Sustainability Outlook Diagnostic SUPPORTING REPORT 2 MELAKA Integrating Environmental Plans © 2019 International Bank for Reconstruction and Development / The World Bank 1818 H Street NW Washington DC 20433 Telephone: 202-473-1000 Internet: www.worldbank.org This work is a product of the staff of The World Bank with external contributions. The findings, interpretations, and conclusions expressed in this work do not necessarily reflect the views of The World Bank, its Board of Executive Directors, or the governments they represent. The World Bank does not guarantee the accuracy of the data included in this work. The boundaries, colors, denominations, and other information shown on any map in this work do not imply any judgment on the part of The World Bank concerning the legal status of any territory or the endorsement or acceptance of such boundaries. Rights and Permissions The material in this work is subject to copyright. Because The World Bank encourages dissemination of its knowledge, this work may be reproduced, in whole or in part, for noncommercial purposes as long as full attribution to this work is given. Any queries on rights and licenses, including subsidiary rights, should be addressed to World Bank Publications, The World Bank Group, 1818 H Street NW, Washington, DC 20433, USA; fax: 202-522-2625; e-mail: pubrights@worldbank.org. Citation Please cite the report as follows: Global Platform for Sustainable Cities, World Bank. 2019. Melaka Sustainability Outlook Diagnostic: Supporting Report 2: Integrating Environmental Plans. Washington, DC: World Bank. Acknowledgments The lead authors of this supporting report were James Patterson-Waterston and Naina Khandelwal. For the full list of acknowledgments, please refer to the overview report. Cover photo: Street art reflection on the Melaka river. Credit: AsianDream. Design: Ultra Designs, Inc. Sustainability Outlook Diagnostic Supporting Report 2 MELAKA Integrating Environmental Plans MELAKA Integrating Environmental Plans / 3 Table of Contents Abbreviations.................................................................................................................................... 4 Introduction ...................................................................................................................................... 5 Key Message 2-1: Synthesize Existing Initiatives by Creating an Integrated Environmental Approach and Progressing toward Recalibrated Goals ....................................................... 7 Vertical Analysis: Melaka Drawing on International Expertise ........................................................... 7 Vertical Analysis: Solid Waste Management ....................................................................................... 9 Vertical Analysis: Water Management ................................................................................................. 9 Vertical Analysis: Energy and GHGs ................................................................................................... 10 Vertical Analysis: Climate Change and Resilience ............................................................................ 12 Horizontal Analysis: Solid Waste Management................................................................................. 13 Horizontal Analysis: Water Management........................................................................................... 14 Horizontal Analysis: Energy and GHGs............................................................................................... 15 Horizontal Analysis: Climate Change and Resilience........................................................................ 18 Recommended Actions ................................................................................................................. 19 References .................................................................................................................................... 22 Boxes 1 Melaka’s Environment: SWOT Assessment 2 Solar Power in Melaka 3 Low-Emission Development Strategies in Recife Figures 1 Solid Waste Generated per Capita per Year (kg): Melaka versus Da Nang and Singapore 2 Percentage of Nonrevenue Water: Melaka versus Others 3 Share of GHG Emissions in Different Sectors: Melaka versus Da Nang Tables 1 Average Concentrations of Tropospheric CO2/Month (parts per billions per volume) 2 Action Plan for an Integrated Environmental Approach 4 / Sustainability Outlook Diagnostic – Supporting Report 2 Abbreviations 100RC 100 Resilient Cities ADB Asian Development Bank ASEAN Association of Southeast Asian Nations GHG greenhouse gas GJ gigajoule ha hectare kg kilogram L liter m2 square meters MIGHT Malaysian Industry-Government Group for High Technology MW megawatt PJ petajoule PRA Preliminary Resilience Assessment PTHM Melaka Green Technology Corporation SWOT strengths, weaknesses, opportunities, and threats MELAKA Integrating Environmental Plans / 5 Introduction Rapid urbanization and overconsumption can threaten a region’s natural environment, resource efficiency, and resilience, all of which are essential components of urban sustainability. Human effects that cause environmental degradation include poor sanitation and waste disposal, overconsumption of water resources, and motorized vehicular and industrial activities contributing to increased levels of greenhouse gas (GHG) emissions. Because cities make a significant contribution to such emissions, they also have unique opportunities to lead new initiatives for the sustainable use and protection of natural resources. Malaysia has made ambitious commitments to reduce its GHG emissions intensity of GDP by 45 percent by 2030 relative to the emissions intensity of GDP in 2005 (UNFCC 2015). This step is important in light of Melaka’s rapid urbanization rate and population growth, which are already placing pressures on the environment. Melaka State has been ambitious in its efforts to attract international expertise from numerous multilateral development banks and aid organizations. In the race to meet the city’s environmental objectives, however, key issues around coordination of funding and implementation may be overlooked. This report offers a detailed snapshot of the current environment and resource efficiency dynamics of Melaka in comparison with similar regions in Malaysia and abroad, including an analysis of performance in the areas of water, waste, energy, and resilience. Based upon this analysis, the following key message is elaborated for this report: 2-1 Synthesize existing initiatives by creating an integrated environmental approach and progressing toward recalibrated goals. The report discusses the emerging risks and challenges that Melaka faces and concludes by outlining the following key recommendations for the state: 2-A Identify a clear champion of each priority project and strategic objective. 2-B Optimize existing knowledge sharing and technical leadership arrangements with peer cities and partners. 2-C Develop clear performance guidelines for water management in buildings and urban areas. 