CONTENTS 4 URBACT II CApITAlIsATIon: leARnIng fRom CITIes’ expeRIenCe 5 JoB geneRATIon foR A JoBless geneRATIon by Mike Campbell and Alison Partridge with Ana Suárez Lena, Béla Kézy and Simona Monica Pascariu 13 CReATIng The CondITIons foR sUCCessfUl envIRonmenTAl InTeRvenTIons by Darinka Czischke and Nils Scheffler 21 soCIAl InnovATIon: whAT’s BehInd The CITy sCene? by François Jégou and Marcelline Bonneau 27 CApTURIng eConomIC oppoRTUnITIes: how CAn CITIes CARve oUT new gRowTh pAThs? by Willem van Winden and Luís de Carvalho Editorial Advisory Group: Eddy Adams Melody Houk Sally Kneeshaw Jenny Koutsomarkou Emmanuel Moulin Peter Ramsden Ivan Tosics Cover illustration: Gail Gosschalk- www.lapetitegail.com Layout and printing: bialec, nancy (France) Dépôt légal n° 83861 - Septembre 2014 Photo credits: www.dreamstime.com unless mentioned differently in the text Copyright © 2014 URBACT II programme EDITORIAL W elcome to the fifth and last edition of the URBACT II Tribune! With this edition, we present the first findings related to four current urban challenges as identified by URBACT cities and Member States of the URBACT Monitoring Committee. These Tribune articles are part of a bigger initiative set by the Programme for 2014- 2015 with the objective to capitalise urban knowledge and practices about: X new urban economies X what cities can do to grow jobs for young people X social innovation in cities X sustainable regeneration in urban areas These topics are being explored by four URBACT working groups (workstreams) composed of multidisciplinary stakeholders across Europe, such as urban practitioners and experts from URBACT, representatives from European universities, European Programmes (INTERACT, INTERREG IVC, ESPON) and projects, international organisations like OECD, Energy Cities, CECODHAS, Nesta, and many others. Altogether under the URBACT auspices, they aim to bring forward good city practices coming from URBACT and beyond, and increase the knowledge and capacity of urban stakeholders and policy-makers through a series of activities and outputs. This capitalisation exercise shall bring to an end seven years of work, challenges and achievements and will be part of the legacy left by the URBACT II programme for the future. Looking forward, URBACT II will soon leave room to the new URBACT III programme which will be managed by France through the General Commission for Territorial Equality (Commissariat Général à l’Egalité des Territoires – CGET1), also in charge of coordinating European funds for 2014-2020. With a budget increase of approximately 40%, URBACT III has a clear command not only to continue but to carry out new activities in order to allow cities to develop integrated strategies in a participatory way and to contribute to the targets set by the EU2020 strategy and the Cohesion Policy. To do so, URBACT III shall operate around three main pillars related to: X transnational exchanges among cities (central activity); X capacity-building for urban practitioners, local elected officials and stakeholders, through national training schemes, summer universities, workshops; X capitalisation and communication of knowledge and good practices for local, regional, national and EU policy-makers, through studies, thematic working groups, conferences, workshops, National URBACT Points and a new interactive website. What follows in the next pages is just a taste of what is yet to come in some months and years. This transition period for Europe and URBACT brings along the promise for new opportunities and a better future for our cities and fellow citizens. Stay connected and take part! Raphaël LE MEHAUTÉ Director for Cities and Urban Cohesion and Deputy General Commissioner for Territorial Equality (France), Managing Authority of the URBACT Programme 1. http://www.cget.gouv.fr/ 4 URBACT II CAPITALISATION leARnIng fRom CITIes’ expeRIenCe F ollowing the success of previous capitalisation activities, the URBACT programme has set up four workstreams (working groups) for 2014-2015 on: X X X X New urban economies Job Generation: what cities can do to grow jobs for young people Social innovation in cities Sustainable regeneration of urban areas …to bring forward good urban practices and increase the knowledge and capacity of urban policy-makers, experts, elected officials and Mayors in cities across Europe! How? URBACT workstreams build on the contribution of people from URBACT and beyond, in a participative way, through a constant open dialogue, meetings and debates between “doers” (urban practitioners) and “thinkers” (experts). Each workstream is led by a coordinator in charge of steering the work, outputs and activities. Together with the workstream core group members they frame the scope and content, co-produce outputs and activities. During the process, they share and take on board inputs from external witnesses from URBACT cities and networks, universities, NGOs (i.e.Bioregional), European Territorial Cooperation programmes (ESPON, INTERACT, INTERREG IVC), European institutions and international organisations (European Commission,CEMR, Energy cities, ICLEI, OECD LEED, CECODHAS, Young Foundation, DESIS, European Development Agency, NESTA and many others). What to expect? ● ● ● ● ● ● ● ● This URBACT Tribune State of the Art (October 2014) Launch event of workstream activities in Brussels on 8 October 2014 Detailed city cases (November 2014) Final reports (May 2015) Videos (May 2015) Final URBACT II event (Riga 6-8 May 2015) External events, conferences and workshops Take part and follow us on: www.urbact.eu @URBACT and #NewEcons for New Urban Economies #YouthInJobs for Job Generation #SocInn for Social Innovation in Cities # SustRegen for Sustainable Regeneration of Urban Areas 5 JOB GENERATION FOR A JOBLESS GENERATION whAT CAn yoUR CITy do To gRow JoBs foR yoUng people? By mIke CAmpBell And AlIson pARTRIdge WITH ANA SUÁREZ LENA, BÉLA KÉZY AND SIMONA MONICA PASCARIU Europe is facing a huge youth employment challenge. A recovery seems to be in progress, but it is an uneven one. What can your city do – the city practitioners, elected officials and key stakeholders – to grow jobs for young people? This is the central question to be explored in this article, drawing on the initial findings of URBACT’s “Job Generation” workstream. In particular it focuses on what cities can do – starting from today – to better understand the problem and to better engage employers and young people in this critical debate. What’s the Problem? 70% of Europe’s young people live in cities. For far too many of these young people their lives are blighted by not having a decent job, or not having a job at all. Some numbers 5.6 million young people, aged 15-241, in the 28 countries of the European Union are unemployed. That is nearly 1 in 4 (23%) of all economically active young people and two and a half times the adult unemployment rate. 7.5 million young people are not in education, training or employment (the so called NEETs), more than 1 in 8 (13%) of all young people. “Job generation” makes economic and social sense. Many of those who are in a job could do with a better job. The European Youth Forum2 has found that 42% of all young people in work are on temporary contracts. Many are underemployed (they want to work more hours than they actually do) or their skills are underutilised because they are overqualified for the work they are doing. A “lost generation”? Millions of lives are potentially scarred by lack of opportunity, lack of income and lack of worth, disconnected from the benefits of living in a prosperous part of the world, risking economic and social exclusion throughout life. This is a waste of talent for the economy and a cost for society in terms of public services and spending. Eurofound 3 have estimated that the economic loss alone associated with this waste of young people amounts to €153bn, a sum equivalent to 1.2% of the EU’s total GDP. So, “job generation” makes economic and social sense as well as being beneficial for young people themselves. Cities can turn these costs of young people’s joblessness into benefits by helping to power growth throughout the European Union. More jobs and better jobs for young people means more growth and prosperity. This is surely a prize worth winning. ■■■ 6 Job Generation – the missing piece of the jigsaw The question is, how can cities grow jobs for young people? What can you, a city practitioner or an elected official do – starting today? Much action in cities throughout Europe is devoted to measures to help unemployed young people access the jobs that do exist, moving them from welfare to work largely through “supply side” measures to increase their employability or increase the incentive to work by reducing welfare benefits or making them conditional (so called “active labour market policy”). Focus on the supply side does of course have a place but programmes like the Youth Guarantee4 will stall or fail without more employment or self-employment opportunities. The truth is that there are not enough jobs to go round. Young people cannot all get jobs, decent jobs, sustainable jobs. What is fundamentally required is more and better jobs for them to do. This “demand” side perspective is the focus of our URBACT capitalisation workstream: JOB GENERATION for a Jobless Generation. It is the availability of jobs, how well they match the skills that young people possess, as well The truth is that there are not enough jobs to go round. as the behaviour of both employers and young people, when the former are recruiting and the latter are searching for work, which ultimately determines how many and which young people are employed. It is the key to success. The European Council agreed to establish a Youth Guarantee in April 2013. The guarantee is to ensure that Member States offer ALL young people aged up to 25 either a quality job, continued education, an apprenticeship or a traineeship, within four months of leaving formal education or becoming unemployed. Member States are allocating significant national resources to these schemes and the EU will top-up national spending through the European Social Fund 5 and the €6bn Youth Employment Initiative6. There is much that cities can potentially do to generate jobs. URBACT set out some ideas on what could be done to generate more and better jobs in its 2012 report “More Jobs, Better Cities: A Framework for City Action on Jobs7”. Applying the framework specifically for young people, and reviewing the European level policy and research agenda, leads us to a wide array of potential action as set out in the Job Generation State of the Art report, published in October 2014. This Framework would suggest that a series of actions could be taken on the demand for a city’s goods and services; its economic structure; and its competitiveness. Action is possible too on the quality of jobs, on young people’s mobility and on their skills, especially in relation to changing labour market demands. Sound evidence and effective governance are also important in connecting these actions together and developing a “whole system” approach to youth employment. Figure 1: A Framework for City Action on Jobs (URBACT, 2012) JOBS and the ECONOMY (PRODUCT MARKET) Demand Competitiveness Economic structure PEOPLE (LABOUR MARKET) ECONOMIC GROWTH & DEVELOPMENT LABOUR MARKET MANAGEMENT Quality jobs Labour mobility Skills JoB geneRATIon foR A JoBless geneRATIon This is an enormous agenda and we now wish to focus on “what” should be done and “how” to actually do it. The workstream wants to develop practical ideas, advice and recommendations to support Europe’s cities in their quest to grow jobs for young people. Our core group of experts and practitioners (see below) reviewed our State of the Art findings and prioritised two key areas on which the rest of the work will focus, recognising where URBACT can add most value to existing knowledge: a) Intelligence: A better understanding of the youth employment challenge Without a sound diagnosis, successful treatment is less likely. Intelligence, analysis and evidence are the foundation stones of success. b) Employer engagement: Collaboration in tackling the youth employment challenge It is employers who create jobs. It is employers that hire (or fail to hire) young people, that recruit them to undertake specific jobs that require a skill set determined by those same employers. It is employers who pay the wages, promote the staff or terminate their contracts. Young people themselves are also at the centre of the challenge. It is their skills, their searching, their requirements that come together with employers to decide whether they get a job (or a better job) or not. The workstream Core Group firmly believes that much can be achieved in respect of Intelligence and Employers. Whilst flexibility and the ability to tailor action to individual city needs is important, action on intelligence and engaging local employers can often be undertaken and bring value whatever the local constraints. And in both sets of cases, if the focus is to reform existing practice rather than additional spending; if we treat the process as a journey, a series of steps that can be taken over time, or indeed as an opportunity to innovate and do things differently – rather than doing more things – then progress is indeed possible. Scope for city action We recognise that not all cities, in all countries in the European Union, either have all the resource (because of austerity measures or low levels of revenue), the local assets, or all the powers and responsibilities (because of the centralisation of employment policy) that would enable them to adopt a comprehensive, wide ranging strategy for youth employment. Margins of manoeuvre may also be limited by capacity and capability constraints. Indeed, even where resources, responsibilities and capability allow, this is not an easy or straightforward task. Yet, there are many cities that aim to do so and many that are achieving a great deal in creating opportunities for young people. There are also those who believe that little can be achieved by cities in any case, because the youth employment challenge is so great, so extensive and so large in scale, a “structural issue”, if you like. This is a counsel of despair and an excuse for inaction or failure. It is also not true for two sets of reasons. First, there are opportunities. We are moving from recession to recovery to growth, all be it unevenly and slowly. Jobs are, and will be, created. There are likely to be a net additional 7 million jobs created in the EU in the period to 2020 according to CEDEFOP’s8 forecasts. Indeed, there are likely to be around 80 million job openings as people retire and otherwise leave the labour market. X Second, in any case the scale and intractability of the youth “un” employment challenge is often over/mis-stated. The actual proportion of young people unemployed in the EU is not the 23% often referred to, nor is it 53% in Spain – these are the unemployment rates amongst economically active young people (many are in full time education and not economically active). The true proportion of young people in the EU who are unemployed (the so called “youth unemployment ratio”) is 9% and the figure for X Spain is 20%. A severe problem but not as intractably large as sometimes articulated. Furthermore, in some countries and in some cities in the EU, the youth unemployment ratio is much lower e.g. 6% in Belgium, the Czech Republic and the Netherlands and just 5% in Austria and 4% in Germany. So, high youth unemployment is not inevitable. It can be defeated. “Job Generation” is possible. Can cities make a difference? URBACT believes they can! So, what can cities do and how can your city do it? We have promoted two key areas on which the remainder of our work will focus: building better intelligence to achieve greater understanding of the youth employment challenge, and