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  • 8/11/2019 Asian Urban Forum Brochure Green Cities

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    Livable and Sustainable Cities in Asia

    Green Cities

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    Green Cities

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    Asia is urbanizing at an unprecedented pace.

    In 1950, Asia was predominantly rural, with

    only 17% of its 1.4 billion people living in

    towns or cities. By mid-2022, the urban population

    will surpass that of rural areas, and the United Nations

    (2004) estimates that by 2030, 55% of Asians, or

    2.7 billion people, will live in urban areas (Figure 1).

    From 2015 onward, effectively all of the regionspopulation increase will occur in urban areas.

    Cities occupy only 2% of the worlds land but

    consume 75% of the planets resources and generate

    a similar percentage of waste, including air pollution,

    solid waste, and toxic effluents (Girardet 1996).

    Activities within cities and to service cities produce

    Green CitiesLivable and Sustainable Cities for Asia

    Figure 1 Asias Urban and Rural Population

    (19502030)

    Source: Computations based on figures from World UrbanizationProspects: The 2003 Revision. United Nations. 2004.

    0

    1.0

    1.5

    2.0

    2.5

    3.0

    3.5

    4.0

    4.5

    5.0

    1950 1975 2000 2015 2030

    Rural Urban

    Year

    Po p

    ulation

    (billion

    )

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    Green Cities

    in Jakarta, Indonesia, exceeds perhaps

    $1 billion per year, whereas the cost in

    Bangkok, Thailand, is more than $2 billion.

    Air pollution alone can have an estimated

    2%4% negative impact on gross domestic

    product (GDP). For example, the province of

    Ontario, Canada, estimates that air pollution

    costs its 12 million residents at least $1 billion

    annually in hospital admissions, emergency

    room visits, and worker absenteeism (Ontario

    Medical Association 2000). In the Peoples

    Republic of Chinahome to some of the

    most polluted air in the worlddeaths

    and illnesses of urban residents due to air

    pollution cost an estimated 5% of GDP

    (Sheram and Soubbotina 2000). Likewise, a

    World Health Organization study of Austria,

    France, and Switzerland found that health

    costs from traffic pollution amounted to

    approximately 1.7% of GDP, dramatically

    more than the cost of treating injuries from

    traffic accidents (CNN 2000).

    Pollution Cost:Air pollution alone canhave an estimated 2%4%negative impact on grossdomestic product

    nearly 80% of greenhouse gases, such as

    carbon dioxide, methane, and nitrogen oxide,

    which contribute to global climate change

    and rising sea levels. Urban expansion and

    the associated destruction of forests and

    vegetation also have a strong effect on

    climate. If urban areas in the developing

    world grow unchecked, their environmental

    impact will be catastrophic (Pearce 2006).

    The economic, health, and other costs of

    environmental degradation are already

    high. According to Brandon and Ramankutty

    (1994), the cost of air and water pollution

    ThePoorare

    MostVulnerable

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    Green Cities

    3

    Rising sea levels are a particularly pressing

    outcome of global warming and, according

    to the Intergovernmental Panel on Climate

    Change, worldwide sea level is expected to

    increase by 888 centimeters during the 21st

    century (Watson 2001). Many of Asias largest

    cities are located on or close to the shore, and

    vulnerable cities include Bangkok; Chennai,

    India; Dhaka, Bangladesh; Jakarta; and Tianjin,

    Peoples Republic of China. Global warming

    also means more violent weather, which

    heavily affects those living in poor quality

    housing and informal settlements.

    Asias rapid urban growth has thus wrought

    massive environmental problems, and the

    poor, who are most vulnerable to declining

    environmental quality and climate change,

    face aggravated poverty and deepening

    environmental squalor. But urban economic

    growth has also improved living standards

    and brought millions out of poverty. A key

    challenge, therefore, is to maintain economic

    growth and improved living standards while

    addressing environmental sustainability,

    climate change, and environmental damage

    from urban production, consumption, and

    waste generation.

    Supply-side approaches, such as burning

    clean coal in the industrial sector; increasing

    the use of natural gas; developing mass

    public transport; and introducing regulations,

    fees, and targeted subsidies, have not been

    encouraging so far, with failures especially

    apparent in efforts to reduce demand.

