[PPT] - T T R I TT TR RI I T T ra ining fo r T o wnship Re ne w PowerPoint Presentation

SLIDE 1

T

T TT T TR R RI I I

T ra ining fo r T

wnship Re ne w a l Initia tive

Day 2: Achieving sustainability in townships through economic and spatial investment

Cecil Madell: 30 October 2007

SLIDE 2

T

T TT T TR R RI I I

T ra ining fo r T

wnship Re ne w a l Initia tive

Outline

1. Introduction
2. Poverty Reduction and Sustainable Livelihoods

– SL Framework – Livelihoods assets used by the poor – Possible areas of intervention – Importance of green and lifecycle costing

3. Competitive Place Theory and Township Development

– Defining competitive place – Role of physical infrastructure – Importance of quality public – Concerns with emphasing place competitiveness

4. Township Development: Competitive Place and Sustainable

Livelihoods

SLIDE 3

T

T TT T TR R RI I I

T ra ining fo r T

wnship Re ne w a l Initia tive

Outline

1. Introduction

– 2001 Onwards - significant amount of funding in rural areas and townships – 2001 - 2005 : R 6.7 billion - total value of direct transfers to household – R 58. 7 billion - total value of transfers aimed directly at poverty eradication and development promotion to special agencies/funds – Townships : poverty traps: dormitory suburbs, with limited private sector investment; low levels of safety and security and high -income leakage out of these areas. – high levels of historic, cultural and social value for residents – South African landscape is diverse culturally and geographically, there are significant similarities in the features and challenges townships face. – Paper explores concepts of sustainable livelihoods (emerging from literature on poverty reduction) and competitive place (emerging from mainstream neo-liberal policy) and the relationship between - improving the quality of economic and spatial living spaces of townships

SLIDE 4

T

T TT T TR R RI I I

T ra ining fo r T

wnship Re ne w a l Initia tive

Tale of 3 ‘cities’

Historical Towns

– Mixed use of activities and incomes – Focus on public transport and public spaces

Suburbs

– Gated complexes – Shopping centres – Private transport – Middle and high income communities

Townships

– New and historic layout design – Minus viable public transport and public spaces – Towards mixed income groups

SLIDE 5

T

T TT T TR R RI I I

T ra ining fo r T

wnship Re ne w a l Initia tive

Poverty Reduction and Sustainable Livelihoods

2.1 SL Framework

Asset-vulnerability frameworks - poverty as a lack of secure conditions of life
Evolved into sustainable livelihoods framework approach as a basis for analysing,

understanding and formulating appropriate strategies to manage the complexity of poverty reduction and social development.

Sustainable Livelihoods – Vulnerability Factors

I n f r a s t r u c t u r e a n d S e r v i c e s V u l n e r a b i l i t y C

n

t e x t

¥ S t

c

k s ¥ T r e n d s ¥ S e a s

n

s

E x t e r n a l E n v i r

n

m e n t P

l

i c i e s , I n s t i t u t i

n

s A n d P r

c

e s s e s

¥ Stru c t u r e s /

rganisations

¥ Pub l i c S e c t

r

¥ Priv a t e S e c tor ¥ Pro c e s s e s : law, policies, cultu r e

L i v e l i h

d

O p p

r

t u n i t i e s L i v e l i h

d

S t r a t e g i e s

Financial Capital Physical Capital Social Capital Natural Capital Human Capital Livelihood Assets

I n f r a s t r u c t u r e a n d S e r v i c e s V u l n e r a b i l i t y C

n

t e x t

¥ S t

c

k s ¥ T r e n d s ¥ S e a s

n

s

E x t e r n a l E n v i r

n

m e n t P

l

i c i e s , I n s t i t u t i

n

s A n d P r

c

e s s e s

¥ Stru c t u r e s /

rganisations

¥ Pub l i c S e c t

r

¥ Priv a t e S e c tor ¥ Pro c e s s e s : law, policies, cultu r e

L i v e l i h

d

O p p

r

t u n i t i e s L i v e l i h

d

S t r a t e g i e s

Financial Capital Physical Capital Social Capital Natural Capital Human Capital Livelihood Assets