2-D Harness environmental data and develop evidence-based targets that inform policy and track performance. 2-E Remove natural habitats prone to flooding from areas designated for future development. 2-F Raise public awareness regarding recycling and reuse through environmental protection programs. 2-G Reduce GHG emissions by increasing use of renewable energy and encouraging energy efficiency. Melaka’s strengths, weaknesses, 0pportunities, and threats (SWOT) are summarized in box 1. This report does not discuss elements such as biodiversity, ecology, and land reclamation due to the lack of available data. The lack of data is highlighted as a weakness in the SWOT. 6 / Sustainability Outlook Diagnostic – Supporting Report 2 Box 1 Melaka’s Environment: SWOT Assessment A SWOT assessment was carried out for Melaka State’s resilience, environment, and resource efficiency metrics. The underlying message is that for Melaka to more efficiently manage its resources and combat climate change, the state needs to intensify its effort to build a data inventory for key indicators so it can track performance and build targeted solutions. Strengths Weaknesses 1. Recognizing the centralized nature of 1. There is a lack of no long-term data governance in Malaysia, the Melaka inventory or monitoring that can track State government has been proactive in improvements from targeted collaborating with other key interventions. stakeholders. 2. Melaka State has little influence in 2. There is a movement to encourage and mobilizing funding for implementation promote Melaka as a smart, green, and plans or in forming state policies. sustainable city, evidenced through 3. The state has a limited infrastructure to several action plans and studies. manage waste. 3. Melaka State is one of the few states in Malaysia to publish a GHG emissions inventory. Opportunities Threats 1. A new sanitary landfill facility with a 1. The rapid rate of urbanization in Melaka capacity of 1,200 tons per day and with has contributed to a lack of planning and better provisions has been proposed. policy coordination, especially with 2. The 2+1 Program introduced by private regard to increases in the solid waste waste management firm SWM is a first generated, posing severe challenges to step toward recovering recyclables from solid waste management. waste. 2. High levels of domestic water 3. Melaka is on its way to becoming a consumption in Melaka are attributable Green Technology City-State by 2020. to state subsidies for household water utility costs and to poor building water management and design guidelines. 3. Air (tropospheric CO2), surface water, and groundwater pollution are on the rise. MELAKA Integrating Environmental Plans / 7 Key Message 2-1: Synthesize Existing Initiatives by Creating an Integrated Environmental Approach and Progressing toward Recalibrated Goals In recent years, authorities in Melaka State have greatly increased their understanding of how Melaka’s growing urban area affects the environment. This effort has included the development of multiple targets and strategies for improved environmental and resource-efficient performance. This section details Melaka’s coordinated approach—undertaken with international organizations and other key stakeholders—to promoting a green and sustainable city though action plans and studies. It also gives insight into key underlying issues in the waste, water, energy, and climate resilience sectors, and defines Melaka’s goals and strategies for each sector’s development. The major indicators in each of the sectors are then compared to those in peer cities that represent a broad range of geographies, income statuses, and rates of urbanization. An important finding is that Melaka State’s existing priority indicators lack comprehensiveness and are only indicative at this stage. They have been developed and structured around government actions rather than end-performance goals. It also appears that the robust processes needed to track performance on an ongoing basis are not in place for many of the performance metrics. This deficiency suggests the need to build a data-driven environment profile that is institutionalized through periodic monitoring and that can be used to identify key issues and develop targeted, funded, and implementable solutions. Vertical Analysis: Melaka Drawing on International Expertise Melaka has made tremendous efforts to form partnerships and draw on international funds and expertise to promote itself as a smart, green, and sustainable state. As part of these efforts, Melaka has undertaken action plans and studies to reduce its environmental footprint and conserve its natural resources. The Melaka Green Technology Corporation (PTHM) has been the focal point for facilitating knowledge sharing and implementing green policies. Furthermore, Melaka has adopted available technology to tackle climate change and has used multiple tools to improve its resource-efficient performance. However, the existing baseline indicators require further institutionalization through periodic monitoring and should be extended to provide more comprehensive coverage, which would enable Melaka to track performance and build targeted solutions. An additional shortcoming is the state’s limited ability to secure funds from the national government to implement its policies. In developing the Melaka Green City Action Plan, Melaka has worked closely with international organizations to develop a clear list of actions that will reduce the city’s environmental and resource impact by 2020. For example, the Asian Development Bank (ADB) supported Melaka’s effort to develop a plan that outlines Melaka State’s aspiration to achieve the status of a Green Technology City-State by 2020, with environmental performance far in excess of national level Malaysian targets. The plan focuses on solid waste management, water management, energy efficiency, and renewable energy. In addition to the Green City Action Plan, the ADB technical assistance report (ADB 2017) discusses the development of a framework for greener urban transport by identifying potential projects in the transport sector. PTHM, formerly known as Hang Tuah Jaya Corporation (PHTJ), poses a unique collaboration opportunity for Melaka State. 