CitiesBrief_05_en

June 2012

CREATIVE SUSTAINABLE INCLUSIVE

MEASURING URBAN INTELLIGENCE

05

Nº 05. JUN. 2012

EDITORIAL FOCUS MEASURING URBAN INTELLIGENCE SMART SOLUTIONS FOR SMART CITIES [ FERNANDO SILVA ] NEW YORK, THE CITY OF STREETS SMART [ SHIN-PEI TSAY ] “INFORMAL CITY” : THE CASE OF THE HELIÓPOLIS SLUM [ CARLOS LEITE ] EUROPE IN TUNE WITH SMART, SUSTAINABLE AND INCLUSIVE CITIES [ THOMAS C. BARRETT ] THE CHALLENGE OF BEING “SMART” - CONFERENCE REPORT

CASE STUDIES SANTANDER - A SUCCESS CASE

FACTS EUROPEAN PROJECTS OF SMART CITIES

INTELI NEWS EVENTS SUGGESTIONS

Smart Cities under discussion in Lisbon The “Smart Cities for Sustainable Growth” conference, organized by INTELI in partnership with “FLAD – Fundação Luso-americana para o Desenvolvimento” (Luso-American Foundation for Development) and the “Ecologic Institute” (Germany and USA), was held at the “Museu da Electricidade” (Museum of Electricity), in Lisbon, last May 3rd. Siemens and Caixa Geral de Depósitos supported this initiative.

The event brought together about 400 participants, demonstrating the interest of municipalities, universities, business associations and public bodies on the subject of ‘smart cities’.

The conclusion was unanimous: a smart city goes beyond the technological dimension and must be addressed in an integrated manner.

Innovation, environmental sustainability and social and cultural inclusion are the key factors to a people-centred ‘smart city’.

Several national and international experts presented policies, strategies and case studies from Europe, USA and Brazil, having shared ideas and best practices in different areas related to smart cities: energy, mobility, buildings, governance, citizenship and finance, among others.

The presentation of the overview of urban intelligence in Portugal was carried out by INTELI using the analysis of cities integrated in the RENER Living Lab – (RENER: “Network of Cities for Urban Sustainability”). Thus, we exposed the preliminary results of the application of the Smart Cities 2020 Index that analyses the strategic positioning of Portuguese cities on smart solutions for urban development.

INTELI seeks to perpetuate the debate. In 2013, the 2nd international conference on smart cities will be held in Maputo, Mozambique. Thus, we foresee an extension of the RENER network to other countries and continents in order to share experiences and best practices and to develop joint projects in the area of urban intelligence.

www.smartcities2012.org

3

MEASURING URBAN INTELLIGENCE

the mapping of local best practices for intelligent urban development, as well as the creation of opportunities for cooperation between the Portuguese cities for the creation of products, services and innovative solutions with potential for internationalisation.

CITIES INDEX 2020 CITIES FOR PEOPLE The project is born of a concept of ‘smart city’ that goes beyond the technological aspect, focusing on people and the communities where they live and work. This is a new paradigm in how to make cities, which requires new strategies, technologies, models and urban functions to meet the challenges that the territories currently face.

A ‘smart city’, in line with the Strategy Europe 2020, is an innovative, sustainable and inclusive city, which develops and uses solutions based on information and communication technologies to promote quality of life for citizens. Hence the dimensions of analysis of the index of smart cities will result in innovation, sustainability and inclusion, under the umbrella of governance and connectivity.

Governance It integrates the urban policies, as well as the procedures for cooperation between political, economic and social actors, highlighting the issue of public participation.

The efficiency, effectiveness and transparency of public service provision are also key factors in urban intelligence analysis.

Innovation It embraces the competitiveness of cities in terms of wealth creation and employment generation. It focuses not only on intensive sectors in R&D and technology, but also on the contribution of the activities of the creative, green and social economy for the economic development of urban spaces.

© INTELI

The “Smart Cities for Sustainable Growth” conference was the stage for the presentation of the Smart Cities 2020 Index, a project coordinated by INTELI in partnership with Siemens and Caixa Geral de Depósitos.

To strategically position the Portuguese cities in terms of urban intelligence is the main objective of this work that will result in a base of municipal information and knowledge to support decision-making by public authorities and economic and social actors. Add to this

Sustainability It includes efficient use of resources, environmental protection, as well as the equilibrium of ecosystems. Water and waste management, energy efficiency and the use of renewable energy, sustainable construction, mobility, emissions of greenhouse gases and biodiversity are some of the key factors in the study.

Inclusion It integrates not only the issues associated with social cohesion, but also cultural diversity, innovation and social entrepreneurship and digital inclusion in terms of health, safety, education, culture and tourism. The use of digital technologies at the service of social integration of disadvantaged groups of the population is also being analysed.

5

Connectivity It covers the involvement of cities in national and international territorial networks, as well as the level of integration of functions and urban infrastructure. The use of information and communication technologies and digital networks is considered a critical success factor.

ary information and official statistics, but also on the use of primary sources. We quantified and qualified about 80 indicators that measure the strategic positioning of cities in urban intelligence in general and in the areas of governance, connectivity, innovation, sustainability and inclusion, in particular.

An Outreach work with the RENER Living Lab

SOME PRELIMINARY RESULTS

The target group for the implementation of the Smart Cities Index has resulted in 25 cities of the RENER Network - Living Lab for Urban Sustainability, and at this preliminary stage, 17 members of the network took part in the exercise: Almada, Aveiro, Bragança, Cascais, Coimbra, Évora, Faro, Guimarães, Leiria, Loures, Santarém, Setúbal, Sintra, Torres Vedras, Viana do Castelo, Vila Nova de Gaia and Viseu.

RENER is a space for development, testing and experimentation of intelligent urban solutions in the real world context, which operates on a philosophy of open innovation and co-creation with the involvement of its users. It is also a space for sharing best practices and innovative experiences capable of replication, as well as incubation of local solutions with potential for export and internationalisation.

