HomeMy WebLinkAboutCOUNCIL - AGENDA ITEM - 01/09/2007 - CLIMATE PROTECTION PLAN/TASK FORCE DATE : January 9 , 2007 WORK SESSION ITEM
STAFF : Ken Mannon FORT COLLINS CITY COUNCIL
Lucinda Smith
SUBJECT FOR DISCUSSION
Climate Protection Plan/Task Force .
GENERAL DIRECTION SOUGHT AND SPECIFIC QUESTIONS TO BE ANSWERED
This work session will provide background information about the City of Fort Collins ' greenhouse
gas reduction goal, progress on the goal, and staff feedback on the climate resolution that was
proposed in August by the Fort Collins Sustainability Group .
1 . Does the Council wish to bring the resolution originally proposed by the Fort Collins
Sustainability Group for formal consideration at a future Council meeting?
2 . Does the Council have any other questions or suggestions regarding the resolution or Fort
Collins ' progress on greenhouse gas reduction?
BACKGROUND
On August 15 , 2006, citizen members of the Fort Collins Sustainability Group (FCSG) proposed a
resolution to City Council during citizen participation that would :
1 . Convene a task force to update the City ' s greenhouse gas reduction plan;
2 . Ensure the updated plan includes measures that promote renewable energy and energy
efficiency; and
3 . Ask the City to sponsor a public forum series to address how Fort Collins can move forward
after 2010 to become a "climate neutral city" .
At the current rate of progress, the City will not meet its goal to reduce 2010 greenhouse gas
emissions by 30% despite significant progress in certain sectors . Since the goal was adopted, a
growing proliferation of climate protection technologies as well as market-based economic drivers
have emerged. The FCSG resolution would increase the likelihood of capitalizing on these new
opportunities, possibly helping the City to reach its 2010 goal after all. It would also afford an
opportunity to update the goal for post 2010 while exploring the potential for climate neutrality in
Fort Collins . Recent publications studying the economic threats and opportunities from climate
protection largely concur that climate protection supports local economic development. Early
results in Fort Collins support this assertion, demonstrating that local businesses are now saving over
$2 million from voluntary climate protection practices. For these reasons, staff supports the FCSG
Resolution with only one minor modification that would expand the focus on energy efficiency and
renewables to include the transportation sector. Attachment 2 elaborates on these points .
Progress on Fort Collins ' Greenhouse Gas Reduction Goal
January 9 , 2007 Page 2
In 1997, the City of Fort Collins joined ICLEI ' s (International Council for Local Environmental
Initiatives) Cities for Climate Protection (CCP) Campaign. In doing so, Fort Collins committed to
develop a 1990 baseline greenhouse gas inventory and forecast for 2010, set a greenhouse gas
reduction goal, and develop a plan to meet the goal. A Staff Technical Team and a Citizen Advisory
Committee met for over a year to identify and recommend a prioritized list of cost-effective actions
to reduce local greenhouse gas emissions .
In 1999, City Council adopted Resolution 1999- 137, setting the goal to reduce citywide greenhouse
gas emissions by 2010 to 30% below predicted worst case 2010 levels . The 1999 Fort Collins Local
Action Plan to Reduce Greenhouse Gas Emissions (the Plan) outlines how to accomplish that goal.
Resolution 1999- 137 called for an interdepartmental Energy Management Team to prepare a
biennial report to track progress and identify additional greenhouse gas-reducing activities that merit
consideration, in recognition of changing scenarios and advances in technology.
Benefits to the City from implementing the Local Action Plan have been wide-ranging and include
air pollution reduction, reduced waste in the landfill, increased support for local businesses and the
economy, and generally improved quality of life. Below are highlights from specific measures
identified in the 1999 Local Action Plan that have now been implemented.
• Conversion of traffic signals to energy efficient light-emitting diodes
This action was ranked the highest priority for implementation. The conversion of red and
green signals to LEDs saves over $ 110,000/year in electricity and maintenance costs, with
an initial capital cost of $370,000, for an approximate 3 .4 year payback.
• Climate Wise Business Outreach
The Fort Collins Climate Wise voluntary business outreach program was initiated in 2000
and has been growing ever since . As of 2004, the 38 partners collectively avoided over
95 ,000 tons carbon dioxide equivalent (CO2e) in that year alone, and reported over $ 1 . 7
million in cost savings since 2001 . The program has now grown to over 50 partners and the
greenhouse gas reduction and cost savings are increasing as well.
• Wind Energy Program
Fort Collins Utilities has offered renewable energy to customers through the Wind Program
since 1998 . The program has grown steadily since that time and by 2005 , there were over
1200 residential and over 70 commercial subscribers, avoiding over 11 ,000 tons CO2e in
2005 alone.
January 9 , 2007 Page 3
• 2004 Update to Residential Building Code
The 2004 energy code update for Fort Collins residential buildings requires energy
efficiency improvements (R- 18 walls, low-e windows, more effective furnaces, duct work,
right-sized AC systems) . These upgrades will save homeowners $90 - $ 150/yr/home in
utility costs and will avoid 1 .2 — 1 . 5 tons CO2e/home/year.
• Addition of a centralized recycling drop-off site
The Rivendell site opened March 2002 . Recycling is now approximately 1 ,400 tons material
each year. This results in approximately 1 , 800 tons CO2e avoided and provides added
convenience to citizens for recycling.
• Electric Energy Supply Policy
In addition to measures included in the Local Action Plan, the adoption of the Electric
Energy Supply Policy in 2003 has led to significant greenhouse gas reductions . The targets
of the supply policy are :
• Reduce per capita electric consumption 10% from 2002 levels by 2012
• Reduce per capita demand peak 15%
• 15 % renewable energy by 2017
A 1 % fee on utility bills funds the energy efficiency and renewable energy programs . Collectively,
these programs have reduced over 15 ,400 tons CO2e in 2005 .
