Issuu

Briefing

Transport

Culture

Construction

City slickers

Back to the future

People power

Making it work

Smart cities are poised to take over the world, but what’s so clever about them? | Page 5

Come 2050, we might be getting from A to B in jetpacks, electric cars and on monorails | Page 8

There has been a movement toward eco communities throughout Berlin – and it started from the bottom-up | Page 11

A sustainable office doesn’t just mean powering down after hours. It all starts with the design and build | Page 13

September 2012 | business-reporter.co.uk

SUSTAINABLE CITIES

Cities of the future Distributed within the Sunday Telegraph, produced and published by Lyonsdown which takes sole responsibility for the contents

Turn to page 8 to find out how you’ll live in 2050

TIC - 46.5 x 262mm:Layout 1 18/09/2012 09:26 Page 1

Concrete is the most ethically and responsibly sourced material.

this is

concrete

92%* of concrete is certified to BES 6001, the most demanding responsible sourcing standard. Find out more at www.thisisconcrete.co.uk *from the fifth Concrete Industry Sustainability Performance Report

This is Concrete is supported by MPA The Concrete Centre

Business Reporter · September 2012

an independent report from lyonsdown, distributed with the sunday telegraph

Sustainable cities

Publisher Bradley Scheffer info@lyonsdown.co.uk

Project Manager Bradley Scheffer brad@lyonsdown.co.uk

Editor Ellen Bennett editor@lyonsdown.co.uk

For more information on any of our supplements please contact us: Telephone 020 8349 4363 Email info@lyonsdown.co.uk

Production Editor Amy Dickson amy@lyonsdown.co.uk Production Assistant Fleur Hollett production@lyonsdown.co.uk

Find us online: business-reporter.co.uk

Sustainable cities: forty years of an idea 1972

The Club of Rome, the global think tank, used “sustainable” in its modern sense for the first time in its report, The Limits of Growth

1987

The United Nation’s published the Common Future Report (or Brundtalnd) report with the definition: “Sustainable development is development that meets the needs of the present without compromising the ability of future generations to meet their own needs.”

2012

2002 1992

The Rio Earth Summit, convened by the UN, launched Agenda 21 – an action plan for sustainable development

1997

The UN Framework Convention on Climate Change agreed the Kyoto Protocol, to limit the emission of greenhouse gases

The Johannesberg World Summit on Sustainable Development issued several global agreements, including the Johannesberg Declaration

2003

2007

The 2007 Sustainable Communities Act, allowing local people and their councils to ask the government to take action on sustainability, passed into law

Deputy prime minister John Prescott launched the Sustainable Communities plan in the UK, to build massive new housing developments in the Thames Gateway and Southeast, and tackle housing blight in the North

2009

Twenty years on from the Rio Earth Summit, world leaders headed back to Brazil. Little of substance was agreed and the summit was widely judged a washout

The Copenhagan Summit of world leaders drafted the “Copenhagan Accord” but failed to secure the global commitments they were looking for

Business Reporter · September 2012

an independent report from lyonsdown, distributed with the sunday telegraph

Like us: facebook.com/business-reporter

Sustainable cities

Find us online: business-reporter.co.uk

Contents

A tale of new cities The percentage of people moving into urban areas is rising steadily over the decades

1902 20% 1990 40% 2010 50% 2030 60% 2050 70%

Parking mad

North to South

Beam me up

Take the initiative

Making green work

Natural selection

Local communities Sir Howard Bernstein on his plans for the West End A look at urban transport of the future Source: Economist Intelligence Report

Everything you need to know about C40 Top five offices boasting sustainable credentials

Best of three: GreenCity Index* US and Canada Atlanta, USA Boston, USA Calgary, Canada

Germany

Europe

Amsterdam, Netherlands Athens, Greece Belgrade, Serbia

Berlin Bremen Cologne

Bill Dunster is preparing for a life without fossil fuels

Asia

Bangkok, Thailand Beijing, China Bengaluru, China

With thanks to the following organisation:

Preview: What is a smart city?

“

Dr Catherine Mulligan, DCE Research Fellow

“Smart cities are a hot topic today due to pressure to create economic growth, and respond to environmental changes while also reducing the cost of delivering government services to citizens. To a large extent, the competitive advantage of nations now rests with the ability of cities to provide the right physical infrastructure, augmented with the right digital technologies to deliver an attractive environment to both companies and citizens. A smart city takes an integrated approach to smart technology investments, reducing costs while improving the quality of life for citizens and enabling opportunities for companies.”

*The index measures environmental performance of more than 120 cities throughout the world. Cities are chosen on the basis of size and importance. Source: Economist Intelligence Unit.

“

”

Mark Deakin, School of Engineering and Built Environment, Edinburgh Napier University

Africa Latin America

Belo Horizonte, Brazil Bogota, Colombia Brasilia, Brazil

Accra, Ghana Addis Ababa, Ethiopia Alexandria, Egypt

Australia and NZ

Adelaide, Australia Auckland, New Zealand Brisbane, Australia

Cities considered to be smart and sustainable are those which have strong economic growth, are socially inclusive and environmentally responsible in terms of the low risk, minimum disruption and restorative qualities of adaptation strategies they adopt to deal with climate change. Smart cities may be singled out by their “high-tec/low carbon” responses to climate change and type of innovation they promote to ensure economic growth is not just socially-inclusive, but manages to generate climate neutral urban environments.

”

Business Reporter · September 2012

an independent report from lyonsdown, distributed with the sunday telegraph

Industry view

Find us online: business-reporter.co.uk

Driving fuel efficiency Using hybrid buses can reduce a city’s carbon emissions by 40 per cent and save £13,000 on fuel per bus INDUSTRY VIEW

ustainable transport is essential, not just because it can help cities meet their emissions targets, but because in the long term it will bring cost savings. “By 2030 five billion people in the world are expected to live in high-density urban areas. Many of those cities are committed to reducing carbon emissions and want to cut fuel costs. That makes cities the most receptive market for hybrid buses,” says Rob Lindsay, BAE Systems’ director of HybriDrive Solutions business for the UK and Europe. BAE Systems used its existing knowledge to develop the HybriDrive system of propulsion, which is now fitted into buses made by Falkirk-based bus manufacturer Alexander Dennis Limited (ADL). The HybriDrive diesel-electric drive system, in use on more than 3,500 buses worldwide, is the world’s leading hybrid system for urban transit. “It combines fuel savings with emission reduction and is the most proven technology in the industry, more than 500 million miles of revenue service so far,” says Lindsay. Replacing diesel-driven buses with those using hybrid technologies makes sense for cities aiming to hit emission-reduction targets and provide for more sustainable economic growth. In all hybrid technology, the key to efficiency is recapturing the energy normally lost during braking to feed into the battery and be used again. Using hybrid propulsion in transit buses and trucks results in lower fuel consumption, and CO2 and greenhouses gas emissions are reduced by 20 to 40 per cent.

In developing its HybriDrive propulsion system, BAE Systems faced a choice. It could have used a parallel architecture or a series architecture. In a parallel architecture the electric motor and combustion engine work in parallel, assisting each other to drive the wheels. However, in a series architecture, the electric motor actually drives the vehicle, while the combustion engine simply generates power. This is the architecture that BAE systems chose, because it suits city bus duty cycles that typically have heavy loads and frequent stops. In this type of environment, a series architecture provides better bus fuel economy and emission reductions than a parallel solution.

Less carbon emissions The series architecture requires a smaller diesel engine and involves no gearbox,

How it works: BAE Systems’ HybriDrive diesel electric bus system • The unique design of the HybriDrive series propulsion system pairs simple functionality with state-of-the-art electronic control. The series configuration eliminates the mechanical connection between the primary power source (traditionally a diesel engine) and the wheels. The traditional combustion engine turns a generator, and the power flows in series from the generator to power control electronics, to batteries, to electric traction motors, and finally then to the wheels. • The Energy Storage System uses a long-life lithium-ion battery to provide power during acceleration and store power during regenerative braking, making the bus more fuel-efficient.

resulting in a smoother and quieter ride, so the buses are more comfortable. In the long term, series architecture can also be adapted easily to technologies such as fuel cells and plug-in or pure battery power. “This kind of hybrid technology is a practical step towards all-electric vehicles, because series architecture can be easily upgraded as new technology is developed, until eventually the buses can be fully powered by electricity to reduce emissions to zero,” says Lindsay. The choice has proven popular. ADL and BAE Systems won 52 per cent of the vehicle orders in the first two rounds of the Department of Transport’s Green Bus Fund, which aids bus companies and local authorities in England to buy new lowcarbon buses. BAE Systems’ HybriDrive technology made its European debut in London in 2008, when a hybrid trial began, using 17 of the BAE Systems ADL buses. Now the companies have provided over 450 of these hybrid vehicles to bus operators in England and Scotland, and the ‘green’ buses can be seen on the streets of cities such as London, Hull, Reading, Manchester and Sheffield.

