PEPESEC Energy Planning Best Practice Guide

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W

PEPESEC PROJECT

Contract No. EIE-07-179-S12.466281

Deliverable No. 4.2 “Best Practice”

Energy Planning Guidance An Introduction

DRAFT @ June 2009

Work Package 4

Malmo Municipality Skane Energy Agengy

Manchester: Knowledge Capital Eurocities

Version no. Prepared/ Updated By 2.0 Malin Norling, City of Malmö

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PEPESEC Partnership Energy Planning as a tool for realising European Sustainable Energy Communities

Energy Planning Guidance An Introduction Version 2.0 Contents 1.0) Summary ..............................................................................................................................................................................3 2.0) Introduction...........................................................................................................................................................................4

2.1) Definitions ........................................................................................................................................... 4 2.2) Scope of this guidance document and methodology ........................................................................... 5

3.0) Identifying Energy Planning Guidance Commonalities ...........................................................................................................5 4.0) Introductory Guidance for Energy Planning ...........................................................................................................................7

4.1) Building Support and Capacity for Energy Planning.......................................................................... 9 4.2) Researching Current Situation........................................................................................................... 19 4.3) Data Analysis and Scenario Development ........................................................................................ 23 4.4) Developing the baseline and future scenarios ................................................................................... 25 4.5) Target Setting .................................................................................................................................... 30 4.6) Action Plan Development ................................................................................................................. 30 4.7) Political Approval.............................................................................................................................. 34 4.8) Implementation.................................................................................................................................. 36 4.9) Review and Evaluation...................................................................................................................... 40

5) Guidance and Tools to Support the Energy Planning Process...................................................................................................41 5.1) Detailed Energy Planning Guidance ................................................................................................. 41 5.2) Energy Planning Support................................................................................................................... 41 5.3) Evaluation.......................................................................................................................................... 41

Reference Documents ...................................................................................................................................................................42 Appendix 1 – Gotland Energy Plan – List of Contents .............................................................................................................44 Appendix 2 - Critical Success Factors for Energy Planning.........................................................................................................45 Appendix 3 – checklist from Kommuncentrala styrdokument i Malmö stad (Policy for Municipal Plans/Programmes/Strategies in the City of Malmö), Malmö City Council, 2006 .........................................................................................................................47

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1.0) Summary This document is designed to give an overview of common approaches to energy planning, supported by best-practice learning from around Europe. It is aimed at practitioners within municipalities who have responsibilities for progressing the development of an energy plan. Energy Planning brings all existing plans, projects, initiatives, policies etc. related to energy and climate change matters within a geographical area together into one collective plan that is owned by all that reside within it. The development of energy plans throughout Europe, follows a variety of methods. However all include the following key aspects:

• Gaining support for the process politically and with key stakeholders • Undertaking research to asses the current energy situation • Development of business and usual and alternative scenarios • Setting of short, medium and long term targets • Identifying actions for implementation • Gaining political approval for the energy plan • Implementation • Review and evaluation of the energy plan

The time and resources devoted to each of these elements will vary considerably with local context. Central to the whole process is the importance of engaging and involving internal and external stakeholders. The guiding principle that states ‘usually any design will work, if people want it to’ holds true for energy planning. Energy planning therefore must be time-limited following a model which is easily replicable, and action-focused, together with a clear vision for what it is trying to achieve in terms of environment, economic and social objectives. The final output of the process needs to be fully integrated into the hierarchy of other planning documents within the municipality and be part of an effective performance management process. This is version no 2 of this Energy Planning Guidance, the first version is extended with examples from municipalities across Europe. The examples are direct quotes from their reports or short summaries of different good example projects.

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2.0) Introduction

2.1) Definitions The PEPESEC project has adopted the term ‘energy plan’ as defined by the Swedish Law on Municipal Energy Planning of 1977. This Swedish model of energy planning articulates how energy is supplied, distributed and used within a defined municipality and covers all types of energy needs - transport, heating, electricity specifically for domestic and industrial use. It also describes the current energy flow rate from production to consumption, the resources used to generate and transport energy, sectors that are the final consumers of this energy, and a description of its impact on the environment. The plan is developed with the involvement of all groups within society that are integral to its delivery. Plans need to be approved by the Municipality’s elected representatives, as the highest decision-making body. Strong motivation within consumers and producers of energy is necessary so that during the process the correct decisions are taken. However many other terms are used in the EU to define a process which equates to part, all or more than, the Swedish definition of energy planning. These include:

• Sustainable Energy Action Plan (EU’s Covenant of Mayors) • Energy Action Plan (IEE’s SECURE Project) • Sustainable Energy and Climate Plan (Enova, after the Norwegian experience) • Climate Strategy (Helsinki Municipality, Finland) • Climate Change Strategy (Woking Municipality, UK) • Carbon Management Action Plan (EST, UK)

Typically energy planning also include a full assessment of all greenhouse gas emissions (e.g. agriculture) and climate change adaptation strategies (e.g. managing flood risk). Example: Swedish Energy Planning – a short historical resume. The Swedish Law of Municipal Energy Planning is a direct result of the oil crisis during the 1970s. The Swedish Government realised the need of reducing the oil dependency and the law was created and implemented. The Swedish municipalities have the main mandate in planning issues, i. e. Master/Comprehensive plans and therefore also energy planning. When the law was created it was very common that the municipalities owned the production and distribution of energy (district heating and electricity) and energy planning was a relative easy municipal task. The focus in the plans were the development of the production and distribution of energy. Due to shifts in the economic trend and legislation many municipalities in Sweden have sold off their energy production and distribution to private energy companies and thereby lost their influence in these

fields. But the law about energy planning is still valid and this has made a change necessary in the scope of energy planning. The focus and necessity to include environmental and climate aspects into the municipal planning work have increased and changed the way of carrying out energy planning. The municipality is a public actor with the means to influence the energy use in their own buildings and properties, the municipal vehicles and public transport as well as the planning of development areas. This makes the municipality a “power factor” in the energy field. Today, many Swedish Municipalities have widened their energy plans to include more aspects of environmental and climate issues as well as the transport sector and have changed the name from energy plan to energy and/or climate strategy.

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2.2) Scope of this guidance document and methodology This document aims to identify the common characteristics within guidance across all definitions of energy plan in EU, provide introductory guidance for the energy planning process and identify the critical success factors for implementation. Published and non-published energy planning guidance has been reviewed, together with sample energy plans. It is aimed at practitioners within municipalities who have responsibilities for managing the energy plan development process. This updated version of Energy Planning Guidance is extended with energy planning examples from municipalities across Europe. The examples are direct quotes from their reports or short summaries of different best practice projects. During 2009, the PEPESEC project will pilot the development of energy plans within 9 municipalities in the UK, Sweden, Poland, Italy, Spain and Greece. The learning from this will be captured and synthesised,and will together with further detailed case study research produce an enhanced guide for energy planning in 2009. In addition the European Commission has stated its commitment to undertake an evaluation of all of the energy planning methodologies throughout Europe and produce a comprehensive guide during 2009 (EU, 2008)

3.0) Identifying Energy Planning Guidance Commonalities Energy planning guidance differs from country to country across the EU, defined by the local context and history of energy supply and distribution. In recognition of this, the Covenant of Mayors is not prescriptive on the detailed content of sustainable energy action plans in its own guidance. However, all reviewed guidance places the municipality at the centre of the process. For example:

• as instigator and facilitator (Enova, 2008) • as consumer and service provider; planner, developer and regulator; advisor, owner, motivator and a model; producer and

supplier (EU, 2008) This highlights the complex role for municipalities as (1) leading the process of energy planning, and (2) leading by example through implementation of measures where it has direct/indirect control and influence, (3) energy consumer and owner of buildings and (4) authority and planner of the municipal development. The involvement and engagement of wider stakeholders is seen as an essential component referenced in existing guidance. The EU identifies the need to engage the private sector both to maximise impact, but also to bring in expertise in areas typically outside the competency of municipalities. The citizen as a stakeholder is also seen as a key element to successful energy planning. Public acceptability is seen as being greatly enhanced through participation in the process. Implementation of measures is likely to require acceptance or involvement of citizens. This is also seen as strengthening the political support for the process through evidence of a local constituencies backing energy plan implementation. Typically energy planning guidance assumes a political or senior management decision has already been made to undertake energy planning. There is therefore a lack of direct reference to tactics that may be required if this is not the case. 3.1) Distilling the essential elements of the energy planning process With broad agreement of the leading role of municipalities and need for stakeholder involvement, the energy planning process, the detail of guidance on process can now be examined. Five examples of guidance for the energy planning process are laid out in Table 1. They have been aligned horizontally to show the common aspects.

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Table 1 – Examples of Energy Planning Processes Skane (2008) Sweden

EST (2007) UK

Enova (2008) Norway

Faber Maunsell (2008), UK

Profu, (2008b), 3-nity, EU

1) Building Support for the Process

1) Get on Board

1) Organising the energy and climate plan work

1) Know how to get there (policy making and testing)

1) Introduction

2) Researching the Current Situation

2) Data Collection

2) Gathering Information 2) Know what your baselines are (emissions and vulnerabilities)

2) Orientation

3) Strategic analysis 4) Target Setting

3) Data Analysis & Recommendations

3) Future Development, projections and scenario development

3) Know where you’re going (setting trajectories and targets)

3) Main Study

5) Action Plan Development

4) Action Plan Development

5) Action Plan Approval

4) Planning and Implementing Measures

4) Evaluation Decision

6) Action Plan Implementation

5) How to proceed from plan to action

4) Know what you’re doing (setting objectives)

4) Carry Through

6) Political Decision and define the follow up

7) Review and Evaluation

6) Organisation and Continual Improvement

(Repeating steps 1-4) 5) Reports & feedback

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Whilst these examples of energy planning guidance put emphasis on different elements, it can be clearly seen that there is broad consensus on essential elements of energy planning. These are summarised below:

1. Building support and capacity for energy planning 2. Researching current situation (policies, strategies, action plans, and base-lining of energy use/emissions data) 3. Data analysis and scenario development 4. Action Plan Development 5. Political Approval 6. Implementation 7. Review and evaluation

The cyclical nature of the energy planning process is outlined in figure 1, The remainder of this document will focus on giving further detail on best practice, following the 7 stage energy planning process, referenced from various source documents.