Since adopting the greenhouse gas reduction goal in 1999, three biennial status reports have been
completed. (See http ://fcgov.com/climateprotection/policy.php for details .) The most recent
progress report (2004) showed that Fort Collins ' residents, businesses and the City government
together avoided an estimated 241 ,000 tons of carbon dioxide equivalent (CO2e) that year, or 9%
of total citywide emissions . The majority of these reductions have come from recycling by
businesses and residents .
The 2004 report also indicates the City is not on track to meet the 2010 reduction goal. In 2004,
nine percent of citywide emissions were reduced. The 2004 citywide emissions were 2,467 ,000 tons
CO2e which exceeds the desired 2010 emissions limit of 2 ,466,000 tons .
Updated 2010 Forecast
In preparation for this work session, staff prepared a 2005 emissions inventory and an updated 2010
forecast using the most current data and projections available . In order to reach to 2010 goal, Fort
Collins will need to achieve community-wide reductions of between 750 ,000 and 1 ,060,000 tons
CO2e/year in 2010 .
January 9 , 2007 Page 4
Fort Collins Greenhouse Gas Emissions and Forecast (Data)
Emissions
Year tons CO a Notes
2005 21731 , 000 Updated assumptions from ` 05 Municipal Solid Waste Stud
2010 31523 , 000 "Worst Case" 2010 Projection in 1999 Local Action Plan
2010 39217 , 000 2010 Projection using current forecast from 2005
2010 2 ,466 , 000 Goal 30 % below worst case 2010 levels
750 , 000 — 11060 , 000 Difference between goal and 2010 promections
Fort Collins Greenhouse Gas Emissions and Forecast
4, 000
Worst Case
39500 3,523 tons
Current
33000 Projection
a�.. 3,217 tons
N a ' • • •
OU 23500 Goal
N 2,466 tons
c 2, 000
*a / Actual
0 1 , 500 Emssions
O /
TMM
19000
500
0
MA j MA N N N
CEO to to O O CD
O Mphh 00 N 0) O
Future Opportunities
The good news is that the situation is continually evolving and new opportunities are becoming
available . There are a number of actions in progress or being developed in Fort Collins that will
help close the gap between the current 2010 projection and the goal, illustrated in the table below.
January 9 , 2007 Page 5
Initial Estimates of CO2e reduction from likely programs in 2010
tons CO2 avoided
Program Low High
Demand Side Management 51 100C 51 00
Renewable Energy 34100C 101 00
limate Wise 210100C 235 00
ther:
NC Clean Energy Cluster
City Energy Performance Contract
Biodiesel 36 000 86 00
TOTAd 331 , 001 473 00
* Benefits in 2010, above 2005 levels
Initial estimates of the benefits of the measures listed above range from 331 ,000 — 473 ,000 tons
CO2e in 2010, or 30 — 60% of the needed reductions . Of these, the Electric Energy Supply Policy
is estimated to provide over 50,000 tons of avoided CO2e in 2010 from planned Demand Side
Management Activities . Between 34,000 — 101 ,000 tons of avoided CO2e may occur from voluntary
and rate-based renewable wind energy. Preliminary estimates of the 2010 benefits from the Climate
Wise program growth above 2005 levels range from 210,000 - 235 ,000 tons of CO2e avoided 2010 .
Numerous other activities, listed below, can also contribute to greenhouse reduction, but the benefits
have not been estimated yet.
• Increased waste diversion from the landfill
• Green Building in Fort Collins
• 2004 Residential energy code (and coming commercial code update)
• Water Conservation activities
• Carbon sequestration in restored natural areas
Attachment 2 provides more information about evolving opportunities and what others are doing.
What are the consequences of not meeting the goal?
Fort Collins commitment to reduce greenhouse gas emissions is voluntary and there will be no
"penalty" if the goal is not met. However, there are several consequences of not meeting the goal.
Aside from not being more proactive in helping to address a significant global issue, consequences
at the local level include lost opportunities for leadership and to stimulate the economy. An
increasing number of studies show that taking action is profitable, and not taking actions can be
costly. These are discussed in more detail in Attachment 2 .
Climate Neutral
Climate neutral is defined having a net zero impact on the climate, typically through a combination
of direct greenhouse reduction efforts and purchasing offsets for the remaining emissions . See
Attachment 2 for a more detail on climate neutral businesses .
Staff Assessment of the Fort Collins Sustainability Group Resolution
January 9 , 2007 Page 6
The City ' s interdepartmental Energy Management Team has reviewed and supports the proposed
FCSG resolution because updating the City' s climate plan now would enable the City and
community to capitalize on technologies and market-based opportunities that have emerged since
the Plan was originally developed in 1999 . Recognizing the importance of the transportation sector
in local greenhouse gas emissions and potential reductions, staff recommends that Section 2 of the
resolution be modified as suggested below, clarifying that energy refers to all energy use, not just
energy used in buildings :
Section 2 . That the plan described under Section 1 shall include measures to
encourage local businesses, governments, utilities, schools, universities , non-profit
organizations, homeowners, and other individuals to develop, provide, and apply (as
appropriate) renewable energy, and energy efficiency, and transportation
technologies, services, and practices within the City of Fort Collins .
This suggestion has the support of the Fort Collins Sustainability Group.
The financial impact to the City of Fort Collins to implement the tasks contained in the resolution
is estimated at $4,000 to convene a task force and conduct a public form series using free speakers .
If a consultant is hired to assist with the task force, the costs could increase to a total $ 15 ,000 . The
approved 2007 Air Quality Improvement budget can cover the $ 15 ,000 in estimated expenses .
ATTACHMENTS
I . Fort Collins Sustainability Group proposed resolution.
2 . Fort Collins Progress on Greenhouse Gas Reduction and Future Opportunities .
3 . PowerPoint presentation.
