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Innovative Development of the Municipal Emissions Reduction Plan of the Municipality of Halki through AI, aiming to achieve climate neutrality & local resilience through full automation and resource optimization. A pilot mode for all small Municipalit

Innovative Development of the Municipal Emissions Reduction Plan of the Municipality of Halki through AI, aiming to achieve climate neutrality & local resilience through full automation and resource optimization. A pilot mode for all small Municipalit
SUBMITTED FROM:

ESGenius! & Δήμος Χάλκης

ESGenius! is a pioneering sustainability operating system that turns ESG data governance, reporting and performance management into a seamless, intelligent workflow. Built by sustainability professionals for sustainability professionals, the platform hosts a central database, automatically gathers data, calculates key environmental indicators—such as carbon footprint—monitors KPIs and scenarios through real‑time dashboards, and generates compliant reports at the click of a button. Its modular architecture spans strategy alignment, goal management and regulatory checks against national, EU and global frameworks, empowering companies, municipalities and financial institutions to take measurable, informed decisions that satisfy stakeholders and legislators alike. A user‑friendly interface backed by advanced analytics makes ESGenius! indispensable; clients quickly elevate ESG maturity, secure compliance and unlock tangible sustainability gains. Already trusted by blue‑chip corporations, stock exchanges and public bodies across sectors, ESGenius! proves that innovation, adaptability and impact can coexist—setting the benchmark for the future of ESG management. 



Objective Action

The goal of the project was the alignment of the Municipality of Halki with the requirements of Article 16 of Law 4936/2022. The operation of ESGenius! - The Sustainability OS ensured full compatibility and alignment with the legislative requirements as the algorithms on which it has been based, have been implemented according to the GHG Protocol and ISO 14064 as defined by the National Climate Law. 

 

Target Audience

The project is about the development and implementation of a Municipal Emissions Reduction Plan (ΔηΣΜΕ) for the Municipality of Halki. Beneficiaries are the Municipality's residents and visitors through the reduction of emissions, while the Municipality fulfills the corresponding prerequisite securing access to funding. Following the development of the Municipal Emissions Reduction Plan, Technical Progress Reports will be prepared annually and will be submitted, along with the Municipal Emissions Reduction Plan, to the NECCA platform. 

 

Duration

The project has been designed, installed, and is now fully operational. Data was collected in 2019 and analyzed in 2025 and the implementation is planned to be ongoing


Description

According to Article 16 of the National Climate Law, all Municipalities of the Country, regardless size and Prefecture (including the borderline Municipality of Halki), are legally bound to develop a Municipal Emissions Reduction Plan, hereafter ΔηΣΜΕ, with base/reference year 2019 as well as to prepare Progress Technical Reports according to a specific proposed methodology (GHG Protocol & ISO 14064) every year. The Municipality of Halki chose to follow an innovative approach, differentiating itself from all Greek and European Municipalities. Through the adoption of advanced technological solutions, including Artificial Intelligence, it managed to develop its Plan with transparency, speed, accountability and effectiveness within an extremely short timeframe and with limited resources. By standardizing the process through the utilized platform, it has made the need for consulting services obsolete, saving valuable resources long-term. The Municipality of Halki chose to collaborate with the most advanced and established Greek sustainability platform, ESGenius! - The Sustainability OS, that is already adopted by numerous Organizations, Ministries, Municipalities, Listed and non-Listed Companies in Greece. For this reason, it successfully used the ESGenius! platform as a pilot and for the final implementation.

ESGenius! (www.esgenius.eu) is an automated Sustainable Development  software for managing the sustainability issues of a Municipality's utilizing cutting-edge technologies and Artificial Intelligence and was parameterized and adapted to the Municipality's needs through collaboration between the teams involved by the two project partners. It digitizes and simplifies sustainability data collection and creates a central sustainability database for the Municipality that covers all related reporting needs and the calculation of its environmental indicators (like the carbon footprint), offering the option of exporting automated reports and continuous monitoring of the performance indicators.

