POLITICAL AGREEMENT TO IMPROVE AIR QUALITY IN

 
POLITICAL AGREEMENT TO IMPROVE AIR QUALITY IN THE
             METROPOLITAN AREA OF BARCELONA

Guaranteeing the quality of the air we breathe is equivalent to protecting the health of people
and the environment.

All around the world, metropolitan areas, which concentrate the largest part of the population,
suffer problems related to pollution due to high concentrations of nitrogen oxide and
suspended particles (PM10), noise, etc. Although Barcelona is not among the most
vulnerable cities in this respect, its metropolitan area is affected; background concentrations
of nitrogen oxide are excessively high and they need to be significantly reduced.
Furthermore, despite the improvement in PM10 air quality levels during recent years, it is still
necessary to increase actions to reduce the existing values.

Studies conducted over the years and work carried out jointly with other European cities
facing similar problems have shown that in the case of Barcelona, urban pollution is due to
structural causes and so the measures to be taken must also be structural. It should
furthermore be considered that brief episodes of high pollution are generated occasionally,
the elimination of which requires a rapid and specific response; however, the real challenge
of air quality in the territorial sphere of 40 municipalities in the Barcelona urban area
(hereinafter, Àmbit-40) is to gradually reduce ordinary levels to the values recommended by
the WHO.

Given the complexity of the sources of air pollution and the dispersion of remits in dealing
with the causes, the action taken by the Government of Catalonia to reach the goals set in
the plan are insufficient and the active involvement of local and metropolitan administrations
is essential, as well as the responsible collaboration of the Spanish State.

For this reason, in September 2014, the Government of Catalonia approved an Air Quality
Improvement Action Plan implementing a series of actions across all sectors and the mobility
sector in particular, in Àmbit-40.

Local administrations set up strategies to improve air quality within the scope of their remits,
including Barcelona City Council's Plan for Improving Air Quality in Barcelona for 2015-2018
and Programme of Measures to Prevent Air Pollution (2017-2020), the Metropolitan
Programme of Measures to Prevent Air Pollution in Barcelona Metropolitan Area (2017-
2020), air quality improvement plans for municipalities with over 100,000 inhabitants in
protected-atmosphere urban zones (ZUAPs) and the Supramunicipal Action Plan to Improve
Air Quality in Vallès Oriental, which comprise 17 municipalities.

The nature of this challenge requires the coordination and cooperation of the administrations
involved. Only in this way, by combining the action capacities of everyone, will it be possible
to achieve the established air quality objectives.

This document represents the mutual commitment to citizens to set up common objectives
and a common drive framework through which

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THE CATALAN GOVERNMENT AGREES TO IMPLEMENT THE
                                  FOLLOWING
      INITIATIVES WITH THE CONSENSUS OF OTHER AUTHORITIES:

a) Coordinated strategies of information, awareness and environmental education will be
   established to engage citizens, allowing them to become active, committed players in
   changing mobility habits to reduce emissions and improve air quality, with the aim of
   preserving the health of people and the environment.

b) Reduction of at least 10% in pollutant emissions related to road traffic within Àmbit-40
   within the next five years in order to obtain a global reduction of 30% within 15 years
   and gradually reach the levels recommended by the WHO. However, in areas where it
   is currently detected that air quality levels are exceeded, there will be an acceleration
   in the implementation of more intensive local measures to reach the levels set by the
   EU by December 2020.

c) In structural terms, on roads controlled by the Catalan Traffic Service, the Government
   of Catalonia will progressively impose the prohibition to drive older vehicles in the
   Àmbit-40 area. Specifically, starting 1 January 2019 and barring weekends and public
   holidays, the following vehicles cannot be driven in this area:

                I. Vans (N1) registered before Euro 1.
               II. Passenger cars (M1) registered on or before Euro1.

d) In the event of high pollution episodes declared by the Government of Catalonia:

        a. From 1 December 2017, the Government of Catalonia will impose restrictions
           on driving the following vehicles on roads controlled by the Catalan Traffic
           Service in the Àmbit-40 area:

                I. Vans (N1) registered before to Euro 1.
               II. Passenger cars (M1) registered on or before Euro1.

        b. Actions will be taken in relation to mobility supply and demand through the
           following hierarchy of objectives:

                 I. Reduction of mobility with the recommendation to postpone
                    unnecessary journeys.
                II. Mobility de-concentration to plan rush hours and make better use of
                    existing resources.
               III. Change from the use of private vehicles to public transport, which will
                    be given maximum operational capacity by City Council and Barcelona
                    Metropolitan Area (AMB) operators (TMB and CITY BUS) and
                    Government of Catalonia operators (suburban and regional, FGC,
                    TRAM and INTERCITY BUS).

        c. To optimise coordination of the activities, the affected institutions will approve
           an action protocol by 1 July 2017 regulating the following aspects among
           others:

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I. activities to be carried out by each authority for each alert level and
                     coordination thereof, as applicable;

                 II. mechanisms to activate public transport reinforcement measures by
                     the different operators, with the coordination of the Metropolitan
                     Transport Authority (ATM);

                III. implementation by the ATM of a special travel pass to attract new
                      passengers during high pollution episodes; and

                IV. communication channels and messages between all the affected
                    institutions and coordination of communications with the population.

e) More severe restrictions may be imposed locally in structural terms and in the event of
   high pollution episodes, depending on the needs of each municipality, through the
   implementation of protected-atmosphere urban zones (ZUAPs) in cities, a low
   emission zone on the ring roads of Barcelona, territorial protected-atmosphere zones
   and a low emission metropolitan zone. Local administrations and the AMB will define
   these zones and their implementation schedule in 2017.

f)   Incentives will be offered to encourage the replacement of vehicles with low emission
     vehicles through aid, toll station or road tax deductions, promotion of eco-labelling and
     facilitating the creation of charging stations for electric vehicles and vehicles propelled
     by other alternative fuels. In addition, public authority vehicles will gradually become
     more ecologically-friendly. These activities must be coordinated and set out in a five-
     year plan to be submitted no later than 1 July 2017 with the aim of promoting an
     increase in the number of zero emission or eco-labelled vehicles.

g) Investments in public transport infrastructures in the Àmbit-40 area will be prioritised in
   line with their impact on air quality. In this regard:

                  I. In the review of the Master Plan for Infrastructures (PDI) 2011-2020 to
                      be carried out by the ATM in 2017, a criterion will be included for
                      evaluating the impact of the pending scheduled work on air quality
                      improvement.