1 The corporation was founded by the Melaka State government as the state’s leading agency in green technology development. Its founding mandate was to implement the policies and green technology projects outlined by the Malaysian Green Technology Council of Melaka. In founding the PTHM Corporation, which is a unique institution in Malaysia, 1 For more information, see the PTHM website at http://www.melakagreentech.gov.my. 8 / Sustainability Outlook Diagnostic – Supporting Report 2 Melaka State recognized the need for a “‘shop window” that would’ to demonstrate its commitment to achieving its green priorities. The corporation has successfully facilitated and sponsored local initiatives, such as public sector labor force training, as well as international partnerships and knowledge transfer activities. The corporation also acts as the local secretariat of the United Nations Secretariat–Urban Environmental Accords Members Alliance (UEAMA) for Melaka State. These active partnership activities are a visible indicator of Melaka State’s long-term commitment to low-carbon development as a means of enhancing the quality of the environment and strengthening the city’s position as a regional leader in the field. The Melaka State government, recognizing the centralized nature of governance in Malaysia, has also been proactive in collaborating with other key stakeholders. The Malaysian Industry- Government Group for High Technology (MIGHT) and the Melaka State government are the governing and driving entities for greening the state, and they work in close collaboration with the Economic Planning Unit and Prime Minister’s Office. Internationally, they have effectively collaborated with ADB and the Association of Southeast Asian Nations (ASEAN). Domestically, they work together with the PTHM, the Land Transport Commission, Melaka City (Melaka Historic City Council), local transport businesses, property developers, and government-linked companies in the smart transport ecosystem; the goal is to share best practices and increase benefits through coordination. Alongside the Melaka State Economic Planning Unit, PTHM also coordinates the planning, implementing, and monitoring of Melaka State’s green programs and projects for seven key sectors, namely energy, waste reduction, urban design, green urbanization, transport, environment, and water management. These seven key sectors are divided into 21 subsectors and 152 indicators to measure Melaka’s progress toward becoming a Green Technology City-State by 2020. Melaka’s development of the PINTAR tool, 2 which entailed creating a green city baseline indicator system and the ecoBUDGET management system, is a clear step toward addressing climate change. The computer-based PINTAR tool is a simple yet customized tool whose outputs will provide requisite information on key performance indicators. Its development has been supported by ADB with the goal of assessing the implementation of the Green City Action Plan (ADB 2017) to measure baseline performance and enhance decision making. The ecoBUDGET system allows for efficient management of environment resources. The contrasting opportunities and operational constraints of this system are described in the ADB (2017) technical report. Melaka State has little influence in mobilizing funding for implementation plans and little ability to inform national policies. There is no dedicated financing mechanism for the states, and funding for projects is generally sourced from the federal government of Malaysia. This arrangement makes it hard for action plans to transition to implementation. State government funding occurs on a project-by-project basis, and often has a short-term focus. The lack of funding mechanisms is compounded by a lack of clear reporting on and ownership of programs. 2 Pintar is the Malay word for smart and swift. MELAKA Integrating Environmental Plans / 9 Vertical Analysis: Solid Waste Management The rapid urbanization of Melaka and the surrounding area has contributed to an increase in the amount of solid waste generated. This situation poses a severe challenge to solid waste management across the region. The sheer amount of solid waste has contributed to blocked drainage channels due to littering in streets and illegal disposal of waste in open areas. In addition to destroying aesthetics, the clogged drains lead to localized flooding during rain events. With a population of nearly 990,000, Melaka generates 1,480 tons of waste per day (SWCorp 2017), equal to 0.75 kg of solid waste per capita per day. Domestic waste constitutes three times the volume generated by commercial sites. Curbside collection and waste management activities are undertaken by a private firm named SWM, while across Malaysia at the federal level solid waste management is handled by the national waste grid infrastructure. In response to its lack of landfill capacity, Melaka State has set a goal of sending zero waste to landfills by 2025, while raising the recycling rate to 30 percent. However, existing recycling rates are negligible. The landfill located at the Krubong site receives 90 percent of the waste generated by Melaka residents, but has a limited daily capacity and is working at significant overcapacity, with excess waste now diverted to landfills in neighboring states. There is a plan for a new landfill facility that will occupy a 64-acre abandoned agricultural site in Sungai Udang, Melaka, and have a capacity of 1,200 tons per day. The new site will be better equipped and offer Material Recovery Facilities (MRF) and incineration sites. The Krubong landfill is expected to close by the year 2020 and to be developed as a Green Technology Park. The reasons for its planned closure include insufficient capacity and proximity to a stadium and housing area. The 2+1 Program introduced by SWM is a first step toward recovering recyclables from waste (ADB 2014). The program encourages waste segregation at source by collecting recyclables one day a week and food and other waste separately two days a week. The non-recyclable waste, including food waste, is dumped in landfills due to the lack of a composting facility. There are also plans for the state to ultimately transfer the full waste management cost to consumers, rather than subsidizing them. This change is likely to promote reduced waste production and encourage a culture of recycling. Vertical Analysis: Water Management Melaka residents have 100 percent access to piped water, which is the highest access level of any state in Malaysia. This compares to only 57.3 percent in Kelantan State (SPAN 2016b). The local state-owned water operator, SAMB, is responsible for Melaka State’s nine water treatment plants, which had a combined capacity of 639 million L per day as of 2015. In 2015 the Melaka network operated with a reserve margin of 18.8 percent. Although this is below the national policy ambition of 20 percent, it represents an increase over the 2014 reserve margin of 15.6 percent. Melaka has set ambitious targets for 2035: it seeks to reduce its domestic per capita water consumption to 150 L per day and to bring down its total system losses to 10 percent (State of Melaka 2018). Water losses in the distribution process were around 19 percent in 2016 (SPAN 2016a), which a review of available literature suggests is reasonable (European Environment Agency 2012). There is a national target aiming to reduce such nonrevenue water losses—that is, losses of water before it reaches the final user, including physical losses through leaks and apparent losses through theft or metering inaccuracies—by 25 percent by 2020. On average, Melaka consumes 380 million L of water per day. Domestic water consumption per capita was 235 L per day in 2015, up from 220 L per day in 2013. 