    However, cities can, and should become,

    better places for everyone to live, with

    Many of Asias largest citiesare vulnerablelocated onor close to the shore

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    Cities can protect theenvironment through

    integrated developmentof low-carbon buildings,industry, and transport

    more green spaces and less air and water

    pollution. The global environment must be

    protected by encouraging lower emissions

    of greenhouse gases. Sustainable butaffordable urban development represents

    a dramatic shift from focusing on economic

    growth to focusing on quality of life. This

    can be accomplished. Better planning and

    new technology can substantially reduce the

    demand for fossil fuels without adversely

    affecting quality of life.

    4Green Cities

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    Healing the Urban Environment

    Any future urban model must be

    sustainable. Economies must thrive, and

    people have the right to earn a living.

    However, future cities will have to be

    significantly more environmentally friendly,

    and to this end, Asian cities are turning

    to green urban development. Green

    urban development focuses on reducing

    the energy consumption of buildings,

    industries, and transportation. The six keyelements of green city investments are

    low-carbon transport; green industry;

    energy-efficient building; city greening;

    green, resilient infrastructure; and

    intelligent systems (Figure 2).

    Support to Low-Carbon

    Transport

    Green

    Industry

    Complex

    Energy-Efficient

    Buildings

    Green,

    Resilient

    Infrastructure

    City

    Greening

    Intelligent

    Systems

    Figure 2 Green City Investments

    Source: Asian Development Bank.

    Green Cities

    5

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    Green Cities

    Low-Carbon Transport

    The most practical approach to creating

    sustainable cities is to influence the scale,

    location, and type of land development

    and its integration with transport. Without

    access, there is no development, and

    thus the transportation network can be

    highly effective in guiding growth. Yet city

    authorities rarely deploy their authority to

    manage land or to develop roads as a way

    to manage growth. To guide development,

    governments can construct infrastructure,

    particularly for water, transport,

    and housing.

    The first step, therefore, is to create links

    between planning and implementation.

    This requires a strong planning process that

    includes representatives from national and

    city governments, public works departments,

    major developers, and civil society. The second

    step is to develop area road networks (both

    arterial and secondary) in fringe areas

    where development is desired. Design and

    construction guidelines in these areas should

    be consistent with the needs and means

    of future occupants, including low-income

    groups. Efficient public transport reduces

    pollution and should be provided from the

    outset. The use of zero-emission vehicles and

    bicycles should be encouraged, and private

    cars should be kept out of city centers.

    Green Industry

    Cities with effective recycling schemes can

    recycle up to 75% of household waste, but

    manufacturing and construction activities

    generate four times as much waste as

    households (Girardet 1996). One way to

    overcome this problem is to mimic nature,

    IntegratedPublicTransportandDenserLandUseHelpSaveEnergyandthePlanet

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    Green Cities

    Well-designed builtenvironment can encourageairflow for passive coolingand reduced energy loads

    building capacity for CE implementation

    and monitoring through enhanced

    training and dissemination of local and

    international experience; and

    strengthening governance by

    establishing high-level leadership,

    coordinating CE efforts across sectors

    and ministries, and promoting and

    enforcing private CE activity rather than

    directly implementing such activity

    (World Bank 2007).

    For example, Japans Kitakyushu Eco-Town

    has created an extensive range of recyclingand environmental industries covering a

    large number of materials and products, from

    plastic, paper, and metal to office equipment,

    vehicles, construction waste, and solvents.

    Energy-Efficient Building

    Solar energy is becoming less expensive,

    and solar electric roof tiles could make

    buildings largely self-sufficient. Another

    option is simply to use less power; electricity

    consumption could be cut by more than60% by adopting existing eco-friendly

    devices and practices.

    The incentives for more energy-efficient

    building and behavior must come both from

    national and local government policies. In

    addition to transport and land-use initiatives,

    cities can act to reduce individual energy

    use through planning; encourage energy

    alternatives, such as wind and solar power;

    support the development and use of efficient

    transport technologies; and encourage the

    adoption of energy-efficient development,

    housing, and construction materials. Much

    of the agenda can be accomplished orencouraged through appropriate utility

    pricing and property taxes, as well as through

    building regulations attuned to sustainability.

    From an environmental perspective, building

    codes should aim to maintain densities,

    encourage the use of natural light and the

    harvesting of water, utilize alternative energy,

    and deal adequately with wastewater. Asias

    building codesoften based on those of

    countries with different climates and physicaland social environmentsmust become more

    appropriate to the needs of dense, rapidly

    growing, largely tropical or subtropical cities.