creating stronger employer engagement, including with young people themselves. Intelligence: A better understanding of the youth challenge Cities really need to first of all get to grips with understanding more precisely and specifically the youth employment challenge itself in their particular city. So, start with a stocktake. Then this can be checked against what cities need to know if they are to devise effective actions and attempt to fill the gap between the two. They need to know about both jobs, the demand side, and the characteristics of the young unemployed. For example: What jobs do young people currently work in? X What jobs are being created, which sectors and occupations are they in? Where are they? X What skills and qualifications are employers looking for? X Cities need, above all, to “engage” with employers, those who do or could recruit more young people into jobs. As a minimum we should find out about their needs, their . In many localities employers will have vacancies they find hard to fill whilst at the same time young people are unemployed. These skills mismatches can be identified and tackled. ■■■ 7 8 X Who are the unemployed young people? Are they low skilled, are they graduates? X How do their skills “match” with the skills that employers, the economy and wider society needs (now and in the future)? Much can be done with limited resources here. Existing information from multiple sources can be pooled and analysed and employers can be surveyed to identify their needs and priorities. The URBACT ESIMeC Skills Forecasting tool and manual 9 gives some hints and tips on how to do this at city level. My Generation at Work10 has also done interesting work on the changing nature (the “hybridisation”) of jobs and skills and the effect this could have on youth employment. But it is not just a question of skills forecasting. More developed action could include: X a regular representative survey of young people; X a focus on the key sub groups of young people; X the establishment of a “permanent” facility with a representative group of employers, the Box 1 – Extract from the ESIMeC Skills Forecasting Manual (Oxford Economics, 2012) Skills forecasting can be an effective way to gain an in-depth picture of the current and future skills needs of employers to assess skills shortages at city level. By providing intelligence and data, it can also be an effective tool to influence policy making and training provision, as well as influencing inward investment and economic growth within cities. Skills forecasting not only involves collecting and analysing data but also requires a dialogue with employers to collect qualitative information that a tool in itself cannot produce. As such, skills forecasting can help establish and develop positive relationships between the municipality and local employers. It shows the municipality is committed to supporting the private sector to fill the skills gap locally which benefits both the local economy and population. local chamber of commerce, inward investors or developers and; X detailed projections and forecasts of employment; horizon scanning and scenario development to examine the changing shape of the labour market. Employer Engagement Cities need, above all, to “engage” with employers, those who do or could recruit more young people into jobs. As a minimum we should find out about their needs, their plans and priorities. In many localities employers will have vacancies they find hard to fill whilst at the same time young people are unemployed. These skills mismatches can be identified (as above) and tackled. Swedbank’s Young Jobs initiative is an interesting example of how one employer is taking the initiative by engaging with young people, cities and public employment services to create the workforce of the future. Box 2 – Young Jobs – Swedbank in Stockholm, Gävle and other cities (Sweden) Swedbank started its Young Jobs programme in 2009 in cooperation with the national public employment office. The initiative is a structured internship programme which offers 90-day positions to young people to help them gain work experience, references and that much needed line on their CV. It is a national programme which is adapted to the local context. The bank’s clients are also encouraged to use the model. One of the main success factors is said to be the “speed meetings” which the bank organises between young people and its clients. This is seen to be the vital first step in breaking down some of the attitudinal barriers and enables the companies and young people to get to know each other. The scheme also contributes to diversity in the workforce and brings a new and fresh perspective to Swedbank’s activity. Some numbers X Over 6,000 internships have taken place. X More than 5,000 of these are with the bank’s clients rather than the bank itself. X 40% of the internships have led to employment. “Those people who do get a job would never have been employed without Young Jobs. They simply would not have made it to interview. We would never have met them and they are great”. Linda Förare, Swedbank moRe InfoRmATIon www.swedbank.com/corporate-sustainability/communityinvolvement/sweden/index.htm Gävle is a partner in the URBACT ESIMeC11 network and Stockholm in the URBACT EVUE12 network What can your city do today? As well as bringing a fresh perspective to business activities, work placements, internships and apprenticeships give employers an opportunity to test potential job candidates in a real work environment and over a significant duration. Employers, young people and cities benefit. Do you have large employers in your city who are interested in the youth employment challenge? What would make them interested? Do they have clients or suppliers who might also be interested? Could the city itself lead by example? Identify your large employers today. Consider what might motivate them to replicate the Young Jobs model. Arrange a meeting between them, the city and the public employment service. 9 Box 3 – Five things businesses can do; Three reasons to do them; One positive outcome, Leeds (UK) Leeds is located in the middle of the UK and has a diverse population of over 750,000. Like so many European cities Leeds has a rich industrial history and suffered with the decline of manufacturing. Now it has a thriving financial and professional services sector and is one of the fastest growing cities in the UK. The city region is a functional economic area, defined by how the city’s businesses operate and how residents live their lives. The “five-three-one” campaign, led by the Local Enterprise Partnership, was born out of desire to stimulate economic growth. It quite simply sets out: Five things businesses can do X Develop a skilled workforce. X Mentor a budding entrepreneur. X Build links with education. X Offer work placements. X Offer an apprenticeship. Three reasons to do them Better business performance. X More productivity and profits. X Businesses are more likely to succeed. X One positive outcome X Our economy grows. Through the Local Enterprise Partnership, businesses are offered hassle free support to take on an apprentice, offer a work placement, mentor a new business, develop the skills of individuals or the workforce and build links with education. The campaign helps to boost local growth. Some numbers X 333 companies have signed up to support the campaign. X Over 35 new apprenticeships have been generated. X At least 10 new businesses have launched. X Over 4,000 volunteering hours have been pledged linking with education. X Economic value of up to €8.75m to the regional economy, delivered on an annual budget of €6,250. Businesses engage for a variety of reasons: investing in skills and training is one of the best ways to improve productivity, reduce recruitment costs and help prepare for the future; Mentoring helps to strengthen company reputation, generate new ideas and build new business relationships. “There is always something you can get out of it – and I don’t think that businesses need to be shy about thinking ‘what’s in this for us?’ If you lead with that then you end up with a much more sustainable action.” Charlie Denham, Sustainability Manager, Premier Farnell (distributor of electronics components and industrial products based in Leeds) moRe InfoRmATIon http://business.leedscityregion.gov.uk/campaigns/fivethreeone/act/ But it is about more. Cities should listen to employers. We can build bridges between the worlds of education and work. We can open a “dialogue” between schools, colleges and universities on the one hand and employers on the other, so we can get a better alignment between labour market requirements and young people’s needs. This is a potential win/win for all concerned. In turn, this could significantly improve information, advice and counselling services for young people and encourage employers to recruit more local young people. The 5-3-1 campaign in Leeds (UK) is a great example of how one city has developed a constructive dialogue with businesses to support economic growth. This example will be the subject of a detailed case study which will be published in 2015 as part of URBACT’s capitalisation work. This dialogue could also be a challenge to employers, to find out what needs to be done to encourage them to recruit more young people, offer apprenticeships, provide work experience and to provide input to the curriculum, especially in vocational training. How can they be encouraged to offer better quality jobs with career progression opportunities, better contracts and higher pay? What might motivate them to use young entrepreneurs as suppliers? More broadly it offers an opportunity to develop their relationship with other key stakeholders in the city – education providers, public authorities and young people themselves. This can help build trust, better mutual understanding and a consensus on action to grow youth employment. It can also help to build relations between employers themselves, encouraging collaborative action and network development (e.g. along sector lines). Leeds is a partner in the URBACT 4D13 Cities network What can your city do today? 5:3:1 makes business sense and is not expensive to deliver. Does your city have a business forum where you could share it? Does it fit within your city strategy? Are there opportunities to replicate this model in your city? Make a call today to arrange an initial discussion. Get employers around a table. ■■■ 10 We should also remember that city administrations themselves are employers and can help directly to exploit the job creation opportunities for young people, as the example of Cadiz in Spain illustrates (see box below). The employer dialogue should be further widened and deepened by involving young people themselves, so creating a “triangle” between them, employers and city stakeholders. This could not only improve mutual understanding but can help to change attitudes, and behaviour, of the three sets of partners in such a way as to get a closer alignment of their respective requirements. It may also “spark” greater innovation in, and commitment to, any actions taken. The establishment, development and sustainability of such partnerships could be a major feature of city action. In Alba Iulia (Romania), the city has extensive plans to maximise the impact of the Youth Guarantee initiative through the establishment of the Active Youth House which will promote such partnership and dialogue in the field of jobs and employment (see box next page). Box 4 – Growing jobs from public projects, Cadiz (Spain) Located in the south of Spain, with a (shrinking) population of around 120,000 Cadiz has one of the highest levels of youth unemployment in the EU with more than half of its young people out of work. One of the projects which has helped both the city economy and its young people in recent years is called Workshop Schools, funded by the Region of Andalucia. Municipalities, not for profit organisations and public bodies are asked to propose public projects which can be used to provide paid on-the-job training and work experience programmes. Most of the projects are in sectors where there is evidence of high demand for skills by employers and the focus is on the sustainable economy. What results is a win-win situation where public projects are developed, jobs are created and young people gain invaluable skills and experience. Some Numbers X Since 2010 at regional level 1,900 jobs have been created (project managers, trainers, support staff etc). X Over 8,000 young people have benefitted of which at least 30% have gone on to sustainable jobs in their host employers. X 58 “workshop schools” were established and projects completed. “Workshop Schools are an alternative for the education in specific specialisations and to connect their participants with the labour market, opening new possibilities to access a job” Manuel Prado, Councillor of Training and Employment, Town Council of San Fernando, Cádiz moRe InfoRmATIon http://www.juntadeandalucia.es/servicioandaluzdeempleo/ web/websae/portal/es/informacion/programasSAE/ programaFomentoEmpleo/ET_CO_TE/?ticket=nocas What can your city do today? Workshop Schools offer a good value option for delivery of public projects and benefit both the employer and the young person. In the same way, public procurement can be used to promote youth employment. Do you know what your city is procuring in the coming 1-3-5 years? Are there opportunities to introduce clauses to encourage suppliers to employ young people or offer work experience placements? Contact your procurement team today to find out. JoB geneRATIon foR A JoBless geneRATIon Box 5 – Alba Iulia, Romania Investing in young people, investing in our future Alba Iulia is a medium-sized Romanian city with a population of 67,000. While some traditional industry remains, there are limited economic opportunities and the tourism sector is seen to offer most potential. Seeking to ensure quality jobs for young people, Alba Iulia has focused its efforts on four main pillars: X promoting sound economic development through urban regeneration and touristic revival of the historic city centre; X increasing the qualifications of young people (needed in the labour market) and supporting immediate youth employment by enterprises; X initiating and facilitating a dialogue between enterprises, university and skilled young people to jointly develop the city; X bringing together the demand and the supply side of the labour market through annual Job fairs for young graduates, coordinated by the University in partnership with the Labour Office Alba and the Commerce of Chamber. One of the two pilot projects of the Youth Guarantee scheme in Romania will be implemented in Alba Iulia (2014-2020). Its main objective is to increase the employability of 2,500 persons aged 16 to 24. One of the flagship initiatives is the Active Youth Regional House Alba which started in July 2014. This will host training courses, and provide professional advice and guidance for young people seeking to start a business. What can your city It will broker 200 apprenticeships with the support of employers and offer a monthly grant to supplement the minimum wage offered by businesses where appropriate. More than 20 do today? programmes and internships for 500 young entrepreneurs are planned offering support with A sizeable amount of money from the development of business plans as well as financial assistance. An online employment national sources, the European platform will be developed to hold information on the labour market, vacancies and training Social Fund (2014-2020) and the opportunities and match these with the needs of young people. European Youth Employment The city believes this is a great opportunity to better engage employers and guarantee young Initiative is ringfenced for the Youth people high quality and sustainable employment or self employment. The