Energy optimization in cities

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1 Lisbon, 4th July 2014 La Fabrique de la cite International seminar Energy optimisation : the example of Munich Energy optimization in cities CEO Siemens Portugal siemens.com/answers

2 Let s design the city A Is it time to think about the city? P.2 B Siemens approach & solutions for smart sustainable cities P.7 C Focus : Virtual power plant, Munich P.12 D The Climate Leadership Awards P.14 E Focus : 100 % Green energy, Munich P.18 F The Importance of Urban Infrastructure P.22 Page 2

3 We at Siemens are convinced that energy efficient and CO2 neutral cities can soon be a reality, and similarly, that Siemens will be able to make a decisive contribution towards this goal. Page 3

4 A Is it time to think about the city? P.2 B Siemens approach & solutions for smart sustainable cities P.7 C Focus : Virtual power plant, Munich P.12 D The Climate Leadership Awards P.14 E Focus : 100 % Green energy, Munich P.18 F The Importance of Urban Infrastructure P.22 Page 4

5 Our approach and solutions Page 5

6 Intelligent buildings: setting a new standard of smart for the future Taipei 101, Taiwan O Hare Airport, Chicago In Taiwan, Siemens automation and control technology ensures that the world s tallest (101 floors and five basement levels) certified LEED (Leadership in Energy and Environmental Design) building, Taipei 101, has a 30 percent lower energy consumption than comparable buildings, resulting in annual savings of $700,000 in energy costs, 10 % in water consumption and electric power consumption and a nearly 3,000 t reduction in annual CO2 emissions. In Chicago s O Hare Airport, one of the world s busiest airports, the Siemens Desigo CC system integrates 40,000 data points to achieve seamless operations from fire protection and extinguishing to video surveillance. Desigo CC keeps the airport running smoothly and safely while also providing the utmost in comfort to passengers., Page 6

7 Smart grids rethinking power for the better Virtual power plant, Munich Self-healing grid, Randstad In Munich a virtual power plant (VPP) from Siemens enables Germany s largest utility company, SWM (Stadtwerke München ), to create and monitor a dispatch plan based on weather forecasts, current electricity prices, and energy demand. The VPP ensures reliable and cost-effective operation as well as the integration of renewable energy sources. Decentralized power integration solutions like this are helping cities transition to a sustainable energy future. Working with the Dutch grid operator Stedin, Siemens developed a self-healing network solution to solve network system failures in the region s underground cable grid. Primary substations automatically manage fault location, isolation, and restoration. The regional control unit communicates via a GPRS network with local control units that execute switching operations. The results are a significantly reduced number of power outages and customer power re-supply in less than one minute in the event of an outage. Page 7

8 A Is it time to think about the city? P.2 B Siemens approach & solutions for smart sustainable cities P.7 C Focus : Virtual power plant, Munich P.12 D The Climate Leadership Awards P.14 E Focus : 100 % Green energy, Munich P.18 F The Importance of Urban Infrastructure P.22 Page 8

9 The C40 & Siemens City Climate Leadership Awards provides global recognition to cities that are demonstrating climate action leadership The City Climate Leadership Awards applications are evaluated by using the following criteria: Expected or achieved level of success with environmental targets post-implementation of the project or initiative. Innovation: The extent to which the initiative or project takes an entirely new or ground-breaking approach to address major environmental issues. Qualities of the overall masterplan, project or initiative that have contributed to its success: This criterion covers the prioritization of a project, as well as its implementation and comprehensiveness. Demonstration of good leadership and governance of the city in the terms of mobilizing relevant stakeholders, citizen engagement and buy-in. Effectiveness: Ratio between provided financial resources and current or expected project achievements. Replicability and scalability: The ability of the initiative or project to inspire others, or the potential ease of implementation in other cities and other regions. Page 9

10 Awards categories Urban Transportation Solid Waste Management Finance & Economic Development Carbon Measurement & Planning Carbon Measurement & Planning Bogota San Fransisco Tokyo Copenhagen Rio de Janeiro Transmilenio & E-taxis Zero waste City cap-&-trade scheme CPH 225 Climate Plan Morar carioca Green Energy Adaptation & Resilience Energy Efficient Built Environment Air Quality Intelligent City Infrastructure Munich 100 % Green Energy New York A stronger more resilient NY Melbourne Sustainable Buildings Mexico Pro Air Singapore Intelligent transport system Page 10

11 Munich won the Green Energy category at the 2013 C40 & Siemens Climate leadership Awards Germany has Europe s largest economy and the fifth largest economy in the world, with GDP per capita of $46,625 in City Population Statistics M 1.5 M 1.6 M 1.65 M Germany is considered a medium risk country in the Climate Change Vulnerability Index, ranked 133rd overall. Around 16% of electricity generation capacity in Germany is from renewable energy sources. The most severe environmental problems in Munich are caused by traffic. In Bavaria, renewable energies account for 8% of total energy consumption, almost double that of Germany as a whole (4.6%). Nearly 60% of Germany s hydropower is generated in Bavaria Sources of CO2 (eq.) emissions Residential: 51% Transport: 28% Municipal Energy Use: 2%. Commercial: 43% CO2 (eq.) emissions Annual CO 2 (eq.) emissions: 7 tons per capita Emissions reduction targets : 25% reduction of CO2 emissions by 2020, 50 % reduction by 2030 Page 11

