2nd workshop in Barcelona on 20 October 2014
The aim of the 2nd workshop was to enable the TRANSFORM consortium and invited guests to share experience and ideas on how to mobilise the procurement power of city authorities through both joint actions and collaboration with other stakeholders. It was hosted by Barcelona City Council and involved a mixed group of nearly 50 stakeholders from nine European countries who were invited by members of the TRANSFORM consortium.
Mr Adria Gomila, Director of Mobility for Barcelona City Council welcomed the delegates and gave them some examples of how the city is using new technologies to achieve its aim of safe, sustainable and efficient mobility for pedestrians, cyclists and motorists.
The workshop was again chaired by Dr Jack Frost OBE, the industrial chairman of the TRANSFORM project steering group, and a Director of Johnson Matthey Fuel Cells. He reminded participants that TRANSFORM is an unusual project as it is concerned with demand-led innovation and therefore one of the key challenges is how to mobilise joint expressions of demand for innovative new solutions. He encouraged everyone to contribute ideas for collaboration and joint actions between cities and with other stakeholders.
The first presentation from Piedad Molina-Ninirola Moreno of Ferrovial explained how the company has evolved from a construction company to an infrastructure management service business. She reflected on the fact that cities need new and more complex solutions but don’t have the money.
The second presentation was from Rick Lindeman of the Dutch Ministry of Infrastructure and
Environment, which coordinates the ERA-NET TRANSPORT network. This involves 24 innovation funding agencies from 19 countries/regions that are working together on defining joint priorities for R&D in the area of sustainable surface transport and co-funding projects. He mentioned that the network has also been carrying out research, involving over 50 European cities, to understand the successful policy measures that are aimed at making mobility patterns more sustainable.
This session on case examples included nine presentations organised into three groups:
1. Case examples from four guests on what is happening outside of the TRANSFORM project from ICLEI, Finland, the city of Avila and London Fire Brigade
2. Update on progress and lessons from the three TRANSFORM city projects in Barcelona, Birmingham and Rotterdam
3. Two examples of emerging areas for joint actions and/or Compacts (i.e. joint statement of need).
Group discussions were organized on the following topics:
Collaborative policy actions
Compacts and their role in creating new options and demonstration criteria
Best practices innovation procurement and mobility
Ferrovial is a major urban infrastructure service company that is involved in the delivery of urban transport systems. The company has evolved from a construction company to an
infrastructure management service business. Cities need new and more complex solutions but don’t have the money. One option is to work in long term partnerships with private sector businesses that are able to invest in the transformation of infrastructure and associated services. This can be driven by outcome-based contracts with quality-related key performance indicators (KPIs) that encourage both service integration and investment in innovation. An integrated approach to highway and related services has enabled innovative solutions to be implemented and citizens benefit from a connected service model.
The Clean Fleets project (www.clean-fleets.eu), focuses on purchasing clean public vehicles and supported by the Intelligent Energy Europe programme. Various EU workshops have been organised to facilitate collaboration and exchange and the project has produced a number of publications include a ‘Clean Buses’ report. She also signposted two other useful European sources of information on good practice eco-innovation (www.innovationseeds.eu) and green public procurement (http://ec.europa.eu/environment/gpp/case_en.htm). Natalie then summarised four interesting Green Fleet examples of electric vehicle procurement including a joint public/private procurement of electric vehicles by nearly 300 buyer organisations in Sweden, a design-based tender competition for hybrid electric buses in London that has been replicated in Belfast, electric minibuses for Vienna and a low emissions vehicles lease contract tender by Bremen that used the Clean Vehicles Directive and social criteria in the procurement methodology. In her conclusions she mentioned that all of the case examples are from cities that have senior level buy-in and overarching policies and strategies in place. Others need to step out if their comfort zone and can take advantage of the wealth of experience from the leading cities.
In the procurement of a real time traffic information system for the Finish Transport Agency out performance-based requirements were used without specifying the technology. The winning bid was based on video-technology but it failed to meet the requirements in adverse weather conditions and a second procurement has attracted a better solution based on cellular technology, which will be implemented from the end of 2014.
The small, historic City of Avila near Madrid has to address a number of mobility challenges in the historic district, which has narrow and cobbled streets. This is a common issue for many historic European cities but Avila also has some specific needs as access to the historic district is quite hilly and dangerous in bad weather conditions, especially for elder people who make up a relatively large proportion of the population. A five point mobility strategy has been developed to reduce motorised mobility, reduce the environmental impact of freight traffic, reduce
air/noise pollution and support commercial development. One of the unmet needs is a bus that is adapted to the historic district requirements as the city cannot find a commercial vehicle in the market that suits their needs and is currently engaged in competitive dialogue with Spanish bus vendors. This is an example of the potential for a joint communication of need for niche vehicles that are designed, or adapted, for historical cities in Europe.
Collaborative policy actions
Collaborative policy actions are related to different aspects:
1. Creating a level of understanding and a mentality to try a different approach, a new organizational culture. To create Behavioural changes take time. It’s important to:
Insight in the benefits to create awareness
Best practices/practical examples from pioneers. Not only intimidating technical innovations, also practical and incremental innovations.
Failures to learn from.
A positive approach, look at contracts in a different way, take your time, quality vs lowest price.
In this period of economic downturn it’s hard to create a positive attitude, culture is exascerbated.
2. To put policy into practice.
What’s needed to create support bottum up is: i. Guidance and support from pioneers ii. Group Callaboration
iii. Need education
iv. Procurers and experts working together v. Cooperate on strategic goals
What’s needed top down is:
i. Consistency in policies (eu/national level) ii. Clear Strategy
iii. European Framework iv. Standards
v. Incentives to take risks vi. IP at a strategic level
vii. Eu respecting different regions, understanding different needs, different behaviour
viii. Agreements on KPI’s 3. To develop a strategy as a starting point
Similar objectives
Policy at government level
Translating vision into procurement plans
Targets in a specific area
Integrated policy
Credible message
4. Knowing, creating and influencing the market
Knowing what’s already there
Knowing the structure of the market
Technological knowledge
Inform the market, create understanding by sharing knowledge, policies, strategic plans
Create a market by changing the market
creating open competition, focusing on results (“value of competition”)
using the results of R&D projects
Risk sharing market and public authorities 5. Joint actions
Measurement systems outcome/impact
Partnership: Sharing resources, riskcs, vision and strategy. Unified voice on the city level.
When it works in one city, translate it to other cities
Cooperation in stead of competition between cities.
Focus on specific topics
No joint procurement, partners have different interests
Interview Nicole Fletcher
The London Fire Brigade (LFB) has explained how they have embedded innovation requirements within an outsourced service contract to procure and maintain a fleet of over 500 public safety-critical vehicles. This is based on an outcome based service contract specification including a target to reduce emissions by 37% within 10 years. In addition, engagement with electric vehicles suppliers, through demonstrator trials, and a nil-cost tender for charging points has provided the experience and infrastructure to start including electric vehicles in contractor-led tenders from 2015. As well as supporting its service contractor to achieve its progressive vehicle emission targets, LFB is now working on an EU-funded innovation procurement partnership project with its peer in Ghent to make their fleets greener (www.fired-up.eu). This has included an assessment of 21 technologies and parallel development of outcome-based specifications for specific solutions. This is an example of how a public sector
organisation can procure outsourced services in a way that encourages the contractor to seek innovative solutions to meet specified outcomes and targets. It also shows how this can be complemented by pre-commercial development initiatives by public service organisations to demonstrate new technologies and thus reduce the innovation risk. As Nicole’s headline message says, “if we can do it, anyone can”.