integrated Guarantee. Do you know how it will programme is expected to result in 300 young people finding a stable job, as well as the be used in your country, region or creation of at least 100 new businesses. city? Have you considered what cities could do to try and turn it into a jobs moRe InfoRmATIon guarantee? Are employers effectively www.garantiipentrutineri.ro engaged? Why not contact your and www.facebook.com/garantiipentrutineri youth guarantee coordinator15 Alba Iulia is a partner in the URBACT City Logo14 network to find out more. Cities can therefore learn from each other. Interesting, innovative and effective actions can be relevant to other cities. They can be identified and often transferred, albeit in adapted form to suit local circumstances. Ideas are nearly always valuable, if only to challenge existing ways of thinking. Next Steps The bottom line is this. Youth employment is a serious issue in your city. It cannot be ignored. Tackling it effectively is a priority and it brings economic and societal gains. You can do something about it, indeed you can do quite a lot about it, whatever your resource base and room for manoeuvre. Despite differences between cities across the EU, there are many similarities too, in both the youth employment challenge and how it can be addressed. Cities can therefore learn from each other. Interesting, innovative and effective actions can be relevant to other cities. They can be identified and often transferred, albeit in adapted form to suit local circumstances. Ideas are nearly always valuable, if only to challenge existing ways of thinking. Take Cadiz in Spain, for example, where the city is working closely with the region of Andalucia to exploit the job creation opportunities of public projects for young people. This URBACT workstream focuses especially on better understanding the nature of the problem, so as to devise better and more effective actions, and employer engagement, perhaps the key part of city action that is least developed but most needed. It can therefore help in your task. We have already completed our State of the Art document available on www.urbact.eu. We have recently held our first “evidence hearing” in Paris at the OECD. At city level we have piloted a “City Jobs Forum” in Nyíregyháza, Hungary, bringing together employers, young people and city stakeholders to explore the challenges outlined here and come up with potential solutions. We will hold a second hearing in October in Brussels, bringing together our “triangle” of employers, cities and young people at EU level to reflect on key issues and engage in a structured dialogue to identify potential key actions that cities can take to grow jobs for young people. ■■■ 11 12 We will also be holding a series of interviews with a range of people and our core group of experts and practitioners will be meeting to discuss the hearings, interviews and contributing further their own experiences and know how. Such pooling of knowledge and experience will, we hope, lead to the development of practical recommendations on what cities can do, what your city can do, to grow jobs for young people. We also hope that our work will inform the 2014-2020 European Cohesion Policy within the framework of the Europe 2020 Jobs and Growth agenda. Our findings will be launched with a final report at the URBACT II final event in Riga on 6-8 May 2015. In the meantime, do get in touch. Follow us on Twitter, with the hashtag #YouthInJobs and for blogs and other updates go to the URBACT website. • (1) Statistics generally use a definition of 18-24 years old to define “young people”. However, it is important to note that the working definition varies enormously across Europe and often extends to 30 years of age. (2) http://www.youthforum.org/ (3) http://www.eurofound.europa.eu/ (4) http://ec.europa.eu/social/main.jsp?catId=1094& langId=en (5) http://ec.europa.eu/esf/ (6) http://ec.europa.eu/social/ (7) Cities of Tomorrow-Action Today, URBACT II Capitalisation, More Jobs: Better Cities – A Framework for City Action on Jobs (Mike Campbell and Alison Partridge) http://urbact.eu/en/urbact-capitalisation (8) www.cedefop.europa.eu/ (9) http://urbact.eu/uploads/tx_projectsresults documents/Skills_forecasting_manual_01.pdf (10) http://urbact.eu/fileadmin/Projects/My_ Generation_at_Work/documents_media/Enterprising_ relations_to_Work_-_My_Generation_at_Work_-_ 11_2_2014.pdf (11) http://urbact.eu/en/projects/innovation-creativity/ esimec/homepage/ Workstream coordinator: • Alison Partridge, Director Aurora European Services, Lead Expert of the URBACT ESIMeC network Core group members: • Jonathan Barr, OECD LEED Forum • Mike Campbell, Independent Labour Market Expert • Béla Kézy, Thematic expert of the URBACT ROMANET network • Jenna Norman, Intern, Aurora European Services • Ana Suárez Lena, CEEI (European Business and Innovation Centre) in Cadiz (Spain) (12) http://urbact.eu/fr/projects/low-carbon-urbanenvironments/evue/homepage/ (13) http://urbact.eu/fr/projects/innovationcreativity/4d-cities/homepage/ (14) http://urbact.eu/fr/projects/metropolitangovernance/citylogo/homepage/ (15) http://ec.europa.eu/social/main.jsp?catId=1079 or direct link: file:///C:/DOCUME~1/JKOUTS~1/ LOCALS~1/Temp/20140709_YG_coordinators_ list-1.pdf foR moRe InfoRmATIon Follow us on www.urbact.eu and on Twitter @URBACT #YouthInJobs 13 CREATING THE CONDITIONS FOR SUCCESSFUL ENVIRONMENTAL INTERVENTIONS By dARInkA CzIsChke And nIls sCheffleR Against the backdrop of climate change, cities are facing increasing environmental challenges that threaten the quality of life and opportunities that urban environments can offer to their residents. These challenges tend to affect those living in deprived urban areas most acutely due to a variety of factors, such as unhealthy living environments, lack of green areas, derelict/unhealthy residential stock, local authorities with fewer resources to tackle these issues vis-à-vis other priorities, etc. Hence, environmental problems in cities have to be regarded in relation to social challenges. ■■■ 14 T he URBACT workstream “Sustainable regeneration of urban areas” will look at these challenges and the solutions that cities have applied to tackle them through environmental interventions. We will put a particular emphasis on innovative low-carbon and energy efficiency actions. In this article we focus on two key conditions that are necessary to achieve successful environmental regeneration practices, namely: integrating local environmental regeneration actions within wider spatial and administrative structures, and the need for societal and political commitment to achieve a long-term vision for sustainability. In addition, we will look at how these conditions can be created in practice through the example of a specific policy field: food systems and low carbon practices in cities. Integrating local environmental regeneration actions within wider spatial and administrative structures There is a wide range of interventions aiming to deal with the environmental aspects of urban regeneration, such as the minimisation of required inputs of energy, water and food waste, heat, air pollution (CO2, methane, etc.) The integration of different policy tools across spatial and administrative levels (vertical integration) and across policy fields (horizontal integration) can achieve the full potential of sustainable regeneration of urban areas. and water pollution, amongst others. However, it is crucial to consider that only the integration of different policy tools across spatial and administrative levels (vertical integration) and across policy fields (horizontal integration) can achieve the full potential of sustainable regeneration of urban areas. Figure 1 shows different types of environmental interventions that can help achieve sustainable urban regeneration at different administrative/spatial levels. It is important to consider both the potential and the limitations of each level of intervention and its connections with other levels so as to achieve coordination and synergies amongst them. While these types of measures may be technically efficient and achieve results with regards to specific objectives, the integrated sustainability of urban areas requires going beyond piecemeal, exclusively physical approaches. Technical environmental solutions necessitate their integration within institutions and social networks. One way of doing this is through a “footprint” approach to urban regeneration. Simply put, a footprint Figure 1: Fields and types of environmental interventions and level of implementation in urban areas Field Type of intervention Spatial-administrative level Renewable energy sources Region, City Zero or nearly-zero energy buildings. City, Area Methods to reduce the need for cooling City, Area Energy conservation systems/devices City, Area Stronger city-regional food supply chains and agricultural plots within the city Region, City, Area Xeriscaping (garden and landscape design for water conservation) City, Area Green roofs City, Area Sustainable transport Region, City, Area Solutions to limit urban sprawl Region, City, Area Urban Form Optimal range of building densities and typologies to respond to different climatic conditions City, Area Other Sustainable urban drainage systems City, Area Energy Agriculture and urban greening Transport approach gives a relative measure of resource use across different sectors at local level, which is extrapolated to the global level. It then relates global resource use to the ecological limits of the planet. An example of how the footprint approach can be applied to the field of urban regeneration is the One Planet Communities programme developed by BioRegional1. This uses 10 guiding principles (see figure 2 next page) as a framework to help cities examine the sustainability challenges they face and develop appropriate solutions. By applying the principles at the design, construction and long-term management stages of a development it should be possible to create places where it is easy, attractive and affordable for people to live within a fair share of our planet’s resources. The principles of ecological footprinting have been integrated in concrete regeneration initiatives, such as in the case of “Heart of Hackbridge” regeneration (see case box 1 next page). BioRegional developed and led a partnership bid to the Mayor’s Outer London Fund to prepare the suburban local centre of Hackbridge for the challenges it will face over the coming years. The latter include major redevelopment of surrounding brownfield sites, and its new role as a district centre in the retail hierarchy of south London. Technical environmental solutions necessitate their integration within institutions and social networks. One way of doing this is through a “footprint” approach to urban regeneration. This condition requires a change of behaviour underpinned with a coherent set of values. These relate to the second key condition for successful urban environmental interventions, which we will present in the next point. CReATIng The CondITIons foR sUCCessfUl envIRonmenTAl InTeRvenTIons Figure 2: The 10 One Planet principles ZERO CARBON Making buildings more energy efficient and delivering all energy with renewable technologies. ZERO WASTE Reducing waste, reusing where possible, and ultimately sending zero waste to landfill. Case box 1 “Heart of Hackbridge” regeneration – Hackbridge, London Borough of Sutton: Preparing a suburban centre for the impacts and opportunities of major redevelopment Overseen by a local stakeholder Project Board and working across the ten One Planet Living principles (see figure 2), BioRegional delivered a socio-economic regeneration programme including: Local economic development, working with 23 existing local traders to diversify their offer to prepare for the competitive challenges associated with an emerging district centre. X Sustainable business operations, including south London’s first MSC-certified fish & chip shop, a solar-powered coffee van, and a healthier and more family-friendly menu in the local cafe. X SUSTAINABLE TRANSPORT Encouraging low carbon modes of transport to reduce emissions, reducing the need to travel. SUSTAINABLE MATERIALS Using sustainable healthy products, with low embodied energy, sourced locally, made from renewable or waste resources. LOCAL AND SUSTAINABLE FOOD Choosing low impact, local, seasonal and organic diets and reducing food waste. SUSTAINABLE WATER Using water more efficiently in buildings and in the products we buy; tackling local flooding and water course pollution. LAND USE AND WILDLIFE Protecting and restoring biodiversity and natural habitats through appropriate land use and integration into the built environment. CULTURE AND HERITAGE Reviving local identity and wisdom; supporting and participating in the arts. EQUITY AND LOCAL ECONOMY Creating bioregional economies that support fair employment, inclusive communities and international fair trade. HEALTH AND HAPPINESS Encouraging active, sociable, meaningful lives to promote good health and well being. Source: www.oneplanetcommunities.org Community development, including running family events and facilitating a local business network. X This was underpinned with a co-ordinated programme of high-impact low-cost environmental improvements, including: Safer highway layout, narrowing the main carriageways and junction, with new informal pedestrian crossing points. X X Transformation of the street setting, by widening of pavements and installing new trees, seats, cycle facilities, rain-gardens, wayfinding, shopfronts and signage. X Creation of a new “Pocket Park”, providing a positive new entrance to the Beddington Farmlands and emerging Wandle Valley Regional Park. The outcomes of the project will be monitored in Summer 2014, but are expected to include safer roads, greater footfall and greater patronage of local businesses. Already 5 new jobs have been created in local businesses, and two new businesses have started up. Key facts X Project Funder: Mayor of London (OLF) Sutton Council. Project Partners: BioRegional, Sutton Council, Adams & Sutherland, Civic Engineers, Retail Revival. X X Capital / Programme Value: £1.1m / £510k. X Project Inception / Duration: April 2012 / 2 years. Committed citizens, engaged politicians: a vision for the long term environmental aspirations at the centre of these initiatives and to have a long-term political engagement to a green vision for their city. Even the best technical solutions to environmental problems are not enough if institutions and citizens are not committed to behave sustainably in the long term. Thus, the commitment of citizens to environmental values and the engagement of politicians with the latter are crucial aspects to achieve a successful long-term “green” vision in a city or neighbourhood. The cases of Hamburg (Germany) (case box 2) and Växjö (Sweden) (case box 3) illustrate a long term political commitment to put residents and their The city of Hamburg is renowned by its strong commitment to environmental sustainability as well as the showcase of a number of sustainable urban regeneration initiatives. The IBA (International building exhibition) Wilhelmsburg in Hamburg has created an impetus for sustainable, environmentally friendly, and socially balanced urban development in a problematic area over a period of 8 years in an innovative, sustainable way. Hamburg was also European Green Capital in 2011. This award credited Hamburg ■■■ 15 16 Even the best technical solutions to environmental problems are not enough if institutions and citizens are not committed to behave sustainably in the long term. with combining comprehensive approaches, policy – commitment and the necessary funding needed to resolve these challenges. On the whole, the city has shown a sustained integrated and participative planning strategy and a strong commitment towards a “green” vision. IBA