    One example of encouraging innovation in

    the quest for more sustainable buildings is

    the U.S. Green Building Councils Leadership

    in Energy and Environmental Design Green

    Building Rating System. This voluntary,

    consensus-based rating system encourages

    builders to adopt accepted benchmarks for

    the design, construction, and operation of

    sustainable buildings. Such buildings have

    lower operating costs and increased asset

    value, reduce waste and greenhouse gas

    emissions, and conserve energy and water.

    A similar approach could be adopted

    in Asian cities, beginning with national,

    provincial, and local governments, which

    should develop their own new buildings

    according to the highest green standards

    and should rate their existing buildings with

    a view to later upgrades. Private developers

    should be encouraged to do likewise, and

    local governments should undertake the

    evaluation of the building stock with an eye

    toward further improvement.

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    Green Cities

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    City Greening

    As the climate heats up, city planners will

    be challenged to create compact, cool

    communities with natural amenities thatoffer alternatives to urban sprawl and its

    consequences. Wind affects temperature,

    rates of evaporative cooling, and plant

    transpiration, and thus, is an important

    factor in implementing district-wide passive

    cooling strategies at a microclimate level.

    The built environment can encourage airflow

    for passive cooling and reduced energy

    loads. Parks, green roofs, and water bodies

    can accentuate the cooling effect of wind,

    and the alignment and design of streets canreinforce both external and passive cooling.

    For example, streets in Abu Dhabis

    Masdar development and in the planned

    redevelopment of Thanh Hoa, Viet Nam,

    encourage air circulation, fresh air distribution,

    and microclimate protection (Raven 2010).

    Parks and open plazas are vital components

    of such designs. Trees absorb carbon and

    sulfur emissions, filter dust, cool the urban

    environment, produce oxygen, and helpreduce carbon monoxide and carbon dioxide.

    About 30% of the worlds land is presently

    used for agriculture, and farming has

    radically altered the natural landscape

    and ecosystems. Rapid population growth

    requires more land for food, but land is no

    longer available. Alternative approaches

    to food production aim to avoid further

    encroachment on remaining functioning

    ecosystems while also increasing a citysbiodiversity and resilience. Instead of

    trucking or flying produce in, for instance,

    produce can be grown in the city. Shanghai,

    for example, is almost self-sufficient

    in vegetables and grain, and growing

    vegetables on empty urban lots and

    on rooftops is popular in Berlin and New York.

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    Green Cities

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    Intelligent Systems

    The use of information and communication

    technologies can improve information

    and service delivery; encourage citizenparticipation; and make government more

    accountable, transparent, and effective.

    Such systems integrate green infrastructure,

    increase efficiencies and cost recovery,

    improve service delivery, and enable cross-

    sector synergies. For example, efficient

    transport and higher-density building

    development provide energy efficiency

    benefits while yielding higher taxes. As such,

    these systems represent the backbone of

    a green city.

    Traditionally, the interaction between a

    citizen or business and government occurred

    in a public office. Now, information and

    communication technologies make it possible

    to locate service facilities much closer to clients,

    whether through a kiosk in a government

    agency or through a users personal computer.Tirunelveli in Tamil Nadu, India, for example,

    employs a number of e-governance initiatives,

    including systems to track the condition

    of streetlights and the status of garbage

    collection; to monitor legal cases, land records,

    and town planning; and to address complaints

    or collect taxes and fees.

    Efficient transport and

    higher-density buildingdevelopment provideenergy efficiency benefitswhile yielding higher taxes

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    Green Cities

    Financing Sustainable Cities

    tradable rightsto use a quantity of

    a resource (usually water) and the

    establishment of a market for such rights;

    marketable permitsentitling an entity

    to treat its waste and sell its permit, or

    to not treat its waste and purchase

    more permits;

    employers taxeson all but small

    employers;

    joint developmentthrough public

    private partnerships;

    tax-increment financing,in which a

    portion of tax revenues resulting from

    improvements is earmarked to repay the

    cost of those improvements; and

    refund systemsfor commodities

    packaged in nonreturnable containers,

    to ensure that these are returned for

    proper disposal or reuse.

