ANGRY Liberal Democrats have attacked Warrington Borough Council’s opposition Conservative group for a “chaotic” call-in challenge to the Labour group’s decision to invest over £60m in a solar farm near Doncaster.
They have also attacked the ruling Labour Group for cancelling a risk management workshop, which would have given opposition parties the opportunity to ask questions about this major investment decision.
The challenge was made at a specially convened Warrington Borough Council Scrutiny Committee in the sweltering heat last Friday.
Lib Dem Group Leader Cllr Bob Barr said: “My party is passionately committed to combating climate change and investing in solar farms is a well-established way of doing this. Council officers have been successfully investing in solar generation for many years and have considerable experience. They bought in expert advice on both the technology and the financial modelling from leading national experts. The call-in was fundamentally an attack against officers who were providing the best advice they could on how the Council can fund its activities in very difficult circumstances. Of course, there is a risk involved, but the risk of being unable to meet the running costs of the Council is greater and would affect everyone in the town. The Conservative group does not appear to believe in funding public services, preferring cuts or privatisation instead.
“Their attack followed familiar lines. We heard a fanciful set of objections based on the risk of technological change overtaking the tried and tested technology of current solar panels and batteries. Then the attack moved onto the familiar territory of describing the council’s revenue-earning investments as debt, even though at current valuations the investments are worth significantly more than was invested. They attempted to associate the solar farm project with the controversial Together Energy and Redwood Bank investments which was unfair given the Council’s record on solar investments. The entire investment portfolio, mainly comprising loans to social housing providers secured against their housing stock, was described as “high risk”, which it clearly is not.
“The decision was also attacked on the basis that the investment was ‘for revenue’, because of government plans to restrict local government powers to borrow in this way. However, a justification given for the investment was that it was to meet the Council’s climate change pledge to move towards zero carbon. This was made clear to the government as part of the successful bid for a grant towards the new fleet of electric buses. By generating the power needed by the buses from a solar farm it owns, the Council can ensure that the non-polluting buses are not powered by electricity generated by carbon emitting power stations.
“The third line of attack was on ‘corporate governance’ with which we have sympathy. Decisions should be made with ‘a presumption in favour of openness’ and ‘giving reasons for the decision’. Both could have been achieved had opposition leaders been allowed to attend a confidential Risk Management Workshop to discuss the investment and ask questions. The planned workshop was cancelled and not rescheduled, so the Cabinet took this decision alone with no opposition input.”
Responding to the Liberal Democrats, Cllr Mark Jervis (CON-Appleton) said: “The Liberal Democrats appear to be suggesting that any proposal with a “Green” label should be nodded through without scrutiny. Experts are not infallible and it is clear that the Liberal Democrats did not properly scrutinise these proposals otherwise they would have identified the flaws, errors and risks identified by the Conservatives. They would also have seen that the investment proposal raises serious questions about whether Statutory Investment Guidance is being followed for this out of area investment and about whether public contract regulations will be properly adhered to by Labour.”
“Cllr Barr is also wrong to repeat Labour’s claim that Conservatives are attacking Council Officers. This is a deflection tactic for the Liberal Democrats’ own scrutiny failings. Ultimately, it is Labour Cabinet Members alone who make these decisions and Conservative scrutiny is focussed on this Labour Cabinet who cannot hide behind Council Officers.”
Cllr Ken Critchley (CON-Appleton) challenged Cllr Barr’s recollection of Friday’s discussion on the Council’s borrowings for investment. He said: “At £1.6Bn, it is the level of Council debt that is excessive and high risk and that is a view shared by the Council’s External Auditor and by the Government.”
“It is also surprising that the Liberal Democrats do not think that is necessary for the Council to fully learn from past investment failings. The Liberal Democrats’ continuing failure to properly scrutinise this Labour administration will be noted by residents across Warrington each time they go to the ballot box”.
Labour leader Cllr Russ Bowden was also approached for comment.
