Covenant of Mayors. Multi-level action for sustainable energy.

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1 Covenant of Mayors Multi-level action for sustainable energy FINAL-Mayors-2013.indd 1 6/17/13 10:09 AM

2 THE EXPERIENCE Our experience in building sustainable energy concepts with cities dates back to 2007 with the creation of the Covenant of Mayors. Günther Oettinger EU Commissioner for Energy We live in an interconnected world. Multi-source, decentralised information-sharing and cooperation systems are becoming ever more important in all areas of social, economic and cultural life. The Covenant of Mayors for local sustainable energy is a very concrete demonstration of this trend. Its story started in 2008, when - after the adoption of the EU climate and energy package - the European Commission decided to directly involve municipalities in reaching the 2020 objectives. By committing to the Covenant, an initial group of some 300 mayors voluntarily undertook to adopt a sustainable energy action plan (SEAP), rethinking the way their city operates and bringing them closer to energy self-suffi ciency, with measures favouring local economic development and improving citizens quality of life. Just a few years later, the Covenant extended to thousands of local authorities including almost all EU capitals - and an increasing number of stakeholders, establishing itself as one of the most emblematic examples of multi-level governance and bottom-up action in Europe. 2

3 With this initiative came the launch of a new framework, which accelerated the take up of relevant European policies and funding instruments at local level, starting with the mayor s political endorsement of EU objectives and the adoption of a long-term vision for local sustainable development and culminating with integrated planning and concrete SEAP initiatives. A large array of stakeholders has come into the picture to make these aspirations a reality, illustrating that the long process of energy transition requires the involvement of a wide spectrum of players, at all government and society levels. In their own country, Covenant Signatories are supported by provinces and regions which play a coordination role in the initiative but also by energy agencies and associations of local authorities. The private sector s contribution is also a crucial dimension of the Covenant of Mayors, notably through the formal involvement of companies federations acting as Associated Partners to the initiative. National and European financial institutions are yet another category of stakeholders, which have launched funding and technical assistance schemes supporting SEAP implementation and the development of related bankable investment programmes. At local and national levels, energy alliances are shaping up under the impulse of the Covenant, with the objective of involving all the local community members in building a sustainable energy future. In this spirit, national clubs of signatories are emerging as platforms bringing together local authorities from the same country to voice aspirations towards national and EU legislators, and share their country s best practices. Likewise, citizens are closely associated to the development of SEAPs and encouraged to take action. Last but not least, academic bodies and universities play a considerable role in assisting municipalities with the development of their SEAP and emission inventory. The Covenant of Mayors success has helped to emphasize the crucial role played by local authorities, not only in delivering the EU climate and energy objectives, but also in combining technology deployment with other forms of innovation, related to governance, public administration and social aspects. Although cities are ideally placed to act on all these fronts, they face the dual challenge of achieving economic competitiveness and sustainable urban development. Such an ambitious task requires the support of various allies and partners, which the present leaflet will seek to profile. 3

4 The Covenant of Mayors has established a common framework which has had a mobilising effect on municipalities across the province. It has allowed local authorities with very different characteristics to all play their part in the fight against climate change. Salvador Esteve, President of the Barcelona Provincial Council Commenting on the initiative, Director at the European Commission s DG Energy Marie Donnelly once said that The success of the Covenant has shown the importance of multilevel governance in the fi ght against climate change. Innovative cooperation schemes are indeed one of the key features of the initiative, which has triggered a new cooperation dynamic between local, provincial, regional, national and European administrations across Europe. By joining the movement as Covenant Coordinators, provinces, regions, national energy agencies, ministries and other eligible public administrations have managed to integrate sustainable energy initiatives within a coherent, strategic framework, encouraging local authorities to join fellow European cities in signing the Covenant of Mayors and then supporting them in achieving their CO 2 reduction commitments through the implementation of sustainable energy policies. In the framework of an agreement signed with the European Commission, Covenant Coordinators pledge to support municipalities in obtaining the technical, financial and human resource capacities to develop their SEAPs. 4

