The role of digitalisation in climate action

The European Union's ambitious '100 Climate Neutral and Smart Cities by 2030' mission underscores the critical intersection of climate action and digitalization, recognizing their complementary roles in addressing climate change.

Patrick Child, Mission Manager for this EU (European Union) initiative, emphasizes the significance of deploying smart solutions strategically, particularly in sectors such as energy, mobility, and sustainable building materials management. It is important to note that digitalization is not a one-size-fits-all solution and must be tailored for maximum impact.

Many city leaders agree that smart cities and climate neutrality teams do need to work together and there is major potential in using data and digital tools to make systems more efficient, to enable people to make sustainable choices and to boost the circular economy. Several leaders are seeing benefits already but say there is still work to be done in integrating climate and digital strategies more closely.

A growing role for data

Data plays a pivotal role in reducing emissions by accurately tracking progress and supporting intelligent management of energy, traffic, and buildings. However, a global survey of 200 city leaders in November 2022 found that although 94% identified climate change as the most significant challenge, only 20% believed they were making substantial progress in using data for environmental and sustainability initiatives.

Several cities exemplify effective data utilization in climate action. Helsinki's Climate Unit emphasizes achieving carbon neutrality by 2030 through strategies streamlined based on data, encompassing actions like demand-controlled ventilation, low-emission concrete use, LED lighting, and regional heating solutions. Similarly, Reykjavik prioritizes data to support its climate plan, facilitating a walkable city, energy exchange, health-enhancing commutes, circular thinking, green structures, and carbon sequestration. Digitizing services and creating data foundations enable smarter solutions for citizens. Copenhagen aims to reduce energy consumption in city-owned buildings by 40% by 2025, by employing a digital Energy Monitoring System (EMS) since 2015, which monitors heat, electricity, and water consumption. Collaborative endeavors in Copenhagen between City Properties and Copenhagen Solutions Lab focus on testing flexible energy solutions for climate neutrality, with systems operating autonomously for optimal energy use. In London, efforts to source data based on needs and to create new business models for climate investments are underway with the replacement of the Datastore open data platform with the Data for London hub.

These global examples demonstrate the groundwork being laid for effective data use to address climate challenges. In Copenhagen, the next stage involves flexible electricity and heat consumption, allowing scalability based on demand and renewable energy availability. Pilot projects and flexible energy technologies are considered key steps towards achieving climate neutrality. Cities worldwide are increasingly recognizing the potential of data in achieving their sustainability goals and are actively integrating data-driven strategies into their climate action efforts.
 

Technology Advances – AI and Digital Twins

The adoption of AI and digital twins represents significant technological advancements in the climate action toolbox. Annual sales revenue for AI focused on city sustainability is expected to surge from US$693.3 million in 2023 to US$6.5 billion by 2032. AI's ability to process diverse data makes it a valuable tool for addressing complex issues related to climate action.

Tampere in Finland integrates data and climate initiatives through its Data-driven city for citizens program, foreseeing a significant role for AI in areas like energy efficiency and mobility. Collaborative efforts with Microsoft in the 'Cloud for Sustainability' pilot project involve testing generative AI solutions to enhance sustainability. Similarly, Aarhus in Denmark employs AI in various projects, achieving a 30% reduction in its home care fleet using an AI-based fleet optimizer tool. The city also reduced CO2 emissions from food purchases by 12% through 'intelligent climate accounting,' which introduced internal climate fees to incentivize climate-friendly choices. Challenges in AI adoption include misaligned procurement policies and the need for transparency. Cities like Helsinki and Amsterdam have introduced AI and algorithm registers to enhance transparency and ensure ethical and accountable AI use.

Digital twins, a burgeoning technology, are expected to see at least 500 urban deployments by 2025. Cities are adopting digital twins for diverse applications, including emission reduction, traffic management, economic development, and climate action planning.

Examples such as Helsingborg in Sweden using a digital twin to display emission statistics and Helsinki's Energy and Climate Atlas, based on 3D models, providing data on renewable energy, heating demand, and solar/geothermal potential.

Resident Engagement is crucial

Engaging residents is crucial in climate action, as their choices significantly impact the city's efforts. Tampere is developing an app that recognizes citizens' travel modes, calculating trip emissions and rewarding greener choices. Reykjavik's 'Data Buffet' is an open data portal providing residents with diverse information, emphasizing visual storytelling for better comprehension. Copenhagen collaborates with private building owners on energy management through an 'energy hub,' fostering transparency.

Innovation districts, like Helsingborg's HEIDI and Tampere's Hiedanranta, play a key role in finding ways to achieve net-zero emissions. These districts bring together various stakeholders, emphasizing collaboration and providing a platform for innovation. However, some cities prefer proven solutions over innovation due to time constraints. Helsinki's climate unit focuses on impactful actions with direct emissions reduction, while Aarhus prioritizes scaling successful projects to other departments.

Collaboration requires political commitment

Collaboration between digitalization and climate action teams is essential, requiring political commitment and oversight from the top. Climate themes should be embedded in all city operations, and efforts strategically aligned. Cross-department working groups ensure ongoing alignment and knowledge-sharing. Data infrastructure and cross-city governance policies are crucial for innovation and addressing complex challenges. Oslo pioneers climate budgeting, integrating climate considerations into all city decisions across departments.

While innovation and piloting are valuable, some cities, like Helsinki, prioritize proven solutions due to time constraints. Pilot projects focus on specific areas, such as reducing materials in building construction and energy-efficient heating for older residents. Challenges include scaling successful projects and balancing innovation with proven solutions. Helsinki's Forum Virium actively engages with residents and companies, emphasizing knowledge sharing for impactful outcomes.