Day1 10 Ivan Jaques Urban energy management support from EECI

13TH WORKSHOP OF THE CLIMATE TECHNOLOGY INITIATIVE

BERLIN, OCTOBER 5, 2012

IVAN JAQUES

Urban energy management

support from EECI

Agenda

● TRENDS

● ENERGY EFFICIENT CITIES INITIATIVE (EECI) AT ESMAP

● URBAN ENERGY MANAGEMENT

● TOOL FOR RAPID ASSESSMENT OF CITY ENERGY (TRACE)

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TRENDS

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TrendsURBANIZATION POSES MAJOR CHALLENGES …

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� 3.7 billion people live in urban areas

� 2.9 billion more in the next 50 years

� 70% urban by 2050

� Cities account for roughly 70% of the world’s energy consumption and GHG emissions

� China will double its housing stock between 2000 and 2015

� By 2025, each of the 25 biggest cities will have more than 10 million people

Source: “World Urbanization Prospects: The 2007 Revision”. Population Division of the Department

of Economic and Social Affairs of the United Nations Secretariat, 2008

Trends… AND OPPORTUNITIES!

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� Most of the growth will be in cities of developing countries

� Buzz words: urban metabolism, lock-in, path dependency, inertia

� Key message: Do it right from the start!

� Provision of services: access, security, reliability and affordability but also sustainability

Source: “World Urbanization Prospects: The 2007 Revision”. Population Division of the Department

of Economic and Social Affairs of the United Nations Secretariat, 2008

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Trends

� Cities as systems (inhabited by people)

– Buildings − Public lighIng

– Transport − Water and wastewater

– Power & heat − Solid waste

– Industry

� You cannot manage what you cannot measure

� What to prioritize?

� Where to start?

� How to plan?

� How to finance?

� How to implement?

� What are the best practices?

� … ?

HOW ARE CITIES DEALING WITH THIS CHALLENGE?

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Trends

� Cities are willing to take the challenge, but need support

(technical, financial, political, etc.)

� Cities learn from each other, share experiences and best

practices

– ICLEI

– C40

– Partnership for Sustainable Cities (in formation)

– Etc.

� Windows of opportunity

HOW ARE CITIES DEALING WITH THIS CHALLENGE?

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ENERGY EFFICIENT CITIES

INITIATIVE AT ESMAP

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Energy Efficient Cities Initiative (EECI) at ESMAP

� The Energy Sector Management Assistance Program

(ESMAP) is a multi-donor global knowledge and technical

assistance program administered by the World Bank

� The Energy Efficient Cities Initiative (EECI) was launched

in 2008 to mainstream and scale-up EE in urban settings

� Key features of EECI:

– Clients are city mayors and municipal bodies

– Demand-driven

– Focus on innovation and results

– Partnerships

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Key components

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Analytical

work

Knowledge

dissemination

Operational

support

Analytical work allows

new operational

modalities

Operational work allows

implementation schemes to

be shared

Sharing of experiences

helps refine and inform

new analytical work

EECI functions

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KNOWLEDGE CLEARINGHOUSE

THINK TANKOPERATIONAL LEVERAGING

CORE ESMAP FUNCTIONS

Analytical workTA for CDSsCase studies

Partnerships/outreachProject support

CLIENTS

Mayors City planners Urban/Transport TTLs City residents Partners

URBAN ENERGY MANAGEMENT

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Analytical work

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Mainstreaming Building Energy Efficiency Codes in

Developing Countries summarizes global best practices and lessons from developing countries in design and implementation of building codes.

Energy Efficient Cities: Assessment Tools & Benchmarking

Practices offers analytical tools and policy insights from integrated assessments of new cities to the impacts of socioeconomic, climate, and demographic changes on existing cities.

Eco2 Cities: Ecological Cities as Economic Cities provides an overview of innovative ideas and best practice on sustainable cities. ESMAP prepared the chapter on urban energy use.

Analytical work

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Public Procurement of Energy Efficient Services looks at energy savings performance contracts (ESPCs) as a means of overcoming the hurdles implementing energy efficiency in public facilities.

Public Procurement of Energy Efficient Products assesses global experiences with energy efficient purchasing (EEP) as a tool to help governments improve the efficiency of their facilities and public services.

A Primer on Energy Efficiency for Municipal Water and Wastewater

Utilities looks at opportunities, approaches and lessons for realizing vast energy savings potential in the water sector.

Best Operational and Maintenance Practices for City Bus Fleets to

Maximize Fuel Economy presents a set of specific actions municipal bus operators can take to improve fuel efficiency through improved maintenance and driver training.

Knowledge clearinghouse

� Case studies database (26 cases available)

– Building & Heating – Public Lighting

– Solid Waste – Urban Planning

– Transport – Financing

– Water/Waste Water – Procurement

� Energy efficient cities guidance notes for Mayors

� Capacity building for Energy Efficient Urban Transport Planning

� E-learning course for energy efficiency in public buildings (together with World Bank Institute)

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Operational leverage

� Provided support of WB projects, including:

– China

– Macedonia

– Mexico

– Ukraine

– Russia

– Uruguay

– India

– South Africa

– Etc.

