix 3 to NHS Grampian and Moray Council. 12. Strategic Risk Register Report The meeting had before it a report by the Chief Officer providing the Board with an overview of the strategic financial risks, along with a summary of actions which are in place to mitigate those risks, updated May 2024. Following consideration the Board unanimously agreed to note the updated Financial Strategic Risk Register included in Appendix 1. 13. Annual Report of the Chief Social Work Officer 2023-24 The meeting had before it a report by the Chief Social Work Officer informing the Board of the annual report of the Chief Social Work Officer on the work undertaken on the Council's behalf during the period 1 April 2023 to 31 March 2024 inclusive. In response to a question from Mr Augustus as to there being no reference in the policy and legal section of the report to the Carers Act, the Chief Social Work Officer advised the team focus has been on improvements required following the inspection Page 62
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however the team are aware and as issues arise, the policy development will be altered to reflect that. Mr Murray stated the report was helpful in providing a summary on the range of activities however did not reference the outcomes. In response the Chief Social Work Officer provided assurance the team are are focussed on outcomes and more detail on outcomes will be reported through future performance reports and the next Chief Social Work Officer report. Following consider the Board unanimously agreed to note the contents of the report. 14. Moray Alcohol and Drug Partnership Scottish Government Annual Reporting Survey Report The meeting had before it a report by the Moray Drug and Alcohol Partnership (MADP) Coordinator informing the Board of the results of the MADP annual reporting survey 2023/24 and requesting approval to submit the survey. Following consideration the Board agreed to:- i. note the completed annual reporting survey and agrees submission to the Scottish Government as required; and ii. note the progress of the Moray Drug and Alcohol Partnership in delivering the services to moray as documented in Appendix 1. 15. Analogue to Digital Telecare Transition The meeting had before it a report by the Deputy Chief Officer/Head of Service seeking approval from the Board to proceed with the proposed approach for replacing current analogue community alarm/telecare devices in the community, in preparation for the UK-wide switchover from analogue to digital. The Business Change Manager (TEC) advised there had been significant change since the report had been prepared in that Open Reach have announced that the deadline for the changeover from analogue to digital phone lines has been extended to 31 January 2027. Whilst the extended deadline is welcomed, it has a substantial impact on the plans set out in the report. Following the update from the Business Change Manager (TEC), the Chief Officer moved amended recommendations to reflect the extended deadline and to allow for more detailed plans to be scoped out. He moved recommendation (i) be amended to reflect the new deadline, recommendation (ii) be replaced with "a revised report be prepared for the Board meeting in June setting out the revised case, taking into account the financial position" and recommendations (iii), (iv) and (v) be removed. There being noone otherwise minded the Board unanimously agreed to:- i. note the requirement to fully transition devices from analogue to digital by 31 January 2027; and ii. a revised report be prepared for the Board meeting in June setting out the revised case, taking into account the financial position. Page 63
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16. Recruitment and Selection Process for an Interim and Subsequent Permanent Chief Officer Report The meeting had before it a report by the Interim Chief Executive, Moray Council and Interim Chief Executive, NHS Grampian recommending the proposed approach to recruiting a replacement for the outgoing Chief Officer of the Moray Integration Joint Board (MIJB), and including a number of recommendations for approval by the Board relating to the interim appointment for the role, the recruitment selection process and the constitution of an appointment panel for the final selection panel interview. Following consideration the Board unanimously agreed to:- i. delegate authority to the the Interim Chief Executives of Moray Council and NHS Grampian to make an appointment of an Interim Chief Officer in consultation with the Chair and Vice Chair of MIJB for a period until the new Chief Officer takes up post (approximately 6 months), to allow the recruitment process of the permanent post to proceed; ii. note the indicative timeline for the recruitment and selection process for the permanent position; iii. establish a temporary Committee of the MIJB, to be called an Appointment panel for the permanent appointment, constituting the Chair and Vice Chair of the MIJB and Chairs of the Audit, Performance and Risk and Clinical and Care Governance Committees, with the Interim Chief Executives of Moray Council and NHS Grampian as principal advisors to the Panel, to interview candidates and make a recommendation to MIJB in terms of recommendation; iv. agrees that the appointment of the Chief Officer shall be determined by the MIJB on the recommendation of the Appointment Panel; and v. instruct the Interim Chief Executives of Moray Council and NHS Grampian to report to the MIJB on any interim appointment. 17. Membership of Board and Committees Report The meeting had before it a report by the Corporate Manager informing the Board of changes to membership of the Moray Integration Joint Board (MIJB), Audit, Performance and Risk (APR) Committee and Clinical and Care Governance (CCG) Committee. Following consideration the Board unanimously agreed to note:- i. the Chair and Vice Chair rotated position on 1 April 2024; ii. the appointment of a new Chair to the APR Committee from 1 April 2024; iii. the temporary update to the CCG Committee membership whilst awaiting the update of National Health Service (NHS) voting membership; iv. the vacancy of NHS voting member; v. the appointment of Sheila Brumby as the Service User Stakeholder; vi. the appointment of Janette Topp as the Third Sector Stakeholder; and Page 64
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vii. the updated membership of Board and Committees attached at Appendix 1. 18. General Adult Mental Health Secondary Care Pathway Review Report The meeting had before it a report by the Lead for Mental Health and Learning Disability (MHLD) Inpatient, Specialist Services and Child and Adolescent Mental Health Services (CAMHS) providing an update to the Board on the review of the General Adult Mental Health Secondary Care Pathway and an overview of the findings and recommendations. The report was also shared with the other two Integration Joint Boards within Grampian, Aberdeen City Health and Social Care Partnership (ACHSCP) and Aberdeenshire Health and Social Care Partnership (AHSCP). Following consideration the Board unanimously agreed to:- i. note the update of the General Adult Mental Health Secondary Care Pathway Review, provided in the Summary Report (Appendix 1) with supporting appendices (Appendix 2); and ii. note the findings and recommendations of the General Adult Mental Health Secondary Care Pathway review as outlined in Section 4 of the report. Page 65
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REPORT TO: MORAY COUNCIL ON 13 AUGUST 2024 SUBJECT: FORRES CONSERVATION AND HERITAGE SCHEME DELIVERY PHASE APPLICATION BY: DEPUTE CHIEF EXECUTIVE (ECONOMY, ENVIRONMENT AND FINANCE) 1. REASON FOR REPORT 1.1 To inform the Council that the 12-month Development Phase of the Heritage and Place Programme, which was funded through Historic Environment Scotland and the National Lottery Heritage Fund, has been successfully completed. 1.2 This report seeks authorisation for submission of the Delivery Phase applications for the Heritage and Place Programme 5-year Delivery Phase to the same bodies by no later than 15 August 2024. 1.3 This report is submitted to Committee in terms of Section III A (2) of the Scheme of Administration to consider Capital and Revenue Budgets and long- term financial plans. 2. RECOMMENDATION 2.1 It is recommended that Council agrees: (i) to note the progress of the Heritage and Place Programme Development Phase of the project; (ii) that applications for the Delivery Phase be submitted to the National Lottery Heritage Fund and Historic Environment Scotland which, if successful, will result in a £3.3m 5-year investment programme; and (iii) to delegate authority to the Acting Head of Economic Growth and Development Services to approve and submit the Delivery Phase applications with supporting documents. 3. BACKGROUND 3.1 The Heritage and Place Programme launched by the National Lottery Heritage Fund (NLHF) and Historic Environment Scotland (HES) fits the Item 7. Page 67
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context of place based regeneration and therefore aligns very well with the objectives of the Forres Town Centre Improvement Plan. The funders are working in partnership to take a collective approach to their area based funding programmes. They aim to co-fund heritage projects that support place-based regeneration and boost local economies making communities better places to live, creating economic prosperity and supporting personal wellbeing. Their strategic priorities relate to the economic, social, and environmental value of heritage. Applications for the same project can be submitted through each organisations’ individual grant programmes. They will work together to consider projects which – with dual funding – can maximise impact and deliver positive and lasting change for Scotland’s places and communities. 3.2 At the Economic Development Infrastructure and Services (ED&IS) Committee on 21 June 2022, approval was granted for submission of Expression of Interest (EOI)to the NLHF and HES to support delivery of the Forres Town Centre Improvement Plan (paragraph 7 of the minute refers) which was successful and subsequently a report was presented to the ED&IS Committee on 15 November 2022 where permission was granted to submit funding applications for the Development Phase to the same bodies (para 17 of the minute refers). 3.3 The successful Development Phase funding applications secured £33,000 from the National Lottery Heritage Fund and Historic Environment Scotland, combined with £20,000 from the UK Shared Prosperity Fund which funded a grade 8 Development Project Officer. The officer role was to consult with the community and partner organisations and commission supporting documents from a number of consultants.3.4 As part of this work, with the assistance of the Economic Growth and Regeneration Team, they also carried out the development phase community and partnership consultation. Delivery Phase applications have been prepared along with an area action plan and other supporting documents. During the development stage, a range of consultation activities tailored to all age groups and abilities were carried out including activity with the local primary schools, Forres Academy and youth clubs to gather interests and ideas about their local place and heritage. 3.4 Consultants were commissioned to review and update the content and costing in the Forres Conservation Area Appraisal & Management/Action Plans (to include building valuations, materials audit and management & maintenance strategy); undertake a Skills Audit & prepare a Traditional Skills Training Plan, design and deliver innovative Community Heritage Engagement Activities during the development and design an Activities Plan and Evaluation Strategy for the delivery phase. These documents are in draft form and will be finalised before the application submission. 3.5 A strong and collaborative partnership has been established and partnership agreement drawn with objectives and aims, (Appendix 1) 3.6 The updated Forres Town Centre Improvement Plan objectives covered in the proposed 5-year delivery phase include: Page 68
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• Explore the opportunity to make the town centre more accessible, inclusive and pedestrian friendly through consultation with relevant groups and a review of parking provision and disabled parking; • Encourage people to walk and cycle (active travel) by improving paths and roads to make them easier and safer to use for people of all abilities; • Develop a shopfront improvement scheme to retain traditional facades and enhance the attractiveness of the High Street; • Improve the attractiveness of the streets and public spaces through enhancements to paving, street furniture, planting, etc. (the ‘public realm’), in particular Museum Square and the lanes to the High Street from surrounding car parks • Support the creation of a Heritage Quarter within Forres - with partners, creating a unique sense of place, collaborating with local groups and businesses to attract visitors to the area to learn and engage with the local built and social heritage through use of trails, accessible information, events and activities • Improve signage and develop an Interpretation Trail; • Explore opportunities to bring vacant and derelict buildings and sites back into use for residential and/or community uses by working collaboratively with landowners and other relevant parties 3.7 The Heritage and Place Programme (HP&P) fund is open to applications from local authorities or not-for-profit organisations that can demonstrate a successful track record in delivering similar type work and level of funding. As per the Expression of Interest and Development Stage application the Council would be the project lead for this application and will take overall responsibility for finance including procurement, administration, monitoring and evaluation and would be responsible for employing the temporary Delivery Project Officer if successful covering the 5-year period of implementation programme. A partnership management group has been formed which includes 10 local members of the community including business owners and the 4 Forres Ward Members to help steer, support and promote the delivery phase and approve grants during this phase. 3.8 The Delivery Phase 2025-2030 (if applications are successful), will result in a 5-year investment programme. The programme will to deliver the Forres Town Centre Improvement Plan in terms of key building repairs, public realm improvements, shop front scheme, building health checks, and heritage interpretation. Commissions will be completed for activities carried out during Delivery Phase via commissions including Evaluation, Traditional Skills Training Activities, Community Heritage Activities, Interpretation Design and Delivery, Greening of the Conservation Area, Maintenance and Management Strategy and Vacant Property Feasibility Study. This will also support projects and activities that create positive environmental impacts and demonstrate ‘greening’ opportunities throughout the conservation area and beyond. Improvement of signage and interpretation for sites within Forres and surrounding areas and Moray wide opportunities, to compliment and build on the work delivered through Moray’s Great Places project. 3.9 During the delivery phase, alongside the partnership management group will be 3 working groups that have been formed during the development phase of this project. These groups are Forres Interpretation Reference Group, Page 69
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Museum Action Group and Forres Heritage Quarter Development Group. These groups are made up of members of the local community and relevant organisations. They will be looking at ways to explore a new operating model(s) for the Falconer Museum, creating a ‘heritage quarter’ and looking at and improving interpretation throughout the area. They are not funded as part of the HP&P project but will run in parallel to ensure a cohesive and joined up approach. 3.10 The recently approved Town Centre Improvement Plans (TCIP) contain a Delivery Plan setting out ‘known’ potential funding sources for the TCIP projects for Forres. At ED&IS Committee 5 September 2023 (para 10 of the minute refers) it was agreed the Council’s allocation for Place Based Investment Programme (PBIP) (£400,000: £200,000 24/25 allocation and £200,000 25/26 allocation) and the UK Shared Prosperity Fund (UKSPF) for the financial year 2024/25 (£280,000). There is ongoing uncertainty around Place Based Investment Programme (PBIP) funding allocations for 24/25 however Ministers have authorised the release of an element of the funding up to a maximum value of 50% in order to protect the value for money of projects already in progress. Information on priority regeneration projects in need of funding has been requested to ensure continued progress/completion. This is a priority project in progress with £654,000 already secured and around 43% of the total allocation (£466,000) would cover the anticipated PBIP contribution for 24/25. Discussion with the Scottish Government has been positive on release of £200,000 which would only leave a £200,000 shortfall in match funding. It is hoped that confirmation will be given in the next couple of months. It is unlikely that the request for £200,000 in 25/26 will be approved however there is scope to alter the scheme proposal to fit the available budget if an alternative source of funding cannot be secured. £250,000 capital as part of the underspend from Scottish Government’s Town Centre Capital Fund for improving and adapting town centres resulting from master planning is included in the indicative capital plan for the Delivery Phase along with £124,000 from Coastal Community Fund. 4. SUMMARY OF IMPLICATIONS (a) Corporate Plan and 10 Year Plan (Local Outcomes Improvement Plan (LOIP)) The project will contribute to achieving the corporate plan priority to build thriving, resilient, empowered communities through delivery of the Town Centre Improvement Plan Delivery Programme. (b) Policy and Legal Any partnership agreement for the Development Phase will involve Legal Services and will impact on their resources in terms of reviewing and signing documentation. Where grant applicants are awarded funding of more than £50,000, they will need to consent to a Standard Security and Deed of Conservation Burdens. Legal advice will be required to establish both these documents. (c) Financial implications Both NLHF Grants for Heritage and HES Heritage & Place schemes have the potential to secure substantial investment. Applications would Page 70
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seek to secure £790,000 from NLHF Grants for Heritage and £980,000 from HES Heritage & Place Scheme with private contributions (through property owners contribution to the grant schemes) and other funding sources detailed at 2.13, it is anticipated that the total scheme would cost in the region of £3.3m. (d) Risk Implications As part of the project management, risk implications have been identified will be assessed throughout the delivery phase. There is a risk that bids can be unsuccessful however through out the development phase, there has been several progress meetings and updates with the funders. There is a risk that the PBIF match funding may be withdrawn however a meeting with Scottish Government confirmed that the project is considered to be ‘in progress’ and therefore eligible to receive funding. It is critical that it continues since there would be significant loss of match funding if stalled and it is also urgent given that the application needs to be submitted by 15th August. It is therefore expected that the project meets the PBIF criteria to receive up to 50% of the allocation in 2024/25. However there is a risk that the 2025/26 allocation will not be authorised. This would have a minimal impact on a project of this scale. (e) Staffing Implications Staff from the Economic Growth and Regeneration section will prepare and submit the Delivery Phase applications. A temporary full-time 5-year Delivery Project Officer post will be 100% funded by the delivery scheme budget and will sit within the Economic Growth & Regeneration Team. Due to the temporary nature of the roles, officers tend to move on to other positions before the end of the contracts however there is a slight risk of potential redundancy situation depending on the length of contract. This would be further explored with HR prior to submitting a delivery phase application. (f) Property Capital grants and public realm works will provide essential external repairs to many historic buildings within the conservation area from building health checks to shop front improvement. (g) Equalities/Socio Economic Impact An equality impact assessment is not required because the reason for the report is for the Committee to consider a request to submit applications for funding. (h) Climate Change and Biodiversity Impacts No climate change or biodiversity implications have been determined for this report because the reason for the report is for the Committee to consider a request to submit applications for funding. The delivery phase will enhance greening of the conservation area, explore the reuse of vacant buildings and support food growing, wildlife enhancements and biodiversity. Page 71
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(i) Consultations Consultation has taken place with the Depute Chief Executive (Economy, Environment and Finance), the Head of Environmental & Commercial Services, the Head of Housing & Property, the Head of Economic Growth and Development, Strategic Planning & Development Manager, the Legal Services Manager, the Equal Opportunities Officer, the Chief Financial Officer, the Human Resources Manager and Lissa Rowan (Committee Services Officer) have been consulted and comments received have been incorporated into the report. 5. CONCLUSION 5.1 The NLHF Grants for Heritage and the HES Heritage & Place Programme are a good opportunity to utilise the extensive preparatory work previously undertaken in the 12-month development stage and to create a more attractive and strengthened proposal in conjunction with the community. 5.2 The proposal aligns directly with outcomes identified in the Forres Town Centre Improvement Plan and could contribute significantly towards achieving the Vision for the area. 5.3 There are multiple strands of complementary match funding available for delivery work which could result in a substantial 5-year programme of investment for the Forres area. Author of Report: Kirsty Conti, Economic Growth & Regeneration Manager Background Papers: Draft Documents on file in Economic Growth & Regeneration Ref: SPMAN-813460984-599 Page 72
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This project is part-funded by the National Lottery Heritage Fund (NLHF) Grants for Heritage with thanks to the National Lottery players, Historic Environment Scotland (HES) Heritage and Place Programme and by the UK Government through the UK Shared Prosperity Fund, for more information, visit UKSPF Prospectus. The Forres Conservation & Heritage Scheme Partnership Management Group (PMG) consists of representatives from: Moray Council, Forres Area Community Trust, Forres in Bloom, Findhorn Bay Arts, Forres Area Forum, Forres Heritage Trust, Leanchoil Trust, Forres Community Council, Visit Moray Speyside, Friends of the Falconer Museum, local councillors, business representatives and other relevant stakeholders (to be agreed), advisers and champions. The PMG will be led by a wide range of partners, co-ordinated by Moray Council Economic Growth & Regeneration Team, supported by a number of Moray Council departments & specialist advisers. The PMG will meet bi-monthly with an agenda and minute taker from Moray Council. Forres Conservation & Heritage Scheme Partnership Management Group APPENDIX 1 Item 7. Page 73
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This project is part-funded by the National Lottery Heritage Fund (NLHF) Grants for Heritage with thanks to the National Lottery players, Historic Environment Scotland (HES) Heritage and Place Programme and by the UK Government through the UK Shared Prosperity Fund, for more information, visit UKSPF Prospectus. The key areas of focus for the Partnership Management Group are: The overarching aims and objectives of this partnership are: • To steer development of the Forres Area Conservation & Heritage Scheme and all associated activity in line with community need and funder requirements. • To contribute to procurement assessment/evaluation panel processes in line with Moray Council Public Procurement requirements. • Assess and support grant applications during the delivery phase of the project. • To identify opportunities to promote and celebrate the unique character of Forres and enhance the sense of place. • To identify and develop other initiatives that collectively support the aims of the project within a strategic framework. • Act as project ambassadors to encourage and support community and business engagement with project activity being mindful of barriers. • To ensure that all proposals and investments are complementary. • To consider ways to reduce negative and promote positive environmental impacts during all areas of project delivery and post-completion. • To provide wider access to, understanding of and engagement with local heritage and green spaces within the Conservation Area, including Grant Park and Castle Hill. • To protect, conserve and enhance the local heritage of Forres, foster community cohesion and participation. • To create a sense of local ownership of and pride in heritage and maximise the social benefits it can bring. • To position the historic environment at the centre of place making activity by developing a Heritage Quarter. • To enhance the visitor experience of Forres Town Centre and boost local economic opportunities in a sustainable and inclusive way. • To increase the quality and availability of historic environment skills, raise awareness of climate action, adaptation and sustainability. • To develop and support activities that will strengthen the resilience of the built, cultural and natural environment. These aims are identified as being intrinsically linked. Page 74
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REPORT TO: MORAY COUNCIL ON 13 AUGUST 2024 SUBJECT: FINDHORN AND KINLOSS AREA BUS SERVICE BY: DEPUTE CHIEF EXECUTIVE (ECONOMY, ENVIRONMENT AND FINANCE) 1. REASON FOR REPORT 1.1 To inform the Council of the withdrawal of the commercial buses service linking Kinloss and Findhorn with Forres and Elgin, the impact on these communities and the options open to the Council. 1.2 This report is submitted to Council in terms of Section III (F) (18) of the Council's Scheme of Administration relating to passenger transport 2. RECOMMENDATION 2.1 It is recommended that Council: i) notes the options available relative to this service; and ii) agrees that Officers include proposals for Council to consider and determine in relation to bus services serving Findhorn, Kinloss and Forres as part of a forthcoming wider report on m.connect – as set out in Option 3 at para 4.4. 3. BACKGROUND 3.1 Following a review of their commercial bus service network across Moray and Aberdeenshire, Stagecoach Bluebird advised that they intend to truncate the bus route linking Elgin and Forres via Duffus, Hopeman, Burghead, Kinloss and Findhorn after last bus on Saturday 17 August 2024. This revision forms part of a number of bus service changes although this is the most substantial change in Moray. Buses will continue to link Elgin with Duffus, Hopeman and Burghead but there will not be any scheduled bus service linking Kinloss and Findhorn with Forres. Following community feedback to Stagecoach, they announced on 30 July that they will reinstate a morning and evening peak hour service linking Findhorn and Kinloss with Elgin via Burghead. However there is no reinstatement of any service between Findhorn and Kinloss to and from Forres. Item 8. Page 75
