BME Egyesült Innovációs és Tudásközpont BME Federated Innovation and Knowledge Centre 1111 Budapest, Egry J. u. 18. V1 ép. C 201. H-1111 Budapest, Egry J. u. 18. bldg. V1 C Smart City strategy in Hungary Dr. Kálmán Kovács Director, Federated Innovation and Knowledge Centre of Budapest University of Technology, Hungary 9th IT STRAR, Warsawa, 8-9 October 2015 Topic I - National Strategies, Policies and Action Plans

BME Egyesült Innovációs és Tudásközpont BME Federated Innovation and Knowledge Centre 1111 Budapest, Egry J. u. 18. V1 ép. C 201. H-1111 Budapest, Egry J. u. 18. bldg. V1 C EU SMART CITY STRATEGY

BME Egyesült Innovációs és Tudásközpont BME Federated Innovation and Knowledge Centre 1111 Budapest, Egry J. u. 18. V1 ép. C 201. H-1111 Budapest, Egry J. u. 18. bldg. V1 C EU – Societal Challenges 1.Health, Demographic Change and Wellbeing 2.Food Security, Sustainable Agriculture and Forestry, Marine, Maritime and Inland Water Research and the Bioeconomy 3.Secure, Clean and Efficient Energy 4.Smart, Green and Integrated Transport 5.Climate Action, Environment, Resource Efficiency and Raw Materials 6.Europe in a changing world - Inclusive, innovative and reflective societies 7.Secure societies – Protecting freedom and security of Europe and its citizens

BME Egyesült Innovációs és Tudásközpont BME Federated Innovation and Knowledge Centre 1111 Budapest, Egry J. u. 18. V1 ép. C 201. H-1111 Budapest, Egry J. u. 18. bldg. V1 C EU primary energy consumption scenarios for 2020 The initial positive effects after 2009 did not prevail, and the system was restored in 2013 to essentially the same growth path gradient (green line). EU primary energy consumption scenarios for 2020 (source: pp 5)

BME Egyesült Innovációs és Tudásközpont BME Federated Innovation and Knowledge Centre 1111 Budapest, Egry J. u. 18. V1 ép. C 201. H-1111 Budapest, Egry J. u. 18. bldg. V1 C EU 20/20/20 the need of sustainable solutions EU objectives 20% pollutant emission decrease, 20% renewable energy and 20% energy efficiency increase The EU considers drastic changes closely related to each other necessary in the following areas:  energy production and energy utilization,  transport and delivery systems,  infrastructure (build environment – building, public utility), and  information technology and communication technologies. Cities in the focus  75% of the population lives in cities  uses 70% of the utilized energy, and  the proportion is the same in the area of pollutant emission.

BME Egyesült Innovációs és Tudásközpont BME Federated Innovation and Knowledge Centre 1111 Budapest, Egry J. u. 18. V1 ép. C 201. H-1111 Budapest, Egry J. u. 18. bldg. V1 C Key components for the smart cities Cohen, B.:

BME Egyesült Innovációs és Tudásközpont BME Federated Innovation and Knowledge Centre 1111 Budapest, Egry J. u. 18. V1 ép. C 201. H-1111 Budapest, Egry J. u. 18. bldg. V1 C Implementation of Smart City Strategy

BME Egyesült Innovációs és Tudásközpont BME Federated Innovation and Knowledge Centre 1111 Budapest, Egry J. u. 18. V1 ép. C 201. H-1111 Budapest, Egry J. u. 18. bldg. V1 C Key areas of EU Smart City strategy EU Smart City strategy aims at developing three key areas: Sustainable urban mobility using alternative energies and smart solutions: –in public transport, logistics, –areas of planning and operational management. Sustainable energy efficient buildings and areas: –increasing the energy efficiency of buildings and areas, –increase the proportion of renewable energy utilization, –enhancing the quality of life of the community. Establishing integrated infrastructure: –to connect energetics, transport and ICT, –to increase efficiency and sustainability.

BME Egyesült Innovációs és Tudásközpont BME Federated Innovation and Knowledge Centre 1111 Budapest, Egry J. u. 18. V1 ép. C 201. H-1111 Budapest, Egry J. u. 18. bldg. V1 C EU Smart City business model The key cornerstones:  traditional solutions (interests) are not sustainable;  new approach is necessary, which is:  market oriented and sustainable in the long run,  based on individual-community (public-private cooperation),  unification of complex urban needs and service industry interests. Elements of a business model related to Smart Cities:  modular approach,  adaptability of local (operating) ecosystems, and  creates the European market of solutions, technologies and products-services designed for smart cities.

