A Competitive, Inclusive and Sustainable Liverpool A Submission to the Mayoral Commission on the Sustainable Economy from the Liverpool Green Partnership 1 A competitive, inclusive and sustainable Liverpool A submission to the Mayoral Commission on the Sustainable Economy from the Liverpool Green Partnership. Summary Liverpool is a remarkable city. It has been a world city based on trade and industrialisation, faced decline, and physical and environmental degradation not seen in many other places. Now it is creating an equally remarkable transformation to a new future, highlighted by its year as Capital of Culture, and the forthcoming International Festival of Business. The advent of the Mayor provides a new opportunity, and he has articulated his aspirations for Liverpool as a leading world city. He has an overarching objective to create a thriving society and economy offering an increased number of jobs and has five pledges to help drive his ambitions. We believe placing sustainable development as the core guiding principle of Liverpool’s planning, policy and action is the best way to achieve these ambitions. This proposal is made by the informal Liverpool Green Partnership (see annexe one for membership), comprising representatives of the Universities, Chamber of Commerce, Liverpool Vision, health, transport, waste and social sectors. It sets out how the city can drive through a fundamental transformation of its economy, by creating a sustainable city that builds upon the uniqueness of the place and its people. We believe there are already strong foundations and that this is a time of great opportunity which the city should seize. The leading role taken by the Chamber of Commerce supported by other private and third sector businesses within the Partnership is a clear indication that the business community recognise and wish to support the importance and opportunities for driving growth and jobs provided by a sustainable low carbon city. The sustainable city agenda is a transformational opportunity which enables investment, jobs, a good environment, less inequality and a better quality of life to become possible. To deliver the Mayor's aspirations and objectives, Liverpool must remain competitive with other cities in order to ensure growth and jobs. The city also has legal obligations to meet in terms of climate change and emissions standards. Above all, we want to future proof our city in order to hand on a vibrant, successful and resilient city to our children. The informal Green Partnership has examined a range of issues that help inform the debate about sustainable development for Liverpool, and the following report contains more details that underpin our key recommendations. We propose the following:- 2 Key proposals Recommendation One - Develop a single Sustainable City Vision and Plan - To provide the road map for change and progression, the city must articulate a Vision supported by a coordinated delivery plan. Recommendation Two - Leadership accountability and governance The Mayor must provide the strategic focus and this will need to be reinforced by the City Council adopting a multi-discipline, interdepartmental approach working with city region partners. Recommendation Three - Develop new financial models to stimulate local growth. Policies, investments and development across the city must demonstrate real commitment to sustainable development, and partners and agencies must use their financial power to promote local growth. Recommendation Four - Establish new ways of collaborative working across sectors. The real barriers that exist in achieving effective collaboration between public, private, community and academic sectors have to be broken down. Recommendation Five - Commit to a bid to be European Green Capital in 2016. Recommendation Six - Build public consensus. Creating a competitive, inclusive and sustainable Liverpool requires the engagement, support and input of all concerned. Note. (In terms of specific actions this proposal deals largely with the City of Liverpool. However, a truly sustainable approach will also require the full participation of the wider City Region.) 3 A competitive, inclusive and sustainable Liverpool A submission to the Mayoral Commission on the Sustainable Economy from the Liverpool Green Partnership Introduction We believe that creating a truly sustainable city is the best means of meeting Liverpool's ambitions, and provides the best opportunity, to sustain and improve the city’s long term economic health. Bidding for European Green Capital, (see Annexe Two) is a key means whereby the City can celebrate its transformation, and signal its intent to become a world leader. The Liverpool Green Partnership Following the 2010 report 'Low Carbon Liverpool'1, the University of Liverpool, Liverpool Chamber of Commerce, and Liverpool PCT created a broad ad-hoc partnership of organisations who have been meeting over the past year to determine how Liverpool can combine the creation of a vibrant, successful and inclusive city with what needs to be done to meet the city’s legal climate change obligations, alongside the economic, social and environmental challenges of the 21st century. This has included exploring the benefits of Liverpool bidding to become European Green Capital, a process that other bidding cities have demonstrated to be a tried and tested way to focus and catalyse a city’s sustainable and competitive performance. The Partnership has concluded that Liverpool can make a credible bid and there are a range of very positive costs and benefits to doing so. We have now formed the informal Liverpool Green Partnership and have worked with partners to undertake a baseline audit of the city and city region’s current environmental performance2. The audit was based on the bidding criteria for European Green Capital, (EGC). This audit report is presented in a separate submission to the Commission. The partnership now has a clear understanding of the environmental challenges faced by the city along with opportunities that these bring for economic and social renewal. Liverpool’s future in a competitive world To maximise opportunities for the local community as well as attracting and retaining the highly mobile skills and technologies that will create the sustainable wealth of the future, and the future entrepreneurs and labour force that will generate them, the city needs to present itself as one with high quality local environments, good education and a commitment to sustainable