4. Description of the Fort Collins Sustainability Group .
Attachment 1
• Resolution to Convene a Task Force to Update the City of Fort Collins
Climate Protection Peliey Plan and to Promote Renewable Energy and
Energy Efficiency Technologies, Services, and Practices
WHEREAS reducing our dependence on gasoline, natural gas, and other fossil fuels is
widely recognized as beneficial to the national, state, and local economies; and
WHEREAS local businesses currently provide goods and services that reduce the reliance of
national, state, and local economies on fossil fuels; and
WHEREAS local businesses currently have energy efficiency and renewable energy
standards that reduce the reliance of local economies on fossil fuels; and
WHEREAS promoting additional green businesses and business activity in renewable energy
and energy efficiency would benefit the local economy by providing jobs, property tax
revenue, and sales tax revenue; and
WHEREAS the City of Fort Collins recognized the importance of promoting the
development and application of clean and renewable energy sources by passing Resolution
2006-037, which directs the City Manager to join with other local institutions to develop a
• Clean Energy Cluster for Northern Colorado; and
WHEREAS the development and application of clean and renewable energy sources and
energy efficiency technologies would reduce the emission of greenhouse gases, which are
widely recognized as contributing to global climate change; and
WHEREAS the magnitude of climate change now predicted by the scientific community will
cause severe and costly disruption of human and natural systems throughout the world
generally and in Colorado in particular even if current rates of greenhouse gas emissions are
reduced immediately; and
WHEREAS the scientific community believes that significant reductions in the emissions of
greenhouse gases can slow and minimize the impacts of the disruptions associated with
climate change; and
WHEREAS the City of Fort Collins previously recognized the importance of evaluating and
mitigating the City s cumulative impacts on the environment caused by greenhouse gas
emission through its participation in the Cities for Climate Protection Campaign; and
WHEREAS the City of Fort Collins committed itself to reducing its greenhouse gas
emissions to the equivalent of 2,466,100 tons of carbon dioxide or less by 2010 by passing
Resolution 99-137; and
Page 1
WHEREAS if present trends continue the City of Fort Collins will be responsible for the
emission of 30%more greenhouse gases than the target established by Resolution 99-137;
NOW THEREFORE BE IT RESOLVED BY THE COUNCIL OF THE CITY OF FORT
COLLINS as follows:
Section 1. That the City Manager shall convene a task force, consisting of citizens and
members of City staff, which will be authorized and directed to proceed on behalf of the City
to develop an updated plan that will describe the steps our community will could take to meet
the greenhouse gas emissions target established by Resolution 99-137.
Section 2. That the plan described under Section 1 shall include measures to encourage
local businesses, governments, utilities, schools, universities, nonprofit organizations,
homeowners, and other individuals to develop, provide, and apply(as appropriate) renewable
energy, and energy efficiency, and transportation technologies, services, and practices within
the City of Fort Collins.
Section 3. That the City shall sponsor a public forum series to discuss and address the
question of how Fort Collins might move forward after 2010 to become a "climate neutral
city," i.e., a city that produces no net greenhouse gas emissions.
Page 2
Attachment 2
Fort Collins Proaress on Greenhouse Gas Reduction and Future Opportunities
Background
On August 15 , 2006, citizen members of the Fort Collins Sustainability Group (FCSG)
proposed a resolution to City Council during citizen participation that would 1 ) convene a
task force to update the City ' s greenhouse gas reduction plan, 2) ensure the updated plan
includes measures that promote renewable energy and energy efficiency, and 3 ) ask the
City to sponsor a public forum series to address how Fort Collins can move forward after
2010 to become a "climate neutral city". (See Attachment 1 .)
This study session will provide background information about the City of Fort Collins
greenhouse gas reduction goal, progress on the goal, and staff feedback on the climate
resolution being proposed by the Fort Collins Sustainability Group, with a focus on the
following questions and issues :
• Identify how the community is doing on greenhouse gas reduction, including a
review of relevant City programs .
• Provide an assessment of "Is anything broken? " . What are the consequences of
not meeting the existing policy goal?
• Present staff review of the FCSG ' s proposal. If there are any staff
recommendations that differ from the proposal, provide a comparison.
• To the extent feasible at this time, discuss the impact on businesses of going to a
climate neutral city.
Fort Collins ' Greenhouse Gas Reduction Goal and Plan
In 1997 , the City of Fort Collins joined ICLEI ' s (International Council for Local
Environmental Initiatives) Cities for Climate ProtectionTM (CCP) Campaign. "ICLEI —
Local Governments for Sustainability" is an international membership association of
local governments dedicated to addressing environmental issues through local action.
The Cities for Climate Protection Campaign is ICLEI ' s hallmark program that engages
cities, towns, and counties in reducing the pollution that causes global warming. The CCP
Campaign started in 1993 . By now, more than 200 cities, towns , and counties in the
United States and more than 770 communities worldwide participate in the CCP
Campaign.
By joining CCP in 1997, Fort Collins committed to develop a 1990 baseline greenhouse
gas inventory and forecast for 2010, set a greenhouse gas reduction target, and develop a
plan to meet the target. A Staff Technical Team and a Citizen Advisory Committee met
for over a year to identify and recommend a prioritized list of cost-effective actions to
reduce local greenhouse gas emissions.
1
1990 Emissions Inventory 2010 Emissions Forecast
1 .366 Million tons CO2e 3.523 Million Tons CO2e
Waste Waste
2% 3%
Electricity
Transport 33%
31 % Electricity
42%
Transport
51 %
Natural Gas
Natural Gas 13%
25%
The 1990 emissions inventory shows 1 . 366 million tons of carbon dioxide equivalent
(CO2e, which includes carbon dioxide and methane emissions), with the majority of
emission produced by electricity use. The 2010 forecast was developed by applying
` business as usual ' projections from 1997 out to the year 2010 . This included a seven
percent annual increase in vehicle miles traveled, causing the transport sector to increase
significantly. The 2010 forecast, often referred to as the "worst case forecast", shows a
160% increase in emissions above 1990 levels .
