IIC Journal of Innovation 4th Edition | Page 6

Intelligent Transport Solutions for Smart Cities and Regions: Lessons Learned The financial squeeze led many of the early smart city projects to tackle quick-win, point solutions with a clear, near-term return on investment. Smart street lighting 1 is one example of the savings that a city can achieve. However, if the city then wishes to integrate other smart city services into a common IT environment, or use data from existing street furniture for other purposes, it faces significant integration and life-cycle support costs, problems that several cities are beginning to experience 2 . T HE S MART C ITY P HENOMENON City authorities find themselves at the confluence of several technology breakthroughs, service innovations and rising citizen expectations which are fueling the smart city phenomenon. The telecommunications sector delivers a constant stream of low cost and ubiquitous technologies to connect and remotely manage a wide variety of city assets. Internet companies, transport authorities and ride-sharing service providers offer sophisticated journey planning and crowd sourcing applications which improve transportation logistics and add convenience to the everyday lives of commuters. At the same time, consumers see traditional industries embrace internet concepts through services such as online banking, utilities account management and the use of mobiles to pay for car parking. The integration challenge does not just apply to citizen-facing applications. City authorities are organized into departmental silos, some of which have outsourced services to private sector firms. These structures create problems when it comes to sharing connected assets and data, within a department and across departments and operational boundaries. City managers are beginning to see that their initial focus on quick-win, standalone solutions is costly to maintain and difficult to integrate into a unified smart city operating framework. They also have to discover innovative funding and risk-sharing frameworks to break new ground in delivering smart city services. The way forward is to make best use of highly reusable, horizontal platforms, through flexible and expandable partnerships between public and private sector organizations. These innovations raise citizen expectations for public sector services, forcing them to become less bureaucratic and more citizen friendly. Smart city solutions also need to cover a wider range of services than city authorities previously provided. And, all the while, city budgets are under pressure in absolute terms and in relation to budgetary ring fences around education, health and welfare services. Inevitably, this results in a squeeze on budgets for innovation and operational transformation. 1 Lighting the Clean Revolution: The Rise of LED Street Lighting and What it Means for Cities, “LEDs achieve 50 to 70% energy savings, and reach up to 80% savings when coupled with smart controls”. https://www.theclimategroup.org/sites/default/files/archive/files/LED_report_web1.pdf 2 From Smart Cities 1.0 to 2.0: it’s not (only) about the tech, http://theconversation.com/from-smart-cities-1-0-to-2-0-its-not-only-about-the- tech-73851 IIC Journal of Innovation - 5 -