1. © Hitachi, Ltd. 2011. All rights reserved. Defining the sustainability of cities – a trend of international standardization Keiichiro NAKANISHI May 30, 2012 Senior Director International Standard Department Infrastructure Systems Company Hitachi, Ltd. ITU Sustainability Symposium © Hitachi, Ltd. 2011-2012. All rights reserved.

2. © Hitachi, Ltd. 2011. All rights reserved. Contents Hitachis vision for smart city Hitachis solution for smart city Hitachi at a glance © Hitachi, Ltd. 2011-2012. All rights reserved. Role of international standard

3. © Hitachi, Ltd. 2011-2012. All rights reserved. Hitachi at a glance 1

4. © Hitachi, Ltd. 2011-2012. All rights reserved. Fiscal year ended 31 March, 2011 Energy Systems Automotive Systems Financial Services Digital Media / Consumer Goods 16% 13% 9% 11% 10 US$124.2B Revenue 7 8 Functional Materials 8 7 4% 7% Societal & Industrial Systems Electronic Equipment & Systems Construction Machinery Components / Devices Others Information & Telecommunication Systems 1.1Outline of Hitachi Business Operate in more than 40 countries and has 360 thousand employees 4 Social Innovation Business

5. © Hitachi, Ltd. 2011-2012. All rights reserved. Information & Communication Systems Industry, Transportation and Urban Development Systems Electric Power Systems Cloud Computing Consulting Data Centers Storage Energy Green Mobility (Trains, EV Utilities) Smart City Development Construction Machinery Building Management, Elevators Smart Grid Health Care (Thermal, hydraulic, nuclear, renewable energy) Materials and Key Devices 1.2Hitachis Social Infrastructure Business 5

6. © Hitachi, Ltd. 2011-2012. All rights reserved. 2 Hitachis vision for smart city © Hitachi, Ltd. 2011-2012. All rights reserved.

7. Mega trend of development of social infrastructure Construction in urban area and the infrastructure development have progressed concurrently to balance economic growth and environmental protection. International opinion City operators point of view Residents Point of view Developed countryJAPAN Recovery from the Great East Japan Earthquake Declining birthrate and aging population Maintain aged infrastructure Gap between urban and rural area Resource and energy shortages Aging of urban population Aged social infrastructure Environmental awareness Increase of Investment as economic stimulus Water shortage Poverty, Disparity Construction of commercial and industrial city for Developing country 2.1

8. © Hitachi, Ltd. 2011-2012. All rights reserved. Hitachis vision for balanced relationship between peoples life and the earth environment Both the value of a safe, convenient and affluent life for people and the value of environment protection are balanced in harmony Sustainable development realized in balance between Eco and Experience Consideration for the global environment Experience Eco Safe, convenient and affluent urban life 2.2

9. © Hitachi, Ltd. 2011-2012. All rights reserved. Information and Technology Infrastructures to Support Smart Cities worklive movelearn Citizen Social life Infrastructures harmoniously support social life from the wide area to the neighborhood. Life Infrastructure City management Infrastructure City management Infrastructure City Infrastructure National Infrastructure Medical care, Education, Municipality, Finance Electric distribution, Railway, Bus, Water and sewerage Life Infrastructure Social Infrastructure Electric transmission, Transportation system, Water utilization Agriculture, Forestry and Fisheries Agriculture, Forestry and Fisheries Industrial Tourism, Leisure Tourism, Leisure R&D, Education R&D, Education 2.3

10. © Hitachi, Ltd. 2011-2012. All rights reserved. 3 Hitachis solution for smart city © Hitachi, Ltd. 2011-2012. All rights reserved.

11. Connect our life with social infrastructure and make the life comfortable, safer, eco friendly 3.1 Smart City Image Water management Data center Network communication Network communication Transportation Energy Water Shop Station Recycle facility Energy station Factory Financial institution Hotel School Hospital Public facility Office building Housing Growing City EnergyTransportation Home Energy Management Smart Grid Community Energy Grid Renewable Energy Water, Environment Green Mobility Intelligent Water Smart Navigation City Management City Planning Security Traceability Management Support Customer Service Operation 11

12. © Hitachi, Ltd. 2011-2012. All rights reserved. 3.2Basic Model of City Management System Every urban infrastructure is composed of the supply side and the demand side, and the storage function to balance supply/demand in between. Stabilization 0 Supply Demand Smoothing Management/ Control Management/ Control Power Source Vehicles StorageStorage Battery Station Reservoir Water Treatment People Goods Facilities

13. © Hitachi, Ltd. 2011-2012. All rights reserved. Smart City through Fusion of Information & Control Community-wide optimized system made by the fusion of information and control systems will solve various urban challenges for next generation smart city. 3.3 Smart City Economic developmentEco-minded Convenience Safe Answers to Challenges of social infrastructure Real-time Vertical integration, fine-tuning Best effort Horizontal specialization, Openness More reliable and safer More and Faster Social Infra Factory OfficeHome Information System Control System

14. © Hitachi, Ltd. 2011-2012. All rights reserved. Hawaii Smart Grid demonstration project Distribution Substation DMS Distribution Management System centerIntegrated Information control platforms network Electric Power Storage Charging stations Maui island recharging location μ Houses Low-voltage transformer Wind power generation 3.4 An establishment of energy infrastructure in remote island Independent on fossil fuels

15. © Hitachi, Ltd. 2011-2012. All rights reserved. Role of International Standard © Hitachi, Ltd. 2011-2012. All rights reserved.

16. 4.1 Needs for a harmonized metrics 16 Diverse concept and definitions are proposed for smart cities International Organization Industry UN-HABITAT The World Bank APEC EU Sustainable Cities Programme Eco2-Cities (Ecological, Economical) Low Carbon Model Town Smart Cities and Communities Initiative Siemens IBM GE Toshiba Hitachi Green Cities Smarter Planet Smarter Network, Digital Energy Smart Community Smart City A number of indicators of smart cities are also introduced.

17. © Hitachi, Ltd. 2011-2012. All rights reserved. 17 Demerit of the proliferation of indicators Complexity in the international trade of infrastructure - It is difficult to compare multiple proposals (buyers) - It is inefficient to provide different proposals using different indicators for different customers.(vendors) Closed methodology - The evaluation methods of some indicators are black-box Standardization on smart urban infrastructure metrics Promote the development of environmental technology Promote the international trade of infrastructure Promote the diffusion of advance technologies 4.2 Needs for a harmonized metrics

18. © Hitachi, Ltd. 2011-2012. All rights reserved. 18 TC268 Sustainable Development in Communities TC268/SC1 Smart Urban Infrastructure Metrics ISO website: http://www.iso.org/iso/iso_technical_committee.html?commid=656967 4.3 Prospective activities in ISO