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3.2 The current service through Kinloss and Findhorn is approximately one bus per hour between 0700 and 1730. The withdrawal of the service will see the communities have no scheduled bus service at all. The Council’s m.connect demand responsive service (DRT) will continue to be available to residents of Findhorn and Kinloss where it currently has a number of regular customers. However this service is already well subscribed and there is little slack in the existing level of service for any significant number of new customers. 3.3 The announcement has caused concern in both communities in terms of their connectivity towards Forres and to a lesser extent, towards Elgin. Views have been expressed in the community, endorsing the vital nature of scheduled public transport to access essential services including medical facilities, food supplies, socialising and onward transportation links. 39 Engineer Regiment have advised of mobility issues for military spouses and families accessing work and further education. Findhorn’s Ecovillage engage with seasonal visiting guests and employees, many of whom depend on public transport whilst in the area. 3.4 Stagecoach advise that the service is not commercially viable between Burghead and Forres in their current business model. Between 1 September 2023 and 31 May 2024, an average of 128 passengers per day were carried between Kinloss/Findhorn and all points in Forres over these 9 months – equating to around 5 passengers per single journey. The majority of these customers hold National Entitlement Cards (NECs), with an average of 70 per day using over 60’s NECs (55%) and 34 per day using under 22 NECs (27%). 3.5. The Council’s interest in public transport is governed in legal and policy terms by the Transport Act 1985 and the Transport (Scotland) Act 2019. The council’s responsibility (duty) is to secure provision of such bus services as the council considers appropriate to meet requirements within their area, which would not be met without an intervention from the council. In Moray, this was set out in policy in 2012 that this duty would be met by the direct operation of services – at the time known as Dial M, and now known as m.connect. Following the 2019 Act the council has greater flexibility in its ability to directly operate bus services as a licensed operator rather than purely under community transport legislation. This policy position has been further endorsed and nuanced by the commitment to expand the operation of m.connect as part of Moray Growth Deal. It should be noted that the council is under no obligation to make any intervention, other than to consider how the needs are met. It is recommended that all options are considered bearing in mind both the council’s obligations and the wider strategic considerations of the development of the m.connect network across the whole of Moray through the Moray Growth Deal. 4. OPTIONS FOR DISCUSSION 4.1 There are a number of options outlined below which can be considered in seeking to find a resolution for the communities impacted. It should be noted that any short term intervention will have a budgetary impact and so the preferred option is to follow the Council’s strategic route of developing public transport solutions through the parameters of the Growth Deal. Page 76
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4.2 Option 1 – “Do Nothing” Through the current provision of the m.connect DRT service across Moray, the Council discharges its statutory responsibilities contained within the 1985 Transport Act in providing access to public transport in areas where there is no commercial provision. Therefore the Council has no further legal obligation to intervene in what is a largely commercial market, effectively creating a “do nothing” situation. Consideration also must be given to the Council’s position in any future withdrawals of commercially provided bus services, and careful reflection on the presumption that the Council will always step in to resolve. It should also be noted that the Council consults with the Moray community as a whole on bus provision as part of engagement on developing the m.connect network. 4.3 Option 2 – Community Led Bus Service. Some expression of interest has been noted locally in establishing a community operated bus service, either formed from scratch or tapping into an existing community bus project. Should the community favour this option, Council officers could be made available in an advisory capacity in terms of legislation and other guidance required, in order to fulfil the community’s statutory obligations. Representatives would also be signposted to the Community Transport Association (CTA) for further guidance and support. Community bus projects require very serious commitment for the long term, and an estimated six – nine months to pull together and is therefore not be an immediate solution. 4.4 Option 3 – Incorporate into Phase 2 Bus Revolution Options Review. The next phase of the Growth Deal expansion of m.connect will be introduced in April/May 2025 and proposals will be put forward for approval to Council on 25 September 2024. It is highly likely that this will include a proposal to introduce a Moray coastal service linking Lossiemouth with Hopeman, Burghead, College of Roseisle, Kinloss and Findhorn. There is potential to include extending this to Forres, thus both offering a service to the impacted communities and creating a new bus service link along the coast which will offer connectivity to those communities requiring access to Lossiemouth medical practice. This option will not provide an immediate solution to the lack of transport in the Findhorn and Kinloss areas. However this approach follows Council’s strategic route of developing public transport solutions through the parameters of the Growth Deal and seeking opportunities from community and larger organisation revenue streams benefitting from the service might be harnessed collaboratively to provide a better service. For this option it should be noted that this does not constitute a commitment at this point in time to introduce any particular service – this will form the basis of discussion and decision-making at the meeting of Council on 25 September. 4.5 Option 4 – Funded additional m.connect DRT. It is operationally feasible to provide some additional m.connect DRT to cover part of the day across the communities impacted Monday to Friday subject to staffing being in place. This service would only be on an interim basis subject to consideration of future bus service provision approved at a strategic level through the Grown Deal parameters. This would have an estimated cost implication to Council of £29.5K as outlined below for which additional budget or an alternative funding source would be required. The additional availability of one vehicle extra from 0700 – 0820, 0915 – 1130 and 1230 – 1445 could offer some extra booking capacity for those wishing to access the service, booked on the current “first Page 77
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come, first served” basis. Service development as outlined here is dependent on both driver recruitment and vehicle availability with an October 2024 start date envisaged. Estimated costs for this service are as follows. Annual Operational Cost based on 255 days at £175.00 £45,000 NSG Grant Estimate £4,000 Revenue Estimate including NEC reimbursement £11,500 Annual Cost to Council £29,500 4.6 Option 5 – Funded scheduled bus service. A partial replacement scheduled bus service between Forres and Kinloss/Findhorn Monday to Friday could be operated subject to staffing being in place. This service would only be on an interim basis subject to consideration of future bus service provision approved at a strategic level through the Grown Deal parameters This would have an estimated cost implication of £45K as outlined below for which additional budget or an alternative funding source is required. This service could offer up to seven journeys on Mondays to Fridays between Findhorn, Kinloss and Forres. However, service development as outlined here is dependent on both driver recruitment and vehicle availability with an October 2024 start date envisaged. The operating costs for this option are higher as the costs incorporate a return journey late afternoon – extending the operating hours beyond those set out in Option 4. Estimated costs for this service are as follows. Annual Operational Cost based on 255 days at £261.00 £66,500 NSG Grant Estimate £6,250 Revenue Estimate including NEC reimbursement £15,500 Annual Cost to Council £45,250 5 RURAL BUS SERVICE FUNDING 5.1 Whilst considering the Council’s position in relation to the withdrawal of service by Stagecoach, it is also pertinent to draw members attention to some of the challenges faced in operating public transport in rural communities such as Moray. These challenges are faced both by commercial operators and the Council as operator of m.connect. With more dispersed communities, and greater distances between people’s residences, schools, shops and other services, the ability of operators to create a density of customer demand, and the greater distances travelled both lead to much higher operating costs and lower passenger numbers than in more urban conurbations. This is all set against a general context where bus operators are facing challenging operating conditions across Scotland. Despite a clear desire across national and local policymakers to see public transport use increase for socio- economic and environmental reasons, the aspiration is challenging to meet – most especially in rural areas. 5.2 There are two key sources of Scottish Government funding which arguably contribute to the cost of operating public transport – both are payments that are received by the bus operator. This is in addition to the fact that provision of public transport is an element that is included along with other aspects of local authority responsibility in calculating that General Grant. There is the Network Support Grant (historically this was Fuel Duty Rebate), which Page 78
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provides an income to the operator of 14.4 pence per kilometre operated, and is intended to assist with the cost of operation. Secondly there is the National Entitlement Card for over 60s, those with a disability, and those under the age of 22. The NEC card provides free bus travel for those who are eligible for the concessionary travel. Whilst not actually a direct form of funding, it does incentivise bus travel in eligible groups by making the travel free at the point of use. However, the reimbursement rate is set nationally at 55.9 pence for each £1 charged for the equivalent adult single fare (the under 22 NEC card works on a similar principle but on a different reimbursement rate). In an area where operating costs are clearly higher because of the greater mileages, the NSG only goes some way to assist. Equally, operators are under an obvious and understandable pressure to keep the bus fare at an affordable level and broadly in line with bus fares in more urban areas where mileage is much lower, and because of population density the opportunity for greater bus occupation is higher. This means that the relative impact of the NEC reimbursement rate in enabling viable bus services is much lower in areas such as Moray, and across the Highlands and Islands region. 5.3 This is exemplified in an analysis of the value of the Under-22s NEC scheme undertaken by HITRANS (the Highlands and Islands Regional Transport Partnership, of which Moray is a member). This shows that in the City of Edinburgh, there is a 93% uptake on the Under 22s scheme, and on average each young person benefits to a value of £355. Conversely, in Moray, where there is much greater transport poverty the update of the card sits only at 56% - this is the highest uptake in the HITRANS area, but below the national average of 68%. The average financial benefit to each young person is only £67. 5.4 These figures clearly highlight the issues around transport poverty – with an interlinking of affordability of service provision with quantum of provision, and consequent uptake amongst potential passengers. Whilst officers do not have the comparable figures for the other NEC categories, there can be no doubt that there will be a similar picture. This highlights a need for improved revenue funding arrangements for rural public transport in areas such as Moray, whether this is by increasing the intervention rate of either/both NSG and the NEC car, by direct additional revenue funding to local authorities, or another suitable mechanism. 6 SUMMARY OF IMPLICATIONS (a) Corporate Plan and 10 Year Plan (Local Outcomes Improvement Plan (LOIP)) Public transport has links to economic growth and sustainable communities. There is a direct link to the Corporate Plan 2024 in terms of delivery of the Growth Deal objectives. (b) Policy and Legal The council’s interest in public transport is governed in Policy and Legal terms through the Transport Act 1985 and the Transport (Scotland) Act 2019 Page 79
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(c) Financial implications Options 4 and 5 both have direct financial implications for Council. When the Council approved the budget for 2024/25 on 28 February 2024 (paragraph 7 of the Minute refers) it balanced only by using reserves. The indicative 3 year budget shows a likely requirement to continue to make savings in the order of £13 million in the next two years. All financial decisions must be made in this context and only essential additional expenditure should be agreed in the course of the year. In making this determination the committee should consider whether the financial risk to the Council of incurring additional expenditure outweighs the risk to the Council of not incurring that expenditure, as set out in the risk section below and whether a decision on funding could reasonably be deferred until the budget for future years is approved. As the budget has been balanced using reserves and reduced free general reserves to the policy minimum, this would use further earmarked reserves of £15k in 2024/25 for Option 4, or £23k in 2024/25 for Option 5, and increase savings required in 2025/26 by up to £23k if approved. (d) Risk Implications There are financial risks to the Council regardless of options pursued. Reputational risks should be considered in assessing some of the options presented and an awareness noted of future expectations on commercial bus service withdrawals not always being able to be fulfilled. (e) Staffing Implications Additional driving staff will be required in Spring 2025 if current strategic parameters are involved, or from October 2024 if an interim solution is being supported. (f) Property There are no property implications relating to this report. (g) Equalities/Socio Economic Impact As well as a duty to consider the transport needs for Moray, the public sector equality duty requires that consideration is given to the impacts of council decisions on those with protected characteristics. Older, younger, and disabled people are more likely to be dependant on public transport, however, this is a position across the whole of Moray. The report sets out a range of options. In considering those options Council is asked to note that there is a baseline public transport provision in the affected area with the existing m.connect service, and further that an assessment of impacts should also take into account future proposals and the results of community engagement on public transport, which will be more fully reflected in the forthcoming paper on future expansion of the m.connect network. (h) Climate Change and Biodiversity Impacts Should there be no bus service provided at all, there is potential for a small increase in carbon emissions through additional car traffic. Page 80
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(i) Consultations The Depute Chief Executive (Economy, Environment and Finance), Head of Environmental and Commercial Services, Legal Services Manager, Chief Financial Officer, Equalities Officer and Democratic Services Manager have been consulted and their comments incorporated into this report 7. CONCLUSION 7.1 A decision is required on whether to endorse the current policy of assessing public transport need through the Growth Deal parameters or pursue an interim path while being mindful of future expectations. Author of Report: Donald MacRae, Public Transport Unit Background Papers: Ref: Page 81
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REPORT TO: MORAY COUNCIL ON 13 AUGUST 2024 SUBJECT: LOCAL HEAT AND ENERGY EFFICIENCY STRATEGY BY: DEPUTE CHIEF EXECUTIVE (ECONOMY, ENVIRONMENT AND FINANCE) 1. REASON FOR REPORT 1.1 To seek the agreement of the Council to approve the Moray Local Heat and Energy Efficiency Strategy (LHEES) and Delivery Plan as amended following public consultation. 1.2 This report is submitted to Council in terms of Section III (F) (33) of the Council's Scheme of Administration relating to providing, developing and monitoring the Council’s Economic Development and Infrastructure Services. 2. RECOMMENDATION 2.1 It is recommended that Council: (i) approves the Moray Local Heat and Energy Efficiency Strategy (LHEES) (Appendix 1) and Delivery Plan (Appendix 2) as amended following public consultation feedback (Appendix 3); (ii) notes that while work will progress on the LHEES if agreed, several aspects as highlighted within the Delivery Plan cannot be met within existing resources; and (iii) agrees that delegated authority be given to the Acting Head of Service for Economic Growth and Development to allocate any additional government funding, which may be made available following consideration of the LHEES, in accordance with the LHEES Strategy and Delivery Plan as agreed. 3. BACKGROUND 3.1 The Local Heat and Energy Efficiency Strategies (Scotland) Order 2022 places a duty on Moray Council to prepare, publish and update a Local Heat and Energy Efficiency Strategy and Delivery Plan. The Order required the Council to produce its first LHEES strategy and delivery plan by 31 December 2023, and at no more than 5-year intervals thereafter. Production was delayed Item 9. Page 83
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due to available staffing resources, with consultancy support commissioned for data analysis, mapping and stakeholder engagement work. 3.2 LHEES delivers area-based planning for the heat transition, supporting achievement of statutory emissions reduction targets. It provides the basis for decarbonising heat in buildings and improving energy efficiency across entire local authority areas. 4. DRAFT STRATEGY AND DELIVERY PLAN 4.1 A draft Moray LHEES Strategy and Delivery Plan was approved by the Council on 24 April 2024 (para 12 of the Minute refers). 4.2 This document was produced in collaboration with key partners across Moray and has been subject to a variety of stakeholder engagement exercises, including with elected members. The Scottish Government has been kept updated throughout policy development and has reviewed drafts at key stages. 4.3 Following approval by the Council, the draft documents were published and made available for public consultation online and via Moray libraries from 25 April to 16 May 2024. 4.4 Consultees were invited to respond to the following questions: 1) What are your views on the priorities underpinning the Moray LHEES Strategy? 2) Do you think that any of these priorities should be removed or changed? If so, please provide comments. 3) What are your views on the actions set out in the Moray LHEES Delivery Plan? 4) Do you think that any of these actions should be removed or changed? If so, please provide comments. 5) Do you have any other comments regarding the Moray LHEES Strategy and Delivery Plan? 5. RESULTS OF PUBLIC CONSULTATION 5.1 A total of 5 responses were received to the public consultation. These responses have been anonymised and included within Appendix 3. The feedback has resulted in the following amendments to the Strategy (Appendix 2) and Delivery Plan Appendix 3): • Moray Trade Unions Council to be included as a stakeholder at key points in the strategy’s development; • Inclusion of information around the Council’s Fair Work First practices, and encouragement for all involved in the delivery of LHEES to follow Fair Work First; and • Trade union recognition included as part of the Scottish Government’s action to promote fair work practices and working standards in the renewable energy sector, to ensure a just transition. Page 84
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6. NEXT STEPS 6.1 If approved by the Council, the amended documents will be shared with the Scottish Government and a period of action-setting work will commence with each of the action holders in the Delivery Plan. This will involve creation of a plan for each of the actions, identification of delivery timescales, resource requirements and reporting arrangements. The Strategy and Delivery plan will be updated on a 5-year basis in accordance with the statutory duty, with annual reporting to the Council as part of the Climate Change Plan and Routemap to Net Zero. 6.2 Responsibility for co-ordination of the LHEES will reside with Strategic Planning and Development and be met within existing resources as far as possible. As noted within the Delivery Plan, several aspects of work are undeliverable within existing resources. Work will focus on co-ordinating actions, existing work and reporting to meet statutory requirements. A limited budget remains available for further consultancy support over the next 4 years to support the LHEES strategy. A new workstream to develop future bids to the Scottish Government’s Just Transition Fund, using £30k agreed as part of the Council’s revenue budget for 2024/25 will start shortly and consider opportunities to progress the LHEES priorities. 6.3 It is proposed that delegated authority be given to the Acting Head of Service for Economic Growth and Development to allocate any additional government funding, which may made available following consideration of the LHEES and align with the agreed Strategy and Delivery Plan. Any bids for funding rather than use of funding allocated will be submitted in line with the Financial Regulations. 7. SUMMARY OF IMPLICATIONS (a) Corporate Plan and 10 Year Plan (Local Outcomes Improvement Plan (LOIP)) Development and deployment of a Local Heat and Energy Efficiency Strategy is an action of the Council’s Climate Change Strategy 2020- 2030 which supports the priorities set out in the Corporate Plan. (b) Policy and Legal The Local Heat and Energy Efficiency Strategies (Scotland) Order 2022 places a duty on Moray Council to prepare, publish and update a Local Heat and Energy Efficiency Strategy and Delivery Plan at intervals not exceeding 5 years. (c) Financial implications There are no financial implications arising from this report. However, delivery of LHEES will have significant financial implications for the Council and wider area. The funding agreed in the 2024/25 budget of £30k from reserves will shortly be used to identify opportunities for bids to the Scottish Government’s Just Transition Fund, and this will include consideration of how the Moray LHEES priorities can be progressed. Delegated authority to the Acting Head of Service for Economic Growth Page 85
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and Development is requested to allocate any additional government funding which may be made available following consideration of the LHEES, as set out in para 6.3. (d) Risk Implications The Council will continue to breach the Local Heat and Energy Efficiency Strategies (Scotland) Order 2022 if it does not publish and progress a Local Heat and Energy Efficiency Strategy and Delivery Plan. As a result, there is a risk that the Council will miss out on government funding opportunities related to this work and suffer reputational damage. (e) Staffing Implications The budget saving agreed by Council to remove the dedicated LHEES officer post has had a significant impact upon the workload of the existing climate change officers and their ability to respond to significantly increasing statutory duties related to climate change including support for the emerging LDP. Delivery of the LHEES will be as set out in the Delivery Plan, unless further funding is made available to support further work. (f) Property This proposal could help to address the climate emergency by developing plans to reduce carbon emissions from buildings in Moray, including Council buildings. Any works beyond existing actions will be subject to further resourcing being made available as set out in the Delivery Plan. (g) Equalities/Socio Economic Impact There are no equalities/socio economic impacts arising from this report. (h) Climate Change and Biodiversity Impacts No negative climate change or biodiversity impacts have been identified. (i) Consultations Consultations have been undertaken with the Depute Chief Executive (Economy, Environment and Finance), the Acting Head of Economic Growth and Development, the Head of Housing and Property, the Head of Governance, Strategy and Performance, the Democratic Services Manager and the Equal Opportunities Officer. 8. CONCLUSION 8.1. Council is recommended to approve the Moray Local Heat and Energy Efficiency Strategy and Delivery Plan following amendments after public consultation. 8.2. If approved, work will progress on the LHEES within existing resources as set out in the Delivery Plan. However, delegated authority is requested to be given to the Acting Head of Service for Economic Growth and Development to allocate any additional government funding, Page 86
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which may made available following consideration of the LHEES, to progress further work in accordance with the agreed Strategy and Delivery Plan. Author of Report: George Gunn, Climate Change Strategy Officer Background Papers: Ref: SPMAN-813460984-602 Page 87
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Local Heat and Energy Efficiency Strategy (LHEES) 2023 - 2028 Appendix 1Item 9. Page 89
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Acknowledgements This strategy was produced by Strategic Planning and Development, Moray Council. Data analysis was conducted by Changeworks and funded by the Scottish Government. Publication date: 13 August 2024 Page 90
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Contents 1. Introduction 1.1 Purpose of this strategy 1.2 Strategy vision and priority areas 2. Structure and function 2.1 Structure 2.2 Function 3. Policy and drivers 3.1 Policy and strategy drivers 3.2 Other drivers 4. Non-domestic building stock 5. Priorities and outcomes 6. Opportunities and challenges 6.1 Technology opportunities 6.2 Other opportunities 6.3 Challenges 7. Governance, reporting and monitoring 7.1 Governance 7.2 Reporting and monitoring 1LHEES Strategy 2023 - 2028 2 2 3 4 4 4 6 6 11 12 13 40 40 41 42 43 43 43 Page 91
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2 LHEES Strategy 2023 - 2028 1.1 Purpose of this strategy The Local Heat and Energy Efficiency Strategies (Scotland) Order 20221 places a duty on Moray Council to prepare, publish and update a Local Heat and Energy Efficiency Strategy and Delivery Plan. These documents should be reviewed regularly and updated no later than 5 years after publication. Moray’s Local Heat and Energy Efficiency Strategy (LHEES) is at the heart of a place based, locally-led and tailored approach to the decarbonisation of heat in buildings. This strategy will underpin an area-based approach to heat and energy efficiency planning and delivery. It was developed in collaboration with key stakeholders across Moray and sets out the long-term plan for decarbonising heat in buildings and improving their energy efficiency. The strategy: highlights how each segment of the building stock in Moray needs to change to meet national and local objectives, including achieving zero greenhouse gas emissions in the building sector, and the removal of poor energy efficiency as a driver of fuel poverty; identifies strategic heat decarbonisation zones, and set out the principal measures for reducing buildings emissions within each zone; and prioritises areas for delivery, against local and national priorities. The 5-year delivery plan provides a strong basis for action by stakeholders, identifying early, low-regrets measures and areas where ongoing analysis is required. It also provides direction and informs wider energy planning in the public and private sectors. LHEES are designed to be indicative plans rather than fixed answers to the many complex and unique challenges which individual houses or neighbourhoods face. Therefore, this strategy should not be regarded as prescriptive but rather as indicative, providing an opportunity for local communities to influence the future course of the heat transition in their areas. This strategy and delivery plan will also play a key role in helping the Council to meet its climate change aspirations and contribute to Scotland’s goal of becoming net zero by 2045. 1. Introduction 1The Local Heat and Energy Efficiency Strategies (Scotland) Order 2022 (legislation.gov.uk) Page 92
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1.2 Strategy vision and priority areas The vision for this Local Heat and Energy Efficiency Strategy is to: Support Moray’s just transition to a sustainable and climate resilient community by improving building energy efficiency and decarbonising heat sources. Seven priorities (Table 1) form the basis of the strategy and delivery plan. They help to ensure that this strategy improves energy efficiency and decarbonises heat in buildings, alongside ensuring proposals are climate resilient, just, and supportive of a wellbeing economy. Priorities 1-4 are overarching strategic priorities which will underpin the work necessary to achieve Priorities 5-7. These priorities are explored in full in Chapter 4. 3Apprenticeship Strategy 1. Building sustainable and climate resilient communities Table 1. LHEES priorities for Moray. 7. Decarbonising building heat sources 6. Improving the energy efficiency of buildings 5. Tackling fuel poverty and improving health 4. Supporting a wellbeing economy, jobs and skills 3. A just transition for the energy system 2. Maximising knowledge and awareness and ensuring certainty of success Page 93
