VD - Villes Durables 

Approche Economique Territoriale Intégrée pour le Climat – AETIC

An economic approach for the development of local climate policies

Cities are relevant stakeholders for the success of national ambitious climate policies using levers of action such as urban planning, transport, use of local energy resources. In order to ensure economic efficiency, a rigorous approach has to be impleted to acheive these ambitious goals. The AETIC project responds to this problematic with an original methodology applied here to the Grenoble agglomeration but potentially generalisable.<br />

Taking into account the dimension of cost-effectiveness in local climate policies

«Climate Policy in Member States of the European Union relies on a massive reduction of greenhouse gases emissions by 2050. This ambitious goal requires mobilizing all reduction options available, including the local level where there are very important potentials that are not directly accessible by national policies. Analysis and modelling tools exist at the national and international level to develop effective climate policies, but nothing is available to provide such an analysis on a local scale. <br /><br />The AETIC project defines and implements a new methodology for the construction of local climate policies. This methodology should allow identifying and prioritizing cost-efficient mitigation programs. The goal is to make more and more ambitious climate policies sustainable in the long term, by introducing the criterion of economic efficiency in the choice of mitigation options. The case studied is the Grenoble agglomeration which has been engaged for several years in a climate plan reflecting a strong motivation on these issues<br />«<br />

«The approach adopted in AETIC reproduces the one often used at the national or international level (Marginal Abatement Cost Curves - MACC). The definition of a cost-efficient strategy involves analysis of the key potential mitigation options in the sectors of building, transport, and local energy systems. Prioritizing actions and the creation of an ««order of merit«« allow comparing results and costs of different mitigation actions within the same sector but also between the different sectors.

The analysis based on marginal abatement cost curves (MACCs) is associated upstream to an approach using scenarios, more particularly concerning the evolution of land use et transport system. The three scenarios considered provide consistent images for the future of the Grenoble agglomeration with contrasted choices regarding the evolution of the urban form:
- Urban densification (concentration)
- Multipolar reinforcement
- Urban sprawl (expansion)
«

According to the results of the project, the abatement potential identified for the Grenoble agglomeration until 2030 would allow reaching a reduction target in the order of 50% compared to 2010 emissions. This corresponds to a quantity of 700 kt CO2 of emissions reduction. The main abatement potential is in the building sector, particularly, in the existing buildings heated with fuel or natural gas. In this part of the building stock, the abatement costs for thermal rehabilitation or energy substitution are below 200 €/t. In the district heating sector also, the fuel switching to biomass presents favourable costs. The issue of marginal costs is more complex in the transport sector in particular because of multiple externalities. Most options present higher abatement costs except car pooling which is both very effective and highly uncertain. The impact of urban form is only noticeable in the transport sector, but it remains relatively limited because the urban growth margins are limited given the boundaries of the agglomeration and time horizon considered.

The project confirms that the approach based on the construction of marginal abatement cost curves is relevant for the development of cost-effective local climate policies and that it can be applied by other local authorities. The representation of the land-use and transport system for the agglomeration of Grenoble is the first successful application of the TRANUS model in France. Among the different research opportunities, the development of an integrated land-use and transport, energy, climate model simulating the the urban system including technological systems and interactions between sectors seems to be promising. New cooperations have been initiated in that sense in order to improve the TRANUS model (CITIES project or ECONOR) or to explore the option of land-use, transport and energy (IDDRI, INRIA, LEPII-EDDEN) integrated modeling.

Several publications or communications present the approach and results of the AETIC project, in particular, Criqui P., et alii, 2013, «Urban modelaing and climate policy: cost effective strategies and public decision « to the symposium Modélisation Urbaine, to be published in «La revue du CGDD« or H.Joumni, 2011, «The Aetic Project : a territorial cost effectiveness methodology to reduce greenhouse gases«,  IRD symposium Changements Climatiques et protection des ressources,   Meknès, Maroc. The AETIC projet has also been presented at various scientific (symposium Urban Futures, Paris Est 2013) or professional events (Assises nationales de l'énergie, Grenoble, 2011 et 2013) and it will be presented also to the Ecocity World Summit in Nantes in september 2013.

A growing number of local authorities have the strong will to take concrete steps to tackle climate change by the implementation of local climate plans. Originally of an indicative nature, these plans are becoming more stringent in phase with the progressively more ambitious national and European targets. Their elaboration therefore increasingly requires studies that use a sound and rigorous economic approach. The scientific ambition of the project ?Integrated Territorial Economic Approach for Climate’ (AETIC in French) is to establish the basis of a generic, exhaustive and rigorous methodology for implementing cost effective climate and energy policies at the scale of urban territories. This methodology will be applied to the Grenoble Community of agglomeration and will lead to the analysis of its Local Climate Plan. The approach adopted in this project aims to identify, quantify and analyse in economic terms the whole set of GHG emission reduction options for an agglomeration in the three following major sectors: - The transport sector in connection with ?land-use’ and urban dynamic issues and the development of large scale infrastructure projects. - The building sector and the issues of thermal rehabilitation of the existing building stock. - The production and distribution sector of local and/or renewable energy. Consequently, the different abatement options identified will be organised by merit order according to their potentials and costs (through sets of Marginal Abatement Cost curves) so as to build an economically efficient GHG abatement program. In this study, the definition from the outset of two contrasted and systemic transport/land use scenarios will structure the choice and the possibility of implementing emission abatement options in the building and energy sectors. This articulation reflects the taking into account of the systemic and incremental dimensions of policies and technology implementation in the prospect of sustainable urban development. The project is developed for the agglomeration of Grenoble but one of its objectives is to test generic methodologies for the establishment of Local Climate Plans that are applicable to other cities.

Project coordination

The author of this summary is the project coordinator, who is responsible for the content of this summary. The ANR declines any responsibility as for its contents.

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