                 II. In preparing the PDI 2021-2030, which will be drafted starting in 2019,
                      the main criterion established in planning public transport
                      infrastructures will be their contribution to improving air quality.

h) Priority will be attached to mobility planning in local and metropolitan institutions in
   Àmbit- 40 on the basis of their contribution to air quality improvement. The review of
   the Barcelona Metropolitan Region Mobility Master Plan (pdM 2019-2025), which the
   ATM will initiate in 2017, will include measures to meet the objectives established in
   this Agreement and to establish the definition of the guidelines to be followed by
   planning levels of a less important scope.

i)   The generated mobility studies, mandatory in city planning processes, will include a
     chapter on the impact on air quality of estimated project demand forecasts and
     compensatory measures proposed for that purpose.

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j)   The following activities will be promoted to engage companies in reducing mobility in
     private vehicles moving in or heading towards Àmbit-40:

                  I. Business organisations will be asked to sign the Air Quality
                     Improvement Agreement.
                 II. Agreements will be signed with companies with more than 500
                     employees in the Àmbit-40 area for them to draft the corresponding
                     corporate mobility plans including measures that attach priority to
                     reducing pollutant emissions into the air before the end of 2017.
                III. Approval of a good practices guide before 1 September 2017 to reduce
                     commuting in private vehicles among employees when high pollution
                     episodes are declared.

k) Drafting of a white paper on good logistics practices aimed at rationalising the delivery
   of goods in urban areas, including measures related to vehicles and vehicle
   emissions, harmonisation of regulations, delivery and collection of goods, optimisation
   of spaces and logistical means and the intensive use of new technologies, through a
   specific agenda of joint actions organised by different administrations, with the
   consensus of the sector. It will be submitted in 2017 for implementation in 2018-2019.

l)   Ad hoc task forces will be set up by Barcelona City Council, AMB, the Association of
     Municipalities for Mobility and Urban Transport (AMTU) and the Government of
     Catalonia to study the implementation of a congestion charge in Àmbit-40 within the
     framework of the process of reviewing and implementing a new funding model for
     high-capacity roads in Catalonia put into operation by the Government of Catalonia.
     Conclusions forecast for autumn 2017.

m) A metropolitan green card will be created, giving the right to a free public-transport
   travel pass valid for three years, renewable every year and including all ATM services,
   for those persons who have deregistered and scrapped their diesel-fuelled vehicles up
   to Euro 3 (vehicles manufactured before 2005), petrol- or gas-powered vehicles up to
   Euro 1 (manufactured before 1996) and pre-Euro or Euro 1 type motorbikes and do
   not purchase a new vehicle during the three-year validity term of the green card.
   Municipalities in Àmbit-40 not benefiting from the metropolitan green card can use the
   new social and environmental fares system.

n) A coordinating committee will be set up to assess the impact of air pollution on
   people’s health, which will meet every year and include the following members:

                  • A representative of the Government of Catalonia Public Health
                    Secretariat.
                  • A representative of the Barcelona Public Health Agency.
                  • A representative of Barcelona Provincial Council.
                  • A representative of the Environment and Sustainability Secretariat.
                  • A representative of IS Global.

o) A coordinating committee will be set up to monitor the conclusions reached in this
   Agreement, consisting of:

                  • A chairperson: The Catalan Minister for Territory and Sustainability.
                  • A representative of the Catalan Ministry of the Interior.

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• A representative of the Catalan Ministry of Health.
                    • A representative of the Catalan Ministry of Enterprise and Knowledge.
                    • A representative of the Catalan Ministry of Governance, Public
                      Administrations and Housing.
                    • A representative of the Environment and Sustainability Secretariat.
                    • A representative of the Infrastructure and Mobility Secretariat.
                    • A representative of the Directorate General for Territorial Organisation
                      and City Planning.
                    • A representative of the Catalan Transport Service.
                    • A representative of the Port Authority.
                    • A representative of ATM.
                    • A representative of Barcelona City Council.
                    • A representative of AMB.
                    • A representative of Barcelona Provincial Council.
                    • A representative of municipalities with over 100,000 inhabitants.
                    • A representative of municipalities with fewer than 100,000 inhabitants.
                    • A representative of municipalities in the hinterland area.
                    • A representative of AMTU.
                    • A representative of the Catalan Association of Municipalities.
                    • A representative of the Catalan Federation of Municipalities.

  p) The extent to which the objectives of this agreement have been achieved will be
     evaluated every year, as well as the investments made by the different
     administrations. The Directorate General for Environmental Quality and Climate
     Change will coordinate and monitor the agreements adopted and report back to the
     committee.

To achieve the shared objectives within the framework of a common drive to improve air
quality in the metropolitan area of Barcelona, each of the administrations adopting this
political agreement undertakes to carry out the following specific actions set out in Annex I.

Likewise, they call on the Spanish Government to fulfil the requirements set out in Annex II.

Barcelona, 6 March 2017.