More specifically, the Municipality's employees have mapped the required raw data for calculating emissions following the methodology set by the Ministry of Environment and Energy, collected the required documents online while ESGenius! proceeded with the automatic extraction of values and calculated the equivalent greenhouse gas emissions in tons from the Municipality's operations and services with no need for intervention from a consultant or Municipality employee!

The estimated time and resource savings exceeded 70%. This fact alone constitutes a revolution for any Local Government, however for Municipalities of Halki;s size this is an additional critical economic and administrative viability issue due to lack of financial and human resources. It is noted that the Municipality has managed to have the ability to extract a series of reports, action plans as well as dynamic BI Reports with the help of Artificial Intelligence, which will post on its website, pioneering in effectiveness, transparency and the fight against climate change while becoming more resilient against it.

In conclusion, with this initiative, the Municipality of Halki has managed to automate, digitize and simplify sustainability and ESG management. At the same time, it ensures fully digital and automated sustainability data collection using Artificial Intelligence and creates a central sustainability database ensuring compliance with the legal requirements arising from the gradual implementation of the new legislation and regulatory provisions (Law 4936/2022).

Finally, it is worth mentioning that through ESGenius! the verification body (BQV) was able to verify all data and relevant calculations online, reducing its own resource spending as well. The total resource savings do not only lead to financial and time savings but also contribute further reducing indirect emissions (Scope 3) of the whole project! A key innovation of ESGenius! was the remote emissions verification by the certified body (BQV) as defined by legislation. Specifically, after Municipality employees loaded the required data, the platform calculated the emissions and automatically developed the Municipal Emissions Reduction Plan using Artificial Intelligence (AI), and the BQV body's verifiers electronically verified the validity and correctness of the outcomes. Concurrently, savings actions and performance indicators (KPIs) were defined as a benchmark for the next Technical Progress Report which will be prepared with the same level of automation through Artificial Intelligence, providing the Municipality with high value know-how and credibility.


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Impact on Society

Legal compliance:  The Municipal Emissions Reduction Plan (ΔηΣΜΕ) of Halki Municipality was developed in accordance with Article 16 of Law 4936/2022 (National Climate Law), achieving full compliance with this legislation. ESGenius! platform adheres to GHG Protocol and ISO 14064 standards, ensuring all emission measurements and reports meet legal requirements with precision and reliability. 

Remote Verification & Digital Data Collection 
Remote Verification: (BQV) that is a certified verification body has managed to remotely verify and certify a significant portion of data and calculations through ESGenius! platform. For a municipality on a remote island like Halki, this meant swift and timely completion of the process without requiring multi-day on-site visits - reducing necessary workdays, costs, and verifier's travel time.  

Digital Database & Performance Indicators (KPIs): A digital sustainability database was created to consolidate all raw data (energy consumption, fuels, waste, etc.). At the same time, appropriate Key Performance Indicators (KPIs) were developed for continuous monitoring of emissions and the reduction progress. This lays the foundation for the efficient preparation of annual Technical Progress Reports, with all information being already available online. 

Report Automation & Resource Savings AI-Driven Reporting: The platform enabled automated data collection and AI-powered emission calculations for all municipal activities. Reports (such as the Municipality's carbon footprint) are now generated at the push of a button, saving over 70% of the time and manual labor required compared to traditional processes. This automation not only reduces workload but also provides specialized know-how that would normally be unavailable to a small municipality. 

Cost Reduction & Self-Sufficiency: By standardizing the process on ESGenius! platform, Halki Municipality has liberated itself from the need of any external consulting services for the coming years. This leads to long-term resource savings by avoiding annual consulting fees. Concurrently, municipal staff upgrade their skills by managing the system themselves - strengthening the organization internally. 