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TOOL FOR RAPID ASSESSMENT OF

CITY ENERGY (TRACE)

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Tool for Rapid Assessment of City Energy

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� Strong demand from cities– Strong desire to reduce energy costs

through energy efficiency (EE) improvements

– Lack of a rapid decision-support tool to identify major EE interventions across urban sectors

– Desire to learn from peer cities and international best practice

� Key advantages of TRACE– Cross-sectoral

– Focuses on areas under the control of the city authority

– Relatively low data requirements, low cost, intuitive and quick to implement

– Strong ownership of cities

� TRACE is …– Focused on city budget and areas of city

government influence

– Sensitive to user-city context

– A simple and practical diagnostic tool

– Big-picture analysis based on available data and interviews

– Basic strategy to prioritize key sectors and actions in each one

– A structured approach to engage with cities to inform sustainable planning and investment decisions

� TRACE does not …– Eradicate human error

– Analyze specific issues

– Perform a detailed energy audit

– Provide a detailed feasibility study

– Target the private sector

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TRANSPORT BUILDINGS PUBLICLIGHTING

WATER &WASTEWATER

POWER &HEATING

SOLIDWASTE

Evaluates Energy Efficiency Opportunities in 6 Municipal Sectors

Clients City mayors and municipal bodies

Benchmarking KPIs 28 KPIs spread across 6 sectors

KPI Data Base 93 cities; 1500 data points with a minimum 8 data points per KPI

Sector Prioritization Relative energy intensity, energy expenditure, city authority control or

influence

EE Recommendations 59 recommendations spread across 6 sectors and City Authority

management

Decision-Making Attributes Energy savings potential, upfront capital cost, speed of implementation

Case Studies 191 cases spread across 6 sectors

Basic Training Essential as it requires experts’ participation

Duration ~3 months

Vital statistics

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How it works

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TRACE helps cities identify

under-performing sectors,

evaluate improvement

and cost-saving potentials,

and prioritize sectors and

EE interventions.

Benchmarking | Entering data

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TRACE has a simple user

interface for entering data

Benchmarking | Results

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Visual depiction of how

a city compares with

peer cities

Prioritization | Sector results

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Comprehensive sector

prioritization with

quantified potential

benefits

Recommendations

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A matrix of

recommendations based

on savings potential, first

cost, and speed of

implementation

Recommendations

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• 59 recommendations in

total

• Mix of strategic

programs and specific

sector activities

• 191 case studies with

hyperlinks to other

resources and tools

• Each recommendation

rated on three

attributes: Energy

Savings Potential, First

Cost, Speed of

implementation

• 23 technical

recommendations

include energy savings

calculators

Cities were TRACE has been

deployed

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Results

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Results: ECA region

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Awareness-Raising & Orientation

Diagnostic Assessments

(Tools)

Policy Reforms &Investment Strategies

Financing

• General Orientation Workshops

• Learning Materialsand Case Studies

• Knowledge Exchange & Learning Tours

• Profiling global best practice

• Peer learning

• Innovative applications

• Baseline surveys and benchmarking

• Urban Planning Audit

• Carbon footprint calculation

• Energy Efficiency Diagnostic (TRACE)

• Shadow Credit Rating

• Life-cycle costing

• Traffic System Management Studies

• Updating master plans

• Updating urban planning regulations

• Setting emissions targets

• City energy efficiency targets

• Sustainable City (SC) Investment Strategies

• Specific Investment Financing

• Results-Based Financing (RBF)

• Private Sector Finance: ESCOs

• Carbon Financing

• Output-based Aid

• Donor Co-financing

Results: ECA region

� Under the ECA SCI Framework, TRACE is a key diagnostic for informing further technical assistance, knowledge exchange, and lending work. For example: – Gaziantep: helped inform Country Program Strategy (CPS) discussion

with Turkey and helped define Pillar III: Sustainable Cities. Gaziantep was also selected to be part of the ECA SCI knowledge exchange event on Historic Cities and Urban Regeneration.

– Skopje: feeds into a broader Green Growth Agenda for Macedonia and could help inform investments within a Bank-financed Municipal infrastructure Investment Project in Macedonia.

– Tbilisi will contribute to the development of the Georgia Municipal Development Fund, where a third generation of the fund will consider using a sustainable cities investment framework.

– Belgrade, Sarajevo, and Banja Luka: will be highlighted in a knowledge exchange event on energy efficiency in ECA cities, and will inform a sustainable cities investment program in Bosnia and Herzegovina in the outer years of the current CPS.

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Thank You.The World Bank | 1818 H Street, NW | Washington DC, USA

www.esmap.com | [email protected]

[email protected]

MORE INFORMATION ON EECI | ESMAP Website

http://esmap.org/esmap/EECI

TO GET TRACE AND SUPPORT | ESMAP Website

http://esmap.org/esmap/TRACE

TRACE TRAINING | E-learning course available at:

http://vle.worldbank.org/moodle/course/view.php?id=605

MORE INFORMATION ON EECI | ESMAP Website

http://esmap.org/esmap/EECI

TO GET TRACE AND SUPPORT | ESMAP Website

http://esmap.org/esmap/TRACE

TRACE TRAINING | E-learning course available at:

http://vle.worldbank.org/moodle/course/view.php?id=605