development. Liverpool’s competitiveness has to be achieved within the context of the challenges that all cities face; the challenges of climate change, population growth, demographic change, urbanisation and resource depletion, which 1 2 http://www.lowcarbonliverpool.com/ (utilising ESRC funding through the University and through the PCT) 4 mean that the world’s great cities need to adapt to survive and thrive in the twenty first century. For leaders of growing cities, reducing emissions while increasing quality of life and economic success is an accepted reality, as well as an enormous challenge. However, as the CBI has recently reported, in addressing climate change there is an opportunity to develop technologies bringing jobs and businesses, addressing social inclusion, and nurturing and retaining local talent at all levels in the economy. As Mayor Bloomberg of New York has said:To thrive economically, we must create a setting where talented entrepreneurs—and the businesses they grow—want to be. One of the fundamental prerequisites for creating that business climate is functional, cost-effective infrastructure. Another of the fundamentals is quality of life, no longer a vague nicety but a tangible feature that business leaders consider when deciding where to locate or expand: where do talented workers want to live, in an age when they can choose to live anywhere? They don’t consider great parks or clean air to be a frill”. ‘Business as usual’ economically, socially and environmentally is therefore not an option. The vision for a sustainable Liverpool We need to complete the transformation of Liverpool from the low-value industrial economy of the 20th century to the high-value knowledge driven economy of the 21st. It is fundamental for this transformation to occur that the city offers a competitive environment to attract global talent and investment into its emerging high-value industries. We believe this can best be achieved through an economic strategy based upon sustainable development. The World Commission on Environment and Development (Brundtland Commission) report defined sustainable development as "development which meets the needs of current generations without compromising the ability of future generations to meet their own needs". The concept supports strong economic and social development, in particular for people with a low standard of living. At the same time it underlines the importance of protecting the natural resource base and the environment. Economic and social well-being cannot be improved with measures that destroy the environment. Intergenerational solidarity is also crucial: all development has to take into account its impact on the opportunities for future generations.3 A starting point for Liverpool has to be that sustainable development allows us to square the circle of addressing disadvantage and poor health through economic security with equal access to education, employment, food and warmth to create a better quality of life and well being for the whole community without compromising the wellbeing of other communities. This 3 United National Economic Commission for Europe 5 means new economic models involving the creation of a green, healthy environment resilient to changes in climate, energy availability and demographics. It means the efficient use of land, producing the lowest quantity of pollution possible. It means viewing waste, either of human or material capital, as a failure. This will only be effective through governance for the short and long term supported by meaningful and broad-based citizen participation. This in turn creates a city best able to attract talent and innovation, inward investment, nurture and retain local talent, and create sustainable growth that combines economic revitalisation with a step change in social and environmental performance and reductions in greenhouse gasses. Arising from this approach, the concept of a low carbon economy as a discrete economic strategy, alongside the knowledge economy, Superport, and visitor economy, needs to be replaced by a single one that embraces and guides all the city’s activities. The visitor and knowledge economy, and the port need to be run in a competitive, socially inclusive and sustainable, low carbon manner if the city’s competitive advantage is to be maintained in the long run. Key findings from the Green Partnership. The Partnership has undertaken two areas of research; a) examining the approach taken by cities who are acknowledged leaders in creating a sustainable economic strategy, b) an audit of current environmental performance of Liverpool and the city region. Taken together these assessments have also allowed a snapshot of the city's current position. Our main findings are: Economically successful cities are sustainable cities. The most successful port cities in this context, cities like Vancouver, Seattle, Stockholm, or Hamburg, are also the cities well aligned to a ‘green’ agenda. These cities are our competitors in a global market place for investment and talent. Cities need to continue to grow and develop and create resilient local economies. There is a clear need to position cities at the forefront of urban living with high quality environments and a high quality of life able to attract inward investment, and grow local entrepreneurship. A key element of such an environment is sustainability and the quality of life on offer. Another key element is efficiency in transportation, energy, and resource utilization. Being seen as green, smart and sustainable is essential to the brand of any future competitive city. Bidding for European Green Capital creates a brand that helps put a city ‘on the map’ and increases interest in the city as a place to do business. It 6 can help boost low carbon innovation and technological development, reinforces the ‘future, leading edge’ reputation of a city and forms the basis for the new economy and jobs. Nantes recognised that growth and being green add value to a culture-led regeneration strategy following the collapse of shipyards in the late 1980s. A high quality environment and quality of life is essential to attract talent to visit and stay in the city, and to create new business. Although already successful, Hamburg saw it as imperative to attract and retain more talented people than it was previously doing. An audit of local performance Across the city and city region there are already a wide range of existing environmental strategies, plans and initiatives