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ANNEX TO THE POLITICAL AGREEMENT TO IMPROVE AIR QUALITY IN THE
METROPOLITAN AREA OF BARCELONA

SPECIFIC UNDERTAKINGS BY THE PARTIES

1. ON THE PART OF THE GOVERNMENT OF CATALONIA:

  a) Evaluate air quality in accordance with European directives. Provide the European
     Union with information on the levels and degree of implementation of air quality
     improvement plans.

  b) Develop a pollutant dispersion model adapted to the peculiarity of our territory that
     makes it possible to evaluate the efficacy of the measures implemented to reduce
     pollutants and improve air quality diagnosis and prognosis. Leverage this tool to
     standardise the reporting of information to the European Union. Depending on the
     outcomes of the model, the possibility of restructuring the network will be studied to
     improve the available air quality-related information.

  c) Provide air quality information to local institutions so that they, too, can disseminate it
     accordingly to the public.

  d) Facilitate the exchange of data on air quality and mobility among the administrations in
     order to monitor and evaluate the application of the measures set out in this
     agreement.

  e) Communicate high pollution episode warnings and declare such episodes.

  f)   Coordinate traffic control activities in the event of high pollution episodes, through the
       Catalan Traffic Service.

  g) Establish agreements with stakeholders who can implement actions to reduce
     pollutant emissions on a structural basis or during high pollution episodes.

  h) Promote flexitime measures among Government of Catalonia staff in the event of high
     pollution episodes.

  i)   Promote cycling and walking and encourage the use of public transport, insisting on
       the following aspects in the short term: improvement of local, regional and AVANT
       regional railway services managed by Renfe; expansion of the BUS EXPRÉS network;
       expansion of the Tramvia tram network; completion of the L9 and L10 metro lines;
       expansion of the FGC railway network and services through the purchase of new
       trains and implementation of the L8 line; promotion of railway links between Vallès
       Oriental and Vallès Occidental; progressive roll-out of the T-Mobilitat system and its
       expansion throughout Catalonia; change in the fare model and improvement in the
       public transport information system throughout Catalonia by means of implementing a
       bicycle lane network that connects residential areas with frequent and daily mobility
       areas.

  j)   Establish new motorway deduction legislation that eliminates deductions for diesel
       vehicles, allows electric motorbikes to be used free of charge on motorways and
       equates deductions for motorbikes across all motorways. Its approval is scheduled for
       spring 2017.

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k) Promote the commitments of the Barcelona Metropolitan Region (RMB) logistics board
   linked to efficiency improvement and environmental awareness of goods delivery
   vehicles and actions to reduce negative impacts on air quality in goods delivery in
   urban areas.

l)   Draft a Park and Ride urban master plan in strategic locations to guarantee efficiency
     and provide them with sufficient qualification and complementary uses to ensure
     feasibility.
m) Promote the construction of HOV (High Occupation Vehicles) bus lanes on the B-23,
   C-31 and C-245 roads between 2017 and 2019.

n) Gradually roll out speed limits for environmental reasons on high-capacity roads in
   Àmbit-40 and its hinterland.

o) Study measures for the dynamic management and use of special lanes for certain
   vehicles.

p) Implement air pollution prevention and control measures in industrial areas.

q) Have tools in place to finance the application of emission reduction measures.

r) Update the legislation on generated-mobility evaluation studies to include
   environmental aspects and in particular, measures to reduce impacts on air quality.

s) Without prejudice to the immediate promotion of such measures, update the Horizon
   2020 Air Quality Improvement Action Plan, incorporating municipal undertakings and
   updating the investment plan.

t)   Incorporate the prioritisation of railway network investments agreed within the
     framework of the Strategic Board for the Mediterranean Corridor to permit the
     implementation of infrastructure and promote services which, like the rail corridor, will
     permit the change in the carriage of goods from road to rail.

u) An ad hoc task force will be set by up Barcelona City Council, AMTU, AMB and the
   Government of Catalonia to study the implementation of a surcharge on fuel prices to
   finance the improvement in the public transport fare system in accordance with the
   public transport system funding law of 2015. Conclusions forecast for autumn 2017.

v) An ad hoc task force will be set up by Barcelona City Council, AMB, AMTU and the
   Government of Catalonia to study the design of a new mileage-based fare model and
   a new usage payment model to replace the 88 travel passes. Once analysed, it will be
   approved by the Management Board and presented by AMB, the Catalan Government
   and Barcelona City Council. Conclusions forecast for autumn 2017.
w) The Government of Catalonia supports the inclusion of the 36 municipalities into zone
   1, pursuant to the act creating the AMB. To execute the implementation, a work group
   will be set up by AMB and the Government of Catalonia to study the technical
   repercussions. This work group will analyse economic sustainability and technological
   availability in order to establish a schedule. Once analysed, it will be submitted by
   AMB and the Government of Catalonia. Conclusions forecast for spring 2017 and
   implementation of activity in 2018.

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x) Dissemination to the public of information related to the impact of air pollution on
     health and measures to reduce exposure to it.

  y) Promotion of studies on indicators of the impact of air pollution on health.

2. ON THE PART OF MUNICIPALITIES AND LOCAL SUPRAMUNICIPAL
   ORGANISATIONS:

It is proposed that municipalities and local supramunicipal organisations undertake the
following commitments in relation to improving air quality in ZUAPs and hinterland areas.
Depending on the type of local organisation, they are divided up as follows:

  a)   Àmbit-40 municipalities: Badalona, Barcelona, l’Hospitalet de Llobregat, Sant Adrià de
       Besòs, Santa Coloma de Gramenet, Castelldefels, Cornellà de Llobregat, Gavà,
       Martorell, Molins de Rei, Esplugues de Llobregat, el Papiol, Pallejà, el Prat de
       Llobregat, Sant Andreu de la Barca, Sant Feliu de Llobregat, Sant Joan Despí, Sant
       Just Desvern, Sant Vicenç dels Horts, Viladecans, Badia del Vallès, Barberà del
       Vallès, Castellbisbal, Cerdanyola del Vallès, Montcada i Reixac, Ripollet, Rubí,
       Sabadell, Sant Cugat del Vallès, Sant Quirze del Vallès, Santa Perpètua de Mogoda,
       Terrassa, Granollers, la Llagosta, Martorelles, Mollet del Vallès, Montmeló,
       Montornès del Vallès, Parets del Vallès and Sant Fost de Campsentelles.

  b)   Àmbit-40 municipalities with over 100,000 inhabitants: Barcelona, l’Hospitalet de
       Llobregat, Badalona, Terrassa, Sabadell and Santa Coloma de Gramenet.

  c)   Barcelona City Council.