4.0) Introductory Guidance for Energy Planning Conceptualising the Energy System and Energy Planning Before embarking on energy planning it is important to be clear of what comprises the ‘energy system’. This goes beyond purely physical infrastructure related to energy supply and generation (power plants, storage, heat networks, grids etc.), it also identifies energy used in industrial, commercial, transport, and domestic sectors. Therefore demand-side management (DSM) actions and behavioural change activity is within the scope of energy planning. DSM interventions can be both technical and managerial or a mix of both. Energy end users are therefore likely to form a key target group within an energy plan. Energy planning consists of collating a wide range of existing actions as well as opening up the debate as to what is technically feasible, financially expedient, politically necessary/desirable, and publicly acceptable. All of these are subject to change over time as technology advances, energy markets and products costs change, political goals shifts and public opinion changes. Over time the energy planning process will affect, and be affected by, these forces. The process will also help local planners look to other municipalities nationally and internationally for potential solutions not under current consideration. Example: Detailed Energy Planning Research PEPESEC Workpackage 2, Nantes Métropole, France Step 1 - National context in France Energy generation in France mainly comes from fossil fuels (petrol and natural gas), nuclear power and in less percentage from renewables and coal. For the past years, national reports on emissions in France point out a tendency to exceed 10% the objective set by the Kyoto Protocol for 2010. In particular, this increase is concentrated in specific sectors such as buildings and transport. In order to readdress such situation, the French government has produced and proposed a consistent framework for its

action: the National Climate Plan 2004-2012. This strategy sets priorities for action in each sector, indentifying for example specific measures to encourage energy efficiency in buildings and promote cleaner public transport, and setting CO2 quotas for industry and agriculture. This ambitious plan incorporates the EU targets of reducing 20% of emissions by 2020 and goes beyond by committing to divide by 4 (“Factor 4”) its emissions by 2050, identified by the IPCC (Intergovernmental Panel on Climate Change)

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as a necessary requisite for stabilising the climate by the end of the 21st century. To achieve those targets, the national government requires a greater involvement from all parties in all territorial levels. At local level, the National Climate Plan 2004-2012 requires the development and implementation of Territorial Climate Plans which constitute a follow-up action for the ATEnEE (Territorial Action for the Environment and Energy Efficiency) contracts developed for the period 2003-2006. In addition, to better address the rapidly changing energy and environmental contexts and improve current environmental and sustainable development policies, the French Ministry of Environment launched in 2007 a new initiative called “Le Grenelle Environnement” (Environment Roundtable). This large-scale round table aimed to gather all civilian and public service representatives to discuss and define the key government priorities on ecological and sustainable development issues for the upcoming five years. Six workgroups were organised, one of them focusing on “Fight climate change and control energy demand”. Based on the outputs from those groups and after a consultation phase with a wide range of public actors, the government started a negotiation phase structured in 4 round tables attended by 5 stakeholders groups (local authorities, the French State, NGOs, employers, and employees). Each roundtable identified the major guidelines for action in all thematic areas. The conclusions from these discussions constituted Le Grenelle I “Strategic framework”. Further in this process, at the end of 2007, around thirty operational committees were formed to define guidelines and objectives for the operational programmes (Le Grenelle II “Operational framework”). At the same time, assessment and monitoring committees were set up to assess the work undertaken by the operational committees.

The Ministry of Environment is the National Authority responsible of energy, environment and sustainable development policies and coordinates “Le Grenelle Environnement” Initiative. ADEME is a national research institution which supports technically and financially local authorities and other local environmental organisations undertaking energy actions. Local context in Nantes Métropole The Urban Community of Nantes (Nantes Métropole) is a young local administration, constituted in 2001, which groups 24 municipalities surrounding the city of Nantes. Among others, it has the competences for urban planning, transport, waste management and environment for Nantes’ conurbation. Nantes Métropole is therefore the main body responsible for coordination, implementation and monitoring of climate change and energy policies. As previously mentioned, the National Climate Plan 2004-2012 requires the implementation of Territorial Climate Plans. During the period 2006-2007, Nantes Métropole made its first step by undertaking a diagnosis of the CO2 emissions in its conurbation. Such assessment was supported financially and technically by ADEME and provided the basis for the development of Nantes Métropole’s Climate Plan. Prior to that, Nantes Métropole had received the ATEnEE contracts (Territorial Action for the Environment and Energy Efficiency) to cover the scope 2003-2006. The Climate Plan was part of the new arrangements introduced by ADEME (the COT, or Territorial Target Contract) which provides access to new sources of finance for studies and communication/publicity. This Climate Plan sets CO2 reduction targets by 2025 and sets an action plan covering the period 2007-2012. Nantes Métropole is the capital of Pays de la Loire region. Until now, regions were free to develop and implement energy actions in a voluntary basis, as regional competences

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regarding energy were not very precise. However, as a result of Le Grenelle strategic framework, this situation has changed and regions will have to prepare their energy and climate change territorial plans in 5 years time. In terms of energy supply and distribution, Nantes Métropole used to have formal agreements with the electricity, gas and district

heating networks within its territory and historical contracts with specific energy suppliers. However, since July 2007, new EU legislation has established open competition in the European energy market sphere. As a result, the city has started contacting different suppliers such as Alterna, Electrcite de France or Gaz de France in order to meet them and assess future partnerships.

4.1) Building Support and Capacity for Energy Planning 4.1.1) Building support to embark on energy planning Before embarking on energy planning it is necessary to have sufficient authority and support to advance the process, from both politicians and colleagues. As stated in section 3.0, existing energy planning guidance typically assumes that an organisational decision has been taken to undertake energy planning. Where this has yet to take place is will be necessary to develop a business case to win over senior managers and politicians. This element of pre-energy planning will vary according to local and national contexts, but could include identification of existing commitments, responsibilities, policies, and action plans. It would typically identify the benefits of energy planning across a range of policy areas from economic development, energy security, local health and wellbeing (including fuel poverty), environmental protection and improvement and demonstration of leadership. Inclusion of case study examples of success from other national and international municipalities will add weight to this case, as will an appreciation of resource demands and potential sources. In terms of organisational commitment required for energy planning, guidance varies on the staff resource demands from quantified 2 working days per month for the manager and 1 hourly meetings for operational group members (EST, 2007), to the qualitative description of ‘intense concentration both politically and administratively’ (Enova, 2008). These staff demands will vary according to the local context and as to scope of proposed energy planning and external support available. Enova (2008) recommend selling the concept of sharing/saving staff resources through working in tandem with energy companies who may be working towards similar ends. International (Kyoto 1997, Bali 2007, Copenhagen 2009 etc.) EU (20:20:20 Plan, 2008 etc), national and regional policy drivers will also strengthen the logic chain for action on this agenda. Research evidence such as from the IPCC and Stern Review of Climate Change, can also be featured. It is recommended that tactics are developed for advancing this arguments and building key political allies as well as managerial support. Assistance from national or regional support organisations may be available to help with this. Consultancies will also offer service. Securing of programme sponsors at senior political and managerial levels are seen as critical for leading and embedding the change management that will be required through energy planning (EST, 2007). Example: Action Plan on Energy for Dublin, Ireland Introduction Dublin City Council (DCC) in association with Codema is committed to delivering an Action Plan on Energy for Dublin. There are several reasons for this energy action plan:

The first reason is to save energy because of its cost, driven primarily by the price of a barrel of crude oil, which rose from $30/bbl in 2004 to over $100/bbl in 2008 and which it is predicted will continue to rise. Fuel costs affect every

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business in the city (including DCC itself with an annual energy bill of circa €20m in 2007); they also affect every commuter and every household. The most vulnerable citizens are being hardest hit, for example those who experience difficulty in heating their homes adequately. The second reason concerns human wellbeing which, in addition to being a significant end in itself, is an important driver of competitiveness as Dublin endeavours to attract and develop world class companies here. Those who have to commute long distances to work, for example, or take long detours to drop off their children at schools or crèches, come under additional stresses from rising transport fuel costs, and their wellbeing suffers. The third reason for preparing an action plan on energy is to reduce Dublin’s carbon footprint in the context of the global problem of climate change. Cities have a central role to play in tackling climate change, particularly as cities bear a disproportional responsibility for causing it. In fact, cities consume 75 per cent of the world's energy and produce 80 per cent of its greenhouse gas emissions[1]. There are thus three drivers of this energy action plan encompassing the economic, social and environmental dimensions. These three dimensions are inseparable and interlinked and they combine both local and global issues. They are further discussed in the next chapter under the overarching framework of sustainable development. In 2006 Dublin City consumed 22 terawatt-hours of primary energy in the form of oil, gas, electricity and renewable energy and, in the process, emitted 5 million tonnes of carbon dioxide (CO2). The consumption can be divided between four major sectors: residential 35%, services 22%, manufacturing 20% and transport 23%.

