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Fuel Farm Lease Renewal Report 2016

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WQ.53/2025

WRITTEN QUESTION TO THE MINISTER FOR INFRASTRUCTURE BY DEPUTY H.L. JEUNE OF ST. JOHN, ST. LAWRENCE AND TRINITY QUESTION SUBMITTED ON MONDAY 17th FEBRUARY 2025 ANSWER TO BE TABLED ON MONDAY 24th FEBRUARY 2025

Question

"Further to the report entitled Fuel Farm Lease Renewal' (P.A.C.3/2016), will the Minister advise what progress, if any, has been made in relation to the six recommendations that were made, including in relation to each one –

  1. the provision of a Red, Amber or Green rating;
  2. a statement of who is responsible for advancing the recommendation; and
  3. if no progress has been made, an explanation of why not and of what plans, if any, there are to implement the recommendations and by when?"

Answer

  1. The six recommendations made in the report entitled Fuel Farm Lease Renewal' (P.A.C.3/2016), are rated as follows;

 

Recommendation

Rating

Responsibility

Commentary

1.  The Chief Executive should task (and ensure sufficient resources for) one department to have overall responsibility for strategic assets.

Amber

Cabinet Office

& I&E

Jersey Property Holdings ("JPH") was established in 2005 when the States Assembly adopted P. 93/2005 – ("States of Jersey Property Holdings: establishment") which sets out that all public properties (excluding properties administered by Arm's Length Organisations such as Ports of Jersey and Andium Homes) would be administered and managed by a single Corporate Landlord.

As the Corporate Landlord, JPH ensures that Government Departments are adequately accommodated, that the future asset requirements for each service are identified and delivered, and that the public property estate is maintained and managed in accordance with the Government of Jersey's strategic priorities, relevant property regulation, health and safety legislation, and always in the best interest of the Public of Jersey.

As Corporate Landlord JPH should remain the custodian of strategic property assets within public ownership.

JPH works with the Cabinet Office to ensure that the fuel facilities meet estimated current and future strategic requirements. *

2. The Chief Executive should

consider whether

 Green

Cabinet Office

No decision has been made to relocate the fuel farm, and the PAC report makes no reference to any such decision. It is therefore logical that no coherent plan for relocation

 

the fuel farm should be relocated in order to maximise the value of the current site (as part of the cohesive strategy of

recommendation 3).

 

 

would be devised or published for a decision that was never taken.

3. The States of Jersey should publish a cohesive strategy for the management of the fuel farm.

Green

Cabinet Office& LCTL

The facility is owned by the incumbent tenant La Collette Terminal Limited (LCTL) and is therefore managed by LCTL in accordance with the Lease Agreement, which includes an Operating Agreement, and the conditions imposed by the CICRA.

Strategically, it is imperative that Jersey retains:

  1. the capability to receive bulk fuel via tanker ship; and
  2. to deliver that fuel via a pipeline to a bulk fuel storage facility that can safely accommodate the volumes needed for energy security in the Island*.

4. The Chief Executive should ensure that key stakeholders, including States Members, are briefed on issues relating to key strategic assets so they can be part of an informed

decision-making process.

Green

Cabinet Office

& I&E

Jersey Property Holdings as Corporate Landlord for all public real estate can take the lead on the use and tenancy of the land on which the fuel farm is built, but, as with all strategic infrastructure, will require input from policy makers within the Government of Jersey and other stakeholders.

SPPP, though the consultation and publication of policy documents such as the Bridging Island Plan, would also ensure Key stakeholders are briefed*.

5. The Chief Executive should undertake a high-level review of the management of key strategic assets, including the fuel farm, and present a report to the States.

Green

Cabinet Office

& I&E

The Government of Jersey employed ARUP to conduct an Infrastructure Capacity Study in December 2020 and the findings of this study was incorporated into the Bridging Island Plan 2022.

Jersey Property Holdings continues to provide strategic planning within the public estate, however it does this in consultation with stakeholders; tenants, operating departments, policy makers and wider input as deemed necessary. JPH therefore retain coordinating responsibility for strategic real estate planning, but is not the sole arbiter of operations or activity discharged from the sites.

6. The Emergency Planning Officer should be consulted at all

Green

Emergency Planning (JHA)

& Jersey

The management of the Jersey Resilience Forum (JRF) is a core activity within Emergency Planning. As part of this structure and following a recommendation of the C&AG

 

stages to ensure a robust contingency plan is in place at all times for the supply of fuel.

 

Resilience Forum

report 2024, a JRF Energy Resilience Working Group has been formed.

This group has an aim of strengthening energy resilience and emergency response capabilities with a focus on – infrastructure, vulnerability, business continuity (including supply), cyber incidents, malicious and non-malicious threats.

All members of this working group will be responsible for their organisation's development and maintenance of their energy resilience plans.

They will need to regularly update these plans to reflect new risks, technologies, and best practices.

They will also ensure the implementation of systems for the continuity of energy supplies, co-ordinating efforts to protect and strengthen critical national infrastructure and developing strategies for managing energy supplies during crises.

Emergency Planning have strengthened their relationship with the main fuel supplier and are working with energy infrastructure owners and suppliers to ensure they have high quality, proportionate and tested emergency planning and business continuity management arrangements.

*NB In 2025, the Minister of the Environment is commencing work to develop an Energy Strategy. As part of that work, and in considering energy resilience and security going forward, the requirements for long term liquid fuel storage will be considered. However, early work indicates that a fuel farm is essential in providing storage capacity for liquid fuels with its associated infrastructure such as the fuel berth and pipelines. This conclusion was supported by the work undertaken by Arup for the Bridging Island Plan.

  1. The recommendations are the responsibility of several directorates, and these are listed in the table above.
  2. The commentary on progress is recorded in the table above.