With the pilot the National Electric Mobility Programme, Living Lab now wishes to extend its intervention to other solutions for urban sustainability in the areas of energy, sustainable building, governance, and social innovation, among others. The integration of RENER in the European Network of Living Labs will enhance the participation of cities in European and international networks.

Outreach work with the municipalities it appeared as extremely important in the application of the index, which was based not only on the collection of second-

Cascais, Aveiro, Almada and Vila Nova de Gaia were cities that excelled in various dimensions of the Smart Cities Index, in this preliminary application to 17 municipalities of the RENER Living Lab. Here are two examples associated with the ‘sustainability’ dimension.

Mobility In the analysis of sub-dimension ‘urban mobility’, the following indicators were examined: electric mobility, smooth mobility and municipal fleet (sustainable mobility plan, bike-sharing, car-sharing, cycling paths, hybrid and electric vehicles in the municipal fleet, charging points, traffic management system, etc.). The public procurement of electric vehicles has been identified as a good practice in this area. The only municipalities that have fleets with electric vehicles are Guimarães and Vila Nova de Gaia, and with hybrid vehicles we have Loures, Cascais, Almada and Viana do Castelo.

Energy and environmental monitoring In the set of indicators related to ‘energy and environmental monitoring’ variables such as the following were analysed: energy management systems for municipal buildings; equipment and standards for energy monitoring; existence of environmental certification for the municipality/municipal companies; the existence of an action plan for environmental monitoring; and technologies used in environmental monitoring. We highlight the energy monitoring of municipal buildings in Cascais: with the aim of reducing 10% of energy consumption in the county, the City Council has developed a re-

INDEX CITIES 2020 FRAMEWORK

6

mote monitoring of energy consumption in municipal buildings, together with the Cascais Energy Agency. Add to it the Environmental Monitoring Management Program of the Municipality and Municipal Companies in Almada (EMAS LAB) which aims at the environmental certification of the Municipal Council through the Community Eco-Management and Audit System - EMAS.

FUTURE WORK The Smart Cities Index intends to be further developed over the coming years, through a continuous and permanent work of deepening and updating. In early October the first aggregated results will be published, and a set of municipal reports will be produced simultaneously, which will then be shared with the cities involved.

After the release of the 2012 Index, INTELI aims: at improving the methodology in collaboration with the cities and their technological and financial partners; at extending the target group of the cities involved; and at the customisation of the methodology to other contexts with a view to their internationalisation.

It is intended, therefore, that the RENER Living Lab expand both nationally and internationally, focusing on Spain and the Portuguese-speaking countries, including Mozambique and Brazil.

INDEX 5 analysis dimensions 21 sub-dimensions 80 indicators

7

SMART SOLUTIONS FOR SMART CITIES Fernando Silva Director of the Infrastructure & Cities Sector, Siemens

© INTELI

Siemens’ presentation at the International Conference “Smart Cities for Sustainable Growth” focused on the company’s experience in developing intelligent solutions for cities, able to ensure greater energy efficiency and a more rational use of resources, not only energetic, but also environmental.

Urbanization, climate change and demographic changes are forcing cities to make their infrastructure more efficient. The increasing urbanization is undoubtedly one of the current megatrends with the greatest impact on the development of cities worldwide. The urban population grows by two people per second, which makes our time the urban millennium. In 2007, and the first time in human history, there were more people living in cities than in the countryside.

On the one hand, cities are responsible for 75% of global energy consumption and 80% of CO2 emissions; on the other hand, they are of crucial importance in the generation of value: the contribution of urban areas for the economy is very high because about 50% of global GDP is generated in cities.

With innovative technologies and integrated solutions, cities can be more environmental-friendly, enhance quality of life offered to its inhabitants and simultaneously reduce costs and become more competitive.

© Siemens, AG-2011

8

Our customers’ world is changing. The energy system, for example, as we know today, worked in a unidirectional manner, based on predictable production systems with high availability. The current trend is for operators to opt for the installation of components to ensure the evolution from conventional networks to intelligent networks (Smart Grids), allowing, for example, a better management of renewable energy and integration of micro-generation in the networks. In Portugal, companies like EDP, REN, EEM and EDA have been taking a European lead in the field of Smart Grids, implementing solutions that help increase the level of intelligence of their networks, as well as the level of information to consumers. Smart meters are one example but there are other ones, in terms of substations or of control systems of networks.

achieved. City traffic has reduced by 20%, CO2 emissions about 150,000 tonnes per year and traffic flows and travel times and commuting have improved substantially.

Despite the advances that have occurred in recent years, there is still a long way to go for the networks to be effectively considered as ‘intelligent’, ensuring a perfect balance between the production and the consumption of energy. The buildings, for example, have an active role and decisive influence on a Smart Grid. They account for about 40% of global energy consumption and about 21% of CO2 emissions. The buildings are considered intelligent when they are connected to the Smart Grid and communicate with it (on pricing, available energy and capacity management), but also when they are disconnected from the network and are self-sufficient, producing zero emissions. For this purpose, the solutions installed in modern buildings should enable them to act as producers, warehousemen and consumers of energy, depending on time of day, the overall condition of the network and the applicable tariffs.

The capabilities of Siemens in the area of finance, namely through the “Siemens Financial Services”, an area of the company that is dedicated to financing solutions, risk management and investments, were also presented.

All these topics are of strategic importance to the Cities and Countries, which is why Siemens created the new Business Sector: Infrastructure and Cities. This business structure brings together its skills and commercial activities in a single unit in order to provide cities with sustainable solutions for mobility, environmental protection and energy saving. Bearing in mind this strategic focus on cities, and in order to optimise the approach to the market, Siemens has created several centres of competence in the world, dedicated to urban development and the Account Management of cities.