Fuel savings

In focus: HybriDrive propulsion syste m

As well as reducing greenhouse gases and CO2 emissions, hybrid systems like these can result in significant fuel savings. “Using these hybrid buses on an inner city duty cycle saves around 30 per cent on fuel compared to an equivalent diesel vehicle,” says Lindsay. Bus operator EYMS in Hull, which has been operating ADL’s Enviro400H buses using BAE Systems’ HybriDrive technology since April 2011, estimates an annual saving of 9,000 litres of fuel per bus. At today’s pump prices this would be around £13,000 per bus per year. At present the hybrid vehicles cost around

What good does the HybriDrive propulsion system do?

33m

gallons of diesel fuel saved

460,000

tonnes of CO2 emissions prevented

350

passenger miles per gallon of fuel

£300,000, compared with the standard London diesel-driven double decker price of about £200,000. “With fuel savings, the ‘green’ buses currently take about seven to ten years to return their initial investment,” says Lindsay. However, the more buses that are ordered the more production costs will drop. This is where the Government’s Green Bus Fund comes into play. The scheme helps local authorities and bus operators with funding for hybrid buses. “The third round of funding resulted in 160 orders from operators for the BAE Systems ADL hybrid vehicles,” says Lindsay. “If we can get vehicle costs down we can significantly shorten the payback time on investment – with beneficial effects for passengers, drivers, operators’ fuel bills and the environment.” www.hybriddrive.com

Business Reporter · September 2012

an independent report from lyonsdown, distributed with the sunday telegraph

Like us: facebook.com/business-reporter

Sustainable cities

Find us online: business-reporter.co.uk

Smart cities...in 60 seconds As the global population becomes increasingly urbanised, smart cities are pioneering ways of harnessing IT systems to manage resources more efficiently

Visitors to Masdar City can get around using the Personal Rapid Transit system – driverless cars which glide around on magnetically guided routes

is the right place to be doing it. London was the largest city in the world by the end of the 18th century. Britain has more historical experience than most of being urbanised.” Internationally, Masdar City in Abu Dhabi is the most commonly cited example of a smart city. Designed by world-renowned architect Norman Foster, it will rely entirely on solar energy and other renewable energy sources, with a sustainable, zero-carbon, zero-waste ecology. The first phase of the building work is due to be completed in 2015.

Why all the fuss about cities? As it grows, the world’s population is increasingly migrating to cities. In China, 300 million people are predicted to move from rural to urban areas within the next 15 years. They will require an infrastructure equivalent to that of the existing United States – within just a few decades. This trend will be reflected across the globe – 70 per cent of the world’s population will live in cities by 2050, up from about half in 2009. So, what is a “smart” city, exactly? The term “smart city” means different things to different people, but essentially, it’s a city that uses information and communications technology to manage its resources intelligently and efficiently. “Everyone always dives in on the technology,” says Steve Lewis, chief executive of Living PlanIT, “but for me it’s about improving the economic and social development of cities in addition to reducing the demand on natural resources. It’s principally about efficiencies, whether we measure it on an economic, social or environmental basis. That puts demands on the way we think about construction and construction techniques, and more importantly, on the infrastructure – energy, water, waste, transportation, logistics.” How will it work? A house or public building such as a hospital could be fitted with sensors that collect and evaluate data. Based on this data, the system can regulate temperature, open windows and so on – without any need for human intervention. According t o L e w i s: “Certain systems collaborate with each other in interesting ways. For example, a building

Hands-on campaigners win battle on legislation to empower local councils Regulation came into force in July Act has helped Sheffield Post Office

In 2010, Exeter City Council made a bid to claw back money from shopping centres’ car parks to fund other services. It won strong local backing and universal political support, but when the proposal hit Westminster, it was chucked out by Secretary of State for Communities and Local Government, Eric Pickles, without negotiation or compromise. Exeter is just one of the many local communities that have failed to benefit from the 2007 Sustainable Communities Act. The act was designed to allow responsibility for the delivery of sustainable

In China, 300 million people are expected to move from rural to urban areas within the next 15 years

might be using photovoltaics, and storing some of the energy produced by that in the building. “At some point, it might have too much energy to store, so it needs to be able to look across that urban landscape and push that energy into, say, electrical vehicle platforms or moving water up hill, and so on. You are starting to see what we see in the rest of computing where everything becomes connected.” Sounds good. Have any been built yet? Lewis reckons there are three approaches to building smart cities: those being developed

development to lie with local authorities, with the aid – rather than the dictation - of central government. This was done by putting the vision and control of community sustainability strategy back into the hands of local authorities and community members via a bottom-up process of submitting proposals to government to grant powers and bust barriers to local action. The act fits well with Prime Minister David Cameron’s controversial ‘Big Society’ – but like that controversial policy, it initially fell flat, with incessant political wrangling and confusing bureaucracy obstructing the progress. Now, following a tireless campaigning effort by Local Works, things are about to change. Local Works, the coalition of over 100 national campaign groups, trade associations

from scratch, mainly in the developing world; those that are being regenerated for specific projects, as with London’s Olympic Park; and those that are being retrofitted. Lewis’s company, Living PlanIT, is working with developer Quintain on the regeneration of the Greenwich Peninsula, which aims to be a test case for many smart city technologies. The project also has government backing – when it was launched, David Willetts, then minister for universities and science, said: “The development of smart cities in future is a crucial commercial opportunity for Britain, and London

and environmental charities that fought for the implementation of the act into law, claimed victory with a new update to the legislation. When director Steve Shaw was asked how the act was proceeding before June 2012, he answered: “It wasn’t.” A major problem, Shaw explains, was t h e “terrible delay” in response to proposals. “There were MPs putting forward questions to the minister, and they did that for months and months and all they were getting was ‘it’s going to happen soon,’ and then nothing.” When discussing the Exeter car park levy, Shaw said the real disappointment was not that the proposal was rejected, but that the government ignored its duty under the act to negotiate

Are the public authorities behind smart cities? Yes. Brussels set up a group to look at smart cities and communities this year. The group will ask what governments should be doing to support innovation in energy, transport, and information and communications in cities, and will report to the European Commission next year. The public authorities in Asia are particularly keen on smart cities: 18 Chinese cities have already announced “smart city” initiatives. The government in Beijing has decreed that the so-called “internet of things”, whereby machines communicate with machines, should be the backbone of economic development in the region. Other Chinese cities that describe themselves as smart cities include Guangzhou, Shenyang, Wuxi and Ningbo. So far, so good – but what do the critics say? It’s hard to argue with the concept of smart cities, but there are some problems with the execution, say critics. For example, there are concerns that in China, smart cities are being imposed on populations without any consultation. Hyun Bang Shin, urbanisation researcher at the London School of Economics, was recently quoted as saying of China: “Smart Cities are the project of the government not the project of the people.”

proposals and try to reach a compromise. “That’s what the act is about; it’s not just a consultation,” he said. “That’s very disappointing...the government say it is a truly bottom-up process, but then don’t actually adhere to the rules.” The new, improved regulations, which officially came into force on 26 July, officially enforced this negotiation process; put an end to “death by delay” fears, and provides new powers for local authorities and councils to reduce the barriers affecting community action. There is a new time-limit of six months to respond to proposals, and the process is now ongoing rather than occurring in rounds, ensuring swifter action, greater local power and encouraging community participation. Early success looks likely for Sheffield City Council which, under the act, was granted the power to plan its own

Exeter Cty Council had its plans to fund services from car parks scrapped by Westminster

5% boost in revenue for Post Offices in Sheffield

network of post offices, enabling it to save public money and reverse community decline. In doing so, it has saved a Post Office from closing down, and improved Post Office revenue in the area by more than 5 per cent. The government promised that should the scheme be effective, it would extend it across the country; a plan that Local Works will be pushing for. “It will be interesting to see if they keep good on their promise,” Shaw said. – Bonnie Gardiner

Business Reporter · September 2012

an independent report from lyonsdown, distributed with the sunday telegraph

Sustainable cities

Find us online: business-reporter.co.uk

Manchester’s golden boy brings Midas touch to city Sir Howard Bernstein has overseen the triumphant regeneration of Manchester over the last 14 years. Can he now work his magic on London’s West End? by Ellen Bennett

sufficiently diverse economic base. It has to be capable of growing in a way that lets all its residents share in the benefits of that growth.