10 / Sustainability Outlook Diagnostic – Supporting Report 2 Washing Plates in Downtown Melaka Source: “An outdoor water tap is used for washing plates by food houses in downtown Melaka, Malaysia. Clean water is readily available in urban areas in Malaysia” by Asian Development Bank CC BY-NC-ND 2.0. These ambitious targets, however, fail to focus on the issues around low water utility costs, aging infrastructure, and surface water and groundwater pollution. Melaka’s high levels of water consumption can be explained by state-subsidized household water utility costs, whereas nonrevenue water is a result of old distribution infrastructure. Melaka also has limited design guidelines to minimize domestic water use and maximize rainwater capture. In addition, the infrastructure suffers from unauthorized connections to the network, a common practice for businesses in the construction sector. Finally, several water bodies in Melaka State, including the Merlimau River, as well as groundwater and coastal waters, are judged to be in poor condition. The primary reasons for this water pollution are agricultural activities, including runoff of fertilizers used in the oil palm and rubber plantations, as well as sewage, wastewater, and industrial discharges into water bodies. Vertical Analysis: Energy and GHGs The Melaka State government has an ambitious target for renewable energy sources: the goal is for renewables to provide 20 percent of total electricity consumed in 2020 (ADB 2014). This target is a response to the fact that more than 90 percent of Melaka’s electricity is currently generated using nonrenewable sources, which are significant contributors to GHGs. In 2013, Melaka consumed nearly 33 GJ of energy; the share consumed by buildings was 18.6 percent, by industry 33.3 percent, by transportation 49.5 percent, and by agriculture 0.6 percent (ICLEI 2016). GHG emissions were 3,911,732 tCO2e, with the highest contribution coming from buildings and industry at 67.0 percent, followed by transportation at 29.8 percent (ICLEI 2016). Melaka is one of the few states in Malaysia to publish a GHG emissions inventory; this effort was supported by ICLEI Local Governments for Sustainability, the Centre for IMT-GT [Indonesia- Malaysia-Thailand Growth Triangle] Subregional Cooperation (CIMT), and the PTHM (ICLEI 2016). The inventory covered all four cities within Melaka State and a range of sectors. It was compiled with the help of the Harmonized Emissions Analysis Tool (HEAT+), which was developed and MELAKA Integrating Environmental Plans / 11 customized with technical data for a specific country according to national and international reporting guidelines. The officials undertaking the project also received training to build capacity for assessing baseline climate performance, so that progress toward and impacts of proposed actions could be measured. Melaka State will be supported by ICLEI in reporting its GHG emissions inventories and climate actions to the carbonn Climate Registry (cCR), which is a leading global reporting platform for local and subnational governments. Melaka State is well on course to become a Green Technology City-State by 2020. The SunPower solar factory in Melaka is representative of the state’s emerging green technology manufacturing sector. Melaka has several solar farms that provide energy directly to the national grid. Further information regarding Melaka’s solar cell manufacturing and solar farms is included in box 2. There are also local plans and research activities in place to develop ocean energy. The increase in renewable sources in the power matrix will reduce Melaka’s current dependence on fossil fuel– based generation and contribute to the reduction in GHG emissions. However, Melaka State currently generates a very low level of renewable energy and lacks targets for energy efficiency. There is no long-term evidence base for assessing integration of renewables. Energy prices are low and do not reflect market forces, and a consistent approach to evaluating energy efficiency is lacking. The low tariffs discourage consumers from adopting any energy efficiency measures. This situation demonstrates a clear disconnect between the policy framework and the regulations affecting energy production locally. Box 2 Solar Power in Melaka Solar cell manufacturing: AUO SunPower, based in Melaka, produces high-efficiency solar cells to generate approximately 1,400 MW of electricity annually. The plant in the Alor Gajah District is a joint venture between SunPower Corporation and AU Optronics Corporation and has been operational since 2010. The two-building facility, which comprises 108,000 m2 of building area, houses 28 solar cell production lines. In addition, the facility has solar-covered parking and rooftops estimated to provide 12.6 MW of annual power generation, along with rainwater retention ponds for environmental protection and recycling. The facility in Melaka is recognized by the International Energy Agency (IEA) for its energy-efficient design. Solar farms: The world’s most resource-efficient solar farm is in Melaka’s Hang Tuah Jaya municipality. The facility, called Kompleks Hijau Solar, started generating electricity in 2014. Its 29,092 panels together generate 8 MW—enough electricity to power 1,800 houses every day. Melaka State also has a 5 MW solar farm that it inaugurated in 2012 as part of the effort to become a Green Technology City-State by 2020. The farm, which cost RM 46 million (US$11 million), is built on a 7,248 ha site at the Melaka World Solar Valley, a cluster of green technology industries specializing in solar energy. The power generated by the solar farm is channeled directly to the national power gird. Other solar farms in Melaka include the Amcorp Properties farm (10.25 MW) in Gemas, Negri Sembilan; the Cypark Resources farm (8 MW), which is sited on top of a former landfill in Pajam, Negri Sembilan; the Sunedison farm (5 MW) in Sepang; and farms at the Kuala Lumpur International Airport Terminal 1 rooftop (4 MW) and Terminal 2 parking canopy (10 MW). Source: Tan 2015. The state has also set a target of reducing GHG emissions from the transport sector by 40 percent by 2020 (ADB 2014). In 2013, transportation accounted for 49.5 percent of total energy consumed in the state, while transportation emissions were responsible for 29.5 percent of total emissions (ICLEI 2016). Within the urban area, private car ownership continues to climb while public transport ridership remains low. Interventions designed to reduce the share of total 12 / Sustainability Outlook Diagnostic – Supporting Report 2 transport emissions are likely to have co-benefits associated with improved quality of life and environment—both significant drivers of sustainable growth in Melaka’s tourism economy. Vertical Analysis: Climate Change and Resilience Cities face significant impacts from climate change, which will increase the frequency and severity of natural hazards, such as extreme weather events, floods, and droughts as well as man-made disasters like epidemics and terrorist attacks. These impacts have serious consequences for human health, livelihoods, and assets, especially among the urban poor and other vulnerable groups. It is thus increasingly important for Melaka, which is prone to flash floods and other extreme weather events, to reduce its exposure and vulnerability and to implement prevention and mitigation measures that build resilience and promote adaptation to climate change. Melaka is the only city in Malaysia to have become part of the 100 Resilient Cities (100RC) network. 