Currently, Siemens is the world’s largest supplier of environmentally friendly technologies. Bear in mind that the market for investment in urban areas targeted by Siemens currently has a total of 300 billion euros per year and that Siemens already offers the broadest and most comprehensive portfolio in the world for urban infrastructure.

The electrical mobility, namely the integration of electric cars in the Smart Grids will be in the future another important aspect in the interaction between consumers and the network. In Portugal, Siemens is a partner of the Mobi-E project, a reference project at a global scale and partner of several projects of Smart Grids.

In the field of mobility integrated mobility solutions are essential to the design of cities. The main challenge is once again putting the various operators and stakeholders in contact, forming an integrated, sustainable and therefore more efficient system. In Siemens’ presentation, the example of London was shown, where the company has put in place an intermodal system of traffic management. By enhancing the provision of rail transport and the implementation of a system for realtime information to passengers of bus operators, combined with vehicles with hybrid technology, a system for controlling access to the city (tolls) and designation of areas of reduced emissions, impressive results were

© Siemens, AG-2011

9

NEW YORK, THE CITY OF STREET SMARTS

© INTELI

Shin-pei Tsay Director of Cities & Transportation Energy and Climate Program, Carnegie Endowment for International Peace (USA)

Technology-rich, smart phone-filled Helsinki or Amsterdam, not gritty New York City, comes to mind when thinking about smart cities. Yet New York exhibits a different set of smarts, one that has broad application for cities of all sizes. Through a mash-up of citizen engagement, leadership, and innovative policy, New York City underscores the observation that technology is only one factor in a smart city formula.

In 2002, when Mayor Michael Bloomberg first took office, many doubted the city’s ability to recover from the September 11 attacks. Over the course of developing an economic development plan, the city discovered that economy recovery and sustained growth would be unfeasible if such a plan lacked a connection to environmental sustainability.

Major constraints for New York City’s smart long-term plan are largely due to population growth and geographic limitations. The City predicts that another one million people will be added to its 2000 population of eight million by 2030. As a densely-populated land mass surrounded by water with limited space for outward growth, the city needed to consider strategies that would minimize strain on the city’s fiscal and environmental resources while providing a high quality of life.

Given the flight of manufacturing to regions with lower labor costs, new industries needed to be developed with

10

a revised approach to skilled labor retention. The City believed that the only way of doing so would be to employ environmentally sound strategies in concert with economic growth initiatives.

PlaNYC, a city-wide sustainability plan, resulted from this process. PlaNYC was one of the first long-term plans that set sustainability benchmarks, assessed activities within the mayor’s power, and provided a work plan.

Even the best ideas lack meaning if they fail to pass some of the rigors of messy, real-world dynamics. Initially, New York City’s entrenched bureaucratic processes obstructed even the smallest changes. But residents showed that small actions effectively challenge existing practices. Because the environmental benchmarks met some longstanding goals of non-governmental organizations in New York City, the third sector and the public assumed some responsibility for meeting targets tallied in PlaNYC. As a result, citizens emerged as a major ally.

PlaNYC seemed to provide the platform through which New York’s perennial culture of small-scale intervention interplayed with top-level policy for positive results. The redesign of New York City streets was a tangible expression of this partnership. Advocates supported “experiments” to phase in the large-scale changes required by an ambitious sustainability plan. This method allowed the city to test ideas and the public to adjust to change.

A project that followed this longitude was the conversion of under-utilized street space into public plazas.

Two streets that cross at a diagonal create acute-angle intersections that are generally under-utilized by both vehicles and pedestrians because of the difficult turning and crossing angles. Repurposing these intersections into public spaces would alleviate congestion and increase public access to open space, two PlaNYC benchmarks. The city started small, with a new plaza in less populated neighborhoods that were more amenable to the idea of taking street space for people. With each successful plaza, demand in other neighborhoods grew.

The city continuously updated its program to integrate public feedback and improve delivery. Success built momentum and political capacity for permanent improvements; testing and piloting eased the way.

As benefits accrued from the execution of its plan, leaders from the Mayor’s Office and city agencies grew bolder. A few years later, what had been only a pipe dream, the pedestrianization of congested Times Square in the heart of Manhattan, became a reality. This ambitious project is now a permanent fixture in the city landscape and a centerpiece of the kind of street redesign striding across the city.

Public sector improvements under PlaNYC are bolstered by the open data and open government movements. Civic-minded computer programmers created innovative technology-based solutions that filled public service gaps, for example providing real-time bus service via smart phone apps. Applications like this rely on readily-available free data, known as open data. Open data negates private ownership and widens the market to a broader field of developers.

The success of PlaNYC relied on citizen participation both on the ground and over the web.

In terms of providing public service, the local government recognized that it could not be everywhere, especially in a city as large as New York. As a result, municipal leaders not only created space for these programmers, it sponsored the “BigApp” competitions that solicited smart solutions for common city management problems, such as parking inventory management to limit cruising for parking. New York City recently announced “Reinvent Green,” a competition to develop sustainability-oriented smart phone applications, after three successful BigApps competitions. Scheduled for launch in the summer of 2012, Reinvent Green would use environmental data sets collected by the measurement benchmark set forth in PlaNYC. The success of PlaNYC relied on citizen participation both on the ground and over the web. The iterative policy formation and implementation process suggests the dawn of a new frontier in urban governance. This might be especially needed in an age of climate change challenges when every advantage counts. New York City’s relative immunity to the last recession attests to nascent success. The powerful alliance between the public and its government just might be one of the smartest things the city recently achieved.

11

“INFORMAL CITY”: THE CASE OF THE HELIÓPOLIS SLUM Carlos Leite

© INTELI

Large cities are not a new phenomenon. The difference today is the emergence of megacities, where the dynamism, complexity and simultaneity of events and processes generate growth and innovation, along with numerous social and environmental problems. Overall the future population growth will be concentrated in large cities located in developing countries, most of them with serious problems of poverty and social exclusion. It is, therefore, from the understanding of this informal territory as part of the city, that it makes sense to investigate new strategies for intervention on the scale of the megacity.