As chief executive of Manchester City Council since 1998, Sir Howard Bernstein is Would you describe Manchester, as it stands widely credited with spearheading the city’s today, as a sustainable city? regeneration, its recovery from the 1996 IRA In those terms, Manchester, like most cities, bombing, and its massively successful hosting has very severe challenges still to meet. of the 2002 Commonwealth Games. Our economic base is more diverse and A global expert on regeneration, Sir stronger than it’s been for some £110m Howard is chairing the new West End considerable time, but there is still a lot of work to do. Com m i ssion, e st abl i shed by Was the cost of the 2002 Commonwealth Westminster council this summer We have to remain competitive Games. £33 million to oversee the transformation of with regard to the changes in local was funded by London’s central shopping district. market forces where we face Manchester City Council Business Reporter caught up with Sir increasing competition, and from new Howard to ask what sustainability means emerging cities in the Far East. For places to him, how he achieved such success in like Manchester, how we reduce the Manchester, and what he has in store for dependency on our high-demand services and London’s West End. improve even further the productivity of our labour market are all big issues – and they’re What does the term “sustainable city” mean not just about being competitive, they’re about to you? local government and public sector reform. A city that it is successful, a city that creates its own momentum for continued growth. A city, Manchester’s regeneration was helped greatly therefore, in the current climate, that has a by the 2002 Commonwealth Games – and

BRITAIN’S BRICK SPECIALISTS

Michelmersh Brick Holdings PLC unites innovation with the best in clay traditions. We’re the UK’s largest independent producer of handmade bricks and clay pavers, whilst leading the way in quality wirecuts, tiles, bespoke products, specials and Terra Cotta. Our brands enjoy rich heritages. Blockleys, Charnwood, Dunton, Freshfield Lane and Michelmersh – for generations these trusted names have been behind some of the most prestigious built environments.

Tel: 0844 931 0022 www.mbhplc.co.uk

Britain's Brick Specialists

Business Reporter · September 2012

an independent report from lyonsdown, distributed with the sunday telegraph

Like us: facebook.com/business-reporter

Find us online: business-reporter.co.uk

London is reaping the benefits of a successful You’ve lived and breathed Manchester for Olympics.Do you think the impetus given by many years – what made you decide to accept such major sporting events is a necessary one the chairmanship of the West End Commission for the planning of a sustainable city? as well? It’s part of the answer, but it’s not It was an opportunity to share best exclusively the answer. As we showed £16.5bn practice; to continue to learn. The in 2002, you can create a significant West End is a significant asset not Boost to the UK economy by 2017, physical infrastructure and legacy just for London, but for the whole thanks to the Olympics. on the back of big events, but the of the UK. Construction and The challenges we face here are long-term impact of those events tourism will benefit the most also requires significant investment very interesting – it’s not just about in people. That’s why it’s still as important competition, it’s about how digital to focus on the legacy of the Games in technology is going to change consumer choice. Manchester several years later, as it will be in There’s a lot for us all to learn in thinking how London over the coming years. you marry the importance of wealth creation and the impact on people who actually live in Do you believe the London Olympics will leave the area. It’s also about the importance of a sustainable legacy? transport, and a holistic, integrated approach I’m sure it will be positive. Certain physical to regeneration that’s about people as well as aspects have been hugely positive – there are infrastructure. areas of east London that have been regenerated that otherwise would not have been regenerated. What are the biggest challenges the West As is widely recognised, a big effort needs End faces? to be continued to be made to ensure the It’s about how it remains competitive “people benefits” of the programme given the change in consumer choice; are also widely captured. the importance of the higher It’s not just about “hearts and Estimated number of standards which consumers exact people expected to in terms of the env ironment minds” – although that’s important, visit the West as we’ve witnessed over the within which they want to shop or End this summer past few weeks, where the visit. It’s how those demands can be overwhelming majority of the accommodated without creating a British public has decided that both negative impact on the people who live Games were a resounding success. But it’s also there. how we use physical regeneration to support How do you regulate and manage the street the capacity of people to play a full and active scene and the environment, and continue to part in the labour market, and to play a full and drive a diversified economic base? One of the active part within their communities. That, for West End’s greatest strengths is the combination me, is the difference between cities that are of activities it offers, the scale and diversity – hugely successful over the next decade and and it’s crucial that diversity is maintained. cities that are not.

25m

Are there any global examples of Before becoming cities that have achieved this chief executive of status? Manchester, Sir Barcelona, in physical terms, Howard championed the Metrolink system is still the best example of how - the first to be built in a city was transformed on the over a century back of a major Games, following the 1992 Olympics, where they distilled over a seven-year period an investment programme that would have otherwise taken 20 to 30 years.

The N at the UK ional Cyclin g ’s cyclin first indoo Centre was rO gt cost o rack, openin lympic f£ g includ 9.5 million. in 1994 at a e Sir C R hris H egular use rs oy

The B rid intern gewater Ha at ll which ional conce is an rt o £42 m pened in 19 venue, 96 illi over 2 on to build . It cost , and h 50 pe rform ances osts a year

Urbis op receiv ened in 20 02 in the M g £30 millio after ille n 2011 it nnium Com funding from re missio Nation opened to n. In h al Foo tball M ouse the useum

Manc he attrac ster Art Ga ts ll each y over 400,0 ery ear. Be 00 vis its 2002 tween ,£ 1 spent 35 million h 998 and renov ating it as been

Everything he touches...

How Howard helped: 4,494 total direct permanent jobs Commonwealth Games’ impact on Manchester £4m current annual income from stadium £110m increase in Gross Value Added (1998 - 2009)

Sustainable cities

Business Reporter · September 2012

an independent report from lyonsdown, distributed with the sunday telegraph

Sustainable cities

Buildings of the future Product innovation and effective research will be vital to meeting targets for sustainable construction INDUSTRY VIEW

hen we consider the challenge set out by the government it is very clear that sustainable construction is becoming more and more important. Durability of constr Research and uction materials are vital to ensure sustaina bility in the future product innovation need to play a vital role in meeting these targets, and this must be done on two levels. First, we need to produce building materials that enable us to live more efficiently in homes, offices or schools, especially in terms of constructing buildings that require less heating and cooling and lead to significantly reduced energy consumption. In the immediate term, this is the most important priority. Between 60 to 80 per cent of a building’s carbon-footprint over its life cycle comes from energy used in its operation, depending on building types. The second challenge is to provide materials with a lower embedded energy footprint. The energy within the

“Sixty to 80 per cent of a building’s carbon-footprint over its life cycle comes from energy used in its operation” materials that are used to construct a typical building only account for around five per cent of its footprint. However, when specifying, it is often a matter of considering the energy that is used by a product when it is in situ versus that utilised throughout its production.

Sustainable shelf-life During its life, a structure will use considerable energy, but it’s important to remember that the lifetime of the structure has a direct impact on its sustainability. The durability of the construction materials used on a project are vital if the structure is to have a long lifetime and continue to perform sustainably long into the future. This will become more important as the government’s focus on reducing energy use in buildings begins to have an impact. The percentage of a building’s energy footprint derived from use and operation will reduce and other components of a building’s energy footprint, in percentage terms, will increase. Emma Hines, above, is the sustainable construction and development manager 0844 561 0037 www.lafarge.co.uk

Find us online: business-reporter.co.uk

Fire up your jetpacks: transport in 2050 How will urban transport change in the coming decades? by Roxanne McMeeken From at least as early as the 1920s, our imaginings of city transport in the “future” have involved all manner of wondrous and implausible contraptions. Star Trek-style transporters to “beam” us from A to B, anyone? Or how about the long-cherished vision of citizens zooming above the modern metropolis, strapped to jet packs? Here in the new millennium, while jet packs have actually been invented, urban transport remains firmly fixed on the ground. According to US research company Ward Auto, the number of cars on the world’s road surpassed one billion in 2010, which equates to a car for every seven people. However, the trends determining urban transport today – including the sustainability agenda – could not have been predicted even 30 years ago. By 2050, the United Nations estimates that 70% of the world’s population will live in cities. So how will it work? Here’s a sneak preview of transport in the sustainable cities of 2050. The first certainty is that the global movement to make cities as

sustainable as possible will have a profound effect on transport policy. The background to this is the commitment United Nations members have made to limiting global temperature rise to 2°C. It might sound a small amount, but the UN says it means emissions worldwide need to fall by 80% on 2015’s levels by 2050. With transport responsible for 23% of energy-related CO2 emissions globally, according to the International Energy Agency, city transport is about to get a whole lot greener. Surprisingly, perhaps then, the car is here to stay. Volker Buscher, director of information communications technology at Arup, a design, engineering and planning consultancy, says: “The notion of not having cars and sitting in crazy flying pods is naive. Instead, we will use a greater mix of modes of transport, including cars – at least in some form.”