The type of actions that are considered in this plan in order to reduce the energy consumption and associated CO2 emissions fall under two general headings: (a) energy efficiency and (b) alternative energy sources. Energy efficiency is about getting more from less and the best opportunities for improving energy efficiency can be found in the housing and transport sectors. For example, insulation of homes and new technology heating systems can significantly reduce energy consumption in the residential sector. Efficient forms of transport, such as the LUAS, DART; bus and rail, consume far less energy per passenger journey than commuting by single occupancy car. In both of these areas peoples’ behaviour and attitude to energy usage has the biggest impact on their energy consumption and carbon footprint. The second type of action that can reduce Dublin’s carbon footprint is to replace conventional fossil fuels, such as oil and gas, with innovative renewable energy sources, such as solar panels and wind or ocean energy. Dublin City Council has already taken a pro-active approach to sustainable energy since the start (in 2006) of the process for developing this energy action plan:

Since November 2007, by means of a variation to the current City Development Plan, the City Council has been promoting higher standards of energy efficiency and increased use of renewable energy in new building developments by insisting on a high energy rating which will be increased further to an A3 minimum BER rating in January 2009

In May 2008 the Council adopted a Climate Change Strategy focussed on reducing the 5 million tonnes of CO2 emitted each year in Dublin. The strategy addresses five areas, namely energy, planning, transport, waste management and biodiversity

The City Council is also leading by good example in its own offices and services

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and in a number of best practice demonstration projects, including:

New low-energy apartments in York Street

The Dublin District Heating project Renewable hydro-electricity at Vartry

works Wind turbines at Father Collins Park Workplace travel plan for Council’s own

staff Looking to the future, Dublin is already leading an Intelligent Energy European project, called ‘MINUS 3%’ [2], which aims to reduce energy consumption in city administrations by 3% per year, culminating in an annual energy saving of 33% by 2020. In addition to these local priorities, this Action Plan on Energy for Dublin is in accordance with the Irish national targets for reducing energy consumption and associated CO2 emissions, as set out in the Government’s Energy White Paper – ‘Delivering a Sustainable Energy Future for Ireland’ [3] and in the current Programme for Government [4]. The action plan supports and reinforces the 1st National Energy Efficiency Action Plan for Ireland 2007- 2020 that, first, sets out the path to achieving a 20% (33% for the public sector) reduction in energy demand by 2020 and, second, serves as Ireland’s response to the requirements of Article 14(2) of the EU Energy End-Use Efficiency and Energy Services Directive (2006/32/EC). The methodology employed, as detailed in the following chapters, examines the current energy consumption in the four main sectors: residential, services, manufacturing and

transport. Models are created for each sector in order to evaluate a range of potential actions in terms of capital cost, energy savings and reduction of CO2 emissions. A menu of options is presented that permits the balancing of business and environmental objectives within an overall human wellbeing approach. This Consultation Draft presents the issues, costs and benefits of Dublin’s options for improving sustainable energy use. It follows on from the pre-draft consultations that have been carried out since the start of the process in mid-2006. The first step in developing this report was the Dublin Seminar on Sustainable Energy Action Plans at the Civic Offices in October 2006. This brought together experts, stakeholders and decision makers from Dublin, along with the partners in the EU ‘SECURE’ project [5] from Denmark, Sweden and Estonia. Next, pre-draft consultations with key stakeholders and the general public were facilitated over the following months. About 50 organizations were consulted, including DCC and Government departments and agencies, engineering consultants, third level institutions, Dublin’s Residents Associations and Comhairle na n’Óg. The present Consultation Draft provides a comprehensive starting point for the debate among policymakers, stakeholders and citizens on Dublin’s future energy strategy. It is the businesses, communities and individual citizens who consume energy at home, at work and travelling in between that are critical for the ultimate success of this energy action plan.

4.1.2) Organising the work Once a decision has been made to undertake energy planning it will be necessary for the manager to produce a first draft of a delivery plan for the complete energy plan. This will outline the drivers, the process, and identify all the actions needed to be undertaken, by whom and over what timescale. This will evolve and might also vary over time, but it is good practice to have a clear framework that can be communicated to key stakeholders early in the process.

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The role of co-ordinator is of great importance in the process. Worcestershire cite the value of giving officers ‘freedom within boundaries’ and to encourage dissemination, mentoring and learning from other organisations as helping to create a culture of innovation (IDeA, 2007). Evaluation methodologies (as described in 4.7) will assist the co-ordinator in identifying steps required to manage the energy planning process. Example: The Route to Sustainable Commuting, Ireland Chapter 2 Preparing for Mobility Management Planning - Organising for Mobility Management (or Energy Planning) Like any process of change, success hinges on commitment at all levels and on good project management. Sustained commitment from senior management in an organisation is the essential prerequisite to a successful mobility management plan (or energy plan). Once the decision has been made to manage mobility in the workplace (make a municipal energy plan), it is important that one person in the organisation is assigned the task of co-ordination, development and implementation of a Plan. This person is often referred to as the Mobility Manager. Additional support structures, such as a steering group or working groups, can contribute to a successful plan. It is important that appropriate structures are put in place to deliver the plan and to ensure that the momentum is sustained. Assigning key responsibilities should be an early priority in the project. Mobility Manager (or Energy Planning Manager) The role of the mobility manager is the day-to-day management and co-ordination of the plan. Organisations with large staff numbers and financial resources may create a dedicated full-time post of mobility manager. In smaller

organisations, this function may rest with a person from a site services or human resources department. It is important in this latter situation that sufficient time resources are allocated to the task. Where area-wide mobility management plans are being developed (for example, among several employers in the same building, or within a business park or industrial estate), the post of a fulltime mobility manager may be funded by the business park management company or directly cofunded by individual organisations within it. However, even where an area-wide plan is being externally co-ordinated, each employer will still require their own internal co-ordinator. The mobility manager will be the person who champions the project at all levels, which means maintaining senior management support, and maintaining communication and promotion right across the organisation. They will also be responsible for external communications perhaps with local authorities, public transport companies or other organisations engaged in mobility management. An important role for the mobility manager is to act as a contact point for the project, both for management and staff in general.

4.1.3) Stakeholder Mapping The energy planning process will involve a wider variety of internal and external stakeholders. Effective engagement and involvement of these stakeholders will be critical to success of the process. Early stakeholder mapping of both organisations and individuals is recommended, together with identifying what their potential role will be in the production of an energy plan.

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Example of important stakeholders: • Politicians • Planning manager • Civil servants from relevant municipality administrations • Energy companies in the municipality • Regional and local energy agencies • Industrial energy experts • Representatives from co-operations and foundations • Representatives from relevant interest organizations • Consultants

Profu (2008a) and Enova (2008) both identify three distinct grouping of stakeholders and stress the need for clearly defined roles and terms of reference for their involvement: Example: The PEPESEC Workpackage 3 – Stakeholder Engagement MethodologyAt an early stage of the energy planning work it is essential to identify your stakeholders. As mentioned above there is a wide range of stakeholders connected to your work and to make it easier to identify the most important

ones to include the matrix below can be used to categorise them accordingly. The easiest way to do this is to have a short workshop in the initial work group and list the stakeholders and try to categorise them in the matrix.

Crossing in a matrix influence and interest, we obtain three categories of stakeholders:

Influence Low High

Low Desirable Stakeholders Categories which is appropriate to involve

Interest

High Weak Stakeholders Categories which is right and proper to involve

Essential Stakeholders categories which is necessary to involve

The mapping of stakeholders will tend therefore to individuate:

• The essential stakeholder, i.e. a person who is necessary to involve because he/she has a high interest and a high influence respect to the object of the planning and, therefore, a high capacity of intervention on the decisions;

• The desirable stakeholder, i.e. a person who is necessary to involve because he/she has a low interest but a high influence. This category could be

represented by the lobby groups or by opinion leaders who are able to influence the public opinion;

• The weak stakeholder, i.e. a person which has a high interest but a low influence. This category is represented by the subjects who do not have the tools and the instruments in order to express their interests in a strong and homogeneous way; these subjects dovetail often with the groups who are recipients of the politics of energy planning.

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a) Steering group Role: Strategic direction and ensure the process is getting political support Membership: Politicians and senior managers (could include energy planning manager also) Example: The Route to Sustainable Commuting, Ireland Chapter 2 Preparing for Mobility Management Planning - Steering Group A steering group operating in support of the mobility manager can spread the workload, improve information quality and foster a sense of wider ownership and involvement. The steering group should ideally consist of 5 to 10

people who represent the key divisions and interest groups within an organisation. The group should also include senior management and the mobility manager, who will act as facilitator.

b) Working group Role: The main body for undertaking the project work and producing reports for the other groups. This group will also commission and manage additional support (e.g. consultants) Membership: Energy planning manager, key persons from municipality departments, public agencies, energy companies, energy agencies, energy experts etc. Example: The Route to Sustainable Commuting, Ireland Chapter 2 Preparing for Mobility Management Planning - Working Groups Working groups organised around particular interests or themes can be another level of coordination or value. These might include a bicycle user group or a public transport user group. These groups will involve those most interested in particular measures, thus acquiring valuable knowledge from experienced users, sharing ownership and allowing efficient dissemination of information to target audiences.

All organisations will have varying degrees of cultural, financial, taxation and logistical constraints, which may affect the development of a mobility management plan. A group approach will help ensure a clear understanding of these issues as well as offering solutions to tackle particular constraints or concerns.

c) Reference Group Role: This group exists to support the working group and steering group with knowledge, expertise and advice. They also exist to reflect over the process, and provide peer-review support. Members can be co-opted to support the steering group and/or working group directly. Membership: University experts, other energy experts, energy companies, interest organizations, business organizations etc. See Figure 2 for the description of their interrelationship. 4.1.4) Engaging stakeholders Before engagement with stakeholders it is recommended that the delivery plan include a stakeholder communications plan. This will build on the stakeholder mapping exercise and identify by what means, and with what frequency, stakeholders should be communicated with. A municipality will typically have professional staff within marketing or public relations department that could assist with this. Engagement of stakeholders will vary according to how you see them contributing to the energy planning process. Enova (2008) identify external stakeholders as important potential leads for thematic groups within the process. This will need to be factored-in to how municipalities wish to engage with them, and at which level. Preparation of relevant and targeted material prior to engagement with stakeholders is recommended to maximise the chances of success with ‘first contact’.