in place on which to build. The city and city region’s current environmental record in many aspects compares favourably with past European Green Capital winners. However, there are areas where there are real opportunities for improvement which could bring significant economic, social and environmental benefits. We believe the audit provides a framework to drive and monitor change in the future. The current position There is some evidence that the long term lack of a single Vision has been a deterrent to investment in Liverpool. By contrast, Manchester's 'Commission for a New Economy' is designed to ensure the City's commitment to a low carbon economy, creates real investment opportunities. Research shows that a consistency of approach across all a city’s partners and agencies is crucial for long term success, while silo thinking and conflicting approaches between agencies is a recipe for continued underperformance. Evidence from Nantes shows how all agencies within the city have a consistency of view and approach derived from a clear sense of the city's overall strategy - regeneration through creating quality of life and a sustainable city. It has turned its fortunes to become France’s happiest city to which people relocate from Paris.. The Partnership has good working links with Nantes, which is Green Capital for 2013, and from which we can learn. The Green Partnership’s research demonstrates there are a wide range of public, private and third sector stakeholders actively pursuing and delivering low carbon projects across the city; these will ultimately deliver outputs that should result in a lower carbon economy and increased quality of life being achieved in Liverpool. They range in size and scope from examples such as the Eldonians' combined heat and power plant, the River Mersey Task Force, and the Local Nature Partnership, to burgeoning local food growing initiatives and a multitude of community environmental initiatives. However all these initiatives have different drivers and objectives. They are not coordinated into one common vision and purpose. This is slowing our rate of progress and prevents selling Liverpool as a leading sustainable city. 7 In summary, the city is at the following stage: There is much good work going on This is not tied together into a single vision and plan There are no clear goals by which the city sets out its ambitions and aspirations There is a lack of leadership and coordination across all the existing activities The city does not articulate and market its green credentials as well as it could As a consequence, the city is not achieving anywhere near its full potential for its economy and the health and well being of its citizens the sustainable city agenda is a transformational opportunity. Delivering a sustainable city. The range of initiatives outlined above along with strategic developments such as the introduction of the Liverpool City Region SEAP, and Liverpool’s Covenant of Mayors initiative all provide the city with the basis and momentum to develop a cross cutting, long-term strategy that delivers economic growth and carbon reduction and improved quality of life, sending the right signals to investors and citizens alike about Liverpool’s intent. Now is the time for Liverpool to become an early adopter. It must develop an effective delivery model based on true public-private partnership, knowledge transfer, smart procurement, commercial awareness and sustainable outcomes. The Heseltine/Leahy report has already highlighted the opportunities that could be opened up around a clean and thriving River Mersey, with its strategic position on the Atlantic coast with rich coastal and water resources making our proposition unique. Liverpool as a green and sustainable city is a message that needs to be sold as a matter of priority. The importance of Liverpool's cultural and sporting offer in creating a highly successful tourist sector is now well understood. Being seen as green and sustainable city will become increasingly important to maintain and grow its reputation as a tourist destination. Becoming a green and sustainable city therefore adds to the city's portfolio of selling points to regain its place as a leading world city. The Mayor must lead on a strategic approach with a clear and well publicised action plan backed by costed projects and programmes. This would provide an opportunity to build a consensus across the city, and provide the best opportunity to help meet his priorities particularly in relation to jobs, enterprise and a 'sparking city' To build on the opportunities that now present themselves we believe there are a number of key proposals to ensure success 8 Recommendation One - Develop a single Sustainable City Vision and Plan. To provide the road map for change and progression, the city must articulate a Vision supported by a coordinated strategy, backed with appropriate resource and ‘bite’, that enables and supports all projects but also connects and refines when appropriate. We must find a multi-disciplinary, interdepartmental response to our vision that will reduce consumption and emissions, enhance the city as a place to visit, live and work, deliver economic growth, create resilience to climate change and eliminate fuel poverty. There are already a host of existing plans and strategies embracing all aspects of the city's development. These need to be corralled into an overarching strategic plan that all partners can relate to. Future spending proposals, such as the new European Structural funds programme, for example, should be measured against the contribution to the strategic plan. There are a number of models across the world showing how to draw up a long term strategy for the sustainable development of the city region, combining competitiveness with what we need to do to avoid dangerous climate change, including the ICLEI’s Milestones Methodology4. This involves (1) building on the Green Partnership’s audit to review current environmental performance, (2) identifying a full range of measures for enhancing the city’s performance as a green and successful city, while reducing greenhouse gas emissions, (3) developing environmental performance and greenhouse gas emission reduction targets, and (4) developing a mechanism for tracking progress towards targets. There are many examples of how cities across the world have addressed these issues. The New York PlaNYC has much to commend it as its introduction followed a period in the early 2000's very akin to