Shift to public transport

This mix will include pretty much what already exists. The real difference will be that more of us will use “mass transit”, otherwise known as public transport, particularly buses, elevated rail, trams and underground rail, all of which will to varying extents run on renewable energy. The more we use public transport or self-powered means like walking and cycling, the greener our cities will be. The Brussels-based International Association of Public Transport (UITP) has found that cities with less reliance on private cars produce less CO2 . For example, in the US city of Houston, only 5% of passenger travel is by public transport, walking and cycling, and the city produces 5,690kg of CO2 per capita per year. I n contrast, in Hong Kong the

figures are 85% and 378kg respectively. Modern mass transit systems can already be seen in Singapore, where the public transport network is fully connected, with no traipsing between stops when switching modes of transport, and payment via a card is based solely on the distance travelled, regardless of mode.

Electric cars

Wherever possible, mass transit will be complemented by compact, electric cars, fuelled by renewable sources of energy. Could these be the only form of car by 2050? Farshid Kamali, director of highways & transportation at Atkins, an engineering and design consultancy, says: “The extent depends on government policy and the activities of pressure groups, but electrically-powered cars will be a major proportion of private vehicles.” Car ownership is also set to be less common with car share schemes taking off. One of the main elements for which urban planning policy is preparing is a whole lot more walking and cycling. Town planners will encourage self-powered transport by replacing roads with tree-lined paths and cycle routes. Solutions will differ according to regional customs and climate, as a project by Atkins in Abu Dhabi shows. Kamali says: “We developed a masterplan for walkways that are shaded, and distinguish male and female areas.” Another scheme by Atkins, for the two fast-growing southern Indian cities, Mysore and Maduri, shows how the urban fabric will be changed to make using your bike or feet more practical. Atkins proposes creating mixed-use “nodes” within the cities, including job creation opportunities. Roger Savage, Atkins’s associate director, Future Cities, says: “Each node would be anchored by a something like a hospital, industrial complex or retail area.” The plan would take the pressure off the city centre and create “clusters”, where people have all they need within a short distance. Reorganising each city’s masterplan in this way would make them significantly more sustainable,

Business Reporter · September 2012

an independent report from lyonsdown, distributed with the sunday telegraph

Like us: facebook.com/business-reporter

he says, cutting carbon emissions by a huge 40%. The project demonstrates how transport planning is increasingly part of wider socio-economic strategies. Susan Claris, associate director at Arup, says: “Transport relates to all urban policy. It ’s about energy strategy; employment – infrastructure decisions on things such as r a i l create jobs; and health – if you can get p e o p l e walking this reduces noise pollution and tackles obesity.” But transforming the physical environment may not be enough to change people’s behaviour. “People are not always rational,” says Buscher. “For instance, the car remains a status symbol, so it may be difficult for people to break their emotional attachment to it.” The solution could be to spark behavioral change through campaigns and policies. “People will need to feel they are being part of what ‘good’ looks like,” says Buscher. The London 2012 Olympics demonstrated how it could work. “My friends and family used the bus and train to reach the park, and we probably all walked a bit more than we usually would.” So much for the carrot. The

Sustainable cities

Find us online: business-reporter.co.uk

stick, he says, will be initiatives such as the London congestion charge, introduced in 2003 by then mayor Ken Livingstone. Buscher expects more of such “modern, innovative and radical” moves worldwide. London also shows how the thorny issue of funding is likely to be tackled. Andrew Jones, managing director, planning, design and development, Europe, at built environment consultancy Aecom, says that with property developers already stretched delivering schools and affordable housing, it is doubtful they will be expected to invest in transport. Enter Crossrail, which is set to be partly funded by the increased tax revenue that the new trans-London line will bring to businesses around it. “This is a really interesting new way of investing in transport infrastructure,” says Jones.

Personal technology

Technology will be a critical element of sustainable cities, starting with smart phones, which are becoming an integral part of how many of us use transport. Buscher cites the London Bus Tracker app, which shows you bus arrivals in real time. “It’s great,” he says, “but their information is not on, say, Google maps. It would be better to find out when the bus is coming at the same time as finding where you are.” By 2050, the interconnectivity missing from the picture will be a relic of the past. Gareth McNaughton, director of innovation and strategy Cisco UK, says: “ T he system will give

you the right combination of taxis, buses and trains for the route.” It will show where the nearest bike or car share is too. Will technology also mean we travel less? There will be more home working and online shopping, yet planning experts say we are still likely use urban transport heavily. Claris says people will still go to shops to see products on display. However, stock may be held in a mass distribution centres, with goods delivered to customers’ homes. Alain Flausch, secretary general of UITP, says: “You can argue that the value of the city is the very fact that you can meet face to face, and the more we use technology to communicate, the more important meeting in person becomes.” So the sustainable cities of 2050 will not look that different. Beneath the surface, though, they will be healthier, lower carbon, and powered by technology and data in a way that will revolutionise everyday life. Says Buscher: “People are waiting for the jet pack but the reality will be even better.”

Three ways technology will change urban transport

Reality made virtual

Holographic handshakes

Micro management

“Instead of spending your tube journey looking into the armpit of someone who has just got off the 6.15 from Tokyo”, says McNaughton of Cisco Systems, by 2050 you’ll be able to don a headset that transports you, virtually, into another world. “You could abseiling or sitting on a beach. This sort of ‘masking’ of reality will change the crossover between the virtual and real world as well as between the private and public realm.” 3D teleconferencing with the use of holograms will make video conferencing a much more appealing prospect. McNaughton says: “3D conferencing is really going to change things because there will be real depth to the person you’re talking to, a group could sit round a table and it will be a fully 3D experience.” The development of micro sensors so sensitive they could pick up a peanut on a train line will clear the way for super high-speed trains travelling at 500kph (311 mph) to be the norm.

What’s your impact? To achieve sustainability, businesses must identify and address the energy impact their firm is having on the wider climate INDUSTRY VIEW

or businesses and the public that relies on them, times are changing. We find ourselves with a less predictable climate, altered resource supplies and an ever-increasing population. For society to continue to function sustainably, organisations need to mitigate the impact their businesses are having, and then adapt to how the wider changes are impacting upon them. The greenhouse gas (GHG) emissions of all organisations are

contributing to many of the changes we are now faced with. Climate change is increasing extreme weather events and causing more intense, longer droughts.

Big implications This has far-reaching implications, including altered water supplies and affected organisational and transport networks, all compounded by fluctuating fuel prices. As such, climatechange mitigation and

adaptation is a fundamental business risk that must be placed at the core of business-management systems. Organisations are increasingly monitoring and reporting their GHG emissions, either because they are required to do so – by schemes such as the EU Emissions Trading Scheme, or the imminent UK GHG reporting regulations – or they are doing so voluntarily. From an economic King: business must adapt perspective, effective

monitoring enables an organisation to discover operational inefficiencies, investigate less carbon-intensive fuel-mix strategies, and work down the value chain to reap cost reductions. A key operational weakeness can be energy efficiency, often referred to as ‘the forgotten fuel source’. The relationship between energy and costs is simple: using less, costs less.

Stakeholder confidence From a reputational perspective, the public reporting of GHG emissions provides investors, consumers and other stakeholders with confidence that an organisation is taking responsibility for its local or global impact and managing it appropriately. A lack of such

confidence can detrimentally affect turnover, profitability and investment decisions. But, in the main, what organisations are not addressing is the understanding of the risks posed to their organisations from climate change, and how to adapt to them. Identifying and addressing the risks that climate change poses to operations, and reporting responses to these risks, can ensure a businesses’ long-term viability. This, in turn, will drive stakeholder confidence and corporate reputation. Madlen King, left, is global head of climate change and sustainability at LRQA 0800 783 2179 www.lrqa.co.uk/ghg

Business Reporter · September 2012

an independent report from lyonsdown, distributed with the sunday telegraph

Industry view

Find us online: business-reporter.co.uk

London’s newest landmark The innovative Crystal Building is a living and breathing example of how architecture and cities in the future can live in an energy-efficient and sustainable way

INDUSTRY VIEW

t the heart of the Docklands, next to the Thames River cable car and just minutes away from the Greenwich Peninsula and the Olympics Park, sits Siemens’ Crystal Building. Boasting cuttingedge sustainable design and technology, the building is a living, breathing example of what cities of the future can aspire to. It also boasts a mind-blowing, immersive exhibition that will stay with visitors for years to come. The Crystal is London’s newest landmark, and its message is clear: urban sustainability is one of the most critically important issues the world faces today. More than half the world’s population live in urban areas – from small cities like York to megacities like New York – and by 2050 that proportion will rise to 70 per cent of all humanity. The big challenge is that cities now consume about 75 per cent of all the world’s energy and emit around 80 per cent of all greenhouse gases. The fight against climate change will therefore be won or lost in cities, so it’s crucial we make our urban habitats more efficient, cleaner and better to live in – not only for ourselves, but for future generations and the earth’s diverse ecosystems.

