How Cities Can Take Action to Drive the Energy Transition

17 May 2021| Articles


The dominance of fossil fuels in the urban energy supply puts cities on the frontline of climate change. Cities account for about 75% of global primary energy use and are responsible for 70 per cent of energy related greenhouse gas (GHG) emissions, making them key actors in both national and global efforts to transition to a net-zero future.

Cities can catalyse the shift to a low-carbon future

A new report published today by IRENA, outlines ways in which cities can catalyse the shift to a low-carbon future – in turn supporting regional and national governments with the achievement of sustainable energy targets and the realisation of global climate objectives. Cities can be target setters, planners and regulators. They are often owners and thus operators of municipal infrastructure. Cities are always direct consumers of energy and therefore aggregators of demand, and can be facilitators and financiers of renewable energy projects.

Renewable Energy Policies for Cities also presents case studies from small- and medium-sized cities in various regions, demonstrating that cities are already stepping up to the responsibility. Examples from China, Costa Rica, and Uganda show that despite limited access to financing and policy support, the clear benefits of sustainable energy in an urban context have inspired action.

Solar Power in Kasese, Uganda

In Kasese, Uganda, for example, the municipality recognised its significant potential for solar energy, in turn leading to the establishment of Kasese’s Municipal Sustainable Energy Strategy in 2017. IRENA contributed to Kasese’s journey in deploying solar energy with its SolarCityEngine, a web-based application to assist homes, businesses and municipal authorities in evaluating the prospects of electricity generation using rooftop solar photovoltaics (PV). The online simulator allowed the municipality to assess the costs of incentive, affordability, and the total volume of investments.

A set of policy measures then followed, which included efforts to attract investments, programmes to train households and small businesses to deploy home-based solar system, and awareness-raising activities to ensure acceptance by residents. As a result, the residents of Kasese embraced the deployment of solar PV in their city, including their homes. The shift from polluting kerosene lamps to clean solar power brought improved health to many and presented new economic opportunities as people saved money on electricity.

E-mobility in Cartago, Grecia and Guanacaste in Costa Rica

In Cartago, Grecia, and Guanacaste in Costa Rica, electric mobility (e-mobility) is the new frontier in achieving net zero emissions. E-mobility is presented as a natural choice for the country thanks to its high renewables share in power supply, the availability of space for infrastructure, the short average of driving distance, and the optimal average temperature for electric vehicles (EVs).

With effective policies in place, the report highlights that Cartago, Grecia, and Guanacaste have all witnessed a positive increase in e-mobility infrastructure. The easy access to facilities, combined with the cost efficiency of EVs, motivates residents to make the shift from fossil-fuelled vehicles to EVs, and adopt a more sustainable way to commute. Electric buses also increased in number, not only creating jobs for trainers and drivers, but also reducing demand for private driving, and consequently GHG emissions.

Wind-powered heating in Zhangjiakou, China 

In Zhangjiakou, China, residents attested to the positive change brought about by a wind-powered heating system. After abandoning coal for heating, residents found the air to be cleaner, which motivated people to enjoy nature and socialise more in outdoor settings. The wind power also fuelled growth in the city as businesses increasingly sought to base their operations in Zhangjiakou, to benefit from the low-cost electricity produced by the wind power.

Geothermal energy for district heating and cooking in Xiong’an, China 

Xiong’an became the first smog-free city in Northern China thanks to the development of geothermal energy. With its low operation and maintenance costs, as well as resilience to weather conditions, geothermal has successfully replaced coal-generated district heating in Xiong’an. Residents enjoy the benefits from reduced heating costs, and the geothermal power plant together with district thermal grid creates jobs for the city.

Geothermal energy for district heating in Bogatić, Serbia

In Serbia, the success of Bogatić municipality in deploying geothermal energy for district heating system has motivated other municipalities to exploit their geothermal potential. After discovering the cost efficiency and the reduced pollution resulting from it, residents and financial institutions are now the advocates for the technology. See the guidelines for policy makers on Integrating low-temperature renewables in district energy systems.

Global energy transformation starts at a local level

Examples presented in the report showcase best practices for other cities working towards a decarbonised energy supply. What they emphasise is the importance of strong alignment between local and national governments, and of proactive local resident, community group and business engagement. For the global race to zero to move at an accelerated pace, the world’s urban environments must be empowered to take meaningful actions.

Read more in the Renewable Energy Policies for Cities and related case studies, also available in Spanish and Chinese. The reports and case studies were produced with the support of the International Climate Initiative

See the full package of reports, case studies and videos on the Cities webpage.