172R_transcript_Carbon-neutral cities: Critical review of theory and practice

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Are you interested in carbon-neutral cities?


Our summary today works with the article titled Carbon-neutral cities: Critical review of theory and practice from 2022 by Aapo Huovila, Hanne Siikavirta, Carmen Antuña Rozado, Jyri Rökman, Pekka Tuominen, Satu Paiho, Åsa Hedman, and Peter Ylén, published in the Journal of Cleaner Production. This is a great preparation for our next interviewee, Dr Aapo Huovila in episode 174 talking about sustainable and smart cities. Since we are investigating the future of cities, I thought it would be interesting to see what carbon-neutrality can mean for cities. This article presents the theory and practice of carbon-neutral efforts in the urban context, exploring the gaps between research and practice.

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Welcome to today’s What is The Future For Cities podcast and its Research episode; my name is Fanni, and today I will introduce a research paper by summarising it. The episode really is just a short summary of the original paper, and, in case it is interesting enough, I would encourage everyone to check out the whole paper. Stay tuned until because I will give you the 3 most important things and some questions which would be interesting to discuss.


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The Paris Agreement aims for climate neutrality by the century’s end, with significant efforts from major countries like the EU, China, and the USA. Yet, these targets may still exceed the Agreement’s 1.5°C limit. Cities, now housing 56% of the global population, are key players in this endeavour, contributing significantly to global GDP, resource consumption, and emissions. Urban development concepts, including low-carbon city and carbon-neutral city, have emerged to promote sustainability, with initiatives like the EU’s goal for 100 climate-neutral cities by 2030. However, the ambiguity surrounding the carbon neutrality concept poses challenges.

Finland aims to achieve carbon neutrality by 2035, the most ambitious target among industrialized nations. Major Finnish cities have set even more ambitious carbon neutrality goals ranging from 2025 to 2040, over 80 cities are part of the “Towards carbon-neutral cities” network, aiming for an 80% reduction in greenhouse gas emissions by 2030 from 2007 levels. However, these ambitions are not always prominently featured in their strategy documents. This study aims to address these issues by examining the carbon neutrality concept in cities, identifying the challenges and incentives for transition, and offering insights from Finnish cities, which aim to achieve carbon neutrality by 2035.

The concept of a carbon-neutral city lacks a consistent definition in academic literature, though various urban climate concepts, emission scopes and cities’ climate policy documents provide some insights. The definitions often involve determining the scope of city emission using specific system boundaries. Carbon neutrality generally allows cities to offset emissions through third-party purchases, offering more flexibility than the stricter zero-carbon goal. Cities often base their definitions on the green house gas emission protocol which categorises emissions into three scopes: direct emissions within the city, indirect emissions from grid-supplied energy, and other indirect emissions due to city activities. While the majority of cities define carbon neutrality as a blend of emission reduction goals and offsetting, the specific definitions and actions towards carbon neutrality vary based on the frameworks and guidelines provided by different climate networks.

Cities utilise diverse emission scopes in their carbon neutrality assessments, influenced by available data, tools and chosen calculation methods. This variety leads to inconsistencies, making city-to-city goal comparisons difficult. While production-based emission accounting is more common, there is a growing emphasis on consumption-based accounting. Initiative across Europe, such as the Covenant of Mayors tries standardising emission reporting for European municipalities. Overall, many cities prioritise monitoring the progress of climate actions over actual emissions, emphasizing the challenges in translating broad goals into tangible actions.

While different methodologies offer frameworks, their success depends on regional and global support, addressing non-technical barriers such as political decision-making. Stakeholder engagement, especially during planning phases, is vital, as limited involvement may jeopardize implementation. Studies highlight the importance of multi-faceted strategies, encompassing environmental, social, and economic aspects. Research from various cities worldwide showcases diverse drivers like local economic benefits, reputation enhancement, and technological advancements. However, achieving neutrality often faces challenges like resource constraints, stakeholder reluctance, and the need for systemic change. Despite these hurdles, cities benefit immensely from networks like the Covenant of Mayors, emphasizing collaborative efforts and knowledge sharing for carbon neutrality.

The concept of a carbon-neutral city has shifted from a modest urban climate idea to one of high ambition. However, ambiguities persist in its definition making city-to-city comparison challenging. Differences in emission accounting methods and goals further complicate the situation. Cities, despite having high ambitions, require clearer goals, actions, and support in their implementation. Carbon neutrality is a systemic challenge, demanding coordination across various levels and stakeholders. Economic incentives often drive cities’ neutrality efforts, underscoring the need for innovation and stakeholder participation. Achieving carbon neutrality is not solely a city administration’s responsibility but demands broader stakeholder action, including the private sector and citizens. Collaborative efforts, both locally and internationally, are vital, emphasizing the city’s role as an enabler of change. To measure progress effectively, standardisation of key performance indicators is crucial, ensuring informed decisions based on reliable data.

Cities play a crucial role in the transition to carbon neutrality, but there’s a need for a clearer definition of a carbon-neutral city, particularly concerning emission offsetting. While cities are adopting ambitious targets, they need support in action plan development, innovation, and stakeholder collaboration. Transitioning also requires understanding the impact of renewable energy systems and the challenges of emissions outside city boundaries. There’s a call for a more systematic approach to understanding transition drivers and barriers. Embracing a systems approach, enhancing governance, and breaking administrative silos can accelerate the transition. Tools like system dynamics can provide holistic assessments, fostering collaboration and learning.

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What was the most interesting part for you? What questions did arise for you? Do you have any follow up question? Let me know on Twitter at WTF4Cities or on the wtf4cities.com website where the transcripts and show notes are available! Additionally, I will highly appreciate if you consider subscribing to the podcast or on the website. I hope this was an interesting paper for you as well, and thanks for tuning in!


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Finally, as the most important things, I would like to highlight 3 aspects:

  1. Cities, as major global resource consumers and emission contributors, are central to achieving climate goals through sustainability initiatives.
  2. Ambiguities in the carbon-neutral city concept and varied emission scopes challenge consistent implementation and progress measurement.
  3. A holistic, systemic approach with collaboration among various stakeholders is essential for effective carbon neutrality transitions.

Additionally, it would be great to talk about the following questions:

  1. How can cities lead the charge in global climate efforts and emission reductions given their major emissions?
  2. How do we balance standardised progress indicators with unique city contexts?
  3. What is your city’s take on carbon-neutrality?
  4. How can you contribute to your city’s carbon-neutral ambitions?

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