When considering that the ‘informal’ can serve as a laboratory for the study of urban adaptation and innovation, an experimental study of contemporary processes of cocreation within the local community is developed. The slum, a territory of complex, continuous transformation, is the subject of land cropping on which one intends to exercise the new methodological approaches.

The challenge of analysing the coexistence of two realities (the formal and informal city) within the Megacity territory, was the catalyst for the study “Indicators of Urban Sustainability”, coordinated by me as representa-

12

tive of FAU - Mackenzie Presbyterian University, in conjunction with Brian MacGrath of “Parsons The New School” of New York, the Academy of Architecture and Urbanism in Amsterdam and the Department of Housing of São Paulo.

São Paulo is a city in constant reinvention.

With this it seeks to create a public space that enhances local social interaction without having to remove the residents from their community space.

In early February of last year, undergraduate and postgraduate students of Mackenzie and of the international academic institutions began working at Heliópolis, the largest slum in the city, seeking to optimise indicators of new forms of governance and creative practices in the informal territories.

In 2011 the inclusion of the local community took place primarily with the teenagers of Heliópolis, students of the Social Responsibility course by SENAC and of the interaction with the local association CEDECA. The initiatives on the field had the key support of Habi-SP, the Housing Office of the Municipality of São Paulo.

The survey includes two laboratories: that of the Observation of Urban Sustainability and that of Co-creation in Informal Territories (“LCCTI”), the latter applied to Heliópolis, the largest slum in São Paulo.

In the first phase, the mapping of creative practices and sustainable spatial externalities in the informal territories was carried out, to better optimise and disseminate them. The ultimate goal is the installation of a laboratory within Heliópolis to promote co-creating practices for space solutions (architecture, urbanism, design) within the local community in order to boost the development of innovation and protocols for social inclusion.

The first laboratory indicates parameters for São Paulo, which goes through a process of continuous recycling of the territory through a survey of 176 indicators of urban sustainability, grouped into nine themes, 34 sub-themes and 85 groups. The themes were: infrastructure and sustainable construction, governance, mobility, housing, opportunities, land management and planning, services and equipment, environmental issues and urban safety and social inclusion.

The second, the “LCCTI”, in partnership with the Academy of Architecture and Urbanism in Amsterdam (Netherlands) and “Parsons The New School” of New York, besides the support of the Municipal Housing Office and the community associations of Heliópolis, is facing a territory of about 100,000 inhabitants. The initiative develops ideas to improve urban planning and quality of life in the slum, from the inside, suggesting that the residents can be creative and co-creators of actions and changes, after identifying strengths and opportunities.

The smart way to continue this process of renovation is to also bring closer together the formal and informal dimensions of the megapolis.

São Paulo is a city in constant reinvention. But the smart way to continue this process of renovation is to also bring closer together the formal and informal dimensions of the megapolis, which are currently back-to-back.

Carlos Leite is teaching in undergraduate and postgraduate programs at the Mackenzie University since 1997 where he coordinates the Research Group “Megacities and Sustainable Development”. He has a Master’s and Ph.D. from FAU-USP, post-doctorate from the University of California and has just released the book “Sustainable Cities, Smart Cities,” published

by Bookman*.

The development of the concept of informal city, with the Heliópolis slum in São Paulo as laboratory analysis, was the theme for a series of international conferences and lectures at “Columbia University”, “City University of New York”, “New York University” and “Parsons The New School”, all in New York. In his academic tour he also took part in conferences in Barcelona, in the Smart Cities World Congress, Amsterdam, in the University of Calgary in Canada, and in the conference on Sustainable Cities in the Global World. The cycle ended with the exhibition of his work in the conference Smart Cities for Sustainable Growth in Lisbon, organized by INTELI, in partnership with the Luso-American Foundation for Development and the “Ecologic Institute”. * The works can be viewed in the group’s blog: cidadesinteligentes.blogspot.com

13

EUROPE IN TUNE WITH SMART, SUSTAINABLE AND INCLUSIVE CITIES Thomas C. Barrett

Director, European Investment Bank

Europe 2020 sets out Europe’s strategy for smart, sustainable, and inclusive growth, where Europe’s economy is based on knowledge and innovation, is more resource efficient, greener and more competitive, and where there is high employment, social, and territorial cohesion1.

In terms of Policy Framework, the Cohesion Policy 2014-2020, preparations are well underway with a focus on the Europe 2020 strategy, concentrating notably on the following pillars: • • •

Smart growth: developing an economy based on knowledge and innovation; Sustainable growth: promoting a more resourceefficient, greener and more competitive economy; Inclusive growth: fostering a high-employment economy, delivering economic, social and regional cohesion.

The EC has also proposed incentives to further the use of financial instruments for territorial infrastructure, including the extension to cover the Cohesion Fund in addition to ERDF and ESF, with a significant share earmarked for Energy Efficiency and Renewables and a mandatory urban priority theme (minimum 5% of ERDF), reduced co-financing rates and a scope covering 11 thematic objectives while allowing the integration of funds with the possibility for multi-fund programmes combining ERDF, ESF and CF.

© INTELI

11 thematic objectives Research & innovation Information and communication technologies (ICT) Competitiveness of Small and Medium-sized Enterprises (SMEs) Shift towards a low-carbon economy Climate change adaptation & risk prevention and management Environmental protection & resource efficiency Sustainable transport & removing bottlenecks in key network infrastructures Employment & supporting labour mobility Social inclusion & combating poverty Education, skills & lifelong learning

14

Institutional capacity building & efficient public administrations

Role of the EIB EIB support to Cohesion Policy is through: • • •

A range of instruments to increase the absorption capacity and leverage of EU funds; Partnerships with stakeholders to accelerate, amplify and improve the quality of implementation; Developing best practice through Technical and Financial Advice.