Environmental Benefit (Scope 3): The overall achieved resource savings and the digitalization process had also had a positive environmental impact. By minimizing travel to and from this remote island due to the required physical presence of third-party vendors (ie consultants and verifiers), the project's indirect emissions (Scope 3) were reduced. Essentially, the Municipality lowered the carbon footprint that would have been emitted using traditional methods (e.g., verifier travel, printout supplies). 
Please note that under this legal requirement, only Scope 1 & 2 emissions were calculated. However, tThe platform supports Scope 3 emission calculations as well and the Municipality can cCalculate scope 3 carbon footprint and equivalent emissions too at any time. 

Summarizing the above, data on the fuel consumption of 29 municipality vehicles as well as on the electricity consumption of municipality buildings and premises were imported on ESGenius! platform. The data was uploaded by a municipality employee with the appropriate credentials and the platform automatically calculated CO2 emissions of the municipality using 2019 as the reference year as required by the National Climate Law. Once the process was complete, the relevant Municipal Emissions Reduction Plan was prepared with the use of AI and exported from the Platform, of which the aggregated outcomes are:

Scope 1 Emissions  : 9.536 tn CO2eq,  

Scope 2 Emissions  : 95.014 tn CO2eq,  

Total Emissions  : 104.370 tn CO2eq 

In alignment with the United Nations Sustainable Development Goals (SDGs)

SDG 11: Sustainable Cities and Communities

  • Making cities inclusive, safe, resilient, and sustainable
  • Relevance & Project Contribution:
  • Introduces smart governance tools for sustainability and emissions monitoring in a remote islandic municipality.
  • Enables the municipality to operate as a "Smart & Climate-Neutral City", aligning with EU Smart Cities criteria.
  • Enhances climate resilience and upgrades municipal services through digital innovation.


Initiative Location

Region of Dodecanese, Municipality of Halki Island 


Working with Organization

The development and implementation of the Municipal Emissions Reduction Plan (ΔηΣΜΕ) for the Municipality of Halki was conducted in collaboration with ESGenius! - The Sustainability OS.


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Workers Participation

For the application study, design, parameterization, implementation, corrective actions and support, a team of 11 employees was engaged from both collaborating entities:

The Municipality of Halki

ESGenius! - The Sustainability OS (ResNovae)


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Benefits for Οrganization

Supporting green and digital transformation. 

 In alignment with the European Green Agreement:  Adopting ESGenius! is in -line with the European Green Deal’s objectives for emissions reduction and sustainable development. At the same time, it meets demands for digital transformation in local governance, making Halki Municipality a digital replicable model of excellence. 

Smart & Climate-Neutral City Principles: The project advances the principles of a "Smart and Climate-Neutral City" as a core eligibility criterion for EU Smart City projects. Through its Local Climate Action Plan (ΔηΣΜΕ) and accompanying initiatives, Halki is charting a course toward climate neutrality, enhancing its attractiveness for EU funding and partnerships. 

Compliance with Smart Cities Criteria: The Municipality Emission Reduction Plans ( ΔηΣΜΕ ) framework, with its binding emission reduction targets, ensures alignment with EU Smart Cities standards. Concrete environmental goals and measurable KPIs further strengthens the sustainability profile and credibility of Halki Municipality. 

Digital Transformation: The project supports the transition of traditional, manual processes to automated, interoperable services. This is a critical characteristic of Smart Cities were data in between departments is flawless. Halki Municipality now manages environmental data digitally, boosting efficiency and reducing bureaucracy. 

Resource Optimization via KPIs: Automated reporting and performance indicators (KPIs) enable real-time optimization of energy and environmental resources. The Municipality can easily identify inefficiencies (e.g., energy waste, high emissions) and implement targeted measures in real-time. 

Alignment with SDGs & ESG Criteria: The project contributes to multiple Sustainable Development Goals (SDGs), including climate action, sustainable energy, and sustainable cities. It also meets ESG (Environmental, Social, Governance) that are increasingly vital for institutional evaluation criteria embedding sustainability as a core strategy of Halki Municipality. 

