Energy Planning in Cities Alexander Ochs | Managing Director Workshop on Tools and Methodologies for Municipal Sustainable Energy Planning | Kiev, July 10-11, 2017

Overview Sustainable Energy Roadmaps Importance of cities for the global energy transition Challenges, tasks, solutions for city energy planning 2/13

Sustainable Energy Roadmaps 3/13

Sustainable Electricity Roadmaps 4/13

Importance of cities for the global energy transition 5/13

The role of cities: Determine the future Cities are the place where about 54% of people live today. In 2050, about 2 thirds of all people will live in cities. 75% of global energy is consumed in and by cities | 70% of GHGs What can cities do?  extra page Most importantly, beyond all the questions of pollutants, climate change, energy – cities are the future for most human beings influencing the lives of all human beings. Cliamte change is arguably one of the world’s greatest threats. The way we produce and consume energy is the number one reason for climate change. The way we produce and use energy is also the main reason for local air and water pollution 10% of China’s GDP is being used to address pollution and pollution related health crae costs. Cities are our future and they are, simply put, the place where its is decided whether we are living and will live a healthy, happy, decent life. 75% energy 70% GHGs 6/13

The role of cities: Create the local & global energy transition Managing urban areas …will be a major factor in the success of the post-2015 UN development agenda.” John Wilmoth, UN. Paris Agreement “ City of Paris 2/5

The role of cities: Find smart solutions for a better life Ontario, CA 8/13

Challenges, tasks, solutions for city energy planning 9/13

Barriers & Enablers 10/13 Barriers Systemic Vision Energy & transport + service, industry & other sectors Policy and Regulatory Misplaced incentives, policy/regulatory uncertainty Cost High LCOE, unaccounted costs & market fluctuations Finance High upfront costs, lack of access to financing, cost of capital, unattractiveness for banks/investors Political Politicization of key issues, short-term priorities Entrenched Interest Monopoly, vertical integration, “brown” lobbies Infrastructure Outdated infrastructure, high cost of development, intermittency/storage Innovation No access to technology, patent protection, lack of R&D Public Acceptance NIMBY, cost to consumers, “past paradigms” Knowledge Knowledge gap, capacity building, deficient & uncoordinated dissemination Competition Manufacturing & business costs, jobs Enablers Municipal grand strategy Kiev 2025 – “Green Budapest – Emissions-free Skopje Vision Sectoral targets: RE, EE, transport, waste… Regulatory policies: Feed-in tariff, RPS, emissions stickers, building IDs Concrete Policies Fiscal incentives: tax incentives, subsidies, grants Public financing: public investment, loans, grants Energy market regulations Trade agreements Streamlining processes: planning, permitting Gov. & Admin. Stakeholder Dialogues 10/13

Planning & People 11/13

What future? 12/13

Alexander Ochs | Managing Director Contact: sd@sd-strategies.com Thank you! Alexander Ochs | Managing Director Contact: sd@sd-strategies.com