3 Membership in this network has endowed Melaka with the resources to develop a city- specific resilience strategy and to host a chief resilience officer within the city government. The program uses the City Resilience Framework to help cities identify where they are vulnerable and where they are resilient to a full range of shocks and stresses. The framework describes the essential systems of a city in terms of four dimensions: health and well-being; economy and society; infrastructure and environment; and leadership and strategy. The resilience strategy, which will be the main output from the program, is intended to be comprehensive and cover issues that go wider than just economic resilience or sustainable development (although these will be important considerations). The resilience strategy is under development and has reached the Preliminary Resilience Assessment (PRA) stage. The PRA will inform the focus of the main strategy and , but it is likely that it will likely address, amongst others, the following issues (among others) that are important for Melaka: • Preserving cultural heritage in Melaka while visitor numbers are increasing significantly • Ensuring accessible public transport • Securing sustainable management of water sources across the city (recognizing that water represents an important asset as well as a potential hazard) • Delivering public health services to meet the needs of the city’s population The 100RC program’s resilience strategy is intended to be holistic and recognize that Melaka functions as a complex system. The strategy will therefore be informed by all aspects of the how the city functions. 4 It is important to note, however, that the strategy is limited to the area within Melaka City’s boundaries, as opposed to the wider Melaka State. In Melaka State, climate change and resilience planning activities could be strengthened through integrated administration and coordination of priorities. Climate resilience is mainly addressed through the implications of urban flooding. The flash floods that periodically occur are a result of strains on the drainage system—generally attributed to rubbish clogging drains and an overall lack of available pervious surfaces—that are partly due to failures at the municipal and state level in implementing waste collection efforts. Floods and other unintended consequences of failures in waste collection can impact other parts of government and their respective budgets. 3 100 Resilient Cities will cease operations in July 2019 (Flavelle 2019), making Melaka’s participation in the Global Platform for Sustainable Cities ever more important for capacity development and knowledge sharing. 4 100 Resilient Cities, “Melaka’s Resilience Challenge,” http://www.100resilientcities.org/cities/melaka/. MELAKA Integrating Environmental Plans / 13 Example of a Clogged Drain in Melaka Source: “Fish Market, Klebang, Melaka” by Shinya Ichinohe. This situation suggests the need to consider both short-term maintenance solutions and long-term integrated planning for new and repurposed developments. Resilience planning should be at the forefront of planning and policy decisions in Melaka, especially given the flooding and extreme weather events it faces. ADB (2013) has identified three key areas where Melaka can plan for greater resilience in its urban development: • Increase protection of communities from flood risks • Assess construction standards for storm events • Reduce heat island effects (because localized higher temperatures can create microclimates that may induce extreme weather events) Across Malaysia and the wider region, Melaka is a leader in embracing resilient development practices, although it could still improve its implementation of resilience strategies. Melaka should focus on utilizing integrated land use planning to designate natural areas susceptible to flooding and remove them from the designated urban growth areas, while also preventing unnecessary redevelopment in existing flood-prone urban areas. Although Melaka has a river basin management plan to tackle urban flooding, the plan lacks sufficient federal funds. Moreover, further plans should be paired with the current regulation, which requires new buildings to have 3–5 percent of their land area reserved for retention ponds. Regarding clogged drains, training programs for contractors managing the drainage system will encourage better maintenance and reduce instances of flash floods. Horizontal Analysis: Solid Waste Management The comparator cities against which Melaka was benchmarked represent a broad range of geographies, income statuses, and rates of urbanization. It is therefore likely that both the volume and composition of solid waste per capita will vary significantly between comparator cities. Based upon its GDP per capita, 5 Melaka would be expected to demonstrate lower rates of per capita solid waste. Other factors may affect these rates, however, such as the local share of domestic versus commercial waste, local efficiency campaigns, and cultural behaviors. 5 Refer to Supporting Report 1: Reinforcing Melaka’s Economic Success. 14 / Sustainability Outlook Diagnostic – Supporting Report 2 The amount of total solid waste generated in Melaka is lower than in Singapore, but higher than in Da Nang (Vietnam). With a population of nearly 990,000 people, Melaka currently generates approximately 1,480 tonnes of waste per day (SWCorp 2017; see figure 1) or about 555 kg per person per year, while Singapore produces 1,394 kg (National Environment Agency 2018) and Da Nang 250 kg (General Statistics Office of Vietnam 2019a, 2019b). Da Nang is planning to use its current landfill—with a capacity of 800 tons per day—to extract and convert landfill gas into electricity (World Bank 2015). Another proposed project is a sewage and sludge treatment facility. This is likely to be developed through a pilot public-private partnership, where the private operator collects, transports, and treats the organic waste at the treatment facility. In addition to contributing to a cleaner environment, the treated sludge will be used as a fertilizer, ash for construction, and methane gas for electricity generation. Figure 1 Solid Waste Generated per Capita per Year (kg): Melaka versus Da Nang and Singapore 1,600 1,400 Total solid waste generated 1,200 (kg/year/capita) 1,000 800 600 400 200 0 Da Nang (2017) Melaka (2015) Singapore (2016) Sources: SWCorp 2017 (for Melaka State); General Statistics Office of Vietnam 2019a, 2019b (for Da Nang); National Environment Agency 2018 (for Singapore). The absence of detailed waste production and management data means that a full horizontal analysis is not possible. Although Melaka may generate low levels of solid waste per capita, these levels are likely to increase significantly as Malaysia’s economy continues to grow and become