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At Improven, we are constantly delivering valuable insights and advice, but how exactly do we go about it? We'd like to give you an inside look! Currently, in collaboration with consulting firm AEF, we are conducting a reassessment of climate and energy policy costs. This project aims to provide an up-to-date picture of the financial impact of the energy transition on decentralised governments for the period 2025 to 2030.
In 2020, consulting firm AEF conducted a study on the costs of the Climate Agreement. Now, three years later, we reassess the results of this study because there is now more knowledge and experience among the municipalities, provinces and water boards involved. Our assignment, which we carry out for the Council of Public Administration (ROB), is crucial for the success of the plans. The aim is to determine a concrete amount needed to implement climate and energy policy. This is done within certain ranges because of the various uncertainties in the study. In turn, the ROB advises the government on how to fund municipalities, provinces and water boards.
The process of recalibration: here's how we approach it
We work according to the five pillars of the Climate Agreement: Electricity, Built Environment, Industry, Agriculture and Land Use and Mobility. Tasks are formulated for each pillar, giving us a detailed picture of the work required. We also examine the extent to which national plans affect the tasks of decentralised authorities. In addition, we map investment costs within municipalities, focusing on the impact of these costs.
Our starting point was the existing list of tasks from the initial calibration in 2020. We looked at changes, including the amount of time spent on a particular job. We presented experts, both from outside and inside the municipalities, provinces and water boards with the tasks, asking whether they were still correct. What has changed? This showed, for instance, the amount of time spent within a given task. Also notable was the increased relevance of grid congestion, which now appears to be an important issue in almost all tasks.
Part 1: identification of tasks
We map the costs as independently as possible. The trick is to really only map tasks that are new and related to climate and energy policy. As an example, we have not included stimulating people to use bicycles in our climate and energy policy, because building bicycle paths is already an existing task. After all, this also happened before the Climate Agreement. So as concrete as possible, for example: how much does it cost to install charging stations in a certain residential area.
Part 2: in-depth studies and surveys
The second phase involves in-depth studies, in which we examine the actual need for people, expressed in full-time equivalents (FTE) for specific tasks. In addition, we ask what investments will be made that will not be immediately recouped. An initial estimate is then incorporated into a survey sent to all relevant authorities. In doing so, we ask for validation and substantiation of our estimates. Can the decentralised authorities recognise themselves in our estimate? An important addition we want to make is an interpretation of the figures, so that it is clear to everyone how we arrived at a certain amount.
[ Ahead of business: internal mobility and knowledge needs ]
As we write this blog, the project is still in full swing. Of course, there will be a follow-up article on this project online soon. But: the starting point is that we are mapping how many FTEs will be involved in implementing the energy transition. A logical thought you might already have: governments are likely to come up with a challenge
Because: who can fill these FTEs? Because of the staff shortage, internal mobility is obviously being used within local authorities. Isn't the knowledge perhaps already in-house anyway? Some tasks will probably be easier to achieve with internal forces than others. However, is it about a new subject such as circular construction? That is a different branch of sport which may require external knowledge anyway. We will elaborate on this in part two of the blog on this assignment.
What makes this project so interesting: dynamics and diversity of governments
This project puts us in contact with various governments, from large municipalities with extensive teams to small municipalities with limited resources. It is fascinating to observe the different dynamics and include them in our research. This variation makes it all the more important to formulate sound and balanced advice.
Our fingerprint: creating engagement and removing as many questions as possible
At Improven, we believe in creating connection and transparency. Employees are given the space to share their experiences, allowing us to highlight not only the financial, but also the human side of the energy transition. Our aim is to remove as many question marks as possible and provide optimal support to those involved.
In short, reassessing the costs of climate and energy policy for decentralised authorities is a complex but extremely important project. We will keep you updated on developments, because a sustainable future starts with an understanding of the costs and a willingness to work together for a greener world.
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