Cities in Transition
The role of urban planning in energy policy
This research offers a bold new direction for energy and climate policy by highlighting the critical role of urban planning in cutting emissions. Beyond promoting renewables, energy policy should support the redesigning of neighbourhoods to reduce total energy use and make daily life easier, more connected, and more sustainable.
Key Findings
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Reducing emissions will take more than building out renewables—it will require an overall reduction in energy demand through thoughtful redesign of neighbourhoods.
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IISD's SAVi modelling demonstrates that investment in active transportation and public transit creates significant cost-saving for city governments while reducing emissions.
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Structural barriers in urban planning—including NIMBY opposition, outdated governance models, and the high cost of sprawl—are holding cities back from building more sustainable, climate-aligned communities.
Cities in Transition is an International Institute for Sustainable Development (IISD) research initiative that explores the intersection of urban planning, energy use, and emissions reduction. Focused on the city of Winnipeg in Canada, the project examines how land-use development patterns influence emissions outcomes. Like many North American cities, the city of Winnipeg is shaped by low-density, car-oriented urban development that requires enormous amounts of energy. Compact, walkable communities not only produce significantly lower emissions but also offer additional benefits, including increased municipal revenue and improved well-being for residents.
This project breaks new ground in energy policy by exploring how urban planning can be meaningfully integrated into climate strategies. While climate change is frequently considered within urban planning circles, urban planning itself has received little attention in climate and energy policy. This disconnect has limited the effectiveness of energy policy. Meeting ambitious emissions reduction targets will not be possible by focusing solely on transitioning fossil fuel-based energy systems to renewables—there is an urgent need to reflect on the shortcomings of current energy policy and to explore more effective, integrated approaches to achieving climate goals.
A key component of the project involved applying IISD's Sustainable Asset Valuation (SAVi) methodology to model the long-term financial and environmental impacts of different development pathways such as compact, mixed-use infill versus continued urban sprawl. The results demonstrated that sustainable urban forms can lower infrastructure and service costs while significantly reducing emissions. This evidence supports a shift away from car-dependent growth toward more walkable, connected communities.
Cities in Transition research identified three major barriers to advancing complete communities in Winnipeg:
- entrenched "Not In My Backyard" (NIMBY) opposition to infill development
- outdated municipal governance structures
- the high financial costs of car-centric sprawl
The report highlights case studies of cities that have successfully overcome these barriers, demonstrating practical pathways toward building more sustainable, inclusive, and complete communities.
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