5 Over half of the signatories have joined the initiative thanks to the efforts of these Coordinators, especially in decentralised countries like Spain and Italy where small-sized local authorities are encouraged by their provinces and regions to commit to the EU climate and energy objectives. In addition, these public administrations are often responsible for the management of structural funds and thus well-placed to direct EU funding to well-structured sustainable energy plans for local economic development, ie the Covenant of Mayors SEAPs. This decentralised support has come handy for the Joint Research Centre (JRC) in charge of analysing the SEAPs - and the Covenant of Mayors Office (CoMO), which have sought the help of Covenant Coordinators to provide tailored assistance to an ever larger number of signatories. Testimony to their achievement is the fact that the majority of SEAPs received by the CoMO are submitted thanks to the support provided by Covenant Coordinators. In addition, the cooperation of regions, provinces and other such territorial administrations has led to the development of dedicated methodologies and tools further guiding local authorities through the process of developing sustainable energy policies. The Covenant of Mayors has helped mobilising all levels of government around a common objective, thus reinforcing institutional cooperation and territorial cohesion in the countries concerned. This has contributed to the mainstreaming of a multi-level approach, reinforcing existing cooperation between European institutions, national and sub-national governments, allowing to better connect European objectives with national and local priorities. 5

6 Territorial strategies in concrete examples Zealand Region Support for the organization of the 2013 Climate Festival, as a framework for the municipal Energy Days. ENGAGEMENT Province of Rome Development of a dedicated website on the Covenant in the province to provide timely information about the initiative. Province of Venice Development of a common web tool to collect and manage energy data at municipal and provincial levels. TECHNICAL ASSISTANCE The Netherlands Energy Agency Launch of an online system to track action plan progress and compare energy data with other municipalities. Andalusia Region The regional administration has created the Andalusia Covenant of Mayors team, made up of the region, all the provinces, the association of Andalusian municipalities and the provincial energy agencies. This structure is led and coordinated by the region. TERRITORIAL COOPERATION SCHEME Limburg Province IIn line with its objective of becoming climate neutral by and to assist the 44 municipalities with their Covenant commitments - the Province of Limburg is joining forces with three key partners: Bond Beter Leefmilieu a Flemish environmental organisation-, Infrax a distribution network operator- and Dubolimburg, a centre for support of sustainable construction. Province of Alicante Earmarking of 4 million from the administration budget to assist signatories with the development of their SEAP. FINANCIAL SUPPORT Sardinia Region Creation of a 70 million JESSICA EIB holding fund to finance energy efficiency projects in signatory municipalities. Prešov Region Creation of a dedicated Covenant of Mayors regional platform including energy experts and representatives of local authorities. EXPERIENCE SHARING Province of Barcelona Dissemination of a brochure detailing the results of the first 50 SEAPs elaborated in the province. 6 FINAL-Mayors-2013.indd 6 6/17/13 10:10 AM

7 With the European Electromobility Observatory, a new instrument funded by the EU and led by HyER - we want to support the Covenant of Mayors in its outstanding efforts to reduce CO 2 emissions by 2020 with fact-based policy recommendations on how EU member states and regional stakeholders are progressing towards sustainable transport and the associated infrastructure. Andreas Ziolek, Chairman of the Board of HyER, the European Association for Hydrogen, Fuel Cells and Electro-mobility in European Regions Another crucial category of stakeholders involved in the initiative as Covenant Supporters are the associations of local and regional authorities which provide guidance and networking support to signatories, in an effort to help them meet their commitments. Whether they operate at regional, national or European level, these networks have a sound knowledge of their members needs and priorities, and are ideally placed to ensure that while European objectives are conveyed on the ground, the aspirations expressed at local level also make their way back to EU institutions. These associations thus play a bridging role, communicating the latest Covenant of Mayors developments to signatory cities, while simultaneously informing the EU about the successes and challenges experienced at local and regional levels. More specifi cally, they have a twofold mission consisting of the promotion of the initiative and the provision of support to their signatory members in reaching their Covenant of Mayors objectives. 7

