Nottingham City Council has agreed a complete overhaul of how their energy company, Robin Hood Energy (RHE), is governed.
Recommendations have been set out by external auditors who identified key issues with the running of RHE.
The council held a full council meeting to discuss the Action Plan, just over two weeks after the auditor issued the report which made 13 recommendations to the council.
One of the key recommendations put forward was a review of how councillors are best used on the boards of companies; ensuring that all board members have required knowledge and experience to challenge the management of companies.
City Council Leader, Cllr David Mellen, told today’s meeting:
“I want to make it clear that Nottingham City Council fully accepts the findings of this report which, despite our setting up of this energy company with good intentions to reduce fuel poverty in the city, reveals failures in the council’s governance of Robin Hood Energy.
“We very much regret those failings but we are here today to present a clear and robust approach as to how we will not only review our current approach to company governance, but also build on the changes that have already been put in place over the last year, and demonstrate our resolute commitment to do what’s right for Nottingham people.”
Prior to the auditors, Nottingham City Council had already removed senior people from positions within the company as well as put a completely new management team installed.