Decision

URL: https://council.lancashire.gov.uk/ieDecisionDetails.aspx?ID=29172

Decision Maker: Leader of the County Council

Outcome: Recommendations Approved

Is Key Decision?: Yes

Is Callable In?: No

Purpose: The county council previously approved an invest-to-save initiative for the commissioning of an Anaerobic Digestion facility at the Farington Waste Recovery Park, South Ribble, which was designed to provide a sustainable solution for processing separately collected food waste. The project was forecast to deliver a recurring annual saving of £5.5 million as a return on investment.   The procurement processes for the facility have now been completed but has resulted in an increase in the capital budget requirement by £2.8 million. Despite this increase, the project continues to offer a full payback within 12 months. This report now seeks approval for an additional one-off capital investment of £2.8m in 2026/27 to complete the works.   This is deemed to be a Key Decision, and the requirements of the council's Cabinet procedure rules (Standing Order C20, Urgent Key Decisions) have been complied with. Compliance with Standing Order C18 and C19 was not possible due to the confirmation of the additional capital expenditure occurred late in the procurement process. To maintain the agreed procurement timescales, a decision has to be considered, ahead of the next Cabinet meeting on 22 January 2026.

Content: The county council previously approved an invest-to-save initiative for the commissioning of an Anaerobic Digestion facility at the Farington Waste Recovery Park, South Ribble, which was designed to provide a sustainable solution for processing separately collected food waste. The project was forecast to deliver a recurring annual saving of £5.5 million as a return on investment.   The procurement processes for the facility have now been completed but has resulted in an increase in the capital budget requirement by £2.8 million. Despite this increase, the project continues to offer a full payback within 12 months. This report now seeks approval for an additional one-off capital investment of £2.8m in 2026/27 to complete the works.   This is deemed to be a Key Decision, and the requirements of the council's Cabinet procedure rules (Standing Order C20, Urgent Key Decisions) have been complied with. Compliance with Standing Order C18 and C19 was not possible due to the confirmation of the additional capital expenditure occurred late in the procurement process. To maintain the agreed procurement timescales, a decision has to be considered, ahead of the next Cabinet meeting on 22 January 2026. The Leader of the County Council, the Cabinet Member for Data, Technology, Customer and Efficiency, and the Cabinet Member for Rural Affairs, Environment and Communities approved the additional one-off capital investment of £2.8m in 2026/27 for the Anaerobic Digestion at the Farington Waste Recovery Park,  making the capital investment £5.36m in total with Blackpool Council contributing £670,000.   This decision be implemented immediately for the purposes of Standing Order C28(3) as any delay could adversely affect the execution of the County Council's responsibilities.  The reason for this was set out in the report.

Date of Decision: December 23, 2025