Key considerations: •

• •

EIB selects and prioritises projects in various sectors, maximising its impact on the real economy in line with EU priorities for growth, employment, cohesion and economic sustainability.

EIB investment areas reinforcing cities include urban infrastructure, knowledge economy and environmental sustainability.

EIB supports EU strategies, including “Europe 2020”, through direct lending as well as through technical and financial assistance by undertaking joint initiatives with the European Commission and other IFIs.

Smart, sustainable and inclusive cities EIB is an active partner in lending in core sectors for smart, sustainable and inclusive cities, supporting sustainable urban transformation of European cities by financing investments in urban regeneration and urban transport; the establishment of a competitive, knowledge-based economy capable of sustainable growth, including investment in RDI (research, development and innovation), education, and ICT (information and communications technology) and supporting both low car-

bon investments that mitigate greenhouse gas emissions and climate resilient projects that improve adaptation to climate change impacts.

EIB works in partnerships with stakeholders at various levels including both the public and private sector such as with the EC, Managing Authorities, city authorities, industry, private-sector financial institutions and IFI’s.

As a result, EIB is implementing new products combining EU funds and EIB lending to achieve greater leverage, i.e. supporting more investments with a given amount of EU budget and EIB capital resources. These innovative facilities rely on risk-sharing and the blending of guarantees, grants and financing instruments. EIB supported joint instruments include JESSICA, Joint European Support for Sustainable Investment in City Areas, which supports sustainable urban transformation, improved living conditions and the improved competiveness of European cities.

The nature of the partnerships creates value-added by a cross-fertilisation of funding, technical assistance and cooperation/networking. In the case of JESSICA, EIB is acting as policy advisor to the EC and is providing technical and financial advice and services to a number of other relevant stakeholders. In particular, EIB has been mandated on 18 occasions by Managing Authorities to act as Holding Fund, managing a total of EUR 1.77bn in committed resources.

1 COM (2010) 2020 - ‘Europe 2020 - A strategy for smart, sustainable, and inclusive growth’ Brussels, 3.3.2010.

EIB Instruments at work JESSICA EUR 1.77 bn 18 EIB JESSICA Holding Funds 29 Urban Development Funds JASPERS 399 project assignments since 2006 185 project applications 104 projects approved ELENA – European Local Energy Assistance 14 projects received around EUR 15 million per year EPEC European PPP Expertise Center

15

THE CHALLENGE OF BEING “SMART” CONFERENCE REPORT INTELI and the Luso-American Foundation brought together, on May 3rd at the Electricity Museum in Lisbon, about 400 people to discuss the future development of cities.

“Smart Cities for Sustainable Growth” was the motto chosen for the international conference. A concept of Smart, Sustainable and Inclusive Cities that INTELI has developed with national partners (companies and local authorities) and to promote programs with European entities.

change at the global level begins in neighbourhoods and communities where you can have a positive perception of the impacts of the projects on people’s lives.

Also, the concept of inclusion only makes sense when it comes to the daily lives of citizens, as has witnessed Carlos Leite, architect and professor at the Mackenzie Presbyterian University, São Paulo.

“There are many cities in a mega city like São Paulo, different territorial contexts, densities, opportunities, levels of wealth”. The walls that divide them are mainly social, educational, and cultural. Seemingly insurmountable barriers that were overcome with intelligent projects of social innovation developed in the slums of São Paulo.

Representatives of European projects (Portugal, Spain, England, Netherlands) and project leaders from across the Atlantic (Brazil, United States) were present: despite the different realities, the debate showed that after all there isn’t an ocean separating us when it comes to finding ways to a new economic and social paradigm.

William Fulton, former mayor of Ventura, consultant and researcher on the new meanings of sustainability in the great urban centres, presented a divided America.

Americans still see themselves in the old concepts of urban growth and development, very focused on making full use of natural resources and urban areas that are difficult to manage. “Sustainability is an abstract word that doesn’t mean much to people”, says Fulton. However, when asked Americans if they would rather live in a city of skyscrapers and freeways, full of fast cars, or in smaller cities with houses, gardens and cultural and community life, an increasing proportion have no doubts in choosing a city to human scale.

Most speakers at the conference highlighted the experiment of new development solutions, based on the green economy and innovation in small communities. The

© INTELI

The integrated interventions focus on rehabilitation projects in public spaces and fostered new community living spaces. More importantly, according to Carlos Leite, was that these experiences approached extreme conditions and created conditions to jump the walls that divide the rich and the poor.

17

© INTELI

MORE TECHNOLOGY, BETTER CITIZENSHIP The new information technologies and intelligent infrastructure, unavoidable in societies, were addressed in an integrated perspective at the conference.

Siemens, a company with extensive experience in setting up smart grids, and INTELI as responsible for creating the model of sustainable mobility, in particular the system of electric mobility, presented the proposals that are already on the field. The practical knowledge on implementing projects gives even more strength to the idea that it’s not enough to just throw technology and money at the problems; you need intelligence, critical mass and especially the ability to engage citizens.

The human factor has always been referred to when the room was given an opportunity to speak, during the period of debate. While recognizing the importance of technology, financing and innovation for the development of the new economic paradigm, all were unanimous in placing at the top of the pyramid of priorities the commitment of the people and the definition of integrated strategies.

From New York to Lisbon, participation processes using new technologies or simply by creating spaces for

18

sharing and innovation (as the START UP incubator in Lisbon or the participatory budget), make a difference in the final evaluation.

Shin-pei Tsay, New York-based researcher, was clear on her approach. Walking makes the path. Small projects of urban renewal, development of new forms of mobility and sharing of transport or cultural and social integration, leave positive traces in the territory and contribute to creating a sustainable city.

“A smart and sustainable city is one where an open government collaborates with Citizens engaged to steward the city’s assets for future generations. Technology enables openness, collaboration, and engagement”, she said.