The building The Crystal doesn’t just house an exhibition about sustainable cities – it provides a real life example of best-of-breed building design and

technology. The Crystal has been designed to be one of the most sustainable buildings in the world, aiming for top scores on the most stringent environmental international standards for sustainable design and construction LEED and BREEAM. Designed as an ‘all electric’ building, it demonstrates innovative technologies using solar power and ground source heat pumps to generate its own energy – which means that no fossil fuels are burnt in the building. It also stores electrical energy in a battery. The Crystal showcases existing technologies that support sustainable urban living, and profiles Siemens’ Environmental Portfolio – the largest and most comprehensive in the world. The building also incorporates rainwater harvesting where the rainwater will be converted to potable water, black water treatment, solar heating and an innovative building management system that automates and manages energy, building operations and infrastructure for greater efficiency and comfort. The design of the building, including its glass opacity, provides additional insulation and takes energy efficiency to a new level. It also features charging stations for electric cars, and will be part of the Source London charging network.

The experience At the heart of the Crystal is an immersive exhibition where you can explore global trends

1 2 3 4

State-of-the-art building management Extensive use of natural light Low energy mixed-mode ventilation Intelligent all-electric building

and challenges facing cities today. The exhibition seeks not only to showcase ideas and technology but also to stimulate discovery. Catering to both groups and individuals, the experience can be personalised to meet specific areas of interest. All visitors, young or old, professional or amateur, can explore how they can make a real and personal contribution to sustainable living. Across nine zones, the exhibition encourages us to change the way we all think about our cities, now and for future

5 6 7 8

Rainwater harvesting and recycling Black water recycling Heating designed for maximum efficiency Multifaceted and sustainable landscaping

generations. Through interactive exhibitions, films, animations and installations you can explore a range of issues including water, transport, city design and management, energy, environment, buildings and lighting, safety and security and healthcare. Numerous case studies from cities around the world showcase innovative ideas that others can learn from. A final gallery, ‘Future Life’, invites us to imagine how our city might look in 2050. www.thecrystal.org

Business Reporter · September 2012

an independent report from lyonsdown, distributed with the sunday telegraph

Like us: facebook.com/business-reporter

Joe Doak is Senior Lecturer in Urban Planning & Development at Henley Business School, University of Reading

Sustainable cities

Find us online: business-reporter.co.uk

s n e z Citi

e k a t t s u m

C40 allows cities to share best practice 59 members joined initiative

a e t a e r c o t r e w o p k c a b truly sustainable city

People in Berlin have built up eco-communities where sustainability and innovation rule the land by Joe Doak What makes a city sustainable? For all the official policies, programmes, initiatives and technical innovations, one dimension that underpins the more successful cases of eco-city development is the culture of sustainability in the heart and minds of citizens. This is largely a bottom-up process in which individuals, organisations and groups take some sort of ownership of their lives and do things that begin to transform the city in more sustainable directions. One city where people have been stirred to action is Berlin. A range of locally initiated projects have ‘emerged’ over the last couple of decades based on urban greening, community gardening, eco-architecture, local food production, local energy provision, water management, co-operative housing and cultural animation. One example of the Berlin approach is provided by the ufaFabrik ecocommunity in the Templehof district of the City. The site of the former ufa-film company studios, this chunk of deindustrialised Berlin has been

‘organically’ regenerated over thirty years through a co-operative venture made-up of about 180 people ranging in age from five to 85. The people involved have incrementally, and with no public funding until quite recently, built a mixed-use community in which participatory democracy, sustainability, experimentation and innovation have guided the process. The current package of ‘outcomes’ includes one of Berlin's largest solar energy systems, cooperative housing provision, local re-use of rainwater, a popular café, greening of buildings, a natural foods store and organic bakery, an alternative school, a children’s farm, internet initiatives, and a neighbourhood self-help centre which involves families, youth, immigrants and disadvantaged people, among others. A significant feature of ufaFabrik has been the open learning philosophy that has characterised the approach: a willingness to act according to emerging local needs, reflection and experimentation in addressing those needs and an open-source attitude to sharing the lessons gained. Although ufaFabrik is now promoted by c it y, national and European governments, for years it has been seen as a hindrance to ‘effective’ urban redevelopment. However, the bottom-up energies and cost/

carbon- ef f icient successes of these kinds of projects have made them key components of Berlin’s ‘transition’ to sustainability. Two key lessons for urban planning and development policy arising from these Berlin eco-stories are that a loose regulatory framework needs to be applied in these areas if flexible, adaptive and sustainable communities are to emerge and that land ownership niches need to be provided to give them the space and buildings they need. In Berlin this is being done through short-term leases from the City Council or private owners although ufaFabrik have been able to negotiate a more stable 35-year leasing and development agreement. Other forms of community land or property ownership are being explored and these offer similar opportunities to sustain the processes and projects so evident in the city. A question that remains is: why are there so many of these bottom-up ecoinitiatives in Berlin? The answers point towards the important role that context plays in the development of sustainable cities. It starts with the physical layout of the city and ends with cultural dynamics. Berlin was a close city for most of its post-war history. Despite, or maybe because of the Berlin Wall played a part in creating eco initiatives in the city

London is leading by example

Successful creation of a sustainable culture

Berlin Airlift, a policy of self-sufficiency developed in West Berlin which meant that people protected, valued and used the green spaces within city. The Berlin Wall also meant that Berlin was de facto two cities in one: big and expansive with enough land and buildings to fit the needs of unification and leave quite a bit left over for ‘alternative’ uses. Those alternatives, like ufaFabrik, often came from a vibrant and creative community which occupied vacant land and buildings from the 1970s onwards. Innovative, intelligent, active, anarchic, critical and eco-aware, this expanding creative class is feeding ideas and action into the sustainability pot, joining with native Berliners’ own sense of identity with their local neighbourhood (or ‘Kiez’) thereby facilitating local action. The Berlin story is therefore particular to that city, largely because bottom-up sustainability reflects local conditions and contexts. But this doesn’t mean that different forms of local sustainability cannot be forged in other places and embedded in the hearts and minds of the people that live and work there.

A sustainability programme that started in London and now covers major cities of the world, is bringing benefits to the UK’s capital ranging from improving the performance of buildings to introducing more energy-efficient street lighting. The initiative, called C40 Cities, was set up by Ken Livingstone when he was London’s Mayor in 2005. There are now 59 members, with Singapore the most recent addition. The idea of C40 is that it can help cities to achieve their sustainability goals by drawing on best – and worst – practice from around the world. Until February, Terri Willis was city director for London, when she left to become director of global initiatives. One of the most important projects that Willis worked with was the mayor’s Re-Fit programme, where there was a commitment to improving the energy performance of at least 100 public buildings through partnerships with ESCos (Energy Services Companies). C40 helped the mayor’s office set up a procurement framework, with 12 ESCos on the framework, bypassing the slow process usually required through EU procurement rules. “We want to share what London has accomplished with other cities,” said Willis. Copenhagen chairs C40’s green growth network, aiming to share knowledge gathered largely in that city about how green policies can have favourable economic impacts With so much green ambition, and so much knowledge, distributed around the world’s leading cities, C40 is playing a vital role in ensuring that knowledge is shared.

Wood cared for all the way Stonehenge visitors’ centre and a bridge for the Queen are just two of the projects that one timber company is involved with INDUSTRY VIEW

ssociated Timber Services Ltd is one of the leading suppliers of European Hardwoods in the UK market, sourcing legal, sustainable and often homegrown timbers and, with the unique ability to process them in our own local sawmill at Sewstern in Lincolnshire, producing quality engineered often bespoke products. Using our extensive expertise and experience, we are proud to be advisers to architects, construction companies, joiners and furniture manufacturers. This allows our clients to fully understand the products they want to use, and achieve the required result

while keeping costs and waste to a minimum. At Associated Timber Services we buy standing trees, which are transported to the sawmill, graded, cut and air dried in the traditional method. Once suitably dried, the sawn boards are placed into our biomass kilns, fuelled by our own wood waste, kilned to the required moisture content and then stored within our 54,000 sq ft of insulated sheds.