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The method of engaging stakeholders will vary according to organization/individual and the level of existing relationships. For those not known to the co-ordinator, an introduction from a respected politician or senior manager is recommended. The City of London recommends that it is important to understand the motivation of business community to ensure that messages are pitched in a language relevant to them (IDeA, 2007) Skane (2008) recommend engaging with as many stakeholders as possible, starting with key people first. These key players will have significant role in helping advance the process, clear blockages, identify and secure resources etc. It is advised that if someone is to have be responsible for implementing an energy action, they should also be part of the planning process Losing some control to key stakeholders is seen as important to increase influence and trust in the process (IDeA, 2007 – citing Middlesborough Council). Once key stakeholders have been engaged and introduced to the concept of energy planning it is recommended to bring them together to formally launch the process and ‘reward’ them for their positive engagement. Example: Detailed Energy Planning Research PEPESEC Workpackage 2, Nantes Métropole, France Step 3 - Interaction between the different stakeholders of the programme Guided by Nantes Métropole and supported by EXPLICIT Consultancy, the process of energy planning involved the local authority itself together with the local municipalities, businesses and social stakeholders. They were divided into different working groups looking at the feasibility of technical measures and

how they could be achieved. For some operational measures, the partnership identified the main obstacles (financial, technical and administrative) and anticipated to them, as for example, providing training to construction workers in new practices, environmental standardisation, etc.

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Fig 1. The Energy Planning Process

Researching the Current Energy

Situation Data Analysis &

Scenario Development Understanding supply, generation, and use.

Target setting.

Action Plan Development

Identifying new & existing actions with quantified impacts, also thinking about

ways to communicate the actions

Political Decision Approving the Energy Plan

Monitoring & Review

Building Support for the Process

Politicians, Partners & Colleagues

1

3

2

4

5

7

6

Implementation,

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Fig 2. Organisation of Key Actors in Energy Planning Source: Profu, 2008

Citizens

Political Hemisphere

Working Group

Reference Group

Steering Group

Consultants

Experts Energy, Environment Industry,

Building etc.

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4.2) Researching Current Situation An energy plan can be viewed as a mechanism for mobilising and targeting resources. For this to be credible and effective the process must be evidence based. The research phase of the process is therefore of great significance. Example: Action Plan for Energy for Dublin, Ireland Chapter Analysis of Residential Sector - Methodology (Methodologies for the Commercial and Transport sectors are presented in separate chapters) The current housing stock situated within the Dublin City Council area was analysed in detail. Several data sources were used to gather the necessary information, including the Central Statistics Office, the Department of the Environment, Heritage & Local Government, ESRI (Economic and Social Research Institute), Codema, Sustainable Energy Ireland, data provided by informed organisations and estimates where no official data was available. The housing stock was examined by built form (i.e. detached, semi-detached etc.), age profile, floor area and building fabric. Fuel mix was also considered although detailed information on the breakdown was not available for Dublin City.

The fuel mix was estimated based on best available data. Rates of construction of new dwellings and demolition of older dwellings were also examined. While there are some projections for rates of construction within Dublin City, estimating the rate of demolition was a more difficult task. Figures used are again based on best available data. This information was then used to create a model of Dublin City Housing for the period 2006 to 2020. Based on the DEAP (Dwelling Energy Assessment Procedure), this model allows us to estimate the effects of our future actions, regarding the residential sector in Dublin City.

4.2.1) Collating existing policies and plans As Skane (2008) highlight, no energy planning process is starting from scratch. There will a wide range of existing policies, strategies and action plans relating to climate change, energy, transport, waste, planning, regeneration, education etc. which will need to be collated with the relevant policies, targets and actions extracted. At its most basic level, an energy plan could consist of an amalgam of these existing commitments. However many such documents may exist at only a national or regional level which will require translation and application to municipality level, backed by an evidence base of local data on energy supply, generation, storage, transport, use, as well as quantification of the potential for local supply/generation of energy resources. A simple mapping exercise supported by partners will enable mapping of the data sets needed and facilitate an understanding of all the information (consumption data, cost, contracts, planned expansion/contraction due to service changes etc.) needed to reduce repeat requests for information. The London Borough of Barking and Dagenham recommend that the data collection methodology must be simple and not resource intensive (IDeA, 2007). This will enable increased likelihood of success and replicability. Typically in Scandinavia headline data is collected by energy carrier (electricity, gas, coal, wood, petrol, diesel, waste etc.) and use by sector (primary industry, agriculture,,private services, households, public services and transports) ( Skåne 2008).

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Example: Detailed Energy Planning Research PEPESEC Workpackage 2, Helsinki, Finland Step 2 - Links to other programmes and policy Energy Planning is visible in many strategies and policies developed by the City of Helsinki. Helsinki’s participatory Local Agenda 21 (LA21) which started in 1997 and culminated in 2002 identified “reducing greenhouse gas emissions” as number 1 target for its Sustainability Action Plan (2002 – 2010). Also Helsinki’s environmental policy (2005-2008) refers to energy consumption reductions as a means to fight against climate change. As a result of the Energy Efficiency Agreement scheme launched by the Ministry of Employment and the Economy, other sectors involved in the

energy planning process of Helsinki have signed their own bilateral agreements. Some examples are: the Energy Efficiency Agreement with Helsinki Energia, the city owned energy company responsible of the energy production and distribution or the Energy Efficiency Agreement with the public transport operator in Helsinki Metropolitan Area. Finally, within the Climate Change Strategy for the Metropolitan Area of Helsinki, the city administration collaborates with the Metropolitan Council as well as with 3 other cities in the region in their work on climate change.

4.2.2) Municipalities own data As a starting point the municipality’s own data concerning its estate and transport fleets will need to be collated. This will enable the municipality to lead by example in shaping an energy plan as part of its overall environmental management plan. This is likely to include:

• Demographic and housing type information • information on numbers of offices/schools/other buildings including floor area and energy consumption by type; • Also municipality owned housing • Leisure facilities (e.g. swimming pools) • Transport fleet size, vehicle types and consumption by fuel type; • Street lighting • Waste collected, by type • Details of energy procurement contracts and renewal dates • Identification of existing municipality owned renewable and CHP facilities • Planned regeneration / developments

Information on trends over recent years will be invaluable. Many municipalities will have existing energy managers who will be a key source of information and support in the energy planning process. Example: Detailed Energy Planning Research PEPESEC Workpackage 2, Helsinki, Finland Step 3 - Research and analysis The City of Helsinki has been monitoring energy consumption since the 1980’s. As a result, the city counts with a solid report of energy statistics. For the preparation of the Energy Efficiency Action Plan, the city subcontracted a private company to conduct a research of the main potential for energy savings in the City’s building stock. Such research led to the development of different scenarios based on different energy saving potentials and percentages of building renovation by 2020.

In the research conducted for the Climate Change Strategy for Helsinki Metropolitan Area, emissions were studied from the point of view of energy consumption for each resident. The aim was to identify those choices that affect the energy consumption of residents and that have a major impact on greenhouse gas emissions. In 2004, the total estimated emissions of Helsinki Metropolitan Area were 6.2 million tCO2, which is about 8 per cent of emissions for the whole Finland. A large proportion, 43 per cent, was due to heating buildings. Electricity consumption caused 28 per cent and transport accounted for

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nearly one quarter of emissions. The most rapid growth in emissions occurred in electricity consumption and transport in recent years. The analysis concluded that if this trend continued as expected and no special measures were taken, the overall greenhouse gas emissions of the Helsinki Metropolitan Area would remain at the levels of

2004 by 2030. This trend calculation takes into consideration international conventions and its targets on emissions reductions as well as current national legislation. It also considers an improvement in the energy efficiency of existing buildings as energy prices increase and legislation becomes stricter.

4.2.3) Offical data The official data available on a municipal level will vary from country to country. In Sweden for example, energy data on a municipal level are available from the national authority Statistics Sweden. Green house emissions data are also available on a municipal level in Sweden, supplied by an interest organization of Swedish County administrative boards. Not every country have official statistics on a municipal level, but it is always a good idea to exam what kind of official energy and greenhouse gas emission data that are available. 4.2.4) Partner’s data Many municipalities will operate a range of services on contract by partner organisations. In addition there will be significant public sector organisations (health sector, public transport operators etc.) that will have energy data that the municipality will not directly have sight of. This data will be invaluable to build up a picture of current energy use. 4.2.5) Data from energy companies, network operators and fuel suppliers Depending on the structure of energy markets and regulation, various levels of data on energy use will be available. Some of it may be deemed ‘market sensitive’ and therefore not be available at municipality level. Confidentially agreements with energy companies may aid the release of data required. Example: City of Malmö, Sweden When the City of Malmö sold their energy production and distribution facilities in 1991 to a commercial company – Sydkraft, E.ON today - it was stated in the contract that a group called “Malmö Energy” should be formed. The group should have key representatives from both the energy company and the city administration and

the task of the group is to inform each other about coming projects, i e new residential areas, new energy production units. The group meets on a regular basis and is a good resource for information exchange, including statistics and data.

4.2.6) Resource mapping At this stage of the process it may be desirable to undertake a resource mapping exercise to identify potential for local generation and supply. For example this could include an assessment of public / private land available for deployment of wind turbines, assessment of geothermal energy resources etc. Example: Municipal Master/Comprehensive Plans and National Investigations, Sweden Information from the municipal master/comprehensive plans can possibly point out suitable areas for energy production. In Sweden the National Energy Agency have undertaken a wind survey to point out the best development areas for wind power. Here the

municipalities can find if their land property is suitable or not. The Swedish Government (2006) has also proposed that municipalities and regions should work actively for an easier planning and implementing of wind power.

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4.2.7) Identifying gaps and future areas for research Data gathering should be confined a specific schedule as laid out in the delivery plan and should be adhered to. Skane (2008) highlight that data gathering follows the law of diminishing returns. Where data cannot be easily collated, this should be noted as a gap and the process should move on. Some gaps in information may well be later addressed through further research and feature in the energy plan itself (such as resources surveys). Example: Energy Strategy of Burlöv Municipality, Sweden Chapter 1 Energy - Use of energy in sectors Use of energy in the household sector has decreased about 10 % till year 2006 compared with year 1990 (Figure 3). During the same period the energy use in the transport sector has increased with about ca 40 %. energy use in industrial sector has decreased heavily, almost 50 % during the same period. In the public sector

the use of energy has increased with as much as 75 % according to the statistics. In the sector private services, the use of energy has increased with about 70 %. In the sector private services, shops, offices and other private business is included.

