Graz: Integrated planning of the municipal energy concept

Abstract:

The Graz municipal energy concept aims to implement a new approach to the design of an energy study that possesses the capacity to implement as many concrete projects as possible, as well as to integrate the requirements of an environmentally compatible climate protection policy. As the technical measures to reduce CO₂ by increased energy efficiency and the use of renewable fuels are well known, the basic questions are concerned with the framework provisions of the implementation process. The integrated planning approach can be regarded as a model for the following reasons:

• exact fixing of quantitative and qualitative climate protection goals;
• minimisation of the collection of data to a maximum of 10% of available time resources;
• simultaneous implementation of concrete demonstration projects while drawing up the energy concept;
• greatest possible participation of local players involved in energy policy;
• lowering of the motivation barriers amongst relevant energy actors;
• anchoring of the energy concept into the overall concept of sustainable urban development.

Concept and aims

The traditional method of a municipal energy concept can be characterised as a collection approach when 90-95% of the financial and manpower resources are channelled into recording and compiling basic data. In consequence, less time and finance is directed to the potential for energy reduction, the identification of implementation obstacles, and the development of suitable municipal tools. These concepts are full of basic figures but recommendations and guidelines for decision-makers, environment and energy officers, and other actors are often inadequate. In addition, the interpretation of the figures and the submitted recommendations lead to counter-productive discussions between actors who are involved in the implementation process. Political intentions and technical or economical feasibility collide, and the preparation and implementation of introductory measures is postponed until there is an agreement on the concept as a whole.

The Graz Energy Department has been taking a new approach in order to demonstrate a process- oriented alternative in developing energy concepts. Its KEK (Kommunales Energie Konzept, Municipal Energy Concept) sets out two fundamental preconditions:

1. The preparation of the energy concept must be oriented towards clear, politically agreed targets.
2. During the preparation phase as many concrete projects as possible should be undertaken to demonstrate the viability of the proposed measures and their suitability for integration by the institutions concerned.

The Graz KEK has been committed to the new 1:10-type of resource distribution. This means that only a maximum of one-tenth of the manpower and financial resources are channelled into the recording, presentation and analysis of data. It is assumed that the energy concept need not draw up an exact energy and emissions balance, but rather present to the bodies of the municipality an action programme on how to reach the targets. In order to keep the time and effort required for recording data as low as possible, a rough preliminary study is necessary on the possible contributions by the individual sectors or fuels toward achieving targeted goals. Small sub-areas can be estimated on the basis of rough regional parameters. In order to minimise the time and effort required when preparing data, two important criteria should be met:

1. One should reach sufficient accuracy when assigning priority to measures and tools.
2. One should have a reliable control of success.

Since data collection plays only a subordinate role in the new approach, the implementation of the concept becomes more important. The Graz energy department addressed the following fields of activities:

1. Target setting;
2. Initiation of projects;
3. Establishment of wide participation;
4. Co-operation and notice to other public authorities;
5. Process-oriented encouragement of an environmentally compatible direction;
6. Anchoring in the programmatic and financial framework of the city.

Target setting is the inevitable step to filter the essential guidelines for the later implementation and participation process. For the preparation of the Graz energy concept the following qualitative and quantitative targets were unanimously agreed on by the municipal government.

Qualitative targets manifest the general direction of the policy process:

• Orientation towards the concept of energy services as the starting point for consideration of the municipal energy system.
• Minimising the use of fossil fuels and current pollutant and greenhouse gas emissions by increasing energy efficiency and through the use of renewable fuels.
• The low cost provision of package solutions to satisfy demand for energy services.
• Provision of basic energy services for socially disadvantaged consumers at acceptable prices in an environmentally compatible manner.
• Safeguarding the supply of energy services through measures on both the supply and demand sides.
• Strengthening municipal energy policy through fully exploiting existing, and creating new, energy policy tools.
• Guaranteeing applicability through preparation in a democratic planning process.

Quantitative targets refer to the desirable energy situation in the year 2010:

• Preparation and compliance with a graduated plan for the reduction of CO₂ emissions whereby the level of emissions in 1987 is to be reduced by half by the year 2010.
• Reduction of classical pollutants resulting from energy conversion processes (NO_x, SO_2, CO, dust) by at least 60% by the year 2010.
• Gradual increase in the proportion of renewable fuels to 40% by the year 2010.
• Reduction of electricity use by 18% by the year 2010.

Within this context the concrete projects are oriented towards specific goals of the municipal energy concept (e.g. increase in energy efficiency, reduction of emissions, use of renewable fuels, social compatibility of energy services etc.). The work in the projects also fuels the discussion of measures and tools, and provides a valuable input of knowledge for the preparation of the action programme. Against this background the simultaneous implementation of concrete projects is a necessary precondition in order to prove the credibility and the effectiveness of the energy concept. Priority is given to projects which provide a concrete economic advantage to those concerned. The Energy Department pools established contacts, create space and time for meetings with interested parties, stimulate the exchange of information, create incentives and opportunities to experience success, provide support by public authorities or other institutions concerned, etc.

