Smart solutions for smarter cities

IBM's Graham Kittle works to keep big cities moving.

Solving urban traffic congestion is always expensive and frequently does little more than move the problem somewhere else. But enlightened leaders in cities such as Brisbane, Stockholm and Shanghai have introduced a more holistic approach.

Using technology from IBM to gather data, analyse the issues and develop what some might call "smart" solutions is helping to change unwieldy, disjointed cities into what some call a smart city.

The scale of the issue faced by some countries is summed up by IBM's CEO Samuel J. Palmisano. He says that 100 years ago only 13 per cent of the world's population lived in cities. Today, more than half of all people live in a city.

"And by 2050, that number will rise to 70 per cent," he says. "We are adding the equivalent of seven New Yorks to the planet every year."

In other words, we have gone from a world with 20 cities, each home to more than one million people, to one with 450 cities. And this figure will continue to balloon as more people are drawn to cities to live, work and play.

And while bustling cities are good for business, keeping everything and everyone moving has become the big issue. It is something Graham Kittle, managing partner of IBM Global Business Services, has been working on.

Since 2004, the firm has been organising what it calls Global Innovation Outlook (GIO) seminars - meetings that look at the key infrastructure issues faced by planners and politicians. The most recent was in Singapore and others are planned for Shanghai (October) and New York next year.

The company invites industrialists and key decision makers to its GIOs so it can hear first-hand the issues they face, and then share some of its insights and solutions based on its own research, gathered data and real-world experience.

So far, IBM has helped cities such as Stockholm and Singapore free up congested streets with invisible tollbooths and pre-pay travel cards. It costs money of course. But Kittle reckons his firm's solutions offer a clear return on investment that makes both economic and environmental sense. And he's keen to help New Zealand's cities - in particular, the much-vaunted Auckland Super City - to become much easier to drive in.

Kittle says the company, which registers 31,000 patents every year, has developed traffic management systems that charge motorists different amounts to enter a city depending on the time of day, the day of the week and how busy the roads are at that time.

Cameras ID number plates and charge car owners automatically.

IBM Global Business Services was formed in 2002 when IBM bought PriceWaterhouseCoopers' management consulting and technology services arm, PwC Consulting. in a US$3.5 billion deal. Using the former PwC's expertise, it gathers facts about cities, analyses data and provides solutions for traffic management and smart metering for utility providers.

Kittle says the firm's work in the Swedish city of Stockholm is a clear example of what it can achieve "when private business works with Government". "Stockholm is a good example because its issues are not too different to those of Auckland with its traffic congestion," he says. "We helped introduce a toll system underpinned by a smart traffic system."

Kittle says such a system could bring real benefits to New Zealand, as the Stockholm solution also saw public transport take-up rise by 40 per cent and air quality improve by 14 per cent.

According to figures from the Energy Efficiency Conservation Authority, New Zealand uses more energy than any other sector when it comes to transport. The EECA says that of all the energy we use, 42 per cent of it is used on getting around.

And according to the NZ Business Council for Sustainable Development, the cost to Auckland of traffic congestion exceeds $1 billion a year. And the Auckland Road Pricing Evaluation Study (2006) claims the direct out-of-pocket cost of congestion in Auckland - the impact it has on a business's bottom line - is $200 million a year.

"In Stockholm we used a new dynamic business model to implement congestion charging, real time traffic predictions and the technology to optically recognise car number plates," says Kittle. "One of the major benefits is there is less traffic in the city - that means less noise pollution, lower carbon emissions and a productivity gain as fewer people are left sitting in cars. People also get home [faster] to see their family in the evening."

Another scheme Kittle likes to talk about is a flexible travel ticket being used in Singapore that has reduced financial losses to public transport operators and made it easier for people to get around. "Singapore has a good transportation system, but we worked with them to put together an interconnected system that allowed people to buy a single card that can be used to pay for all public transport services, parking, taxis and congestion charging," he says.

The pre-pay ticket system also captures a lot of data. Such as how many people get on a bus at a particular stop, where they get off and what transport option they use next.

"The card reader captures all the information within the city network," says Kittle.

"So you get an enormous amount of intelligence coming through that can help you make decisions on things such as changing traffic flows and developing trends.

"Since the card was introduced, revenue leakage has been cut by 80 per cent. So money from those previously 'lost' transactions can be invested into the transport system."

A little closer to home, Kittle says traffic congestion in Brisbane is costing motorists around $400 in fuel for the average 258 hours they spend sitting in traffic every year.

"The problem there is not unique, and our scheme to reduce it will be completed this year," says Kittle. "What we are doing is installing a cashless tolling system so that congestion is not caused by motorists queuing up to pay a dollar at a toll booth.

"Toll charges can be varied based on the time of day - like Stockholm - and lots of data is captured that can help traffic flow. It is a lot easier than sitting there with a clip board watching traffic."

Kittle says sharing knowledge is key to helping people understand the issues, their implications and discuss ideas to solving them.

This month IBM will be holding three Insight Forum meetings where former Christchurch mayor Vicki Buck will share her thoughts from taking part in a Global Innovation Outlook meeting in Singapore.

Questions debated at that meeting include how we can prevent urbanisation, and are megacities sustainable.

Buck will be speaking in Christchurch on August 25 and says New Zealand needs to start tackling issues "before they become really nasty". One of her concerns is energy. She wants to see every rooftop fitted with a solar panel.

"I'd like to see the creation of virtual solar farms right throughout our cities," says Buck. "Our buildings are spread out, so we have a huge amount of roof space. With the exception of Nelson, with its Solar City programme, we haven't created an environment to help people pay for solar panels.

"The problem with renewable energy is that the capital costs is always upfront. We need to allow people to install solar systems and allow them to pay for them over five years. The model has got to lower the high upfront cost of entry."

CITY CASE STUDIES

Amsterdam
In The Netherlands, 500 Amsterdam households are to take part in a pilot programme for smart meters.

IBM is teaming up to help selected residents make more informed decisions about energy use.

The pilot is part of the Amsterdam Smart City initiative, where citizens, governments and companies work together to make more efficient use of energy, water and mobility to create a more sustainable city.

Using smart meters, people taking part in the pilot will be able to understand their energy use in real time and manage what they use.

With this information, they could save on energy costs and help reduce CO2 emissions.

Brisbane
Queensland Motorways owns and operates the Gateway Bridge, the Logan Motorway, the Gateway Extension and the Port of Brisbane Motorway.

IBM's Brisbane road tolling project is part of a growing trend among major global cities where "smart transportation" initiatives are being deployed using new models and technologies to address the impacts of mass urbanisation.

The project is to be completed later this year.

"Queensland's motorists will gain substantial benefits in time savings, reliability and improved safety with the planned technological improvements to our toll road network," says Phil Mumford, chief executive officer, Queensland Motorways.

Stockholm
City leaders asked residents to vote on options to reduce its congested streets.

They chose a toll system. Now the air is 14 per cent cleaner and people get to work quicker.

The system covers a 24 square kilometre area of the inner city and was introduced as a pilot scheme by IBM and the Swedish Road Administration in 2006.

IBM says traffic was reduced by 22 per cent over the seven-month trial and has not returned to previous levels now the system has been fully adopted.

It works with 18 barrier-free control points around the charging zone. Cameras recognise numbers plates with 99 per cent accuracy.

Before the new system came in the roads in Stockholm were at a standstill during rush hour.

Today the roads are free-flowing at peak times and more people are using bicycles and public transport.