Energy-Integrated Planning for Low Carbon Development in Cities

1. Energy-Integrated Planning for Low Carbon Development in Cities Manuel L. Soriano, Senior Technical Advisor Energy, Infrastructure, Transport & Technology UNDP Asia-Pacific Regional Centre, Bangkok, Thailand

2. Energy Concerns in Urban Development • Cities occupy 3% of the Earth’s land surface, and house 75% of the human population • Cities account for a considerable portion of a country’s energy consumption. [2/3 of worldwide energy usage and GHG emissions] • Most production, trade and transportation activities usually are located in these areas. [80% of Asia’s GDP is produced by Asian cities] Per capita carbon emission of selected cities ( World Bank, 2010)

3. Energy Concerns in Urban Development • Growing built environment • Cities concentrate industrial development and its pollution. • Increasing volumes of waste generated • Motor vehicles dominate urban transportation systems - producing congestion, local air pollution, and GHGs. • Massive and typically inefficient energy consuming urban systems waste resources and generates pollution and GHGs • Uncertainty of energy supplies & other energy concerns • Social issues – urbanization of poverty – lack of basic services

4. Economic Key input for economic growth Social Impacts of energy production and use Poverty alleviation and gender Environmental Energy for Sustainable Development Sustainable energy: Energy solutions that address development issues related to economic growth, environment and social equity simultaneously

5. Low Carbon Growth Safety & Welfare Zero Waste Low Carbon Healthy Ecosystems Green Economy Housing Sustainable Energy Supply Economy & Competitiveness Environmental governance Energy Supply Zero Waste Health & Education Jobs Low Carbon Footprint Transport & Communications Sustainable Cities Integrated Approach to Low Carbon Development Access to Nature Green Buildings Clean Water Quality Green Transport Clean Air Clean Water Quantity

6. Energy and Urban Forms Resources, technology, geography, politics EnergySources Nature, location, availability, price, distribution SpatialStructures Location, shape, size, density, communications, mixed land use Socio-economicand politicalfactors AlternativeSupply SystemsFeasibility Feedback Energy needsstimulate newdevelopments EnergyDemand Useful energy, delivered energy, primary energy, transport, heat, light, motive power Level of development, socio-economic factors Ref: Owens, S., Energy , Planning and Urban Form (1986)

7. Energy Technology Decomposition and/or Accumulation of Waste Resource Utilization Waste Generation Available Resources Waste Conversion/Recycling Low Carbon Development of Urban Communities GHG Emissions & Other Pollutants Ecosystems approach – The inter-relationship of natural and man-made elements in the environment is the basis for planning aimed towards improved quality of city life. Based on Bianpoen. “The City as an Ecological Region “(1990)

8. Parks & Waterways Systems Transport Systems Water Supply Systems Waste Water Systems Building Systems Energy Supply Systems Solid Waste Management Systems Communication Systems Urban Systems require energy to function

9. Low Carbon Development of Urban Communities • Urban Systems – Infrastructures; resource intensive (energy, water, materials and land); Difficult and costly to modify. • Traffic congestion - Inadequate road & transport infrastructures - cost can be as high as 10% of the city’s GDP. • Typical buildings – non-energy efficient - can account for 40% of a city’s total energy consumption and 30% of GHG emissions. • Expansion of infrastructures (rapid urbanization; fast economic growth; increased competitiveness, etc.). • The way a city is planned, designed, operated and maintained will influence its future energy usage and emissions (GHG & pollutants).

10. Low Carbon Development of Urban Communities • Energy Consuming Urban Systems • Linkage between energy demand and the way the development and arrangement of cities are planned. • Correlation between the urban systems and environmental health, economic competitiveness and the quality of life in cities. • The patterns of consumption and production of infrastructures that are built for urban systems can have positive or negative outcomes, depending on how these are designed, operated and maintained. • Investments on urban system infrastructure development to achieve and sustain socio-economic development goals. • Are these systems designed and operated for energy efficiency?

11. Climate Change and Energy Use in Cities • Human activities release GHG emissions that contribute to global warming • Climate change is directly linked to emissions of GHGs bulk of which are from the utilization of energy (non-renewable forms) Ref: BC Energy Aware Committee, Introduction to Community Energy Planning (www.energyaware.bc.ca)

12. Climate Change Challenges in Cities • Increasing Carbon Footprint • Increasing urban sprawl – increased use of private transport • Energy-consuming lifestyles and practices • Poor urban planning, management and governance • What is the challenge?Managing a city’s development that: • Maximizes low-carbon energy sources • Enhances efficiency in delivering urban services • Moves to low-carbon intensity for a given unit of GDP • Vulnerability to Climate Extremes • Cities situated in low lying coastal or river plains • Extreme weather events - increasing in intensity and frequency • Sea level rise; Poor suffer more • New driver of urbanization - “eco-refugees/eco-migrants”