12 A Is it time to think about the city? P.2 B Siemens approach & solutions for smart sustainable cities P.7 C Focus : Virtual power plant, Munich P.12 D The Climate Leadership Awards P.14 E Focus : 100 % Green energy, Munich P.18 F The Importance of Urban Infrastructure P.22 Page 12

13 Focus : 100 % Green energy, Munich Challenges Munich : Third largest city in Germany and one of the country s most important economic hubs Cooperation with Stadtwerke Munchen (SMW) (city owned utility company) Production of the entire energy needs (7.5 billion kwh per year) from green resources by 2025 Actions 2008 : Renewable Energies Expansion campaign (9 ) -> Munich 100 % renewable energy goal (Cost efficient projects) Acquirement of several wind power plants ( satisfaction of Munich households needs) 2015 : 80 % of green electricity will be generated by SWM s own wind parks Virtual power plant ( network of several small-scale energy plants that are pooled and operated like a single system) better planification and forecast Projected outcomes Generation of 2.8 billion kwh (37% of Munich s power consumption) from SMW own plants Projects aiming waste reduction and optimization of the energy infrastructure Munich will be the first city in the world with over a million inhabitants to be 100 % green energy production Page 13

14 Wind power a key point to achieve the 100 % green energy target Wind power Goal of 100% renewable energy supply by % of renewable energy production in Germany is from wind power : over 80% of Munich s green electricity will be generated by SWM s wind parks SWM purchased an onshore wind park in the Lorraine region, which has capacity for 10 MW and generates around 20 million kwh of green electricity per year. In Europe, SWM s 33% stake in the electricity distribution network operator wpd Europe provides greater opportunities to generate renewable energy. Offshore projects : In cooperation with Siemens, SWM will complete the construction of the Liverpool Bay offshore wind park (160 wind power plants). Page 14

15 Benefit from the Munich location to produce more hydro power Hydro power Munich currently has 13 hydro-electric power plants, with a capacity of 11 MW per year (27,000 households in Munich with electricity ) Hydropower plants in Munich benefit from the city s location near the river Isar. SWM plans to open two additional hydro power plants in Greater Munich in the coming year (2.6 million kwh of renewable energy / 1,000 households with electricity and prevent the emissions of 4,500 tons of CO2 ). Page 15

16 A Is it time to think about the city? P.2 B Siemens approach & solutions for smart sustainable cities P.7 C Focus : Virtual power plant, Munich P.12 D The Climate Leadership Awards P.14 E Focus : 100 % Green energy, Munich P.18 F The Importance of Urban Infrastructure P.22 Page 16

17 The Importance of Urban Infrastructure Five cities delivering infrastructure value Delivering effective, efficient and sustainable urban infrastructure is essential for cities, providing a foundation from which economic success and prosperity can grow Cities: Delhi, Singapore, Chattanooga, London, Medellin Page 17

18 Delhi, India Metro 400km of track planned, compared to London Underground s 402km, New York Subway s 373km % of the project s financing came from commercial property development around the new stations. 1990s: Local government in Delhi decide to build a metro system. 1998: Construction began. 2021: Expected completion. Page 18

19 Singapore, Singapore Water System Pop. in 1965: 1.9 million. Pop. in 2012: 5.3 million. Singapore s water system has undergone a similarly dramatic step change in order to support this growth. Around 70% of Singapore s land mass is used for rain catchment, with a target of 90% in future. Water is also sourced by sea water desalination, water recycling, and import from Malaysia. Only 5% of water in Singapore is unaccounted for - one of the world s lowest rates of lost water. Page 19

20 Chattanooga, US Smart Grid Investment in a smart grid created a self-healing network, capable of reducing power outages by 40%. 77,000 homes were left without power in July 2011 after Chattanooga was hit by a series of tornadoes. 50% of those had power restored in two seconds. Presmart grid, this would have taken around 17 hours. The city s smart grid saved $1.4 million in restoration costs during one storm alone. Page 20

21 London, UK Crossrail 15bn investment in new cross-london train line, wider economic benefits estimated at 40bn 24 trains per hour, 1,500 passengers per train. 21km of new tunnels under central London, 9 new stations constructed. Page 21

22 Medellin, Colombia Cable Car Metro Cable Line K is 2km long and opened in A trip that previously took up to 2 hours by road now takes 7 minutes by cable car. The cable car has connected communities, contributing to a reduction in violent crime, which is down by 80%. The cable car s financial model is based on both revenue and carbon trading, with savings of nearly 20,000 tonnes of CO2 per year.. Page 22

23 Intelligent infrastructure Further growth for decades to come 4 stages of infrastructure development "Brick&steel" infrastructure Road and railtracks Commercial buildings Electrification islands 1.0 (Semi-) automated infrastructure Electric railways and basic rail automation Modern standard buildings Mono-directional power grids Intelligent infrastructure Driverless trains Fully automated buildings Smart grids managing loads, storage and generation Fully integrated, intelligent infrastructure Integrated real-time optimization and incident handling across all infrastructure domains Efficiency and reliability/capacity and flexibility/resilience and adjustability Page 23

24 Thank you Page 24 Siemens SAS All rights reserved

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