Energy use in sectors in municpality of Burlöv, 1990 - 2006

0

50000

100000

150000

200000

250000

300000

350000

1990 1995 2000 2005Year

MW

h

AgricultureIndustryPublic sectorTransportsHouseholdsPrivate services

Figur 3. The diagram shows the development of energy use in sectors in muncipality of Burlöv. The values for 1991-1994 och 1996-1999 is interpolated. Source: SCB, 2008, E.ON, 2008, Comments The great decrease of energy use in the industrial sector depends on a total cut of coal use between 1990 and 1995 and it does not seem to have been replaced by anything else. The great increase of energy use in the public and private sector probably depends on incorrect statistics. It is very probable to say that it has been an increase of energy use in private and public sector due to an increase of population and businesses, but not as large as the statistics

show. The use of natural gas in industrial sector is estimated for year 2005 and 2006. Several businesses and industries are located in Burlöv. In comparison with Skåne, the allocation of energy within sectors is quite the same except the industrial sector that is slightly higher in Burlöv and private services. In comparison with the whole country, the allocation of energy to the industrial sector is smaller (Figure 4).

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Comparison of energy allocation to sectors between Burlöv, Skåne and Sweden, year 2005

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

Burlöv Skåne Sweden

Private servicesHouseholdsTransportsPublic sectorIndustryAgriculture

Figure 4. The diagram shows the allocation of energy to different sectors in Burlöv, Skåne and Sweden in year 2005. Source: SCB, 2007.

4.3) Data Analysis and Scenario Development Guidance produced by Enova (2008), goes into great detail regarding the nature of data to be collected and how it could be analysed and reported. This is key part of the process which requires new learning for municipalities with technical assistance from competent sources. A number of tools are available to assist municipalities in this process which will in turn inform the precise nature of the data to be collected. Some such as the e-Sankey tool (see appendix 1) can be purchased for c.$100 and used to generate an energy flow diagram (see figure 3 for an example). These graphically display all the energy carriers and their use by sector. More involved models such as the Greenhouse Gas Inventory Protocol (GRIP) – (see appendix 1) are consultancy supported tools which assist with defining data collection and feature methodologies for generating a baseline for CO2 emissions together with future scenarios for energy supply, generation and use. The 3-nity Project (2008) has trialled use of the REAM tool for energy planning which is based on 1997’s KRAM model. As described by Profu (2008) it enables the generation of consistent scenarios for energy planning:

• Handle all alternatives on the same basis – both supply technologies and efficiency measures • Handle the complex energy system, both in detail and to give the comprehensive view of the system • Handle the influences to the energy system: energy prices, taxes, policy instruments, new technologies, emissions

restrictions, etc • Analysis the competition between different solutions • Follow-up the consequences of the system development

REAM generates a wide range a reports with graphical representations (such as Sankey diagrams). It should be noted that the REAM tool does not consider transport within its methodology

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It is recommended by Skane (2008) that the methodology adopted should be easily replicable in terms of simplicity, time and cost. It is urged that first-time energy planning municipalities should adopt a simple methodology, whilst more experienced energy planners might benefit for use of the more technical support tools such as REAM. Skane recommends that every energy plan should take into account the different roles a municipality has when doing the data analysis. The roles defined by Skane are:

• Owner and consumer (rolemodel) • Authority • Information body

Examples of different roles a municipality has concerning energy matters could be:

• Planning authority • Owner of property (buys a lot of energy) • Environ mental authority • Opinion maker • Coordinator of work regarding climate change • Catalyser in the change to renewable fuels

It is also advised by Skane that if you don’t have the more advanced tools to carry out the data analysis, it is still important to prioritize in which areas and sectors the main part of the energy plan will be carried out. Base for the prioritation could be:

• Implementation possibility • Profitabillity • Environmental gain

Figure 5 – Energy Flows as a Sankey diagram. Source: Enova, 2008

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Ultimately it will be for municipalities to decide the level of detail they require and support needed in this element of the process Comment: As mentioned shortly above it is absolutely necessary to have very good data and statistics if you want to create a good and qualitative energy flow diagram and/or a scenario or as the saying goes – garbage in, garbage out – or the risk for rather useless diagrams is high. The energy planner should take this in to consideration, especially if it is a first time energy plan. It can be better to mark the incomplete data as a future research need and return to this form of instrument in the next version of the energy plan. Example of another tool: Climate Baseline Investigation 2050 for the City of Lund, Sweden Summary – Back casting Lund municipality has been working a long time with decreasing the greenhouse gases.

To increase the longevity of the work a climate base line investigation was started in the spring of 2008. The investigation will work as support for political decisions and dialog with citizens of the municipality.

Lund climate base line investigation identifies possibilities to decrease the greenhouse gas emissions in the municipality with 85 percent until year 2050 according to Sweden's and EU's climate goals. Sectors investigated are energy, transport and agriculture.

An inhabitant in Lund approx. releases ten tons of carbon dioxide a year. Half of this originates from consumption of goods, while the remaining five tons are divided by energy (46 %), transport (42 %) and agriculture (11 %). Within the three investigated sectors to reach the set target for 2050 the following estimation is done (back-casting):

- Energy: full transition to bio-fuels, wind power and solar energy are needed for the energy produced in Lund.

- Transports: powerful technology efficiency is needed and reduced demands for transport. Private car transports must be reduced with one percent a year and most of the transports of goods must transfer over to railroad. Also the air traffic must reduce, for example through IT based solutions.

- Agriculture: important measures are the investment in bio gas production from manure and improved agriculture methods for land use. A reduction with 85 percent is estimated not to be possible. This has to be compensated within other sectors of society.

The emissions from all sectors, including consumption of goods, must start decreasing now to be able to reach the set target. To wait with the transition will mean much tougher actions later on.

4.4) Developing the baseline and future scenarios The primary purpose of data collection and analysis is to understand the currently position in terms of energy supply, generation and use and develop a CO2 baseline for the municipality. The Covenant of Mayors (EU, 2008) is clear that the baselines generated should suit the municipality concerned. The ‘best’ methodology for this is open to debate and may also be shaped by the reporting needs / requirements of regional or national governments. The secondary purpose of the analysis is to inform the generation of CO2 reduction targets and identify options for achieving these. Skane (2008) also means it is important with accurate statistics of energy use to be able to improve and monitor increased energy efficiency.

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TCPA & CHPA (2008) recommend the generation of ‘business as usual’ projections to 2050, which take account of existing and planned interventions, as well as alternative scenarios to for meeting energy demand. In addition it is recommended that a medium term vision for 2020 is developed, the context of which can inform a 5 year energy plan. Figures 4a & 4b shows examples of future scenarios developed for Gotland. The analysis of data enables identification of areas or sectors, which require further data gathering, analysis. It also helps prioritise future intervention activity. The deeper the research and analysis, the greater understanding of planned and potential future interventions, and identification of potential blockages and solutions. Planned or anticipated developments to the energy system also need to gathered, analysed and their impacts quantified. This can include:

• Planned physical developments • New sustainable energy projects • Expected / anticipated legislation, financial regulation, subsidies • Expected changes to energy markets • Economic growth trends • Anticipated changes to consumer demand (e.g. air conditioning)

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Figure 6a – Scenario Development Source: Gotland Municipality, 2008 Figure 6b– Scenario Development Source: Gotland Municipality, 2008

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Example: Action Plan on Energy for Dublin, Ireland Chapter Analysis of Residential Sector - Scenarios The practical options that are available to Dublin from now to 2020 are assessed, under 3 headings: Business As Usual (BAU) BAU sees the trajectory of CO2 emissions continue along the rising trend line from 1990 to 2006 [1]. This scenario amounts to a minimal compliance with legal requirements, with no long-term vision. Scenario 1 Scenario 1 comprises ‘the low hanging fruit’ measures, that are generally very cost-effective (but not at zero cost, as is sometimes assumed) and that can be applied immediately. Scenario 2 Scenario 2 includes all the measures listed under Scenario 1, plus major additional measures using existing technologies that are either not common in Ireland at present or are not cost-effective. Table 6.1: Summary of Energy Actions for Scenarios 1 and 2 Sector Scenario 1: Actions Residential Sector

Improve user behaviour Low energy light bulbs Attic insulation in existing homes All new houses to be ‘A’ energy rated on

BER scaleServices Sector ‘Good housekeeping’ (e.g. switching off

equipment not in use) Low energy lighting systems and

controlsTransport Sector Workplace travel plans for commuters School travel plans Cycle initiative

Sector Scenario 2: Additional Actions Residential Sector

Complete major refurbishment of existing houses, including wall insulation, energy efficient windows, high efficiency boilers and renewable energy for heat and hot water

High penetration of District Heating and renewable energy Services Sector

Upgrade of heating, ventilation and air conditioning

Insulation of the fabric of existing commercial buildings

All new commercial buildings over 1,000 m2 to be ‘A’ energy rated Transport Sector

Eco-driving training for professional drivers of buses, trucks and taxis

Electric cars (including plug-in hybrids) at 10% market penetration

Energy Models Detailed energy models have been created in this report specifically for each of the four sectors: residential, services, manufacturing and transport. The models are based on the most robust and up-todate data available from Census 2006, National Car Testing, DTO, SEI, EPA, ERSI, DOEHLG and other sources. Matrices for energy consumption (in units of kWh) are computed and presented according to both sector and fuel type. It is then a simple matter to calculate the CO2 emissions, and other quantities, using standard conversion factors. These models are valuable for evaluating the impacts of the various options for energy saving, both as individual options and, by simple addition, the impacts of several measures taken together. For example, CO2 emissions for the current (2006) year and projections to 2020 are shown in figure 7 (figures 6.1, 6.2 and 6.3) for the three scenarios: BAU, scenario 1 and scenario 2, respectively.

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Figure 7. Scenarios for Residential Sector from Action Plan on Energy for Dublin, Ireland.