8 The promotion usually takes various shapes, including information posting on their communication channels and the organisation of a wide spectrum of events. They also provide decentralised assistance to the work of the Covenant of Mayors Office, overcoming the language barrier and ensuring timely exchange of information. Likewise, they facilitate contacts with universities, consultants, energy agencies, experts, ministries, etc. Once their member cities become Covenant Signatories, the emphasis often shifts to capacity building and technical support, through various methods including training and experience-sharing sessions, study tours, dissemination of useful resources, guidelines and methodologies. This is often facilitated in the framework of EU projects related to the Covenant of Mayors, and in which a large number of Covenant Supporters are involved. Another crucial dimension of this technical assistance is the support provided to signatories in mobilising financing. Covenant Supporters are very active in this field, providing information about funding opportunities and sometimes even assisting their members with the preparation of financial applications and tendering procedures. These associations therefore have a decisive leverage effect on the Covenant of Mayors impact, as they play a multiplier role, reaching out to a substantial number of local authorities through their large member base. Aside from promotion and technical aspects, Covenant Supporters contribute to asserting the political dimension of the Covenant. Among those surveyed by the Covenant of Mayors Office, over three quarter regularly refer to the initiative in their political campaigning, lobbying and advocacy work. 8

9 Identifying the strongest CO 2 killers 1 The Covenant Supporter Kommunesektorens (KS) - the Norwegian association of local and regional authorities - has developed a first-of-itskind tool to calculate the impact of individual CO 2 reduction measures planned at local level. What SEAP measures will yield the greatest greenhouse gas emission reductions? Buying electric cars? Lowering bus fares? What would be the impact of a congestion charge or methane collection system? KS new tool, called KVIKKT, provides concrete answers to these kinds of questions. The calculations reported in CO 2 equivalents - are performed on the basis of documentation modules and checklists. By the end of the first trials, a total of 127 local climate measures were quantified in 35 municipalities, leading to the conclusion that these measures alone would yield an annual reduction of 240,000 tonnes of CO 2 equivalents by

10 AND ENABLERS At the moment we are on a very historical point because the EU, the national side and the local authorities are working closer and closer together. To support the successful implementation of SEAPs at national level, it is worth mentioning that the Covenant of Mayors Offi ce cooperates with the European Commission to coordinate the European Energy Performance (EPC) Contracting Campaign initiated in 2013 and seeking to enable country-specific discussions to showcase the benefi ts of EPC to member states and local authorities, especially in the context of budget cuts and austerity measures. Eckart Würzner, Mayor of the city of Heidelberg 3 The Covenant of Mayors is more predominant in some countries than others, as its effective implementation often depends on national specifi cities and enablers, such as the regulatory and legislative framework governing sustainable energy issues, or the allocation of European and national funds and the level of autonomy of local authorities. In parallel to the work of the Covenant of Mayors Offi ce but outside of its direct framework - the concept of Covenant of Mayors Clubs has emerged, giving rise to genuine networking platforms creating new avenues for signatories to express needs and share ideas at national level. A dozen such Covenant of Mayors Clubs already exist, with the aim of encouraging best-practice exchange and capacity- 10

11 4 building activities in countries like Italy, Bulgaria, Poland, Germany, France, Slovakia, Belgium and many more. Apart from knowledge-sharing and peer-to-peer learning, these platforms also serve as interfaces to voice local authorities demands vis-à-vis national and EU authorities. Landmark projects supporting the Covenant of Mayors The activities of the Covenant of Mayors Clubs have been supported through the NET- COM project, for NETworking the COvenant of Mayors, financed by the Intelligent Energy- Europe programme. The list of such IEE-funded projects accelerating the Covenant of Mayors implementation is getting longer by the day. Project partners often gather Covenant coordinating regions and provinces, supporting associations and signatory cities. Examples of such landmark projects include ENNEREG, in the framework of which some 11 action plans were developed in the participating regions; Covenant CapaCITY and City SEC which focus on capacity-building of local leaders and municipal staff through training activities, study tours and visits; Energy for Mayors, thanks to which some 180 municipalities joined the Covenant and 8 pilot Energy Management Systems (EMS) were implemented; ENGAGE, helping Covenant cities to encourage their residents in contributing to the energy transition, and Come2CoM, which produced a wide array of communication materials, reaching out to over 7,000 cities to raise awareness of the Covenant of Mayors initiative. Visit the IEE website for a complete list at: 11