Fine finishes Engineered bespoke products are our speciality, and our modern equipment allows the company to produce some of the finest finishes available. Being in control of all aspects means that time is not an issue, and

enables us to produce large orders to high and exacting standards without the need for third parties. English Sweet Chest Associated Timber Services is nut during a weath ering process, which will be used increasingly involved in many prestigious for the Stonhenge visitors’ centre projects where we can supply a complete solution. One project, a school in Middlesbrough, was completed with fire-treated, finger-jointed English oak at 50 engineered from Crown Estate timber. per cent of budget; we worked closely with the Our current project is supplying chestnut architects on two projects nominated for the cladding for the Stonehenge visitors’ centre, 2012 Wood Awards for the best in British set to be built next year, including weathering architecture and have further projects the timber to facilitate the correct final effect. nominated for 2013; and earlier this year we were closely involved with a bridge presented 01476 860117 to the Queen as part of her Jubilee celebrations, www.associatedtimber.co.uk

Business Reporter · September 2012

an independent report from lyonsdown, distributed with the sunday telegraph

Sustainable cities

Find us online: business-reporter.co.uk

Lights are on and nobody’s home The days of empty light-filled, powered-on offices are coming to an end as energy efficiency within the workplace rises up the business agenda by Damian Arnold Walk along any main thoroughfare in the City of London at night and you are likely to see rows of empty multi-storey office blocks with the lights on and computers still humming away with power. But such scenarios are changing, and with an estimated 40 per cent of the UK’s carbon emissions arising from buildings, there has been a big push to embed a culture of sustainable office building in Britain. Building designers can choose from a menu of many different options in the quest to meet green certification schemes such as the Building Research Establishment Environmental Assessment Method (BREEAM). More than 200,000 buildings worldwide have achieved a BREEAM rating since the scheme was introduced in 1990. Geared to sustainability Key to achieving an “excellent” or “very good” rating is ensuring that the architect, engineer, mechanical and electrical teams and quantity surveyors are fully integrated and geared towards sustainable design from day one. Added to this, the client needs to be prepared to pay more upfront

to gain long-term energy savings, and the contract needs to be set up to reward the builder for meeting sustainability goals – or to penalise it accordingly. Software to aid sustainable design has developed rapidly in recent years. Architects working on computer-aided design (CAD) programmes can instantly calculate the carbon footprint of different options.

Location, location, location The location and orientation of the building can help greatly. The building should be orientated to maximise passive solar gain so that the sun can heat the building and thermal mass inside the building can absorb the heat to keep the room temperature steady in the summer. Preferably, the office will be located on a brownfield site where it is replacing old developments or adapting existing buildings for reuse, and it will be near to good public transport links and provide good facilities for cyclists. When office building gets Transportation of underway, logistics are materials such as steel and key. Sourcing materials cement on fossil-fuellocally to minimise lorry guzzling lorries is one miles will be a big points of the biggest contributors to winner. carbon Production of steel emissions and concrete is another major contributor to CO2

40% of the UK’s carbon emissions come from buildings

emissions. The cost of steel has more than doubled in recent years and this has created the imperative in the office-building market to use more recycled steel. Recycled concrete and concrete products that maintain strength with less cement are also becoming more popular. Designers should think ahead to ensure that as many of the materials as possible have an end use when the building is eventually demolished. Strategies should be put in place for minimising waste from packaging and reusing surplus materials. Fiddle on the roof Solar panels on the roof can heat a boiler to provide hot water, and excess power can be fed back to the grid. Some office developments share on-site power generation fed by sustainable fuels such as biomass or methane from composting. Heat exchangers can be used to convert hot air to cool without recourse to air conditioning systems. Control systems that turn off lighting when areas of buildings are not being used, super bright light emitting diodes (LEDs) and retention of used or grey water for flushing toilets is now commonplace. When the building is finished, users can monitor and regulate energy use with software that links energy points in the building to an internet server. Latest software even allows

individual users to monitor their own carbon footprint within the building so that everyone has a stake in keeping their office sustainable throughout its lifetime. Next: the country’s most energy-efficient offices

Business Reporter · September 2012

an independent report from lyonsdown, distributed with the sunday telegraph

Like us: facebook.com/business-reporter

Sustainable cities

Find us online: business-reporter.co.uk

The £7.2 million six-storey office building for the trade union Prospect in London’s Waterloo area has achieved a BREEAM “excellent” rating. The 2,200sq m building, designed by Austin-Smith Lord, maximises thermal performance by focusing on air tightness of the facades (achieving airtightness far higher than building regulations). As a result, no primary heating plant was required for the building. Meanwhile, chilled beams provide cooling and fresh air throughout. Solar hot water generation provides electricity for the kitchens and tea points, and the building is topped off by a green roof which improves insulation as well as creating a habitat for wildlife.

The recently completed One Trinity Green in South Shields is one of the few office buildings in the UK to achieve a BREEAM “outstanding” rating, for a score of 86.9 per cent, and in August it won the BREEAM office award at the Ecobuild event. The building, designed by +3 Architecture, has photovoltaic panels on the roof and some of the structure is exposed to provide passive cooling. The 30,000sq ft office space in three buildings will provide workspace for small companies specialising in the low carbon sector. It reuses a brownfield site, which was formerly occupied by an electronics factory.

The Eden project in St Austell, designed by Grimshaw, has certainly generated a lot of column inches since it opened more than ten years ago, and the architect of the famous biodomes has put newsprint to good use to insulate the floors, wall and roof of the project’s new office building. The lightweight timber building is raised off the ground on timber columns to cut down on the fossil-fuel-guzzling diggers that would remove soil for a ground-scraping construction and to obviate the need for a concrete floor slab. A vertical light shaft provides solar gain. The interior structural members are made from timber as an alternative to steel.

When it opened in 2007, the Innovate Green Office in Thorpe Park, designed by Rio Architects, achieved the highest BREEAM rating of 87.55 per cent with a predicted carbon use of 22kg/m2. The £5.5 million building features precast panels of recycled concrete for the walls. Energy is provided by a tri-generation combined heat and power (CHP) plant and there is so much light flowing into the 4,500sq m building that electric light is only required for 20 per cent of the working year. The project shows what can be achieved by using passive design techniques such as solar gain and exploitation of thermal mass.

The National Trust’s headquarters, designed by architect Feilden Clegg Bradley, has photovoltaic panels on the roof, which provide 30 per cent of the building’s energy use. And the National Trust has drawn on its own local resources to ensure that the building produces only 28kg of CO2 per sq m per year, better than the BRE’s benchmark for a sustainable office of 32kg. These resources include timber from National Trust forests in areas that can be easily replenished and undyed carpets using wool from Herdwick sheep. The building is PVC free and only water-based paints have been used. Ventilation holes in the roof are made from recycled beer cans.

Reducing energy demand Management of energy and how we can use it more efficiently is vital to achieve a reduction in our consumption INDUSTRY VIEW

ur future cities need clean energy technologies to power them. But they also need investment in the management of energy use to reduce the scale of the challenge of renewing our ailing energy infrastructure. How we meet our future energy requirements in the UK, and how we address the challenge of the impending ‘capacity’ gap between energy supply and energy use has been the source of much debate. Lord Browne’s recent call for investment in shale gas – and responses from Ed Davey, Patrick Cleary and the CBI – have all focused on the supply of energy. Whilst consumption gets a passing mention, there is little substantive comment. However, reducing energy demand could make a real difference and be cost-efficient for future city development. According to Ofgem figures, the UK faces a bill of approximately £200bn to renew our

generation and distribution infrastructure. where data can be pooled and normalised to We have also become, and will remain for metrics so that, for example, plant or building some time, net importers of energy. To performance can be compared with reduce the scale of this new investment appropriate peers. Energy management and our dependence on energy is not just about controlling what you imports, we urgently need to use, but about learning how to use reduce energy consumption. less energy and finding out This requires both behavioural where you can invest to use needed to renew and management change, but energy more efficiently. UK’s gene ration using energy more efficiently is This theme and others will be and distrib ution a key element of this. Reducing part of the debates and infrastruc ture consumption would also reduce presentations at the Chartered demand for renewable subsidies, Institution of Building Services since lower aggregate demand Engineers (CIBSE) Conference on 10-11 reduces the level of investment needed to October 2012, which focuses on the deliver a set percentage of demand from challenges facing the construction and renewable sources. property sectors. This year’s CIBSE annual Some energy efficiency measures such as lecture will be delivered by Alistair Buchanan, LED lighting have the potential to deliver CEO of Ofgem major energy savings. And there are new on 7 technologies that may deliver better control November of energy use, such as Wi-Fi connected 2012, on sensors or new ways of delivering energy, such as fuel cells. Energy management, meanwhile, focuses in a holistic way on how a business uses energy, looking at where the energy is used and how closely it is managed to get processes and buildings performing efficiently.