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4.5) Target Setting A starting point for target setting is gathering relevant existing EU, national, regional and local policies, strategies and plans. These will contain a plethora of targets for growth, reduction across a range of indicators. The locally approved documents provide a clear kick off point for the target setting process. A number of questions will arise:

• Do existing targets reflect changes in EU, National, Regional policy document? • Do they need updating? • Are they conflicting? • Have actions already been identified to achieve these targets? • Does your municipality want to go beyond EU, National, Regional targets? • Do local long-term targets have clear short-time milestones?

Many of these questions can only be answered through an iterative process with action plan development. This in turn will inform refinements to scenario development. Skane (2008) see that it is essential that politicians and the steering group are fully engaged in the target setting process. Example: Detailed Energy Planning Research PEPESEC Workpackage 2, Nantes Métropole, France Step 3 - Target Setting The analysis of scenarios and the development of different simulations of actions provided Nantes Métropole with sufficient evidence and data to set their own targets for CO2 reduction. Local politicians agreed on adopting the following 3-fold target:

1. The Kyoto 2012 target in a short term aimed at reducing CO2 emissions to the levels of 1990 by 2012;

2. To the “Factor 2” target as a mid-term objective to reduce by 50% its greenhouse gas emissions by 2025;

3. And to the “Factor 4” target as a long-term objective to reduce by 4 its greenhouse gas emissions by 2050.

By going over the Kyoto protocol and fixing medium and long term objectives, Nantes Métropole has set ambitious targets coherent with the National and European targets.

4.6) Action Plan Development 4.6.1) Collating existing and actions The research and analysis of the current situation will identify a range of existing and planned actions that can be easily incorporated into the energy action plan. In this way no energy planning process ever starts from scratch. 4.6.2) Identifying new actions Intelligence gained through data analysis will identify key sectors to target with interventions (e.g. predicted transport growth). It will also identify major opportunities for interventions (e.g. major housing renewal programme). The selection of potential interventions is a key part of the process. This will be shaped by what is technically, economically, socially and politically possible, and critically, an awareness that these constraints are subject to change. An awareness and knowledge of what is possible should be a key part of this process. This can be developed by reviewing the various energy management case studies available on EU and other databases:

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Examples from the Knowledge Base on pepesec.eu: Climate neutral - The new approach to building in Amsterdam, Netherlands Very recently Amsterdam City Council has set a target of four out of ten newly built houses to be climate neutral by 2010. A climate-neutral house does not use any fossil fuels for heating, uses several installed facilities to generate green electricity and to limit electricity consumption. In 2015 this will apply to all new houses built within the municipality borders. The cumulative effects of this new approach to building are significant. With the accelerated savings proposed by Amsterdam, the increase in gas consumption

(estimated on almost 4,5%) will be cut in half and the electricity consumption will decline by 30%. The new standard for climate neutral construction will also apply to new offices and businesses. This new standard has an effect on the entire process of land allocation, selection (or preselection) of parties and awarding projects.

The entire case study can be read on http://www.pepesecenergyplanning.eu/archives/142

Street lighting in Amaroussion, Greece With regards to the energy side of waste cycles, a recycling system has been implemented concerning the lamps of all the municipal buildings and the municipal network of lighting. Our city is currently carrying out a study for recording the energy consumed of the entire municipal network of lighting with the aim of upgrading the system with the addition of applying energy efficient measures such as the gradual replacement of sodium lamps of the

municipal lighting network with those that use low energy. The entire case study can be read on http://www.pepesecenergyplanning.eu/archives/102

Archimede project. Developing solar thermodynamics – Sicilia, Italy Perfect wind and solar conditions make the town of Priolo Gargallo (200.000 inhabitants), a town on the east coast of Sicily (Italy), a unique location for applying innovative sustainable technologies. One major innovation is a local solar power plant. The plant generates steam from solar radiation, which is then fed into the steam cycle of a gas-fired combined cycle power station next to it. The system combines several innovations that over-come the existing problems

of solar power systems. Nobel Prize winning physicist Carlo Rubbia, president of the alternative energy agency ENEA, has opened the pilot of the Archimedes solar power plant in 2004. The prototype on industrial scale, which will supply energy to the town of Priolo Gargallo and save 39.0000 tons of CO2 emissions each year. The entire case study can be read on http://www.pepesecenergyplanning.eu/archives/218

Ölz Bündt - Vorarlberg, Austria. Ölz Bündt is a three-storey multiple dwelling building in Vorarlberg which is a prototype of a timber construction system for multi-storey residential buildings. The building is a wood structured building with standardised and

prefabricated wooden elements. Also wet cells were prefabricated and mounted to the deck elements. The building has been set up as a passive house. In order to save energy, the building concept is based on a compact cube without setbacks or bulges. Two-thirds of the

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required energy for tap water is supplied by a solar collector on the roof. The single-depth compound is north-south oriented and is situated among the 2- to 3-storey residential buildings. The multifamily house comprises of 13 dwellings and a two-storey office. The building is accessed from the north, the individual dwellings from the pergola on the east. Balconies on the west are

unconnected bearing structures outside the main construction. The entire case study can be read on http://www.pepesecenergyplanning.eu/archives/171

The PEPESEC Knowledge Base features up to 200 short case studies of energy management projects from partner municipalities and wider EU. These can be accessed via the PEPESEC Project website: http://www.pepesec.eu/ 4.6.3) Ownership of actions Potential interventions will identified by the strategic analysis and target setting process. They will be further shaped by engagement with concerned stakeholders. It is essential that action planning features a full and transparent dialogue with stakeholders (Skane, 2008) Integration of actions with existing plans (such as land-use planning, waste management, organisational business plans etc.) will help strengthen ownership of the energy plan. Discussion will include clarifying what is expected of those charged with implementing projects and identifying the support available. The action plan needs a coherent structure for management of the overall plan, and the individual actions. Each action could include:

• Short description of the project • Time frame • Resource requirements and sources (inc. any funding applications required) • Who is responsible for carrying out the project • How it should be reported • Economic impact • Environmental impact

4.6.4) Prioritisation of actions It will not be possible to advance all the actions identified at the same time. It is therefore essential that action planning includes a coherent methodology for prioritization of projects. The basis for prioritisation of actions could be:

• Potential for implementation • Profitability / cost-benefit analysis • Environmental gain (e.g. CO2 reductions)

It is recommended that ‘quick wins’ are identified and included to demonstrate to stakeholders that the process is delivering, soon after implementation commences.

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Example: Detailed Energy Planning Research PEPESEC Workpackage 2, Nantes Métropole, France Step3 - Actions identified within the energy planning process The choice of which actions needed to be implemented was mainly determined by their potential to reduce greenhouse gases emissions and comply with the Kyoto Protocol and the Factor 2 target. All forms of action proposed in the strategic framework for the conurbation’s Climate Plan were proved to be technically and economically feasible within the context and situation of Nantes Métropole and were discussed and agreed with concerned local organisations (SMEs, trade organisations, energy suppliers and distributors, property developers, etc.). In order to decide which actions would be implemented in each activity sector (housing, transport and services), a three-stage analysis was carried out:

- Identification of the energy uses responsible for the higher emissions (heating, air conditioning, private cars…);

- Cost-benefit analysis of the most appropriate technical options (the energy mix, energy performance of buildings and equipments) and subsequent calculation of the expected Teq of CO2 avoided;

- Proposal of quantitative annual targets as for example, number of residences to be refurbished, number of residences to be connected to the district-heating networks or the number of new low emission buses.

As a result, the Climate Plan includes actions based on the following intervention themes:

- Actions towards town and country development (population density) and on the sectors responsible for CO2 emissions:

o buildings: old, new, residential and tertiary sector

o transport: of goods and people

- Projects allowing CO2 storage in the conurbation (forest around the city and timber construction)

- Co-operative forms of actions to reduce greenhouse-gas emissions in countries of the South.

In terms of urban planning, Nantes Métropole chooses the model of compact city for its development, based on high population density which consumes less space and therefore, less energy. This priority is reflected in the Local Housing Plan and the Local Urban Design Plan and includes actions towards new buildings and new energy performance criteria for the creation of new housing, training for construction workers and awareness raising campaigns and advice for the general public. Refurbishing old buildings to achieve a better energy performance is one of the main priorities of the Local Housing Programme. Some of the actions included in this plan are: increased insulation, high performance electrical equipment and heating systems both for existing residential and tertiary-sector buildings. In addition, the Multi-year Energy Action Plan has introduced the geographical Climate Intervention Zones. Based on a geographic analysis of the conurbation (termographic indicators of energy loss, building’s construction dates, socio-economic indicators and population density), this Action Plan identifies priority intervention areas with the highest potential for CO2 reductions. The promotion of renewable forms of energy is another priority reflected in the Multi-year Energy Action Plan. Among its actions, this Plan aims at developing and optimising the conurbation’s district heating networks replacing fossil fuels by biomass and promoting solar water heating. In the transport sector, the Urban Travelling Plan sets the priorities of Nantes Métropole in this area including actions to increase the availability of public transport (especially tramway and

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buses), promote eco-friendly modes such as walking and cycling, improve energy performance for vehicles and the use of bio-fuels and also promote a new mobility culture among its citizens. The Climate Plan aims to integrate such actions and propose new ones to be introduced when revising the forthcoming action plans. At the same time, the Climate Plan aims to introduce CO2 quantifications to assess the carbon effect associated to each of the actions and measure the

improvements in CO2 emission reductions which can contribute to reach the targets set by the Climate Plan. Finally, the Climate Plan also establishes a number of actions to increase the potential of CO2 storage in Nantes’ conurbation (urban forest and timber use for construction), to support projects to reduce CO2 emissions internationally, especially in countries of the South, and to better adapt to climate change.