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4 LHEES Strategy 2023 - 2028 2. Structure and function Table 2. National LHEES considerations. 2.1 Structure The Local Heat and Energy Efficiency Strategies (Scotland) Order 2022 establishes a two-part structure to be followed to create an LHEES for each local authority area. This involves the creation of: Strategy – a long-term strategic framework for the improvement of the energy efficiency of buildings; and the reduction of greenhouse gas emissions from the heating of such buildings. Delivery plan – sets out how the strategy will be implemented and monitored in the local authority area by LHEES stakeholders. 2.2 Function National guidance frames the function of LHEES around six considerations (Table 2)2. 2 Scottish Government (2022) Local heat and energy efficiency strategies and delivery plans: guidance (gov.scot) Description Transitioning from heating oil and LPG in off-gas areas On-gas grid heat decarbonisation Decarbonisation with heat networks Improving poor building energy efficiency Improving poor building energy efficiency where this is a driver for fuel poverty Improving energy efficiency in mixed-tenure, mixed-use buildings, conservation areas Consideration Off-gas grid buildings On-gas grid buildings Heat networks Poor building energy efficiency Poor building energy efficiency as a driver for fuel poverty Mixed-tenure, mixed-use and historic buildings Heat decarbonisation Energy efficiency Page 94
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5LHEES Strategy 2023 - 2028 These six considerations were used to develop the priorities pursued in this strategy as explained in Chapter 1.2 and will be explored fully in Chapter 5. In addition, the strategy is required to: be evidenced-based; cover Moray’s full building stock as far as reasonably possible; be developed in collaboration with stakeholders and use extensive consultation; be linked to any previous iteration to show progress achieved against outcomes and carry forward outstanding actions; demonstrate how it supports equality and addresses inequality; be forward looking and delivery focussed, working towards local and national targets; and be open and transparent regarding data used, its associated limitation in terms of scope, accuracy and coverage, and be continuously reviewed with progress monitored. This strategy was developed by an internal team in Moray Council and through engagement with stakeholders in the public sector, private businesses and housing associations. Changeworks were commissioned to assist with external engagement and data analysis. Working alongside other local authorities in the North of Scotland, this strategy has been verified by HubNorth to ensure that the strategies are individually sound and collectively coherent to maximise opportunities to cooperate in their delivery. The requirements to support equality and address inequality are covered under Priorities 1, 3, and 4 in Chapter 5. The recommended methodology for creating an LHEES seeks that the strategy and delivery plan uses analysis and grouping of opportunities to identify and prioritise actions: Strategic zones – visualisation of potential ways to decarbonise buildings at a strategic level. These provide a mechanism to understand buildings’ baseline performance; scale of potential; and prioritise initial areas of focus. Delivery areas – more granular level zoning presenting clusters of buildings within the same geographical area (area-based) or those with comparable characteristics with similar opportunities (theme-based). During the development of the strategy, it was apparent that due to the rural nature of Moray, the region’s varied housing stock, and dispersed nature of buildings of a similar type meant that there were less opportunities to geographically zone and cluster solutions for buildings of the same type. However, thematic based clustering for the whole of Moray was undertaken and the results of this are explained in Chapters 5 and 6. This analysis will help the Council and the Scottish Government to work with partners in developing new policy and actions, as well as providing an evidence based for funding applications. Page 95
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6 LHEES Strategy 2023 - 2028 3.1 Policy and strategy drivers Moray Council has an increasing number of statutory duties to take action on climate change. These national obligations, along with local priorities, have directed the development of this strategy. As such, the development was primarily driven by Scotland’s statutory targets for greenhouse gas emissions reduction in the Climate Change (Scotland) Act 2019; Scotland’s Heat in Buildings Strategy; the Heat Networks (Scotland) Act 2021; and national fuel poverty targets. 3.1.1 National policy drivers The key national policies influencing this strategy are detailed in Table 3 below. These will be regularly reviewed by the Council’s Climate Change Officers for future updates of the LHEES to highlight any changes, and report on how they may influence ongoing delivery plans. 3. Policy and drivers Page 96
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7LHEES Strategy 2023 - 2028 Table 3. Summary of national policies relevant to the development of Moray’s LHEES Strategy. Climate Change (Emissions Reduction Targets) (Scotland) Act 20193 Scotland’s Climate Change Plan 2018- 324 Scotland’s Heat in Buildings Strategy (2021)5 Energy Efficiency Standard for Social Housing 2 (EESSH2)6 Social Housing Net Zero Standard (SHNZS) Heat Networks (Scotland) Act 20217 Fuel Poverty (Targets, Definition and Strategy) (Scotland) Act 20198 Sets a national net zero emissions target of 2045: 75% by 2030; 90% by 2040; and 100% by 2045. Contains proposals/policies for meeting greenhouse gas emissions reduction targets up to 2032. Details a vision by 2032 that a substantial majority of homes will have achieved a good energy efficiency rating. Presents the pathway to meet 2045 net zero emissions from buildings, alongside ensuring poor energy performance is removed as a driver for fuel poverty. Aims to improve the energy efficiency of social housing, based on a minimum Energy Performance Certificate (EPC) rating. All social housing must meet, or be treated as meeting, EPC Band B, or is as energy efficient as practically possible, by December 2032. This standard has been replaced by the Social Housing Net Zero Standard. This new standard will replace the second Energy Efficiency Standard for Social Housing (EESSH2) and is currently in development. Consultation on this standard closed in March 2024. Regulates heat networks, supporting objectives in the Heat in Buildings Strategy to grow heat network opportunities. This strategy helps Moray Council meet part of its duty within the Act by identifying potential heat network zones. Other duties excluded from this strategy are identifying non-domestic building connections; designating zones; setting up permitting, regulation, and licencing processes; and developing a cost strategy. Sets targets for 2040 focussed on eradicating fuel poverty; defines fuel poverty; requires production of a fuel poverty strategy and makes provision for reporting. Targets include: <5% of households in Scotland are in fuel poverty. <1% of households in Scotland are in extreme fuel poverty. Median fuel poverty gap of households in fuel poverty is <£250. 3 Climate Change (Emissions Reduction Targets) (Scotland) Act 2019 (legislation.gov.uk) 4 Scotland’s Climate Change Plan 2018-32 (gov.scot) 5 Scotland’s Heat in Buildings Strategy (2021) (gov.scot) 6 Energy efficiency in social housing (gov.scot) 7 Heat Networks (Scotland) Act 2021 (legislation.gov.uk) 8 Fuel Poverty (Targets, Definition and Strategy) (Scotland) Act 2019 (legislation.gov.uk) Page 97
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8 LHEES Strategy 2023 - 2028 Table 4. Key targets from Scotland's Heat in Buildings Strategy (2021). In November 2023, the Scottish Government published a consultation on a Heat in Buildings Bill with proposals for legislation to: Prohibit the use of polluting heating systems after 2045, and before then at point of property purchase or when a heat network connection is available in a Heat Network Zone; and Require a minimum energy efficiency standard by 2028 for Private Rental Sector and 2033 for owner occupiers. The Scottish Government has closed it’s consultation on the new Social Housing Net Zero Standard (SHNZS) in March 2024. This will replace the post-2020 Energy Efficiency Standard for Social Housing (EESSH2). This will align any new standard with net zero targets, providing clarity for the social housing sector. It is important to be cognisant of these consultations and any resultant changes in legislation as the strategy progresses. 3.1.1.1 National Planning Framework 4 National Planning Framework 4 (NPF4) is Scotland’s national spatial strategy which transforms the way planning and climate change are viewed together. It sets spatial principles, regional priorities, national developments, and planning policy. Spatial planning priorities have been developed to help guide the preparation of regional spatial strategies and local development plans. This strategy will be delivered in conjunction with the Moray Local Development Plan, consulting with communities and ensuring that development meets the needs of communities and the climate. 3.1.2 Local policy drivers The main local policies that this strategy aligns with/supports are detailed below in Table 5. These will be regularly reviewed by the Council’s Climate Change Officers for future iterations to highlight any changes, and how they influence ongoing delivery. Private rented homes to be EPC C Emissions from buildings must be 68% lower than 2020 levels Zero emissions heating in the equivalent of 50,000 non- domestic buildings All homes to be EPC C Zero emissions heating in 170,000 off-gas fossil fuel heated homes, and 1 million on-gas homes All fuel poor homes to be EPC B Buildings no longer contribute to climate change 20452028 2030 2033 2040 Page 98
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9LHEES Strategy 2023 - 2028 Moray Local Development Plan 20209 Moray Economic Strategy 202210 Moray Corporate Plan 202411 Moray Local Housing Strategy 2019-202412 Moray Council Strategic Housing Investment Plan13 Moray Council Housing Need and Demand Assessment14 Scheme of Assistance for Home Owners and Private Tenants in Moray15 Moray Council Climate Change Strategy 2020- 203016 Provides guidance to residents, developers and investors as to how much and where growth is proposed for land uses, such as housing and employment, as sets out a wide range of policies which are used to determine planning applications. A collaborative series of actions which set out how economic growth and opportunities will be pursued in Moray. Details the Council’s vision, values and priorities and the context for implementing these Sets out the outcomes the Council and its partners want to achieve, and the actions they will take, to address housing need and demand in Moray. Forms the basis for future investment decisions in housing and related services. Sets out how investment in affordable housing will be directed over the next 5 years to achieve the outcomes relating to affordable housing detailed in the Moray Local Housing Strategy. Estimates how much new housing, in all tenures, is required for the next 20 years, which types of housing and their locations. Details how the Council will provide advice, information and assistance to private homeowners when carrying out work on their home. Commits the Council to reduce its carbon emissions to net zero by 2030, including a requirement for heat decarbonisation. Table 5. Summary of local policies relevant to the development of Moray’s LHEES Strategy. 9 Moray Local Development Plan 2020 (moray.gov.uk) 10 Moray Economic Strategy 2022 (moray.gov.uk) 11 Moray Corporate Plan 2024 (moray.gov.uk) 12 Moray Local Housing Strategy 2019-2024 (moray.gov.uk) 13 Moray Council Strategic Housing Investment Plan (moray.gov.uk) 14 Moray Housing Need and Demand Assessment (moray.gov.uk) 15 Scheme of Assistance for Home Owners and Private Tenants in Moray (moray.gov.uk) 16 Moray Council Climate Change Strategy 2020-2030 (moray.gov.uk) Page 99
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10 LHEES Strategy 2023 - 2028 Moray Council Climate Change Plan and Routemap to Net Zero Emissions17 Moray Hydrogen Strategy18 Moray Council Open Space Strategy19 Sets specific targets relating to energy efficiency: 2023-24: Complete school buildings condition and suitability review. Plans developed to achieve category B or higher in all schools. 2024-25: Complete Learning Estate Asset Management plan to identify opportunities for heating and power refurbishment to provide renewable alternative options for buildings, implemented over the next 10 years. 2025: All social housing to meet EPC Band C or higher 2032: All social housing improved to meet EPC Band B or higher Expresses an anticipation that between 2036-2045, hydrogen could be used for domestic heat alongside natural gas and other energy sources. Provides a strategic vision for the provision, development, maintenance and management of open space within Moray (excluding the Cairngorms National Park). 17 Moray Council Climate Change Plan and Routemap to Net Zero Emissions (moray.gov.uk) 18 Moray Hydrogen Strategy (moray.gov.uk) 19 Moray Council Open Space Strategy (moray.gov.uk) Page 100
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11LHEES Strategy 2023 - 2028 3.2 Other drivers In 2019, just over half of all Scottish energy demand was for heating20. This was responsible for approximately 20% of all energy related greenhouse gas emissions21. Scotland has set a target of 50% of heating energy from renewable sources by 203022. To support this, the Scottish Government has committed: £2.8bn of investment over the current parliament (to 2026); At least £200m investment in the public sector estate to improve and reduce energy use and install zero emissions heating systems; and £479.6m for energy projects in the 2023/24 budget, of which £231.1m is for tackling fuel poverty and improving energy efficiency. The Scottish Government has indicated that Local Heat and Energy Efficiency Strategies will be a consideration when allocating future funding and designing national funding packages. Another driver is the ongoing energy crisis. The rising cost of energy is adding pressure to all homes and businesses. Moray’s domestic gas and electricity costs alone rose to an estimated £130m/year in 2022/2323. Higher fuel costs increase fuel poverty and costs for businesses. Total energy costs (including non-domestic) represent a sizeable proportion of Moray’s total GDP which is mostly paid to external companies and so lost from the local economy. Progressing this strategy can therefore bring potential financial benefits for Moray, and support the just transition to net zero by reducing: The financial burden of energy costs for buildings (domestic, business, public sector estate, and others including social enterprises and community organisations); ‘Loss’ to Moray’s GDP and increasing local wealth retention as part of Community Wealth Building; Energy demand and costs as a driver of fuel poverty; Energy demand in the cost of doing business; Energy as a driver of the climate emergency in Moray; and Energy demand to increase energy resilience. 20 Total final energy consumption by sector (2019) – BEIS (Scottish Energy Statistics Hub) 21 Greenhouse gas emissions by source sector (2019) – Scottish Government (Scottish Energy Statistics Hub) 22 Scotland’s renewable energy targets (gov.scot) 23 Based on data analysis by Changeworks using PEAT-OR fuel cost data from July 2023. Page 101
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12 LHEES Strategy 2023 - 2028 4.1 Domestic building stock in Moray Moray has over 47,500 homes24. Of these, 68% were built before 1984 which is similar to the national average of 70%25. About 6% of homes in Moray are in conservation areas, and 3% are designated as listed buildings26. Most homes (70%) are detached, semi-detached, or end-terraced. Only 7% of homes on Moray are flats which is well below the national average of 40%. The pattern of tenure is similar to the national average, with 63% owner occupied, 23% social housing, and 13% private rentals. 4. Domestic building stock 24 LHEES Domestic Baseline Tool. 25 National averages provided by Energy Savings Trust and are taken from Home Analytics v3.8. 26 Historic Scotland categorises listed buildings based on their level of importance; Category A is assigned to buildings of national importance, Category B for buildings of regional importance, and Category C for buildings of local importance. Table 6. LHEES priorities and outcomes for Moray. of homes are in conservation areas Listed Building and Conservation Status Housing Profile Detached Semi - detached Mid - terraced End - terraced Small block of flats/dwelling converted into flats Block of flats Large block of flats Flan in mixed use building Other/unknown Listed Buildings Listed Buildings Listed Buildings Not Listed 0.2% 1.4% 1.5% 96.9% A B C 35% 25% 11% 10% 10% 2% 2% 3% 2% Tenure Property Age 6.4% Page 102
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1. Building sustainable and climate resilient communities 2. Maximising knowledge and awareness and ensuring certainty of success 3. A just transition for the energy system 4. Supporting a wellbeing economy, jobs and skills 13LHEES Strategy 2023 - 2028 5. Priorities and outcomes For each priority, outcomes have been identified. Table 6 explores these priorities in detail. These priorities were produced in conjunction with stakeholders. Elected members were provided with a presentation on the draft priorities and an opportunity to provide feedback in March 2024. Moray buildings move towards net zero and help address the climate emergency. The resilience of Moray’s buildings, communities and economy is supported to adapt to the impacts of climate change. Improved knowledge and awareness amongst key stakeholders of the need for change and energy efficiency measures. Actions will be prioritised on certainty of success and minimal potential unintended consequences. All communities experience a just transition to net zero, with actions only implemented where they are equitable and where the detrimental impacts are minimised. Skills and jobs required to support retrofit actions across Moray are identified and supported, as part of the just transition. Actions will continue to support recovery, focus on place, and work in partnership with Moray communities as part of the just transition. Moray actions are identified where local, regional, and national expenditure or funding could support the just transition. Table 6. LHEES priorities and outcomes for Moray. 1.1 Achieving net zero 1.2 Adaptation 2.1 Maximise knowledge and awareness 2.2 Ensure certainty of success 3.1.A just transition 4.1 Skills and jobs 4.2 Community wealth building 4.3 Finance Page 103
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14 LHEES Strategy 2023 - 2028 5. Improving the energy efficiency of buildings 6. Tackling fuel poverty and improving health 7. Decarbonising building heat sources Homes across Moray become more energy efficient and work towards national targets, while recognising the challenges this presents. Non-domestic buildings across Moray become more energy efficient, while recognising the challenges this presents. Heritage buildings across Moray become more energy efficient, while recognising the unique challenges that this presents. Energy costs are reduced in fuel poor homes by improving energy efficiency. Physical and mental health outcomes are improved due to adequate heat and ventilation in homes and a reduction in energy bills. Homes across Moray have decarbonised heat sources and work towards national targets, while recognising the challenges this presents. Non-domestic buildings across Moray have decarbonised heat and work towards national targets, while recognising the challenges this presents. Potential heat network zones are identified as a mechanism to decarbonise heat. 5.1 Domestic properties 5.2 Non-domestic properties 5.3 Heritage buildings 6.1 Reducing energy costs 6.2 Improved health outcomes 7.1 On and off gas grid 7.2 Non-domestic 7.3 Heat networks Page 104
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15LHEES Strategy 2023 - 2028 5.1 Priority 1: Building sustainable and climate resilient communities 5.1.1 Outcomes 5.1.2 Context Our climate is changing faster than ever previously experienced. Scientists agree that greenhouse gas emissions from human activities are the main reason for global temperature increases over the past 150 years27. Increased carbon dioxide in our atmosphere also has a profound impact on the health and wellbeing of the population. There is approximately 1 excess death per 4,500 tCO2e emitted and it is known that the impacts of climate change will be felt disproportionately by people with low income who have contributed least to the increase in greenhouse gas emissions. Moray Council declared a climate emergency in 2019, and since then progress has been made in reducing emissions and enhancing resilience. However, the pace of these efforts must be amplified both within the council and across the region if the Council’s 2030 target is to be achieved. Addressing the climate emergency demands a collective effort to curb emissions, enhance sustainability, and adapt to the effects of a changing climate. To achieve this, building owners across Moray must improve the energy efficiency of their assets and transition away from carbon-intensive heating systems. The transformation of Moray’s housing and building stock to net zero will require all stakeholders to work in partnership to deliver meaningful change. Organisations and communities should be encouraged to seek solutions and work together to explore long term solutions for their buildings and neighbourhoods. Collaborative working between business and agencies to further the aims of this strategy will be required. The targets outlined in the Scottish Government's Heat in Buildings Strategy and EESSH2 align with the overall net zero objectives. Consequently, all actions outlined in the delivery plan will contribute to this priority and assist Moray's buildings in meeting net-zero and other related targets. 27 IPCC (2021) Climate Change 2021: The Physical Science Basis. Moray buildings move towards net zero and help address the climate emergency. The resilience of Moray’s buildings, communities and economy is supported to adapt to the impacts of climate change. 1.1 Achieving net zero 1.2 Adaptation 1. Building sustainable and climate resilient communities Page 105
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16 LHEES Strategy 2023 - 2028 These actions will consider the implications of a changing climate, such as the increased frequency of extreme weather events. For example, the level and type of insulation may need to be adjusted to ensure that buildings are resilient to the impacts of climate change. The impact of global temperature increases has already been significant. Weather patterns are changing and sea levels are rising. These changes are leading to severe events such as heatwaves, floods, droughts and wildfires, and increasingly so in the Moray region. Coastal flooding is of particular concern and impact in Moray due to rising sea levels and storm surges leading to property damage, infrastructure disruption and loss of habitable land. Climate change also poses the greatest threat to the natural environment and the ecosystem services that it provides. This threat will in turn negatively impact the Moray food and drink sector, tourism sector, and overall health and wellbeing. Implementation of NPF4 is crucial to delivering necessary climate change adaptation measures through the planning system. There are opportunities for communities across Moray to shape development in their areas through Local Place Plans, and for the new Local Development Plan to integrate adaptation into future spatial planning. 5.1.3 Summary This priority is about building sustainable and climate resilient communities in Moray. The outcomes of this priority are to achieve net zero and to adapt to the impacts of climate change. The context of this priority is that our climate is changing faster than ever previously experienced and that this is having a profound impact on the health and wellbeing of the population. Moray Council declared a climate emergency in 2019, and since then progress has been made in reducing emissions and enhancing resilience. However, the pace of these efforts must be amplified both within the council and across the region if local and national targets are to be achieved. Page 106
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17LHEES Strategy 2023 - 2028 5.2 Priority 2: Maximising knowledge and awareness and ensuring certainty of success 5.2.1 Outcomes 5.2.2 Context The just transition requires all building owners, and stakeholders, to be engaged with and informed on the Local Heat and Energy Efficiency Strategy. This includes its purpose and actions; how to improve building energy efficiency and decarbonise heat sources; and information around the support and funding services available. Various organisations already exist to provide information and advice. These will be promoted across Moray, as well as any funding opportunities. Improved knowledge and awareness amongst key stakeholders of the need for change and energy efficiency measures. Actions will be prioritised on certainty of success and minimal potential unintended consequences. Business Energy Scotland Business Gateway Citizens Advice Bureau Community Energy Scotland Energy Saving Trust Provides support and access to funding to help small and medium-sized enterprises save energy, carbon, and money – including energy efficiency assessments. Provides free, impartial advice and guidance to new and existing businesses in Scotland. Offers free, confidential, and independent advice to people on a wide range of issues, including energy. Supports communities to develop their own renewable energy projects. Provides independent advice on energy efficiency and renewable energy to householders and businesses. 2.1 Maximise knowledge and awareness 2.2 Ensure certainty of success 2. Maximising knowledge and awareness and ensuring certainty of success Table 7. Relevant information and advice services in Moray. Page 107
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18 LHEES Strategy 2023 - 2028 Home Energy Scotland Local Energy Scotland Moray Council Moray CAN Net Zero Nation REAP Scarf Scotland’s National Public Energy Agency tsiMORAY UHI Moray Helps people create warmer homes, reduce bills, and lower carbon footprints, delivered via an advice centre network. A network of local energy advice services that provide impartial advice on energy efficiency and renewable energy to householders and businesses. Have webpages dedicated to heating advice, focussing on providing support following the increase in energy bills. A community-led action network that works to reduce carbon emissions in Moray. Scottish Government website providing resources and advice for a range of Net Zero issues including energy efficiency. Provide free and impartial energy advice to anyone in Moray, including home visits. Delivers targeted energy efficiency advice and services to households and businesses. Will provide leadership and coordination to deliver heat decarbonisation, by: Accelerating transformational change in how we heat and use energy in buildings; Aiding public understanding and awareness; and Coordinating delivery of investment. Provide support and networking opportunities for organisations in Moray. Performs a leading role in skills development, research, and community engagement. Currently exploring how to develop the green jobs which will be required to deliver this change in heating systems. Page 108