£200bn

We need benchmarks For energy management to be truly meaningful we need to deploy benchmarks

“We need benchmarks to make energy management meaningful” – Davies

the subject “How secure is Britain’s electricity and gas supply over the next decade?” Hywel Davies is technical director of the CIBSE www.cibse.org www.buildingservicesevent.com

Business Reporter · September 2012

an independent report from lyonsdown, distributed with the sunday telegraph

Industry view

Find us online: business-reporter.co.uk

How can we provide a better today without compromising tomorrow? We ask industry experts for their predictions on the next generation of sustainable cities INDUSTRY VIEW

Paul Roberts, chief country representative, Bombardier UK

Roland Busch, CEO infrastructure and cities sector, Siemens AG

What does a “sustainable city” mean to you? For Bombardier, a sustainable city is designed around greener, more sustainable modes of transport that result in less congestion, less pollution and reduced energy consumption. It also means seamless connectivity between modes of transport that enable people and goods to be where they need to be quickly and efficiently.

What does a “sustainable city” mean to you? The term “sustainability” is frequently used in city development. It means a development that provides a good quality of life today without compromising the future. I would say it is supported by four pillars, which are economics, environment, social quality of life and good governance. It is important to remember that as well as being practical, a sustainable city needs to be an attractive, inspiring place where people want to work and live both now and in the future.

What are the barriers to building sustainable cities? Cities are faced with the same unabating trends: population growth, rapid urbanisation, increasing pollution and congestion, rising energy costs and real estate values, and an historic dependence on roads. The implications for the economy, environment and quality of life in cities are profound. How might those barriers be overcome? Shifting more volume from road to rail must be part of the solution. Rail transit uses less land, moves more people and goods and produces less greenhouse gas emissions than any other form of motorised mass transit. Offering time-efficient travel on comfortable, flexible and stylish transport based on rail technologywill help to encourage more people to leave their cars at home. Creating a better balance between transit modes within cities and between cities is also important. What will drive the development of sustainable cities – technology, political will, or popular demand? It will take all three. Cities and nations need to move to grow. People don’t enjoy sitting in traffic congestion, even if it’s in their electric cars. Economies can lose up to 3 per cent of GDP as a result of delays caused by road congestion. Around the world, we’re seeing renewed momentum toward rail technology solutions to urban mobility and economic growth. Bombardier is working with cities to provide integrated transport solutions that blend into urban infrastructure and improve both the transit time for passengers and the quality of life in cities. Our ECO4 technologies, for example, reduce energy consumption by up to 50 per cent, reduce CO2 emissions and improve the travel experience for passengers. The new INNOVIA Monorail 300 system minimises land use, construction time and disruption by running on elevated, slender non-intrusive guide beams which can run in-between or above the lanes of exisitng roads. Our latest Primove e-mobility solution is a wireless charging system that can be used not only for rail vehicles, such as trams, but also for electric buses, cars and trucks using a common infrastructure. Higher capacity metros, streetcars and monorails that are more energy efficient, faster and more comfortable can help to overcome crippling traffic, restore freedom of movement for people and help cities breathe again. Are there any examples of “sustainable cities” having been achieved? Vancouver, London and Sao Paolo are are some very good examples of cities taking huge strides toward higher investment in low carbon and interconnected mobility.

What are the barriers to building sustainable cities? In spite of general scientific acceptance that our use of resources and production of waste and emissions have led to a rise in global temperatures, global warming and climate change, a global framework to combat climate change is not yet in place. From the Green Cities Index research, undertaken by Siemens across global cities, it is clear that established, large cities struggle more to improve their infrastructure and make it sustainable. How might those barriers be overcome? Strong leadership and governance is an advantage. Those cities with vision and ambitious CO2 reduction targets, such as London, are often those making the greatest strides in spite of their legacy of infrastructure that needs investment. The use of innovative technologies is also an opportunity to help companies, consumers and citizens to be more energyefficient and less wasteful – without negative impact on the convenient lifestyle we expect to enjoy. Access to financing for green projects and infrastructure improvements is also important. What will drive the development of sustainable cities – technology, political will, or popular demand? A combination of leadership, the implementation of existing innovative technology and the demands of consumers and peer pressure are all important to bringing about change, but in the current economic climate where cost-cutting and economic growth are constant priorities, it is probably the cost efficiencies achievable from sustainable investments that are the most compelling. If through investment in sustainable infrastructure a city can achieve lower emissions, lower costs and at the same time create jobs and economic growth, that is an attractive win-win. Are there any examples of “sustainable cities” having been achieved? Copenhagen is the leader in the European City Index and we can learn much from its integrated approach. In Asia, Singapore puts great effort into thorough city analysis and future planning. But every city has an interesting aspect to share and we have much to learn from each other.

What does a sustainable city mean to you? Simply being able to provide the advantages and delights of living in an individual home in a city, while ensuring that affordability, efficiency and longevity are considered at every stage. Thus, enabling a city to be created that is adaptable and diverse, respecting heritage and encouraging biodiversity. What are the barriers to building sustainable cities? Creation of sustainable cities requires a change in the existing approaches taken when considering the development of new or regeneration of buildings. The change required has to embrace long-term thinking and social attitudes together with the interactions between government, users, builders and the population, all alongside the physical building process itself. How might those barriers be overcome? Connecting a developer’s vision with industrial expertise will provide a first step for achieveing truly innovative building designs. Sustainable construction is one of the key levers for reducing worldwide energy consumption, since energy used in the building sector accounts for approximately 38 per cent of worldwide total energy consumption. Although we can provide the products, we need other people in the construction industry to rise to the challenge. Lafarge has developed a set of concrete-based Efficient Building Systems to help with this. Peer-challenged by a panel of architects and engineers, these systems are assessed on four levels: thermal, environmental, structural and cost. What will drive the development of sustainable cities – technology, political will, or popular demand? There cannot be one single entity responsible for the drive towards sustainable cities, there has to be a collective approach and decision that sustainable cities and sustainable building in general is the route to take to ensure that we can avoid even more uncertain times than we are experiencing now. There will remain a need for government to continue to set stringent challenges, as this demonstrates which organisations can walk the walk on sustainabilty. Of course, most importantly, there must be a decision made by the public that only sustainble products, designs, buildings and cities are acceptable. Are there any examples of “sustainable cities” having been achieved? Les Hauts Plateaux, Begles in France is a project that has been made possible with an efficient callaboration between town council, property developers, architects and designers. The result is a project of collective homes, offering a sustainable way to live in the city. www.lafarge.co.uk

The Crystal in London, a sustainable cities initiative by Siemens, is now open to the public. www.thecrystal.org

www.bombardier.com/en/transportation

Jeremy Greenwood – managing director, Readymix Lafarge A&C UK

Business Reporter · September 2012

an independent report from lyonsdown, distributed with the sunday telegraph

Like us: facebook.com/business-reporter

Sustainable cities

Find us online: business-reporter.co.uk

Growing a green culture A partnership between Manchester’s biggest business and the city council is working towards reducing the city’s annual emissions by 40 per cent – spearheaded by the opening of Europe’s most sustainable large office building INDUSTRY VIEW

n 2009 Manchester City Council (MCC), along with around 100 organisations from a wide range of sectors, launched an ambitious plan to reduce the city’s carbon emissions. Manchester: A Certain Future – Our Collective Action of Climate Change outlined actions to reduce the city’s annual emissions by 41 per cent over the next decade. This ambitious target, based on 2005 figures, will be achieved through a wide range of measures such as making environmental improvements to thousands of homes, creating heat networks, and making it easier for people to cycle or use public transport.    The city council has already introduced measures to reduce its own emissions by 11 per cent since 2010, meaning a saving of £500,000 and a reduction in emissions equivalent to more than 1,000 tonnes of carbon – or 120 car journeys around the circumference of the Earth.    Meanwhile, some of the biggest savings can be found in the commercial sector, where energy reduction programmes could account for carbon emission savings in excess of 200,000 tonnes.

