Eco 2 Cities: Ecological Cities as Economic Cities The World Bank's New Urban Development Initiative
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1 THE WORLD BANK Eco 2 Cities: Ecological Cities as Economic Cities The World Bank's New Urban Development Initiative Hiroaki Suzuki, Lead Urban Sector Specialist Eco2 Team Leader Finance, Economic and Urban Department, the World Bank Helping cities achieve ecological and economic sustainability in synergy. Integrated cross-sector approach energy efficient and low carbon emission. Optimal urban plan & land use Compact Cities. Combining multiple financial instruments (IBRD,IDA, GEF, CF, CTF, IFC etc). 1
2 How did we arrive at our Eco 2 solutions? By focusing on global best practice cities: Curitiba, Brazil Stockholm, Sweden Yokohama, Japan Singapore Vancouver, Canada Auckland, New Zealand Brisbane, Australia 3 Eco Cities Global Experiences (1) Stockholm, Sweden Integrated Utility Management & Resource Management Redevelopment of southern district in Stockholm, Sweden Energy Waste Water and sewage Source: Stockholm City Planning Administration 2
3 Eco Cities Global Experiences (2) City of Yokohama, Japan Solid Waste Reduction Implementation of 3R (Reduce, Reuse, Recycle) with citizen's collaboration Achieved 38.7% reduction in six years ( ) Cost Saving and Revenue from Recycling Closure of two incinerators because of reduced waste Saved about US$ 1.1 billion capital costs of incinerator reconstruction, US $ 6 million from reduced operation and maintenance costs. Longer life of landfill sites x 10,000 t Total Amount of Waste Source: City of Yokohama Website Eco Cities Global Experiences (3) Curitiba, Brazil Integrated Land & Transport Development Innovative Land Use Management Urban Planning Institute of Curitiba (IPPUC) for integrated planning Linear urban growth along five strategic axes with highly dense commercial/ residential development to absorb rapid population growth Flood control with enhanced green space Affordable and Integrated Bus System Bus Rapid Transit lane along the five strategic axes Investment cost about US$ 3 mil/km (about 3-6% of underground metro) 45% Bus ridership Less traffic congestion 6 3
4 Eco Cities Global Experiences (4) Singapore Closed Water Loop Integrated Water Resource Management Closed Water Loop Entire Water Cycle Managed by One Organization Water Security Water Catchment Wastewater reclamation Desalination Demand Management Tariff: Financial incentive to reduce water consumption Demand Control and Water Consumption Year Population ( 000) 4,028 4,167 GDP (US$ mil.) 92, ,157 National Water Consumption (mil. m 3 ) Average Monthly Household Water Consumption (m 3 ) Average Monthly Household Water Bill (Singapore$) Source: PUB website, Singapore Eco Cities Global Experiences (5) London, Stockholm, Milan, Singapore Congestion Pricing Urban Transport Management Ease of Traffic Congestion within the City London Singapore Stockholm Milan London: 137m being raised, in the financial year 2007/08, to invest back into improving public transport in London. Reduced traffic 21% lower than pre-charge levels (70,000 fewer cars/ day) within the charging zone. Increased usage of bus and cycle. Source: Transport for London website 8 4
5 ZR 1 ZR 2 ZR 3 Structural axis ZR 4 ZR 4 ZR 3 ZR 2 ZR 1 The Four Core Principles of Eco 2 1. A City-based Approach 2. An Expanded Platform for Collaborative Design and Decisionmaking 3. A One-System Approach 4. A Framework for Investing in Sustainability and Resiliency Principle 1:How do we define a City-based Approach? Waste from Household 628 Waste from Business 359 Low Density Mainly Residential Use High Density Commercial, Business, Residential Use High Density Commercial, Business, Residential Use 1 st & 2 nd 1 st & 2 nd Floor: Floor: Shops, Shops, Business Business es es One-way Road One-way Road One-way Road One-way Road (Traffic flow: 60 on the Axis BRT on the Axis (Traffic flow: 60 km/h) Dedicated Lanes km/h) Trinary Road System Low Density Mainly Residential Use Recyclables Total Amount of Waste (100%) (Revenue US$ 23.5 mil.) Incineration 975 (98.7%) Directly to Landfill Disposal Incineration Electricity 12 (1.2%) Residue 200 mil.kwh 137 (Revenue US$24.8 Landfill Disposal Total Recycle of Residue mil.) 130 (13.2%) 19 (Revenue US$0.19 mil.) 1. Leadership from local governments 2. An action-oriented network provides support 3. Special emphasis is given to the local ecological context 4. Methods and tools are adapted and used to enhance capacity of cities 5