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19LHEES Strategy 2023 - 2028 There is an ongoing requirement to provide information and support to help consumers make informed choices. However, there are challenges to raising awareness on Local Heat and Energy Efficiency Strategies, energy efficiency, and heat decarbonisation. These include: How best to encourage owners to improve their buildings; Knowing where to find the correct support; The cost of measures and potential disruption from retrofit lead to lack of engagement; Disinformation and mixed messaging from people led by ideology rather than science; Understanding how EPC bands are calculated, and how best to improve these; and The mass behavioural shift needed regarding how homes and buildings are used and heated. To maximise knowledge and awareness, the Delivery Plan will focus on identifying and addressing gaps in information provision and support services. This will be achieved by integrating the roles and plans of key stakeholders to ensure a comprehensive and coordinated approach. By aligning work plans and prioritising actions with a high likelihood of success and minimal unintended consequences, Moray can make best use of available resources and achieve short-term successes that will serve as stepping stones towards more ambitious initiatives. In the short term, the focus will be on addressing low regrets measures and building Moray's capacity to tackle larger challenges over time. 5.2.3 Summary To achieve progress on this priority, all building owners and supporting organisations must be involved in the decarbonisation journey. All stakeholders will be informed about the considerations identified during the development of this strategy and the available national funding and support to ensure the success of retrofits. Actions include developing a communications strategy, materials, and presentations, and engaging with the Scottish Government to encourage a nationally coordinated campaign supporting all stakeholders. Page 109
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20 LHEES Strategy 2023 - 2028 5.3 Priority 3: A just transition for the energy system 5.3.1 Outcomes 5.3.2 Context As part of Moray’s approach to achieving net zero and tackling the climate emergency, residents and the environment must benefit from this transition in a just manner. This means understanding and tackling socio-economic inequalities that will be created or exacerbated by the transition. A just transition will require Moray being “a resilient, fair, and prosperous place to live and work and puts fairness and social justice at the heart of achieving climate goals”. If we continue with business as usual, existing challenges to Moray communities will get harder, with those least responsible and most vulnerable being impacted the hardest and unable to adapt. Achieving positive socio-economic objectives will be impossible without addressing climate justice. This will aim to prevent disproportionate impacts to marginalized groups and ensuring all residents share in the health, economic, and social benefits of a clean energy economy. Moray’s just transition will see changes to the way existing energy infrastructure is used. This will be driven by the need for grid improvements and additional generation capacity, and by the long-term goal of moving away from natural gas. SSEN, SGN and the Scottish Government will all play a leading role in this effort. SSEN will be responsible for upgrading the electricity grid, SGN will focus on developing alternative fuels suitable for part or all of the gas network, and the Scottish Government will provide national coordination. Moray Council will play a supporting role by providing local context and input to these changes. Understanding the amount of energy needed and how to minimise it is necessary for future generation planning. This sets a baseline for energy generation to meet demand. However, transitioning to renewable energy sources means that energy may not always be available when and where it is needed, necessitating the development of methods to transport and store it. 5.3.2.1 Electricity This strategy proposes a substantial increase in decarbonised heating systems powered by electricity, including individual heat pumps and heat pumps connected to heat networks. The substantial number of heat pumps projected to be installed by 2045 will place significant strain on the electricity grid. This will All communities experience a just transition to net zero, with actions only implemented where they are equitable and where the detrimental impacts are minimised. 3.1.A just transition 3. A just transition for the energy system Page 110
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21LHEES Strategy 2023 - 2028 require careful collaboration with SSEN, as the Distribution Network Operator, to ensure grid limitations are identified and addressed when action planning. Discussions with SSEN should also explore potential grid expansion opportunities and consider other energy projects competing for capacity. Investigating battery storage options will be crucial for managing the network, as current battery definitions categorise them as grid capacity consumers. However, this definition is expected to change. By collaborating with SSEN, this strategy will support their ability to make informed decisions regarding investments and grid upgrades, based on local context and priorities. This collaborative approach will ensure a robust and reliable electricity grid capable of meeting the demands necessary for a just transition and net zero future. Meeting the Scottish Government’s ambition for decarbonised heat is likely to require national fossil fuel consumption to reduce by 28 TWh in 2030 (based on a 2021 baseline)28. Therefore, work to drive heat decarbonisation should begin without delay. This means that in the short term such work will require to progress under current grid constraints or managing minor upgrades where necessary. To achieve this, regular engagement should take place with SSEN to assess the feasibility of short-term actions. The Council will also explore using SSEN's Local Energy Net Zero Accelerator (LENZA) software which is scheduled for release in 202429. This geospatial planning tool empowers planners to make data-driven decisions regarding the placement of new energy assets in local areas. It does so by analysing current cable capacity and assessing the potential impact of additional loads. This enhanced understanding of local energy infrastructure will be crucial for informed place-based decision-making, ensuring that the just transition is implemented in a strategic and sustainable manner. 5.3.2.2 Natural gas In Moray, most homes rely on natural gas for heating, accounting for approximately 30,850 properties. To achieve and surpass the Heat in Buildings Strategy's goal of zero emissions heating in 1 million on-gas homes by 2030, unabated natural gas usage must be phased out and replaced with low-carbon and renewable energy sources. Two mechanisms can be employed to achieve this transition. These are: 1. Introducing alternative heating systems Heat pumps offer a promising alternative to natural gas heating in individual buildings. These systems extract heat from the air or ground and use electricity to transfer it to a building's heating system. Heat pumps are highly efficient and can significantly reduce energy consumption. Heat networks, which distribute hot water from a central source to multiple buildings, can also play a role in reducing natural gas usage. 28 Scotland’s Heat in Buildings Strategy (2021) (gov.scot) 29 SSEN Local Energy Net Zero Accelerator (LENZA) (ssen.co.uk) Page 111
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22 LHEES Strategy 2023 - 2028 2. Switching natural gas for decarbonised alternatives Gas blending involves mixing natural gas with hydrogen, reducing the overall carbon content of the fuel. Hydrogen, produced using renewable energy sources, can be a clean and sustainable alternative to natural gas. Whilst the Scottish Government does not anticipate hydrogen playing a role in heating buildings in the immediate future30, shifting to 100% hydrogen gas for heating holds immense potential as a long-term decarbonisation solution, contingent on the success of ongoing trials. SGN is at the forefront of exploring alternatives, collaborating closely with other gas networks to gather evidence for the UK’s 2026 heat policy decision regarding hydrogen's future role in residential heating. The long-term potential of hydrogen in building heating should be thoroughly evaluated, considering opportunities and timelines. The Council should continue to discuss with SGN the opportunity of hydrogen to have a role in building heating as enhanced understanding could facilitate its integration into strategic planning. This knowledge will smooth the transition and inform the optimal timing for a hydrogen shift, should it be deemed suitable. Additionally, decisions must be made regarding the suitability of hydrogen compared to heat pumps and networks. Modelling should also account for potential decommissioning costs of gas network sections. Progress on this is the principally the responsibility of government and the gas distribution networks, with the Council providing support through this strategy and the provision of local knowledge. 5.3.3 Summary This priority examines how this strategy and the just transition to decarbonised heat will interact with the broader energy system. It specifically considers the use of existing electricity infrastructure, the impact on future grid capacity, and the transition from natural gas to other fuels. SSEN and SGN are key stakeholders in leading this transition and will be involved throughout the strategy's lifetime to monitor their progress. To help achieve this priority, actions focus on supporting SSEN and SGN through: Collaborating with SSEN and using the LENZA tool to plan heat decarbonisation measures for buildings and guarantee that Moray's energy system requirements for heat decarbonisation are met; and Working with SGN to investigate the potential of hydrogen for heating buildings in Moray. 30 Scotland’s draft Energy Strategy and Just Transition Plan (gov.scot) Page 112
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23LHEES Strategy 2023 - 2028 Skills and jobs required to support retrofit actions across Moray are identified and supported, as part of the just transition. Actions will continue to support recovery, focus on place, and work in partnership with Moray communities as part of the just transition. Moray actions are identified where local, regional, and national expenditure or funding could support the just transition. 4.1 Skills and jobs 4.2 Community wealth building 4.3 Finance 4. Supporting a wellbeing economy, jobs and skills 5.4 Priority 4: Supporting a wellbeing economy, jobs and skills 5.4.1 Outcomes 5.4.2 Context 5.4.2.1 Skills and jobs Enhancing energy efficiency and decarbonising heat sources can generate substantial economic benefits for businesses. These advantages include strengthening supply chains, fostering job creation, facilitating the adoption of innovative technologies, and supporting the emergence of new industry entrants. To achieve the goals of a just energy transition, supply chains must expand, particularly requiring a surge in skilled heating and energy efficiency installers. Enabling people to earn a decent income will help them to have a decent standard of living and is the best way of tackling poverty. Low wages are a prime cause of in-work poverty, along with the increased use of zero-hours contracts and other precarious practices. The Council challenges its contractors to highlight their Fair Work First practices (including their stance on the Living Wage) and encourages all others involved in the delivery of this strategy to do the same. Page 113
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24 LHEES Strategy 2023 - 2028 In Moray, additional challenges currently being experienced include: Lack of understanding of the whole-building approach: Heat pump installation requires a comprehensive understanding of a building's thermal performance, including ventilation, air tightness, and potential condensation issues. Inadequate insulation sector qualifications: Many individuals working in the insulation industry may only hold manufacturer-specific qualifications, which may not provide them with the necessary knowledge for comprehensive heat pump installations. In addition, the Scottish Government do not deem these to be competent qualifications. Insufficient understanding of local skill gaps: There is a need for a clearer picture of the current skill level and the training needs across Scotland to effectively address the local skills shortage. A study is currently underway, led by researchers at UHI Moray, to report on green skills requirements across the region. Potential workload increase due to delays: Delayed heat pump installations could lead to a backlog of work in the future, further straining the already limited pool of qualified installers. Table 8. National economic opportunities and challenges from Scotland's Heat in Buildings Strategy. Challenges Construction sector and supply chains are still recovering from COVID-19 and the UK’s exit from the European Union. There is a skills gap to meet existing demand, with demand expected to grow. Requirement to understand supply chain demand to ensure availability of skilled labour will not increase prices and throttle ambitions. Consider just transition for jobs in traditional, fossil-fuel based sectors. Materials shortages and increased prices. Opportunities Heat and energy efficiency sectors generate turnover of £2bn/year and support around 12,500 FTE jobs. An additional 16,400 jobs will be supported by 2030 due to investment in decarbonised heating deployment. Total investment to meet net zero targets for buildings is around £33bn, with investment set to peak at up to £2.5bn/year. Opportunities for Scottish companies to service demand across the UK alongside internal demand. Maximise benefits for Scottish manufacturers (investment and access to a skilled workforce). Page 114
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Retrofitting a significant number of homes annually necessitates a substantial skilled workforce. The more complex and extensive the retrofitting measures per dwelling, the greater the number of homes that need to be retrofitted each year to achieve the targets, consequently increasing job demand. This issue will intensify with each passing year that targets are not met. Skills and jobs required to support this include: Insulation installation; Emerging innovative technologies; Heat pump installation/maintenance; Funding; Heat network construction/operation; Retrofit co-ordination; Smart energy; Carbon management; Traditional skills for heritage buildings; Data and digital; and Supporting roles (e.g. welders, scaffolders). 5.4.2.2 Community wealth building Community wealth building is a strategic approach that uses the economic influence of established local organisations, such as local authorities, healthcare providers, universities, colleges, housing associations, and major private sector employers, to address persistent systemic issues and structural inequalities within communities. It aims to reshape local and regional economic systems, empowering more communities and individuals to participate in, own, and benefit from the wealth generated within their economies. It can foster job creation, business growth, community asset ownership, and shorter supply chains, leading to enhanced resilience and alignment with net zero objectives31. This strategy will aim to support local supply chain opportunities as part of community wealth building and procurement by strategically identifying and prioritising areas for retrofit delivery. This approach will inform Moray businesses of potential opportunities and so allow them to maintain their competitiveness and contribute to the region's economic vitality. 5.4.2.3 Finance As noted in Table 8, total investment required to meet net zero targets for buildings in Scotland is around £33 billion, with annual investment peaking around £2.5 billion by 2030. Moray has over 49,000 buildings, the majority of which will need to be retrofitted – necessitating significant levels of investment. It is estimated that the total cost of measures to fully retrofit domestic properties in Moray will be £955m, or approximately £22k per home. Whilst this presents a funding challenge, it is also a substantial economic opportunity for businesses in Moray. 25LHEES Strategy 2023 - 2028 31 Community Wealth Building – Cities and Regions Policy (gov.scot) Page 115
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5.5 Priority 5: Improving the energy efficiency of buildings 5.5.1 Outcomes 5.5.2 Context Enhancing the energy efficiency of buildings will not only lower energy consumption but also allow the successful implementation of decarbonised heating systems. By reducing energy demand, this will help reduce fuel costs and contribute to alleviating fuel poverty and achieving net-zero emissions. Therefore, a fabric-first approach is a cornerstone of the Heat in Buildings Strategy. 5.5.2.1 Domestic properties The Heat in Buildings Strategy and EESSH2 have targets on building energy efficiency as shown in Table 9. 26 LHEES Strategy 2023 - 2028 Homes across Moray become more energy efficient and work towards national targets, while recognising the challenges this presents. Non-domestic buildings across Moray become more energy efficient, while recognising the challenges this presents. Heritage buildings across Moray become more energy efficient, while recognising the unique challenges that this presents. Private rented homes to be EPC C by 2028 Currently 4,600 private rented homes in Moray not in EPC C All social housing to be EPC B by 2032 9,500 social homes in Moray not currently in EPC B All other homes to be EPC C by 2033 Currently 22,600 other homes in Moray not in EPC C 5.1 Domestic properties 5.2 Non-domestic properties 5.3 Heritage buildings 5. Improving the energy efficiency of buildings Table 9. Relationship between Heat in Buildings Strategy and EESSH2 targets and progress in Moray. Page 116
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The energy efficiency challenge in Moray is substantial - only 5% of homes have an EPC band of A or B. 81% of Moray homes have an EPC band lower than C which is considerably higher than the national average of 51%. The 2040 target of all fuel poor homes to be EPC B or above poses a significant challenge as it is difficult to pinpoint fuel poverty risk years in advance, and any household could potentially experience fuel poverty due to unforeseen changes in living circumstances. This strategy therefore applies the target to all homes. Along with EPC bands, analysis identified other indicators for poor energy efficiency. This includes 5% of homes with single glazed windows; 13% with <100mm of loft insulation; and 54% with uninsulated walls. 5.5.2.2 Non-domestic properties It is important to note that non-domestic data is less accurate than domestic data. Therefore, while the goal is to enhance the energy efficiency of all non- domestic buildings across Moray, the immediate focus will be on buildings where more reliable data is available, including Moray Council buildings and properties owned by key partners such as the NHS. 5.5.2.3 Heritage buildings Heritage buildings, particularly those within Conservation Areas or with Listed Status, often present unique challenges in terms of energy efficiency and decarbonisation efforts. While these structures hold significant historical and cultural value, their distinctive architectural features and materials can hinder the implementation of standard retrofitting measures commonly applied to other buildings. The preservation of heritage buildings demands a balance between enhancing energy efficiency and maintaining their architectural character. Altering original features or introducing modern elements that are aesthetically incompatible with the building's heritage can diminish its historical significance. The Council has issued guidance for repair or replacement works to historic buildings within Moray, and this includes energy efficiency measures32. A grant scheme is already run by the Council for the replacement of windows in eligible properties33. The Council will continue to publicise these measures and identify and promote opportunities where further support can be provided. 27LHEES Strategy 2023 - 2028 32 Replacement Windows & Doors Guidance (moray.gov.uk) 33 Moray Council Window Grant Scheme Fund (moray.gov.uk) Page 117
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28 LHEES Strategy 2023 - 2028 5.5.2.4 Challenges There are building-specific challenges that will need to be addressed at a project level, such as: Minimising disruption to building/services whilst works are carried out; The need to carry out repair work before retrofitting; Restrictions such as Conservation Areas and Listed Status; and Difficulties in financing energy efficiency measures. 5.5.2.5 Existing funding mechanisms for Local Authorities A variety of funding is available to support Moray Council in undertaking and/or financing retrofits. In the short term, existing energy efficiency programmes supported by Moray Council will continue to deliver energy efficiency and fuel poverty reduction work. This strategy will prioritise existing projects and seek to provide justification for future potential projects where this funding can be most effectively used. Awarded for energy efficiency programmes in high fuel poverty areas. This funding is blended with owners’ contributions and funding from Registered Social Landlords who may choose to insulate their homes at the same time. Used by energy suppliers to meet up to 25% of their ECO Affordable Warmth obligation by installing energy saving measures in properties declared eligible by local authorities. Local authorities are responsible for ensuring households are in private tenure and either living in fuel poverty or have a low income and vulnerable to living in the cold. A carbon credits scheme that unlocks additional funding into retrofit projects by verifying the emission reductions and social value of retrofit projects. Capital grant funding support to enable the delivery of heat decarbonisation and energy efficiency projects across public buildings. Scottish Government Area Based Schemes (ABS)34 Energy Company Obligation (ECO) Help to Heat Scheme - Local Authority Flexibility35 HACT Retrofit Credits36 Scottish Central Government Energy Efficiency Grant Scheme37 34 Scottish Government Area Based Schemes (gov.scot) 35 Energy Company Obligation (ECO) Help to Heat Scheme (gov.uk) 36 HACT – Retrofit Credits (hact.org.uk) 37 Scottish Central Government Energy Efficiency Grant scheme (gov.scot) Table 10. Retrofit funding examples available for Moray Council. Page 118
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In addition, other funds and support are available directly for domestic and non- domestic properties including Warmer Homes Scotland38; Home Energy Scotland Grant and Loan39 and Private Rented Sector Landlord Loan40; and Business Energy Scotland SME Loan Scheme41. All of these schemes are promoted across Moray and this will continue as a cornerstone of this strategy. 5.5.3 Summary This priority focuses on improving energy efficiency of Moray's buildings to meet national targets, support decarbonisation, and help building owners to lower energy costs. To achieve this, short, medium and long term building level actions will be identified and prioritised. To ensure quality, building level actions have only been included where there is a high certainty of success and positive impacts or are already planned for implementation: Building level studies to understand specific energy efficiency measures required; Planned projects improving energy efficiency such as installation of wall insulation, floor and loft insulation, double/triple glazing, insulating pipes, and draught proofing; Ongoing analysis and modelling to identify further high certainty building level actions; Promotion of funding and support for energy efficiency measures; and Raising awareness and knowledge of energy efficiency. 29LHEES Strategy 2023 - 2028 38 Warmer Homes Scotland funding (homeenergyscotland.org) 39 Home Energy Scotland Grant and Loan funding (homeenergyscotland.org) 40 Private Rented Sector Landlord Loan funding (homenergyscotland.org) 41 Business Energy Scotland SME Loan funding (businessenergyscotland.org) Page 119
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30 LHEES Strategy 2023 - 2028 5.6 Priority 6: Tackling fuel poverty and improving health 5.6.1 Outcomes 6.1 Reducing energy costs Energy costs are reduced in fuel poor homes by improving energy efficiency. 6.2 Improved health outcomes Physical and mental health outcomes are improved due to adequate heat and ventilation in homes and a reduction in energy bills. 5.6.2 Context Fuel poverty is when total household fuel costs are more than 10% of adjusted net income; and if after deducting fuel and care costs, the remaining net income does not allow for an acceptable standard of living. For extreme fuel poverty, more than 20% of net income is needed. This priority focuses on reducing and preventing fuel poverty in Moray via energy efficiency and heat decarbonisation measures. Poverty increased in Moray pre-pandemic and it is expected to have increased further due to rising fuel costs and the cost-of-living crisis. Fuel poverty is a significant issue in Moray, with over 31% of households experiencing it, exceeding the national average. This situation is even more concerning for 18% of Moray households, who face extreme fuel poverty, also surpassing the national average42. Off-gas homes are particularly vulnerable to both fuel poverty and extreme fuel poverty as electricity and oil heating can be more expensive than gas. Research has identified specific groups that are at an increased risk of fuel poverty, as outlined in Table 11. Homes across Moray become more energy efficient and work towards national targets, while recognising the challenges this presents. Non-domestic buildings across Moray become more energy efficient, while recognising the challenges this presents. Young & middle-age groups Ethnic minority communities Females People with the lowest net income Single marital status Social housing and private rented sector Couples with 2+ children/ lone parents Rural areas People with disabilities People relying on electric heating 6.1 Reducing energy costs 6.2 Improved health outcomes 6. Tackling fuel poverty and improving health 42 Scottish House Condition Survey 2017-19 (gov.scot) Table 11. Groups most likely to experience fuel poverty. Page 120
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The energy efficiency of buildings plays a critical role in fuel poverty. National guidelines emphasise the need to identify areas where poor building energy efficiency contributes to fuel poverty within the strategy and delivery plan. However, the representation of this factor in the key domestic dataset is inconsistent, with energy efficiency measures not adequately weighted against fuel poverty. This, coupled with uncertainties regarding the combination of measures and potential heat pump inefficiencies caused by poor insulation, makes it challenging to identify building-level actions that will not exacerbate fuel poverty. This strategy therefore aligns with the Tackling Child Poverty Delivery Plan commitment to only take forward actions where they will not worsen fuel poverty rates43. Therefore, the immediate priority will be to continue area-based schemes as set out in Section 4.5 whilst collecting more accurate data to decide if schemes focussed on building types would be feasible and if so, what would be more efficient. For health, a significant concern for this strategy is indoor air quality. This is influenced by several factors which make estimates of health impacts challenging. The Cleaner Air for Scotland 2 Strategy states a “need for policy integration and coherence to avoid the risks of unintended consequences.” It notes non-health-related developments (e.g. energy efficiency measures) could have unexpected adverse health impacts if a wider perspective is not taken. Poor insulation installation may cause damp and mould, worsening indoor air quality, leading to negative health and wellbeing impacts. The Council will continue to engage with Scottish Government and other partners to ensure indoor air quality is researched further and considered in the context of Local Heat and Energy Efficiency Strategies. 5.6.3 Summary Fuel poverty is a pressing issue in Moray, and improving energy efficiency is a key mechanism to tackle it. By enhancing energy efficiency, energy costs can be reduced, alleviating the financial burden on households. Proper implementation of energy efficiency measures can lead to positive physical and mental health outcomes. However, it is crucial that any measures implemented do not inadvertently worsen fuel poverty. At present, area-based interventions are deemed to be the most appropriate for an area like Moray due to our range and distribution of different building types. Further monitoring and research into indoor air quality will better inform future iterations of the strategy. Adopting a considered building-level approach will ensure that no one is left behind. 31LHEES Strategy 2023 - 2028 43 Best Start, Bright Futures: Tackling Child Poverty Delivery Plan 2022-26 (gov.scot) Page 121