SLIDE 6

T

T TT T TR R RI I I

T ra ining fo r T

wnship Re ne w a l Initia tive

Poverty Reduction and Sustainable Livelihoods

Livelihood Assets Examples of Assets Used by the Poor (Meikle, 2002; Rakodi, 2002) Human Capital Labour resources available to households and capacity to work Quantitative - no of workers in households and time available - income earning activities Qualitative - levels of education, skills and health status of household members Social and Political Capital: Networks, memberships of groups, relationships of trust and reciprocity, social support, access to wider institutions of society etc, on which people draw in pursuit of livelihoods (e.g loans, child care, food accommodation, and information about casual labour and other opportunities). Economic and Financial Capital: Sale of labour, savings, credit, remittances, pensions, etc Credit: accessibility and affordability

2.2 Livelihood Assets Used by the Poor

SLIDE 7

T

T TT T TR R RI I I

T ra ining fo r T

wnship Re ne w a l Initia tive

Poverty Reduction and Sustainable Livelihoods

Livelihood Assets Examples of Assets Used by the Poor (Meikle, 2002; Rakodi, 2002) Physical Capital: Basic infrastructure (transport, shelter, water, energy, communications, etc) Housing: productive (renting rooms; space as workshop; reproductive, etc) Livestock: food source and asset Economic and social infrastructure: education and health facilities Production equipment: machinery, utensils, vehicles, etc Natural Capital: Land, water and other environmental resources, especially common pool resources. Urban agriculture (land as asset) Environmental contamination

2.2 Livelihood Assets Used by the Poor

SLIDE 8

T

T TT T TR R RI I I

T ra ining fo r T

wnship Re ne w a l Initia tive

Poverty Reduction and Sustainable Livelihoods

2.3 Possible areas of intervention

Human capital
Emphasis on sectors or niches with significant labour-intensive activities
Local education and training efforts.
HIV/AIDS
Social and political capital
Co-operation between all spheres of government, NGOs and CBOs.
Social capital in townships - building and supporting social networks and associations.
Economic and financial capital
Stimulation of economic growth, with significant growth potential.

฀ Βetter utilisation of existing poverty relief programmes, e.g EPWP; various national, provincial, district and local programmes available for poverty alleviation.

Use of green technologies in the design and location of facilities and housing.

SLIDE 9

T

T TT T TR R RI I I

T ra ining fo r T

wnship Re ne w a l Initia tive

Poverty Reduction and Sustainable Livelihoods

2.3 Possible areas of intervention

Physical capital
Provision & quality of basic infrastructure e.g hsing, electric., roads, water & sanitation.
Expanding low-cost house-construction efforts, in particular in areas where community

facilities and job opportunities already exists

Increasing the provision of public social and education facilities and human resources in poor

areas;

Improving the physical environment in townships, so that residential units can increase in

value and be used as collateral to access funding to improve levels of education and training.

Natural capital
Significantly upgrade and improve the quality of open spaces, river and eco systems within

and adjacent townships.

Specific actions: large tree planting & landscaping programmes; removal of alien vegetation;

clearing of areas - combat crime; decreasing domestic sources of pollution (e,g burning of tyres, plastic & garbage); etc

Improving the quality of the green open spaces will increase the liveability of townships and

increase the value of investment, such as the housing stock.

SLIDE 10

T

T TT T TR R RI I I

T ra ining fo r T

wnship Re ne w a l Initia tive

Poverty Reduction and Sustainable Livelihoods

2.4 Importance of green and lifecycle costing

Factors impacting on the lifecycle cost of a settlement to an individual

Whole City

(Urban Planning/Policy/Economy/ Transport system/ Service delivery systems)

Neigbourhood/Suburb

(Facilities and Services – schools, transport, shops, recreation)

House

(orientation, finishes, energy, waste, water)

Individual

(life-stage, employment status, etc.)