Enhanced Climate Resilience: With integrated monitoring tools, Halki becomes more resilient to climate change. Emissions profiling and carbon reduction actions prepare the Municipality for future environmental challenges. 

Pioneering Innovation in Local Governance 

A National First: Halki is the first Greek municipality to develop a Municipality Emission  Reduction Plan ( ΔηΣΜΕ ) using an AI-driven platform. This innovative approach sets a benchmark for Greek and European municipalities creating a new state-of-the-art project showing how advanced technologies can benefit local governments in the EU. 

Revolutionizing Processes: This innovative project presents how even a small municipality far away from central government, with limited resources can become an innovation leader. Halki model - combining technology, transparency, and actionable goals, has developed a new more efficient replicable blueprint for sustainable governance. 

Generative AI & Transparency: The Municipality uses Generative AI to automate reports, action plans, and dynamic BI dashboards (interactive business intelligence reports). All data are published on Halki's website, ensuring unprecedented transparency for citizens and stakeholders. Members of the local community and all Halki’s stakeholders at large will be able to access the Municipality’s performance data related to climate change in real time.  

Leadership in Climate Action: hrough this initiative, the Municipality of Halki emerges as a pioneer in climate action efficiency. By combining cutting-edge technology, full transparency and targeted goal-setting, Halki has become a replicable model of excellence while significantly strengthening its capacity to address environmental challenges. 

By integrating technology, transparency, and targeted goals, Halki emerges as a "Smart Island" and a model for sustainable development and climate resilience. 

ESGenius! – The Sustainability OS has automatically calculated emissions for the reference year 2019, as required by the National Climate Law. After that, the following Key Performance Indicators (KPIs) were set for the Municipality to monitor, tracking emission reductions on an annual basis. Every other year, the municipality employee responsible for this task will input the updated data, and the platform will automatically calculate the emission reduction KPIs, generating the mandatory Technical Progress Report as required by the legislation, using AI.  

 

 KPI                                                                                                     Measuring Unit 

Electrical Power consumption per sq.m                                                  kWh/m² 

Fuel consumption per building                                                          lt ή kg / per year 

Annual CO2 emissions per building                                                  tCO₂ / per year 

Amount of liquid coolant added                                                          kg / per year 

Fuel consumption per vehicle                                                   lt / 100 km ή lt / per year 

Annual CO2 emissions from the fleet of vehicles                            tCO₂ / per year 

Percentage of zero/ low emissions vehicles                                              % 

Annual consumption of electrical power for public lighting              kWh / per year 

Annual CO₂ emissions                                                                   tCO₂ / per year 

Percentage of Municipal Emissions Reduction Plan activities implemented   % 

 

The reduced labor requirement from both entities should also be taken into account, as analyzed below: 

Municipality Employees: 2 x 1 week x 4 days x 2 hours/day = 16 work-hours 

ESGenius Employees: 2 x 1 week x 3 days x 3 hours/day = 18 work-hours  

Otherwise, it would require the involvement of at least: 4 employees from the Municipality for data collection and compilation, 3 employees from the Consultant’s side (ESGenius!) who would act as the smart platform for calculating emissions and drafting the Municipal Climate Action Plan (ΔηΣΜΕ). 

Municipality Employees: 4 x 3 weeks x 5 days x 3 hours/day = 180 work-hours 

Consultant Employees (ESGenius): 3 x 2 weeks x 5 days x 3 hours/day = 90 work-hours Thus, the total work-hour savings amount to: 
(180 + 90) – (16 + 18) = 270 – 34 = 236 work-hours or 87% savings! 

Additionally, CO₂ emissions from prevented travel are saved. 
Considering the round trips of 2 consultant employees from Athens to Halki, the distance covered would be: 
2 x 2 x 407 km = 1,608 km. 
With an emission factor of 0.180 kg CO₂eq/km (UK DEFRA 2023), the Scope 3 emissions reduction equals 290 kg CO₂eq. 




Connection with Global Goals






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