The project “Participatory Budgeting”, in Lisbon, coordinated by City Councillor Graça Fonseca, has shown that with a small investment, participation and great will, you can deliver. The START UP incubator in Chiado, the first of many, began with the implementation of a project submitted by citizens. It began by enlisting the debate of ideas and is now boosting companies. Graça Fonseca has a more comprehensive reading of this process. The modernization and citizenship are factors of projection of Lisbon in the ranking of cities internationally.

SMART CITIES The conference “Smart Cities for Sustainable Growth” culminated with the presentation of the Index of Smart Cities prepared by INTELI, whose work was based on the network of RENER cities, a Living Lab integrated in the “European Network of Living Labs” (ENOLL).

The diagnostic work and search for new opportunities promoted by INTELI aims to contribute to the sustainable development of the country, promoting the internationalisation of reference projects, whilst also enhancing the external visibility of Portuguese cities.

visitors and investors, through an alliance between innovation, environmental quality and social and cultural inclusion, in a context of open governance and connectivity with the global economy, aiming at the quality of life of citizens”.

The answer to this challenge was clearly visible in the committed participation of mayors, from various parts of the country, at the International Conference “Smart Cities for Sustainable Growth.”

The Index aims to “develop, incubate and test new intelligent urban solutions in different areas: mobility, sustainable construction, social innovation, governance”, said Catarina Selada still stressing, “the role of local attractiveness in the capture of foreign investment and skilled human resources”.

In summary, the partnership between INTELI and local authorities bets on “cities that are attractive to talent,

19 © INTELI

SANTANDER A SUCCESS CASE

Moreover, Santander has been involved in numerous projects related to smart cities, such as the European Initiative FIRE - “Future Internet Research and Experimentation” (which intends to create a multidisciplinary environment for research and experimental validation of highly innovative and revolutionary ideas for the future development of the Internet), the OUTSMART project (referring to the energy efficiency of lighting systems), SmartSearch (which involves the development of a research system that contextualises the “Internet of Things” by linking what is happening on the Internet with what is happening in the city streets through images in real time) and also the Burba project (which will enable the efficient collection of urban waste).

Santander, the capital of the Cantabria region, currently has about 183,000 inhabitants. This city in northern Spain has invested heavily in innovation in order to become a smart city.

To this end, the council undertook a series of goals to be achieved between 2011 and 2015. First, the creation of a Department of Innovation that centralizes all activities of the municipality in this area as well as a Plan of Local Innovation to develop and drive innovative projects.

Santander has also been focusing on strengthening collaboration between the municipality, the regional government, businesses and the university, which has allowed the creation of groups dedicated to research and development (R&D), having stimulated the interest and active participation of citizens and fixed highly qualified human resources in the region, thus contributing to the modernization and innovation of the city.

With the Scientific and Technological Park of Cantabria (“PCTCAN”) and through the creation of clusters for innovation, the Municipality also promotes a business model based on innovation and knowledge with special focus on public-private initiatives.

THE SMARTSANTANDER PROJECT SmartSantander is a project funded by 6 million euros by the European Union through the 7th Framework Programme and led by the company “Telefonica Investigacion y Desarrollo” (R&D) and the University of Cantabria, with the support of the Regional Government of Cantabria and the City Council of Santander.

This project envisages the creation of an urban centre of research and testing of future technologies, applications and services that will transform the city into a smart city.

The initiative involves the design, implementation and validation of a platform composed of 20.000 devices (sensors, photo and video cameras, etc.), integrated under the umbrella of the concept “Internet of Things”, where each device has the ability to communicate in order to convey useful information to the user.

Through this project, Santander will be the first city to be considered an urban living laboratory for the development and testing of new services, applications and innovative technologies to improve the quality and management of services rendered to citizens in urban areas.

21

What makes this project really interesting is that these services hold a wide variety of applications. Some are already being tested. This is the case of traffic management systems, which measure the intensity of traffic on the main entrances and exits of the city, or of the some 350 parking sensors scattered throughout the city that allow the driver to know which parking spaces are free.

Other examples are the measurement of temperature, of noise levels and air quality so that you can increase environmental and energy efficiency in the city, the implementation of more effective methods of payment throughout the city or the provision of more accessible tourist and cultural information.

Citizen participation is a transversal bet of the project.

Through the use of applications on smart phones, they can access and generate information that is useful to the entire community, about the events occurring in real time in the city (accident, hole in the pavement, etc.). Thus, technologies and services developed can be assessed by the end user, and checked for effective social acceptance through inquiries made to the citizens.

Santander was launched. 47 proposals were received, of which 50% came from the industry. Two proposals were selected for experimentation during 2012: CityScripts and SACCOM. The second call will be published in September 2012. The projects will be selected based on their potential impact on the day-to-day lives of citizens, as well as their ability to diversify, create dynamism and scale, features that are essential to the new solutions.

The participation of the Municipality of Santander in all these projects has brought numerous benefits to the city. In addition to the international prestige and being increasingly recognized as a city of reference with regard to smart cities and innovation, some companies are considering the city of Santander to setting up its technology centres. This was the case of the Spanish companies Telefónica and Ferrovial that will soon set up two Centres of Innovation and Technological Development for Smart Cities in this city.

In November 2011, the first call for new projects to be tested under the auspices of the structure of Smart-

Awards recognize the potential of Santander • • • • •

22

The SmartSantander Project was recognized with the “Future Internet Award” in Budapest (May 2011) Santander was honoured as “City of Science and Innovation” by the Spanish Ministry of Science and Innovation (2011) It was in 6th place award in the best city to study in Spain (Merco CityReport 2010) Prize for best smart city project of the International Congress “SmartCity Expo World Congress” Third smartest Spanish city 2011 (CPI Index)

Spanish Network of Smart Cities (SNSC) The Spanish network of smart cities wants to create the legal, political and regulatory framework to support governments and local authorities in the transformation process of cities. Simultaneously, this network aims to share experiences and best practices, strengthen cooperation between cities, the development of synergies and smart urban innovation strategies as well as the implementation of policies based on technological development.

