The message below has been sent to EDDC Office Relocation Project Manager, Richard Cohen (Deputy CEO) by the Chair of Save Our Sidmouth:
Dear Mr Cohen,
Your report to Cabinet, of 3/12/2014, (Agenda item 11), contained the statement:
Knowle has annual energy costs of £83,900 pa compared to a predicted energy cost for
Honiton/Exmouth combined of £33,700 pa.Even after repairs, Knowle energy costs would
still be double those of the Honiton/Exmouth alternative.
Based on Dept. of Energy and Climate Change (DECC) current fuel price indices, gas has
increased on average 18.8% pa between 2003 and 2013 whilst over the same period,
electricity has increased on average by 11.9% pa. Allowing a modest 10% pa inflation rate
for energy and 2% for general inflation, the total savings in running costs of
Honiton/Exmouth over Knowle are of the order of £5.55m over 20 years
The difference between the two costs is about £50,000 pa.
Please let me know how this adds up to a saving of £5.55m over 20 years, even allowing for hypothetical increases over 20 years.