Sustainable building Fast forward to 2012, and in a few weeks The Co-operative Group will open the doors of its new £100 million head office: 1 Angel Square. It will be Europe’s most sustainable large office building,

IN FIGURES

41%

emissions cut target

£800m 15,000 project to transform city

jobs created by NOMA

has already collected accolades such as sustainable building of the year at the building and engineer awards, and has attained the construction industry’s top environmental ratings. It is phase one of NOMA, an £800 million project that will transform 20 acres of Manchester’s city centre heartland into a mixed-use development like no other, providing 4m sq ft of office, retail, residential and leisure space over the next 10 years. Both the redevelopment of the area and the new head office have only been made possible thanks to the working partnership between The Co-operative Group and MCC. Sir Richard Leese, the leader of Manchester City Council, said: “NOMA is a hugely significant regeneration scheme with the potential to create up to 15,000 jobs and act as a catalyst to further investment, but it is equally important as an example of the sort of sustainable development which we would like to see emulated elsewhere in the city.    “The welcome commitment of major employers such as The Co-operative Group to minimising their carbon footprint is helping us towards a shared target of reducing the city’s carbon emissions by 41 per cent by 2020 based on 2005 levels. Everything from the design of 1 Angel Square to green travel plans are making a contribution towards this goal.” Like MCC, The Co-operative Group is absolutely committed to tackling climate change, but the new head office isn’t just a ‘green’ place to work. The building has been designed to use half the energy of the current Co-operative Manchester estate and 80 per cent less carbon, leading to a reduction in operating costs of up to a third. Environmentally friendly and commercially sound, it is a 21st century place to work and is one that is ultimately good for the bottom line. At the same time as MCC was announcing the city’s strategy on climate change, The Co-operative Group unveiled its

Manchester’s sustainable city centre district

strategic regeneration initiative for NOMA.

European benchmark David Pringle, director of NOMA, explained the ethos behind the development: “The plans for the area and The Co-operative’s new home are ambitious, but we set the bar high by stating that we will create an inspiring European benchmark for responsible and sustainable development. Furthermore, the head office at 1 Angel Square has set an exceptional standard for green, sustainable design for the rest of the planned development. “As we continue to encourage occupiers to relocate to NOMA, excellent transport links and market-leading environmental technology are the most obvious physical expressions of a lowcarbon district, but tenants will also benefit from The Cooperative’s buying power of green energy, allowing them to save

20 x1 The council has already saved enough carbon to power 120 car journeys around the the Earth

money as well as cutting their carbon footprint. Ruairidh Jackson, head of strategy and development for NOMA, said: “We have great aspirations for the development, and we intend to lead the way in showing how a commitment to sustainability and innovation can drive commercial success, reducing costs for occupiers and impact on the environment, while promoting social wellbeing and opportunity.”

Carbon-conscious travel This commitment to sustainability and innovation is evident in the workings of 1 Angel Square, where concern over climate change permeates through the entire building, even down to how employees travel to work. If staff continue to travel to work at the new head office in the same way they do to current office locations, travel alone would account for half of all carbon emissions from 1 Angel Square. Consequently, The Co-operative Group developed its own green travel policy, which encouraged more cycling, walking, car sharing

and use of public transport, and was again developed in conjunction with MCC. Amanda Jones, head of business change and transformation with The Co-operative Group, said: “As the biggest employer in Manchester we talk to our staff who travel in to the city and get their views and requirements for public transport and travel, which we then feed in to Manchester City Council and Transport for Greater Manchester. “This has directly influenced transport policy, including extensions to the tram service, the forthcoming cross city centre link between Piccadilly and Victoria train stations, and improvements to services coming in to Victoria. “Not only does this make public transport available to more people, it also widens the talent pool within easy reach of Manchester and specifically NOMA, which Victoria Station serves, making it an increasingly popular option to businesses looking to relocate.” www.noma53.com www.manchester.gov.uk

Business Reporter · September 2012

an independent report from lyonsdown, distributed with the sunday telegraph

Sustainable cities

Find us online: business-reporter.co.uk

‘Ban ugly bolt-on solar panels’ A reliance on dwindling fossil fuels will not be able to sustain the world’s surging population. Bill Dunster sets out an alternative programme Various experts have warned us for well by spaceship Earth. over 100 years that natural resources are finite, So here is one possible vision of a and humans must plan their civilisations carefully transition process towards a more sustainable if they are to avoid conflict over remaining stocks city that would improve most people’s quality of fresh water, unpolluted farmland, mineral of life: reserves and of course fossil fuels. l Immediately issue a cross-party announcement Politicians are never rewarded for bearing that fuel prices are going to rise by 8 per cent per bad news, and all manner of vested interests annum for the next 10 years to pay for replacing ensure that environmental degradation is rarely obsolete fossil and nuclear infrastructure. allowed to upset the short-term priorities of an l Ban bolt-on solar panels. These look ugly, expanding industrial economy. The fact that and make lots of holes in perfectly good reserves of the fuel that powers this roofs. Instead make it mandatory that economy cannot be found quickly at least half the area of all new roofs enough to match the exponential faces southish, and insist that all increase in the global population, re-roofing contracts on unlisted seems less important than jobs and bui ldi ngs use durable monocrystalline photovoltaic lowering taxation. It took a German MEP – panels. This would make 70 per cent Herman Scheer – to calculate that of UK housing built to a density of 50 the UK could have moved entirely homes/ha or less generate at least over to renewable energy if the budgets Dunster: how can two-thirds of their annual electric we move into a from both Gulf Wars had instead been sustainable society? demand. Removing the need for invested in fiscal incentives such as planning while maintaining feed-in feed-in tariffs. tariffs for the next 10 years will create stable The challenge has to be to show how we can green jobs. move from our daily dysfunctional fossil or l Replace the watered down Code 6 standards nuclear powered mess into a workable, equitable for new homes with a mandatory Code 7 – zero and infinitely sustainable society that recognises bills specification, meaning new homes, over the limits of the natural support system provided the course of a year, have to generate more

30%

renewable energy than they use. l Make the Green Deal mandatory for all commercial and domestic refurbishments, ensuring renewable energy integration of our existing building stock. l Make it illegal to have any large areas of asphalt parking or flat roofs without solar panels of a city’s energy could be produced by creating overhead. a biogas from recycled waste and fossil gas l Redirect all motor industry subsidies to electric vehicle manufacturers. Set up incentives to manufacture hub motors for ebikes, mopeds, l Accelerate the introduction of Stirling engine cars and trucks. Manufacture and research microchips and micro domestic fuel cell boiler replacement units. These provide electricity at battery technology. l Expand the allotment system, encouraging the same time as hot water and should make food cultivation in urban areas. conventional gas boilers obsolete. l Tax food miles, and invest the income in local l Accelerate big offshore wind and tidal. No farmers and farmers markets, to pull custom one will notice. This will top up the remaining away from supermarkets. electric quota, with enough spare to power transport and agriculture. l Ban all incineration of urban refuse, and move across to waste segregation, recycling and The sustainable city is no longer a demonstration project, it has to be finally pyrolysis of the remaining organic material. This produces a biogas, everywhere – and the only obstacle turning a liability into an extremely standing in its way is lack of Tax food miles and imagination and poor valuable asset. The gas can invest the income in to be mixed with fossil gas, and communication. local transported using existing All of the above ideas can be farmers and farmers fou nd i n more det a i l i n a pipes. This strategy can easily markets produce 30 per cent of the downloadable ZEDlife pdf on the remaining energy gap for a city. ZEDfactory website.

We have a proven track record for returning our projections

High Return Timber Investments £18,000 invested over 12 years is projected to return £104,189 with the following payouts: Year 4 £5,640 - Year 8 £15,595 - Year 10 £20,518 - Year 12 £62,436 We offer ethical investments with unrivalled returns and environmental benefits for future generations. Ethical Forestry’s high return timber investments. Our forestry investments offer steady, stable growth

• We have a proven track record for growing, harvesting and delivering investors their projected returns

and have no correlation to the stock market, thereby avoiding the insecurity of unpredictable peaks

• Plan for the future with regular payouts throughout investment

and troughs. Additionally they are ethical and sustainable, giving environmentally conscious investors

• We own and manage our plantations giving investors extra security

If you are looking to invest your savings, pension or for a discretionary trust, it’s worth considering

peace of mind knowing their money is growing in safe hands.

Invest direct: for your free copy of our timber investment guide, call Specialists in secure, high-return timber investments

‘‘ Timber, the ultimate growth investment.’’

RC Co an m d pli Pe an ns t ion

MoneyWeek

0800 075 30 10

enquiries@ethicalforestry.com www.ethicalforestry.com

Ethical Forestry is not regulated by the Financial Services Authority and does not offer any advice about any regulated or unregulated investments, either within this advertisement or elsewhere. Please consult an Independent Financial Advisor prior to making any decision to buy our products. Our products are not regulated investments. Their value may rise or fall and no guarantees of future performance in respect of income or capital growth are given either expressly or by implication, and you may not get back the full amount you pay for them. Ethical Forestry shall not be held liable to anyone for any errors, omissions or inaccuracies within this advertisement under any circumstances or for any loss or damage which may arise from the use of any of the information or detail contained herein. Our projections are based on historical Melina growth data and timber values rising at an average of 7% per annum over the term of the investment.