New European Funds Available To Encourage Energy Efficient Cities
EU member states are committed to reducing their GHG emissions by 20% compared to 1990 levels, and ensuring 20% of electricity consumption is from renewable energy by 2020. With cities concentrating large amounts of energy consuming assets and transport links, the European Commission launched the Smart Cities and Communities Initiative and the European Energy Efficiency Fund (EEEF) which aim to assist EU member countries in meeting these targets.
Launched on June 21 2011, the Smart Cities and Communities Initiative holds €80 million for collaborative projects such as urban scale systems for heating and cooling supply (for example district heating) and carbon neutral buildings. The programme is receiving project proposals from teams of cities and industry partners until December 2011. The European Commission, the European Investment Bank, the Cassa Depositi e Prestiti and Deutsche Bank together launched the EEEF on July 1 2011, with €265 million to fund urban energy efficiency and small scale renewable energy projects. The consortium hopes to raise up to €800 million this year by attracting further investors.
The European Commission expects that energy service companies will step in and bridge the remaining financing gaps to deliver energy efficiency projects. Australia took a similar approach with energy infrastructure firm Ausgrid leading its “Smart Grid, Smart City” programme, which commits $100 million to develop commercial-scale smart grid projects.
The two funds allow the private sector to propose a broad range of projects. Firms should seize this opportunity to pilot new technologies in public-private partnership, as has already been done in Amsterdam Smart City, to identify which solutions and business models offer both emissions reductions and economic returns at the urban scale.
- Tagged in :
- Smart Cities,
- Smart Grid,
- Energy Management,
- Carbon Strategy