The incorporation of all relevant groups of the local energy policy is an essential element of the elaboration and implementation of the KEK. The actors included range from the utilities through representatives of interest groups (e.g. the Chambers of Commerce and Trade) to the NGOs based in Graz.

If external expertise is purchased, the necessary database and data analyses have to be produced in close co-operation with the environmental office and the energy department. The final processing and the development of municipal tools and the action programme have to be undertaken by the energy department itself. It proves to be very helpful if the general targets of the concept (quantitative and qualitative) are approved by the District Council prior to work commencing on the energy concept. Although these targets are not automatically shared by all those concerned, it is, however, possible to orient work towards these targets. Detailed and quantitative goals also on the concrete measurement level (e.g. the solar collector area to be installed in square metres per year) are of importance for the evaluation and eventual adaptation of the tools selected in the future.

This final assessment is vital as the Graz KEK is anchored in the "Eco-City 2000" programme (compare case study of the ÖKOPROFIT project for the greening of the local industry). This extensive environmental programme is designed to guarantee that the City of Graz develops along the lines of sustainability. One special aspect here is the introduction of sustainability parameters which must be regularly checked by an external team of experts. The results of these studies form the foundation for adapting municipal tools to achieving the target goals.

Implementation

The implementation of the KEK programme will require additional investments of approximately 20 billion Austrian Schillings by the year 2010. One significant aspect is the employment factor, which has been estimated at approximately 14,000 person years. Spread over the KEK’s fifteen year run, this corresponds to approximately 1,000 permanent positions. The implementation of the KEK thus not only has a positive effect on the local air and the global climate situation, but also makes a substantial contribution to job creation and the stimulation of the local economy.

At the start of the elaboration and implementation of the Graz municipal energy concept the organisational aspect concerning the size of the KEK teams had to be settled. The five KEK teams are set up to administer different areas of the energy concept (team 1: heat planning and renewable energy, team 2: mobility, team 3: process heat and combined heat and power, team 4 and 5: lighting, electronic appliances, data processing, public relations). The project committee, the highest level committee within the organisational structure, finally decided to invite all those institutions, non-governmental organisations and lobbies which were of relevance for energy policy in Graz, instead of simply nominating a small group of experts for the KEK team (compare the actors and structures section for a detailed summary of the organisational structure). The rationale behind this was that these institutions would intervene in discussions, or in any case, in the presentation of the results. Therefore, it was sensible to seek close co-operation with the institutions concerned from the very beginning in order to make possible a common learning process triggered by rational and fact-based discussion.

In order to document the importance of the project, the professionalism of the project team and the support from representatives of the City of Graz, the following working conditions and procedures were established:

• A four-colour project logo was designed. It is used in all letters, KEK reports, etc.
• KEK work is conducted under the motto of stimulating energy saving for the economy and environment. This theme was selected because it states that climate protection is not detrimental to the economy but that it can only be implemented when coupled with large-scale investment.
• Special attention was given to the first invitation to the future KEK team members: At the project committee meeting the highest representatives of all four institutions personally signed the invitations. A series of additional information material was enclosed with the letters, and many personal telephone calls supplemented the written invitations.
• The meetings of the KEK team are held in the town hall of the City of Graz. The responsible municipal councillor personally opened all five KEK team meetings.
• A public event to mark the beginning of activities was organised, with the Mayor of the City of Graz and members of the boards of the local and regional utilities and the managing director of the Austrian Agency for Rational Energy Utilisation.
• The goals of the energy concept were presented as a general guide to the direction to be taken by energy service systems in the City of Graz. On that basis, a process should be instigated which envisages regular control of targets.

The preparation of the individual KEK reports and the related action programme was the next working step. This phase includes the following stages:

• Issues are mainly prepared by the Energy Department in the Office for Environmental Protection. Minor areas are delegated to external experts.
• Results are submitted for a review by the Swiss energy agency (Energieverwertungsagentur [EVA]) which was participating in the project committee with two permanent members. The results are presented at all KEK team meetings and distributed to all KEK team members (e.g. Energy and Emission Balance Graz, Catalogue of Municipal Tools on Energy Policy, etc.). In order to avoid misinterpretations and to clarify misunderstandings the contents are discussed briefly.
• Members in the KEK teams have an opportunity to submit written comments on the working documents presented. So far it has been possible to integrate most of these comments into the documentation.
• Comments are distributed together with the corresponding comments of the Environmental Office to all KEK team members in order to guarantee the greatest possible transparency.
• After incorporation of the comments EVA prepares a final version. Comments which could not be integrated are published as such.
• Controversial points, which are of interest to a large number of participants, have been clarified at additional working meetings (e.g. to discuss methods for preparing the energy and emission balance, to discuss energy promotion of the City of Graz).