In 1999 , City Council adopted Resolution 99- 137 , setting the goal to reduce citywide
greenhouse gas emissions 30% below predicted worst case 2010 levels, by 2010 . The
1999 Fort Collins Local Action Plan to Reduce Greenhouse Gas Emissions (the Plan)
outlines how to accomplish that goal. Resolution 99- 137 called for an interdepartmental
Energy Management Team to prepare a biennial report to track progress and identify
additional greenhouse gas-reducing activities that merit consideration, in recognition of
changing scenarios and advances in technology.
Greenhouse Gas Reduction Highlights and Progress
Benefits to the City from implementing the Local Action Plan have been wide-ranging
and include air pollution reduction, reduced waste in the landfill, increased support for
local businesses and the economy, and generally improved quality of life . There have
been several notable successes in emissions reduction efforts, including the Climate Wise
business outreach program, the voluntary Wind Program, the demand side management
and renewable energy programs supported by the Electric Energy Supply Policy, the
opening of Rivendell recycling center in 2003 and the conversion of traffic signals to
light-emitting diodes in 2001 (the top ranked measure in the plan.) Below are highlights
from specific measures identified in the 1999 Local Action Plan that have now been
implemented.
Conversion of traffic signals to energy efficient light-emitting diodes
This action was ranked the highest priority for implementation. The conversion of red
and green signals to LEDs saves over $ 110,000/year in electricity and maintenance costs,
with an initial capital cost of $370,000, for a � 3 .4 year payback.
2
Climate Wise Business Outreach
The Fort Collins Climate Wise voluntary business outreach program was initiated in 2000
and has been growing ever since . As of 2004, the 38 partners collectively avoided over
95 ,000 tons CO2e in that year alone, and reported over $ 1 . 7 million in cost savings since
2001 . The program has now grown to over 50 partners and the greenhouse gas reduction
and cost savings are increasing as well .
Wind Energy Program
Fort Collins Utilities has offered renewable energy to customers through the Wind
Program since 1998 . The program has grown steadily since that time and by 2005 , there
were over 1200 residential and over 70 commercial subscribers, avoiding over 11 ,000
tons CO2e in 2005 alone.
2004 Update to Residential Building Code
The 2004 energy code update for Fort Collins residential buildings requires energy
efficiency improvements (R- 18 walls, low-e windows, more effective furnaces , duct
work, right-sized AC systems) . These upgrades will save homeowners $90 -
$ 150/yr/home in utility costs and will avoid 1 . 2 — 1 . 5 tons CO2e/home/year.
Addition of a centralized recycling drop-off site
The Rivendell site opened March 2002 . Recycling is now approximately 1 ,400 tons
material each year. This results in � 1 , 800 tons CO2e avoided and provides added
convenience to citizens for recycling.
Electric Energy Supply Policy
In addition to measures include in the Local Action Plan, the passage of the Electric
Energy Supply Policy in 2003 has led to significant greenhouse gas reductions. The
targets of the supply policy are :
■ Reduce per capita electric consumption 10% from 2002 levels by 2012
■ Reduce per capita demand peak 15%
■ 15 % renewable energy by 2017
A 1 % fee on utility bills funds the energy efficiency and renewable energy programs .
Collectively, these programs have reduced over 15 ,400 tons CO2e in 2005 .
Since adopting the greenhouse gas reduction goal in 1999 , three biennial status reports
have been completed. (See http ://fcgov. com/climateprotectioWpolicy_.php for details .)
The amount of greenhouse gas emissions avoided has grown steadily over time, but the
total citywide emissions have continued to grow as well. The most recent progress report
(2004) showed that Fort Collins ' residents, businesses and the City government together
avoided an estimated 241 ,000 tons of carbon dioxide equivalent (CO2e) that year, or 9%
of total citywide emissions . As in past years, the majority of these reductions have come
from recycling by businesses and residents . Recycling activities reduce landfill
emissions as well as emissions from embodied energy that would be needed to
manufacture goods from raw materials .
3
Fort Collins Greenhouse Gas Emissions Reductions Progress (241 ,000 tons CO2e in 2004)
GHG Reductions
4,000
35500
9%
N 35000 10% reduction re n
OU 2, 500
N ® Reductions
c 2,000
F ■ Emissions
c 1 ,500 arg t
c I to I ctu I
1 ,000
500
0
1990 2001 2004 2010
The 2004 report also indicates that the City is not on track to meet the 2010 reduction
goal . In 2004, nine percent of citywide emissions were reduced. The 2004 citywide
emissions were 2 ,467,000 tons CO2e which exceeds the desired 2010 emissions limit of
2,466,000 tons .
The transportation sector comprises a significant portion of the projected 2010 emissions,
yet it has been difficult to achieve significant progress in that sector. The two charts
below illustrate that while transportation represents a large percentage of planned
reductions, in reality we have only achieved a small reduction in the transportation sector.
Emissions Reduction Measures in Local Action Plan Implemented Emissions Reduction (2004)
Measures in Plan to Redcue 1 . 11 Milions Tons CO2e 2004 Emissions Reductions
(241 ,000 tons CO2e)
Other CSU Renewable
Vegetation 5% 9% °
2% Vegetation s /°
Energy 11 % Energy
20% Transport Consv.
1 % 23%
Waste
30%
Solid Waste
Reduction
Transport 50%
45%
This is because several of the large transportation measures contained in the 1999 Local
Action Plan have not been met, including:
• Prevent Fort Collins vehicles miles of travel growth rate from exceeding
population growth rate
• Achieve tighter national fuel efficiency standards
• Complete Fort Collins to Denver Commuter Rail
These three measures alone account for 43 percent of emissions reduction measures
contained in the Plan, and obviously some are not directly within local control.
