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Urban Development

Latin America and the Caribbean hop into electric mobility

MD Staff

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Photo by Empresas Públicas de Medellín

Air pollution kills nearly 7 million people every year around the world. The situation could worsen in the coming years in Latin America and the Caribbean, where transport – a rapidly growing sector – is the main source of greenhouse emissions.

The region’s vehicle fleet is expanding faster than any other in ​​the world and could triple over the next 25 years. This would result in a collapse of the cities’ road infrastructures and in a proportional increase of pollutants.

To avoid this dramatic scenario, several countries in the region are implementing innovative laws and projects to promote electric mobility and introducing clean vehicles into their public transport.

If the current fleet of buses and taxis of 22 Latin American cities were replaced with electric vehicles right now, the region could save almost US$64 billion in fuel by 2030, avoid the emission of 300 million tons of carbon dioxide equivalent, and save 36,500 people from premature death, revealed a UN Environment and International Automobile Federation (FIA Region IV) study, supported by the Spanish Agency for International Development Cooperation (AECID) and the European Union.

UN Environment, through its MOVE platform and with the support of Euroclima+ project, is assisting Argentina, Colombia and Panama with their national electric mobility strategies, and is also helping Chile and Costa Rica in their plans to expand the use of electric buses.

Costa Rica is one of the regional leaders of the transition. The Central American country wants to be the first “decarbonized” nation in the world, as its President, Carlos Alvarado, announced last May during his inauguration.

The country already has an energy matrix that is almost a 100 per cent clean, which helped to reach an important record in 2017: more than 330 continued days consuming electricity only from renewable sources. But transport still depends on fossil fuels and is responsible of 68 per cent of energy sector emissions. The public sector is therefore paying greater attention to electric mobility.

Earlier this year, Costa Rica adopted a groundbreaking law in the region to encourage electric vehicles. The law creates economic incentives to the public and private sectors and introduces benefits, like better access to loans. Additionally, three electric buses will travel across the country as part of a pilot plan.

In the southern part of the continent, Chile is working to have the second largest electric buses fleet in the world, right after China, which currently has 150,000 units. The Chilean government approved a plan last year to gradually introduce 200 electric buses into the transport system of Santiago, Transantiago, and is aiming to exceed 2,000 buses by 2025.

Gianni López, a civil mechanic engineer at the Mario Molina Development and Research Center, says, at this stage, electromobility in Latin America and the Caribbean is mostly competitive in cargo and public transport vehicles.

“In the short term, the region will not have a transition like Norway’s, the world leader. The difference in prices between conventional and electric cars in our countries are still huge and can only be amortized through intensive uses,” such as buses, taxis, company fleets or cargo transport, explains López.

Gonzalo Pacheco, General Manager of the Chilean company Movener, says Chile and the rest of the region need to improve after-sales and maintenance processes, as there are only a few experts in the region and the local universities still do not offer this kind of training.

However, the charging infrastructure is seen as the great challenge of Latin America and the Caribbean.

“Although electric cars can be charged at home, users suffer from the so-called ‘anxiety range’. They are afraid the car will run out of energy before reaching the destination,” says Gastón Turturro, Engineering Professor at the University of Buenos Aires.

Gustavo Mañez, UN Environment Climate Change Coordinator in Latin America and the Caribbean, believes this is far from the truth. “Everyone in the region has electricity outlets at home or at work, and considering that vehicles are parked more than 90 per cent of the time during the day, they could be charged virtually anywhere at a cost almost 10 times lower than that of fossil fuels,” he explains.

Uruguay has recently taken important steps in this field: the country has built electric charging stations in 300 km of its main touristic roads, now the first ‘electrified’ route in the region. The South American country intends to cover 20 per cent of the 9,000 km of its national roadways by 2020. In addition, it has exempted commercial electric vehicles from import taxes.

Argentina has also shown determination. The Government has recently approved a decree that reduces duties on the import of electric cars from 35 to 2 per cent and has presented a law in the National Congress to encourage electric mobility, “very similar to that of Costa Rica and which will mark a precedent in the region,” says Turturro.

The country will also release a dozen of electric buses in Buenos Aires by the end of the year: “If we electrify the capital bus fleet, we could even have a 25 per cent reduction in emissions,” adds the expert.

In Colombia, Medellín prepares the deployment of 1,500 electric taxis by 2020, 500 of which will operate this year. While in Mexico – one of the world’s largest automotive producers –, two large companies, Zacua and Giant Motors, lead projects to manufacture 100 per cent national electric cars.