13. Low Carbon Development of Urban Communities • Challenges • Inadequate policy and regulatory frameworks that support environmentally sustainable development in cities • Insufficient capacity of cities to plan, design and implement integrated sustainable development actions • Lack of financing for initiatives on environmentally sustainable urban development • Lack of available replicable successful examples of sustainable development applications at the urban level • Lack of easily accessible information on feasible and applicable technologies and practices on sustainable urban development

14. Energy Planning in Cities City with internal energy production and supply system City with external energy supply system

15. End Use Sustainable Energy in Cities City Reference Energy System Equivalents)

16. OutsideSales Industrial Sector Use ResidentialSector Use Biomass Energy 2.9 CommercialSector Use AgricultureSector Use To stock InstitutionalSector Use Hydro Energy 2.9 Coal 3.7 8.06 0.07 1.91 Natural Gas 6.4 7.34 0.90 10.67 18.68 Petroleum 63.9 Products Total EnergyConsumption83.47 Total EnergySupply100.00 TransportSector Use 43.97 Electricity 20.2 1.25 7.15 Own Use andT&D Losses ConversionLosses Sustainable Energy in Cities City Energy Balance

17. City Energy System - Low Carbon Development

18. Influence of Cities on Low Carbon Development • Support policies on the application of energy efficiency and renewable energy • Smart urban form and spatial development • Energy efficient industries and buildings • Low carbon vehicles and public transport-oriented systems • Low carbon waste management and urban services • Energy efficient appliances • Financial/fiscal incentives for EE and RE applications • * PLAN for LOW CARBON GROWTH * Source: www.rainharvest.co.za

19. Low Carbon Development of Urban Communities • Integrating Energy & Environment in Urban Development Planning • Energy – an essential consideration in achieving sustainable development in urban communities • EIP is in line with an ecosystems approach. • Various urban concerns related to energy & environment – Justification for integrating energy considerations in the city development planning process. • Due consideration to energy implications of development policies and energy flexibility in city development policies and objectives. • Key is MAINSTREAMING of ENERGY and CLIMATE CHANGE in the urban development planning process. • Official legal authorization for energy-integrated development planning • POLITICAL Support – success of an energy-integrated urban development plan is ensured by this.

20. Integrating Energy in Urban Development Planning Urban

21. Considering Energy Aspects in Land Use Planning

22. Energy-Integrated Urban Development Planning • Integrating Energy & Environment Concerns & Impacts in: • Land Use and Transport Planning • Contiguous development patterns; parking plans and siting; street design and layout; traffic rules; trip reduction measures; citizens participation, etc. • Site Planning and Building Design • Building efficiency; orientation; landscaping; building services design and operations; pedestrian facilities; transit facilities, etc. • Infrastructure Efficiency • Water supply and use; wastewater collection and storm drainage; solid waste collection & recycling facilities; heat & power recovery; joint infrastructure planning & delivery. • Energy Supply • Electricity supply & distribution; district heating & cooling; waste heat utilization; cogeneration systems; waste-to-energy systems; renewable energy utilization, etc.

23. Energy-Integrated Urban Development Planning Low carbon development of cities can be facilitated through the enforcement of appropriate policies and regulatory frameworks that support the planning , design and implementation of interventions that fully recognize the importance of urban development planning that takes serious consideration of the energy and environment aspects of sustainable development Zero Waste Clean Air Green Buildings Green Economy Green Transport City-led Programs, Regulations & Financial Capacity Sustainable Energy Supply Access to Nature Clean Water (Quantity) Clean Water (Quality) Environmental Governance Low Carbon Footprint

24. Energy-Integrated Urban Development Planning • Challenges • Institutional Challenges • e.g., Divided responsibilities and split incentives of relevant stakeholders; energy and climate change are not mainstreamed in urban development planning processes • Energy Use and Energy Policy Challenges • e.g., Energy planning not responsibility of cities; existing laws, regulations not supportive of EE and RE initiatives; restrictive regulations and default controls • Political Challenges • e.g., Local authorities support missing; changes in administration often translate to change in policies; lack of awareness & information about the economic, environmental (and also political) benefits of low carbon development • Social/Community Challenges • e.g., Local communities not aware and resistant to proposed changes lifestyles and attitudes • Capacity & Financial Challenges • e.g., City planners & engineers not skilled/knowledgeable of EIP and low carbon development; Lack of financing for low carbon development initiatives

25. Energy-Integrated Urban Development Planning • Key Players • Local Government Authorities and Staff (city development planning, public works and general services, city engineers office, etc..) • National and Regional Development Agencies • Utilities (Fuel, Electricity, Water & Sanitation, Telecommunications) • Real Estate Developers • Business Community (industry, trade and commerce, service) • Public Transport Operators • NGOs/CBOs and Citizens Groups • General Public

26. Energy-Integrated Urban Development Planning • Planned Development Areas • Preservation and Protection of Natural Features of the Land including Environmentally Sensitive Areas • Access to Existing Infrastructure and Services • Access to Transport and Transit Systems • Community Design & Layout • Spatial Structures • Streets and Roads • Natural Features and Open Spaces • Buildings and Infrastructures • Energy Efficient Buildings & Building Materials • Utilization of the Natural Landscapes & Green Infrastructures • Energy Efficient Design, Operation and Maintenance of Urban Systems • Green Construction • Sustainable Energy Production and Supply