4
Current Situation and Updated 2010 Forecast
Fort Collins is not on track to meet the 2010 emissions reduction goal, as illustrated by
the graph below. In addition to showing the worst case 2010 forecast included in the
Local Action Plan, it shows a current 2010 emissions projection that was prepared from
2005 forward using the most current data and projections from Xcel Energy, Fort Collins
Utilities and the 2005 solid waste model that was prepared recently for Fort Collins .
These data indicate that in order to reach to 2010 goal, Fort Collins will need to achieve
community-wide reductions of between 750,000 and 1 ,060,000 tons CO2e/year in 2010 .
Fort Collins Greenhouse Gas Emissions and Forecast
4, 000
Worst Case
37500 3, 523 tons
Current
3 , 000 Projection
s; 3,217 tons
N M .
O 2 , 500
U Goal
N • 2,466tons
c 2 , 000
0 Actual
Emissions
c 1 , 500
1 , 000
500
0
CC tC CC O O O
CO tD CC O O �
O cc N O O
Fort Collins Greenhouse Gas Emissions and Forecast (Data)
Emissions
Year (tons CO2e) Notes
1990 1 , 3661000 2003/2004 Climate Protection Status Report
1995 17623 , 000 2003/2004 Climate Protection Status Report
1997 11862 , 000 2003/2004 Climate Protection Status Report
2000 2 , 0741000 2003/2004 Climate Protection Status Report
2001 2 , 1431000 2003/2004 Climate Protection Status Report
2002 27236 , 000 2003/2004 Climate Protection Status Report
2003 22396 , 000 2003/2004 Climate Protection Status Report
Using updated 2004 data from the 2005 Municipal Solid
2004 22569 , 000 Waste Study
Using updated assumptions from the 2005 Municipal Solid
2005 2 , 731 , 000 Waste Study
2010 325231000 "Worst Case" 2010 Projection in 1999 Local Action Plan
2010 33217 , 000 2010 Projection using current forecast from 2005
2010 2 ,4661000 Goal (30% below worst case 2010 levels)
7507000 — 110601000 Difference between goal and 2010 projections
5
Future Opportunities
The good news is that the situation is continually evolving and new opportunities are
becoming available. There are a number of actions in progress or being developed in
Fort Collins that will help close the gap between the current 2010 projection and the goal,
illustrated in the table below.
Initial Estimates of CO2e reduction from likely programs in 2010
(tons CO2 avoided )*
Program Low High
Demand Side Management 51 , 000 51 , 000
Renewable Energy 341000 1011000
Climate Wise 210 , 000 235, 000
Other:
NC Clean Energy Cluster
City Energy Performance Contract
Biodiesel 367000 86 , 000
TOTAL 331 ,000 4735000
* Benefits in 2010, above 2005 levels
Initial estimates of the benefits of the measures listed above range from 331 ,000 —
473 ,000 tons CO2e in 2010, or 30 — 60% of the needed reductions . Of these, the Electric
Energy Supply Policy is estimated to provide over 50,000 tons of avoided CO2e in 2010
from planned Demand Side Management Activities . Between 34,000 — 101 ,000 tons of
avoided CO2e may occur from voluntary and rate-based renewable wind energy.
Preliminary estimates of the 2010 benefits from the Climate Wise program growth above
2005 levels range from 210,000 - 235 ,000 tons of CO2e avoided 2010 .
Numerous other activities, listed below, can also contribute to greenhouse reduction, but
the benefits have not been estimated yet.
• Increased waste diversion from the landfill
• Green Building in Fort Collins
• 2004 Residential energy code (and coming commercial code update)
• Water Conservation activities
• Carbon sequestration in restored natural areas
What are the consequences of not meeting the goal?
Fort Collins commitment to reduce greenhouse gas emissions is voluntary and there will
be no "penalty" if we do not meet the goal. However, there are several consequences of
not meeting the goal. Aside from not being more proactive in helping to address a
significant global issue, consequences at the local level include lost opportunities for
leadership and to stimulate the economy. An increasing number of studies show that
taking action is profitable, and not taking actions can be costly. A few examples are
given below.
6
Climate Wise (illustrates local benefits)— The 2004/2005 Climate Wise Annual Report
indicates that the cumulative cost savings from projects completed by partners through
2004 are $ 1 . 5 million, the same year the partners collectively reduced 95 ,000+ tons
CO2e, or 40% of total citywide emission avoided in that year.
Multnomah County and Portland, OR (illustrates regional bene ats)
A recent presentation about the relationship between economy and greenhouse gas
emissions reductions show that while net greenhouse gas emissions in Multnomah
County are about at 1990 levels and per capita CO2 emissions have dropped over 12%,
the inflation-adjusted payroll has increased 29% and employment has increased � 12% .
Rockefeller Brothers Fund (illustrates corporate and national benef ts�
Organizations taking action to reduce greenhouse gases end up saving money. David
Northrop, Director of Sustainable Development for the Rockefeller Brothers Fund
reported in July 2006, `Every company and city taking action to reduce greenhouse gas
emissions has saved money doing so . " Examples include .
Entity Greenhouse Gas Reductions 111111111ff Saved
DuPont 72% since 1990 $ 2 Billion
Alcoa 26% since 1990 $ 100 Million by 2006
British Petroleum 10% below 1990 $ 650 Million Net Present Value
IBM 38% $ 791 Million
Germany 19% since 1990 450,000 new jobs in renewable
energy
Source : http ://northamericancongress . iclei. org/files/NAC—Presentations/0713 -
Thursday_Plenaries/Michael Northrop.ppt
Stern Report (illustrates global benefits) A report released in October 2006 by Sir
Nicholas Stern, Head of the Government Economic Service, and Adviser to the UK
Government on the Economics of Climate Change and Development and former Chief
Economist of the World Bank, states :
" There is still time to avoid the worst impacts of climate change, if we take
action now . . . . . If we don' t act, the overall costs and risks of climate change will
be equivalent to losing at least 5 % of global GDP per year, now and forever. If a
wider range of risks and impacts is taken into account, the estimates of damage
could rise to 20% of GDP or more . . . . . . In contrast, the cost of action -- reducing
greenhouse gas emissions to avoid the worst impacts of climate change — can be
limited to around 1 % of GDP per year."
