Further compounding the issue of Auckland's excessive energy emissions is Auckland's sub-optimal public transport uptake and the amount of energy inefficiencies within the current model. EECA findings suggest most businesses alone can shave at least 20 per cent off their energy costs just with smarter energy use.
Auckland already spends $5 billion annually on purchasing energy. Forecasts indicate that by 2031 energy spend will comprise 10 per cent of Auckland's GDP - double current levels.
Auckland's energy demand is projected to increase by 65 per cent over the next 30 years as the region's population increases by one million people, while growth in global energy consumption is set at almost half this at 33 per cent.
This renders the city highly exposed to oil shocks and disruptions in supply. It also creates economic leakage eroding the region's competitiveness. Future increases in household energy consumption and volatile energy prices now present very real risks of more Aucklanders experiencing fuel poverty, of being unable to keep adequately warm in winter, and finding it difficult to afford a quality lifestyle. Businesses lose competitiveness and the national economy suffers.
Focusing on reforming both energy generation and demand, the Low Carbon Auckland Plan has set some ambitious 30-year goals for creating a reformed and competitive energy system by 2040.
According to Wayne Walker, Auckland Council's Environment, Climate Change and Natural Heritage Committee Chair, the benefits of developing a diverse portfolio of renewable technologies locally are two-fold.
First they are critical in significantly lowering Auckland's carbon output and securing the city's resilience to external shock. Second, a secure local supply has the potential to significantly bolster Auckland's competitiveness - nationally and globally.
As Walker points out, "If we have resilient power supplies, then we could have new forms of business establishing because of our resilience in energy generation, stable grids, renewables. We'll see business locating in Auckland for that reason."
A series of more practical interim 'decade-by-decade' targets guide the action plan's long-term vision. For example by 2020, 50 per cent of consumers will have access to smart grids, 20 per cent of commercial and residential buildings will be fitted with demand response technology (DRT) and by 2030 renewables will comprise 50 per cent of the energy supply.
These developments are vital to reduce growth in demand in the face of a rising population. However achieving the 30-year goals will be no mean feat, requiring significant change from 'business as usual' as well as innovation and cooperation at a societal level.
According to Walker, collaboration and a shifting marketplace in favour of sustainable options and technologies are instead what will give the plan most of its teeth.
Accordingly, instead of regulation, the Council aims to take a more facilitative role, encouraging collaboration, behavioural change and integration between parties to ensure the plan and visions are able to be implemented across wider stakeholders: "The plan is not an Auckland Council plan; it is a plan for Auckland."
Walker is optimistic that gaining business and consumer buy-in will be an easy process and a "no brainer" for most businesses.
"I think businesses are going to do it because it makes economic sense. The savings in power alone are phenomenal. Not just energy savings, but the smarts you put with it."
Walker emphasises that Auckland Council will exert only a small amount of direct regulatory control over the plan's realisation. It will facilitate through various sustainability led work streams, the development of financial incentive schemes and embedding minimum energy rating requirements into new commercial builds.
This might raise the eyebrows of skeptics and raise questions regarding the role of binding regulations to ensure lofty goals and targets become reality.
"Regulation will help - but the market will drive it. What's necessary is to pull the sectors together collaboratively - energy supply companies, property developers, the right financial incentives, so you can put those things in place. It requires widespread collaboration for achieving the visions. Collaboration between Aucklanders, businesses, homeowners, industry and council. Big players, small players, all play their part. It is a team effort."
Future scenarios
• Eighty seven per cent of Auckland's energy is supplied from a diverse range and scale of renewable sources
• Energy assets and investments are future-proofed against local, national and global disruptions
• 150 large-scale wind turbines (500MW) power approximately 239,000 household
• Approximately 178,000 households installed with solar voltaics
• Regulation supports buildings and developments to be zero net energy
• The city is resilient to volatile oil prices and potential supply disruptions with a significantly reduced dependency on imported transport fuels
• Incentives, regulatory measures and an informed consumer have attracted investment into smarter distributed networks and optimised energy efficiency and conservation
• Early investment in clean and green technologies will achieve a globally recognised eco-economy
• Auckland is a leading exporter of green technology, innovation and knowledge
• Electricity prices are 2012 levels (in real terms)
• Aucklanders are knowledgeable, well-informed and engaged. Use of low-carbon products and services is a way of life
Residents can have their say on the Auckland Low Carbon Action Plan on the Auckland Council website. The closing date is 7 April 2014.
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