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32 LHEES Strategy 2023 - 2028 5.7 Priority 7: Decarbonising building heat sources 5.7.1 Outcomes 5.7.2 Context Decarbonised heat sources are low and zero emissions heating. They include heat pumps, heat networks, infra-red heating or electric heaters combined with solar PV; solar water heating; and thermal storage. Implementation of new heating systems will help reduce emissions and help Moray to achieve net zero and tackle the climate emergency. Identification of ‘strategic zones’ for moving forward these measures, as suggested by the LHEES methodology, does not work for Moray. In Moray, building architypes are numerous and scattered, requiring a case-by-case approach to decarbonisation. Dividing work by on/off gas grid status, prioritising off gas properties first, is a better approach to suit local circumstances. 5.7.2.1 Domestic building stock The Heat in Buildings Strategy outlines that there are low and zero-emission heating options available for all homes. It sets ambitious targets to achieve zero- emission heating by 2030. This includes 170,000 off-gas homes that currently rely on high-emission fuels, with approximately 12,720 of these homes located in Moray. Additionally, the strategy aims to transition 1 million on-gas homes to zero-emission heating, including approximately 30,850 homes in Moray. To achieve the targets set out by the Heat in Buildings Strategy, it is crucial to accelerate the decarbonisation of heating systems. This strategy prioritises the implementation of proven and cost-effective measures that minimise potential regrets. In Moray, where 71% of properties are connected to the gas grid compared to the national average of 80%, a no/low regrets approach is adopted. This entails implementing heat decarbonisation measures for domestic properties only where there is a high likelihood of success (Chapter 4.2). Homes across Moray have decarbonised heat sources and work towards national targets, while recognising the challenges this presents. Non-domestic buildings across Moray have decarbonised heat and work towards national targets, while recognising the challenges this presents. Potential heat network zones are identified as a mechanism to decarbonise heat. 7.1 On and off gas grid 7.2 Non-domestic 7.3 Heat networks 7. Decarbonising building heat sources Page 122
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The national methodology classifies properties into four categories based on their suitability for heat pump adoption. Most on-gas homes in Moray fall into the moderately suitable category, indicating that they can be effectively decarbonised using heat pumps. Homes that are less suitable for heat pumps may require additional upgrades or alternative low-carbon heating solutions. Amongst off-gas properties, just over half are immediately suitable for heat pumps or require minor improvements44. 5.7.2.2 Non-domestic building stock Although decarbonised heating systems could be suitable for a considerable portion of the non-domestic building stock, enabling works, including distribution system upgrades and increased site electricity capacity, may often be required. The Heat in Buildings Strategy sets a target for zero emissions heating in 50,000 non-domestic building by 2030: This would equal approximately 2,125 in Moray of which around 1,190 are on mains gas. Unlike domestic, most non-domestic properties in Moray have electric heating; with only 21% on mains gas and 14% on oil heating. This is similar to the national trend whereby over half of all non- domestic properties are already heated using low or zero emissions sources. While there are ambitious Scottish targets for decarbonisation of heating for local authority owned non-domestic buildings by 2038, there are serious concerns about the levels of funding required to meet this target. Clarity over the amount and timing of any support is essential to create meaningful long- term decarbonisation plans for public sector non-domestic buildings. As stated in section 4.5.2.2, it is important to note that non-domestic data is less accurate than domestic data. Therefore, while the ultimate goal is to ensure that all non-domestic buildings across Moray are fitted with decarbonised heating systems, the immediate focus will be on buildings where more reliable data is available, including Moray Council buildings and properties owned by key partners such as the NHS. 5.7.2.3 Existing district heat networks Moray is home to five45 existing heat networks, which provide a sustainable and affordable source of heat to a variety of buildings, including residential properties and businesses (Table 1). The potential to expand these, including options of switching to decarbonised heat sources, will be explored during the delivery stage of this strategy. 33LHEES Strategy 2023 - 2028 44 Changeworks LHEES data analysis for Moray. 45 Heat network analysis conducted by Changeworks only considered semi-public & public buildings. Therefore, there may be more than five heat networks in Moray which are presently unrecorded. Page 123
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34 LHEES Strategy 2023 - 2028 5.7.2.4 Potential district heat network zones There is significant potential to develop further heat networks in Moray. A number of locations in Moray have been identified as being potentially suitable for new heat networks, including Buckie, Burghead, Elgin, Forres, Keith and Lossiemouth. To assist in the prioritisation of the heat network zones they have been divided into three categories: Category 1: Identifies areas with the highest potential for economically viable heat networks at present. This is determined using the national methodology that considers factors such as linear heat density, buffer radii, and the number of anchor loads. This represents the highest priority of zone for future progression. Category 2: Taking a broader approach by considering a wider range of factors such as heat sources, social housing, and strategic sites, to prioritise areas for heat networks that are not solely based on economic viability. This represents zones which will be more difficult to develop at present but may be suitable for development in the future. Category 3: Settlement-level zones which can be used for longer-term planning. It considers all the factors in Categories 1 and 2, as well as other factors that may be relevant to the specific settlement. This represents zones which will be difficult to develop but may be suitable for further consideration in the future. Heat network Roseisle Maltings Findhorn Foundation Biomass District Heating System West Whins Affordable Housing Edgehill Forres Dairy Cottage, Keith Description Bioplant maltings and distillery, heat piped to maltings at Burghead. Operational biomass district heating system with 13 connections. Extension under development. Air Source Heat Pump district heating system with 6 connections. Operational biomass district heating system with 7 connections. Operational biomass district heating system with 4 connections. Page 124
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5.7.2.5 Category 1: Areas with the highest potential A summary of the potential heat networks zones in Moray identified through the heat network mapping process is shown in Table 12. This identifies three areas in Elgin which contain suitable anchor loads and public buildings with sufficient heat demand near each other. Elgin 1 includes the Moray Leisure Centre (MLC) and Elgin Academy. Being a substantial consumer of heat, the MLC is currently pursuing potential retrofitting and enlargement. This opportune timing could prove beneficial for incorporating the MLC into a heat network. While Elgin Academy is situated near the MLC, the River Lossie might pose challenges or raise the expense of connecting the two buildings. 35LHEES Strategy 2023 - 2028 Zone ID Elgin 1 Elgin 2 Elgin 3 Category 1 1 1 Annual heat demand (MWh/yr) 7,503 18,836 7,442 Number of anchor loads 2 2 2 Table 12. Potential heat networks identified in Moray. Figure 2. Locations of Category 1 potential heat networks in Elgin. Page 125
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36 LHEES Strategy 2023 - 2028 Elgin 2 includes buildings such as Elgin Town Hall, Elgin Library, Moray Council HQ and Moray Growth Deal projects in South Street. There are also other public buildings nearby such as Elgin Sheriff Court, UHI Moray campus and Dr Gray’s Hospital. Therefore, a larger heat network in the centre of Elgin may be economically feasible with the opportunity to link to the MLC rather than having two distinct networks. There is also the opportunity to engage industrial facilities around the centre of Elgin which may have surplus heat to supply to the network. Elgin 3 includes Elgin High School. This would involve linking the school and neighbouring buildings in a heat network. This network would be more difficult to develop than Elgin 2 as there are fewer public buildings to act as anchor loads. Although missing from the data, the Linkwood area to the southeast of Elgin may also be suitable for a heat network. This area includes Linkwood Primary School, Moray Sports Centre and Linkwood Distillery in relatively close proximity. There might be opportunities to use waste heat from the distillery as part of a heat network in this area or connect it to Elgin 2, the heat network identified in the town centre. In terms of advancing these three potential projects, the immediate focus will be on investigating the viability of an expanded Elgin 2 option. The timing of the Moray Growth Deal interventions at Elgin Town Hall, Elgin Library, and South Street presents an opportune moment to include these within the heat network. The Council has been successful in receiving support from the Scottish Government’s Heat Network Support Unit for a feasibility study looking at this and potentially including more buildings into the network. This will be progressed in financial year 2024/25 when the funding is released. 5.7.2.6 Category 2: Areas with a wider range of factors The towns of Buckie, Forres, and Keith lack the scale of public sector anchor loads that would suggest the financial viability of a heat network. Additionally, these locations present other limiting factors that require careful consideration. Buckie has a potential heat network zone around the primary and secondary schools. However, as there is a possibility for retrofitting or improvements to these buildings that have not been finalised, it is practical to wait until these plans are in a more advanced stage and then investigate the feasibility of a heat network in the area. Figure 3. Location of Category 2 potential heat networks in Buckie. Page 126
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Forres' situation regarding possible heat network provision resembles that of Buckie. While there are various public buildings in the area, those with the highest heat demand are the schools. There are developing plans for a new Forres Academy, yet the location remains undecided at present. There could be potential for heat networks surrounding a new Forres Academy, which should be explored as part of the design of the new school. Due to the relatively substantial heat demand from businesses and public buildings in the Forres town centre, there is interest from the community in a heat network there. The feasibility of this is currently being investigated by the community. While Keith does not have a significant concentration of public buildings with high heat demand, it has the potential to connect excess heat generated by distilleries to a heat network. While this approach may not be as commercially viable as other options, it warrants further exploration. The Keith Grammar School and the nearby swimming pool could contribute substantially to the heat demand of the network. Consideration should also be given to the potential relocation of industries like data storage centres to Keith, assuming the region's electricity infrastructure is upgraded due to the reinforcement of the grid and its connection to offshore wind energy projects. 37LHEES Strategy 2023 - 2028 Figure 4. Heat demand map of Forres. Page 127
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38 LHEES Strategy 2023 - 2028 For the purposes of strategic planning and development, these Category 2 sites will remain under review with their potential heat network status reassessed on a regular basis. If these areas are designated as potential Heat Network Zones, developers with planning applications in these areas will be required to outline anchor load status and/or capability to connect with a heat network. This will help to ensure that new developments are designed in a way that is compatible with future heat networks. 5.7.2.7 Category 3: Areas for further investigation as heat networks Some sites were identified as having relatively high heat demand, though there were insufficient anchor loads to include them within the potential heat network zones at present. These areas include Burghead and Lossiemouth. It is important to note that these sites may become potential heat network zones in the future. Further feasibility work could be undertaken to assess the potential for heat networks in these areas, considering factors such as the density of heat demand, the availability of renewable heat sources, and the potential for new anchor loads to be developed. The establishment of an anchor load in one of these areas could make it feasible to create a heat network in these areas. For example, if a new public building is built in an area with high heat demand, this could make it possible to build a heat network that would also serve the surrounding homes and businesses. Similarly, if a waste heat recovery scheme is developed in an industrial area, this could be used to provide heat for a nearby heat network. Figure 5. Heat demand map of Keith. Page 128
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5.7.3 Summary This priority aims to decarbonise heating systems across Moray and achieve net zero emissions from heating by 2045. Most Moray properties are connected to the gas grid, but to achieve the level of decarbonisation required, this strategy takes a no/low regrets approach to prioritising actions. This involves having heat decarbonisation actions for domestic properties only where there is a high certainty of success. There is potential to develop further heat networks in Moray. Several areas in the region have been identified as being potentially suitable for new heat networks, including Buckie, Elgin, Forres, and Keith. However, most domestic properties in Moray will not be in areas suitable for heat networks so individual heating solutions such as heat pumps will be the most suitable solution for these. 39LHEES Strategy 2023 - 2028 Figure 6. Heat demand map of Burghead. Figure 7. Heat demand map of Lossiemouth. Page 129
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40 LHEES Strategy 2023 - 2028 6.1 Technology opportunities Several technologies and measures exist which can help to reduce energy consumption and decarbonise heat in buildings (Table 13). 6. Opportunities and challenges Insulation All types of insulation reduce heat and energy loss: Cavity wall and solid wall; Floor, roof and loft; Draught proofing; Double and triple glazing; Energy efficient doors; and Tanks, pipes, and radiators. Heat networks Bioplant maltings and Supplies heat (or cooling) to buildings by taking excess heat from a central source. Supplying multiple buildings removes the need for individual boilers or heaters. Sources of excess heat include combined heat & power plants, industrial operations, wastewater treatment works, mine water, landfill sites. Air and ground source heat pumps Transfers heat from air, ground or water outside of a building to radiators, underfloor heating and hot water cylinders. Heat is absorbed into a thermal transfer fluid, passed through a heat exchanger into the pump. This raises the temperature of the fluid and transfers heat to water. New energy sources Expanding existing electricity supply to meet demand. Exploring new energy options such as hydrogen.. Energy storage It is expected that due to the energy transition, the price of energy storage will increase. Thermal storage for buildings ensures efficient operation of zero emission heating systems. It usually consists of hot water storage tanks or compact heat batteries. Thermal storage may also support heat networks. Other Other decarbonised heat sources include infra- red/electric heaters combined with solar photovoltaic panels; and solar water heating.. Table 13. Technological opportunities applicable to Moray. Page 130
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6.2 Other opportunities 6.2.1 Just Transition Local Heat and Energy Efficiency Strategies focus on decarbonising heat in buildings and improving energy efficiency. However, it is important to consider the broader context of the energy transition when developing and implementing the strategy. The transition to a new energy system presents an economic opportunity, as energy prices are a major factor in the cost of doing business. A just energy transition will create significant supply chain opportunities which will require new jobs, skills, and knowledge transfer. This could have substantial benefits for Moray, for example: If, on average, two measures are undertaken by all homes below EPC B, this would equal approximately 5,300 interventions per year in Moray from now to 2040. The opportunity for internalising even 10% of Moray’s energy spend could equal an additional £9.5m per year46 circulating the Moray economy, building community wealth. For every 1% reduction in energy demand through energy efficiency measures, Moray’s energy cost would reduce by ~£1m per year. As part of this opportunity, by collaborating with neighbouring local authorities on common areas of interest, the Council and relevant stakeholders can optimise the use of limited resources and achieve mutually beneficial outcomes for the entire north of Scotland. 6.2.2 Wider energy planning This strategy acknowledges that energy is not limited by council boundaries or property ownership. There is a need to balance the use of energy for heating with other priorities, such as wider regional plans, local industrial uses and electric vehicle charging. It will therefore provide direction and help inform wider energy planning with stakeholders and through the development of Moray's Local Development Plan (LDP) 2027. This LHEES will provide material considerations for the LDP to identify local policy priorities and heat network zones. To leverage commercial investment in the just transition, wider energy planning is essential. Ensuring that this strategy and delivery plan feed into this wider planning will help further this aim. 41LHEES Strategy 2023 - 2028 46 Based on total final energy consumption for Moray (2019) and an average price per kWh of 27.4 pence (gov.uk) Page 131
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42 LHEES Strategy 2023 - 2028 6.2.3 Stakeholder connections This strategy and future iterations will cover all buildings in Moray. It is critical that all building owners are brought along as part of a just transition. To ensure ongoing success and development, as this LHEES evolves it will be necessary to continually engage and understand stakeholder needs and wants and ensure these are included in future iterations of the strategy. An engagement plan has been created by Changeworks and is included in the delivery plan. New partnerships will be forged to move forward projects in line with the strategy’s vision. Due to the variety of building stock and geographical challenges across Moray, investment and innovative technologies will be required to help meet deliver projects and associated targets. 6.3 Challenges Several challenges must be addressed to ensure the success of this strategy and delivery plan. Short-term actions will focus on collaborative solutions to the challenges: Uncertainty of measures: using proven technologies as the basis for heat decarbonisation; Energy performance certificates: acknowledging data limitations and ensuring certificates are up to date; Skills and knowledge: understanding concerns and providing information and assistance, identifying skills shortages and taking action to address these; and Ongoing funding and delivery: working with stakeholders, government and the private sector to identify appropriate funding and delivery mechanisms. Some of these challenges make it difficult to achieve robust delivery or have undesired short- and long-term impacts, potentially damaging confidence in the strategy and early actions. Potential impacts, if not addressed, include: Higher energy costs; Increasing or not reducing fuel poverty; Damp/mould; and Interstitial (inter-wall) condensation leading to internal degradation. To address the uncertainty of measures, only those measures with a high likelihood of success and positive impacts will be pursued. A focus will be placed on research and analysis to identify high-certainty building-level measures. Additionally, the Council will raise nationally significant challenges to the Scottish Government to facilitate a coordinated response and action. Page 132
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7.1 Governance This strategy provides a framework for future capital and revenue work to guide Moray's buildings towards achieving net zero targets. LHEES focusses on enhancing energy efficiency and decarbonising heat sources, detailing specific projects to be implemented, monitoring progress, identifying gaps and challenges, and outlining potential solutions. It has been developed to align with existing governance structures; understand cross-cutting opportunities, such as the Local Development Plan, and work with partners to take the strategy forward. Moray’s LHEES will be managed as a project within the Council’s Strategic Planning and Development section, working in partnership with stakeholders across the region. A draft strategy and delivery plan will be presented for the approval by the Council in April 2024. A public consultation was held on the documents before final versions were presented for approval by the Council in August 2024. Thereafter, progress on the strategy will be reported to the Council’s Climate Change Board and annually to the Economic Development and Infrastructure Services Committee. 7.2 Reporting and monitoring To ensure the Council meets the requirements of the Local Heat and Energy Efficiency Strategies (Scotland) Order 2022, the following steps will be taken to report on and monitor Moray’s LHEES and delivery plan. Ongoing monitoring will be crucial to the success of the strategy and delivery plan. This will ensure that key outcomes are met, allowing for continuous improvements to adapt to changing requirements and incorporate new information and data. It will also help to ensure that Moray's LHEES and delivery plan remain dynamic and responsive documents. Significant delivery risks, changes, and achievements will be reported and incorporated into the Council’s annual statutory Public Bodies Climate Change Reporting. Regular progress updates will be reported to the LHEES Steering Group on a quarterly basis. A more formal review will occur every two years. This will include consideration on any new national or local policy and how these might influence this strategy and delivery plan. Furthermore, any new information and data will also be considered. Every 5 years the delivery plan will be reviewed and updated (if appropriate). Significant achievements will be included in the Council’s wider public-facing climate communications and communicated via established partnerships including Moray CAN and Moray Climate Assembly. A series of targets/outcomes to measure success against each LHEES priority are included within the delivery plan. 43LHEES Strategy 2023 - 2028 7. Governance, reporting and monitoring Page 133
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Local Heat and Energy Efficiency Strategy (LHEES) Delivery Plan 2023 - 2028 Appendix 2 Item 9. Page 135
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Acknowledgements This delivery plan was produced by Strategic Planning and Development, Moray Council. Data analysis used to inform its development was conducted by Changeworks and funded by the Scottish Government. Publication date: 13 August 2024 Page 136
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Contents 1. Introduction 2. Delivery Plan 3. Actions 4. Requirements of the Scottish Government 5. List of Actions 6. Stakeholder Engagement 1LHEES Delivery Plan 2023 - 2028 2 3 4 6 9 28 Page 137
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2 LHEES Delivery Plan 2023 - 2028 The unique mix of rural communities and historic towns in Moray presents several challenges in achieving a just transition to a sustainable and climate resilient community. Moray’s Local Heat and Energy Efficiency Strategy (LHEES) sets out to assist this by providing a framework for improving building energy efficiency and decarbonising heat sources. This LHEES Delivery Plan details how Moray Council, in collaboration with key stakeholders, will translate the LHEES priorities into actions. By implementing these actions, we can create a cleaner, healthier, and more economically vibrant Moray for all. The delivery plan is framed around what can be delivered now, given the existing policy and funding landscape, and is likely to be updated over time as the Scottish Government introduces new standards, regulation and delivery programmes, as well as potentially updated requirements, approaches and tools associated with the LHEES process. The actions captured in this delivery plan are in draft, with the requirement for further stages of consultation and agreement over governance, timescales and specific details around completion. This will be carried out in the months following approval by the Council. The finalised delivery plan will then be reviewed and updated by the Council’s Climate Change officers on an annual basis as the policy and funding landscape changes. This first LHEES Delivery Plan incorporates actions with a near-term (5-year) focus, to put crucial steps in place to build to the longer-term goal of net zero, with clearer and more granular long-term steps to be set out in later LHEES iterations once government has a better understanding of local needs. 1. Introduction Page 138
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3LHEES Delivery Plan 2023 - 2028 This delivery plan was developed to provide a platform for delivery of priorities identified within the Moray LHEES Strategy as detailed in Table 1. 2. Delivery Plan 1. Building sustainable and climate resilient communities Table 1. LHEES priorities for Moray. 7. Decarbonising building heat sources 6. Improving the energy efficiency of buildings 5. Tackling fuel poverty and improving health 4. Supporting a wellbeing economy, jobs and skills 3. A just transition for the energy system 2. Maximising knowledge and awareness and ensuring certainty of success It has been developed in collaboration with key stakeholders to ensure a cohesive and considered approach to action across Moray. Actions have been defined across three timescales: immediate (within 6 months), short term (6 months to 2 years) and long term (2-5 years). Funding and capacity to deliver upon actions is an issue for all stakeholders of this delivery plan. Actions which are necessary, but which are presently undeliverable within existing resources, have been highlighted throughout the document. Page 139
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4 LHEES Delivery Plan 2023 - 2028 3. Actions Actions were identified through engagement internally within Moray Council and externally with key stakeholders. These represent the actions which key stakeholders believed were most integral to Moray’s net zero journey. They provide enabling actions for other key programmes of work, such as by providing key resource or funding. They also intend to solve current challenges which have been identified through this LHEES process, such as joining up the many parallel streams of work across the Council, better understanding attitudes towards low carbon or beginning to structure an approach to treat harder to access properties with private owners. Actions within the delivery plan will be updated and amended as projects are identified and feasibility studies are concluded. Many of these actions do not have confirmed funding however it is suggested that this is not a reason to avoid stating actions, but the lack of funding and further support needed from the UK and Scottish governments for their delivery needs must be emphasised and raised if proving a risk to wider decarbonisation. These actions alone will not solve all of the issues we face. Local communities across Moray will need to engage in action, technological advances and adopt positive behavioural change. Public engagement, targeting increased awareness and policy support, will create a more informed and supportive community. It will also drive the changes in individual and collective behaviours needed to reduce carbon emissions and reach net zero. Following this initial publication of a proposed list of actions, a more comprehensive and robust process should be carried out with each of the proposed action owners to: 1. Agree and confirm the action owner: This needs to be with respect to available resource to deliver the action but importantly will need to reflect the owner’s expertise or power to enable delivery. 2. Refine and add further detail to each action: Action owners will need to add specifics to each action such as interim steps required, scope of the action and timeframes or resource needed. 3. Determine risk factor: Introduce a risk factor associated with each action. 4. Confirm timescales and deadlines: Suggested timeframes have been given in this Delivery Plan however it will be essential for the action owner to review this and ensure it is realistic. It may be desirable to make the timeframe more detailed than the three delivery categories given in this plan. Page 140
