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London City Charter Congress of Leaders 9th November 2010 Carbon Reduction Group – Progress Report Contact Officer: Faraz Baber, London Councils, 020 7934 9803 [email protected] Recommendation: Congress is recommended to: note progress on the Carbon Reduction Group (CRG); agree the proposals for future development of the CRG; and agree the attached draft Terms of Reference Summary 1. The Congress of Leaders agreed that officers should work together to further develop proposals for a Carbon Reduction Group to drive forward carbon reduction activity across London by identifying shared and complimentary objectives across sectors, sharing knowledge and experience of carbon reduction programmes, and working in partnership to promote and deliver carbon reduction programmes across London. This paper updates Congress on progress so far. Background 2. Following on from the decision at the June Congress, officers set out a plan to: Agree some key principles between London Councils, the GLA and LDA to underpin proposals going forward to the Charter Board and subsequently to the next Congress. Identify the key stakeholders that could be involved in the CRG and begin the process of early engagement with key contacts in these organisations. Further explore the wider links to health i.e. carbon reduction in the NHS and beyond that, the inter-relationships between wider health outcomes and energy use. Develop a draft Terms of Reference (ToR) for the proposed CRG. Prepare an update report to the Charter Board for 19th October to form the basis of a report to the Congress of Leaders on 9th November 2010. 3. Officers from London Councils, the GLA and LDA subsequently agreed the following as underlying principles: The CRG should be advisory, not decision making as it will be difficult to compel the different organisations to follow through. The aim should be to use the knowledge, expertise and influence of the membership to secure deals that each member of the Group will be able to champion through their organisations or constituencies. Support and champion the Mayor’s Climate Change Mitigation and Energy Strategy (CCMES) in three ways: London City Charter o o o Congress of Leaders 9th November 2010 By supporting and championing relevant existing policy, actions and programmes within their respective sector to support achievement of the Strategy’s targets and to maximise the effectiveness and performance of existing and emerging programmes. By playing an active advisory role in the evolution and development of future climate change mitigation and energy policy in London in light of emerging national and global policy and By actively developing and helping to roll-out new actions and programmes in London designed to mitigate climate change and deliver energy security The CRG must have the right people/organisations represented. Membership would need to be strategic and streamlined to core stakeholders all of which must have a proven track record on delivering innovative activity within the low carbon economy/climate change mitigation agenda, and it is proposed that membership be restricted at this stage to: o Mayor Boris Johnson or his nominated Deputy to Chair o Chair of London Councils’ Transport & Environment Committee (currently Councillor Catherine West) o NHS Lead (representation currently being discussed with NHS London) o Business sector Lead – Infrastructure/project development expertise o Energy sector Lead – to represent the major Utilities o Financier/City Lead – finance and carbon finance expertise o Research and Development / Innovation /Technology Lead o Construction/Built Environment sector lead o Up to 3 members to come from exemplar businesses leading the way in reducing their organisation’s carbon footprint Creating a rigid structure at this stage is not feasible but governance issues would still need to have clarity. The CRG will seek to replace some of London’s existing partnerships in order to avoid duplication with existing groups. The CRG will be supported by a Senior Officers group to ensure follow through on agreements and decisions within the participating organisations. An assessment will be carried out to understand the nature and scope of any resource that may be required to support CRG members in implementing relevant recommendations. This assessment will include a review of existing groups in London. Current situation 4. Discussions between London Councils, GLA and LDA have identified a number of existing strategic programmes and partnership arrangements that could be usefully assimilated into the remit of the CRG as an overarching forum for decision making at the highest level. It is envisaged that the CRG will be the Forum that will support and facilitate delivery of the key programmes identified in the Mayor’s climate change mitigation and energy strategy. It will also support the development of new programmes to deliver carbon reductions. 5. Officers have met with the NHS Carbon Reduction Steering Group (CRSG) in late July and early October. Discussions at these meeting raised the following issues: London City Charter Congress of Leaders 9th November 2010 Proposed government reforms will mean there will be no longer be a regional NHS body for London. More thought therefore needs to be given to the most appropriate regional representation for this sector on the CRG. Officers of NHS London will explore options for how the Chief Executives of NHS Trusts Network can be used to facilitate representation on the CRG. They will also explore the potential role of a possible, future General Practitioners (GP) Network. 