more mature. Based on historical growth figures, the World Bank (2012) estimates that at the national level in Malaysia, per capita solid waste will increase by 25 percent between 2012 and 2025. Horizontal Analysis: Water Management The percentage of nonrevenue water used in Melaka is much lower than the Malaysian average; however, the water use rate and nonrevenue water percentage are much higher than in Singapore. In 2015, the annual water consumption per capita was 151 L per day in Singapore (Singapore National Water Agency 2015), which is Melaka’s water consumption target for 2035. Additionally, Singapore lost only 5 percent of water in distribution (Singapore National Water Agency 2015). In comparison, as shown in figure 2, Malaysia loses 35 percent of water in distribution (SPAN 2016a). It should be noted that in Singapore, there is a national emphasis on water security; this is not the case in Malaysia, which has relatively abundant water availability. MELAKA Integrating Environmental Plans / 15 Melaka’s nonrevenue water use is significantly higher than Singapore’s and is equal to that of its peer Penang State (Malaysia). While nonrevenue water use can be difficult to manage, the levels of water loss evident in Melaka make this a significant area of focus if the city wishes to reduce overall water consumption. This is also an area where the city authorities are likely to be able to affect positive change. Figure 2 Percentage of Nonrevenue Water: Melaka versus Others 40% 35% Percentage of nonrevenue water 30% 25% 20% 15% 10% 5% 0% Singapore (2015) Penang State (2016)Melaka State (2016) Malaysia (2016) Sources: SPAN 2016a, expect Singapore (Singapore National Water Agency 2015). Horizontal Analysis: Energy and GHGs Melaka’s share of energy consumption and emissions from transport are higher compared to other cities. Total energy consumption in Melaka is higher than energy consumption in Da Nang. Da Nang consumed around 17.9 PJ of energy in 2010 and was experiencing an 11.7 percent yearly increase in consumption at the time (Ostojic et al. 2013). That is approximately 20 GJ per person. Melaka consumed 33.9 PJ of energy in 2013, or about 40 GJ per person (ICLEI 2016). The share of energy consumption for different sectors has a similar profile for both cities, as shown in figure 3. The transport sector in Da Nang and Recife accounted for citywide GHG emissions of 47 percent (2010, Ostojic et al. 2013) and 45 percent (2012, UN-Habitat 2012), respectively. One of the World Bank’s Sustainable Urban Energy and Emissions Planning (SUEEP) project in Da Nang, which provides a framework to help cities develop their own energy and emissions plans and mobilize financing in energy efficiency and green infrastructure, has sought to increase the very low modal share of public transit by doubling the number of bus lines to encourage bus use and expanding other higher-quality public transit services (World Bank 2015). Information about Recife’s low- emission development strategies is in box 3. 16 / Sustainability Outlook Diagnostic – Supporting Report 2 Figure 3 Share of GHG Emissions in Different Sectors: Melaka versus Da Nang 100% 90% 80% 70% 60% 50% 40% 30% 20% 10% 0% Melaka (2013) Da Nang (2010) Transport Stationary Units (including buildings) Other Sources: ICLEI 2016 (for Melaka); Ostojic et al. 2013 (for Da Nang). Melaka has seen an 18 percent increase in local tropospheric CO2 levels (i.e., those in the lowest layer of the atmosphere) between 2000 and 2015 (table 1). In the absence of detailed data on CO2 and other pollutants for Melaka, GIS and remote sensing have been used to obtain atmospheric CO2 data for Melaka and the horizontal comparator cities (table 1). While this does not give an exact depiction of air quality levels within the city, it does provide an indication for the purposes of comparison between cities. It is notable that among those peer cities under review, only those located in Southeast Asia (Melaka, Penang, and Singapore) saw a rise in levels of tropospheric CO2 between 2000 and 2015. The troposphere is most extensive at the tropics and along the equator. This may in part explain the concentration of CO2 in the troposphere above these cities. This trend toward rising levels of tropospheric CO2 is likely to continue, both as CO2 agglomerates in the equatorial troposphere and as Southeast Asia continues to grow in population and industrializes. MELAKA Integrating Environmental Plans / 17 Box 3 Low-Emission Development Strategies in Recife According to the Intergovernmental Panel on Climate Change, Recife is highly vulnerable to climate change. In an effort to meet associated challenges, the city has committed itself to social and economic development based on sustainability principles. In 2013, Recife signed a Memorandum of Understanding with ICLEI to be one of the model cities in Brazil under the Urban–LEDS project promoting low-emission development strategies. Recife has implemented various policies and measures under the project, particularly in the following sectors: • Waste. The city has developed the Municipal Integrated Waste Management Plan to overcome the challenges of waste management and has also launched an e-waste collection campaign. To tackle waste emissions, which can be achieved by reducing the amount of waste sent to landfills, the city is exploring source segregation and recycling programs. • Energy. To reduce energy consumption, a pilot project in the historical center has replaced conventional light bulbs with LED (light emitting diode) bulbs; this approach will soon be expanded to the entire city. Recife is further planning to replace its gasoline municipal fleet with biofuel (ethanol) as well as introduce an electric car–sharing scheme in partnership with the state government. • Transport. Recife is the sixth worst city in the world for time lost in traffic. The result is decreased quality of life and economic productivity. To improve passenger transport flow in the city, Recife is developing bus corridors and encouraging use of bike lanes with restricted car access on the weekends. The city is also exploring boats to transport passengers as an additional option to reduce congestion. • Resilience. A green building policy is being advanced through the newly developed Sustainable Construction Code and the municipal green mandate, which requires buildings more than four stories to have roofs covered with native vegetation. In 2013, Recife applied for technical assistance from the International Society of City and Regional Planners (ISOCARP) to help develop guidelines on mobility and urban infrastructure. In 2015, Recife held the Fourth Climate Change Forum (COMCLIMA) meeting to develop and finalize the main guidelines of the city’s Low Carbon Development Preliminary Plan, which is also being developed under the Urban-LEDS project. The city is further conducting a long-term project, entitled “Recife 500 Years, the City We Want,” which will aim to provide guidelines for development of the city until 2037. Source: Urban-LEDS 2017. A further increase in tropospheric CO2 levels in Melaka may cause decreases in air quality in the wider region. A common feature of the troposphere of urban areas is smog, which can restrict visibility and irritate the eyes and throat. Smog is produced when pollutants accumulate close to the surface beneath an inversion layer in the atmosphere, where temperature increases with height, and undergo a series of chemical reactions that prevent pollutants from escaping into the upper atmosphere. 