Hamburg Credits IBA Hamburg GmbH Aufwind Luftbilder. Case box 2 – IBA Hamburg Participation council The intention of the International building exhibition Hamburg 2006-2013 (IBA Hamburg; http://www.iba-hamburg.de/en/iba-inenglish.html) was to devise and implement projects to create an impetus for sustainable, environmentally friendly, and socially balanced urban development in a social deprived neighbourhood: the Europe’s largest river island, Wilhelmsburg. In order to involve the residents of the Elbe island in the process of planning and realising of the IBA Hamburg and the “international horticultural show 2013” (igs 2013), an own committee for civic participation was established, supplementing the already existing advisory boards for the Elbinsel area and its redevelopment. The committee consisted of 24 residents and 8 politicians. To become a member it was required to live or work on the Elbe island. Membership was restricted to two years to ensure that more citizens could take an active part in the participation council. Participation council. © IBA Hamburg GmbH, Bente Stachowske. The committee supported the mutual information exchange between all persons involved in the entire process. The residents’ knowledge and experience were to help form an opinion regarding all relevant matters and decisions of IBA and igs. Until the end of 2012, the committee held meetings every month, giving to each of the 70 IBA projects a statement, to which the IBA Hamburg and igs had to correspond how they will deal with the statement. In addition the participation council wrote 10 petitions to the IBA Hamburg and igs. At the beginning of each meeting the IBA Hamburg informed on the state of the planning and implementation of projects. As a rule, all meetings were open to the public. For supporting and counseling services the IBA Hamburg provided a certain amount of funds to the participation council. The participation council was supplemented by various citizens dialogue events. CReATIng The CondITIons foR sUCCessfUl envIRonmenTAl InTeRvenTIons Case box 3 – Växjö, the Greenest City in Europe, both a vision and ambition The measures within sustainable development, with focus on the environment, in the City of Växjö started in the 70s with the restoration of lakes. In the beginning of the 1980’s Växjö Energy Ltd started using bio-fuel in order to make district heating. Later, in 1993, the City Council approved the adoption of an environmental policy towards long-term sustainable development. In the same year, the city committed to extensive education in sustainable development for 6,000 municipal employees. The City of Växjö created the Fossil Fuel Free Växjö programme in 1996. The programme consists of different activities, for instance bio-mass-based district heating, energy efficient building or construction, energy efficient street lightning, environmental friendly cars and biogas production. The share of renewable energy is today more than 56 percent. The City of Växjö was the first municipality to commit to be free from fossil fuel by the year 2030. The latest environmental programme was adopted by the City Council in 2010 and covers environmental policy on long and shortterm targets. Subjects considered include consumption and waste; nature, biodiversity and lakes; energy and transport. The Agenda 21 Strategy also concerns the planning of new residential areas, mentioned as “Sustainable Housing”, being constructed according to ecological and economic sustainability. On 17 June 2014, the Växjö City Council approved a new revised environmental programme for the municipality. The environmental programme contains Over several decades, the city of Växjö has implemented numerous environmental actions. The high environmental standards and political commitment to sustainability of the city of Växjö achieved international recognition and visibility in 2007, when the British BBC described Växjö as “The Greenest City in Europe”. Cities across Europe are beginning to think about the impact of their local policies on Three big new challenges lie ahead: X Energy efficiency improvements and renovation of existing buildings. X Transportation system. X The water quality in the lakes. Sources: http://www.vaxjo.se/sustainable; Hajdari, Valmira (2012) “A Sustainable City of Växjö: A study in policy-making”. Lund University. The food sector alone accounts for over 30% of global consumer energy demand and produce over 20% of global greenhouse gas emissions (FAO 2011). The city’s environmental work has become an important, if not crucial and fundamental part of the city’s brand. “We must show that the City of Växjö is a city with vision, a good city to live in, a great city to start a business and expand in. (…) The City of Växjö has perhaps Sweden’s most ambitious environmental programme. More and more cities luckily follow our example and it gives us both a boost competition and inspiration but we continue to be a role model”, has said Anna Tenje, local politician responsible for environmental policy in Växjö. Tackling low carbon and resource efficiency through integrated sustainable urban regeneration: the case of urban food systems visionary objectives for the 2030 and measurable goals until 2020. It is also broadening and deepening the environmental work in the municipality. In addition to continuous reduction of fossil carbon emissions, the city now also aims to work on toxins and chemicals through a chemical plan as well as make kindergartens and schools free of chemicals and toxins. consumer energy demand and produce over 20% of global greenhouse gas emissions (FAO 2011). food production and consumption. In the built environment the proportion of our energy use accounted for in construction is often overestimated because of the widespread use of production-based statistics that are nationally contained. If instead we look at a consumption-based approach, we get a different picture. The food sector alone accounts for over 30% of global The examples of the URBACT networks URBACT Markets (case box 4) and “Sustainable Food in Urban Communities” (case box 5) provide useful ideas of how to use the potential of local small business and community actors across the production and consumption chains to change habits and practices towards more environmental sustainable patterns. If these practices would be taken on by a larger number of cities, the accumulated effect would make a considerable impact for a more sustainable urban Europe. ■■■ 17 18 Case box 4 – Markets improving the role of the food system to introduce low carbon practices, London, partner in the URBACT Markets network In London, partner of the URBACT Markets network, a few markets such as Borough market have successfully developed waste strategies, and encourage recycling and composting and reduction of non recyclable / non biodegradable packaging. The London farmers’ markets association adheres to the “rules” set out by the UK Farmers’ Retail and Markets Association, leading to the accreditation of a market as farmer market. One of the criteria is the goods that are sold in farmers markets in London must be raised, grown, produced, gathered, caught, or baked within 100 miles of the M25 (“the Region”). There are actually 13 accredited farmers’ markets in London. New Covent Garden Markets (a wholesale market in London) actively look to help people “back haul” when delivering produce to retail markets. This means that they broker relationships between small producers/ growers and freight delivery companies and promote consolidation of As we can see from both examples, and in particular, through the case of urban food markets, this field can bring together a variety of environmental interventions at local level while connecting these to wider spatial levels. deliveries. NCMA will work with them and map permit data to identify haulers within 10 miles radius and then encourage them to make contact with these haulers. Similarly local street traders that buy regularly from the wholesale market are encouraged to develop a consolidated buying group based on a cluster of local food businesses and then to buy in bulk – thereby achieving better value for money, improving logistics and reducing the number of journeys. On a much smaller scale, Marky Markets is an individual who takes orders from small food companies and restaurants and then buys from large wholesale markets using public transport and hired electric vehicles. He works out of a pub in Soho, London! New Covent Garden Market also has a Schools Project to increase young people’s understanding of the food supply chain and give children direct experience of growing food. Working in partnership with Wandsworth Council, it combined farm visits, visits to the wholesale market and a sustainable gardening competition in schools. moRe InfoRmATIon ABoUT URBAn mARkeTs As dRIveR of low CARBon And loCAl sUpply CAn Be foUnd on The UBRACT mARkeTs weBsITe http://urbact.eu/en/projects/ urban-renewal/urbact-markets/ homepage/ Borough market, London. © Nils Scheffler. For example, waste reduction strategies have an impact on cleaner, healthier local environments while contributing to overall waste reduction at urban and regional level. Recycling and composting can achieve similar impacts. Improving logistics through more rational planning of transport of goods to be sold in markets (i.e. consolidation and clustering) can also help reduce traffic and hence improve air and noise quality at local level. Case box 5 – The URBACT network “Sustainable Food in Urban Communities”: Developing low-carbon and resource-efficient urban food systems This URBACT network focuses on developing low-carbon and resource-efficient urban food systems. The urban population tends to be out of touch with agricultural production, and the city food culture increasingly moves towards fast food, processed foods, distributed by large centralised supermarket chains that are not rooted in the life of city neighbourhoods. Many consumers, especially, those with low incomes, eat too little fruit and vegetables because of the cost but also because it is not part of their culture and habits. The current food system cannot meet growing food demand of cities’ sustainably. It results in significant environmental impacts, but also social inequity in terms of access to balanced and affordable nutritious food in cities. The network focuses on: X GROWING fruit and vegetable in the city, in gardens, in parks, on rooftops, on balconies, on derelict lands etc., safeguarding & improving fertility of lands. DELIVERING food stuffs in a more sustainable and less carbon intensive way. X ENJOYING more sustainable food (local products, without pesticides, seasonal and fresh products, etc.) while improving diets (reducing the share of animal protein and processed foods), using products that meet environmental and sustainability criteria (certification), and preventing waste (food and its packaging). X Key facts Lead partner: Brussels Capital Region Other partner cities: Bristol, Amersfoort, Athens, Messina, Ourense, Oslo, Lyon, Gothenburg, Vaslui moRe InfoRmATIon http://urbact.eu/en/projects/low-carbon-urban-environments/ sustainable-food-in-urban-communities/homepage/ CReATIng The CondITIons foR sUCCessfUl envIRonmenTAl InTeRvenTIons Conclusions In this article we have highlighted the importance of creating the right conditions for successful environmental interventions in local regeneration practices. Through concrete examples from cities across Europe, we illustrated how two of these conditions can be achieved: first, the integration of local environmental actions within wider spatial and administrative levels (vertical integration), and second, the long-term commitment of citizens and politicians to a long-term “green vision”. planning and regeneration has a key role to play in this, as seen through the examples shown in this article. In the remainder of the workstream we will continue to identify good examples of environmental interventions that meet social needs and/or overcome social problems and explore some of them in more depth through case studies. • On the first condition, we showed that a footprint approach can be a useful way to integrate local environmental actions within higher policy levels. The example of Hackbridge regeneration in London embodies this approach through a concerted approach involving a variety of local stakeholders in the process. The second condition is tightly linked to the first, as the examples of Hamburg and Vaxjo showed: the successful integration of environmental actions across spatial and administrative levels is underpinned by a constant commitment from citizens and politicians to sustainability. Last but not least, we showed that both conditions can be integrated in practice, looking at a specific policy field: food production and consumption chains. These are one of the most intensive CO2 producers, and cities can do a great deal to reduce it. Urban (1) BioRegional is an entrepreneurial charity which establishes sustainable businesses and works with partners around the world to demonstrate that a sustainable future can be easy, attractive and affordable. Their approach is called One Planet Living. For more information see: http://www.bioregional.com/ WS coordinator: • Darinka Czischke, Director at DCConsulting and Guest researcher at Delft University of Technology WS core group members: • Conor Moloney, Bioregional • Nils Scheffler, Lead Expert of the URBACT Markets network • Nuria Costa, City of Barcelona, Lead Partner of the URBACT Markets network • Brigitte Grandt, City of Duisburg, Lead Partner of the URBACT REGGOV network • Ivan Tosics, URBACT Thematic Pole Manager Witnesses: • Sorcha Edwards, CECODHAS Housing Europe • Francesca Froy, OECD LEED programme • Axelle Griffon, CEMR/Reference Framework for Sustainable Cities • Stephanie Mantell, Brussels Environment, Lead Partner of the URBACT Sustainable Food in Urban Communities network • Giorgia Rambelli, ICLEI • Sander Scheurwater, RICS Europe • Peter Schilken, Energy-Cities • Maria Yeroyianni, DG Research and Innovation foR moRe InfoRmATIon Follow us on www.urbact.eu and on Twitter @URBACT # SustRegen 19 20 21 SOCIAL INNOVATION whAT´s BehInd The CITy sCene? By fRAnçoIs JegoU And mARCellIne BonneAU Cities increasingly face multiple and wicked issues and have fewer resources to tackle them. The traditional governance model struggles to address these issues and its limits reveal the need for a new governance culture. This article comes from the URBACT workstream “Social innovation in cities” and investigates the way social innovation has been catalysed in some cities together with a governance structural change, based on integrated, participatory and co-production approaches. A challenging context Cities face more and more complex and deep-rooted social, economic and environmental issues. Demographic decline, threats to economic development and competitiveness, growing social polarisation, climate change and the depletion of natural resources are amongst the most striking. At the same time, their finances have also been affected by the crisis, often cited as a Perfect Storm of rising needs and declining resources. Some cities have found that, more and more, they cannot address these issues by doing what they have done in the past through traditional models of governance. The focus around single organisational or agency remits, relying on the deployment of resources over which leaders and managers have direct authority, and the rigidity of this top-down governance models have had their limits exposed. Consequently, there is a growing acknowledgment in many cities that new governance models are required. As such, social innovation, intended here as new value creation models mainly based on human talents and resources is a means to problem-solving and solutions identification, aligned to the implementation of new governance