Stern Report Source :
http ://www.hmtreasury.gov.uk/independent—reviews/stern—review—economics—climate—c
hange/sternreview_index. cfm
Evolving Opportunities and Action by Others
Market opportunities and technologies are evolving rapidly to support carbon reduction
activities . Technology-based advancement are occurring in the areas of biofuels,
7
including algae-based biofuels, electricity grid distribution improvements and
biorefineries that integrate biomass conversion processes and equipment to produce fuels,
power, and chemicals from biomass . In Europe, carbon markets are thriving. Although
the United States does not have a national carbon registry and trading policy, voluntary
markets are emerging here as well. The Regional Greenhouse Gas Initiative (RGGI) is a
greenhouse gas cap-and-trade system being developed by seven northeast states, planned
for entry into force by 2009 . The State of California is also developing a cap-and-trade
system to comply with its strict greenhouse gas emission targets, and is interested in
linking with RGGI or other carbon markets . The Chicago Climate Exchange (CCX) also
provides a voluntary mechanism for trading carbon. Colorado participants in the CCX
include New Belgium Brewing, and City of Boulder and the City of Aspen.
In addition to the regional trading programs, states are taking actions. Several states have
already established greenhouse gas reduction goals and have developed statewide plans
State Commitments to Reduce Greenhouse Gas Emissions
1990-2020
Forecast
State (% increase) 3WState Goal
AZ 149 % 2000 levels by 2020 ; 50% below by 2040
CA 34 % 1990 levels by 2020, 80% below by 2050
CT 32 % 1990 levels by 2010 ; 10% below by 2020 ; 75 -85 % ultimately
ME 34 % 1990 levels by 2010 ; 10% below by 2020 ; 75 -85 % ultimately
NJ 5 % below 1990 by 2005
NM 48-64 % 2000 levels by 2012 ; 10% below by 2020 ; 75 % by 2050
OR 38 % 1990 levels by 2010; 10% below by 2020 ; 75 % by 2100
Puget
Sound 37 % 1990 levels by 2010; 10% below by 2020 ; 75 % by 2100
1990 levels by 2010 ; 10% below by 2020 ; 75% -85 %
RI 35 % ultimately
Source : Information compiled for Colorado Climate Project, see
http://www.coloradoclimate.org/Climate—Action—Panel.cfm
In Colorado, the Rocky Mountain Climate Organization is working with stakeholders to
develop a statewide plan for Colorado by the end of 2007 for presentation to the
Governor. Some of the actions under consideration, if ultimately adopted at the state
level, would establish a strong framework that would significantly enhance local
communities ' opportunities to reduce emissions . Mayor Hutchinson is serving as one of
Project Directors for this project.
Across the country, more and more local government are making commitments to reduce
emissions and developing plans to achieve their commitments . Over 200 cities and
counties have now joined ICLEI ' s Cities for Climate Protection Campaign that Fort
Collins participates in. As of December 20, 2006, 349 mayors across the country have
signed the "Seattle Mayor' s Agreement, thus pledging their community to :
8
• Strive to meet or beat the Kyoto Protocol targets in their own communities,
through actions ranging from anti-sprawl land-use policies to urban forest
restoration projects to public information campaigns ;
• Urge their state governments , and the federal government, to enact policies and
programs to meet or beat the greenhouse gas emission reduction target suggested
for the United States in the Kyoto Protocol -- 7% reduction from 1990 levels by
2012 ; and
• Urge the U. S . Congress to pass the bipartisan greenhouse gas reduction
legislation, which would establish a national emission trading system
Denver has committed to reduce per capita greenhouse gas emissions ten percent below
1990 levels by 2011 in their GreenPrint Plan. Boulder recently passed a carbon tax that
will enable their community to reduce emissions 7% below 1990 levels by 2012 through
increasing energy efficiency in homes, switching to renewable energy and alternative
fuels, and reducing vehicle miles of travel . Recognizing special vulnerability to
disruptions in water supply from climate change, the City of Aspen launched the Canary
Initiative in 2005 to reduce global warming pollution, inform the public about impacts
and solutions, and advocate for actions at all levels of government. Carbondale has
committed to reduce their greenhouse gas emissions 25 % below 2004 levels by 2012 .
To help them reach that goal, Carbondale has creatively financed a large solar energy
project using incentives that Xcel Energy is offering under their requirement to address
Amendment 37 .
Climate Neutral
Climate neutral is defined having a net zero impact on the climate, typically through a
combination of direct greenhouse reduction efforts and purchasing offsets for the
remaining emissions .
The Climate Neutral Network (http ://climateneutralnetwork. org/index.htm) is a non-
profit organization dedicated to helping companies, communities, and consumers achieve
a net-zero impact on the Earth's climate. The network provides technical support and a
science-based "Climate Cool" certification. By offsetting greenhouse gas emission from
their entire business operation, Shaklee U. S . is the first company in the U. S . to become a
Climate Neutral enterprise . Several other companies offer Climate Cool certified
products, services or events including Jiffy Lube, FedEx, BP Amoco, Interface Carpets,
the Lenox and the Copley Square hotels in Boston, and the 2002 Winter Olympic Games .