BME Egyesült Innovációs és Tudásközpont BME Federated Innovation and Knowledge Centre 1111 Budapest, Egry J. u. 18. V1 ép. C 201. H-1111 Budapest, Egry J. u. 18. bldg. V1 C SMART CITY STRATEGY OF HUNGARY

BME Egyesült Innovációs és Tudásközpont BME Federated Innovation and Knowledge Centre 1111 Budapest, Egry J. u. 18. V1 ép. C 201. H-1111 Budapest, Egry J. u. 18. bldg. V1 C Planning frameworks and professional forums National Infocommunication Strategy Digital Development Programme (passed in 2014) Future Internet National Technology Platform (2011) Smart City Section (2014) Smartpolis – Smart City Centre of Excellence (2015)

BME Egyesült Innovációs és Tudásközpont BME Federated Innovation and Knowledge Centre 1111 Budapest, Egry J. u. 18. V1 ép. C 201. H-1111 Budapest, Egry J. u. 18. bldg. V1 C Strategic frames for Smart City developments

BME Egyesült Innovációs és Tudásközpont BME Federated Innovation and Knowledge Centre 1111 Budapest, Egry J. u. 18. V1 ép. C 201. H-1111 Budapest, Egry J. u. 18. bldg. V1 C The Hungarian strategy for Smart (Intelligent) City is not yet finalized. Government, however, recognizing the social, economic and national policy benefits stemming from the widespread, purposeful use of info- communications and digital tools – approved the National Digital Development Programme (DNFP – Digitális Nemzet Fejlesztési Program ) which is aiming at to increase the spread of access to info-communication services and tools. To implement DNFP, the government decided it is necessary to provide 30 Mbps broadband access for all domestic households by These resolutions provide the framework for commencing strategy development on government level. National Digital Development Programme (DNFP)

BME Egyesült Innovációs és Tudásközpont BME Federated Innovation and Knowledge Centre 1111 Budapest, Egry J. u. 18. V1 ép. C 201. H-1111 Budapest, Egry J. u. 18. bldg. V1 C Smart City developments in DNFP implementation process

BME Egyesült Innovációs és Tudásközpont BME Federated Innovation and Knowledge Centre 1111 Budapest, Egry J. u. 18. V1 ép. C 201. H-1111 Budapest, Egry J. u. 18. bldg. V1 C Responsibilities: Digital Infrasurture belongs to the Prime Minister’s Office and the Ministry of National Economy Digital community and economic development (and especially the Smart City services) belongs to Prime Minister’s Office, the Ministry of National Development and the Ministry of Interior. Coordinated by Lechner Knowledge Centre of MeH. Digital Public servises (Digital State included) belong to the Ministry of Interior (in collaboration with Prime Minister’s Office) Digital competences belongs to the Ministry of Human Resources and the Ministry of Economy. National Digital Development Programme (DNFP)

BME Egyesült Innovációs és Tudásközpont BME Federated Innovation and Knowledge Centre 1111 Budapest, Egry J. u. 18. V1 ép. C 201. H-1111 Budapest, Egry J. u. 18. bldg. V1 C Simultaneously, several professional organisations were formed aiming to assist the development and to contribute to the operationalization of this strategy. Most prominent among these are the Future Internet National Technology Platform (JINTP or JI Platform in short) established in on May 3, 2011 which, by way of its members, covers the whole competence area. The JINTP is chaired by Dr. Péter Bakonyi, senior specialist at BME EIT. Dr. Bakonyi also leads the subproject implementing the establishment and operation of the Future Internet Research Coordination Centre. Professional forums Future Internet National Technology Platform

BME Egyesült Innovációs és Tudásközpont BME Federated Innovation and Knowledge Centre 1111 Budapest, Egry J. u. 18. V1 ép. C 201. H-1111 Budapest, Egry J. u. 18. bldg. V1 C Future Internet National Technology Platform’s membership include: The Ministry of National Development, the Ministry of National Economy, the National Innovation Office on the government side. All significant technical and science universities of the country and the relevant academic institutes on the research (academic) side; All significant telecommunications and IT firms, professional associations and societies on the industrial service side. Professional forums Future Internet National Technology Platform

BME Egyesült Innovációs és Tudásközpont BME Federated Innovation and Knowledge Centre 1111 Budapest, Egry J. u. 18. V1 ép. C 201. H-1111 Budapest, Egry J. u. 18. bldg. V1 C Under the framework of JINTP a professional initiative established the Smart City Section in 2014 to enable more efficient preparations for EU H2020 and domestic EU tenders. Smart City Section: –to promote the dissemination of ICT RDI activities and applications related to Smart City strategic objectives and implementation programmes, and –to cooperate of involved professional participants. In accordance with the objectives, the Section welcomes –municipalities and associations key to the success of implementation, –institutions and businesses interested in Smart City program, regardless of their membership in JINTP. Professional forums Smart City Section