6. There have been some sounding discussions with potential organisations, who are supportive of the overall policy and direction of the CCMES, on relevant elements of the CCMES. Officers will look to build on these contacts and other potential organisations following Congress ratification of the approach so far and the proposals for the future. CRG Terms of Reference 7. Draft Terms of Reference (ToR) have now been developed (attached as Appendix 1) and agreed in principle between the GLA, LDA and London Councils. Only once these organisations have agreed them and the nature of the body has been fully defined will we seek to gain agreement with other suggested key stakeholders. London City Charter Congress of Leaders 9th November 2010 Appendix 1 – CRG Draft Terms of Reference CARBON REDUCTION GROUP DRAFT TERMS OF REFERENCE CONTEXT The international scientific consensus is that to avoid catastrophic global warming, average world temperatures should not be allowed to increase beyond 2 degrees Celsius. Significant reductions of manmade greenhouse gas emissions, in particular carbon dioxide (CO2), is therefore a key strategic aim of central government and the Mayor of London in order to work towards the world achieving this. London is the centre of the UK’s financial district; it has a large number of significant valuable assets; it has the largest population centre in the UK; and it is a geographically low lying position in a flood plain on a large tidal river. This all means that it is particularly vulnerable to the impacts of climate change. Previous and current governance structures, varying drivers for change and action, the diffuse nature of London’s emissions sources, and the sheer scale of the task involved in reducing carbon dioxide emissions in London provide the context and rationale for establishing a group that can drive forward the low carbon agenda at a London level. This Group has been formed to ensure that the key people, with the relevant knowledge skills and experience, ultimately responsible for making significant decisions on emissions reduction in London, are, where feasible, pursuing appropriate and complimentary objectives and are able to make the most of their own and their organisation’s capacity, responsibilities and capabilities to meet this significant challenge. MEMBERSHIP The membership of the Carbon Reduction Group is intended to maximise impact whilst representing key sectors. Depending on strategic objectives around achieving carbon reductions the membership will be flexible but also managed tightly, in order to ensure the purpose and functionality of the group is not lost through over subscription, delegation of substitute representatives or through ‘mission creep’. Membership of the group at its inception is therefore as follows: o o Mayor Boris Johnson or his nominated Deputy to Chair Chair of London Councils’ Transport & Environment Committee (currently Councillor Catherine West) London City Charter o o o o o o o Congress of Leaders 9th November 2010 NHS Lead (representation currently being discussed with NHS London) Business sector Lead – Infrastructure/project development expertise Energy sector Lead – to represent the major Utilities Financier/City Lead – finance and carbon finance expertise Research and Development / Innovation /Technology Lead Construction/Built Environment sector lead Up to 3 members from exemplar businesses leading the way in reducing their organisation’s carbon footprint The Chair of the group will be the Mayor of London, or his appointed deputy. Additional membership will be decided by consensus. KEY OBJECTIVES Strategic: To support the effective delivery of the Mayor’s Climate Change Mitigation and Energy Strategy by maximising the potential of and synergies between each member organisation’s capacity, responsibility and capability to reduce carbon across London, and help drive community engagement and behaviour change. Opportunities and efficiencies: to identify and realise the opportunities, efficiencies and economies of scale that members of the group can collectively bring to bear to maximise the speed and scale of carbon reduction activity in London through the combined organisational, reputational, and financial capacity that members bring to the group. Step change: to deliver a step change in how each members’ sector drives carbon reduction within its industry by integrating it into normal business activity and driving cost effective carbon reduction activity. STRATEGIC PRIORITIES Where possible, aligning carbon reduction aims and priorities across different sectors. Positioning and promoting London to the Government and on a wider (world) scale / stage. Championing climate change priorities for London in members’ own networks and through their speaking opportunities. Leading work and engagement with the City/financiers to unlock finance for low carbon investment and new approaches for taking advantage of London’s position as a financial power house. ADMINISTRATION AND MEETINGS The GLA will provide a Secretariat for the CRG The CRG will be supported by a Senior Officers Implementation Group to ensure follow through on agreements and decisions within the participating organisations. London City Charter Congress of Leaders 9th November 2010 An assessment will be carried out to understand the nature and scope of any resource that may be required to support CRG members in implementing relevant recommendations.