DEFINING A SMART CITY

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1 SCIENTIFIC JOINT WORKSHOP INNOVATION IN ASSESSING AND GOVERNING LOW CARBON AND SMART CITIES Session 1: Monitoring, Measuring and Benchmarking DEFINING A SMART CITY Edoardo Croci IEFE Università Bocconi Milano, Bocconi University, October 2014

2 Low Carbon City e Smart City Low Carbon City A Low Carbon City ensures high living standards while increasing the (carbon) efficiency with which goods and services are produced and used. This implies the reduction of direct and indirect city s carbon emissions. Smart City A city becomes smart when the human and social capital investments, the traditional (transport) and modern (ICT) infrastructures, foster sustainable economic growth and an high quality of life, through an efficient management of natural resources and a participatory governance. (Nijkamp et al., 2009)

3 Low Carbon City e Smart City Both the definitions of Low Carbon City and Smart City include economic and environmental efficiency (coherent with a circular economy approach) The definition of Smart City also underlines the relevance of participatory governance Technological and social innovation are explicitly key aspects for a Smart City, but they are also implicitly determinant for a Low Carbon City Quality of living is an essential feature for both Urban carbon mitigation policies and measures are often (but not always) «smart»

4 Source: Centre of Regional Science of Vienna, 2007 Smart City key dimensions

5 Smart City dimensions most recurrent in cities actions A European Parliament study mapping 240 EU Smart Cities with more than inhabitants highlights that Smart Cities strategies in progress are mainly focused on environmental and mobility actions. Source: European Parliament (2014),

6 Smart City features recurrence in scientific literature ( ) A study by Italian Cassa Depositi e Prestiti reveals that ICT and Infrastructure/Services features of Smart Cities are the most recurrent in scientific literature. Human Capital/Social relations Other Economic Growth/Sustainability Natural Resources Governance Infrastructures/Services ICT Quality of life Source: Cassa Depositi e Prestiti (2013)

7 Towards a measurable definition of Smart City: a capital-based approach A Smart City is a city able to accumulate, preserve, integrate and enhance its capital endowments: Physical Capital Natural Capital Social Capital In order to measure the smartness of a city it is necessary to define common inventories, monitoring and reporting systems for cities and overall common metrics. A capital-based approach uses monetary units to measure and compare smartness.

8 Source: European Commission (2011) A capital-based approach: resource efficiency

9 Urban Metabolism Urban capital endowments are related to the main (material and immaterial) networks operating in a city: Information Water Cycle Energy Matter/Waste Cycle Transport/Mobility Standardization of elements of these networks increase efficiency. The City Protocol Initiative launched by the Municipality of Barcelona is based on a methodological approach to Urban Metabolism. Source: City Protocol, 2014

10 City rankings Emission inventories allow to build city rankings of Low Carbon Cities based on per capita carbon emissions. Alternative methodologies have been developed at this purpose (for example the Global Protocol for Community-Scale Greenhouse Gas Emissions by WRI, ICLEI and C40 or the International Standard for Determining Greenhouse Gas Emissions for Cities developed by the World Bank, UNEP, UN-HABITAT). In the case of Smart Cities, composite indexes have been developed. The choice of indicators and their weights affect the result. Most rankings are the national level, a few at the international level. City rankings have originally been developed in the last 20 years to assess the attractiveness or competitiveness of cities (example Mercier). Urban sustainability rankings have also been developed, considering several dimensions of sustainability (example Green City Index).

11 Smart cities Ranking of European medium-sized cities (2007) One of the first European wide Smart City rankings was made in It analyzes only medium-sized european cities ( inhabitants). It includes 31 indicators. 70 cities are classified as Smart Cities. Source: TU Wien, University of Ljbjana, TU Delft, 2007

12 Source: TU Wien, University of Ljbjana, TU Delft, 2007 Smart cities Indicators of European medium-sized cities (2007)

13 Mapping the Smart Cites in UE (2014) The European Parliament in 2014 mapped European Smart Cities with more than inhabitants. A city is defined «Smart» when it «had implemented or proposed at least one smart initiative». Source: European Parliament (2014)

14 European Parliament methodological approach Assessed criteria are: Number of Smart initiatives launched and their grade of implementation (designed, tested, fully in operation); Number of Smart City characteristics tackled by the Smart initiatives; Contribution (real or awaited) to the achievement of the European 2020 goals (Flagship initiatives). Source: European Parliament (2014)

15 Source: The Climate Group, Accenture, ARUP, Horizon (2012) Direct and indirect benefits of Smart Cities

16 Smart City contribution to CO2 emission reduction Saving potential: 15% of global emissions (7.8 Gt CO2e) in Source: Alcatel-Lucent, 2012

17 European Smart City priority areas Source: European Innovation Partnership on Smart Cities and Communities (2013), Strategic Implementation Plan

18 Conclusions Urbanization process is cause of both relevant externalities and their remedies. Cities are characterized by higher resource efficiency compared to non urban areas. Low Carbon Cities and Smart Cities policies present relevant synergies. Low Carbon Cities planning is increasingly based on solid methodologies (also thanks to the Covenant of Mayors). Smart City planning still requires the definition of a common approach (as it shows the variety of rankings). A capital-based approach to Smart Cities allows to use monetary metrics to perform assessments and comparisons. The value generated by Low Carbon City and Smart City initiatives should be measured including indirect benefits and cobenefits.

19 Thanks for your attention

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