“Latin America has the greenest electricity matrix in the world, the fastest growing emissions of the transport sector and the highest use per capita of public transport globally. The region is uniquely positioned to take advantage of electric mobility”, adds Mañez.

The transition to electric mobility will help Latin American countries reduce emissions and fulfill their commitments under the Paris Agreement. The pact, signed in 2015 by nearly 200 countries, aims to keep the global temperature rise well below 2 degrees Celsius above pre-industrial levels by the end of the century and to pursue efforts to limit the temperature increase even further to 1.5 degrees Celsius.

UN Environment Office in Latin America and the Caribbean launched the MOVE platform in 2016 to accelerate the transition to electric mobility in the region. Since its creation, MOVE has positioned itself as a flagship community of practice in the provision of technical assistance, resource mobilization, capacity building and knowledge creation on electric mobility in the region.

UN Environment

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Urban Development

Structural Transformation Can Turn Cities into Engines of Prosperity

MD Staff

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By 2050, the population of cities is projected to double from its current size, with nearly 70 percent of the global population residing in urban areas. For many, cities are beacons of hope that offer the prospect of a better job or education, but a new body of research is highlighting how the complex interactions between cities, their surrounding rural areas, and structural transformation can make or break cities as engines of prosperity.  

“Poverty reduction is almost universally accompanied by a transition of the workforce from agriculture into higher-productivity jobs in the manufacturing and service sectors,” said Francisco Ferreira, Acting Director of Research at the World Bank. “Urbanization plays a central role in this process, but getting this right requires an understanding of how cities are shaped by investments in infrastructure as well as human capital.”  

At a recent Policy Research Talk, World Bank Senior Economist Forhad Shilpi shared insights into how to manage this process based on more than a decade’s worth of research spanning many of the world’s poorest countries. According to Shilpi, all cities share certain common features: higher population density, a predominance of non-agricultural activities, a high degree of labor specialization, and a diverse set of economic activities.

But history demonstrates that the underlying economic structure of cities can vary significantly.  Prior to the industrial revolution, cities like ancient Rome grew through concentrated trade and services. The growth of manufacturing in the 19th century produced the modern industrial town, exemplified by Manchester. More recently, knowledge-intensive industries have helped shape post-industrial cities like San Francisco.

According to research by Shilpi and her colleagues, cities in many developing countries still bear a greater resemblance to ancient Rome than to Manchester or San Francisco. In Nepal, for instance, Shilpi found that the size of manufacturing firms in cities was on average no larger than in rural areas and these firms employed no more skilled managerial workers than those in rural areas. Both of these characteristics point to an absence of the kind of high-productivity jobs that are associated with economic specialization.

Worryingly, this pattern applies more generally for cities across South Asia and to an even greater degree for many cities in Africa. According to a widely-cited study published in 2000, African countries are prone to urbanization without economic growth. More recent research has found that African cities are relatively closed to the world, with only half of economic activity taking place in sectors that produce tradable goods and services. Some cities have even been described as consumption cities that live off the proceeds of resource exports rather than more dynamic manufacturing and services sectors.

Despite this depressing portrait, Shilpi still offered her audience cause for optimism. In 1999, Shilpi’s native country of Bangladesh opened the World Bank-supported Jamuna Bridge, which crosses the Jamuna River and connects the rural and poorer northwest part of Bangladesh to the rest of the country. The nearly 5-kilometer bridge brought about a dramatic reduction in trade costs with travel time cut by at least four hours and freight costs reduced by 50 percent.

According to Shilpi and colleagues’ research, the greater integration of the northwest with the rest of Bangladesh following the opening of the Jamuna bridge transformed both rural and urban areas. In the northwest, population density increased and rice yields rose significantly. Manufacturing moved to urban areas, while the agricultural and services sectors generated more employment in rural areas. 

“In 1974, Bangladesh suffered a devastating famine. The northwest region was hardest hit,” said Shilpi. “But by 2010, that region had become the breadbasket of the country.”

Additional research on trade costs in Burkina Faso and Mali confirms a broader point: bringing down trade costs through smart investment in infrastructure can allow rural and urban areas to specialize in the sectors for which they are best suited, with benefits for both rural and urban populations.