processes in cities. Its characteristics are collaboration and empowerment of all involved stakeholders, and the use of new tools such as IT and online resources. The previous URBACT workstream on Social innovation and Youth identified that cities need to evolve new services alongside their citizens by becoming catalysts and innovation brokers. That workstream underlined the need for new leadership models and the implementation of appropriate ecosystems supporting social innovation. Social innovation has indeed been used in some cities worldwide, and includes cases which are now internationally recognised as being effective in trying out new approaches to solving problems. The city of Medellin in Colombia is one of these examples: long known for high inequalities and crime rates, the city became an award-winner for its innovation and urban design. It has transformed its urban and social landscape, the first step of which was the construction of a Metrocable integrating isolated neighbourhoods into the remainder of the city. It has also regenerated some urban areas, recovered public spaces and built cultural and education infrastructures: these are believed to be key to the city’s transformation and the enabler of citizens’ Social innovation, intended here as new value creation models mainly based on human talents and resources is a means to problem-solving and solutions identification, aligned to the implementation of new governance processes in cities. ■■■ 22 increased participation in urban life. As a result, the city has become safer, less polluted, with less traffic, and greater social inclusion1. Seoul, in South Korea, is another example. Since his election in 2011 (and 2014 reelection), Seoul’s mayor Won Soon Park has encouraged citizen participation and an atmosphere of open dialogue: for his initial election campaign he used social media to communicate and listen to the needs of the citizens. As a mayor he developed a multichannel platform to communicate openly about policy-making processes, enabling citizens to provide feedback on a real-time basis. This involved institutions created for the social activities of the city directly under his office (the Social Innovation Bureau and the Public Communication Bureau). He has also encouraged social enterprises that use innovative methods to tackle social problems, and has expanded collaboration between government, the private sector and civil society. Through cross-sector innovation, Seoul is involving all stakeholders, for example through: Social innovation can be used to effectively address urban issues, with little economic resources and enhanced democratic participation. X The Simincheong, located in Seoul City Hall: a “speaker’s corner” for anyone who wants to send a video message to the city administration. X The Hope Institute’s civil creative programmes: where citizens’ ideas are turned into policies. X The Seoul Innovation Planning Division: to showcase initiatives of social innovation in cities around the world and research how to apply them in the local context. This approach has enabled the city to create large social achievements in a relatively short time in a large and complex city, while also maximising the city’s resources and budget. What these two examples show is that social innovation can be used to effectively address urban issues, with little economic resources and enhanced democratic participation. However, these examples should not hide the fact that many city authorities are still “feeling their way” and trying to adapt their approach to problem solving. Not all cities are confident and comfortable about a governance change and the URBACT programme is playing a key role in relation to this: it fosters exchange of practices for improved sustainable management of cities and provides the baseline for collaboration and the sharing of fresh thinking on common problems. At a time when there are increasing EU resources to support social innovation activity, URBACT’s role is particularly valuable. This workstream is part of this approach. What lies behind the practices of cities using social innovation? What does that imply in terms of local governance? How do municipal governments adjust their functioning, organisation and culture? What new roles should municipalities assume and which spaces should they create? These are some of the questions we seek to address in this article. Engaging administration staff and stakeholders One way of using social innovation in city governance has been in increasing “participation”. Participation in city governance, indeed, has been promoted for many years to different extents: through consultations or the development of ad hoc activities where administration staff, citizens or stakeholders could feel that they were not only informed but also heard. Some cities have innovated in going beyond simple participatory processes towards more elaborated approaches to engage stakeholders. Some cities have innovated in going beyond simple participatory processes towards more elaborated approaches to engage stakeholders. Seoul’s Mayor Won Soon Park approach to city governance. © Eddy Adams. soCIAl InnovATIon This should first start with the city administration itself. Moving away from a hierarchical decision-making and problem-solving system, some municipalities have opened up the policy process to their staff, outside the strictly political level. They have developed holistic approaches and methodology in order to ensure that for a given problem, staff can learn from experiences of other sectors, enhance their knowledge, and move from problems to solutions. This has been the experience of Malmö, in Sweden, in the healthcare and elderly care sectors. Discussions and exchanges brought together civil servants and politicians: the variety of perspectives coming from the different fields of work of participants enriched the dialogue, design and implementation of local policies for elderly. As a result, the working approach has been adopted by other levels of government and the administration of Malmo South is currently running more innovative projects for elderly compared to other city areas. Integrated and systemic approaches have also led to learning across sectors. The municipality of Gdansk, in Poland, has been successful in creating a working group defining the agenda for education. When dealing with education and social issues, the municipality acknowledged the need for transversal policy-making: “deprived areas, preparation of pupils and students for adulthood and the job market, the adaptation of schools not only to the highly changing needs of the schoolchildren, but to the whole local community, where inhabitants can find their place and become more active”, as mentioned by Piotr Kowalczuk from the city of Gdansk. As such, an informal think-tank was created 5 years ago: 15 civil servants worked over 2 years on the definition of common values, on converting the social aid into a social development policy and working on a cultural change process to integrate citizens and stakeholders’ perspectives into governance. This process led to a shift in the integration of citizens in problem solving. Also, in policy terms, education became a top priority for the city from 2012 onwards and some of the members of the think-tank were integrated into the city administration staff. There are many cities like Gdansk that have involved citizens and stakeholders in the design and implementation of new services. This requires creating new synergies between administration and stakeholders, sharing and benefiting from each others’ experiences, URBACT TOGETHER2 network and co-responsibility of actors From 2010 to 2013, 8 European cities within the framework of the URBACT TOGETHER network have promoted the idea of co-responsibility of actors (public authorities, companies, associations, citizens, etc.) in order to ensure well-being for all and to avoid situations of exclusion. The network was successful in using a methodology – SPIRAL, developed by the Council of Europe based on material criteria (such as monetary ones) and immaterial (such as attitudes and images and prejudices) criteria to define paths towards the well-being of all3 – where the service users took responsibility for and helped to shape and organise the service that they themselves use. During focus groups, participants, coming from all spheres of society, assessed what they considered “well-being” and “ill-being”. Municipalities kept an open-minded approach, allowing ideas to arise instead of pre-defining existing problems and solutions, shedding light on the concerns of citizens, from a multidimensional perspective. The replies served as the basis for pilot actions in each partner city. Each municipality had a different experience of citizens’ involvement; however, at the end of the project they all presented their approaches to integrating co-responsibility in their future actions, one step further. In Mulhouse, France, this approach led to a multi-party social contract, whereby families receiving social benefits commit to a programme of activity which they co-designed themselves. In Kavala, Greece, a Social Pharmacy centre was created drawing on the wider engagement of professionals in offering a new type of health service accessible to the broader public. There was a high focus on the poorest sections of the population. A last example is that of D¤bica, Poland, where the project consolidated a pre-existing large scale scheme involving citizens through workshops and seminars, which had an impact on the wider development of the town strategy and saw the emergence of public-private partnerships. as well as cooperating on concrete projects, sharing tasks and responsibilities. Through cooperation and co-creation, and up to co-responsibility, a whole new system has come to life in some cities, making a “micro-society” in itself, a working and more sustainable system within the wider society. Furthermore, beyond connecting stakeholders from different and separate arenas, some public authorities have tried to settle relationships between them, at the same time embedding social and environmental values. This has been the aim of the URBACT TOGETHER network which has addressed cities’ challenges from the identification of needs from citizens themselves at the same time empowering them in the implementation of solutions (see box above). Brokering between stakeholders in the city In order to ensure an efficient and working integration of all relevant stakeholders in city governance, some cities had to adapt their role, and sometimes extend their competencies. In particular, it has been proven crucial not only to bring stakeholders together but A broker, ensures the function of mediator between two parties. In a city, it requires organising a complex set of activities, which go beyond the usual practices of the administration. also to stimulate relationships and initiate new partnerships. As such, some civil servants have played an active role as “brokers”. As stated in the How can cities support young people through social innovation? (URBACT Tribune 2012), the function of the “trusted broker” is pivotal in establishing relationships based on trust, between all stakeholders. A broker, ensures the function of mediator between two parties. In a city, it requires organising a complex set of activities, which go beyond the usual practices of the administration. One key feature is match-making between stakeholders: civil servants need to identify stakeholders, connect them and ensure that a form of cooperation can arise. ■■■ 23 24 Creating shared spaces and ways to engage and innovate In adapting their role to new urban realities, some cities have gone beyond the usual structures for problem-solving, such as meetings, to provide a space for experimentation with innovative solutions. In these cities the administration is not solely responsible for identifying and implementing solutions. While retaining this final responsibility it has created space for other actors to bring new ideas and facilitate their implementation. Working as “Real Food Broker” at the market for regional products, Amersfoort. © Mr. Cor Holtackers Other features are the need to animate and use specific tools, which requires a proactive role in the field with stakeholders. Ensuring that the brokering role is efficient in turn demands developing specific soft and hard skills (i.e. from empathy to forms of public entrepreneurship), as well as adapting to a new working method (i.e. fostering partnerships without breaking into the expected neutrality of the public sector). Our research indicates that dedicated training in these new competences is crucial. One of the platforms enabling this brokerage function has been the Local Support Groups set up within the URBACT programme, where partner cities commit themselves to listening to and liaising with stakeholders, and co-produce solutions towards the generation of more efficient and strategic Local Action Plans (LAP)4. As part of the URBACT Sustainable Food in Urban Communities network, the City of Amersfoort went beyond the group’s stakeholders to expand with regular and frequent interactions with citizens and stakeholders, integrating them more actively in city governance and ensuring matchmaking for the development of projects (see box below). One example has been the use of procurements such as competitions, calls and others to orient and stimulate innovation. Not only does this create new opportunities, but it also widens the administration’s service providers. In light of this, some cities have experimented with complementary forms of participative contributions such as competitions. In the case of the city of Barcelona, in Spain, the BCN Open Challenge has sought to improve the efficiency of procurement decisions, and to allow small entrepreneurs to be part of this process and to implement their innovative solutions to various urban issues (see box next page). Another approach has been to step away from traditional governance building on expertise, planning and forecasting and to seek new and innovative, “out of the box” solutions with the help of user-driven or community-driven innovation specialists such as designers, supporting civil servants directly involved in the process. In this regard, some cities have set up Public Innovation Labs or Public Innovation Places which serve as Amersfoort’s broker role – partner in the URBACT Sustainable Food in Urban Communities5 network The administration of the City of Amersfoort (The Netherlands) has adopted a new governance approach “letting go” more often and favouring the collaboration with citizens and stakeholders over the traditional top-down command and control method. The administration has also given groups of citizens the responsibility to find and implement solutions for some key societal issues such as health care. One of the goals of the administration is to support city initiatives to get started or scaled up. This is only possible through a systematic matchmaking process between stakeholders and a strong networking activity: through meetings, attendance at public events and presence within the community such as during local food markets. As such, the administration focuses heavily on connecting initiatives with the government of the city and communicating on the projects. The city has launched this work on specific topics, such as food, health care and welfare or city maintenance, as well as working transversally on general city governance issues. In the food sector, it has for example a large experience of working on the accessibility of food in the city, community gardens, natural playing fields and educational gardens, especially enhanced by the Local Support Group on sustainable food. Through networking and matchmaking, the city ensures that projects arising for the created connections can be implemented in a