The first step in establishing the network of smart cities in Spain was the approval of the legal texts of the framework in January 2012 with the following member cities: Santander, Palencia, San Sebastian, Bilbao, Vitoria, Cáceres, Logrono, Pamplona, Madrid, Valladolid, Barcelona, Seville, Burgos, La Coruna, Malaga, Castellón and Salamanca.

The following month, a Technical Committee was created and five working groups were identified, which were divided into the following strategic areas: Social Innovation, Energy, Environment and Infrastructure, Urban Mobility, Governance, Finance and Business.

With the formation of these groups, the SNSC intends to develop a sustainable management model and allow the experiences and synergies that are practiced in a city to be replicated in others, seeking to optimise existing resources. At this stage, the cities of Palma de Mallorca, Murcia and Valencia joined the network. In March a meeting of the Technical Committee was held to identify projects of the different working groups and the cities of Rivas-Vaciamadrid, Alicante and Sabadell joined this initiative.

Meanwhile the towns of Huesca, Segovia and Guadalajara also became members of SNSC. The constituent assembly of the network is scheduled for June 27th in Valladolid, with the creation of a non-profit association based in the Agency of Innovation and Economic Development of Valladolid.

Note also the focus on a strong collaboration with the private sector, and that some companies such as Telefónica, Fundetec and IBM have been present at meetings of the network. More specifically, Fundetec will provide technical assistance and support to the network while Telefónica will work on the web development platform that will be created.

This network is chaired by the city of Santander, considered an example in terms of smart cities.

References: Hernáiz, Inigo de la Serna, Spanish Smart Cities Network, The case of Santander, “Smart Cities for Sustainable Growth”, Lisboa, 3rd of May 2012.

Hernáiz, Inigo de la Serna, Santander involves towards the Smartcity, CAAC Newsletter, May 2012.

Munoz, Luis, Smart Santander: Innovación al servicio de la sociedad, El DiarioMontanes, April 2012, p.44.

SmartSantander Project, the Parliament Magazine, October 24 http://portal.ayto-santander.es

23

ICELAND

SWED

EUROPEAN PROJECTS OF SMART CITIES

NORWAY

Home Sweet Home

Health monitoring and sOcial integration environMEnt for Supporting WidE ExTension of independent life at HOME DENMARK

APOLLON

Advanced Pilots of Living Labs Operating in Networks UNITED KINGDOM

Smartip

Smart Citizens In Smart Cities

EPIC

EU Platform for Intelligent Cities

IRELAND

NETHERLANDS

GERMANY

Social life of Cities EGOV4U Collaborative E-enable citizen-centric Social Life, Cisco and the Young Foundation partnership to improve the connection between urban development’s, residents and communities.

BELGIUM

service delivery to socially disadvantaged citizens.

LUXEMBOURG

Smart Cities

Innovation network to set a new baseline for e-service delivery in the whole North Sea region.

ELLIOT

Experiential Living Lab for the Internet Of Things

FRANCE

SLOVENIA

CIUDAD 2020

R&D&I project to develop a new model of a smart and sustainable city

ITALY

OUTSMART

Services and Technologies based on an open and standardised infrastructure

SPAIN

Smart Cities

Citizen Innovation in Smart Cities Improving public services through an open innovation

Open Cities

Open Innovation for Future Internet Services in Smart Cities

PORTUGAL

Periphèria

People Smart Cities

Smart Peripheral Cities for Sustainable Lifestyles

Pilot Smart Urban Ecosystems Leveraging Open Innovation for Promoting and Enabling E-services

Smart

24

Search Engine for Multimedia Environment Generated Content

MALTA

FIREBALL

Future Internet Research and Experimentation By Adopting Living Labs towards Smart Cities FINLAND EN

CitySDK

There are several projects related to smart cities that are supported by the European Union, both within the 7th Framework Programme and the CIP - Framework Programme for Competitiveness and Innovation, and by other European programs. These include an extensive network of partners that cooperate in sharing experiences and good practices and in the development of intelligent urban solutions.

Create a service developer toolkit for European Smart City Applications.

Note: This mapping is not intended to be exhaustive but simply illustrative of the European projects of smart cities.

POLAND

HUNGARY

ROMANIA

CROATIA

SERBIA

TURKEY GREECE

A ISRAEL

25

Culture, creativity and identity on debate INTELI presented a communication at the European RSA Conference “Regional Studies Association” 2012 - “Networked regions and cities in times of fragmentation: Developing smart, sustainable and inclusive places”. The event took place in Delft (Netherlands), on the 13th-16th of May. The presentation of INTELI, under the theme “Culture, Identity and Creativity in Development Strategies of Small and Medium-sized Cities in NonMetropolitan Areas” was held at the session on “Non-Metropolitan Perspectives on Creativity and Identity - Creativity, Identities and Branding.

This intervention is part of the strategy of INTELI, of scientific valuation of the results of its work with local authorities and other national and European institutions.

INTELI participates in the 11th International Forum on Creativity and Innovation INTELI will participate in the 11th International Forum on Creativity and Innovation to be held in Aracaju (Brazil), on August 1st-3rd.

The event seeks to reflect on the impact of creativity and innovation in the governmental sector, social institutions, companies, education and territories. One expects the participation of about 1,000 participants from various cities across the country and from abroad.

The communication of INTELI focuses on the creative economy, with emphasis on territorial strategies based on creativity.

This is the second time that INTELI participates in this annual forum that takes place since 1999, under the coordination of the Creative Brazil Foundation.

26

Smart Cities project approved by the URBACT II The URBACT II Programme approved the Smart Cities project (Citizen Innovation in Smart Cities) in the month of April. It is a network of cities that aims to share experiences and best practices, as well as elaborate local action plans geared towards co-production of public services with a strong involvement of citizens.