Another key element that connects cities to their surrounding areas is internal migration. Cities are almost always the destination of choice for internal migrants, but a study by Shilpi and her colleagues of migration in South Africa suggests that the decision about which city to migrate to is far from arbitrary. The study found that unskilled migrants were more concerned with levels of unemployment across cities, while skilled workers were driven more by wage differences.

The results point to the role that migration can play as an engine for equality between regions—those without jobs move to where the jobs are, while those seeking higher wages move to where wages are higher.

For individual cities, this presents a challenge, since efforts to create new jobs will only have a partial impact on their own unemployment rate. Migration can also further exacerbate inequality within a city, as unskilled job seekers find themselves concentrated in areas lacking basic amenities like electricity that the wealthier residents can afford. Shilpi highlighted the positive role that targeted policies—especially education initiatives targeted to poor areas—can play in helping manage these challenges.

Managing cities not as islands, but as parts of an integrated whole, may serve as one of the most effective methods for building a world without poverty.

World Bank

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Urban Development

Smart housing prototype shows promise in rapidly urbanizing Africa

MD Staff

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photo: UN Environment

Africa is urbanizing fast, as its population grows and many flocks to cities in search of jobs, education and healthcare.

Studies show that hundreds of millions more Africans will live in cities over the next three decades.

Many of these new urban Africans, however, are likely to end up in informal settlements. Already an estimated 200 million Africans live in informal settlements—often without access to energy and sanitation.

The growing class of urban poor need access to decent housing. But the challenge is that the global housing sector already emits almost a third of global greenhouse gas emissions and uses up to 40 per cent of the planet’s total resources. New approaches are clearly needed.

As the housing sector grows—and it must grow if we want an equitable world—we need to reduce its environmental impact, not raise it,” said UN Environment Acting Executive Director, Joyce Msuya. “Smart design is the only way to meet our housing needs and stay within planetary boundaries.”

UN Environment, UN Habitat, the Yale Center for Ecosystems in Architecture and associated partners are working on these designs, one of which is on display at the UN Environment headquarters in Nairobi, Kenya.

First unveiled at the fourth United Nations Environment Assembly, the 3D-printed modular structure, made from biodegradable bamboo, aims to spark ideas and debate on how future biomaterial processes can help meet the Sustainable Development Goals, Habitat III New Urban Agenda and Paris Agreement.

The pavilion shows how post-agricultural waste—like bamboo, coconut, rice, soy and corn—can be turned into construction materials. It demonstrates solar energy and water systems that make homes self-sufficient and zero carbon. It highlights how micro-farming can be achieved with plant walls. All these features, and more, are integrated, monitored and managed by sensors and digital controls.

“As urbanization gallops forward, people around the world are tired of seeing precious natural habitats paved over with toxic, energy-intensive materials such as concrete and steel,” said Anna Dyson, Director of the Center for Ecosystems in Architecture at Yale University. “In the 21st century, global construction practices must innovate towards nature-based solutions for future cities. Our research consortium with East African collaborators is devoted to advancing state-of-the-art locally produced building systems.”

It is fitting that the pavilion is based in Kenya, as the government there has prioritized affordable housing as a key pillar of its Big Four Agenda, which aims to make the East African nation an upper middle-income country by 2030. Over the next five years, the government plans to build over 500,000 affordable houses across the country to meet the ever-growing housing demand.

To achieve the low-cost housing agenda, however, the industry needs to embrace technological changes that will result in the use of innovative sustainable construction, the aggregate effect of which would be to lower the embodied energy and average cost of manufacturing and housing. “Architecture must address the global housing challenge by integrating critically needed scientific and technical advances in energy, water, and material systems while remaining sensitive to the cultural and aesthetic aspirations of different regions,” said Deborah Berke, Dean of the Yale School of Architecture.

The pavilion serves as a starting point for those in government and industry to think about what they can do better. It is part of a series of demonstration buildings, which started with a 22-square-meter “Ecological Living Module”, powered by renewable energy and designed to minimize the use of resources such as water. This module was displayed at the United Nations High-level Political Forum on Sustainable Development in 2018.

UN Environment

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Urban Development

First ever Cities Summit calls for integrated approach to urban infrastructure

MD Staff

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While Member States were adopting a resolution on sustainable infrastructure at the UN Environment Assembly, the Cities Summit reinforced the importance of local action and the need for an integrated approach to urban infrastructure.

Already 60 per cent of waste and three quarters of resource use and greenhouse gas emissions come from cities, making them great places to tackle sustainable consumption and production. But preserving the well-being of an increasingly urban population, many of whom still lack access to affordable and adequate housing and basic services, is just as important as we seek to achieve the sustainable development goals.