Location House Design

Whole City

(Urban Planning/Policy/Economy/ Transport system/ Service delivery systems)

Neigbourhood/Suburb

(Facilities and Services – schools, transport, shops, recreation)

House

(orientation, finishes, energy, waste, water)

Individual

(life-stage, employment status)

Location House Design Location House Design

SLIDE 11

T

T TT T TR R RI I I

T ra ining fo r T

wnship Re ne w a l Initia tive

Poverty Reduction and Sustainable Livelihoods

2.4 Importance of green and lifecycle costing

Influence of design on cost (Saroop, et al, 2006)

SLIDE 12

T

T TT T TR R RI I I

T ra ining fo r T

wnship Re ne w a l Initia tive

Poverty Reduction and Sustainable Livelihoods

2.4 Importance of green and lifecycle costing

Construction costs Vs. operating costs of subsidy house (adapted from Saroop, et al, 2006)

Inception, design and construction: 3 months to 2 years (R36 000) to State Operations: 30 years (R46 000 to R100 000) to individual

SLIDE 13

T

T TT T TR R RI I I

T ra ining fo r T

wnship Re ne w a l Initia tive

3. Competitive Place Theory & Township Development

The effect of globalisation - the emergence of footloose industries and

importance of attracting scarce skills – importance of overall quality of life in towns and cities - key informant of investment decision-making.

Places competing on the basis of the most attractive physical environments

for investment.

Competitive place theory has been developed with a focus on established

towns and cities, the basic theoretical principles has also relevance in generating an attractive environment for private sector investment in townships.

Competitive place theory also has therefore relevance for townships

competing with established urban centres for investments.

SLIDE 14

T

T TT T TR R RI I I

T ra ining fo r T

wnship Re ne w a l Initia tive

3. Competitive Place Theory & Township Development

3.1 Defining competitive place

Towns compete in a variety of ways, across market areas of different existing

conditions which may be more/less stable, and with or without the involvement of territorial agencies.

Among forms of competition, the most significant involve rivalry within product

markets, and inward investment, the attraction of desirable residents, and contests for funding or events from higher levels of government

The focus of such competition is therefore on:
attracting of mobile investment;
enhancing the market share achieved by existing local businesses, and
generating new businesses and markets.
Township nodes are not necessarily attracting global players (although in some

cases they may be) - nevertheless competing for business and investment.

‘Quality’ of place and the management of its assets - critical element in developing

township nodes.

SLIDE 15

T

T TT T TR R RI I I

T ra ining fo r T

wnship Re ne w a l Initia tive

3. Competitive Place Theory & Township Development

3.2 Role of Physical Infrastructure in Place Competitiveness

The concept of place as a commodity
Place marketing can be defined as a process whereby local activities are related as

close as possible to the demands of targeted customers

Provision and enhancement of physical infrastructure through a range of measures

e.g housing markets, local business, city centres, leisure and culture, tourism, environment, transport and communications and place marketing.

New or refurbished physical infrastructure- key element in re-imaging and place

marketing

Place marketing can be defined as a process whereby local activities are related as

close as possible to the demands of targeted customers

Possible interventions: urban renewal, urban regeneration, etc

SLIDE 16

T

T TT T TR R RI I I

T ra ining fo r T

wnship Re ne w a l Initia tive

3. Competitive Place Theory & Township Development

3.2 Role of Physical Infrastructure in Place Competitiveness

Potential Benefits of Interventions

Installing confidence for private and other investors in the area
Increasing the variety, range and quality of services available to local residents
Building infrastructure rehabilitation-providing visible evidence of physical improvements
Create a new townscape and place making.
Where resources are limited, concentrate efforts within a clearly defined area/node and high

quality design.

SLIDE 17

T

T TT T TR R RI I I

T ra ining fo r T

wnship Re ne w a l Initia tive

3.3 Importance of quality public infrastructure and spaces to improve competitiveness of places

Good urban design: improved quality of design and movement; creating compact

developments; supports local services & fosters a strong sense of community & public safety

Measures to Promote Good Urban Design
Provision of high quality education and training institutions
Built Heritage and re-use of old buildings
Incorporating human scale developments through the provision of:
pedestrian and cycling routes;
well-located and quality public spaces;
ensuring access, permeability, continuity and enclosure; legibility and clarity of

structure of the built fabric

Optimum land use and density and mixing of activities; public realm
Place character, Image and Identity
Continuity; enclosure; legibility and clarity of structure
Sustainable buildings from an environmental and resource perspective
Adaptability and diversity of the built environment.