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5LHEES Delivery Plan 2023 - 2028 In addition to the long list of proposed actions, several major actions have been highlighted below as essential to the viability of Moray’s LHEES: 1. Establish governance arrangements through alignment of actions within upcoming Moray Council Climate Change Strategy and the upcoming Moray-wide Climate Strategy Align relevant internal actions within the Council’s upcoming Climate Change Strategy for quarterly progress reporting to the Climate Change Board, and annual reporting to the Economic Development and Infrastructure Services Committee. External actions should be aligned within the upcoming Moray-wide Climate Strategy, with development led by Moray CAN. In line with other local authorities, a more detailed delivery plan will be produced in 2025 once the action setting process has been undertaken fully and in recognition of any government announcements following publication of the initial LHEES Strategy and Delivery Plan documents. Proposed action owner: Strategic Planning and Development / Moray CAN Timescale: Immediate 2. Highlight funding gap, cost and data limitations Engage with the Scottish Government to report the funding gap of £955m for domestic properties, as identified within the Moray LHEES. This will be based on the anticipated action required which is reported in the Moray LHEES plus taking a wider view of actions which are not captured in relation to buildings with non- traditional construction, non-domestic support needed and cost of renewables e.g. solar PV and battery systems. The Scottish Government and the Energy Saving Trust will also need to support the Council to account for the limitations in the estimated costs output by the Energy Saving Trust’s modelling tool, particularly owing to the rural nature of Moray. The funding gap for the wider electricity and gas network constraints will require support from network operators. The Council is willing to work with network operators to progress electrification of heat projects where the grid is less constrained in the short term, and plan in the other areas as part of a longer- term strategy. Proposed action owner: Strategic Planning and Development Other stakeholders to be included: Scottish Government, Ofgem, utility network operators Timescale: Immediate Page 141
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6 LHEES Delivery Plan 2023 - 2028 Ongoing collaborative efforts, including funding, communications, and strategic support from the Scottish Government, are essential for the successful operation of Moray’s LHEES. These requirements are detailed in Tables 1 to 4. As discussed in Section 1, this delivery plan will be reviewed annually to take account of changes in the policy and funding landscape resulting from consideration of LHEES across Scotland. Early engagement by the Scottish Government with local authorities is encouraged with respect to changes in standards, regulation, delivery programmes and funding. The use of ring-fencing in this area should be considered to ensure that strategic priorities are delivered upon. 4. Requirements of the Scottish Government Table 1. Funding requirements. Requirement Provide a significant increase in funding to support energy efficiency and heat decarbonisation projects and supporting activities (fuel poverty; engagement; data collection, modelling and analysis; funding for community organisations). Moray has over 49,000 buildings, the majority of which will need to be retrofitted. Domestic measures equate to an estimated £22k per dwelling. Provide significant funding for research institutions, local authorities, social landlords, and others to develop studies and Building Information Modelling (BIM) for archetypes. Outcome Greater funding availability and ability to deliver projects. Guidance for each building archetype. Table 2. Knowledge and awareness requirements. Requirement Produce a national communications toolkit to raise awareness of Local Heat and Energy Efficiency Strategies; energy efficiency and heat decarbonisation measures; support and advisory services. Deliver a public communications programme to raise awareness of the support and advisory services available and to encourage home upgrades, to maximise uptake of these schemes. Outcome Improved awareness and behavioural change. Page 142
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7LHEES Delivery Plan 2023 - 2028 Table 3. Research and data requirements. Requirement Encourage use of Building Energy Management Systems and sub-metering by building owners and sharing of data. Develop a sustainable data sharing model and platform. Research the density of new housing/building developments required to support a new heat network. Research how indoor air quality is impacted/improved by energy efficiency and heat decarbonisation measures by: Ensuring indoor air quality and retrofitting building are fully considered in the Clean Air Strategy 2. Agreeing standard methodology for monitoring indoor air quality pre- and post-retrofit, including pilot projects. Developing a framework model to identify how factors impact indoor air quality (e.g. insulation type, air tightness). Convening a task group to identify actions to be undertaken to address issues associated with indoor air pollution. Model heat efficiency in the context of changing workstyles now and in the future. Outcome Greater awareness of building performance. Improved data accessibility and transparency. Improved modelling. An understanding of how risks related to poor indoor air quality can be mitigated to make improved decisions on which building level actions to implement. Greater insight of heat demand. Page 143
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8 LHEES Delivery Plan 2023 - 2028 Table 4. Policy/incentive gap requirements. Requirement Map policies/targets to evidence and tools to provide a timeline of anticipated improvements. Clarify the phrase “as far as reasonably possible” within the context of the Heat in Buildings Strategy. Incentivise and/or further regulate developers to ensure new builds are suitable for decarbonised heating. Work with the Building Research Establishment on energy performance certificate reform to develop an improved metric. Agree a new Energy Efficiency Standard for Social Housing 2 target, aligned to net zero and supporting fuel poverty eradication. Develop policy levers to support short- term mitigation to alleviate current grid capacity pressures. For example, revise the battery storage definition; private wire for heat networks; surplus from private grids/renewables to power local buildings. Continue to support National Planning Framework 4 Policy 19: Development proposals within or adjacent to a Heat Network Zone identified in a Local Development Plan will only be supported where they are designed and constructed to connect to the existing heat network. Provide further clarification on requirements around operation, maintenance, KPIs, obligation to connect, consumer protection and community wealth building aspects (e.g. mandating community shares). Outcome Improved awareness and accessibility to key policies. Improved understanding of targets. New builds which are suitable for net zero. An improved energy performance metric. A revised target. Alleviation of grid pressures and improvement in capacity. Heat networks become standard consideration for developments and existing implementation considerations are addressed. Page 144
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9LHEES Delivery Plan 2023 - 2028 Action Support com m unity- led energy effi ciency and adaptation projects Action owner M oray CAN Description Continue to connect to grant providers, technical assistance, and training opportunities for com m unity groups looking to lead on energy effi ciency and adaptation projects in their local areas. Tim escale Im m ediate Targets/ Outcom es Increased num ber of com m unity-led projects supported, and carbon em issions saved through these projects. Increased com m unity skills and capacity for clim ate action, m easured by workshops attendance or volunteer hours. Deliverable within existing resources? Yes Achieving net zero 4 Adaptation 4 5. List of Actions Ongoing collaborative efforts, including funding, com m unication, and strategic support from the Scottish Governm ent, are essential for the successful operation of M oray’s LHEES. These requirem ents are detailed in Tables 1 to 4. Priority 1: Building sustainable and clim ate resilient com m unities. Priorities Page 145
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10 LHEES Delivery Plan 2023 - 2028 Action Encourage form ation of com m unity energy cooperatives Enhance com m unity resilience within local strategic planning Action owner M oray CAN Strategic Planning & Developm ent Description Encourage the form ation of com m unity energy cooperatives, where residents collectively invest in renewable energy projects. Doing so will enhance com m unity resilience, generate clean energy and em power com m unities econom ically and socially. Integrate clim ate resilience considerations into M oray’s new Local Developm ent Plan. Incorporate green infrastructure, flood resilience m easures, and passive cooling strategies to future-proof buildings and com m unities against the im pacts of clim ate change. Tim escale Short term Short term Targets/ Outcom es Num ber of new com m unity energy cooperatives established, and M W h of renewable energy generated. Investm ent attracted by cooperatives from local residents and organisations. Integration of clim ate resilience m easures in new developm ents. Increased awareness and understanding of clim ate risks and adaptation m easures am ongst local planners and developers. Deliverable within existing resources? No Yes. Achieving net zero 4 4 Adaptation 4 4 Priorities Page 146
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11LHEES Delivery Plan 2023 - 2028 Priority 2. M axim ising knowledge and awareness and ensuring certainty of success Action Im prove knowledge am ongst staff and stakeholders Action owner M oray Council Heads of Service Description Continue to participate in and facilitate access to relevant training sessions, conferences, workshops and other knowledge sharing events between industry, experts, and council offi cers to im prove knowledge on energy effi ciency and heat decarbonisation. Tim escale Im m ediate Targets/ Outcom es Increased participation of staff in training sessions and other knowledge sharing events. Im proved knowledge and understanding of energy effi ciency and heat decarbonisation m easures am ongst all staff which is kept up to date. Developm ent of internal capacity to support LHEES im plem entation effectively. Deliverable within existing resources? Yes M axim ise knowledge and awareness 4 Ensure certainty of success 4 Priorities Page 147
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12 LHEES Delivery Plan 2023 - 2028 Action Undertake education and awareness cam paigns Action owner M oray CAN Description Launch public education cam paigns to raise awareness about the im portance of energy effi ciency and sustainable heating practices. Engage schools, com m unity groups, and local m edia to prom ote behaviour change and em power individuals to take action in their hom es and workplaces. Raise awareness of clim ate change and build capacity for adaptation and m itigation actions. Tim escale Im m ediate Targets/ Outcom es Increased public awareness of clim ate change, energy effi ciency, sustainable heating practices and the need for behavioral change and action. Dem onstrable changes in attitudes and behaviours towards energy conservation and sustainable heating solutions, identified through case studies and surveys. Increased engagem ent in LHEES initiatives and com m unity-led projects. M em bers of the public indicate that they feel em powered to take action in their hom es and workplaces. Deliverable within existing resources? Yes M axim ise knowledge and awareness 4 Ensure certainty of success 4 Priorities Page 148
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13LHEES Delivery Plan 2023 - 2028 Action Ensure retrofitting plans are aligned between Council and Registered Social Landlords Support research on public attitudes towards renewable technologies in M oray Action owner Housing and Property Strategic Planning & Developm ent Description Host and participate in joint m eeting with RSLs to align social housing retrofit plans in the future. Support ongoing research at UHI on local public attitudes towards renewable technologies through facilitating interviews, data sharing and provision of expertise. Tim escale Im m ediate Short term Targets/ Outcom es Consistency and coherence in retrofitting approaches across Council and RSL building stock. Alignm ent of decarbonisation engagem ent approaches to sim ply com m unication and encourage tenant buy-in to sustainable solutions. Publication of research findings on public attitudes towards renewable technologies. Developm ent of recom m endations based on research findings to inform ongoing M oray LHEES strategy. Deliverable within existing resources? Yes Yes M axim ise knowledge and awareness 4 Ensure certainty of success 4 4 Priorities Page 149
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14 LHEES Delivery Plan 2023 - 2028 Action Raise awareness of LHEES in M oray Action owner Strategic Planning & Developm ent M oray CAN Description Undertake engagem ent sessions with the public and businesses as part of the Local Developm ent Plan developm ent process. Conduct deeper engagem ent with com m unity representatives, environm ental groups, and industry experts can provide valuable insights and foster ownership of the strategy am ong diverse stakeholders. Hosting public forum s and workshops to facilitate m eaningful dialogue and increase com m unity buy-in. Tim escale Short term Targets/ Outcom es Increased understanding of public concerns and preferences to guide effective com m unication and engagem ent strategies. Num ber of engagem ent sessions conducted with different groups. Increased understanding of LHEES priorities and actions, and enhanced sense of strategy ownership am ongst stakeholders, m easured by annual pulse survey. Identification of stakeholder concerns and suggestions to inform LHEES developm ent. Deliverable within existing resources? Yes Yes M axim ise knowledge and awareness 4 Ensure certainty of success 4 Priorities Page 150
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15LHEES Delivery Plan 2023 - 2028 Action Identify com m unities and workers m ost im pacted by the energy transition Establish a Just Transition Fund to support affected com m unities and businesses. Prom ote fair work practices and working standards in the renewable energy sector Action owner UHI M oray Scottish Governm ent Scottish Governm ent Description Conduct m apping and assessm ents to understand the specific needs and challenges of com m unities and workers reliant on industries affected by the transition. Provide a dedicated funding program m e in M oray to support infrastructure upgrades, econom ic diversification initiatives, and com m unity-led projects. Facilitate the developm ent of industry-wide agreem ents on fair wages, trade union recognition, worker safety, and training opportunities in the renewable energy sector. Tim escale Im m ediate Short term Long term Targets/ Outcom es Identify com m unities and workers m ost im pacted by the transition, with detailed profiles and needs assessm ents. Increased investm ent in im pacted com m unities, job creation, reduced reliance on fossil fuels for energy needs, and diversification of local econom ies Im proved labour standards and working conditions in the renewable energy sector. W orkers are incentivised to m ake the transition. Deliverable within existing resources? Yes ? ? A just transition 4 4 4 Priority 3. A just transition for the energy system Priorities Page 151
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16 LHEES Delivery Plan 2023 - 2028 Action Encourage green startups and diversification of existing businesses Provide dedicated support to encourage green business developm ent in M oray Action owner Business Gateway M oray Business Gateway M oray Description Provide business support to new start-ups and existing businesses in M oray. Provide a program m e of support to green start-ups and existing businesses, delivering opportunities for collaboration and upskilling. Adm inister green start-up and equipm ent grants for areas specified as required in M oray. Tim escale Short term Long term Targets/ Outcom es Increased num ber of green startups launched and established businesses expanding. Creation of new green jobs in M oray. Attraction of investm ent in green businesses and innovations. Deliverable within existing resources? Yes No Skills and jobs 4 4 Finance 4 4 Com m unity wealth building 4 4 Priority 4. Supporting a wellbeing econom y, jobs and skills Priorities Page 152
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17LHEES Delivery Plan 2023 - 2028 Priorities Action Im prove awareness of job and learning opportunities associated with LHEES Action owner M oray Local Em ployability Partnership/ DYW Description W ork with em ployers and industry associations to connect individuals with green job and learning opportunities. Tim escale Long term Targets/ Outcom es Growth in participation in LHEES-related job and learning opportunities. M onitored using enrolm ent figures in relevant courses, apprenticeships, jobs and training initiatives. Im proved em ployer engagem ent. Em ployers are actively involved in prom oting and offering LHEES-related jobs and learning opportunities. Increased awareness of opportunities as surveys dem onstrate im proved understanding and interest in LHEES career paths. Deliverable within existing resources? Yes Skills and jobs 4 Finance Com m unity wealth building Page 153
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18 LHEES Delivery Plan 2023 - 2028 Priorities Action Identify non- dom estic buildings with largest potential energy savings. Im prove building m anagem ent system s. Action owner Strategic Planning & Developm ent Housing & Property Description Analyse building data to identify those with the largest heat dem ands, engage with the building’s owner and propose/support a high- level energy effi ciency analysis. These buildings m ay offer the largest im pact from energy effi ciency im provem ents. Accelerate ongoing works to im prove building m anagem ent system s in all public buildings where appropriate, to m ore accurately m onitor and im prove building perform ance Tim escale Im m ediate Im m ediate Targets/ Outcom es Top 10% of non- dom estic buildings by heat dem and identified and initial engagem ent com pleted. Im provem ent in building energy perform ance in public buildings. Deliverable within existing resources? No No Dom estic properties Non-dom estic properties 4 4 Heritage buildings Priority 5. Tackling fuel poverty and im proving health Page 154
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19LHEES Delivery Plan 2023 - 2028 Priorities Dom estic properties 4 4 4 Non-dom estic properties 4 4 4 Heritage buildings 4 4 Action Conduct ongoing stakeholder engagem ent with gas and energy networks. Align existing investm ent and asset m anagem ent plans with LHEES. Create energy effi ciency im provem ent plans for council owned buildings. Action owner Strategic Planning & Developm ent Housing & Property Housing & Property Description Continually engage with SGN and SSEN to ensure effective strategic planning. Review existing investm ent and asset m anagem ent plans to target energy effi ciency im provem ents of buildings within the Council’s portfolio. Conduct energy effi ciency audits of all relevant council owned buildings and produce im provem ent plans which dem onstrate potential carbon and financial savings. Tim escale Im m ediate Short term Long term Targets/ Outcom es Energy network infrastructure plans are aligned with LHEES plans and priorities. All existing investm ent and asset m anagem ent plans aligned with LHEES objectives. 100% of council owned buildings with energy effi ciency im provem ent plans Deliverable within existing resources? Yes. Yes. No. Page 155
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20 LHEES Delivery Plan 2023 - 2028 Priorities Dom estic properties 4 Non-dom estic properties 4 4 Heritage buildings 4 4 Action Conduct ongoing internal engagem ent within the Council. Understand the decarbonisation plans of large organisations. Action owner Strategic Planning & Developm ent M oray CAN Description Continue to engage with council sections to stream line the approach to delivery of LHEES inform ation and energy reduction strategies. Build upon engagem ent work by identifying and engaging with large organisations which are known to have several properties or a high energy dem and, to understand their decarbonisation plans and any support they m ay require. Tim escale Short term Long term Targets/ Outcom es Increased awareness and understanding of LHEES objectives across all relevant council services, m easured by pulse surveys. Engagem ent evidence report produced which will inform future LHEES iterations. Deliverable within existing resources? Yes. Yes Page 156
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21LHEES Delivery Plan 2023 - 2028 Priorities Dom estic properties 4 4 Non-dom estic properties 4 Heritage buildings 4 Action Develop a fund for initial hom eowner/ private landlord retrofit surveys. Create retrofit and new build living exem plars and showcase to the public and developers. Action owner Scottish Governm ent Strategic Planning & Developm ent Description Develop a fund for initial retrofit surveys which is accessible to all hom eowners and private landlords to rem ove this initial barrier to action. Develop retrofit and new build exem plar buildings as part of the M oray Growth Deal to dem onstrate the potential for fabric retrofit, battery storage, solar PV, insulation, heat pum ps, and other innovative m easures to work effectively. Host showcase events at the buildings as a learning opportunity for the public and developers. Tim escale Short term Long term Targets/ Outcom es Funding secured and initial hom eowner/ private landlord retrofit survey program m e launched. Two exem plar buildings com pleted and showcased to the public and developers. Lessons learned shared to inform future LHEES iterations and national building and planning policy. Deliverable within existing resources? ? Yes. Page 157
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22 LHEES Delivery Plan 2023 - 2028 Priorities Dom estic properties 4 Non-dom estic properties 4 Heritage buildings 4 Action Review and develop heritage buildings and unconventional construction guidance. Action owner Strategic Planning & Developm ent Description Develop user friendly guidance for heritage and unconventional building owners. Consolidate existing resources, explain acceptable im provem ents, and outline available financial support to em power them to navigate energy effi ciency and heat decarbonisation while respecting unique building and site characteristics. Tim escale Long term Targets/ Outcom es Guidance m ade available for owners of heritage and unconventional building owners. Increase in funding applications (and planning applications where applicable), dem onstrating progress in decarbonisation efforts. Deliverable within existing resources? Yes. Page 158
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23LHEES Delivery Plan 2023 - 2028 Action Prom ote energy literacy and behavioural change Strengthen healthcare interventions Increase support for low-incom e households Action owner M oray CAN NHS Gram pian Scottish Governm ent Description Continue to provide education and resources to em power people to use energy m ore effi ciently and m ake inform ed choices about their energy consum ption. Ensure healthcare professionals routinely identify and address fuel poverty as a social determ inant of health. Integrate fuel poverty support into m edical care and social prescribing program m es. Im plem ent targeted grants, benefits, and top-ups to energy bills for those m ost in need. Tim escale Short term Short term Short term Targets/ Outcom es Increased awareness of energy-saving m ethods. Reduced incidence of health problem s associated with cold hom es. Reduce the num ber of households in fuel poverty in line with national targets. Deliverable within existing resources? Yes ? ? Reducing energy costs 4 4 Im proved health outcom es 4 4 Priority 6. Im proving the energy effi ciency of buildings Priorities Page 159
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24 LHEES Delivery Plan 2023 - 2028 Action Advocate for policy and regulatory changes Invest in research and innovation Action owner M oray Council Leader Strategic Planning & Developm ent Description Lobby for stronger UK and Scottish governm ent policies to regulate energy prices, reform the energy m arket, protect vulnerable consum ers, and invest in renewable energy solutions. Develop and test new technologies and solutions as part of the M oray Growth Deal to m ake energy m ore affordable and accessible, particularly for vulnerable groups. Com pile case studies and present findings to Scottish Governm ent. Tim escale Long term Long term Targets/ Outcom es Secure specific policy changes and governm ent funding com m itm ents. Case studies produced highlighting lessons learned from M oray Growth Deal projects. Deliverable within existing resources? Yes. Yes. Reducing energy costs 4 4 Im proved health outcom es 4 4 Priorities Page 160
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25LHEES Delivery Plan 2023 - 2028 Priorities Dom estic properties 4 Non-dom estic properties 4 Heritage buildings 4 4 Action Designate M oray heat network zones Identify existing electricity grid capacity to m eet heat decarbonisation requirem ents Action owner Strategic Planning and Developm ent SSEN Description Designate within local planning policy the heat network zones identified by the M oray LHEES Strategy. Publish statem ent in accordance with Heat Networks (Scotland) Act 2021 and review in no m ore than 5 years from date of publication. Conduct com prehensive assessm ents of grid capacity and potential upgrades needed to support widespread electrification of heating. Tim escale Im m ediate Short term Targets/ Outcom es Heat network zones are designated for M oray, encouraging increased use of this m ethod of heat decarbonisation. Statutory obligations within the Heat Networks (Scotland) Act 2021 are m et. Identified areas with suffi cient capacity for heat decarbonisation requirem ents. Need assessm ent and projected costs of infrastructure upgrades. Deliverable within existing resources? Yes. Yes Priority 7. Decarbonising building heat sources Page 161
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26 LHEES Delivery Plan 2023 - 2028 Priorities Dom estic properties 4 4 4 Non-dom estic properties 4 4 Heritage buildings 4 4 Action Develop and im plem ent financial incentives for on-grid heat pum p installations Targeted support for low-incom e households and vulnerable com m unities Facilitate the developm ent and expansion of heat networks Action owner Scottish Governm ent Scottish Governm ent Scottish Governm ent Description Introduce grants, rebates, or tax breaks to encourage hom eowners and businesses to switch to electric heat pum ps. Provide additional financial assistance and access to inform ation and resources for low-incom e households and vulnerable com m unities transitioning to low-carbon heating solutions. Provide regulatory support, funding, and technical assistance for com m unities to establish or expand district heating networks fuelled by renewable sources. Tim escale Short term Short term Long term Targets/ Outcom es Increased num ber of non-dom estic properties with heat pum ps installed. Reduction in fuel poverty. Increased num ber and capacity of heat networks in M oray. Deliverable within existing resources? ? ? ? Page 162
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27LHEES Delivery Plan 2023 - 2028 Priorities Dom estic properties 4 Non-dom estic properties 4 Heritage buildings 4 Action Facilitate opportunities to advance heat network opportunities in M oray Action owner Strategic Planning and Developm ent Description Collaborate on project developm ent and im plem entation of heat networks in M oray identified within the LHEES, and as designated as heat network zones. Tim escale Long term Targets/ Outcom es Opportunities to develop heat networks in M oray are realised. Deliverable within existing resources? Yes. Page 163