6 Principle 2:How do we define an Expanded Platform? 1. Formal collaboration on three tiers 2. A shared planning framework 3. Integrated Design Process low Private Sector Building Stocks - Level of control Natural Gas Information Communications Waste Water Social Services Sewerage Regional Systems Municipal Services City Hall Operations high high - Level of control - low Environmental Mgt. Procurement Office Buildings Fleet Mgt. Lighting Parks Housing Rural Communities Transportation Roads Land Use Transit Agriculture Citizens Industry Ecosystems Electricity Principle 3: How do we define a One- System Approach? Integrating Looping (Reuse Resources) Cascading (Use Same Resources) Layering Use the same facility for different purpose Day (school)/night 12 (vocational center)/weekend (Culture Center) 6
7 Principle 4:How do we define an Investment Framework? Lifecycle Cost Accounting e.g. Building: Capital Investment Cost + Lifetime Operating & Maintenance Cost (10-20%) (80 90%) Cost Benefit Analysis of Four Capital Assets Manufactured Capital (too much focus on MC) Natural Capital Social capital Human (Cultural) Capital Proactive Attention to Managing All Kind of Risk e.g. Natural eg. Flood as Result of Sea Level Rising due to Climate Change, Global Financial Crisis, etc How do we Prepare Eco2 City Program with Eco2 Tools? GIS to Analyze Form Design Charrettes to Forecast and Plan Life Time Cost Benefit Analysis to Compare Alternatives for Decision Sankey Diagram to Analyze Material Flows 7
8 Spatial & Urban Form Determine Cities Energy Efficiency Decisions today are limited by decisions in the past Source: Bertaud, A., and T. Pode, Jr., Density in Atlanta: Implications for Traffic and Transit (Los Angeles: Reason Foundation, 2007). 15 World Bank Possible Financial Support (1) Policy and Regulatory Measures Financial Instruments Donor Co-financing Adoption of policy and regulatory measures IBRD DPL Phase 1 Materialization of the targets such as carbon reduction IBRD DPL Phase 2 Carbon Finance Infrastructure Investment Urban Infrastructure IBRD SIL Climate Investment Funds (CTF, SCF) GEF Finance Carbon Finance Loans/ grants IFC MIGA Guarantee 8
9 How WB will finance National Eco2 Project Capital Market IFC National Eco² Fund Private Investment Window City Investment Window Donors IBRD, GEF, CF World Bank Fund Manager Technical Assistance Appraisal/ TA Eco² Cities Application Private Sector Investment Project (e.g. ESCOs) Eco² City A Eco² City B Eco² City C Eco² City D Eco2 Project can finance TA and Multi Sector Projects E.G. TA - Eco2 Diagnostic-One System Approach- Master Plan-Sub Projects Identification-Preparation Investments (e.g.) Not necessary to implement all the investments at the same time, Eco2 Cities can choose catalyst poject Spatial Development and Land Adjustment (Compact City) Green Public Transport (BRT, Light Rail Metro, Electric Ferry), Bicycle Pass and Rental Bike, Intelligent Transport System, Congestion Tax Introduction Green Building (energy saving, solar panel, water saving) Wastewater- Collection of Biogas, Biosoil Water Demand Management/Loss Reduction Landfill collection of Methane Gas for Power Generation Cogeneration-District Heating/Cooling Recycling of Waste and Composting LED Street Lightning Green Infrastructure (Green Roof, Wetland Waste Treatment) and Urban Agriculture 18 9
10 Contact Persons: Thanks. Hiroaki Suzuki: Arish Dastur: Website: worldbank.org/eco2 (Eco 2 Book will be be published in Feb 2010 and can be downloaded from the Eco2 website
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