    Leverage Private Sector Financing

    Private sector participation must be

    supported by effective, independent

    regulation to resolve the risks associated

    with a purely private sector, laissez-faire

    approach to basic commodities, such as

    water and energy. The regulatory regime

    must contain provisions for a fair service

    price, sustainable service provision, and

    protection of distributional objectives.

    Contracts should clearly specify that

    funding for any public service obligation

    of the provider, such as lower prices

    for the poor, is guaranteed by

    the government.

    The regulatory regime

    must contain provisionsfor a fair service price,sustainable serviceprovision, and protectionof distributional objectives

    Acity can finance its sustainable

    services by maximizing existing

    revenue sources and locating

    potential new ones, by leveraging

    additional resources from the private sector,

    and by accessing international and local

    funding to support the development of

    green investments.

    Maximize Conventional FinanceAside from collecting all mandated taxes,

    there are several additional areas where

    cities may bolster financing, including

    user chargesthat cover the full cost of

    services, such as water and electricity,

    including the cost of providing the

    supply and of damages caused by usage,

    and the opportunity cost of taking the

    resource from other potential users,

    including the ecosystem; emission (effluent) chargesbased on

    quality or quantity of waste (usually

    wastewater);

    product chargeson products that

    pollute surface or groundwater during or

    after consumption, based on the actual

    value of damages caused by their use;

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    Green Cities

    13

    viability and nonviability. Examples include

    the following:

    The Clean Development Mechanism,

    defined in the Kyoto Protocol, is designed

    to fund greenhouse gas reduction

    through energy efficiency projects or

    through such emerging bilateral cap-

    and-trade systems as Japans New Clean

    Development Mechanism or the Republic

    of Koreas Emission Reduction Scheme.

    Climate Investment Fundsoffer

    financing to improve fuel economy

    standards, accelerate fuel switching,

    and promote shifts to public transportin large metropolitan areas.

    There is also is a need to explore the

    unbundling of commercially viable or

    contestable infrastructure components (which

    can involve the private sector in financing)from components that must be government

    funded. For instance, water treatment plants

    can be unbundled from the piped network in

    a water system.

    Funding for Green Investment

    There are now many different modes

    of financing for climate change and

    environmental projects. These usually

    supplement other financing sources and

    rarely cover the full cost of an investment,but they can make the difference between

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    Green Cities

    The Global Environment Facility

    is a partnership of 182 countries

    and international institutions,

    nongovernment organizations, andthe private sector to address global

    environmental issues. Since 1991, it has

    allocated $9.2 billion, supplemented by

    more than $40 billion in cofinancing.

    The Clean Energy Financing Partnership

    Facilityaims to help developing countries

    achieve significant, measurable change in

    their energy consumption patterns while

    securing a low-carbon future. It funds

    energy efficiency investments, financessome technology transfer costs, and

    provides grant assistance for activities,

    such as technology development.

    Ethical fundspool the money of

    hundreds of investors into a single fund

    which, in turn, invests in the stock market.

    The choice of investments is influenced

    by a range of social, environmental, or

    other ethical considerations, and funds

    employ various criteria to exclude or

    include a company in a portfolio.

    Export credit agenciesare government

    agencies that promote national exports

    by financing transactions when private

    financing is not availableoften because

    of unacceptably high risks, such as for

    innovative but unproven clean technologies.

    Such agencies account for $50 billion to

    $70 billion of financing annually, supporting

    large industrial and infrastructure projects in

    developing countries (Norlen et al. 2002).

    Urban Financing Partnership Facility

    of the Asian Development Bank (ADB)

    was established to raise and utilize

    development partner funds for the

    cofinancing of urban environmental

    infrastructure projects and a wide range

    of technical assistance to help lay the

    groundwork for such projects. It supports

    investment in climate change mitigation

    and local urban infrastructure projectsthat benefit the poor.

    All of these elements can be used in

    structuring the financing of a project, and

    ADB can help in this. For instance, the Cities

    Development Initiative for Asia, a partnership

    between ADB and a number of development

    agencies, has focused its activity specifically

    in this area.

    ADB will help nationaland city governments todevelop networks that willstrengthen collaborationbetween businesses andgovernment in this field

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    Green Cities

    References

    Brandon, C., and R. Ramankutty. 1994. As Asia

    Urbanizes, Pollution Problems Grow Even

    More Urgent. International Herald Tribune.4 January.

    CNN. 2000. Traffic Pollution Kills Thousands EveryYear. 1 September.