BME Egyesült Innovációs és Tudásközpont BME Federated Innovation and Knowledge Centre 1111 Budapest, Egry J. u. 18. V1 ép. C 201. H-1111 Budapest, Egry J. u. 18. bldg. V1 C The Section also has it among their aims that they support the development and implementation of the domestic concept and strategy plan of Smart City with professional concepts, strategy papers created together with government and civil organisations, service providers and EU partner organisations. Besides this, to promote successful bidding and project implementation, the Section provides forum for the dialogue between municipalities and service providers. The Smart City Section was formed at the October 3, 2014 Future Internet NTP session held in the National Innovation Office. The chair of Smart City Section is Dr. Kálmán Kovács, director of BME EIT. Professional forums Smart City Section

BME Egyesült Innovációs és Tudásközpont BME Federated Innovation and Knowledge Centre 1111 Budapest, Egry J. u. 18. V1 ép. C 201. H-1111 Budapest, Egry J. u. 18. bldg. V1 C Professional background for Smart City development programs „Smartpolis”- Budapest Centre of Excellence for Smart Cities Consortium of Fraunhofer FOKUS (FFI), the Urban Software Institute (USI) and the Budapest University of Technology and Economics (BME) Federated Innovation and Knowledge Centre of BME (BME EIT):  Nationalwide Smart City coordination activities (JINTP, SC Section)  Coordination of BME Smart City competence areas  Smart energetics and Intelligent buildings  Quality of life and e-Healthcare  Intelligent transport (e-Mobility)  Climate and Environmental protection  Water quality and water management  Community participation in urban development  Infocommunication and Systems integration

BME Egyesült Innovációs és Tudásközpont BME Federated Innovation and Knowledge Centre 1111 Budapest, Egry J. u. 18. V1 ép. C 201. H-1111 Budapest, Egry J. u. 18. bldg. V1 C Key findings of the survey: A number of national programs were implemented in the past years that show in the direction of implementing intelligent environment. In county-cities of the basic conditions of Smart City development are available, greater or lesser successful pilot projects, and opportunities for systematic development. The current level of intelligent city development displays great differences among the various Hungarian cities. Several Hungarian cities have built professional connections with foreign cities ahead of them to receive experiences. Overall, we can conclude that Hungary is ripe for the application intelligent city concepts.. Hungarian Smart City landscape in the light of a survey of BME EIT

BME Egyesült Innovációs és Tudásközpont BME Federated Innovation and Knowledge Centre 1111 Budapest, Egry J. u. 18. V1 ép. C 201. H-1111 Budapest, Egry J. u. 18. bldg. V1 C Smart City Hungarian concept The most important elements for Smart City Startegy: Smart city services and their grouping –Determination of relevant Smart City services –Categories of Smart City services Smart city central technology platform, domestic concept and framework system Evaluation of services on utility and comfort Specific local specialities Considerations of economies of scale Investment and operation solutions Smart city monitoring system Smart city professional platform

BME Egyesült Innovációs és Tudásközpont BME Federated Innovation and Knowledge Centre 1111 Budapest, Egry J. u. 18. V1 ép. C 201. H-1111 Budapest, Egry J. u. 18. bldg. V1 C Smart City tender opportunities in EU Horizon 2020 Smart Cities and Communities / 2015

BME Egyesült Innovációs és Tudásközpont BME Federated Innovation and Knowledge Centre 1111 Budapest, Egry J. u. 18. V1 ép. C 201. H-1111 Budapest, Egry J. u. 18. bldg. V1 C Smart City tender opportunities in Hungary

BME Egyesült Innovációs és Tudásközpont BME Federated Innovation and Knowledge Centre 1111 Budapest, Egry J. u. 18. V1 ép. C 201. H-1111 Budapest, Egry J. u. 18. bldg. V1 C Strengths Government ICT decisions Excellent professionals Significant available know-how Municipal communication commenced Weaknesses Hungary is lagging behind in EU comparisons Not considered in sector strategies (and OPs) Lack of operation (sustainability) business models Opportunities Professional organisational background underway Significant EU grant funding for Smart City developments Significant rural development domestic EU funding Threats Smart city is not included in area, urban and sector development plans Low level of international consortium experience at municipalities Hungarian Smart City vision SWOT (by BME EIT)

BME Egyesült Innovációs és Tudásközpont BME Federated Innovation and Knowledge Centre 1111 Budapest, Egry J. u. 18. V1 ép. C 201. H-1111 Budapest, Egry J. u. 18. bldg. V1 C THANK YOU FOR YOUR ATTENTION !