  d)   AMB and included municipalities

  e)   Provincial Council of Barcelona.

  f)   Municipalities in the hinterland of Àmbit-40: Abrera, Alella, Begues, Caldes de
       Montbui, Castellar del Vallès, Cervelló, Corbera de Llobregat, el Masnou,
       Esparreguera, Igualada, la Palma de Cervelló, Lliçà d’Amunt, Lliçà de Vall, Manresa,
       Mataró, Montgat, Olesa de Montserrat, Palau-solità i Plegamans, Polinyà, Premià de
       Mar, Sant Boi de Llobregat, Sant Climent de Llobregat, Sant Pere de Ribes, Sant
       Sadurní d’Anoia, Santa Coloma de Cervelló, Sentmenat, Sitges, Teià, Tiana,
       Torrelles de Llobregat, Vallirana, Vic, Vilafranca del Penedès, Vilanova i la Geltrú,
       Vilassar de Dalt, Canovelles, les Franqueses del Vallès, la Garriga, la Roca del
       Vallès, Sant Antoni de Vilamajor and Vilanova del Vallès, plus those municipalities
       that declare their wish to form part of the group.

  2.1. ÀMBIT-40 MUNICIPALITIES:

       Without prejudice to the agreements adopted by the AMB, they agree to:

  a)   Cooperate with the Government of Catalonia in making headway on a basis of
       consensus and coordination in relation to studying the causes that affect air quality
       throughout the territory and in each municipality.

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b)   Approve local air quality plans and include air quality improvement criteria in the
       related mobility and local energy sustainability plans.

  c)   Keep the public informed with regard to air quality levels and raise awareness about
       the problem of air pollution and its effects on health, both in the case of high pollution
       episodes and in structural terms, in conjunction with the Government of Catalonia.

  d)   Change municipal legislation to establish fines for drivers of vehicles that fail to
       comply with prohibitions or traffic restrictions in urban areas.

  e)   Modify road tax and vehicle parking taxes to encourage the use of greener vehicles.

  f)   Promote the optimisation of delivery logistics, renewal of vehicles presently on the
       roads and harmonisation of municipal legislation in 2017 in relation to goods delivery
       in urban areas on a supramunicipal scale.

  g)   Take action and sign agreements to take action in the event of preventive warnings or
       high pollution episodes with industries and managers of public works within their remit
       and adapt internal protocols to the declaration of the Government of Catalonia.

  h)   Review environmental licences and implement prevention and control activities on
       industrial establishments located in the municipality.

  i)   Draft corporate mobility plans and encourage companies in the municipality to do the
       same.

  j)   Promote measures to reduce particle emissions from other sources: public works,
       resuspension and municipal services.

2.2. ÀMBIT-40 MUNICIPALITIES WITH OVER 100,000 INHABITANTS:

Apart from their undertakings as municipalities included in Àmbit-40 and those assumed by
AMB, municipalities with over 100,000 inhabitants undertake to:

  a)   Identify and delimit ZUAPs. Apply parking discount policies and measures restricting
       the driving of vehicles that generate higher pollutant concentrations.

  b)   Apply municipal parking tariffs in blue and green zones, depending on the vehicle's
       pollution potential. Apply deductions to vehicles that generate lower emissions and,
       advisably, penalise those generating higher urban pollutant emissions (NO2 and
       particles).

  c)   Reduce pollution in school and hospital areas. Reduce traffic and ease congestion in
       these areas as much as possible. Establish programmes to convert school routes into
       pedestrian areas.

  d)   Approve strategic noise maps and related action plans. Coordinate action plan
       activities to reduce noise pollution with their Air Quality Improvement and Mobility plan
       counterparts.

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e)   Introduce criteria to improve air quality across the different policies applied, such as
        environmental awareness in services, waste collection, natural areas, green urban
        areas and logistics.

2.3.    BARCELONA CITY COUNCIL:

Barcelona currently exceeds the annual average NO2 concentration limits established by the
EU for health protection and the recommendations of the WHO. It also exceeds the WHO
recommendations in terms of annual mean PM10 concentration limits.

This makes it necessary to implement urgent action strategies coordinated at different levels
- local, metropolitan area, government, State and European – and in areas as diverse as
transport, industry and large infrastructure projects.

Essentially, the problem of air pollution resides not so much in high pollution peaks, which
only occur from time to time, as in annual mean levels. For this reason, it is urgent to
undertake structural measures to generate impacts in the short term that will last over time.

Barcelona City Council considers that the air quality situation requires immediate and
scheduled action in order to implement structural measures that will reduce NO2 and PM10
concentrations in an effective and sustained manner to gradually reach the levels
recommended by the WHO, with a clear time commitment that offers guarantees to citizens.

Although road traffic does not generate the highest emissions in the city, it is the most
important contributor of NO2 and PM10 emissions. Based on this diagnosis, the most
effective strategy for air quality improvement consists of acting on road traffic, reducing the
number of vehicles, ensuring cleaner vehicles and encouraging mobility on foot, by bicycle
and via public transport.

To do this, it is essential to bring about a change in the city model to increase space for non-
motorised mobility. Thus, measures aimed at traffic control and the easing of congestion,
above and beyond their effects on recovering public space and habitability in the city, will
have an important impact on reducing air pollution.