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28 LHEES Delivery Plan 2023 - 2028 6. Stakeholder Engagement Stakeholder engagement is crucial to the success of Moray’s LHEES strategy. Through- out the strategy development process, the Council has engaged with internal and ex- ternal stakeholders at key stages in line with the LHEES methodology. Stakeholders provided comments and feedback on a draft of the LHEES strategy and delivery plan, and this was used in the creation of the existing versions. Following draft approval by the Council, a 3-week public consultation was held from 25 April to 16 May 2024. Following this consultation, amendments were made where necessary and a final version presented to the Council for approval on 14 August 2024. The Moray LHEES steering group will be expanded to include all agreed action owners within the delivery plan. This group will meet quarterly to update action progress which will then be reported to the Council’s Climate Change Board. Going forward, stakeholder engagement will continue to be necessary as the strategy enters delivery. Changeworks have provided the following stakeholder engagement materials to ensure that compliance with the LHEES methodology is achieved. 6.1 Stakeholder influence mapping An Influence/Interest Matrix has been used to map stakeholders within the Moray area. This provides a clear picture of the level of engagement required for each stakeholder and quickly highlights who the high priority stakeholders are. The following engagement level is a recommended starting point for each tier, based on Zero Waste Scotland/Arup LHEES guidance: TIER 1 – Part of Project Steering Group (PSG). Ongoing engagement throughout the project at defined workshops e.g. identifying priorities and for delivery. Specific engagement plans developed as required. TIER 2 – Participate in workshops and engage with the project at key milestones (if required). Potentially one-to-one contact during data collection stage and one-to-one interviews to be held with these stakeholders to gain further insight and understanding of priorities and delivery contributions. TIER 3 and 4 – Potentially participate in workshops and engage with the project at key milestones (ad hoc basis e.g. delivery planning). Receive a direct invite to public consultation. Page 164
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Figure 1 indicates there are 20 tier 1 stakeholders highlighted. Figure 1. Tier 1 influence mapping to date. An engagement plan is required to detail activities for specific stakeholders to track engagement, where this is key to the LHEES strategy/development (e.g. for some Tier 1 stakeholders or a specific heat network project). The LHEES methodology (section 3.1.2) specifies that the Engagement Plan should cover the following aspects: Purpose of engagement Frequency of engagement Type of information required Stakeholder’s priorities, interest and expectations for LHEES Level of involvement with LHEES delivery 6.2 Key groupings and associated engagement actions Each engagement group has been categorised based on similarities in their interest relating to LHEES. For each grouping, key questions and outcomes are discussed, alongside the planned engagement strategy. 1. Local authorities Key stakeholders include: Aberdeenshire Council Aberdeen City Council The Highland Council 29LHEES Delivery Plan 2023 - 2028 Page 165
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30 LHEES Delivery Plan 2023 - 2028 The joint procurement strategy agreed between Moray, Aberdeenshire, Highland, and Aberdeen City councils is intended to clearly outline the procurement and commercial priorities from 2023 to 2026 for the partners to the Commercial and Procurement Shared Service, taking account of the local ambitions and priorities for each partner. This provides a strong opportunity for collaboration and alignment of approach across the four partner local authorities and has potential to contribute to meeting each local authority’s LHEES targets. Actions: Develop a list of existing programmes of works developed under this framework. Explore potential avenues for expansion of these works. Review written LHEES of each LA and earmark areas for collaboration / investigation, many are still at draft stage and have potential for updates. Set up working group for partners in the strategy, building on existing LHEES governance and oversight group meetings currently taking place. Changeworks can provide LHEES contact details for Aberdeenshire, Aberdeen City Council and Highland Council and facilitate kick off meeting. Set up regular working group linked to LHEES; define aims / outcomes and schedule meeting times. 2. RSLs and housing development groups Key stakeholders include: Moray Council Langstane Housing Association Grampian Housing Association Osprey Housing Association Tulloch Homes (Osprey Housing Association) Springfield Properties Engagement with RSLs has started with a series of meetings held with individual housing associations, see notes below. This has primarily focussed on: Stock condition data Funding streams Planned pipeline of work Page 166
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Osprey Housing Association – project pipeline New build projects: 30 units in Buckie, 1-4 bed (houses / bungalows mix), ASHP – Mitsubishi is their preferred supplier of heat pumps. Kinnedder street, Lossiemouth – 8 units, 1-4 bedrooms, ASHP. Hopeman - 4 cottage style flats, ASHP. Potential project in Elgin town centre for NHS key worker flats, 20 units, design TBC Construction developed under section 75 requirements; Osprey is content with this niche as it works for the population density in the area. However there is less control over certain design aspects. Retrofit projects: 559 properties, 443 gas fed, 109 heat pump, 7 oil based. Electric storage heaters have been replaced with ASHPs . Shaw Place and Pinefield Crescent, Elgin, ex MOD housing - CWI extract and refill - approx. 100 properties. This stock type may also need under floor insulation too if the minimum standard of the SHNZHS is introduced. Additional 70-80 properties which are 50 years old and requiring loft top up Current development strategy: Existing relationship with Tulloch Homes to develop properties based on a minimum performance specification set out by Osprey. Oil boilers will be replaced with ASHP as they come to end of life, have been doing this for at least 2 years across Aberdeenshire and Moray. No decision on gas transition due to SHNZS/HiBS guidance not being confirmed. Barriers / constraints / opportunities: Challenges with contractor competency and general poor project management/communication. Expressed concern with larger contracts, there is less organisation and transparency about what is going on on-site, through work with Everwarm it was not clear when works were scheduled for certain properties. As a trial, Osprey are going to pilot smaller contracts with local contracts to test for improvements on communication and installations. SHNZS / EESSH 2 transition. 31LHEES Delivery Plan 2023 - 2028 Page 167
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32 LHEES Delivery Plan 2023 - 2028 Grampian Housing Association – project pipeline 300 properties require new heat pumps. As Grampian Housing Association were early adopters, these properties do not meet the criteria for match funding with replacement costs around £8k. These properties are in a coastal area with high corrosion, contributing to some faster degradation. Recently installed and commissioned a small communal heat pump system replaced 20 individual boilers in Turriff. There is potential scope to replicate this in properties on Turner Street Court in Keith. New build projects: Developed in collaboration with volume house builders Barratt Homes and Springfield. Currently ASHPs installed as standard design led by developers. These developers and contracted to offer a percentage of properties as social housing which are purchased by Grampian HA. Current development strategy: Investigating potential to change heating to storage heaters + DHW cylinders. Points raised regarding connection incentives potentially impeding heat for new build stock. Grampian Housing Association carried out some pilot project work investigating infrared ceiling film in conjunction with PV and batteries where property type allowed. Findings overall were inconclusive to develop strategy further. Barriers / constraints / opportunities: Highlighted significant opportunities of using waste heat resources around Moray, distilleries of particular interest. It was noted that any network developed with distilleries are subject to business success of the distilleries and are at risk should the company go out of business. Unclear who would provide heat to properties in this scenario and what consumer protection safeguarding will be in place. Raising awareness of the significant challenge that should be highlighted within the LHEES and to ScotGov around replacement of old heat pumps and a lack of funding to do this. Actions: Investigate working group development with regular meetings for RSLs operating in the area Develop briefing for what Moray’s role will be in this group moving forward. Is there scope to develop a shared contractor / consultant framework to accelerate retrofit in the local area? During meetings, the aim is to understand key priorities, strategies and targets for the organisation. Where do these align with LHEES? Are there further opportunities for alignment in the future? Page 168
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3. Partnership organisations Key stakeholders include: Hub North Moray CAN University of the Highlands and Islands Moray Trade Unions Council Partnership organisations should be used by local authorities as they can provide support on collaborative projects between the public sector, local government, industry and academia. Using their contacts and bringing relevant stakeholders together to discuss LHEES proposals will be key in the transition from strategy documents to delivering projects across Moray. Actions: Obtain consultation response from Hub North on finalised LHEES. Discuss Hub North’s continued role in the shift from LHEES writing to delivery. Support ongoing research of relevance at the University of the Highlands and Islands, facilitating access to data and resources where appropriate. Provide regular progress updates to Moray CAN and seek feedback from expert advisory group where appropriate. Engage with Moray Trade Unions Council at key stages of project development. 4. Utility companies Key stakeholders include: SSEN SGN To understand the opportunities and constraints across Strategic Zones and Delivery Areas, engagement and collaboration with DNOs and local utility companies (including existing district heating networks) is essential. Input and data from utility companies should build a picture of opportunities, constraints, challenges and any need for further discussion and input from the utility companies. 33LHEES Delivery Plan 2023 - 2028 Page 169
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34 LHEES Delivery Plan 2023 - 2028 Actions: Investigate how Moray can use SSEN’s new LENZA tool to highlight known areas of constraints and/or capacity (to support LHEES demand led approach). Overlay these areas with LHEES data work to build a picture of critical areas for infrastructure upgrade. Set out process for grid upgrade works and highlight the practical impacts of this on LHEES planning Develop understanding of planned electricity network upgrades. Explore how this may impact LHEES Delivery Plans or shape future iterations. DNOs strategic priority areas / focus in the short-, medium- and long-term. Develop process for information sharing between the council and DNO. Is there an opportunity for the council to influence upgrade plans to suit LHEES or vice versa. Gain an understanding of whether there are any DNO (SSEN) low carbon energy projects, pilots or feasibility studies. 5. Heat network development Key stakeholders (for category 1 heat network) include: Moray Council HQ Moray Leisure Centre Elgin Academy Elgin High School Elgin Town Hall Elgin Library Elgin Sheriff Court UHI Moray Dr Gray’s Hospital Moray Council will focus on developing plans in the Elgin area initially. Actions: Develop finalised list of relevant stakeholders including community groups. Commission feasibility study including technological and economic appraisal of the available options taking local development plans into account. Set out actions and planned timeline based on the feasibility study. Engage the Scottish Government regarding heat network funding options. Run community engagement session to disseminate plans. Page 170
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Appendix 3 MORAY LHEES STRATEGY AND DELIVERY PLAN PUBLIC CONSULTATION RESPONSES TO QUESTIONS Question 1. What are your views on the priorities underpinning the Moray LHEES Strategy? Response 1: [skipped question] Response 2: Priority 3: A Just Transition for the Energy System: If Moray’s LHEES resulted in the mass installation of direct electric heating systems, this would not be consistent with Priority 3, which aims to ensure all communities experience a just transition. A GSHP is between 300% and 400% efficient, producing three to four units of heat for every unit of electricity consumed (compared to air source heat pumps (ASHP), which are 250% - 300% efficient and direct electric systems, which are only 100% efficient). This greater efficiency has a demonstrable impact on household bills and wider system costs. Where [redacted] has replaced inefficient direct electric systems across three tower blocks in 273 flats in Thurrock with GSHPs on an SGL, electricity bills have been reduced by 66%. Additionally, if direct electric heaters were widely deployed, it would require additional generating capacity and grid infrastructure; this could create additional systems costs of £315 billion up to 2050. Furthermore, Independent research from Element Energy shows that GSHPs consume around 40% less electricity than ASHPs and around 70% less than traditional electric heaters. As such, the large-scale deployment of SGLs can deliver substantial reductions in overall electricity consumption. As illustrated in Figure 1 the higher efficiencies of GSHPs relative to ASHPs show significant electricity savings are available if GSHPs are installed widely. If GSHPs were installed in 100% of UK homes, this would deliver an energy saving roughly equal to the expected annual generation of Hinkley Point C. In a more realistic scenario where the deployment of GSHPs increases from 15% of the heat pump market to 38%, then the country could save 6.4TWh per year in 2050 – enough electricity for 2.2million homes. Item 9. Page 171
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Appendix 3 Source: Element Energy Low Carbon Heat Study. Priority 5: Improving the Energy Efficiency of Buildings: Whilst [redacted] would naturally recommend cost-effective insulation measures, if not already done, to be taken at the same time as heat pump installation, we are concerned that Moray’s LHEES has taken the view that fabric first is always the best first option. Due to their high levels of efficiency, GSHPs can deliver significantly higher reductions in energy consumption than insulation alone. Our own calculations below in Figure 2, based on HM Government research on the impacts of insulation on fuel consumption, show that, on average, loft and cavity wall insulation reduces heat-related energy consumption by only around 10%. Once a home’s gas boiler has been replaced by a heat pump, reducing the energy consumption by around 2/3rds, the insulation is, in effect, only providing a 3% reduction on the original heating-related energy consumption of the building. Heat pumps have major potential to drastically cut energy and carbon, but we have a mountain to climb in reaching the required deployment numbers if a rigidly fabric-first approach is taken, which the Heat in Buildings Strategy is encouraging LHEES to take. Page 172
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Appendix 3 Source: [Redacted] analysis and DECC (2010) National Energy Efficiency Data Framework Furthermore, there is a common misconception that heat pumps are not suitable for heritage buildings due to their high heat demand and because they cannot be easily well insulated, most commonly because the building is listed or historic. [Redacted] has already installed GSHPs at a number of historic buildings, such as a grade II listed farmhouse where an old gas boiler was replaced with a highly efficient water source system by sinking pond mats in the lake, with no visual impact on the exterior of the building and a converted 125-year-old church in Fountainbridge, Edinburgh. More case studies can be found [Redacted]. Of course, careful consideration needs to be given to heat loss calculations, the practicalities of installing sufficient emitters to meet the heat loss and the flow temperature that is going to be necessary to supply those emitters at the required output. There is no one-size-fits-all approach for historic buildings; however, one approach which can be taken is by combining different types of heat emitter in the same area, for example, if underfloor heating is installed but the calculations indicate an output shortfall, rather than further increasing the flow temperature to the underfloor heating it is perfectly possible to fit a few radiators in the same room. Priority 6: Tackling fuel poverty: Fuel poverty is a significant issue in Moray, with over 31% of households in fuel poverty and 18% in extreme fuel poverty. These properties should, therefore, be a priority for the most efficient form of heating, GSHPs. Research by Element Energy demonstrates that deploying GSHPs through an SGL model - with the capital costs of SGLs removed from upfront costs to a householder and replaced with a monthly network fee - can reduce the costs to the householder below that of an ASHP, both on an upfront and an annualised basis. As Figure 3 shows, installing SGLs instead of ASHPs leads to annualised cost savings of £115 per year in a 3-bed semi-detached house, and annualised cost savings of £290 per year in a 3-bed terraced house. Page 173
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Appendix 3 Source: Element Energy Low Carbon Heat Study Without SGLs, the delivery of affordable, clean heat to all will be harder to achieve as there are a number of properties, such as tenements, that are not suitable for individual heat pumps. Therefore, direct electric heating systems are one of the few options left for these properties. Given that GSHPs are reducing bills in flats that previously used traditional electric heaters by up to 66%, GSHPs deployed on an SGL are the most affordable heating option available to these properties and provide the most economic option for the 19.6% of Scottish households in fuel poverty and the 41% of households using electric heating who are in fuel poverty. Priority 7: Decarbonising building heat sources: Within the wider decarbonisation of heat challenge, it’s increasingly clear that GSHPs will play a major role. The Climate Change Committee’s (CCC) sixth budget suggested 5.3 million homes could be heated by GSHPs by 2050, whilst National Grid’s 2023 Future Energy Scenarios estimates almost nine million8. The industry is of the opinion that GSHP deployment will be primarily done via SGLs for reasons of cost and practicality. It is therefore concerning that Moray’s LHEES has stated that heat networks are only suitable in areas with large anchor loads, suggesting a preference towards traditional central plant or waste heat networks that require high heat loads to be economically viable. SGLs are classed as heat networks via Scottish and UK legislation through the Heat Network (Scotland) Act 2021 and the Energy Act 2023, respectively. This area-based approach sees multiple homes, each with its own GSHP, connecting to an SGL installed under the street. This achieves significant economies of scale (estimated 30% cost reduction) compared to individual ground loops and means millions more homes, from terraces to tenements to high-rise tower blocks, particularly those without the space for external ASHPs, could access the most energy- efficient heating technology. This type of ‘ambient’ heat network is economically viable at much lower levels of heat density than traditional district heat networks as it doesn’t require the production and transportation of heat and, therefore, doesn’t suffer from heat losses. Deploying GSHPs on an SGL means the two major barriers to GSHPs (additional upfront cost and space requirements) are removed, as the ground array is financed privately and installed under the public highway. This technology can operate on networks as small as two houses to multiple blocks of flats and is ideally suited for sections of the city that cannot draw on the waste heat of a data centre or an area that does not have the anchor load for a traditional central plant heat network. Additionally, unlike a traditional heat network, [Redacted] SGLs ensure consumer protection as the building owner is free Page 174
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Appendix 3 to disconnect from the SGL if they so wish, whilst the building resident can take advantage of billing independence, something not available via traditional networks. In order to ensure consumer choice is protected, it is critical that Moray Council considers SGLs within the development of its prospective heat network zones. We would, therefore, encourage the council to include SGLs as a possible heat network within the LHEES and to work with the SGL industry to identify areas that could be more suitable for SGLs. This would include lower heat-dense areas, sections of the county with high densities of tenements, areas with significant physical barriers that make large-scale heat networks more difficult, and areas without any waste for use in a traditional heat network. To be clear, [Redacted] is not pressing for the council to redraw the existing proposed heat network zones, merely ensuring equal access to develop networks to a variety of heat network technologies and therefore allowing a competitive process to deliver the best solution for each area that has been placed in a heat network zone. Response 3: I think the priorities of the strategy are very welcome. If we are to achieve a just transition, these are exactly the priorities that I expect to see my representatives pursuing, not only in this publication but across all of their work. Response 4: [skipped question] Response 5: [skipped question] Question 2. Do you think that any of these priorities should be removed or changed? If so, please provide comments. Response 1: Just Transition The term ‘Just Transition’ was first used by North American trade unionists to describe a worker-led transition away from highly polluting industries. The Scottish Trades Union Congress (STUC) has defined a Just Transition as “workers organising against environmental harm.” In contrast, the Scottish Government currently favours a top-down approach in which power and decision-making is largely outsourced to external consultancies, big business, and private investment firms. The Just Transition Commission recently highlighted that this approach is failing to deliver a Just Transition. Moray Council’s LHEES should be amended better to reflect the original meaning of ‘Just Transition’. There should be mechanisms for front-line workers (particularly trade union members) in construction, energy, skills training, housing and other relevant sectors to develop plans and actions to meet the goals outlined in the LHEES. This should include Moray Council promoting ScotGov Fair Work principles to local employers, involving Page 175
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Appendix 3 trades unions in decarbonisation plans and actions, and could include local sector-wide or cross-sector Workers’ Assemblies. Trade unions should also be involved in the decarbonisation plans for workplaces, as the workers in those workplaces have particular understanding of the needs, limitations and opportunities present in their work buildings. Municipal public ownership In order to achieve a Just Transition and maximise public benefit, key infrastructure and services should be developed and maintained in municipal public ownership. This should include energy generation and storage, district heat networks, and a municipally owned home retrofit service. Home retrofit in particular is not being developed at the required scale and pace in the private sector. Failing to develop local home retrofit enterprise, and relying on contractors from other regions, will result in a major transfer of wealth from Moray to those other localities. While the strategy does support community-owned energy generation, this tends to favour wealthier members of a community who can afford to buy community shares. Publicly owned energy by contrast would be owned by everyone in Moray regardless of wealth, and should be one of the aims of the strategy. Training for home retrofit The strategy rightly identifies UHI Moray as the key source of local training. UHI Moray is, however, facing cuts of 25% to both lecturers and support staff. The proposed cuts will hit Construction, STEM subjects, Business & Accounting and other subjects essential for decarbonising buildings. The current Just Transition research exercise at UHI Moray has been hampered by staff being unsure whether they will still have a job after July of this year. Moray Council and councillors must support calls for ScotGov cuts to UHI Moray to be halted and reversed. Hydrogen for home heating There are significant concerns about hydrogen for home heating, both from a cost and safety perspective. A recent review of independent studies (i.e. those not funded by the gas or electricity industries) found 54 independent studies concluding that 100% hydrogen is not suitable for home heating, and no studies finding to the contrary. While new evidence may change this, any evidence provided by Scottish Gas Networks should be supported by fully independent evidence. SGN is a private company with significant interest in maintaining the value of its assets for the private benefit of its shareholders. The safety aspect is particularly concerning to trades unions (including the Fire Brigades Union) due to the increased explosivity of hydrogen compared with natural gas. Hydrogen is also expected to be far more expensive compared with electricity when used for home heating, so over-reliance on hydrogen is likely to increase local fuel poverty based on current evidence. Heat pump running costs We are also concerned that the running costs for heat pumps can be extremely high at current electricity prices, even with proper insulation. Reform of the electricity market, including increased price regulation and public ownership of energy generation and transmission, must be carried out in order to make heat pumps and affordable option. Moray Council should lobby the UK Government to carry this out. Response 2: Page 176
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Appendix 3 Please see response to Question 1. Response 3: [skipped question] Response 4: [skipped question] Response 5: [skipped question] Question 3. What are your views on the actions set out in the Moray LHEES Delivery Plan? Response 1: [skipped question] Response 2: [Redacted] welcomes the action that aims to enhance community resilience within local strategic planning with passive cooling strategies to future-proof buildings and communities against the impacts of climate change. As summer temperatures increase, GSHPs can provide ‘passive cooling’ for whole streets or entire tower blocks and tenements. This can be done without actively using the heat pump itself, simply using the cooler temperature of the ground in comparison to the air. This approach produces significantly fewer emissions compared to traditional air conditioning. Passive cooling uses considerably less electricity than active or full air-conditioning. A 200W [Redacted] passive cooling system with an average cooling period of 10.4 hours a day, consumes an average of 2.1kWh a day. This would emit 431g of CO2 compared to 1,400g of CO2 each day for an air conditioning unit – 3.3 times higher than the passive cooling system. Improving knowledge amongst staff and stakeholders is an important action that we welcome. Indeed, [Redacted], the wider SGL industry and the Ground Source Heat Pump Association are well-placed to improve council staff knowledge and help identify areas that could be more suitable for SGLs within Moray. As an action, conducting ongoing stakeholder engagement with gas and energy networks is important. Indeed, heat electrification means the decommissioning of the gas grid and with over 30,000 properties in Moray on the gas grid; serious consideration needs to be given to its decommissioning. Gas will no longer have a role to play in heating, signalling clearly that hydrogen will not be suitable for all but a small number of properties. Local and national analysis is therefore needed to determine this impact. This should examine three key areas: Page 177