18 / Sustainability Outlook Diagnostic – Supporting Report 2 Table 1 Average Concentrations of Tropospheric CO2/Month (parts per billions per volume) 2000 2010 2015 Melaka State (Malaysia) 77.80 71.58 91.42 Penang State (Malaysia) 80.20 72.33 84.17 Singapore 79.10 70.33 90.92 Da Nang (Vietnam) 97.70 95.00 94.25 Porto (Portugal) 111.00 103.25 95.42 Izmir (Turkey) 105.80 100.75 101.17 Recife (Brazil) 98.20 81.00 79.92 Source: Images created by Jesse Allen, NASA’s Earth Observatory, using data provided by the National Center for Atmospheric Research (NCAR) and the University of Toronto MOPITT Teams. Compiled through analysis by the Future Cities Laboratory. Horizontal Analysis: Climate Change and Resilience The west coast of Malaysia has been identified as at extreme risk of coastal flood events because of climate change (Hazari 2015). While this coastline has a relatively high level of development compared to other areas of West Malaysia, including various flood defense mechanisms, some outlying urban areas may be at risk. The situation is similar in other cities in the wider Southeast Asia region, such as Da Nang and Singapore. Parts of these cities are at risk of coastal flood events because of both sea-level rise and extreme weather events. To address flood risk, these cities have considered and (to varying degrees) implemented a combination of approaches, from weather warning technologies to large-scale barrage infrastructure. While these approaches may not be appropriate or cost-effective for Melaka, it will be important to consider the potential impact of future coastal flood events as a result of climate change. Melaka’s risks are broadly focused on economic damage rather than loss of life. They include the impact of overdevelopment and low-level urban flood events. Many of these risks are also faced by domestic and international peer cities. Melaka could engage with and learn from multiple programs and knowledge-sharing opportunities in the region, including the Indonesia-Malaysia- Thailand Growth Triangle (IMT-GT) (ADB 2019) and the ASEAN Working Group on Sustainable Cities (ASEAN 2019). There is a particular opportunity in Southeast Asia to engage with mentors from transformed cities and municipalities to share knowledge, practices, and processes of change with representatives from utilities, academia, the private sector, and local government. ADB (2013) has identified this approach as a key pathway to improving competency in integrated urban and environmental planning, climate resilience, energy efficiency, and project management. The sustainability outlook diagnostic for Melaka found that Melaka State and city agencies tend not to share information regarding urban flood events. Currently, there is no city- or state-level strategy to mitigate the impact of or adapt to these events, and no local institution claims authority over the issue. Several cities across Malaysia face similar issues, and there may be opportunities for best-practice learning between cities. MELAKA Integrating Environmental Plans / 19 Recommended Actions The following are recommendations for Melaka’s environmental future. A suggested action plan aligned with each recommendation is found in table 2. 2-A Identify a clear champion of each priority project and strategic objective. Identifying ownership of targets will enable a greater focus on performance assessment and ultimately on budget allocations, in turn enabling more effective implementation. Recording these responsibilities will also minimize the potential for deferring actions and encourage greater accountability by and collaboration between city agencies. 2-B Optimize existing knowledge sharing and technical leadership arrangements with peer cities and partners. The high aspirations of Melaka’s leadership are not always evident in policy implementation. Through better coordination—both internally (within the city’s own agencies) and externally (across peer cities’ networks under the World Bank, ADB, the ASEAN Green Triangle, and others)—Melaka will be able to identify critical pathways to ensure outcomes in line with its sustainability objectives. 2-C Develop clear performance guidelines for water management in buildings and urban areas. Guidelines should be publicized as part of water management and efficiency awareness programs targeted at domestic users through television, radio, newspapers, and advertisements. System losses should be mitigated by infrastructure maintenance and gradual pipeline replacement. Water pricing mechanisms to encourage water use reduction are likely to face considerable resistance from the public, and so should be combined with comparative water usage information. 2-D Harness environmental data and develop evidence-based targets that inform policy and track performance. Supporting report 4 of the Melaka diagnostic, 6 which deals with data for integrated planning, suggests that Melaka should address its lack of performance indicator data and build an environmental profile for identifying key issues and developing targeted solutions. Furthermore, the state should introduce ways of including citizens in policy making and implementation through public campaigns, surveys, and awareness programs about environmental protection, recycling, and sustainable water and energy consumption. 2-E Remove natural habitats prone to flooding from areas designated for future urban development. Policies could be enacted to strengthen the existing legal mechanisms, which allow the local government to control the development of flood-prone areas without land acquisition. Melaka State is also prone to urban flooding because its current drainage system has limited capacity and because inadequate rubbish maintenance practices lead to clogging. Training programs for contractors managing the drainage system will encourage better maintenance and help reduce instances of flash floods. 2-F Raise public awareness regarding recycling and reuse through environmental protection programs. Recycling rates are negligible because citizens have little incentive to recycle, but rates could be increased through public awareness programs. Melaka currently lacks a policy on organic waste, which makes up around 60–70 percent of total waste generated. Composting facilities should be promoted to handle such waste, and private actors should be incentivized to develop new sorting facilities for waste management. 2-G Reduce GHG emissions by increasing use of renewable energy and encouraging energy efficiency. The state could follow the example of Da Nang, which has made a strong commitment to low-carbon urban development, supported by SUEEP. Melaka State should 6 Supporting Report 4: Shaping a Compact, Efficient, and Harmonious Urban Form. 20 / Sustainability Outlook Diagnostic – Supporting Report 2 develop a concrete and reliable energy profile, determine energy targets for sustainable and clean energy, and seek to mobilize financing for energy efficiency and renewable programs. Table 2 Action Plan for an Integrated Environmental Approach Item 10 Years 0–4 Years 5–9 Years or More 2-A Identify a clear champion of each priority project and strategic objective Lead agency: • State government 1 year Supporting agencies: • PTHM • State Economic Planning Unit 2-B Optimize existing knowledge sharing and technical leadership arrangements with peer cities and partners Lead agency: 2 years • PTHM Supporting agency: • MIGHT 2-C Develop clear performance guidelines for water management in buildings and urban areas 2 years Lead agency: • PTHM 2-D Harness environmental data and develop evidence-based targets that inform policy and track performance Lead agency: • PTHM 3 years Supporting agency: • State Economic Planning Unit 2-E Remove natural habitats prone to flooding from areas designated for future urban development 3 years Lead agency: • State government MELAKA Integrating Environmental Plans / 21 Supporting agencies: • State Economic Planning Unit • Melaka Municipal Government 2-F Raise public awareness regarding recycling and reuse through environmental protection programs Lead agency: • PTHM 5 years Supporting agency: • State government 2-G Reduce GHG emissions by increasing use of renewables and encouraging energy efficiency Lead agency: • PTHM 15 years Supporting agencies: • MIGHT • Sustainable Energy Development Authority (SEDA) Malaysia 22 / Sustainability Outlook Diagnostic – Supporting Report 2 References ADB (Asian Development Bank). 2013. “Green Cities Initiatives: Towards a Sustainable Urban Future in Southeast Asia.” https://hls-esc.org/documents/5hlsesc/ADB_Thematic.pdf. ———. 2014. “Green City Action Plan.” Melaka. https://www.adb.org/sites/default/files/related/41571/imt-gt-green-city-action-plan- melaka-april-2014.pdf. ———. 2017. “Towards a Greener Urban Transport System in Melaka.” Draft version. ———. 2019. “Indonesia-Malaysia-Thailand Growth Triangle (IMT-GT)” https://www.adb.org/countries/subregional-programs/imt-gt. Association of Southeast Asian Nations (ASEAN) 2019. “ASEAN Cooperation on Environment.” https://environment.asean.org/about-asean-cooperation-on-environment/. European Environment Agency. 2012. “Losses from Urban Water Networks.” https://www.eea.europa.eu/data-and-maps/figures/losses-from-urban-water-networks. Flavelle, Christopher. 2019. “Rockefeller to Wind Down Biggest Private Climate Resilience Push.” Bloomberg, April 1. https://www.bloomberg.com/news/articles/2019-04-01/rockefeller- announces-end-of-major-climate-resilience-initiative. General Statistics Office of Vietnam. 2019a. “Average Population, Year 2017.” http://www.gso.gov.vn/default_en.aspx?tabid=774. ———. 2019b. “Total of Collected Solid Waste, Year 2017.” http://www.gso.gov.vn/default_en.aspx?tabid=783. Hazari, Syed Mohazri Syed. 2015. “Impacts of Climate Change on the Straits of Malacca: The ‘Three Major Effects’ and Their Policy Remedies.” Centre for the Straits of Malacca, Maritime Institute of Malaysia (MIMA). https://www.nccarf.edu.au/sites/default/files/Syed-Mohazri-Syed-Hazari.pdf. ICLEI. 2016. “Melaka State: Greenhouse Gas Emission Inventory Report 2013.” November. National Environment Agency. 2018. “Waste Statistics and Recycling Rate for 2016.” Singapore. https://www.nea.gov.sg/our-services/waste-management/waste-statistics-and-overall- recycling. Ostojic, Dejan R., R. K. Bose, Holly Krambeck, Jeanette Lim, and Yabei Zhang. 2013. Energizing Green Cities in Southeast Asia: Applying Sustainable Urban Energy and Emissions Planning. Washington, DC: World Bank. https://www.worldbank.org/en/region/eap/publication/energizing-green-cities-in- southeast-asia. Seoul Institute, Green Smart City Lab of Sungkyunkwan University, Da Nang Institute for Socio- Economic Development, Da Nang High-Tech Park Management Board, UN-Habitat Vietnam. 2015. “Strategic Plan for Developing Da Nang Metropolitan Region and Da Nang Hub City.” https://seoulsolution.kr/sites/default/files/cityprofile/161205_Strategic%20Plan%20for% 20Developing%20Da%20Nang%20Metropolitan%20Region%20and%20Da%20Nang%20H ub%20City_%28%EC%B5%9C%EC%A2%85%29.pdf. Singapore National Water Agency. 2015. “Water Demand—Domestic Water Consumption per Capita.” https://data.gov.sg/dataset/water-demand-domestic-water-consumption-per- capita. SPAN (National Water Services Commission). 2016a. “Non Revenue Water (NRW) 2015–2016.” http://www.span.gov.my/index.php/en/statistic/water-statistic/non-revenue-water-nrw- 2017. MELAKA Integrating Environmental Plans / 23 ———. 2016b. “Water & Sewerage.” National Environmental Health Action Plan (NEHAP) Conference, Putrajaya, Malaysia, September 29. http://nehapmalaysia.moh.gov.my/wp- content/uploads/2016/03/Paper-1-Water-Sewerage.pdf. State of Melaka. 2018. Melaka State Structure Plan 2035. SWCorp. 2017. “SWCorp Master Plan.” Tan, Cheng Li. 2015. “Solar Farm Boosts Malaysia’s Renewable Energy Supply.” Star Online, March 9. https://www.thestar.com.my/lifestyle/features/2015/03/09/solar-farm-boosts- malaysias-renewable-energy-supply/. UNFCC (United Nations Framework Convention on Climate Change). 2015. “Intended Nationally Determined Contribution of the Government of Malaysia.” http://www4.unfccc.int/Submissions/INDC/Published%20Documents/Malaysia/1/INDC% 20Malaysia%20Final%2027%20November%202015%20Revised%20Final%20UNFCCC.pd f. UN-Habitat. 2012. “Sustainable and Low-Carbon Recife—Greenhouse Gas Emission Reduction Plan (GEE).” Final Technical Report. http://www2.recife.pe.gov.br/sites/default/files/plano_de_baixo_co2_recife.pdf. Urban-LEDS. 2017. “Urban Low Emission Development Strategies.” Recife. https://urban- leds.org/countries-cities/brazil/#recife. World Bank. 2012. “What a Waste: A Global Review of Solid Waste Management.” Urban Development Series Knowledge Papers. https://siteresources.worldbank.org/INTURBANDEVELOPMENT/Resources/336387- 1334852610766/What_a_Waste2012_Final.pdf. ———. 2015. “Mapping Out Pathways to Sustainable Growth in Vietnam.” August 5. http://www.worldbank.org/en/news/feature/2015/08/05/mapping-out-pathways-to- sustainable-growth-in-da-nang. Melaka State in Malaysia has strong sustainability aspirations and is an important member of the Global Platform for Sustainable Cities (GPSC). To inform the next update to Melaka’s State Structure Plan, GPSC performed a sustainability outlook diagnostic to holistically consider six dimensions of the state’s urban sustainability. The diagnostic consists of an overview report—containing a policy brief, executive summary, and benchmarking assessment—and six supporting reports that cover each of the diagnostic’s dimensions. Informed by a wide range of stakeholder consultations and by data, analyses, and the benchmarking assessment, the reports offer key messages and recommendations for action so that Melaka can chart its own pathway to urban sustainability.