Last November, Barcelona City Council presented the document “Programme of Measures to
Prevent Air Pollution”, with 58 actions to take between 2017 and 2020 that aim to offer a
complete response to the problem of air pollution in Barcelona, i.e., a series of structural
measures that will also respond to high pollution episodes. The programme has 8 basic lines:

          Line 1: Special environmental intervention zones: Low emission zone (ZBE) on ring
          roads
          Line 2: Changes in city model
          Line 3: Private vehicle mobility management, promoting a change in model and
          vehicle renewals
          Line 4: RENOVE programme and change to public transport, mobility
          management through parking and vehicle renovation and management
          Line 5: Communication and outreach
          Line 6: Monitoring of effects on health
          Line 7: Promotion of coordinated actions in the sea transport, industry and
          corporate mobility sector

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Line 8: Action protocol during high pollution episodes

It is considered necessary to simultaneously address the process of implementing structural
measures with a 2020 time frame and action protocol measures in the event of high pollution
episodes, applied progressively in 2017. In short, the programme actions that Barcelona City
Council has signed up to are the following:

       1. Development of special environmental intervention zones.

          a) Definition of the low emission zone on the ring roads, in conjunction with AMB
             and the included municipalities (2017)
          b) Characterisation of vehicles on the roads and assessment of the
             environmental impact of current traffic and proposed restrictions (2017)
          c) Support in implementing detection and fining systems on the ring roads and
             area inside them corresponding to Barcelona City Council (2017)
          d) Application of restrictions in low emission zones affected by high pollution
             episodes from 2017 and permanently from 2020
          e) Delimitation of additional protection areas and measures plan (2017)

       2. Changes in city model:

          a) Installation of urban superblocks in the neighbourhoods of Eixample, Sant
             Martí and Gràcia
          b) Once approved, installation of local superblocks in the neighbourhoods of Les
             Corts, Sant-Monjuïc, Sarrià-Sant Gervasi, Horta Guinardó, Sant Andreu and
             Nou Barris
          c) Other traffic calming activities: reform of la Meridiana, Pere IV and ring road
             side roads

       3. Private vehicle mobility management, promoting a change in model and vehicle
          renewals:

          a) Increase in public transport services
          b) Creation of new bus lanes
          c) Implementation of phase 5 of the new bus network
          d) Implementation of the bicycle lane construction project, expansion of the
             Bicing bike sharing system and other measures to promote the use of bicycles
          e) Economic and operational support in the change from more polluting vehicles
             through access to public transport, Bicing and other discounts
          f) Carpool incentives

       4. Mobility management through parking regulation

          a) Approval of the new tax and fare legislation and gradual expansion of
             regulated zones to other parts of the city
          b) Promotion of the use of cleaner vehicles: approval of improvements in tax
             legislation
          c) Positive discrimination in parking regulation
          d) Leadership and coordination of the LIVE platform and management and
             expansion of the public EV charging station network

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e) Promotion of improvement in green vehicles for goods delivery in urban areas
      (DUM)
   f) New DUM microplatforms (Estació del Nord, etc.)
   g) Evaluation of alternative urban goods delivery times
   h) Improvements in taxi services:

                        i. Creation of more taxi ranks to increase coverage
                       ii. Installation of information and communication systems at
                           taxi ranks and promotion of universal computer applications
                      iii. Study of new traffic management tools

5. Communication and outreach:

   a) Communication plan coordinated with other administrations

6. Monitoring of effects on health:

   a) Health surveillance plan coordinated with other administrations

7. Promotion of coordinated activities in the sea transport, industry and corporate
   mobility sector

8. Action protocol during high pollution episodes

   a) Administrative consolidation of the high pollution episode protocol: Municipal
      management order and formal inclusion in the Basic Emergency Plan

   Measures in the event of a preventive NO2 warning:

   a) Communication of NOx warnings/episodes to the public through internal and
      external channels
   b) Jointly with other administrations, participation in the HOV-bus lane
      implementation protocol on the B-23 and C-21 sud lines
   c) Jointly with other administrations, reinforcement of public transport, providing
      all the available resources: City bus, metro, intercity bus, tram, FGC, local rail

   Measures in the event of an NO2 episode (in addition to the above)

   a) Restriction of regulated street parking: extra street parking charges for non-
      residents in regulated zones and, in the second instance, depending on the
      severity of the pollution, street parking prohibition for non-residents in
      regulated zones
   b) Support in management, monitoring and control to permit only cleaner
      vehicles to be driven in ring road areas
   c) In conjunction with other administrations, reduction of public transport fares (T-
      episodi ambiental card)

   Measures in the event of a preventive PM10 warning.

   a) Communication of PM10 warnings/episodes to the public through internal and
      external channels:
          I. "Episode" message displayed on variable message signs
          II. Expansion of use to other VMSs in the city
          III. Special warnings in health centres
          IV. Special warnings in centres where sensitive persons meet

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b) Activation of awareness campaigns: exhaust control
          c) Actions taken with respect to public services (leaf blower regulation) and
             construction work:
                 I. Watering of squares and non-asphalted parks with ground water
                 II. Prohibition on use of leaf blowers in cleaning tasks
                 III. Restriction of activities that generate dust during construction work
                 IV. Stepping up of controls on compliance with building site environmental
                      plans
                 V. Increased damp down of streets with ground water
                 VI. Prohibition on the use of leaf blowers in gardening work

          d) In conjunction with other administrations, reduction of public transport fares (T-
             episodi ambiental card)

          Measures in the event of PM10 episodes (in addition to the above)

          a) Prohibition of activities that generate dust during construction work

2.4. BARCELONA METROPOLITAN AREA AND INCLUDED MUNICIPALITIES:

Measures for improving air quality

Without prejudice to the undertakings established in the Political Agreement to Improve Air
Quality in the Metropolitan Area of Barcelona, the AMB Metropolitan Council and Council of
Metropolitan Municipalities Against Air Pollution approved the “Metropolitan Programme of
Measures to Prevent Air Pollution” on 31 January 2017. This programme is based on eight
action areas:

          1.   Low emission zones.
          2.   Transport mode change incentives: Metropolitan green card
          3.   Clean mobility measures
          4.   Measures related to public and private construction projects
          5.   Measures related to industry (low emissions)
          6.   Measures to raise awareness and promote environmental education
          7.   Action protocol during NO2 and PM10 high pollution episodes
          8.   Measures for inclusion in the Barcelona Metropolitan Area Urban Master Plan
               - city model - or for implementation through a special plan.

The metropolitan programme of measures for preventing air pollution is a set of transversal
measures aimed at achieving a considerable reduction in air pollution levels. It has a budget
of €46Mn through to 2019 and will be implemented by AMB via 33 specific actions in the
areas of mobility and the environment, as in many European metropolitan areas, in order to
allow the territory to grow in a sustainable manner and improve the quality of life for the
citizens who live there.