4.7) Political Approval 4.7.1) Democratic legitimacy Political approval of the energy plan increases the status of the process and provides democratic legitimacy for the ensuing actions. This in turns strengthens the hand of those implementing the actions. However it should not be viewed as alternative to effective stakeholder engagement. See example in 4.7.4) Political sign-off 4.7.2) Citizen Involvement A prerequisite to political approval is engagement and consultation with local people. The ultimate aim is for the whole community to ‘own’ the energy plan. Consultation will be enhanced through early involvement of citizen stakeholders in the process. This may take the form of involving citizen groups (tenants and residents groups, environmental and community groups). Example: City of Malmö, Sweden City area Augustenborg

Augustenborg is the collective name for a programme to make Augustenborg into a more socially, economically and environmentally sustainable neighbourhood. Ekostaden Augustenborg, one of Sweden´s largest urban sustainability projects, was supported by the government´s Local Investment Programme and also financed by key local partners within Malmö City and the MKB housing company. Ekostaden is working within the residential area of Augustenborg in Malmö, Sweden, as well as with the school, industrial area and other local

businesses. One of the key aims of the project is to enable residents to take a leading role in the ideas, design and implementation of the project. The project was launched in 1998 and the results so far indicate that Augustenborg has become an attractive, multicultural neighbourhood in which the turnover of tenancies has decreased by almost 20% and the environmental impact has decreased to a similar degree. Read more: www.ekostaden.com

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4.7.3) Opportunities for sign-up to wider networks Political approval presents the opportunity for the municipality to sign-up to national / international initiatives. These could include the Covenant of Mayors (EU), Energie Cities (EU) and the Notting Declaration on Climate Change (UK). Each will have their own eligibility criteria for membership and provide a wide range of benefits for participation. Example: Plan Climat Territorial de Nantes Métropole, France Theme VI - Acting internationally In a spirit of international solidarity, Nantes Métropole is now conducting mutual-assistance and cooperative forms of action in Europe and with countries of the South. Signing the Charter on decentralised co-operation for sustainable development gave concrete expression to Nantes Métropole’s commitment alongside the towns within the authority’s area, to develop and support projects aimed at reducing social and environmental divisions between poor and rich countries. Activities undertaken by Nantes Métropole now make it possible to limit CO2 emissions

internationally. What is now being done is to intervene in all the areas where a direct or indirect effect on CO2 emissions can be obtained:

Technical co-operation on renewable forms of energy and high-energy-yield systems;

Technical co-operation on reforestation and greening, facilitating storage of CO2 (biological “carbon sinks”);

Technical co-operation on combating deforestation.

1 Existing forms of action

Solar furnaces and high-yield wood-burning stoves are being promoted in Latin America and Africa, supported by the Bolivia Inti-Sud Soleil association, which encourages the use of renewable-fuel systems for cooking in countries of the South. These methods serve to combat deforestation and limit the use of fossil fuels. The association is now being assisted in making carbon assessments of its activities.

Arid areas within the Peruvian town of Villa El Salvador are being greened. Nantes Métropole is supporting the creation of planted areas within the town, to replace sandy soils that present health risks to the residents. Six hectares will be completely restored, and this action is helping create a carbon sink that is significant in relation to the size of the town.

2 Potentially useful forms of action

Micro-hydroelectric plants are being developed at Kindia in Guinea, within the context of the European Community’s call for ACP-EU “waterfacilitating” projects. Nantes Métropole is offering to work with warious stakeholders in the town of Kindia, to establish a publicly owned local waterdistribution service. In order to ensure continuous supplies for the water-production plant, an offer has been made of a feasibility study for establishment of a micro-hydroelectric plant that is currently partly oil-fired. The plant’s total provision of electricity

should allow continuous supply of the network, which is an essential condition for the residents to pay a fair price for water and thus allow a healthy financial basis for the public local water supply.

A carbon clearing-house is being established by Nantes Métropole to support projects of towns within the authority’s area for reforestation or combating deforestation. The aim is to make available carbon-engineering expertise for decentralised co-operative projects of the constituent towns.

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Combating deforestation of the mangrove swamp in Guinea by establishing the use of methods that do not employ wood as a fuel needed to exploit salt resources. In the context of the Guinea co-operative arrangements, Nantes Métropole is intending to support associated stakeholders who help safeguard this wetland, which is a real reservoir of biodiversity.

A technical co-operative partnership is being established between Seattle, in the USA, and Nantes Métropole. The American city has

been committed to a climate-action plan since 1990.

The conurbation has joined the Climate Alliance, a network of European towns committed to climate plans, in order to share experience of good practice and methods, and also to assert the commitment of communities within the conurbation to combating climate change at the international scale.

4.7.4) Political sign-off The engagement of politicians on all sides through earlier stages in the process will smooth the path to final political sign-off. The approval process will have its own timetable, which will need to be factored into the delivery plan. Approval represents a great opportunity for media promotion of the energy plan, as well as a celebratory launch event for stakeholders. The inclusion of external stakeholders at this stage assists with further alignment of organisations to the energy plan. Example: City of Malmö, Sweden The City Council of Malmö realised during 2004 that a great deal of plans, programs and strategies was handled and approved for various levels and responsibility areas of the municipality. Some of these plans/programs/strategies were concerning related areas and the risk of deciding on contradicting targets and actions were a great risk. To ensure or lessen the risk of contradicting targets/actions being approved, a policy for the handling of plans/programs/strategies was

implemented in 2006. Within this policy it was clarified that the Energy Plan is a plan stated by law and therefore a document concerning the municipality as a whole. The Energy Plan is circulated for comment to relevant political boards and stakeholders, sometimes adjacent municipalities can be included in this circulation, before the City Council makes the final decision and approves the programme in full.

4.8) Implementation 4.8.1) Implementation as a process For the collective efforts of the energy planning process to be fully realised, effective implementation is essential. Surprisingly existing energy planning guidance offers little guidance in this area. If the planning process has been undertaken effectively, the implementation process will be robust enough to cope to with organisational, political and personnel changes. Clearly regular meetings of a revised steering group will be required, chaired by a respected, action-orientated, inclusive person. As previously stated the ownership of actions by a range of stakeholders will support the implementation process, as will the embedding of the energy plan within existing performance management frameworks. Addressing climate change should not be considered the responsibility of one person, but own integrated throughout the municipality’s departments and amongst wider stakeholders (IDeA, 2007)

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4.8.2) Supporting implementation Capacity is likely to be required to support delivery of energy plan actions. This will need to be planned for, whilst avoiding the creation of a ‘dependency culture’, whereby little happens without continual prompting or intervention from the centre. Example: City of Malmö, Sweden In the policy mentioned in the example of 4.5.4) Political Sign-off, there is stated that every plan/program/strategy must have a plan for “who “owns” the document, who is responsible for the communication of it and who will revise it?”. The communication plan is important as an instrument for the internal communication as well as the external communication. For the internal communication the plan is essential for

the implementation of the actions in the energy plan. The revision is a good instrument to keep the “action-owners” alert for their responsibility of delivering results. The Environment Programme 2008-2003 for the City of Malmö has been revised yearly. A short version of this is published to use as an easy check-up for the public, schools etc how the actions contribute to meet the set targets (or not).

4.8.3) Reporting progress and celebrating success The need to report progress will help to engender a culture of urgency towards achieving the milestones laid out in the plan itself. The realisation of milestones also presents an opportunity for promoting success, demonstrating progress and forward momentum. Example: City of Helsingborg, Sweden As an instrument for the follow-up of the environment programme a web-based tool called “Miljöbarometern” (Environmental Barometer) visually shows the progress of the targets and the actions connected to them. In figure 8 some of

the targets for energy is showed, the smiley is the status of the target and the multicoloured beam shows the status of the actions connected to each target.

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Figure 8. A print screen from the web-based tool “Miljöbarometern”, miljobarometern.helsingborg.se. Translation in the box to the right. Example: City of Malmö, Sweden Mobility Management Campaign – “No silly car-trips” The campaign “Inga löjliga bilresor” (No Silly Car-trips) has been running for three consecutive years in Malmö. When it was first launched in 2007, 50 % of the car-trips in Malmö were shorter than five kilometres. This is in a city with

more than 420 kilometres of bike roads and the time it takes to reach your destination seldom exceeds 15 minutes. The third year (2009) of the campaign it was able to lower the figure of “silly car-trips” to 38 % from the initial 50 %.

Greenhouse Gas Emissions In 2010 shall greenhouse gas emissions within the city of Helsingborg have decreased with 20 % compared to 1990. In 2050 shall the emissions be reduced with 50 % compared to 1990. Status of Actions: Reduction of Fossil Fuels In 2010 shall fossil fuels only be 20 % (maximum) of the energy mix for production of electricity and district heating. Status of Actions: Increase of electricity from RES In 2010 shall electricity production from RES increase with 100 GWh compared to 2002. Status of Actions: Green Electricity for the Municipal Businesses and Administration In 2010 shall minimum 20 % of the municipal businesses and administration have green electricity. Status of Actions: Energy Use per Municipal Inhabitant In 2010 shall the energy use per municipal inhabitant reduced with minimum 4 % compared to 2002. Status of Actions:

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Figure 9: Print-screen from the campaign’s web-site: www.ingalojligabilresor.nu The campaign has had “car-drivers” riding bikes in the city, some of them as parts of the bill-boards (see picture in figure 9), giving out bike-saddle protectors and on the web-site the citizens have been able to post the “silliest car-ride” they

ever done and compete for a bicycle. The campaign has been exported to two other municipalities in Sweden, which shows the success and inspiration of the campaign.

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4.9) Review and Evaluation 4.9.1) Cycle for review and refreshment The energy plan will need to clearly state over what timescale it will be reviewed as refreshed. As a ‘living document’ this may include annual refreshment of the actions, as actions are achieved and new opportunities arise. Typically an energy plan will require a full review on a cycle of 3-5 years. This is of particular importance for an area which is subject to rapid policy and technological change. It will need be integrated within the municipality’s performance management processes to ensure it does not ‘float’ as an obscure additional plan to mainstream activity. Example: Helsinki, Finland Detailed Energy Planning Research PEPESEC Workpackage 2, Step 3 - Length of time taken for the energy planning process? Energy Planning in Helsinki started in 1974 with the creation of the Energy Savings Board. Since then, the City has signed successive energy conservation agreements with the National Government, the last one covering the period 1997 – 2007. In 2007, the City signed the Energy Efficiency Agreement with the Ministry of Trade and Industry (2008 – 2016). The preparation of the Action Plan lasted 1.5 years and involved intensive collaboration between the different

departments, Motiva Oy and 6 other Finish cities. This Action Plan is now under approval. As a result of the rapid changes in the energy sector and the review of National and European legislations, the Finnish government has established a team of 4-5 experts which includes representatives from the ministry, the association of municipalities and regions and the City of Helsinki, whose task is to monitor and provide guidance on the progress of the Energy Efficiency Agreement. This Agreement is then reviewed whenever it is deemed necessary.