Without fundamental regulatory changes at the state or national level, it is difficult to
asses the impact on all local businesses of achieving climate neutrality. However, a
number of local or private organizations have established goals to achieve climate
neutrality, including Seattle City Light, Oberlin College (Climate Neutral by 2020), and
the City of Stockholm (Fossil Fuel Free by 2050). Closer to home, Boulder County is
exploring climate neutrality and The Brendle Group, a Fort Collins engineering and
sustainable design consulting firm, has become the first business in Colorado to become a
certified Climate Neutral business for reducing or offsetting all their carbon emissions . A
9
recent assessment of the Fort Collins Chamber of Commerce operational activities
revealed that it would be possible for them to purchase offsets to achieve climate
neutrality at a relatively low cost.
Staff Assessment of the Fort Collins Sustainability Group Resolution
The City' s interdepartmental Energy Management Team has reviewed and supports the
proposed FCSG resolution because updating the City ' s climate plan now would enable
the City and community to capitalize on technologies and market-based opportunities that
have emerged since the Plan was originally developed in 1999 .
Recognizing the importance of the transportation sector in local greenhouse gas
emissions and potential reductions, staff recommends that Section # 2 of the resolution be
modified as suggested below, clarifying that energy refers to all energy use, not just
energy used in buildings :
Section 2 . That the plan described under Section 1 shall include measures to
encourage local businesses, governments, utilities, schools, universities, non-
profit organizations, homeowners, and other individuals to develop, provide, and
apply (as appropriate) renewable energy, and energy efficiency, and
transportation technologies, services, and practices within the City of Fort
Collins .
This suggestion has the support of the Fort Collins Sustainability Group .
The financial impact to the City of Fort Collins to implement the tasks contained in the
resolution are estimated at $4,000 to convene a task force and conduct a public form
series using free speakers . If a consultant were hired to assist with the task force, the
costs could increase to a total $ 15 ,000 . The approved 2007 Air Quality Improvement
budget can cover the $ 15 ,000 in estimated expenses.
10
�.r
Fort Collins
CLIMATE PROTECTION
Plan / Task Force
Fort Collins City Council Study Session
January 9, 2007
Resolution Proposed by Citizens
Proposed on August 15 , 2006 by Fort Collins
City of Fort Collins : Cities for Climate Protection Project
Sustainability Group members :
• Convene a task force to update the City's GHG plan .
• Ensure the updated plan includes measures that
promote renewable energy and energy efficiency .
• Ask the City to sponsor a public forum series to
address how Fort Collins can move forward after
2010 to become a climate neutral city".
Outline
• Fort Collins progress on the greenhouse
gas reduction target
• Consequences of not meeting the City's
adopted goal ?
• Staff review of the proposed resolution
• Impact on businesses of going to a
climate neutral city
Questions for Council to Consider
• Do you wish to formally consider the Fort Collins
Sustainability Group's proposed resolution at a
future Council meeting ?
• Do you have any questions or suggestions
regarding the proposed resolution or Fort Collins'
progress on greenhouse gas reduction ?
Fort Collins Joins
+Cities for Climate Protection Campaign
City Council passed a resolution in July
1997, voluntarily committing to :
conduct a greenhouse gas audit,
establish a greenhouse gas
reduction target,
develop a strategy for meeting it.
City of Fort Collins : Cities for Climate Protection Project
1990 Emissions Inventory
. Emissions
1 .366 million tons . .
Waste
Transport
Natural Gas
31 % Electricity
City of Fort Collins : Cities for Climate Protection Project
3.523 Million Tons CO2e
Waste
3%
Electricity
33%
Transport
51 %
Natural Gas
13%
Greenhouse Gas Reduction Target
3.523
case
N
U 2.536
w
O
� 1 .861
� 1 .36 1 .621
c
O
1990 1995 1997 2004 2010
2010 levels, by 1 1
4
City of Fort • llins : Cities for Climate Protection •
Loca I Action Plan ( 1999Other
Energy
Vegetation
Energy
Waste
Transport
Transportation
Waste Reduction
Vegetation
Purchasing
Education
Energy Efficiency
" Install LEDs in all traffic signals"
Cost $370 , 000 - Financed through
lease- purchase agreement
• Measured 85 % efficiency
Saves $ 110 , 000/year in energy &
maintenance costs
Increases traffic signal brightness
City of Fort Collins : Cities for Climate Protection Project
Energy EfficiencSquare MMBTU/ Percent
" Reduce City Building Energy Use 15 % per
Year MMBTU Footage Sq Foot
sq . ft . below 1990 levels"
Improvement
2002 105, 326 7445144
2004 . .
Climate Wise
Promotes voluntary GHG Reduction through :
Energy efficiency
Pollution prevention
Waste reduction
Transportation reduction
Business Benefits : � � � r
■ Technical assistance
■ Public recognition cl � m � w , aE
■ Peer networking opportunities
■ Carbon quantification
■ Cost Savings
City of Fort Collins : Cities for Climate Protection Project
Climate Wise Results
! Goal : Reduce greenhouse gas emissions
� by 93 , 390 tons/year eCO2 by 2010
I
' 2004 Actual : 95 , 452 tons/year eCO2
� $ 1 . 7 Million savings
r
Climate Wise, Business Smart.
Electric Energy Supply Policy
RenewableWind Energy 114647
W
7524
, , , 107000 157000 20,000
2005 Tons CO2e
City of Fort Collins : Cities for Climate Protection Project
Waste R ' • •
A • • a centralized recycling
drop-off
Rivendell opened March 2002
Tonnage now ry 1 , 400 tons
800 tons CO2 avoided
A • • - • convenience for •
004 Emissions vs . Reductions
Fort Collins 2004 Greenhouse Gas Reductions
2004 Greenhouse Gas Emission (241 ,000 tons CO2e)
2.47 million tons CO2e
Csu
Waste 10% Renewable
2% 0% r 6%
Energy
Transport Vegetation Consv
33% Electricity 11 % 21 %
47%
Transport
1 %
Natural Gas
18% - -
Solid Waste
Reduction
51 %
8
City of Fort Collins : Cities for Climate Protection Project
How are we doing ?