The document focuses on providing a response through structural actions and also includes
an action protocol of ad hoc measures for implementation in the event of high pollution
episodes.

The specific measures of the “Metropolitan Programme of Measures to Prevent Air Pollution”
are set out below:

   a) Low emission zones:

               Action 1. - Implementation of a Metropolitan Low Emission Zone: ZBEM.

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Action 2. -    Implementation of an Urban Low Emission Zone – area inside
           the ring roads: ZBEU.
           Action 3. - Implementation of Protected-Atmosphere Urban Zones: ZUAP.

b) Transport mode change incentives: Metropolitan green card

           Action 4. - Metropolitan green card

c) Clean mobility measures

  Area 1. Increase vehicle eco-efficiency

           Action 5.- Renew the AMB bus fleet (eliminate diesel vehicles).
           Action 6.- Increase the eco-efficiency of taxis and improve operability.
           Action 7.- Increase the eco-efficiency of AMB corporate and local government
           vehicles.
           Action 8.- Programme aid for the purchase of cleaner vehicles.
           Action 9.- On a metropolitan scale, coordinate policies to encourage mobility
           in cleaner vehicles.
           Action 10.- Expand the EV charging station network.

  Area 2. Promote cycling

           Action 11.- Create a metropolitan cycling network (BICIVIA). Action 12.-
           Improve bicycle-related services.

  Area 3. Encourage use of public transport

           Action     13.- Implement a high-performance metropolitan bus network.
           Action 14.- Programme aid for operating speed improvement in public ground
           transport services.
           Action 15.- Include social and environmental criteria in the public transport
           fare system.

    Area 4. Parking control

           Action 16.- Expand and implement a metropolitan park and ride model.
           Action 17.- Coordinate parking control on a metropolitan scale.

  Area 5. Occupational mobility

           Action 18.- Coordinate urban goods-delivery regulation on a metropolitan
           scale.
           Action 19.- Encourage sustainable mobility in workplaces.

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Area 6. Planning

           Action 20.- Plan medium-term mobility policies through the Metropolitan
           Urban Mobility Plan (PMMU).

    Area 7. Infrastructure

           Action 21.- Request priority transport infrastructure. Transport mode change
           incentives.

d) Environmental measures related to public and private construction work.

           Action 22.- Good practices guide to prevent air pollution in metropolitan
           municipal work.
           Action 23.- Reduce emissions in private construction work. Regulatory
           provisions to facilitate the application of measures to reduce emissions in
           private construction work.
           Action 24.- Monitor emissions in construction work.
           Action 25.- Establish measures to reduce emissions in construction work.

e) Environmental measures related to industry (low emissions).

           Action 26.- Apply a user guide to control low emission generators.
           Action 27.- Industry action plans in the metropolitan area.

f) Environmental awareness and environmental education measures

           Action 28.- Awareness-raising and education targeted at the general public.
           Action 29.- Awareness-raising and education in schools.
           Action 30.- Awareness-raising and education targeted at activities related to
           undertakings as a partner centre.

g) Action protocol in the event of NO2 and PM10 high pollution episodes.

  Actions to take during NO2 high pollution episodes.

  PHASE I. Attentive monitoring

  Responsibility of AMB

           A.1.- Activate protocol phase
           A.2.- Activate information and communication campaigns
           A.3.- Implement awareness strategy
           A.4.- Through the Metropolitan Environmental Assessment Report, control the
           application of user guide regulations for low emission generators in industrial
           activities.
           A.5.- Call on principal activities, public institutions and concession-holders to
           set up their own action protocols.

  Responsibility of local governments, with the support of AMB

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B.1.- Through the Municipal Metropolitan Environmental Assessment Reports,
         apply the user guide regulations for low emission generators in industrial
         activities.
         B.2.- Call on the authorities to set up their own action protocols for high
         pollution episodes.

PHASE II. Preventive warning (in addition to the above)

Responsibility of AMB

         A.6.- Implement the awareness strategy by means of messages to target
         public during the preventive warning phase.
         A.7.- Monitor industries in relation to the application of their action protocols.
         A.8.- Reduce vehicle and machinery use in works implemented by AMB and
         stop the production and use of asphalt.

Responsibility of local governments, with the support of AMB

         B.3.- Expand the bicycle network by converting traffic lanes.
         B.4.- Temporary pedestrianisation (easing traffic congestion) on certain roads.
         B.5.- Dynamic speed control based on environmental criteria.
         B.6.- Improve traffic-light control in order to give priority to public transport.
         B.7.- Through the Municipal Environmental Assessment Report, apply the user
         guide regulation for low emission generators in industrial activities.

PHASE III. Episode phase (in addition to the above)

Responsibility of AMB

         A.9.- Apply discounts on public transport fares (T-episodi ambiental card, ATM
         initiative).
         A.10.- Step up information and communication campaigns.
         A.11.- Coordinate traffic restrictions imposed by local governments in the ring
         road area.
         A.12.- Cooperate with the Government of Catalonia and municipalities in
         enabling additional HOV-bus lanes on some roads used to enter the city.
         A.13.- Promote public transport.
         A.14.- Restrict the use of taxis.
         A.15- Implement the awareness strategy by means of messages to target
         public during the episode phase.
         A.16.- Call on the responsible agents to monitor potentially harmful activity
         emissions.
         A.17.- Completely stop all construction work.

Responsibility of local governments, with the support of AMB

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B.7.- Specifically regulate non-resident parking.
         B.8.- Change the DUM and Bus Zone time window. This measure must be
         agreed on.
         B.9.- Completely stop all construction work activities.

PHASE III. Episode and alert phase (in addition to the above)

         A.18.- Coordinate extending vehicle restriction criteria to the metropolitan
         municipalities as required and in particular within the ring road area (future
         ZBE).
         A.19.- Implement the awareness strategy by means of messages to target
         public during the episode and alert phase.