The final report of all the KEK reports documents all points of view and recommendations (i.e. minority votes are also included) and the final decision on the contents of the energy concept is taken by the Environmental Office. The implementation approval is left with the District Council. While working out the different parts and details of the energy concept, the initiation of projects started in parallel. 15 project groups were set up to address the following subjects:

• Low energy dwellings and living without a car;
• Solar initiative: school projects, solar self-construction groups etc.;
• Biomass;
• Biogas;
• Municipal buildings and efficient heating systems;
• Compulsory connection to district heating;
• Shopping and transport;
• Public transport;
• Transport information;
• Small-scale combined heat and power stations and co-generation;
• Efficient cooling supply;
• Efficient electrical appliances;
• Consumer information;
• Procurement and street lighting;
• "Thermoprofit" (financing by third parties for efficiency measures in space heating);
• Eco-drive: E-taxi, rapid loading, market observation.

With the last two groups, two existing working groups in the Office for Environmental Protection were integrated into the Municipal Energy Concept. The project groups are independent and largely self-organised. At the KEK team meetings there is only time for a report on progress in the work and an exchange of experience. An intermediate goal is the formulation of a detailed project description. The projects are then presented and discussed by the KEK team. In all project groups, representatives of the Environmental Office are present as participants and are responsible for supporting development in the group, for maintaining contacts between the groups and the Environmental Office and for guaranteeing the involvement of the necessary official bodies.

Actors and Structures

The structure behind the energy concept was developed by the Department for Energy and Climate in the Office for Environmental Protection prior to the commissioning of work by EVA. Since then, it has been adapted to day-to-day realities by means of an on-going discussion process. The overall responsibility for energy planning is with the Head of the Energy Department which is a department of the Office for Environmental Protection. The Austrian Energy Agency was commissioned as an advisor on the technical and organisational handling of the Municipal Energy Concept. It is responsible for co-ordinating the project, and for shaping work in the individual teams and preparing the reports. Two members of staff from the Swiss energy agency Energieverwertungsagentur (EVA) work for the duration of the project in the Energy Department itself. This approach guarantees close co-operation between EVA and the Energy Department and ensures that the information paths are kept as short as possible.

The KEK teams are particularly important for the co-operative approach. These working groups have been set up to process five areas. More than 70 institutions (municipal departments, regional government departments, industry, various representatives of interest groups, non-governmental organisations etc.) have sent 140 participants to the working groups. Of these 70-80 people regularly attend the meetings. These meetings are in the form of half-day workshops and take place every one to two months. Every KEK team meeting has three components.

Five KEK teams were set up to elaborate on and implement the energy concept. They were involved in central areas of climate action and 140 participants were drawn from more than 70 institutions. The team meetings were organised as half day workshops. They take place every one to two months. The team meetings are based on the information, further development of the municipal energy concept and further development of concrete project modules. 16 working groups have emerged from the KEK teams who address concrete projects or project ideas. The workshop approach has also been used at the other important environmental project in Graz, the ÖKOPROFIT project (compare case study).

Finance

Approximately 3,5 million Austrian Schillings (250,000 Euro) are available within the framework of the Graz Energy Concept. These funds are supplied by the City of Graz, the Steiermark region, the Austrian Ministry for Economic Affairs, the Regional Energy Association and the Graz Utilities AG. This figure does not include the resources made available by the city which is paying most of the staff and the overhead costs. The finance is divided up according to the monitoring and chairing of the process (2 million Austrian Schillings), the initiation of projects (1 million Austrian Schillings), and the external contracts (0.5 million Austrian Schillings).

The overall budget for the initiation of projects amounts to 1 million Austrian Schillings (DM 140,000, ECU 70,000).The City of Graz makes this incentive funding available. These contributions are not used to finance the projects but rather to offer assistance in order to overcome possible initial difficulties. The preconditions for this are:

• A substantial contribution to achieving the goals of the energy concept;
• Presentation of a detailed project description which has been given approval by the EVA energy agency;
• The carrying out of concrete steps towards implementing the project.

Source of Information

Lesch, Karl-Heinz / Kirchpal, Stefan / Papousek, Boris 1996: Graz municipal energy concept. Implementation and participation with regard to climate protection, in: EA.UE, (ed.), Facing the Challenge. Successful Climate Policies in European Cities, Berlin, pp. 46-54

List, Daniela et al. 1995: Umweltsachprogramm Graz - Ökostadt 2000, local agenda 21, Herausgegeben vom Magistrat Graz, Umweltamt, Graz

http://graz.at/umwelt/uamt/3thermo.htm

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Project was added at 25.06.1996
Project was changed at 05.03.2001

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