fully independent way. This results in a better knowledge and integration of all parties in city governance which is also made possible thanks to the reactivity of the municipality when support is needed. soCIAl InnovATIon BCN Open challenge (Barcelona)6 Public labs A survey amongst 54 global cities7 show that less than 10% of cities accept unsolicited proposals for new solutions coming from small enterprises. The labs seek to create an alternative environment in order to boost the reflection outside of usual boundaries in: setting up an atmosphere of trust and true cooperation, re-interrogating and investigating the classical way of addressing societal challenges, working directly in immersion with users, simulating, testing on the ground and creating prototypes of new solutions, through a trial and error process. BCN Open challenge attempts to invert this trend and to guarantee space for small companies to innovate in the city. As an international call, it seeks to procure innovative and sustainable solutions to transform both public services and places in Barcelona. It is organised by the Barcelona city council and a supporting company, Citymart. Six social issues should be tackled in the proposed solutions: reducing bicycle thefts in the city, empowering support systems to reduce social isolation, monitoring pedestrian flows in the city, tools for digitisation of museum and archive collections, automatic detection and alerts of damaged road surfaces, and empowering local retail trough technology. The prize of the BNC Open Challenge is a direct commitment to contract the six winning solutions. Through this competition, the city of Barcelona seeks to make the process of procurement decisions more cost-efficient, transparent, and allowing small entrepreneurs to be part of this process and to implement their innovative solutions. It seeks to allow small entrepreneurs to be part of this process and implement their innovative solutions. The winners will be announced by the end of 2014. action-research oriented and experimentation-based areas for the exploration of problems and the identification of solutions (see box on public labs). Some cities have also set up online collaborative platforms linking residents, companies and academics for exchanging ideas. These can also be a space for developing systematic solutions for solving city challenges. The city of York, in the UK, for example, has animated an open innovation platform to generate ideas and solutions in network on social problems of the city. It is currently piloting the transfer of this approach to other cities of the URBACT Genius: Open network, Tallinn (Estonia), Siracusa (Italy) and San Sebastian (Spain). The space for experimentation also includes those usually dedicated to economic innovation such as incubators: outside the administration and with limited interference with the way they usually function, resources, skills and expertise are brought together to identify solutions to societal needs. These are far enough from the market and from public institutions to become an “experimentation-based forward-looking zone” and a “do-tank” for traditional public and private institutions. These labs can be focusing on a method or a technology (interdisciplinary teams; design-driven approach, action-research, etc.), on a specific topic (e.g. education, health, youths), in or outside the system, working directly or indirectly, together or in opposition with public authorities, they can be very small or very large (small cell to some dozens of people)8. In those labs, civil servants, supported by interdisciplinary and creative teams, review and test policies, on the basis of bottom-up, usage-based and community centred approaches, with a particular focus on design approaches9. Public lab. © Strategic Design Scenarios. ■■■ 25 26 Finally, experimentation can also take place in public spaces and open air where a maximum number of citizens can be attained: these can be outside the usual boundaries of organized public or virtual spaces, for example at street markets, during public events or through project visits. In a complex realm of actions, URBACT networks such as “Placemaking” are also designing what they call a “living lab’ where end-users can cocreate any public place, and partners intend to be flagships of developing urban renewal projects with efficient participatory techniques. Conclusion: Towards a new governance culture Through a few examples we can see that the integration of social innovation implies a shift from command and control to brokering and engagement between all players, stimulating social initiatives and creativity within the public sector. In the cases observed here, city governance has become less directive and more participative and co-produces with stakeholders and communities. This clearly means that some cities’ governance model has been disrupted. Where does this disruption come from? It seems that in some cases, the drivers for these changes come from the top: an explicit leadership shift seems to be crucial to ignite the process and drive culture change. In other cities the drive is more bottom up, from civil servants themselves or civil society. In any case, this culture change has been enabled with the upcoming of a new city ecosystem, creating the space for and re-envisaging the relationships between all actors. For sure, addressing existing city challenges with the use of social innovation requires a culture change: this includes building the capacity of all involved actors, including the development of adequate skills, attitudes, and mentality. Leaders need to adjust their strategies, adopt new positions and act as a “chef d’orchestre”: listening to stakeholders, animating the local governing system, playing the role of interpreters between local players, translating between different players and cultural languages, raising mutual interests and synergies, and, building a culture of trust. Leaders should also be ready to go beyond their comfort zones, take risks, experiment and be prepared to learn from (unavoidable) mistakes. This URBACT workstream will investigate further those questions through case studies, chat sessions, meetings and a final report to be published early 2015. Although it is crucial for each municipality to generate ideas, it is also key to create synergies and mutualise on existing ones. As such, we are keen on sharing with and drawing from experiences from all relevant actors: city administrators, urban planners as well as experts. Our website presents the information the workstream has gathered so far and is (aligned with the principles of social innovation outlined here) a platform open to your contributions10. • (1) For more information, see URBACT blog on Medellin: http://www.blog.urbact.eu/2014/04/ making-sense-of-medellin/ (2) http://urbact.eu/fr/projects/quality-sustainableliving/together/homepage/ (3) SPIRAL methodology: https://wikispiral.org (4) A specific edition of the URBACT Tribune in August 2011 made an overview and analysis of LSGs and the integrated and co-production journeys, highlighting the benefits for city governance and policy making: http://urbact.eu/fileadmin/general_library/ URBACT_16_08_11_pre_BAT-3.pdf (5) http://urbact.eu/fr/projects/low-carbon-urbanenvironments/sustainable-food-in-urban-communities/ homepage/ (6) http://bcnopenchallenge.org/ (7) http://bcnopenchallenge.org/a-model-partnershipnew-version/ (8) Labs for System Change: deslabos qui veulent changer le système: http://blog.la27eregion.fr/ Labs-for-System-Change-des-labos (9) A network of these Public Innovation Labs has been developed among: MindLab and the city of Copenhagen, MaRS and the city of Toronto, 27e Région in France, The Studio and the city of Dublin, Izone & Public Policy Lab and the city of New York, Innovative SF and the city of San Francisco, Kennisland and the city of Amsterdam, Laboratorio para la ciudad and the city of Mexico, TACSI and the city of Adelaide. (10) http://www.sustainable-everyday-project.net/ urbact-socialinnovationincities/ Workstream coordinators: • François Jégou, Strategic Design Scenarios, Workstream Director, Lead Expert of the URBACT Sustainable Food in Urban Communities network • Marcelline Bonneau, Strategic Design Scenarios, Workstream Coordinator • Virginia Tassinari, Strategic Design Scenarios, Workstream Expert Core Group Members: • Anne de Feijter, City of Amersfoort, partner in the URBACT Sustainable Food in Urban Communities network • Matt Gott, Lead Expert of the URBACT Genius Open network • Per Anders Hillgren, Malmö University • Ezio Manzini, DESIS Network (Design for Social Innovation and Sustainability) • Fabio Sgaragli, Fondazione Giacomo Brodolini • Edina Vadivocs, GreenDependent Institute • Eddy Adams, URBACT Thematic Pole Manager Appointed witnesses: • Filippo Addarii, Young Foundation • Raffaele Barbato, URBACT Secretariat • Lia Boume, City of Amersfoort, partner in the URBACT Sustainable Food in Urban Communities network • Fiorenza Deriu, Lead Expert of the URBACT Healthy Ageing network • Tricia Hackett, The Young Foundation • City Mayor Furio Honsell, City of Udine, Lead Partner of the URBACT Healthy Ageing network • Steve Mariott, City of Bristol, partner in the URBACT Sustainable Food in Urban Communities network • Anna Meroni, DESIS/Department of Design of Politecnico di Milano • Stefania Pascut, Lead Partner of the URBACT Healthy Ageing network • Levente Polyak, Lead partner of the URBACT TUTUR network • Martin Synkule, European Development Agency foR moRe InfoRmATIon Follow us on www.urbact.eu and on Twitter @URBACT #SocInn 27 CAPTURING ECONOMIC OPPORTUNITIES how CAn CITIes CARve oUT new gRowTh pAThs? By wIllem vAn wInden And lUís de CARvAlho European cities are confronted with a rapidly changing economy. The crisis has destroyed jobs across both service and manufacturing industries, and has revealed the shakiness of the financial service sector. Jobs get lost, some businesses become obsolete, but at the same time, new growth areas are emerging. In this dynamic economic landscape, some of the questions the URBACT workstream “New Urban Economies” explores are: what is the scope of action for cities to steer their economy? Should cities “sit and wait” for changes to come and affect them, or is there room for pro-active urban policy to grasp emerging opportunities? If so, what is in their scope for action? How to act in a sustainable/ integrated way? I t has become clear now that many “traditional” tools to boost the urban economy have become out-dated or are not (cost) effective. Recipes such as investing in large landmark projects (new Guggenheims, big stadiums), generous fiscal incentives, or smokestack chasing (blindly attracting companies and investments from outside) are not very effective. Rather, cities should go for an “indigenous” approach: building on existing qualities and assets, mobilising companies and citizens to innovate, and to engage in the discovery of promising new specialisations. Local economic policy should not start from scratch and bet on silver bullets, but rather find clever ways to marry local traditions with new growth opportunities. This is also the philosophy behind “smart specialisation”, a recent innovation policy concept to accomplish the EU2020 agenda. The URBACT workstream “new urban economies” has been set up to examine the new economic opportunities in Europe’s cities, and to search for adequate policy actions and organisational setups to “translate” them into smart, sustainable and inclusive urban growth. The workstream brings together “thinkers and doers” (academics, elected representatives, practitioners, policy Local economic policy should not start from scratch and bet on silver bullets, but rather find clever ways to marry local traditions with new growth opportunities. receivers, etc.), to jointly reflect and build on a new generation of integrated urban policies. In the workstream, we adopt a concept of the “resilient city”, in which stakeholders, in a concerted way, are able to respond adequately to key challenges and external developments, building on the cities’ identity and competences, and without compromising weaker groups (inclusion) and future generations (sustainability). In this article, we present some first insights from our workstream’s activities. We focus on three potential growth areas that are relevant for cities across Europe, and discuss how cities may act upon them. The first (and by far most important and pervasive one) is the digital economy. The ongoing IT and digital ■■■ 28 revolution produces a range of new economic activities and business opportunities and may fuel the urban economic engine. But also, it disrupts existing industries, and destroys jobs and companies that fail to adapt. What is the scope for urban action in this very dynamic field? A second growth area results from the emerging green economy: cities are tackling environmental challenges, and this gives rise to a range of new and promising green innovations and business opportunities in cities. How can green efforts bring new economic growth and jobs for cities? Third, we will discuss the health & care economy: what options are open to cities to capture growth opportunities resulting from increased spending on health and innovations in medical technology, e-health services and biotech? We are also interested in the question how cities can identify and capture emerging opportunities, and how can they harness firms and citizens to do so. For each of the emerging growth fields, we will provide some examples of active and adequate city responses. What new governance models and platforms are emerging? We end with some first conclusions resulting from the workstream. The digital economy The digital economy is the quintessential new urban economic driver. It includes, among others, software design and programming, platform development, cloud computing, data analytics, the “app” economy, geo-location and sensor technologies, as well as digital media, gaming and content production activities, combining engineering skills with symbolic content production. The field is characterised by very rapid innovation and fast obsolescence, and its ability to enable innovation and productivity increases across multiple industries. The digital economy is a source of new jobs, but destroys many existing ones. Of the three potential growth areas we discuss in this article, this is by far the most pervasive and disruptive one. How does it impact on cities, and how can cities respond and capture opportunities? The digital economy is the quintessential new urban economic driver. First of all, the digital economy is a cradle of new entrepreneurship. Large numbers of new firms and jobs are created, especially in app development, social media and software development. Places like Stockholm, London, Dublin, or Barcelona are buzzing with young people creating new businesses – often starting with little more than a laptop and a good idea. It’s not just big cities that benefit: many medium-sized cities have thriving start-up scenes as well. Especially cities with a technical university are attracting and developing “tech talent”, which is the source of entrepreneurship. Examples are Tampere, Eindhoven or Aarhus. Another interesting case is Cluj, Romania, where a successful IT cluster emerged around the technical university. Local tech-communities don’t typically look for local government support: they are largely self-organising, thriving on informal networks. Nevertheless, cities can promote digital entrepreneurship in several ways: Provide particular types of infrastructure (wifi in public places, experimentation spaces); ultrafast broadband is particularly important for the development of some IT-digital businesses, but is hardly provided by the market. X CApTURIng eConomIC oppoRTUnITIes X Supporting incubators: spaces where prospective entrepreneurs can receive