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Appendix 3 1. Impact of disconnections: As the number of buildings connected to the gas grid reduces, gas network charges would need to increase by over three times. Some customers, such as renters, who cannot switch, will be particularly exposed. Analysis of the impact this will have and possible remedies is needed. 2. Funding decommissioning: Despite modelling that decommissioning the gas network could cost £25billion between 2025 - 2050, no funding has been put in place by either the Government or the privately owned gas networks. Consideration of possible joint public and private funding needs to be undertaken. 3. Stranded assets: Gas infrastructure investments are made on the basis of 45-year assets' depreciation time. Meaning the public, either via bills or taxation, could be paying for gas assets installed today in 2069 for what will effectively be a stranded asset. Examination of how the Government allocates the costs and risks associated with stranded gas infrastructure is needed. Response 3: [skipped question] Response 4: [skipped question] Response 5: [skipped question] Question 4. Do you think that any of these actions should be removed or changed? If so, please provide comments. Response 1: Resourcing The LHEES calculates a cost of £1.1bn to decarbonise all dwellings in Moray (>49k dwellings at £22k per dwelling), and workplaces/ municipal buildings are presumably additional to that. The Strategy says there is currently a £955m funding gap for domestic properties. In order for this to be more than a paper exercise, Moray Council and councillors must demand major tax and funding reform from both the Scottish and UK Governments. The STUC has, for example, shown how ScotGov could raise an additional £3.7bn per year using existing powers. Without major increases in the level of resourcing, the LHEES will not be achieved and Moray will not reach Net Zero. It is imperative that decarbonisation be achieved, and that the cost be born by those most able to pay, not be loaded onto lower income households. Fair Work Page 15 of the Delivery Strategy (Priority 3 ‘Just Transition’, Action 3 ‘Promote Fair Work practices and working standards in the renewable energy sector’) – this action makes no Page 178
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Appendix 3 mention of trade union recognition, and should be amended. Trade union recognition is essential to achieve fair work. There is currently no trade union recognition in (for example) offshore wind, meaning offshore oil & gas workers would be required to transition from unionised workplaces to non-unionised ones. This is not a Just Transition. Response 2: [skipped question]. Response 3: [skipped question] Response 4: [skipped question] Response 5: [skipped question] Question 5. Do you have any other comments regarding the Moray LHEES Strategy and Delivery Plan? Response 1: [skipped question] Response 2: Whilst not unique to Moray, an overarching concern we have with the LHEES methodology is that it grades different property types according to their priority for decarbonisation. This has placed flats and properties without a wet heating system, i.e. those that have direct electric or night storage heating systems, as a lower priority and, therefore, as being the least suitable for heat pumps. [Redacted] has extensive experience in installing GSHPs on SGLs in these property types and has installed GSHPs on SGLs in over 30 blocks of flats, encompassing over 1,000 flats since 2017. Given over 3,000 households in Moray are flats, a significant proportion of which are likely to be heated by direct electric heating systems; these buildings should be a priority for heat pump deployment rather than being categorised as some of the properties least suited to heat pump installation. Response 3: Page 179
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Appendix 3 [skipped question] Response 4: [skipped question]. Response 5: [skipped question]. Page 180
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REPORT TO: MORAY COUNCIL ON 13 AUGUST 2024 SUBJECT: LED REPLACEMENT PROGRAMME CORPORATE BUILDINGS BY: DEPUTE CHIEF EXECUTIVE (ECONOMY, ENVIRONMENT AND FINANCE) 1. REASON FOR REPORT 1.1 This report outlines the proposed plan to replace lighting within the Council’s Corporate Estate with Light Emitting Diode (LED) to improve the environment in the property and reduce running costs and seeks approval to delegate authority to the Head of Housing and Property Services and the Chief Financial Officer to approve individual projects on a spend to save basis. 1.2 This report is submitted to Council in terms of Section II of the Council's Scheme of Administration relating to matters excluded from delegation to Committees. 2. RECOMMENDATION 2.1 It is recommended that the Council: i) note the proposed plan to replace lighting in corporate assets; and ii) delegate authority to the Head of Housing and Property Services and Chief Financial Officer to progress projects that meet the Council’s spend to save principles in line with the Council’s standard governance processes including ancillary project management governance. 3. BACKGROUND 3.1 The majority of the Council’s building stock is illuminated by fluorescent lighting. In many cases this lighting is aged, yellowed and provides a poor quality of light for work. 3.2 LED lighting can save between 40% - 60% electricity when compared to fluorescent lighting. There are less maintenance costs as LED bulbs last a lot longer than traditional lighting and additional controls can be added to reduce occasions where lighting remains on in unoccupied space. The recent energy crisis and increased cost of electricity has brought the Council’s energy expenditure into sharp focus. Item 10. Page 181
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3.3 As fluorescent lights contain mercury, they are subject to the Restriction of the Use of Certain Hazardous Substances in Electrical and Electronic Equipment (Amendment) Regulations 2023. This means that fluorescent light bulbs are no longer available. LED alternatives will be available for fluorescent light fittings, however these will also be phased out over the coming years. 3.4 The cost of electricity used in the Council’s buildings in financial year 2023/24 was over £3.5m. Although the cost of electricity is unlikely to continue rising at the pace it has been over recent years, it is very unlikely to fall significantly. Budgetary pressures mean savings should be made wherever possible. 3.5 There are around 100 non-domestic Council properties that will require lighting upgrades. By extrapolating the costs estimated for the buildings that have already been surveyed, the cost of this has a current value in the region of £4.6m. Doing this has the potential to generate approximately £600,000 of recurring annual savings on electricity. 3.6 It is therefore considered that an accelerated programme of upgrading the lighting is needed to generate savings but to also improve the lighting conditions within the Council’s buildings. A review of the Council’s buildings has been undertaken and the 3 highest consuming buildings were identified for further investigation. Work has been undertaken and the table below outlines the sites, projected costs for lighting upgrade and estimated annual savings. Site Estimated Project Cost Estimated Savings Simple Payback period Carbon Saving (KgCO2e) Moray Council Annexe £ 83,317.50 £ 45,873.60 1.8 36,920 Ashgrove Depot £ 106,575.00 £ 20,432.72 5.2 85,774 Moray Council HQ £ 135,786.70 £ 20,992.13 6.5 16,895 3.7 The simple payback periods for these works are noted above for information. Further each project will held to reduce the Council’s carbon emissions with an estimate of the reduction per building provided above Due to the size of potential savings it is therefore proposed that these three projects will be commenced first. Given the reduced frequency of replacing LED lighting compared with fluorescent, further revenue savings will also be achieved and this will be estimated in any detailed project proposal. 3.8 A further building and a car park have been identified as the next stage of the programme. Due to staff capacity and desire to deliver savings early it is being considered that a delivery partner could project manage the delivery of this programme and all other future assets that are identified for an upgrade across a multi-year programme. Any costs associated with this partner/advisor would be assessed within the spend to save assessment outlined below. Page 182
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3.9 In order for a property to receive an upgrade, it is intended that a spend to save assessment is undertaken on the project before implementation. The process will assess all costs of delivery including any professional/project support along with borrowing costs against the savings generated from the project and the life expectancy of the lights. If within this assessment it is deemed that the project will meet the spend to save criteria of the Council at the time, it is proposed that delegation is provided to the Head of Housing and Property Services and Chief Financial Officer to agree and instruct the spend, subject to completion of appropriate ancillary project governance in terms of the Council’s Project Management Governance Policy. Any projects which do not come under this threshold will not be progressed in isolation. They might be progressed as part of a wider upgrade of a property if it is deemed appropriate. Any property which does not receive an upgrade will be reviewed on completion of the programme. 4 SUMMARY OF IMPLICATIONS (a) Corporate Plan and 10 Year Plan (Local Outcomes Improvement Plan (LOIP) This report supports the aims of the Corporate Plan of a financially stable Council. (b) Policy and Legal The project will support the Council’s climate change route map and Climate Change Strategy. (c) Financial Implications If all buildings are upgraded the total cost of investment could be in the region of £4.6m but generate savings in the region of £600,000 per annum. Each individual building will be assessed and will only progress if the project meets the spend to save criteria. Any projects approved under this approach will be subject to the usual reporting/monitoring arrangements for capital budgets and will deliver a positive net revenue benefit in addition to meeting the cost of borrowing. (d) Risk Implications If the Council does not progress with this programme the following risks would materialise: i) Continued high revenue costs both energy consumption and maintenance. ii) Lack of progression to net zero. iii) Reputational damage if the Council does not progress towards net zero. iv) Poor lighting conditions for working and learning. (e) Staffing Implications Each proposal will be assessed against spend to save principles and this will include the cost of professional support to manage and deliver. If internal staff resource required to delivery this will delay project and potentially affect other energy management projects. Page 183
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(f) Property These are set out in the report. (g) Equalities/Socio Economic Impact No equalities or socio-economic impacts have been identified relating to the recommendations of this report. (h) Climate Change and Biodiversity Impacts The proposals to upgrade lighting to LED will help reduce energy consumption within our buildings and will help the Council reduce its carbon emissions. (i) Consultations The Head of Housing and Property Services, the Chief Financial Officer, the Legal Services Manager, the Equal Opportunities Officer, Asset Manager (Corporate Buildings), and the Democratic Services Manager have been consulted and their comments incorporated in this report as appropriate. 5 CONCLUSIONS 5.1 It is recommended that Council note the proposed plan to upgrade lighting within Council buildings by installing LED light fittings. 5.2 Delegate authority to the Head of Housing and Property Services and Chief Financial Officer to approve projects which will generate savings outlined in paragraph 3.9. Author of Report: Neil Strachan, Property Asset Manager Background Papers: Ref: SPMAN-1285234812-1610 Page 184
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REPORT TO: MORAY COUNCIL ON 13 AUGUST 2024 SUBJECT: PROGRAMME TO INSTALL SOLAR PHOTOVOLTAIC ON COUNCIL ASSETS BY: DEPUTE CHIEF EXECUTIVE (ECONOMY, ENVIRONMENT AND FINANCE) 1. REASON FOR REPORT 1.1 This report outlines the proposed plan to install solar photovoltaic (PV) on Council assets to generate electricity to be used in the buildings. 1.2 This report is submitted to Council in terms of Section II of the Council's Scheme of Administration relating to matters excluded from delegation to Committees. 2. RECOMMENDATION 2.1 It is recommended that the Council: i) note the proposed plan to install solar PV on corporate assets; and ii) delegate authority to the Head of Housing and Property Services and Chief Financial Officer to agree individual projects based on the spend to save principles in line with the Council’s standard governance processes including ancillary project management governance. 3. BACKGROUND 3.1 There is a need to reduce energy costs and carbon emissions from the Council’s property assets. Installing solar PV panels on the Council’s buildings will both reduce scope 2 carbon emissions associated with grid electricity use as well as reduce revenue spend on electricity. There is an opportunity to install solar PV on many of the council’s buildings. Doing so can utilise currently unused roof space. The electricity from the PV would be fed generally directly into the building offsetting the cost and emissions of using electricity supplied via the grid. 3.2 An assessment of the Council’s buildings was undertaken to consider what a pilot project might look like. The highest electricity using buildings were considered. The buildings that were selected to be looked at as a starting Item 11. Page 185
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point are Elgin Library, HQ Annexe and Ashgrove Depot. These have been chosen at this point due to each building’s high consumption and times of use. There are other buildings in the Council’s portfolio that will also be suitable for PV and it is hoped these projects could be replicated elsewhere. 3.3 The PV would be sized in order that the majority of the electricity generated would be consumed on site as this is what is currently economically viable. Systems should be developed with room for expansion as further electrical loads are added to the buildings for example more electric vehicle charging points. 3.4 There are a number of ways that projects like this could be funded through capital provided by the Council; any potential grant funding that becomes available and Power Purchase Agreements (PPA). A PPA is a commercial agreement between the Council and a provider who will share in the capital cost in return for a revenue income from the Council via payment for the electricity used. The PPA can range in the amount of capital funding from 25% up to 100%. The higher the funding provided via the PPA, the higher the end cost of the electricity and therefore reduced revenue saving. 3.5 An initial high-level proposal for Elgin library indicated an installation cost of circa £70,000, with the electricity generated equating to around 13% of the yearly demand, thus generating savings of circa £10,000 per year and avoiding 11,000 KgCO2 per year. The simple payback period being around seven years for this project. If this was extrapolated across the other two buildings, it is estimated that total annual savings could be in the region of £40,000 from the three buildings. 3.6 Further buildings could be developed with solar PV, however factors like roof size, aspect and demand for electricity on site all significantly affect the benefit a panel array could provide. Therefore, at this stage, committing to specific buildings is difficult, however there is a desire to roll the project out across the portfolio. Due to staff capacity and in order to optimise the pace of this programme, it is proposed that a delivery partner would project manage the delivery of this programme and all other assets that are identified for an installation. The costs of this support will be built into the spend to save calculation. 3.7 In order for the property to receive an installation, it is intended that a spend to save assessment is undertaken on the individual building projects before implementation. The process will assess all costs of delivery including any professional/project support along with borrowing costs against the savings generated from the project and the life expectancy of the solar panels. If within this assessment it is deemed that the project will meet the spend to save criteria of the Council at the time, it is proposed that delegation is provided to the Head of Housing and Property Services and Chief Financial Officer to agree and instruct the spend, subject to completion of appropriate ancillary project governance in terms of the Council’s Project Management Governance Policy. Any projects which do not come under this threshold will not be progressed in isolation. They might be progressed as part of a wider upgrade of a property if it is deemed appropriate. Page 186
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4 SUMMARY OF IMPLICATIONS (a) Corporate Plan and 10 Year Plan (Local Outcomes Improvement Plan (LOIP) This report supports the aims of the Corporate Plan of a financially stable Council. (b) Policy and Legal The project will support the Council’s Climate Change Route map and Climate Change Strategy. (c) Financial Implications It is estimated that the initial three buildings would require capital expenditure of circa £250,000 and should generate annual energy savings in the region of £40,000. Any projects approved under this approach will be subject to the usual reporting/monitoring arrangements for capital budgets and will deliver a positive net revenue benefit in addition to covering the cost of borrowing. Each individual building will be assessed and will be required to show a simple payback period of 10 years or less before approval is provided for works to progress. (d) Risk Implications If the Council does not progress with this programme the following risks would materialise: i) Continued high revenue costs both energy consumption and maintenance. ii) Lack of progression to net zero. iii) Reputational damage if the Council does not progress towards net zero. (e) Staffing Implications Each proposal will be assessed against spend to save principles and this will include the cost of professional support to manage and deliver. If internal staff resource required to delivery this will delay project, and savings generation and potentially affect other energy management projects. (f) Property These are set out in the report. (g) Equalities/Socio Economic Impact No equalities or socio-economic impacts have been identified relating to the recommendations of this report. (h) Climate Change and Biodiversity Impacts The proposals to install solar PV arrays on Council property assets will help reduce energy consumption from the national grid within our buildings. Further, the energy generated will be zero carbon emitting and will help the Council reduce its carbon emissions. Page 187
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(i) Consultations The Head of Housing and Property Services, the Chief Financial Officer, the Legal Services Manager, the Equal Opportunities Officer and the Democratic Services Manager have been consulted and their comments incorporated in this report as appropriate. 5. CONCLUSION 5.1 It is recommended that Council note the proposed plan to install solar PV panels on initially 3 buildings with the intention to roll out to other property assets. 5.2 Delegate authority to the Head of Housing and Property Services and Chief Financial Officer to agree individual projects based on the spend to save principles. Author of Report: Neil Strachan, Property Asset Manager Background Papers: Ref: SPMAN-1285234812-1611 Page 188
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REPORT TO: MORAY COUNCIL ON 13 AUGUST 2024 SUBJECT: INFORMATION REPORT: BY ELECTION – WARD 7 – ELGIN SOUTH BY: DEPUTE CHIEF EXECUTIVE (EDUCATION, COMMUNITIES AND ORGANISATIONAL DEVELOPMENT) 1. REASON FOR REPORT 1.1 To inform the Council of the date of the by election in Ward 7, Elgin South following confirmation of Councillor Leadbitter’s intention to resign from 14 August 2024. 1.2 This report is submitted to Committee in terms of Section II (9) of the Council's Scheme of Administration relating to elections. 2. BACKGROUND 2.1 Following the UK Parliamentary Election on 4 July 2024 and the subsequent election of Councillor Graham Leadbitter as the Member of Parliament for the Moray West, Nairn and Strathspey Constituency, Councillor Leadbitter has confirmed his intention to resign his role as Councillor from 14 August 2024. 2.2 As a result of his resignation, a vacancy will arise in Ward 7 – Elgin South and a by election will need to be held to elect a new Councillor for the Ward. 2.3 A by election must be held within 3 months of the resignation. Following discussion between the Returning Officer and the Elections team, it has been agreed that the by election will be held on Thursday 7 November 2024, with the Count being held at 10am on Friday 8 November 2024, venue to be confirmed. 2.4 Any changes to political balance and Outside Body membership will be considered in a further report to Council following the outcome of the by election. Page 189
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3. SUMMARY OF IMPLICATIONS (a) Corporate Plan and 10 Year Plan (Local Outcomes Improvement Plan (LOIP) None (b) Policy and Legal None (c) Financial implications The cost of a by election is met by the Council. (d) Risk Implications None (e) Staffing Implications None (f) Property None (g) Equalities/Socio Economic Impact None (h) Climate Change and Biodiversity Impacts None (i) Consultations The Depute Chief Executive (Education, Communities and Organisational Development) and the Head of Governance, Strategy and Performance have been consulted and any comments have been incorporated into the report. 4. CONCLUSION 4.1 The by election for the vacancy in Ward 7 – Elgin South will take place on Thursday 7 November 2024 with the Count taking place at 10am on Friday 8 November 2024, venue to be confirmed. Author of Report: Tracey Sutherland, Democratic Services Manager Background Papers: Ref: Page 190
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REPORT TO: MORAY COUNCIL ON 13 AUGUST 2024 SUBJECT: INFORMATION REPORT: SUNDRY DEBT WRITE-OFF INFORMATION FOR 2024/2025 BY: DEPUTE CHIEF EXECUTIVE (ECONOMY, ENVIRONMENT AND FINANCE) 1. REASON FOR REPORT 1.1 To inform the Council of the details of Sundry Debt transactions which will be written off during 2024/25, relating to invoices raised up to 31 March 2023. 1.2 This report is submitted to Council in terms of Section III A (2) of the Council's Administrative Scheme relating to the regulation and management of the Council’s finances according to policy. 2. BACKGROUND 2.1 The current Sundry Debt Management Policy, which includes the procedures for sundry debt write off, was approved by Policy and Resources Committee on 1 September 2015 (paragraph 9 of the Minute refers). Sundry debts are defined as all amounts due to the Council with the exception of Housing Rents, Non Domestic Rates and Council Tax. 2.2 The process of writing off debts is an administrative exercise, which removes the debts from the Council’s balance sheet but in practical terms still allows the Council to pursue the debts until they can no longer be legally recovered. Sundry debts are time prescribed 5 years after the last communication of debt recovery. 2.3 The write off process only commences after all other avenues of recovery have been exhausted. The recovery processes are detailed below: • First Council reminder (day 21) • Second Council reminder (day 49) • Referral to external debt collector (day 59) • Further reminder letters • Telephone contact • Doorstep collection (where appropriate) • Salary arrestment (where appropriate) • Court action (where appropriate) Page 191
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2.4 To avoid referring debt to the external debt collector a number of additional actions are taken by Finance staff: • Instalment arrangements are offered when required • Regular debt management information reports are produced for departments to review • Regular meetings are held with departments to discuss potential defaulters. • Regular contact with departments regarding sensitive debt (eg for social care services). Departmental knowledge of their customers can lead to recommendation for write off on economic grounds. The majority of these are invoices for Social Care services. 2.5 A summary of reasons for invoices being written off after the year end are shown in the table below: Reason Value (£) Count % of total value written off % of total number written off Department Recommendation 29,844.35 77 11.02 5.54 Bankrupt/Sequestration 4,378.35 9 1.62 0.65 Gone Away 5,929.01 24 2.19 1.73 External debt collector recommendation 230,600.94 1,280 85.17 92.08 Total 2024/25 270,752.65 1,390 100.00 100.00 Total 2023/24 221,818.27 1,032 2.6 The same invoices have been analysed by service and are shown in the table below. Service Value (£) Count % of Total Value Written Off % of Total Number Written Off Childrens’ Services 39.69 1 0.01 0.07 Economic Growth and Development 14,251.88 9 5.26 0.65 Education 914.00 16 0.34 1.15 Education, Resources and Communities 6,059.06 199 2.24 14.32 Environmental and Commercial 65,825.22 389 24.31 27.99 Financial Services 966.44 3 0.36 0.22 Governance, Strategy and Performance 64.26 2 0.02 0.14 Health and Social Care 51,253.85 308 18.93 22.16 Housing & Property 131,378.25 463 48.52 33.31 Total 270,752.65 1,390 100.00 100.00 Page 192
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2.7 For comparison, the service analysis for 2023/24 is shown below. Service Value (£) Count Movement (£) Movement (Number) Children’s Services +39.69 +1 Economic Growth and Development 34,366.55 16 -20,114.67 -7 Education 221.67 6 +692.33 +1 Education, Resources and Communities 4,524.31 127 +1,534.75 +72 Environmental and Commercial 105,259.73 450 -39.434.51 -61 Financial Services 93.00 1 +873.44 +2 Governance Strategy and performance 132.10 2 -67.84 0 Health and Social Care 45,332.73 332 +5,921.12 -24 Housing and Property 31,888.19 98 +99,490.06 +365 Total 221,818.27 1,032 +48,934.38 +358 3. SUMMARY OF IMPLICATIONS (a) Corporate Plan and 10 Year Plan (Local Outcomes Improvement Plan (LOIP)) None directly relating to this report. (b) Policy and Legal The process employed to establish the debt for write off is prescribed by the Council’s Debt Management Policy. The Council’s Financial Regulations state that the Chief Financial Officer shall act on advice from the Head of Governance, Strategy and Performance, external debt collectors and/or Sheriff Officers when determining debts to be written off for accounting purposes. Details of debts written off shall be retained for credit control purposes and to allow the debts to be pursued at any stage until they become time prescribed. (c) Financial implications The financial implications are shown in paragraphs 2.5 and 2.6 but all debts will continue to be pursued until the Council is legally prevented from doing so. (d) Risk Implications Regular meetings are held with departments in order to identify and contact defaulters quickly to reduce the Council’s exposure to unpaid debt. Any new information received by the Council is used to pursue the debt until legally prescribed. (e) Staffing Implications None directly relating to this report. Page 193
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(f) Property None directly relating to this report. (g) Equalities/Socio Economic Impact None directly relating to this report. (h) Climate Change and Biodiversity Impacts No climate change or biodiversity implications have been determined for this policy. (i) Consultations The process of writing off invoices involves continuous consultation with both the Council’s external debt collection agency and the relevant service departments. 5. CONCLUSION 5.1 All debts will continue to be pursued until they can no longer be legally recovered or it becomes uneconomic to pursue recovery. 5.2 Debts amounting to £270,752.65 were considered to be sufficiently unlikely to be recovered as to warrant being written off during 2024/25, which is to say they are no longer included as debtors on the Council’s balance sheet. Author of Report: Daniel Littlewood, Assistant FMS & Banking Manager Ref: DL/SPMAN-1293228629-1122 Page 194