12 Cooperating across partners and sectors! 5 In a bid to reduce energy-related spending, improve energy diversification and increase renewable energy use in the hotel industry and building sector, the Province of Alicante has signed an agreement with the Provincial Association of Alicante Hotels and the Territorial College of Alicante Architects. Training courses for employees are foreseen in this framework, along with outreach and awareness-raising campaigns towards tourists. The College of Architects is in addition represented in the advisory board of the Alicante Provincial Energy Agency. 6 12

13 In Bielsko-Biała, the ENGAGE campaign builds a sense of responsibility and encourages citizen involvement in various activities. The very inspirational and colourful campaign posters even feature famous people who do not hesitate to publicly commit to environmental behaviours. In conjunction with this campaign, the Beskid Festival of Good Energy is a great opportunity to gather local communities around the idea of energy conservation. Aneta Gut-Sulima, Teacher of physics in the Covenant signatory city of Bielsko-Biała As the sphere of government closest to citizens, local authorities are well placed to encourage residents to take action on energy and climate issues. Through the Covenant of Mayors, they do so on a regular basis by providing advice and tips for energy refurbishments, involving citizens in the planning phase of SEAPs and in the organisation of awareness-raising events and energy days. The organisation of energy days is one of the Covenant of Mayors key pillars, and an offi cial commitment taken by signatories when joining the initiative. These energy days have provided opportunities to test innovative ways of involving citizens which signatories can share with each other through the various Covenant of Mayors participation and dissemination platforms, such as the Extranet portal and its discussion forum, the webinars and various networking events. In the framework of the Covenant of Mayors, new cooperation models are emerging with the active cooperation of citizens, paving the way for innovative local solutions, defying budget constraints and showing a high replication potential. 13

14 When farmers turn into energy providers In Beckerich the municipality buys the heat produced by a cooperative of farmers who treats manure to produce energy, providing electricity and hot water to some 700 households. In Samsø, an Energy and Environment Office tasked with promoting sustainable energy assists citizens who want to start their own renewable energy projects. In addition, local farmers and other private investors own 9 of the island s 11 onshore wind turbines. Solar dividends for citizens In Chambery Métropole, a new financing scheme encourages citizens to participate in a collective manner, according to their capacities and resources, to local and decentralized production of electricity, by investing individually in solar panels, lending their roofs or contributing to the Solaire Citoyen project. The money invested is then repaid to citizens from the sale of electricity. More information on citizens cooperatives can be found on the REScoop website, an Associated Partner of the Covenant of Mayors. 14

15 COMPANIES AND We, the European Association of Energy Services Companies, consider the Covenant of Mayors as a very positive initiative to help European cities in reducing their carbon footprint and in increasing their energy efficiency. For that reason, we are very pleased to contribute by sharing information and knowledge concerning the best available tools and solutions, such as Energy Performance Contracting. Stéphane Le Gentil, Chairman of the European Association of Energy Services Companies, eu.esco, Covenant of Mayors Associated Partner The economic crisis has forced local authorities to start thinking «out of the box» and there is no shortage of examples of Covenant signatory cities having found creative ways to fi nance the actions foreseen in their plans. Innovative combinations of different funding instruments, as well as public and private funds, is a crucial condition for success. Aware of this necessity, the European Commission and Covenant of Mayors Offi ce have involved a new category of stakeholders within the Covenant community dubbed «Associated Partners». Federations of companies and banks are among the structures eligible to take on this role and share their expertise with Covenant Signatories. The Covenant of Mayors also serves as a testbed for the rollout of ICT and smart technology innovations. Members of the Covenant of Mayors Offi ce and several of the initiative s signatory cities have thus been invited to contribute to the Smart Cities Stakeholder Platform, which includes representatives of both the private and public sectors. Likewise, the Covenant of Mayors initiative always strives to establish close links and synergies with other related initiatives such as CONCERTO Premium, CIVITAS and the Green Digital Charter. 15