all sorts of support – financial, administrative, business networks – to set up and scale up their venture. located close to the university. It is home to several IT research institutes, leading IT firms and an incubator. Led by the city, the stakeholders are developing and branding the area as innovation district for IT activity. X Buying from start-ups: cities are large purchasers of digital services, and may decide not always to procure from the “safe” large established corporate vendors but give startups a chance. Naturally, this requires changes in tendering regulations. The digital economy is not just creating new types of businesses and jobs: perhaps even more importantly, it is transforming (and sometimes disrupting) existing industries. From the consumer perspective, new technology is changing the way people shop (e.g. online shops), book accommodation (online platforms like Booking.com; accommodation sharing via AirBnB); use cars (Snappcar) or fund projects (Kickstarter). Online business models have fundamentally altered – and still are altering – the music industry, advertising, banking. To quote a recent study by Niesr1, “the reality is that the digital economy has spread into every sector, from architecture firms whose activities have become almost entirely digital to machine tool manufacturers who now use huge online data-processing facilities to monitor every aspect of their processes”. Engage with the tech community: cities may “crowdsource” / invite tech communities to develop useful city apps, through app contests or “hackathons”, for example by giving access to municipal databases (“open data” initiatives). An example of this is taking place in Dublin, where the City Council has been curating city data (from the local government and beyond) in order to unleash new innovations that can be relevant to tackle city´s challenges (e.g. transport, planning, water management), whether by large corporations or small start-ups. X urban economy. Online sales are showing double-digit growth figures, even in times of recession (in 2013, online retailing in Europe grew by a weighted average of 21%2), with deep impacts for shopping streets and malls in every city in Europe: demand for “traditional” retail space will decrease in many retail segments, while new online or “bricks and mortar” models (combining physical and web presence) emerge. A key question in our workstream is how European cities (their citizens, companies, leaders) can prepare for more disruption? How to ensure that all citizens – not just the young and tech-savvy ones – are included in the digital society? How to harness retailers or traditional SMEs that are threatened by new online businesses? A number of options are open for European cities to promote the urban digital economy: Encourage ICT firms to engage with local schools or disadvantaged communities. X Promote new combinations of digital technology and other urban sectors (arts & culture, health care, tourism, sports, etc). X Related with the previous, cities can steer events and facilitate new networks between traditional firms and informal tech-digital communities, with an eye to foster new business opportunities. X Developing and “branding” specific urban quarters as hotbeds of digital entrepreneurship: a good example is the “IT City Katrinebjerg”. This neighbourhood in Aarhus (partner in the URBACT REDIS network) is X The digital economy is a source of innovation, but also poses challenges to a lot of traditional companies in cities. Early victims were video rental firms and travel agencies, outcompeted by on-line business models; online banking replaced the bank offices around the corner. More recently, hotels and taxi businesses feel the heat of brand new peer-to-peer platforms. Major changes are underway in the retail business – a very important and visible segment of any Open data in Dublin: Dublinked In some cases, an unconventional organisation is needed to achieve unconventional results. The Studio in Dublin is a key example. “The Studio” is a recently established ”innovation team” within Dublin City Council (DCC). Its job is to generate and prototype new solutions by engaging municipal staff and citizens using design-thinking tools. The team consists of designers, planners, librarians, architects, among others. They invite municipal staff from multiple levels in the joint pursuit of new ideas and prototypes for old problems. A key achievement of The Studio was the launch of Dublinked – the city´s open data initiative (focused on nurturing new IT and digital innovation opportunities in the city). The Studio played a crucial role to open up municipal data sets (the raw material for the initiative), coming from different municipal departments. The Studio team managed to convince them to participate. Not an easy job: municipal departments tend to be reluctant to share “their” data sets with others. So how did they achieve this ? The Studio was also key to link up the City Council with communities of innovators working with open data, such as companies, universities and users. Last but not least, the Studio facilitated the day-to-day connection between DCC and other municipalities in Greater Dublin region, who teamed up to form Dublinked as metropolitan initiative and release a higher (and more relevant) number of datasets from the early beginning. Help traditional companies (especially SMEs) to adopt digital technologies, or let them help each other by facilitating peerlearning networks. X Set up training schemes to equip citizens with digital skills. X Promoting the urban digital economy is a multi-faceted challenge, and requires new urban management competences and organisations. Leading cities in Europe are experimenting with new ways of working and have set up unconventional organisations that are better able to do the job. Manchester (UK), a reference city in this field, created the “Manchester Digital Development Agency”, a publicly owned organisation that develops a number of projects with a wide range of partners. One of its key aims is to put in place super-fast broadband across Manchester. In Zaragoza (Spain), the city set up the “Digital Mile” as a dedicated project organisation within the municipality. The project stimulates all sorts of initiatives that incorporate digital media into everyday aspects of the public realm: public spaces that “respond” to their users, and provide stories, information and services. The Digital Mile should improve quality of life for citizens and visitors, and bring better services, but also offers an open access platform where IT firms, architects, ■■■ 29 30 artists, researchers and planners develop and test innovative concepts. In Dublin, a very successful open data initiative is delivered by a new type of platform organisation named “The Studio” (see box page 29). In our workstream, we intend to dig deeper into emerging new types of hybrid organisations. How do they work, how are they managed, what do they deliver, and how do they relate to the “traditional” urban bureaucracy? Green economy Europe is facing a number of environmental challenges: climate change, resource depletion, declining biodiversity, pollution and untamed carbon emissions, potential natural disasters, etc. Tackling these challenges involves substantial investments and incurs costs, but also offers new business opportunities, and has created a sizeable “green economy”. The exact size and growth of the green economy is difficult to measure; a recent study commissioned by ESPON3 estimates that it provides about 22m jobs in the EU, which is 9% of the EU workforce. Cities have a key role to play in encouraging new green solutions and ways of using, distributing and consuming energy, complementing the actions of national governments. Therefore, we identify green business as the second potential growth field in our workstream (although less disruptive and less market-driven than the digital economy discussed above). Where are green business opportunities emerging? A number of fields can be mentioned: Adaptation to climate change: firms deploying new technologies and solutions to deal with e.g. rising sea levels, extreme weather conditions and excessive carbon emissions. X X Alternative energy generation and distribution solutions. The shift to renewable energies and decentralised production provides growth opportunities for innovative firms that offer decentralized production and feed-in solutions, smart grids, and a whole range of associated IT solutions. Moreover, across Europe, energy co-operatives spring up, in which citizens join forces (in a variety of coalitions with other stakeholders) to produce renewable energy. Thus, local energy economies are emerging, with a much bigger share of locally generated and consumed energy. X The business of improving energy efficiency: this offers opportunity for companies active in home and industrial retrofitting, insulation solutions, home automation, consumer electronics and everything else that uses energy. X Circular economy solutions: waste reduction and re-use, recycling, resource distribution efficiency (e.g. water), cradle-to-cradle concepts, closed-loop circuits. Business related to green mobility: the production and adoption of electric vehicles and associated infrastructure, car sharing, soft mobility solutions (walking, cycling), etc. X Urban farming and the local food movement. X A key question in our workstream is how cities can develop business and create jobs while tackling the environmental challenges (as listed in the recent Cities of Tomorrow report4). Cities are widely acknowledged as key arenas for green innovation and the development of related business models. First, many cities have substantial competences in domains where greening can be achieved: waste collection, transport, social housing, urban planning. Good solutions can become “export products”, with economic benefits for the partners involved. Second, many cities have the scale and resources to set up testing sites for “green” experiments – in coalitions with companies, research institutes and citizens – in which new solutions are tested out. In case of success, the participating firms may sell the solution elsewhere and make a business out of it. Third, and more strategically, cities can assemble green platforms, hybrid organisations where companies, research institutes and local government join forces to tackle environmental challenges and reap economic benefits from it. A good example is the Amsterdam Smart City platform5, a long-term strategic partnership between the city, energy companies, universities and a number of other organisations. Amsterdam Smart City initiates a large number of pilot projects (68 at the time of writing this article) across the city region, always looking to scale them up to commercially viable business models that can run without subsidies. A key lesson is that new and sometimes unusual local coalitions are needed to capture the potential of the urban green economy, often with the involvement of users. This puts high demands on the ability of city leaders: they must guide the transition, and learn to communicate effectively, to involve stakeholders, to take risks, to leave the beaten tracks (see box below on Sustainability Jams in Linkoping). Clearly, in this respect, there are large differences in Europe’s urban landscape. First of all, cities act within their national context, and there is wide variation between countries in their approach to confront environmental challenges, and also, in the formal competences that cities have to shape their own green policies. Linkoping’s “Sustainability Jams’’, partner in the EUniverCities network * The city of Linkoping has managed to capture the opportunities of the emerging green economy, by deploying traditional industrial competences in new ways. The municipality, the university and companies (the “triple helix”) joined forces, and are actively looking together to create new opportunities for the local economy. Among many other things, they developed the concept of the “Sustainability Jam”: an original session set-up aimed to rapidly generate ideas for green innovations. During the international conference of the Greening Industry Network (hosted in Linkoping in 2012), six “Sustainability Jams” were held at the premises of local companies. During those sessions, international visitors were mixed with local players to discuss how to turn environmental challenges into business opportunities; also, researchers reviewed company strategies, and companies reflected on research programmes. As one of the organisers put it: “We wanted to find a model where a conference is able to influence a region, and where the region can influence the world of research”. The concept has made inroads in the region and internationally (through the conference´s network) and the jams have already been the cradle of new cooperations and business relations in the region. * http://urbact.eu/fr/projects/innovation-creativity/ eunivercities/homepage/ CApTURIng eConomIC oppoRTUnITIes Capacity to capture economic opportunities depends on a number of issues such as their tradition dealing with green issues, the degree of local environmental awareness, presence of “local green champions”, access to funding, market demand, local pressures and quality of leadership. But also within countries, we see that some cities are leading the way, with local actor coalitions taking bold steps to actively grow the local green economy. These are places where new solutions are being tried, and where progress is made, often with deep engagement of the civic community. Other cities are less pro-active/more complacent and mainly follow the regulations from the national or European level. Naturally, not all cities are (or can be) green innovators in every domain. Their capacity to capture economic opportunities depends on a number of issues such as their tradition dealing with green issues, the degree of local environmental awareness, presence of “local green champions”, access to funding, market demand, local pressures and quality of leadership. Moreover, many new activities and innovations in this domain are associated with experimentation and uncertainty, calling for heterodox governance approaches, involvement of front-running stakeholders with unusual suspects, social innovation methods, open-ended planning processes, etc. Health & care economy The health & care sector is the third growth area for urban economies that we explore in our workstream. In the US, over the past decade, the healthcare industry has added 2.6 million jobs, and had a growth rate of 22.7 percent over that period (significantly outstripping the meagre 2.1 percent employment growth rate in all other industries). The countries’ top 100 cities were capturing most of the growth in relative terms. For the EU, employment data are more difficult to obtain, but Deloitte6 expects annual average growth in health care spending of about two percent from 2013-2017, still a strong figure in the light of ongoing economic woes and subsequent cost-cutting measures in many countries. What causes the growth of this sector? One factor is demographics: Europe’s population is ageing, and the elderly are more “heavy users” of health and care. A second driver is innovation. The pace of innovation in material sciences, genetics, biotechnology, bioinformatics and e-health has geared up in recent years, yielding significantly improved chances of surviving disease; but this has an upward pressure on costs. Overall, spending on health is increasing in most countries (see Figure 1) and the end is not yet in sight. Growth is not only quantitative: new organisational models of care provision are emerging (partly driven by austerity measures); social enterprises and new public-private delivery models spring up, with large variations between countries. In our workstream, we address the question