3. Competitive Place Theory & Township Development

SLIDE 18

T

T TT T TR R RI I I

T ra ining fo r T

wnship Re ne w a l Initia tive

3.3 Importance of quality public infrastructure and spaces to improve competitiveness of places

Although the alternative forms of development, such as shopping malls within a sea
f parking and isolated by surrounding mobility routes, may be the preferred form for

many investors, this should not dominate the development of townships due to:

The relative low levels of car ownership and associated maintenance costs

associated;

The tendency of these developments to exclude informal sector activities
The pattern of ownership that results in the income generated not being

retained and re-spent in the area.

The tendency to use local labour for low skill and low-income positions and

sourcing the higher income jobs from elsewhere.

3. Competitive Place Theory & Township Development

SLIDE 19

T

T TT T TR R RI I I

T ra ining fo r T

wnship Re ne w a l Initia tive

3.3 Importance of quality public infrastructure and spaces to improve competitiveness of places

Specific Strategies

Built heritage and re-use of Old Buildings
Conversion and refurbishment to adapt existing buildings and spaces to new

uses

Maintaining the historic character and fabric while creating new environments
Use of buildings to help restate the repositioned function and/or changed

ambience of a place

Use of prominent buildings as flagship projects
Architecture as a form of advertising
Safe and Secure Living Environments
police and surveillance measures
natural and industrial hazards

3. Competitive Place Theory & Township Development

SLIDE 20

T

T TT T TR R RI I I

T ra ining fo r T

wnship Re ne w a l Initia tive

3. Competitive Place Theory & Township Development

3.3 Importance of quality public infrastructure and spaces to improve competitiveness of places Specific Strategies

Open Space and Recreation in Urban Areas
POS standards vs open space web and networks
Reclaiming of contaminated or derelict/vacant land
Open space network
Landscaping
Natural and managed landscapes
Include visual aspects as well as preservation of animal and

plant species

Visual quality can contribute towards certain forms of

economic development based on tourism and leisure- however vulnerable to excessive development

Landscaping can accentuate the best features of a site and

ameliorate the worst.

Natural Heritage : wildlife and cultural/aesthetic

contribution

Joe Gqabi T ransport Interchange U se of bollards in combination with textured pre-cast paver at raised pedestrian crossing

SLIDE 21

T

T TT T TR R RI I I

T ra ining fo r T

wnship Re ne w a l Initia tive

3. Competitive Place Theory & Township Development

3.3 Importance of quality public infrastructure and spaces to improve competitiveness of places

Key advantages a high quality environment might hold for prospective new business when considering where to locate

An attractive, well designed environment - framework for promoting

economic identity and growth

Quality in the environment as a factor only when the traditional ‘hard’

factors are satisfactory: land, labour/skills, capital, infrastructure and location.

However, for workers environmental quality, and quality of life in general, is

a high priority, including good housing.

Choosing a location for investment remains a complex matter, as different

types of business have different demands in terms of environmental quality.

E.g Conflict between the design of shopping malls and the objective to

create attractive landscaped and pedestrianised areas.

Economic success could lead to deterioration of environmental quality and

quality of life – increased traffic congestion and pollution, gentrification, etc.

Joe Gqabi T ransport Interchange Multi-purpose F

recourt

SLIDE 22

T

T TT T TR R RI I I

T ra ining fo r T

wnship Re ne w a l Initia tive
Attractive and high quality urban environments are important qualities for other types of

investments e.g office investments - potential to draw in new businesses.

The quality of the physical environment therefore provides a competitive advantage when
ther factors are equal.
Need to balance social, economic and environmental informants.

L ansdown - Ingulube Drive Market

SLIDE 23

T

T TT T TR R RI I I

T ra ining fo r T

wnship Re ne w a l Initia tive

3. Competitive Place Theory & Township Development

3.3 Importance of quality public infrastructure and spaces to improve competitiveness of places

Vital and viable town centres

The concepts of vitality and viability provides some insights into

measuring the success of town centres:

– Vitality is a measure of how busy a centre is at different times and in different parts. – Viability measures a centre's capacity to attract on-going investment for maintenance, improvement and development.

Other measures could also be used to assess the vitality and viability,

such as a SWOT analysis

Key indicators identified include the following:

– customer views – perceptions of safety and occurrence of crime – Environmental quality of the center

Different weightings might be attached to different indicators, depending
n local circumstances.
Further issue: whether comparisons amongst town centres are needed

to really assess vitality and viability.

