riga greg clark dec 2011

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Regional Development

International Conference Latvia.

Greg Clark Dec 2011

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A Re-Balanced World With No More Core and Periphery

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The new horizon

Human and Urban Development and Ecological Footprint by Country

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HUMAN DEVELOPMENT AND ECOLOGICAL

FOOTPRINT BY COUNTRY

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WELL-DESIGNED CITIES

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Traditional Regional Policies

‘Regional Planning’

1950s to 1990s

New Regional Policies

‘Territorial Development’

1980s to present

Objectives Balance national economies by

compensating for disparities

Increase regional development

performance

Strategies Sectoral approach Integrated development programmes and

projects

Geog. focus Political regions Metro regions and eco regions

Target Lagging regions All regions - Metropolitan regions

Context National economy International economy and local

economies

Tools Subsidies, incentives, state aids,

and regulations

Assets, drivers of growth, soft and hard

infrastructures, collaboration incentives,

development agencies, co-operative

governance, financial intermediation

Actors National governments and

sometimes regional governments

Multiple levels of governments, private

and civic actors. Implementation agencies.

Collaborative governance

Integrated Framework For City/Region Development

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Pre-conditions

Business

environment

& investment

Educational

and research

base

Land and

physical

infrastructure

Social/ cultural

infrastructure &

quality of life

Ecological

base

Innovation

& creativity

Industrial

structure

Business

ownership & mgt

Human

capital Connectivity

Use of

resources

Productivity Population

Development and growth

Drivers

Global economy and

Macro-economic

framework

Feedback effects Markets

Governance

structure

Environ

mgt

Requirements of the two models

Traditional

Political Orientation

Development within

regions

Departmental approach:

capable National Gov

Technical skills and

administration

New

Market Orientation

Linkages between

regions

Whole of Gov approach

Capable local/regional

governance

Leadership and alliance

building 9

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A basic typology

1. Regional admin/gov with City-Regions.

Germany, Italy, France, Spain.

2. Regional admin/gov without City-Regions.

Poland, Netherlands, Portugal, