The Climate Budget is designed to embed climate targets directly into the city’s financial planning and decision-making framework, ensuring that emissions reductions are managed with the same rigor and accountability as fiscal objectives.
To celebrate the anniversary, leading international climate organizations gathered in Oslo. Representatives and Lead Authors from the United Nations’ Intergovernmental Panel on Climate Change (IPCC), C40 Cities, the World Economic Forum, and other partners from business, academia, and government joined Governing Mayor Eirik Lae Solberg at Oslo City Hall.
“As a local leader in a European capital, my message is clear: When the global actors fail to do enough, we, as local and regional communities, must step up. The IPCC concluded in its latest assessment report that cities account for two-thirds of global greenhouse gas emissions. In my view, that means that cities can play a key role in solving climate challenges. In Oslo, we see and make use of that opportunity. We do it in two different ways: Firstly, we are committed to a clear and bold goal: By 2030, Oslo will cut emissions by 95 percent. Secondly, we share our knowledge and experience with cities around the world,” said Solberg in his speech.
New Frontiers
In the two days that followed, Port Director and CEO Ingvar M. Mathisen welcomed delegates to Port of Oslo’s headquarters.
“I was interested in visiting Port of Oslo as green ports and green shipping have become one of the new frontiers for urban climate action. It’s fairly obvious that the world’s biggest cities will have the biggest ports, but it hasn’t really been part of the climate strategies of cities until recently. Until the last few years, cities focused their climate action on things like running the buses, waste management, and housing and planning,” said Mark Watts, Executive Director of C40 Cities, while visiting Port of Oslo.
Mark Watts, widely credited with founding C40 in 2005, has played a central role in shaping the network into a global alliance of mayors advancing city-level climate action. Modelled on Oslo’s Climate Budget, all 94 C40 member cities are required to have a climate budget in place by 2030 as part of their membership commitments.
Watts acknowledges Oslo as an early pioneer in green strategies, with approaches to climate budgeting and clean construction regulations that have been adopted by some of the world’s largest cities.
“It's undeniable that Oslo is an absolute pioneer and leader in many areas, and it is also very good at sharing best practices. It has a responsibility to do so because Norway is a major oil and gas producer, whose national oil company continues to invest research and development funds in oil and gas. The science is clear. We need to phase out fossil fuels immediately. I think the city’s leadership is absolutely to be lauded - it is very, very real - but in the context of global climate justice, it is also what Norway should be doing,” says Watts.
Sharing Experience
Professor Xuemei Bai of the Australian National University, and one of the Lead Authors of the upcoming IPCC Special Report on Climate Change and Cities, was among the visiting delegation. During her stay in Oslo, Professor Bai participated in a harbor boat tour hosted by Port of Oslo.
“I think it is wonderful to see that Port of Oslo and the Oslo municipality are working to achieve really ambitious goals and lower emissions. I am also impressed that you have an open-book approach - sharing your experience and reaching out to bring others along on the journey, instead of only being a frontrunner and waiting for others to learn from you. This is also really my research interest,” says Professor Bai.
Engaging with the World Economic Forum
Daniel Boero Vargas, leader for Industry Decarbonization, Cement and Concrete at the World Economic Forum, also joined the delegation visiting Port of Oslo.
“Oslo is a global leader when it comes to climate ambitions, and Port of Oslo is a catalyst for innovation and ideas. It has been interesting to learn how the port contributes to making the shipping sector greener by offering charging facilities alongside its wider work on emissions-free construction,” said Boero Vargas.
Approximately 3-thousand leaders from 130 countries gathered at the annual World Economic Forum in Davos. The program included more than 200 sessions, with industrial decarbonization featured prominently on the agenda.
“The WEF’s Annual Meeting is an important arena for fostering collaboration and exchanging ideas. Transferring experience from one sector to another can drive innovation. I take with me the insight that environmental incentives at the port can be transferable to other industries. It was interesting to hear that the most environmentally friendly cruise ships in Port of Oslo pay less than those that pollute the most. Such environmental incentives could be applied to other sectors, such as some of the heavy-emitting industrial sectors covered by the First Movers Coalition,” said Boero Vargas while in Oslo.
The First Movers is a global coalition of companies leveraging their purchasing power to decarbonize the world’s heavy-emitting industrial sectors, which are responsible for 30% of global emissions.
Collaboration
Port of Oslo Director and CEO Ingvar M. Mathisen points to close collaboration between the city and the port as a key factor behind the port’s leadership in the green maritime transition.
“Port of Oslo’s vision is to be the world´s most effective and environmentally friendly city port. In all modesty, I think it’s fair to say that no other port can showcase the same results regarding electrification of the port sector as us. Furthermore, I don’t know of any other cities in the world with the same level of electrification of public transport on water as Oslo. Local ferries transport thousands of passengers emission-free every day and close to 4 million passengers per year. Visionary and ambitious politicians have helped us set the course towards a zero-emissions future. Aligning with Oslo’s Climate Budget and setting clear goals for zero-emission operations, including the electrification of port equipment and the use of shore power for ships, has resulted in a 29% reduction in greenhouse gas emissions so far. Our target is 85% by 2030,” says Mathisen.