Survey conducted by kpmg/cn Connected Cities Citizen insights across Asia Pacific 2019 surveyAbout the survey T ransportation and mobility Building a future-focused workforce Living environment Healthcare Energy and resources The impact of tec hnology 18 24 34 40 44 50 Next steps 58 Executive summary 6 Building smart cities across Asia Pacific 8 Smart city development in Asia Pacific 4 Contents © 2019 KPMG, a Hong Kong partnership and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative (“KPMG International”), a Swiss entity. All rights reserved. Page Harnessing the United Nations Sustainable Development Goals 15 and New Urban Agenda in smart city planning Pathways to success in smart city development initiatives 16 IoT solutions for a smarter Hong Kong 17 Bringing smart mobility to Hong Kong 23 Smart lighting for a brighter future 39 Smart solutions to address the ageing dilemma 43 Driving Hong Kongs energy transition to build a smarter 49 and greener city Aligning technology with purpose to make cities smarter 56 Viewpoints Connected Cities: Citizen insights across Asia Pacific 1 © 2019 KPMG, a Hong Kong partnership and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative (“KPMG International”), a Swiss entity. All rights reserved. © 2019 KPMG, a Hong Kong partnership and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative (“KPMG International”), a Swiss entity. All rights reserved. Connected Cities case study finder Smart city framework Transportation and mobility Future-focused workforce Living environment Energy and resources Smart city technology Case study categories: OneServiceSG Smart city technology p. 54 Singapore Jakarta Smart City Smart city framework p. 14 Future City Summit Future-focused workforce p. 30 Jakarta Hong Kong Six City Strategy Smart city framework p.14 Helsinki Waste hotspots Energy and resources p. 48 Melbourne 24-hour Pedestrian Counting System Transportation and mobility p. 22 Melbourne Technical and Further Education (TAFE) programmes Future-focused workforce p. 30 Melbourne Connected Cities: Citizen insights across Asia Pacific 2 © 2019 KPMG, a Hong Kong partnership and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative (“KPMG International”), a Swiss entity. All rights reserved. Connected Cities case study finder Makatizen Card Smart city technology p. 54 Makati Zero Food Waste Initiative Energy and resources p. 48 Seoul Seoul Night Owl Bus Transportation and mobility p. 22 Seoul Project WeCan Future-focused workforce p. 31 Hong Kong Urban Forest Visual Living environment p. 38 Melbourne Changning District Carbon Footprint Program Energy and resources p. 38 Shanghai Connected Cities: Citizen insights across Asia Pacific 3 © 2019 KPMG, a Hong Kong partnership and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative (“KPMG International”), a Swiss entity. All rights reserved. © 2019 KPMG, a Hong Kong partnership and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative (“KPMG International”), a Swiss entity. All rights reserved. Our Connected Cities: Citizen insights across Asia Pacific report tracks the current state of smart city development in five Asia Pacific urban centres: Hong Kong, Melbourne, Seoul, Shanghai, and Singapore. The survey seeks 4,192 residents opinions on the smart city development areas that are most important to them as well, as what benefits they expect as their cities become smarter. It takes a detailed look at progress and key development actions needed in six key areas: transportation and mobility, building a future-focused workforce, living environment, healthcare, energy and resources and technology solutions. This years study builds on our inaugural Connecting Hong Kong report published in January 2018. In that study, we defined what makes a liveable city. In addition, for a city to be smart, its government needs to be conscious of the needs and wishes of its population and the potential impact both positive and negative of technological developments. This includes measures to enhance liveability by creating public amenities and promoting overall quality of life. To further complement these findings, we include viewpoints from senior private sector and NGO practitioners, as well as case studies that showcase best practices across the region. We hope you find the report informative and we would like to thank all the participants and contributors for their valuable insights. Foreword About the survey KPMG commissioned YouGov to conduct an online survey of residents,18 or older, in the five Asia Pacific cities. It was conducted in November 2018, receiving roughly an equal amount of responses from each location. In terms of the analysis, for some areas - transportation and mobility, education system, living environment and healthcare in particular - we also measured residents opinion overall quality. Scores given for each are calculated on a five-point scale (1= lowest, 5=highest), based on an average of responses assigning numerical values to respondents feedback (5 = Excellent, 4=Good, 3= Average, 2=Poor, 1=Very Poor). Survey respondents could choose among the above word-based definitions of quality only and did not have a numerical choice. Connected Cities: Citizen insights across Asia Pacific 4 © 2019 KPMG, a Hong Kong partnership and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative (“KPMG International”), a Swiss entity. All rights reserved. Foreword Connected Cities: Citizen insights across Asia Pacific 5 © 2019 KPMG, a Hong Kong partnership and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative (“KPMG International”), a Swiss entity. All rights reserved. © 2019 KPMG, a Hong Kong partnership and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative (“KPMG International”), a Swiss entity. All rights reserved. Executive summary Throughout Asia Pacific, countries are continuing to urbanise at a rapid pace. Strong population growth in cities is necessitating improved transportation links, more sustainable urban planning, and better management of energy and resources. Meanwhile, ageing populations in urban areas across the region reinforces the need to enhance and improve healthcare services and make cities more accessible for the elderly. The survey analyses how five cities, Hong Kong, Melbourne, Seoul, Shanghai, and Singapore, are implementing initiatives to adapt to these developments. To better assess how smart city development initiatives align with citizen needs, our survey tracks residents expectations and priorities for development in six focus areas: transportation and mobility, building a future focused workforce, living environment, healthcare, energy and resources and technology solutions. Overall, residents identified creating a better living environment with thoughtful urban planning and design as the number one most important development area, cited by 51 percent of those polled. This is followed by improving