GHG Reductions
, Sol
3,500
9%
N 3,000 10% reduction re ion
v 2,500 reduction
y ® Reductions
0 2,000
F ■ Emissions
c 1 ,500 t
o I ctu I ctu I
1 ,000
500
0
1990 2001 2004 2010
4,000
Worst Case
31500 3,523 tons
Current
3 ,000 Projection
'N t: • 3,217tons
O 2,500
U Goal
2,466 tons
c 2 ,000
Actual
Emissions
0 1 ,500
0
1 ,000
500
0
0
O A 00 N W O
9
City of Fort Collins : Cities for Climate Protection Project
4,000
3 , 500
too
31000 1, 0571000
N w ... 750,000
O 2 , 500
U
N
0 2 , 000
Actual
p • Emissions
0 1 , 500
0
1 , 000
500
0
i i N N N
t0 O O
O A 00 N O O
What Will Help Fill the Gap ?
(tons CO2 avoided )*
Program Low High
Demand Side Management Munro, 00 51 , 000
Renewables 34 , 000 101 , 000
Climate Wise 210 , 000 235 , 000
Other:
NC Clean Energy Cluster
City Energy Perf. Contract
Biodiesel 36 , 000 86 , 000
TOTAL 331 , 000 473 , 000
* Benefit in 2010 , from 2005
10
City of Fort Collins : Cities for Climate Protection Project
3. 600
3.400 /
3.200
Ov 3. 000 / 0000
c // /
0 2. 800 /i 478,0 DO tons
2. 600 63 /°
2.400
2.200
2. 000
2005 2010
3. 600
3.400 /
3.200 /
Ov 3. 000 / 0000
N
° 2. 800 /� / 331 ,0 0 tons
2. 600 31 /°
2.400
2.200
2.000
2005 2010
11
What Else Can Help Fill the Gap ?
• Increased waste diversion from the landfill
City of Fort Collins : Cities for Climate Protection Project
• Green building in Fort Collins
• 2004 Residential energy code
(and coming commercial code update)
12
• Water conservation activities
• Carbon sequestration in restored natural areas
• New renewable energy projects
Consequences of not meeting
+ the Goal
• No �� penalty" or ��sanction " for not meeting it
• Possible lost opportunities for economic
development and leadership
City of Fort • llins : Cities for Climate Protection •
Climate Change
13
can Change Colorado
Less Snow More Droughts
1
�Y
Less Water More Fires
y � t
Others Who Are Benefiting
+ from Carbon Reduction
• Climate Wise program partners
• Portland , OR
• Carbondale, CO
employmentCity of Fort Collins : Cities for Climate Protection Project
140
Payroll (adj for
> Covered
CM) 110
CO2 emissions
too Per capita CO2
emissions
. ,
- i0
2001
�,�� Carbondale , CO
14
+" Creating a strong Carbondale economy with
clean energy"
- Reduce municipal GHG 25 % below 2004
levels by 2010
- Reduce community-wide GHG 25% below
2004 levels by 2012
Passed a community bond measure allowing
$ 1 . 8 million in bonds for 2 large solar energy
projects . Xcel Energy will provide $ 300 , 000
in rebates and will purchase $ 1 . 2 million in
solar energy credits .
Climate Neutral
"No net carbon emissions "
• Achieved by reducing and offsetting carbon
emissions
The Brendle Group - Climate Neutral certified
Fort Collins Chamber - climate neutral options
Staff Review of Proposed Resolution
• Support the proposed resolution
• Propose one word change
The updated plan wil/. . . include measures to. . . de ve%p,
provide and app/y. . . , renewable energy, energy
efficiency, and transportation techno%pies, services,
and practices . . . .
• Financial Impact Estimates
$ 4, 000 lower estimate
$ 15 , 000 upper estimate ( includes consulting help)
Questions for Council to Consider
• Do you wish to formally consider the Fort Collins
Sustainability Group's proposed resolution at a
future Council meeting ?
• Do you have any questions or suggestions
regarding the FCSG proposed resolution or Fort
Collins' progress on greenhouse gas reduction ?
Fort Collins Sustainability Group Attachment 4
The Fort Collins Sustainability Group (FCSG) is a group of Fort Collins citizens that
have come together to consider ways to increase climate protection activities in Fort
Collins. Their mission statement is given below.
The mission of the Fort Collins Sustainability Group (FCSG) is to develop
and advocate a vision and strategy for becoming a sustainable community in
partnership with key stakeholders. A sustainable community is one that
enables its members to thrive, both economically and socially, without
compromising the welfare of future generations. It exists in harmony with
our environment.
FCSG is currently convened by Kevin Cross, and has a five member steering committee.
The group has been meeting periodically since early 2005 to consider effective
approaches to raise Fort Collins efforts in greenhouse gas reduction, recognizing the
severe impact that climate change is predicted to have on human and natural systems
throughout the world, and in Colorado in particular. During 2006, representatives from
the FCSG have obtained support for their resolution from the Air Quality Board, the
Natural Resources Board and the Electric Board. Several community groups have also
endorsed the resolution including the Audubon Society, the Northern Colorado
Renewable Energy Society, the Rocky Mountain Sustainable Living Association, and the
Center for Justice, Peace and the Environment. In addition, the Fort Collins Coloradoan
Editorial Board supported the resolution in their September 15, 2006 editorial opinion.
Participants in this effort have included representatives from the business community,
academia (CSU's atmospheric science), renewable energy interests, other community
groups and a member of the 1998 Fort Collins Citizen Advisory Committee who helped
develop the Fort Collins Local Action Plan to Reduce Greenhouse Gases.
Several members of the group will be present at the January 9 work session in case
Council has any further questions about the FCSG or the proposed resolution.