27. Sustainable and Energy Efficient City Development • Strategies to Support Plan Implementation • Privatization and the Role of the Private Sector • Joint development (e.g., residential housing program; public facilities) • Privatization (Garbage collection; Sewerage system operation; selected user fee collection; Road infrastructure construction; Leasing of government vehicles; Tourism promotion; Historical and cultural preservation; Road and park maintenance; Building inspection; and, Information dissemination campaigns) • Improvement of City's Public Image • Revenue Enhancement Interventions • Improve collection efficiency of locally levied taxes • Improve city government fee rates to better coincide with cost recovery of development infrastructures/services and improve fee collection procedures. • Consider the potentials of grantsmanship. • Introduce fundamental reforms in local government revenue structure.

28. Sustainable and Energy Efficient City Development • Strategies to Support Low Carbon Initiatives • Investments • Investment for installation of new energy efficient urban systems, or enhancement of the existing ones. • Investment in improving city energy supply and distribution systems. • Investment for research and development, information dissemination and promotional programs on low carbon development. • Encourage sponsorship of urban energy projects by the energy industry sector and other service companies. • Third Party Financing • Financial Institutions • Lease-Purchase Agreements; Build-Operate-Transfer Agreements

29. Sustainable and Energy Efficient City Development • Examples of Strategies to Support Plan Implementation • 1. Energy-Environment Conservation Strategies • Implementation of a Public Utilities Surcharge • Restructuring and Increasing Vehicle Tax • Authorization of Cordon Pricing or Trip Tolls to CBD • Parking Fees • 2. City Development Strategies • User Fees, Surcharges • Increase Share in Land Registration Tax Earnings • Increase Development Fees for Building Permits • Implementation of Betterment Charges • Privatization of Selected Urban Infrastructure and Services • Increase Public/Private Sector Joint Development

30. Sustainable and Energy Efficient Cities • Benefits from Sustainable Energy Projects in Cities • Reduction in the use of raw materials as resource inputs • Reduction in pollution • Increased energy efficiency leading to reduced energy use in the city as a whole • Reduction in the volume of waste products requiring disposal (with the added benefit of preventing disposal-related pollution) • Increase in the amount and types of process outputs that have market value

31. Sustainable and Energy Efficient Cities • Benefits of Low Carbon Development of Cities • GHG Emission Reduction (climate change mitigation) • Energy Use and Energy Cost Reduction • Preservation of Natural Environment • Pollution Reduction (air, land, water) • Improved Public Health • Empowered Communities • Enhanced Quality of Life in Cities (safety, welfare and well-being) • Improved Economy and Competitiveness

32. Example of EE Urban Systems Green Infrastructures – a network of decentralized storm water management practice that can capture rainwater, thus reducing storm water runoff and improving the quality of city waterways. Ref: CNT, The Value of Green Infrastructure: A Guide to Recognizing Its Economic, Environmental and Social Benefits (2010)

33. Example of EE Urban Systems Benefits of Green Infrastructures

34. Example of EE Urban Systems • City Electricity System • Difficulty to expand grid infrastructure • Increased energy demand during peak periods • Smart City Solutions (policy measures that promote, among others, a grid that manages electricity demand in a sustainable, reliable and economic manner, built on advanced infrastructure and tuned to facilitate the integration of all involved). Source: ABB • Deregulation and real-time pricing • Smart energy-positive infrastructure • Integrated mobility service

35. EE Urban Systems: Smart City & Smart Buildings

36. United Nations Development Programme The UN’s development agency Bureau for Europe & CIS Bureau for Latin America Bureau for Asia & Pacific Bureau for Crisis Prevention Bureau for Partnerships Bureau for Development Policy Bureau for the Arab States Bureau for Africa Environment & Energy Group • Energy, Infrastructure, Transport & Technology (EITT) Group • Water • Ecosystems & Biodiversity • REDD & Land • Ozone & Chemicals Country Offices

37. UNDP EITT Group – Signature Programs 2 Low emission urban systems and infrastructures Access to new financing mechanisms Access to clean and affordable energy 1 3

38. Examples of Recent UNDP Projects on EE Urban Systems

39. Conclusions • How urban areas expand in the future has big implications on the GHG emissions that are generated in cities. • Urban development planning should consider energy as one important component of sustainable development. • Energy and Climate Change should be mainstreamed into the urban development planning processes • Policies formulated for various concerns in city development plans should be in accord with the preservation of man's environment and the provision of energy for sustaining growth and development. • The capacity of local governments should be improved to better identify the optimum mix of regulatory and public financing instruments to attract catalytic financial flows toward low-emissions climate-resilient development. • The success of an energy integrated city development plan can only be ensured if there is political support. Without it, any planning approach will fail.

40. Thank You Manuel L. Soriano manuel.soriano@undp.org Tel: +66-2-3049100 Ext 2720