Actions to take during PM10 high pollution episodes

PHASE II. Preventive warning

Responsibility of AMB

         A.1.- Activate the corresponding protocol phase, establishing the necessary
         communication, dissemination, monitoring and warning channels with other
         administrations (local governments and Directorate General for Air Quality and
         Climate Change) and with the industries involved.
         A.2.- Activate information and communication campaigns.
         A.3.- Reduce driving speed (AMB will coordinate this with the stakeholders
         involved and the Catalan Traffic Service).
         A.4.- Implement the awareness strategy by means of messages to target
         public during the preventive warning phase.
         A.5.- Call on public institutions and concession-holders to set up their own
         action protocols.
         A.6.- Stop all construction work in ZUAPs, depending on work phase,
         dimension and activity risk level (AMB guide with measures taken in 2017).
         A.7.- Prevent the use of leaf blowers in parks and apply ground water to dusty
         areas.

Responsibility of local governments, with the support of AMB

         B.1.- Suspend the burning of plant residue and forest, farming and gardening
         waste.
         B.2.- Restrict asphalting and tarring operations on roads during these periods.
         B.3.- Prevention and reduction measures.
         B.4.- Prevent the use of leaf blowers in parks and apply ground water to dusty
         areas.

PHASE III. Air pollution episodes (in addition to the above)

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In addition to the actions proposed during the preventive warning phase, the following
   actions may be included during the episode itself:

   Responsibility of AMB

            A.8.- Public transport fare discounts through the “T-episodi ambiental card”
            (ATM initiative).
            A.9.- Step up information and communication campaigns.
            A.10.- Implement the awareness strategy by means of messages to target
            public during the episode phase (operations in schools, municipal buildings,
            dissemination of messages in partner centres, etc.).
            A.11.- Coordinate traffic restrictions imposed by local governments (8.00 am to
            8.00 pm for private vehicles with no environmental label) in the ring road area
            (future ZBEU). Cooperate with the Government of Catalonia or other
            administrations in carrying out the activity. The measure will only be applied if
            the pollution is caused by human action and not during episodes due to the
            entry of dust from the Sahara.
            A.12.- Cooperate with the Government of Catalonia and municipalities in
            enabling additional HOV-bus lanes on some roads used to enter the city.
            A.13.- Promote public transport: increase the ground transport methods for
            entering Barcelona with all available means.
            A.14.- Restrictions on driving taxis.
            A.15.- Completely stop construction activity.
            A.16.- Call on the responsible agents to monitor potentially harmful activity
            emissions.
            A.17.- Stop handling/moving dusty materials out of doors.

   Responsibility of local governments, with the support of AMB

            B.4.- Specifically regulate non-resident parking.
            B.5.- Change the DUM and Bus Zone time window to prevent goods deliveries
            and private coaches for tourists during peak pollution hours (7.00 am and
            10.00 am). This measure must be agreed on with local governments and the
            sector.

h) Measures for inclusion in the Barcelona Metropolitan Area Urban Master Plan - city
   model.

i) Communication.

   The implementation of the programme will be accompanied by a special
   communication campaign highlighting the actions and motivating their deployment.

   The campaign will pay special attention to the environmental issues of transport,
   industry and other activities that generate pollution. The campaign will be prepared in
   conjunction with the AMB environment, mobility and transport area.

j) Prediction, control and evaluation tools.

   Action 31.- Air quality forecast model.

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Action 32.- Characterisation of vehicle emissions in Barcelona city and metropolitan
       area.
       Action 33.- Metropolitan urban mobility plan evaluation model in relation to air quality in
       the Barcelona metropolitan area.

2.5. BARCELONA PROVINCIAL COUNCIL:

  a) Cooperate with the Government of Catalonia in making headway on a basis of
     consensus and coordination in relation to studying the causes that affect air quality
     throughout the territory and in each municipality.

  b) Make available to supramunicipal and local administrations the meeting point and
     technical coordination of the Network of Cities and Towns in Favour of Sustainability
     – Task Force + Air-Noise, as a transversal group which includes municipal
     technicians with expertise in the areas of mobility, the environment and health; and as
     an information point for all local entities in agreements with the Government of
     Catalonia coordination and monitoring board.

  c) Provide support to municipalities within Barcelona province, including municipalities
     from Àmbit-40 and its hinterland, in establishing policies to improve air quality and
     promote sustainable mobility and environmental health. In particular:

                     I. Support in preparing studies and local plans for air quality improvement.
                    II. Support in renewing municipal vehicles and making them electric.
                   III. Support in promoting sustainable mobility, drafting urban mobility
                        plans, implementing ZUAPs, corporate mobility plans and school
                        routes.
                   IV. Support non-motorised mobility on the part of administrations, for the
                        most part by bicycle or on foot (public bicycle network, safe parking,
                        cycling routes,...).

  d) Coordinate common resources to raise awareness and provide environmental
     education, offering support to local entities in this area in order to inform the public
     and raise awareness about air pollution and its harmful effects on health, both in
     pollution episodes and in a structural manner, in conjunction with the Government of
     Catalonia.

  e) Provide support during Sustainable Mobility Week on actions related to air quality
     improvement.

  f) Prepare and obtain municipal and tax legislation models.

  g) Prepare and obtain internal municipal protocols for the application of this agreement.

  h) Draft the mobility and travel plan for Barcelona Provincial Council staff.

  i)    Promote training for municipal technicians in sustainable mobility and air quality, and
        in particular actions related to corporate mobility plans.

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2.6. MUNICIPALITIES IN THE ÀMBIT- 40 HINTERLAND:

Since a large part of the journeys made in the Àmbit-40 zone originate in municipalities
outside this area, apart from the agreements assumed by the AMB, they undertake to:

  a)   Report high pollution episodes and their effects on health in order to reduce travel in
       private vehicles to the special protection zone.

  b)   Report on the mobility measures taken in the Àmbit-40 area that affect citizens
       travelling to the Barcelona metropolitan area.

  c)   Reinforce urban transport services to railways, as required, considering, for example,
       other issues such as the location of park and ride car parks.

  d)   Keep express bus lanes free and reinforce checks by municipal police, particularly
       during high pollution episodes.

  e)   Organise awareness campaigns and mobility recommendations to the public in the
       event of high pollution episodes.