Liverpool's current position. Recommendation Two - Accountability leadership and governance. It is essential that the Vision and Plan are constantly monitored and reviewed. Models of good practice must continue to be studied carefully, both national and internationally. There is much that can be learned from others, and this will help in two key areas – benchmarking against the competition, and focussing resources effectively. The Mayor must provide the strategic focus but this will need to be reinforced by a multi-discipline, interdepartmental approach as an essential success factor in our view. Accountability within the City Council with access to resources and with a responsibility to act is therefore vital. The role within the City Council will need to be supported by the Leadership of the Council and the City including senior officers and Members Recommendation Three - Develop new financial models to stimulate local growth. Policies, investments and development across the city must demonstrate real commitment to the sustainability agenda. The biggest prize 4 http://www.icleiusa.org/action-center/getting-started/iclei2019s-five-milestones-for-climateprotection 9 will be a viable legal and financial model which is able to deliver this. The new Social Value Act may provide new opportunities to help keep more jobs and opportunities within the City and region, using the potential of big institutions to procure local services. For some, there remain tensions between the economic and environmental agendas. Leading cities are dealing with them, led by political vision and commitment. They know that the leading cities are the greenest cities. As the audit and other evidence shows there are a number of already successful initiatives underway, delivering change and growth. In other areas, progress is less assured. Lessons need to be drawn from these areas and solutions promoted. Perhaps most significantly, the new EU Multi-Annual Financial Framework (MFF) or more informally, the Budget, for the period 2014-20 will demand a large commitment to developing the low carbon economy. It appears likely that a substantial part of the available budget will support low carbon initiatives. There is therefore a large potential opportunity to use this period to greatly develop the sustainable city. The corollary of this is that the city will, in any case, have to show such a commitment to be eligible for the new funding. Recommendation Four. - Examine new ways of collaborative working across sectors. The real barriers that exist in achieving effective collaboration between public, private, community and academic sectors have to be broken down. They stifle enterprise and drive away investment to better organised, more entrepreneurial locations. To drive the agenda we must therefore have the resources to carry out proper strategic thinking and develop collaborative programmes with all sectors. Through the Green Partnership, we already have the building blocks to create a centre of excellence and an information exchange, and ensure that resources of expertise and finance are used efficiently. A joint Centre for the Sustainable City could help draw in funding and staffing in innovative ways, that can support existing and further research in areas such as the challenges and opportunities that are presented. For example, by reducing energy consumption the city can reduce its emissions, costs and export of sorely needed capital. What are the cumulative impacts of this? What employment opportunities are opened up? The triple helix approach, of the public, private and university sectors jointly driving the growth of their cities is one that already has favour in Europe and increasingly feeds into national programmes. Important lessons in how a centre, focussed on these activities, could work can be drawn upon from the experiences of a number of similar institutes globally, for example, the Los Angeles Regional Collaborative for Climate Action and Sustainability hosted at UCLA5. 5 http://www.environment.ucla.edu/larc/about/ 10 Recommendation Five - Commit to a bid to a future European Green Capital. This will require a decision in principle in the summer of 2013, with a final bid in October 2013. Bidding for the title will raise the city’s economic, social and environmental and European profile, and to catalyse the transition to a low carbon economy and to facilitate a step change in performance, much as the city’s year as Capital of Culture showcased cultural heritage and a can-do attitude in a rejuvenated city in 2008. , This proposal has already been endorsed by the Mayoral Commission on Europe. The audit undertaken by the Partnership has been undertaken within the framework of the bidding process for the award. It therefore provides a ready made template for a formal bid. There is clear evidence from cities that have bid unsuccessfully for the award that the process of bidding has helped raise the profile of the city and helped drive change within the city. The Green Partnership commissioned a report in 2012 illustrating the positive costs and benefits of bidding. Recommendation Six - Build public consensus. Creating a competitive, inclusive and sustainable Liverpool requires the support of all concerned. A city-wide movement for change based on an understanding of the benefits the whole city can derive needs to built, to generate a wider debate across the community on the need for change, in order to enhance the city as a place to visit, live and work, deliver economic growth, create resilience to climate change and eliminate fuel poverty. Work on this can be started by formalising a working relationship with the Liverpool Green Partnership to recognise the contribution all sectors can make to a sustainable city. The Green Partnership should be led by the Mayor, and composed of key decision makers able to drive change through, supported by a wider implementation group from the public, private and community sectors. It should result in co-ordinated approach, building capacity, and maximising support and resources There are clear lessons to be drawn from the success of Capital of Culture where the general public were engaged and committed. More recently, the Decade of Health and Well Being is showing the way a holistic engagement programme can work. The City Council should support and work with the Green Partnership to promote the sustainable city and achieve change in key areas such as recycling and the use of healthier transport options. 11