An integrated approach to urban infrastructure can help do both.

In the São Paulo neighbourhood of Jardim Helian, around 14,000 people live in an informal settlement, where the unplanned nature of the area has led to obvious problems.

“One of the issues is when houses invade the river’s territory, leading to forced channelling [which causes floods during the rainy season],” said local resident Mohammed. “Another is that sewage is thrown directly into the creek.”

The Sustainable Cities Programme and UN Environment is helping create an integrated “neighbourhood approach”, which addresses multiple environmental issues by bringing locals together with government and including their concerns in city planning. Lifestyles are already becoming more sustainable there thanks to the intervention.

According to the International Resource Panel Report Weight of Cities, optimizing systems and creating cross-sector synergies between buildings, mobility, energy and urban design can reduce greenhouse gas emissions and resource use by up to 55 per cent.

“Close to 70 per cent of the urban infrastructure that we will see in 2050 is yet to be built,” said Joyce Msuya, Acting Executive Director of UN Environment, at the summit. It is a huge opportunity to solve different for our cities and future-proof investments.”

UN-Habitat head Maimunah Mohd Sharif, who opened the summit alongside Msuya, concurred, saying that cities are where “the most-severe challenges arising from human-made climate change will have to be confronted”.

Solutions are everywhere

Many solutions exist, such as smart supermarkets and district energy systems, which allow wider systems integration. The retail chain Aktiv & Irma in Germany, for example, has installed an integrated system that links refrigeration, lighting, heat, ventilation and air conditioning. This optimizes power use and cuts 20 per cent off energy costs.

“Remember whenever you hold your hand behind the fridge, it is warm. And today, most supermarkets don’t use this heat,” said Ziad Al Bawaliz, Danfoss Chief Executive Officer, Turkey, Middle East and Africa. “By using waste heat from all the supermarkets in just Europe, we could replace 10 coal power plants.”

With a district energy system—a network of underground pipes that heat or cool multiple buildings—waste heat can even be stored. This includes heat from data centres, industry and metro systems, as seen in countries like Japan, Korea or Chile.

But integration is also needed at different levels, from vertical governance to horizontal, cross-sectoral planning, policy, and finance.

“A sustainable city needs sustainable infrastructure and an integrated, holistic and circular approach to sustainability challenges,” said Tserenbat Namsrai, Mongolia’s Minister of Environment and Tourism, who backed the resolution on creating sustainable infrastructure.   

The Cities Summit showed that visionary local governments, companies and communities are developing solutions that link systems like transport, energy, housing, water and waste. Some cities have set high climate and/or circularity targets.

Osaka, Japan is including energy policy and climate change measures within urban development planning to enable integrated solutions. Dakar, Senegal emphasized the need for good data to undertake holistic planning, while and Buenos Aires and the Ministry of Environment in Argentina demonstrated how multiple levels of government can jointly address the sustainable management of land, transport, and energy.

A new initiative on infrastructure

Integration of partners is just as important, which is why leading companies—including ENGIE, Siemens, JCI and Danfoss—said at the Summit that they would join forces with the UN Environment on a new public-private partnership to promote and implement urban system integration

“The technology is there, finance is there, but we need capacity, said Michael Schack, Director of Networks and Cogeneration ay ENGIE. “Only the UN can address this gap. And we, as the private sector, stand ready to launch a new partnership with UN Environment.”

The new UN Environment Urban Systems Integration programme will help local and national governments accelerate their transitions to circular and low-carbon economies, enhance efficiency, and reduce cities’ resource demands while improving health and well-being. Country participants, including Korea, Poland and Germany, also expressed support for such a partnership.

“Our specialty is to integrate things in Korea and we stand ready to assist any city and country to fast track to integration,” said Benjamin Yoon of the Korean District Heating Corp and a member of Korea’s delegation to the UN Environment Assembly.

The initiative aims to support cities in developing integrated approaches to cross-sectoral infrastructure planning and policies and in implementing key technologies that can facilitate connections and interactions across buildings, energy, transportation, wastewater treatment and waste management.

As United Nations Secretary-General’s Special Envoy for the 2019 Climate Summit Luis Alfonso de Abla, said in the closing panel, “we need concrete, bold and ambitious climate actions”.

The commitment by UN Environment and partners to accelerate integrated urban infrastructure is undoubtedly one such action.

UN Environment

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