16 ELENA and her sister funding schemes Not only has the Covenant of Mayors fostered the emergence of new governance and cooperation approaches, it has also enabled the development of innovative EU financing methods and instruments, including the famous ELENA-EIB technical assistance facility, which helps local authorities to finance the development of bankable investment programmes underpinning their SEAP actions. Other similar technical assistance schemes have later emerged with the involvement of several financial institutions at EU and national levels such as ELENA- KfW and ELENA-CEB, the latter of which is financed by the Council of Europe Development Bank and supports the development of sustainable energy investment programmes for disadvantaged regions or populations. In the context of the Intelligent Energy-Europe programme, the MLEI scheme (for «Mobilising Local Energy Investments») has also been launched to support the development of smaller-scale investment projects. 7 16

17 Together, stronger Stockholm has a long tradition of close cooperation with the private sector for the development of its infrastructures and services to residents. Through the involvement of the energy company Fortum, the city plans to deliver climate neutral district heating by Other noteworthy examples include: private entrepreneurs using biogas trucks for collection of household waste, and the recently-initiated co-operation between the city and private real estate owner organisations to reduce energy use in private buildings

18 The Covenant of Mayors is an ever-improving initiative, constantly adapting its methods and processes based on the feedback provided by its growing community. To reach out to a large base of stakeholders and adapt to their evolving needs, the Covenant of Mayors Offi ce has developed new processes and tools: EXPERTS PRESENTATIONS ONLINE JOINT PLANS FOR SMALLER MUNICIPALITIES WHAT? The Covenant of Mayors Offi ce regularly organises webinars on dedicated topics, including policy and/or technical presentations, concrete demonstrations and Q&A sessions WHO? Members of the Covenant community wishing to give or listen to a presentation MORE INFO? Advertised in the agenda section of the Covenant website with more info on the Extranet WHAT? Opportunity to join as a group of signatories and submit a common sustainable energy action plan, either committing individually or collectively to the 20% CO 2 reduction target WHO? Neighbouring, small-sized local authorities wishing to develop common actions MORE INFO? FAQ section of the Covenant website COUNTRY-SPECIFIC GUIDANCE E-LEARNING COURSE WHAT? Country Close-Ups are insightful factsheets on the Covenant of Mayors and the sustainable energy context in a given country WHO? Public authorities, private entities, associations, NGOs and citizens wishing to know more about the Covenant of Mayors in a particular country MORE INFO? Information available upon request to info@eumayors.eu WHAT? E-learning course developed by the Covenant of Mayors Offi ce guiding public authorities through each step of the Covenant of Mayors sustainable energy planning process WHO? Covenant Signatories, regions, provinces, national energy agencies and other such bodies involved as Covenant Coordinators MORE INFO? Available from the Extranet / My Covenant section 18

19 The Covenant of Mayors Office is supported by the Intelligent Energy- Europe Programme. It is managed by a consortium of local and regional authorities networks, led by Energy Cities, composed of Climate Alliance, the Council of European Municipalities and Regions, EUROCITIES and FEDARENE. Co-funded by the Intelligent Energy Europe Programme of the European Union The information and views set out in this publication are those of the authors and do not necessarily reflect the official opinion of the European Union. Neither the European Union institutions and bodies nor any person acting on their behalf may be held responsible for the use which may be made of the information contained therein. Reproduction is authorised provided the source is acknowledged. Photo Credits 1, 2, 5, 6, 7, 8, 9 - Hükan Samuelsson 3 Energy Cities 4 - Cover illustration Altitude Published in June

20 Covenant of Mayors Office 1 Square de Meeûs 1000-Brussels Belgium info@eumayors.eu