3. BARCELONA PORT AUTHORITY:

  a)   Promote the rapid implementation of alternative fuels for the transport of goods by
       sea and by road, and in particular, natural gas, by providing supply infrastructure and
       running pilot and test projects.

  b)   Study the feasibility of electrical connection from the wharves for ships moored in
       certain docks.

  c)   Implement a new ship discounts system that promotes environmental behaviour
       improvement and attracts cleaner ships.

  d)   Gradually make own vehicles electric and promote the electrification of transport and
       staff vehicles of companies operating in the port area.

  e)   Promote the electrification or gasification, as applicable, of port terminal machinery
       (off-road vehicles).

  f)   Continue to promote the transfer of loads from trucks to railways and short sea
       shipping by building and improving railway infrastructure, attracting new railway
       operators and consolidating and improving short sea shipping services.

  g)   Promote the adoption of sustainable mobility criteria in the port area and in
       companies operating in the port.

  h)   In the event of high pollution episodes declared by the Government of Catalonia,
       Barcelona Port Authority will take the following actions:

                                                                                           20
In the event of preventive NO2/PM10 pollution warnings:

       •   Impose speed limits on ships approaching and entering the port.

       •   Ban machinery testing and maintenance work on ships to prevent the start-up of
           engines.

       •   Impose speed limits on vehicles driving inside the port area.

       •   Ask truck drivers to switch off their engines in the event of hold-ups or long waits
           to enter the terminals.

       In the event of NO2/PM10 pollution episode warnings:

       •   Restrict the mooring of ships containing bulk liquids, container vessels and other
           goods vessels in zone II that are not attached to moorings.

       •   Reduce machinery preparation time before leaving port for all vessels moored
           there.

       •   Communicate the situation to all Barcelona Port Authority workers and companies
           operating in the port and promote and recommend the use of collective public
           transport or carpooling.

       •   Increase the washing and damping down of roads.

ANNEX II. REQUESTS SUBMITTED TO THE SPANISH GOVERNMENT

Lastly, to achieve the air quality improvement objectives we have set, we call on the State to:

  a) Review the special tax on fuels for passenger cars to stop promoting the purchase of
     diesel vehicles.

  b) Change the vehicle registration tax to encourage the purchase of vehicles that
     generate less pollution.

  c) Apply HOV and ECO discounts on vehicles generating fewer emissions, depending on
     the DGT eco-label, at toll stations operated by the State at the entrance to the Àmbit-
     40 area.

  d) Put out calls for financial aid in changing from vehicles that generate pollution to low-
     emission vehicles, whilst also taking into account social criteria.

  e) Carry out the necessary formalities at State and Community level to apply the reduced
     VAT rate of 4% on the purchase of electric vehicles for a period of five years.

  f)   Promote the following legal changes in relation to charging electric vehicles in order to:

           •   Simplify the charge manager figure and make it easier for companies and
               public administrations to provide charging stations, so long as this is done free
               of charge.

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•   Reduce the fixed costs of the electricity system for strategic fast-charge
             infrastructure until electric mobility reaches the necessary volume to permit
             the feasibility of business models linked to this mode.
         •   Make it possible for municipalities to be able to apply discounts of up of 100%
             on mechanical traction vehicle taxes for electric vehicles.
         •   Establish that all new residential buildings include in their construction the
             necessary infrastructure to allow 100% of parking spaces to implement a
             slow-charge system.
         •   Establish tax deductions for works to adapt car parks in residential buildings
             and allow the implementation of slow-charge systems.
         •   Establish that by no later than 2020, 5% of all public parking spaces will be
             equipped with normal charge infrastructure. This objective must also be
             implemented in indoor and outdoor car parks in shopping centres.
         •   Establish that by no later than 2020, 3% of public municipal parking spaces
             and street parking spaces will be equipped with normal charge infrastructure
             in municipalities with over 20,000 inhabitants, in the locations established in
             the urban mobility plan or the municipal urban plan.
         •   Set up a stable, uninterrupted plan of financial aid for the purchase of electric
             vehicles up to 2020, with an annual allocation of at least €20Mn.
         •   These percentages will be reviewed in 2020, depending on the degree of
             penetration of the electric vehicle with respect to vehicles in circulation.

g) Increase public transport funding in accordance with the equalisation of the integrated
   services area with the financed services area. This would mean increasing the €98Mn
   of 2016 to €108Mn in 2017 and €148Mn as of 2018.

h) Enable bus lanes through the transfer of the B-23 to the Government of Catalonia,
   with funding for the construction of the bus lane.

i)   Implement local and regional railway infrastructure improvement plans to bring about
     an improvement in local and regional train services in terms of frequency, operating
     speed, information and service quality, which will drastically reduce current service
     inefficiencies and unreliability.

j)   Prioritise railway investments agreed within the framework of the Strategic Board for
     the Mediterranean Corridor, thus permitting actions related to infrastructure and the
     promotion of improvements in goods services, which, like the railway corridor and the
     implementation and connection of new intermodal terminals, will make the change
     from the carriage of goods from road to rail a reality.

k) Change the consolidated text of the Traffic, Driving of Motor Vehicles and Road Safety
   Act through the creation of the categorisation of a specific offence for breach of special
   legislative measures on driving for environmental reasons that could be considered
   serious or very serious.

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l)   Change Article 37 of the General Regulation on Driving, Special Traffic Ordinance for
     Reasons of Safety or Calming of Traffic in the sense of providing for the possibility of
     establishing traffic control measures for environmental reasons.

m) Complete the vehicle eco-labelling initiative of the Directorate General for Traffic with
   eco-labels for non-electric motorbikes and mopeds (the only ones that have them at
   present).

n) Regulate eco-labels reporting vehicle emission levels through a royal decree in order
   to provide maximum outreach and legal certainty.

o) Create and allocate an economic fund to finance the implementation of the regional,
   municipal and urban plans.

                                                                  Barcelona, 6 March 2017.

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