4.9.2) Evaluation of the process The 3nity (2008) project has utilised the European Foundation for Quality Management’s (EFQM) Common Assessment Framework (CAF) to develop a tailored excel-based questionnaire to assess the success factors in creating sustainable energy communities. It covers enabling and results factors. It provides an excellent framework for planning of the energy planning process and thinking through all the steps needed in striving for excellence. If repeated as part of the energy planning review cycle it can be used to track progress and target areas for improvement. See section 5.3. The ‘Smarter Partnerships’ partnership management toolkit developed in the UK by the Employers' Organisation for local government (EO) also provides valuable insights into the required actions for delivering multi-stakeholder programmes. It helps co-ordinators assess the health of partnership working across the areas of leadership, trust, learning and managing for performance. See section 5.3

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5) Guidance and Tools to Support the Energy Planning Process

5.1) Detailed Energy Planning Guidance Municipal Energy and Climate Planning, Enova (2008) This guide goes into great detail on the data collection and analysis aspects of energy planning. http://www.managenergy.net/download/Norwegian_Guidebook_for_Municipalities.pdf

5.2) Energy Planning Support Greenhouse Gas Inventory Protocol (GRIP) To support CO2 base lining and scenario generation, as described in section 4.4 www.grip.org.uk Sankey Resource Flow Diagramme Software As described in section 4.4 www.e-sankey.com REAM Energy Planning Software As described in section 4.4 http://www.ieeprojects.net/treenity.html (coming soon) Energy Balance Game Assists with conceptualising the energy system http://litago.mediafarm.no/3nity/energyBalance.html

5.3) Evaluation 3-nity Self Assessment Tool This builds on EFQM’s (European Foundation for Quality Management) Common Assessment Framework and is tailored to the energy planning process. http://www.ieeprojects.net/treenity.html Partnership Management This UK tool helps assess partnership management through the aspects of leadership, trust, learning and managing for performance www.lgpartnerships.com “Miljöbarometern” (Environmental Barometer) This Swedish web-based tool helps municipalities to follow-up and evaluate the set targets and actions in an environment programme, can be applied on an energy plan as well. www.miljobarometern.se, http://miljobarometern.helsingborg.se

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Reference Documents State of the Art (WP2 Report) 3-nity Project, 2008 Local Authority one-to-one support programme EST, 2007 Municipal Energy and Climate Planning Enova, 2008 Covenant of Mayors, Sustainable Energy Action Plans EU, 2008 Guidance Elements Climate Change – Local Authorities and a Faber Maunsell, 2008 Low Carbon Future New Amsterdam Climate Gemeente Amsterdam, 2008 Gotland Energy Plan 2007-10 Gotland Municipality, 2007 London Energy Strategy - Green light to clean power Greater London Authority, 2004 Tackling Climate Change – Theme Guide IDeA, 2007 Community Leadership and Climate Change Local Government Association, 2001 Guidance for Local Authorities Energy Planning Organisation PROFU, 2008a Models in Local Energy Planning PROFU, 2008b Finding Your Way to Energy Actions SECURE Project, 2008 The Process of Modern Energy Planning in Sweden, Skane Energy Agency, 2008 The Development of the Swedish Climate Strategy The Swedish Energy Agency, 2007 Community Energy: Urban Planning for a TCPA and CHPA, 2008 Low Carbon Future Woking Climate Change Strategy 2008-13 Woking Borough Council, 2008 Helsinki Metropolitan Area Climate Strategy YTV Helsinki Metropolitan Area

Council, 2007

Energy Planning in the City of Helsinki PEPESEC Workpackage 2 – Detailed Energy Planning Research (Jorgina Cuixart, Eurocities), 2009

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Energy Planning for the territory of Nantes Métropole PEPESEC Workpackage 2 – Detailed Energy Planning Research (Jorgina Cuixart,

Eurocities), 2009 Plan Climat Terrorial de Nantes Métropole 2007 Action Plan on Energy for Dublin – Consultation Draft Dublin City Council and Codema

Sustainable Dublin, 2008 Multiplying Sustainable Energy Communities MUSEC Project, 2009 The Route to Sustainable Commuting Way to Go Project, SAVE II programme, – An Employer’s Guide to Mobility Management 1999-2001 Kommuncentrala styrdokument i Malmö stad Malmö City Council, 2006 (Policy for Municipal Plans/Programmes/Strategies in the City of Malmö) Stakeholder Engagement, Workpackage 3 Methodology PEPESEC Project, 2009

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Appendix 1 – Gotland Energy Plan – List of Contents Foreword 1 Contents 2 Summary 3 1. Introduction 5 2. Energy in figures 7 2.1 Distribution of the various types of energy used on Gotland 7 2.2 Who are the greatest energy consumers on Gotland? 9 3. Climate strategy for energy transition 11 3.1 Climate strategy to 2010 11 3.2 Success factors for the municipality’s energy transition 12 4. Options for renewable energy on Gotland 13 4.1 Energy on Gotland – situation and opportunities 13 4.2 Local availability of renewable energy 14 4.3 Sustainable energy production on a local basis? 18 5. Current supply of energy to Gotland 23 5.1 The largest energy providers 23 5.2 Distribution 23 6. Energy transition and the Gotland community 26 6.1 Success factors for a community-wide energy transition 26 6.2 Targets for energy consumption on Gotland as a whole 27 6.3 Action plan with municipal allocation of responsibility 29 6.4 Future scenarios 33 7. Support for sustainable development 38 7.1 Reduced environmental impact 38 7.2 The start of a transition on Gotland 39 7.3 Working in partnership 43 7.4 The role of the business sector in the energy transition 45 7.5 Benefits to the local economy 46 8. The effects of energy consumption on the environment, health and management of land, water and other resources 47 8.1 Environmental effects of energy consumption 47 8.2 Health impact of energy consumption 49 8.3 Management of land, water and other resources 50 9. Finally / References 51 Glossary 52 Conversion table for output and energy 56

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Appendix 2 - Critical Success Factors for Energy Planning Success factors for Sustainable Energy Communities (3-nity Project, 2008) The IEE-funded 3-nity project undertook comprehensive research to establish the key criterion that lead to successful sustainable energy communities. Interviews were held with 30 stakeholders from groups including consultants, managers and operators, government funders / supporters, agencies. Proposed, failed and operational projects were included, to learn from successful experience, work-in-progress and failures. 3-NITY partners supplemented the interview notes with additional material, both publications related to the specific schemes interviewed and some recent relevant material from other related interviews, discussions and studies. The CSFs have been categorized according to the 9 critieria in the EFQM Excellence model: Criterion 1 – Leadership Although the municipal leadership in energy and climate issues is rather weak in most cases, the general trend on the political arena gives a good opportunity for local politicians and candidates for the Mayor’s office to put energy- and climate issues on their political agenda. Criterion 2 - Policy and Strategy Local plans for energy and climate issues must become part of the local planning hierarchy, thus ensuring a regular updating and follow-up of implementation plans. Criterion 3 – People The allocation of human resources dedicated to energy- and climate issues is absolutely critical. In addition to clear delegation of responsibilities, preferably with one full-time employee for co-ordination, energy and climate issues need to be incorporated in other sectors within the municipal administration such as local business development, transport planning, management of municipal building stock, education, forestry and agriculture, health etc. Criterion 4 - Partnership and Resources Local stakeholders are indeed interested i taking part in local policy development, however, their views need to be taken into account in a transparent way, preferably to formally established public-private partnerships.. Regarding the resources, the intention is not that the municipality shall bear all costs related to this topic, in fact the private and professional stakeholders are the ones to do a large share of the required investments. Criterion 5 – Processes Municipal processes must be coordinated, and as mentioned under criterion 2 (policy and strategy) it is critical that all the regular processes of the municipality have elements of energy and climate built-in. Criterion 6 – Customer results Regular monitoring of the satisfaction and viewpoints among customers (citizens and local businesses) is an important tool for the municipality when plans are being prepared/updated.

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Criterion 7 – People results The know-how and quality of the municipal staff is crucial, and in relation to energy and climate issues, it is necessary for the municipality to have a strong focus on continuous training and upgrading of staff at all levels and within all sectors. Criterion 8 – Society results It is important to relate energy- and climate issues to the daily challenges in the local community, and not to focus too much on the global society. Securing employment, developing good living conditions and a clean environment for the future are important factors at local level. Criterion 9 – Key performance results When extra efforts are demanded, it is important to show progress and results. Municipal key performance indicators related to energy and climate development at local level will become increasingly important, and should be made widely available. Comparison or benchmarking between municipalities, also on a cross country level should be developed.

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Appendix 3 – checklist from Kommuncentrala styrdokument i Malmö stad (Policy for Municipal Plans/Programmes/Strategies in the City of Malmö), Malmö City Council, 2006

What national documents do already exist within the political or activity area? What overall municipal documents do already exist within the political or activity area? Motivate the need for a new document? How will the coordination with already existing documents within the political or activity area be

handled? Will the new document reduce the total number of already existing documents within the political or

activity area? What political boards will the targets/actions in the new document concern, and who will deliver the

tasks? Does the document include wide range targets that could be tasks for the city council? Are the targets clear and defined and easy to follow up? Are the actions measurable? Is there a financial calculation/cost-benefit analysis included? How will follow-up and evaluation be done and who is responsible? Is there a time-frame for the document? For how long will it be valid? Is there a clear and concise summary and can it be published separately? Who “owns” the document, who is responsible for the communication of it and who will revise it?