    Despommier, D. 2009. The Vertical Farm:Reducing the Impact of Agriculture

    on Ecosystem Functions and Services.Available at www.verticalfarm.com/more?essay1&bcsi_scan_B90AE85AF6AB15

    C6=b6rzsENyrxrIrRZhDiYvXBwAAAA0tUo1

    Girardet, H. 1996. Giant Footprints. Our Planet.

    8 (1). pp. 2123.

    Norlen, D., R. Cox, M. Kim, and C. Glazebrook.2002. Unusual Suspects: Unearthing the

    Shadowy World of Export Credit Agencies.ECA Watch.

    Ontario Medical Association. 2000. Illness Costs

    of Air Pollution in Ontario. Toronto, Canada.

    Pearce, F. 2006. Eco-Cities Special: Ecopolis Now.New Scientist. June.

    Raven, J. 2010. Climate Resilient Urban Design.Paper presented at the Resilient Cities

    Congress 2010, Bonn, Germany,

    27 May 2010.

    Sheram, K., and T. Soubbotina. 2000. Urban Air

    Pollution. In Beyond Economic Growth:An Introduction to Sustainable Development.

    Washington, D.C.: World Bank.

    United Nations. 2004. World UrbanizationProspects: The2003 Revision. New York.

    Watson, R. T. 2001. Climate Change 2001. Paperpresented at the resumed Sixth Conference

    of Parties to the United Nations FrameworkConvention on Climate Change, Bonn,

    Germany, 19 July 2001.World Bank. 2007. Study on Policies for Promoting

    Circular Economy in China. New York.

    public transport, encourage non-

    motorized transport, and discourage

    the use of cars for the daily commute.

    Building construction and resilient,energy-ecient infrastructure.

    Through zoning codes, building

    codes, and the permitting process,

    municipalities can encourage building

    and neighborhood designs that save

    energy and resources and adopt

    infrastructure designs that are more

    efficientusually both in financial, as

    well as energy terms. Plan for climate

    resilience when planning infrastructure.

    Local economic activity.Municipaleconomic development initiatives are

    opportunities to encourage development

    in low-energy, zero-carbon directions, by

    both incentive and example. In particular,

    local 3Rreduce, reuse, recycleplans

    should be encouraged to make both

    households and industry more efficient.

    Efficient logistics both saves money for

    business and the environment.

    ADB will help national and city governments to

    better target investments on capacity

    development that will support the

    Green City investments set out above;

    work collaboratively to identify critical

    strategic infrastructure projects that will

    enhance the environmental and climate

    performance of cities in the region;

    build partnerships among development

    assistance agencies, the private sector,

    and governments to provide incentives

    for improved performance; and

    develop networks that will strengthen

    collaboration between businesses and

    government in this field.Photographs on pp. 1, 5, and 15 by AFP; on pp. 2 (left), and 4 (left) by

    ADB; on pp. 2 (center), 34, 9, by F. Steinberg; p. 13, ADB. 2008. Managing

    Asian Cities. Manila.

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    Green Cities

    Asia shares a vision of one day making all its cities livable. The knowledge and financialresources needed to realize that vision exist. But if the challenges of climate change andpollution are to be met, it is essential that we reduce energy demand in cities, and reduce theundesirable environmental impacts associated with energy production. It is also necessaryto address the pollution of watersheds and the air. To achieve this, we must manageurbanization, city form, design, development density industry and logistics systems moreefficiently and effectively.

    About the Asian Development Bank

    ADBs vision is an Asia and Pacific region free of poverty. Its mission is to help its developingmember countries reduce poverty and improve the quality of life of their people. Despite theregions many successes, it remains home to two-thirds of the worlds poor: 1.8 billion peoplewho live on less than $2 a day, with 903 million struggling on less than $1.25 a day. ADB iscommitted to reducing poverty through inclusive economic growth, environmentallysustainable growth, and regional integration.

    Based in Manila, ADB is owned by 67 members, including 48 from the region. Its maininstruments for helping its developing member countries are policy dialogue, loans, equityinvestments, guarantees, grants, and technical assistance.

    Asian Development Bank6 ADB Avenue, Mandaluyong City1550 Metro Manila, Philippineswww.adb.orgPublication Stock No. ARM102658

    Printed in the PhilippinesPrinted on recycled paper