Of importance, the methodology for town centre heath checks is not

robust and should be treated with some caution.

These concerns are as relevant to town centres for townships as in

established areas.

SLIDE 24

T

T TT T TR R RI I I

T ra ining fo r T

wnship Re ne w a l Initia tive

3. Competitive Place Theory & Township Development

3.4 Concerns with Emphasing Place Competitiveness

Assuming it only requires is a good marketing campaign and morally persuading private

investors to invest in townships to rectify the imbalances of the past.

Not dealing directly with factors that have contributed to the long term negative image of

townships, such as insecurity and low levels of disposable income.

Not countering the opportunity costs for investors - alternative investment locations.
Considering the opportunity costs:

– It had been targeted more directly at them, e.g through training schemes or anti-poverty measures?

What would have been the returns of such investment in education programmes
Investment in infrastructure is only part of the solution; and other aspects e.g education and

training; social and environmental factors; supply, quality and cost of various factors of production are also important components of developing place competitiveness.

However, the physical form of the built environment directly influences place competitiveness

and this is shaped by the availability and quality of infrastructure and spaces.

SLIDE 25

T

T TT T TR R RI I I

T ra ining fo r T

wnship Re ne w a l Initia tive
4. Township Dev: Competitive Place and Sustainable Livelihoods

4.1 Measuring Place Competitiveness

Concept of place competitiveness is contested: successful towns and

cities that do function well and compete effectively with other cities for private and public resources, display most of the following services and facilities:

High-level educational facilities.
Research and skill development centers.
Well functioning utility infrastructure and urban services.
Availability of a range of housing and tenure options
Excellent communications and efficient public and private transport

systems.

Increasing rate of economic growth as well as economic growth

benefiting the majority and not a few.

Reasonable to high standard and quality of life
Absence of broader environmental and social factors such as pollution,

crime, social and community health, etc.

SLIDE 26

T

T TT T TR R RI I I

T ra ining fo r T

wnship Re ne w a l Initia tive
4. Township Dev: Competitive Place and Sustainable Livelihoods

4.1 Measuring Place Competitiveness

Analytical and economic measures such as shift share analysis,

evaluating the performance of different business sectors; percentage of workers receiving job related training; availability and usage of availability grant funding per capita; etc

Other social factors, such as the level of community participation in

development processes; community cohesiveness and agreement to the vision for the area, etc.

In contrast, unsuccessful towns and cities share similar characteristics with

townships, mainly population loss, lack of employment; inability to surmount social and economic problems or social exclusion, which implies under-utilisation

f potential skills and resources in the community.

SLIDE 27

T

T TT T TR R RI I I

T ra ining fo r T

wnship Re ne w a l Initia tive
4. Township Dev: Competitive Place and Sustainable Livelihoods

4.2 Relationship between competitive place and sustainable livelihoods

Sustainable livelihoods emphasises the importance of household development and support

in an holistic manner and recognises an increase in access and control of livelihood assets will increase the ability of households to respond and thrive in situations of vulnerability.

Due to changes in social, environmental and economic trends and patterns. Public sector

authorities and officials have an important role to play, in particular when developing townships.

Mere focus on basic infrastructure will not develop levels of competitiveness that will allow

townships to attract investments that would normally occur in more established areas.

Over and above the investment required in public transport, utility infrastructure and

services is significant investment in creating quality public spaces through redevelopment, pedestrianisation and landscaping schemes - not merely because of historical or aesthetic reasons, but more so for economic development reasons.

Investment in the quality of the public spaces will not only increase the asset value

households through increased value of residential property (physical and natural capital), but also increase the level of institutional thickness (range and variety of organisations and institutions active in and around the area) and potential availability of funding for interventions (human, social and financial capital).

SLIDE 28

T

T TT T TR R RI I I

T ra ining fo r T

wnship Re ne w a l Initia tive

Township Development: Competitive Place and Sustainable Livelihoods

SLIDE 29

T

T TT T TR R RI I I

T ra ining fo r T

wnship Re ne w a l Initia tive

Presenter details

Name : Cecil Madell
Designation : MCA
Contact details : 021 685 1150