Being led by the municipality of Coimbra, the network also includes the cities of Santurtzi (Spain), Mizil (Romania), Gualdo Tadino (Italy) and Gdynia (Poland).

INTELI supported the city of Coimbra in preparing the application for the first phase of the project, and will participate as a partner in the second phase that will start in October 2012.

Laboratory of Creative Places in Bragança Invited by ADDICT - Agency for the Development of Creative Industries in the North, INTELI participated in the Laboratory of Creative Places in Bragança, on June 5th.

The event brought together a set of cultural agents and actors linked to the urban planning of the municipality. INTELI presented a paper on territorial strategies based on creativity, seeking to answer the challenge: “How can the resources and initiatives related to creativity and culture become strengthen through a strategy that empowers them, developing and projecting the territory where they are being developed?”

The Laboratories for Creative Places are integrated within “Creative Portugal”, an initiative promoted by ADDICT, which will take place on June 21st –23rd.

27

Book Launch: “Sustainable Cities, Smart Cities” (Carlos Leite) São Paulo, Brazil – June 11th This book offers an overview of sustainability in cities, addressing their biggest current challenges: environmental issues, mobility, inclusion, security and governance. The author analyses how to make our cities more sustainable, creative and intelligent, presenting the most important concepts and indicators of sustainable urbanism and exemplifying the successful initiatives with real cases.

Regions for Economic Change 2012 - Transforming Regional Economies: “The Power of Research and Innovation Strategies for Smart Specialization” Brussels, Belgium – June 15th The 5th Conference of the Regions for Economic Change, organized by the Directorate-General for Regional Policy of the European Commission, will discuss the challenges, benefits and possible limitations of applying the perspective of “smart” specialization through the EU Structural Funds, as well as how best to implement this theme customized to different national/regional contexts.

Smart City Event 2012 Amsterdam, The Netherlands - June 27th and 28th It is one of the largest conferences in Europe on “smart cities”, where all stakeholders are invited to two days of learning and sharing knowledge about the most successful projects of smart cities. The focus is on sharing knowledge on the areas of climate change and energy.

One of the keynote speakers is Jeremy Rifkin, author of the bestseller of the”The New York Times”, “The Third Industrial Revolution”.

Smart Cities Summit 2012 Durban, South Africa – July 10th and 12th This summit will be an event focused on the future of urban planning in Africa, where problems in the public sector will find new solutions. The leaders of the sector will discuss and analyse some of the issues concerning the creation of smart cities. The three-day event, in association with the Department of Environmental Affairs, covers all aspects of management of the modern city. Speakers include Kevin James of Global Carbon Exchange, Kadri Nassiep of the South African National Institute of Energy Development and Marvin Benjamin of Southern Africa Siemens.

28

SITES & LINKS Sustainable Cities – World Bank Blog

Sustainable + Inteligente Cities, Blog Carlos Leite

Urbanization Knowledge Partnership

Smart City Thinking: An open & collaborative space

Smart Growth America

World Foundation for Smart Communities

Mesh Cities

BOOKS & PAPERS Geography of Growth: Spatial Economics and Competitiveness Nallari, N., Griffith, B. & Yusuf S.; World Bank, May 2012 This book analyses the key factors associated with the development of cities, such as innovation, green growth, spatial concentration and urban intelligence, seeking to answer the following question: “Why do certain cities become more competitive and others stagnate?”

Chapter 5 is entirely dedicated to smart cities in the context of innovative urban strategies.

Smart Cities as Innovation Ecosystems sustained by the Future Internet Fireball White Paper, April 2012

This White Paper is one of the results of the European Fireball project, supported by the 7th Framework Programme. It analyses the strategies of “smart cities” that are being adopted by European cities, through a series of case studies, with emphasis on the application of the concepts of ‘open innovation’ and ‘co-creation’ with strong user involvement.

Beyond Smart Cities: How Cities Network, Learn and Innovate Campbell, T., Routledge, January 2012

This book seeks to analyse the role of networks in the processes of learning and innovation in cities. Eight case studies are analysed, of cities where learning had a crucial importance in the processes of urban transformation: Amman, Barcelona, Bilbao, Charlotte, Curitiba, Portland, Seattle and Turin.

29

Smart Cities in the Innovation Age

In “Innovation: The European Journal of Social Science Research”, vol. 25, 2, 2012 This special edition of the “Innovation” magazine addresses the topic of smart cities in the era of innovation.

In particular, it focuses on the feasibility of the ‘smart city’ concept by presenting a set of case studies about critical success factors and implications of the strategies of smart cities.

Smart Cities Dynamics – Inspiring views from experts across Europe HVB Communicatie bv, 2012

This publication integrates different views about the ‘smart city’ concept, presenting a set of best practices in several European cities. It also demonstrates the economic, social and environmental benefits of smart cities, as well as their impact on the work of policy makers, urban planners and entrepreneurs.

30

TECHNICAL DATASHEET Edition and Coordination: INTELI Editorial Team: Catarina Selada, Patrícia Afonso, Maria João Rocha and Diana Reis.

Collaboration: Fernando Silva (Siemens), Shin-pei Tsay (Carnegie Endowment for International Peace), Carlos Leite (Presbiteriana Mackenzie University) and Thomas C. Barrett (European Investment Bank).

Photographic report: Anthony Malhado (INTELI) Graphic design: Mónica Sousa (INTELI)

INTELI is a think-and-do-thank that operates in the area of integrated development of territories at an economic, social, cultural and environmental level, by supporting public policies and the strategies of local agents.

It operates in the areas of culture and creativity, energy and mobility and social innovation, seeking to contribute towards the affirmation of more creative, sustainable and inclusive cities and regions.

INTELI – Inteligência em Inovação, Centro de Inovação Av. Conselheiro Fernando de Sousa, 11, 4º 1070-072 Lisboa – Portugal Tel: (351) 21 711 22 10 Fax: (351) 21 711 22 20 Website: www.inteli.pt E-mail: citiesbrief@inteli.pt