access and delivery of healthcare for residents as the second most important priority for cities development overall, named by 49 percent of respondents in the five cities (including 51 percent in Hong Kong). Transportation and mobility is the third most important development priority (cited by 43 percent of all respondents), closely followed by developing a future-focused workforce, also a leading priority for all five of the cities listed (40 percent overall). Looking deeper, the findings reveal noteworthy differences among the five cities in how these goals should be achieved, with highlights as follows: Living environment: In Hong Kong in particular, residents see availability of affordable housing as the most needed change to improve living environment. In Shanghai, a large portion of residents we polled mentioned the need for more parks and green space as well as improvement of recycling and waste management infrastructure. Singapore residents we surveyed are especially concerned about making their living environment more accommodating for the elderly and disabled. Meanwhile, reducing pollution is a key concern for Seoul respondents. In terms of preferred actions to improve living environment, Hong Kong respondents noted that improvements in land use are needed including redevelopment of underused land and updating or renovating ageing buildings. In Shanghai, a key action mentioned by respondents is encouraging construction of green buildings and development of green building standards. Healthcare: Overall, a top concern is how cities will cope with ageing populations and the demand this will place on healthcare systems. Across the board, respondents want to see a greater emphasis on preventative healthcare, such as check-ups, immunisations and health education. In Hong Kong, nearly half of residents polled cited the need for greater cooperation between the public and private sector on healthcare initiatives. Respondents in Singapore, Shanghai and Melbourne also listed this as a top priority. Shanghai residents also cited the need to improve predictive healthcare Connected Cities: Citizen insights across Asia Pacific 6 © 2019 KPMG, a Hong Kong partnership and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative (“KPMG International”), a Swiss entity. All rights reserved. Executive summary applications that can utilise data analytics and artificial intelligence to improve treatment. As mentioned in our interview with the World Sustainable Smart Cities Organisation (WeGO), this reflects the need to better incorporate citizen participation into public private partnerships (PPPs) (see p. 16). T ransportation and mobility: With a large amount of mobility and infrastructure projects already underway in the Asia Pacific cities we polled, our survey findings highlight areas that should not be overlooked. Across the five cities surveyed, two important priorities for development are improved walkability and safety for pedestrians and more rail and underground transport links. The desire for more rail links is especially strong in Melbourne, where it is mentioned by 73 percent of respondents. In Seoul, more infrastructure for electric vehicles and incentives to drive them ranked high among residents preferred areas for development. Meanwhile, Hong Kong respondents polled called for tighter regulation of private cars and vehicles. Building a future-focused workforce: In this area, which encompasses education, entrepreneurship and innovation, a key priority for residents polled is supporting continuing education and life-long learning. This reflects peoples desires to retain relevant skills as technology disrupts traditional industries. Meanwhile, to build a stronger, more future-focused workforce, respondents prioritise education programmes that focus on creativity and risk-taking, and especially in Hong Kong and Melbourne more funding for education and research in science, technology, engineering, and mathematics (STEM) disciplines. Case studies in our future-focused workforce section (p. 30) further showcase how Asia Pacific cities and organisations are working to foster an innovation culture. Energy and resources: Residents we polled felt especially strong about the need to improve energy efficiency and develop renewable energy sources in their cities, with 68 and 63 percent respectively citing these as key improvement areas. In terms of preferred actions to improve cities management of energy and resources, residents surveyed in Seoul and Melbourne ranked making renewable energy a greater percentage of their citys overall power supply as their top choice. Meanwhile, in Hong Kong and Singapore, residents favoured incentives for residents to use energy- and water-saving home appliances. In Shanghai, respondents mentioned the use of technology to better manage the citys power grid as the most needed action. The impact of technology: To better understand the impact of smart technology adoption, we measured residents awareness and perceived benefit of nine commonly-implemented technology solutions. Overall, we find that as resident awareness increases, so does their impression that these technologies have a positive impact. Residents views on whether specific technologies have a positive impact is also largely consistent across the five cities. The findings point to gaps in awareness where cities can increase their outreach efforts. They also emphasise that when communicating about technology initiatives, cities must focus on how such solutions improve quality of life. Look to our next steps section (p. 58) for further commentary on the approach cities should take when developing smart city solutions. Connected Cities: Citizen insights across Asia Pacific 7 © 2019 KPMG, a Hong Kong partnership and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative (“KPMG International”), a Swiss entity. All rights reserved. © 2019 KPMG, a Hong Kong partnership and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative (“KPMG International”), a Swiss entity. All rights reserved. Building smart cities across Asia Pacific Connected Cities: Citizen insights across Asia Pacific 8 © 2019 KPMG, a Hong Kong partnership and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative (“KPMG International”), a Swiss entity. All rights reserved. Introduction In recent years, motivations for smart city development have shifted from excitement over what digital technologies have to offer to a more thoughtful consideration of how these technologies can be put to work to improve the lives of citizens. As such, each of the five cities in our survey has developed its own comprehensive smart development plans. In December 2017 , Hong Kong published its Smart City Blueprint, a document intently focused on raising liveability standards. As it noted in the blueprints introduction, a smart city is “people-centric” and should be built upon the needs of the people,