how cities can capture the new economic growth opportunities that come with a growing and developing health&care sector. Figure 1: Growth of health spending7 Health Care Spending as Percentage of GDP 20 United States 16 France Germany Switzerland Canada Japan UK Sweden Italy Australia 12 8 4 OECD Average in 2011 = 9.3% of GDP 0 1980 1985 1990 1995 2000 2005 2010 Source: OECD Health Data 2013. Produced by Veronique de Rugy, Mercatus Center at George Mason University. ■■■ 31 32 What can cities do to capture the opportunities offered by the health and care economy? A number of options are open. The health&care economy can be subdivided in several categories: The care sector (hospitals, other types of care and support for elderly, handicapped people, retirement houses, social and proximity services, etc.). X X Medical technology/equipment industry, including, e.g., scanning machinery, medical devices (e.g. precision tools, advanced textiles), diagnosis kits and assistive technologies (e.g. visual, walking and hearing disability aids, wheelchairs, emergency response systems, prosthesis, home automation). Pharmaceutical and Biotech industry: drugs and medicine production, sales and development. X What can cities do to capture the opportunities offered by the health and care economy? A number of options are open. First, (academic) hospitals are potential engines of urban growth; they can be developed into anchor institutions in urban innovation districts, with spillover effects on adjacent neighborhoods. The best documented examples come from the US cities (see box on Memphis, TN), but similar initiatives could be taken up in Europe. Second, some cities have opportunities to develop medical tourism: classic examples are cities with thermal and spa activities, with a large tourism service industry around it. Third, cities with strengths in biotech (university research, pharmaceutical firms, biotech firms) may develop/support biotechnology cluster organisations, that help to make regional networks stronger, support biotech startups & technology transfer, and “brand” the city as biotech hub. Copenhagen’s Medical Valley is the textbook example of publicprivate initiative to boost the region’s biotech and med-tech industries. Last but not least, Memphis, TN: Medical institutions as anchors of a new mixed Innovation District The City of Memphis, in partnership with many stakeholders, is seeking to create an Innovation District in and around the Memphis Medical Center, located within two miles of downtown. The area concentrates a number of life science Institutions and related jobs in a small geographic area. There are six hospitals, several schools, two junior colleges, a biotech incubator, and about 60 life science firms. In total, they employ around 11,000 people and attract some 450,000 visitors annually. The plan is to build on these assets, and develop the existing, underutilized yet eclectic “Edge” neighbourhood that lies between the Medical District and downtown; there is land available land, as well as appropriate zoning for mixed-use development. Moreover, the area is connected to downtown via a trolley. The goal is to leverage the area’s human capital, facilities and existing activity to create, attract and nurture research, development and technology commercialization in a reinvigorated mixed-use urban neighbourhood. Source: ULI 8 CApTURIng eConomIC oppoRTUnITIes Putting the health economy central: URBACT network “4D Cities”9 The URBACT network “4D Cities” explicitly seeks to exchange knowledge on how to link local health challenges and innovation towards new business and growth opportunities. Eight partners from different cities and regional contexts compose the network – Igualada, Leeds, Novarra, Tartu, Plunge, Eindhoven, Jena and Baia Sprie – seeking new models to intervene and foster health-related innovation. As the health and care economy increasingly touches upon many sectors and activities, one of the key objectives of the network is to analyse the various actors active in the fields of health and innovation in cities, as well as the relations established between them: knowledge and training institutes, companies, organizations from the national/local health systems and citizens/users. cities may support or initiate the development of new care concepts, for example e-health solutions that enable elderly or less mobile people get counselling or medical checks from home. These solutions typically require coalitions between care providers, technology firms, housing corporations, etc. For participating technology firms, engaging in such coalitions can bring substantial benefits: it helps to develop and test new products, and if successful, it opens new markets. A key challenge in care solutions is to involve the end-user: it is increasingly realised that the success of care innovations depends on an early and deep involvement of the users, their family and relatives. Again, like in the digital and the green economy, cities differ in resources, and some cities are better positioned to benefit from this opportunity field than others. But for each city, a pro-active attitude is needed to benefit from the opportunities. Much depends on the ability of urban stakeholders to create innovative coalitions. Conclusions and outlook Cities are facing constant economic change, whether they like it or not. Clearly, the cities’ economic prospering is contingent upon many factors beyond the control of urban Cities can only capture growth opportunities if coalitions of relevant actors (universities, firms, citizens, NGOs) are involved in policy design and implementation. managers, and thus their ability to “create” growth and jobs is very limited. What, then, is the scope for cities to pro-actively capture emerging growth opportunities, and mitigate the disruptive effects that change brings as well? What options are available? In this article, we focused on new growth opportunities offered by the digital economy, the health&care economy, and the green economy, and provided some concrete examples of adequate policy responses and delivery organisations. What have we learned so far? First, effective stakeholder engagement becomes ever more important. Cities can only capture growth opportunities if coalitions of relevant actors (universities, firms, citizens, NGOs) are involved in policy design and implementation. Second, cities must learn how to connect and integrate different policy areas. They need new types of organisations/platforms that help to promote innovation and to rapidly assemble active coalitions. Examples are platforms such as Smart City Amsterdam, Mila Digital in Zaragoza, or Manchester’s Digital Development Agency, where stakeholders unite to build the local green or digital economy. Citizen involvement becomes increasingly relevant in the economic realm: citizens are not only “passive” consumers, end-users, or policy receivers; they are also producers,innovators and funders. Third, new types of leadership are needed. If exploiting new growth opportunities is done in coalitions, key leading persons in the city (the mayor, or president of an important local organisation, university or company) must be ready for that: they should be able to mobilise resources, to gather people behind a joint vision or strategy. Good city leaders are able to share power and engage in coalitions with others. Finally, effectively fostering the urban economy is not a just matter of following good examples and practices. if only it would be that simple. Each city is unique and must carve out its own growth path, building on its local assets and strengths, merging tradition and innovation. • (1) http://niesr.ac.uk/sites/default/files/publications/ SI024_GI_NIESR_Google_Report12.pdf (2) http://www.retailresearch.org/onlineretailing.php (3) http://www.espon.eu/export/sites/default/ Documents/Projects/AppliedResearch/GREECO/ GREECO-Resubmitted_Interim_report_final.pdf (4) http://ec.europa.eu/regional_policy/sources/ docgener/studies/pdf/citiesoftomorrow/ citiesoftomorrow_final.pdf (5) http://amsterdamsmartcity.com/?lang=en (6) http://www2.deloitte.com/content/dam/Deloitte/dk/ Documents/life-sciences-health-care/Global-healthcare-2014.pdf (7) http://mercatus.org/publication/us-health-carespending-more-twice-average-developed-countries (8) http://uli.org/research/centers-initiatives/danielrose-center-for-public-leadership-in-land-use/ fellowship/fellowship-cities/memphis-tn/ (9) http://urbact.eu/fr/projects/innovation-creativity/ 4d-cities/homepage/ Workstream coordinator: • Willem van Winden, Lead Expert of the URBACT EUniverCities network Workstream core group members: • Joep Brouwers, City of Eindhoven, Vice-director of Brainport Development N.V., partner in the URBACT 4D Cities network • Emma Clarence, Principal Researcher Social Innovation, Nesta • Tuija Mannila, City of Tampere, Director, Mayor’s Office, partner in the URBACT EUniverCities network • Euken Sese, City of San Sebastian, Director of Fomento San Sebastian, partner in the URBACT Genius: Open network Witnesses and advisors to the workstream so far: • Maite Ayestaran, Fomento San Sebastian, partner in the URBACT Genius: Open network • Angels Chacon, City of Igualada, Lead Partner in the URBACT 4D cities network • Jenny Koutsomarkou, Capitalisation Officer, URBACT Secretariat • Peter Ramsden, Freiss ltd., URBACT Thematic Pole manager • Mireia Sanabria, INVENIES, Lead Expert of the 4D Cities network foR moRe InfoRmATIon Follow us on www.urbact.eu and on Twitter @URBACT #NewEcons 33 34 C THE URBACT II PARTNERS Lead Partners Partners C URBACT II PROJECTS PROJECTS ISSUES ADDRESSED 1 st LEAD PARTNERS CALL PROJECTS (2008-2011) Active A.G.E. Strategies for cities with an ageing population Rome – IT Building Healthy Communities* Developing indicators and criteria for a healthy sustainable urban development Torino – IT CityRegion.Net Urban sprawl and development of hinterlands Graz – AT CoNet Approaches to strengthening social cohesion in neighbourhoods Berlin – DE Creative Clusters Creative clusters in low density urban areas Obidos – PT CTUR Cruise Traffic and Urban Regeneration of port areas Naples – IT EGTC Sustainable development of cross-border agglomerations Mission Opérationnelle Transfrontalière – FR FIN-URB-ACT Small and medium enterprises and local economic development Aachen– DE HerO* Cultural heritage and urban development Regensburg – DE HOPUS Design coding for sustainable housing University La Sapienza, Roma – IT JESSICA 4 Cities JESSICA and Urban Development Funds Regional governement of Tuscany – IT Joining Forces Strategy and governance at city-region scale Lille Metropole – FR LC-FACIL Implementing integrated sustainable urban development according to the Leipzig Charter Leipzig – DE LUMASEC Sustainable land use management University of Karlsruhe – DE MILE* Managing migration and integration at local level Venice – IT My Generation Promoting the positive potential of young people in cities Rotterdam – NL NeT-TOPIC City model for intermediate/peripheral metropolitan cities L’Hospitalet de Llobregat – ES Nodus Spatial planning and urban regeneration The generalitat of Catalonia – ES OPENCities* Opening cities to build-up, attract and retain international human capital Belfast – UK REDIS Science districts and urban development Magdeburg – DE RegGov* Integrated policies and financial planning for sustainable regeneration of deprived areas Duisburg – DE REPAIR Regeneration of abandoned military sites Medway – UK RUnUP Strengthening potential of urban poles with triple helix partnerships Gateshead – UK SUITE Sustainable housing provision Santiago de Compostela – ES UNIC* Promoting innovation in the ceramics sector Limoges – FR URBAMECO* Integrated sustainable regeneration of deprived urban areas Grand Lyon – FR Urban N.O.S.E. Urban incubators for social enterprises Gela – IT WEED Promoting entrepreneurship for women Celje – SI 2ND CALL PROJECTS (2009-2012) Active Travel Network Promoting walking and cycling in small and medium-sized cities Weiz – AT CASH* Sustainable and affordable energy efficient housing Echirolles– FR ESIMeC Economic strategies and innovation in medium-sized cities Basingstoke and Deane – UK EVUE Electric Vehicles in Urban Europe Westminster – UK LINKS Improving the attractiveness and quality of life in old historical centres Bayonne – FR OP-ACT Strategic positioning of small and medium-sized cities facing demographic changes Leoben – AT Roma-Net* Integration of the Roma population in European cities Budapest – HU SURE Socio-economic methods for urban rehabilitation in deprived urban areas Eger – HU TOGETHER Developing co-responsibility for social inclusion and well-being of residents in European cities Mulhouse – FR 3RD CALL PROJECTS (2012-2015) 4D Cities Promoting innovation in the health sector Igualada – ES CityLogo Innovative city brand management Utrecht – NL Creative SpIN Cultural and Creative Industries Birmingham – UK CSI Europe Role of financial instruments (Jessica Urban Development Fund) in efficient planning Manchester – UK ENTER.HUB Railway hubs/multimodal interfaces of regional relevance in medium sized cities Reggio Emilia – IT EUniverCities Partnerships between cities and universities for urban development Delft – NL Jobtown Local partnerships for youth employment opportunities Cesena – IT My Generation at Work Youth employment with focus on enterprising skills and attitudes Rotterdam – NL PREVENT Involving parents in the prevention of early school leaving Nantes – FR RE-Block Renewing high-rise blocks for cohesive and green neighbourhoods Budapest XVIII District – HU Sustainable Food in Urban Communities Developing low-carbon and resource-efficient urban food systems Brussels Capital – BE URBACT Markets Local markets as drivers for local economic development Barcelona – ES USEACT Re-utilizing existing locations to avoid land consumption Naples – IT USER Involving users and inhabitants in urban sustainable planning Agglomeration Grenoble Alpes Metropole – FR WOOD FOOTPRINT Local economic development through the (re)use of brownfield and buildings of the wood furniture sector Paços de Ferreira – PT PILOT PROJECTS (2013-2015) Diet for a Green Planet Cooperation to align eating habits for an ecologically sustainable development Södertälje - SE ESIMeC II Economic strategies and innovation in medium sized cities Basingstoke and Deane - UK EVUE II Electric Vehicles in Urban Europe Westminster - UK Gastronomic Cities Promoting gastronomy as a key urban development Burgos - ES Genius: Open Creating innovative solutions to city challenges via an on-line collaborative platform York - UK Udine - IT Healthy Ageing Cities' action for an active and healthy ageing PlaceMaking 4 Cities Useful public spaces instead of nice public spaces Dún Laoghaire Rathdown County Council - IE Roma-Net II Integration of Roma populations Budapest - HU TUTUR Temporary use as a tool for urban regeneration Rome - IT *Fast Track Label URBACT is a European exchange and learning programme promoting integrated sustainable urban development. It enables cities to work together to develop solutions to major urban challenges, reaffir ming the key role they play in facing increasingly complex societal changes. URBACT helps cites to develop pragmatic solutions that are new and sustainable, and that integrate economic, social and environmental dimensions. It enables cities to share good practices and lessons learned with all professionals involved in urban policy throughout Europe. URBACT II is 500 different sized cities and their Local Support Groups, 56 projects, 29 countries, and 7,000 active stakeholders coming equally from Convergence and Competitiveness areas. URBACT is jointly financed by ERDF and the Member States. URBACT Secretariat 5, rue Pleyel 93283 SAINT-DENIS cedex - France Tel.: +33 (0)1 49 17 46 02 Fax: +33 (0)1 49 17 45 55
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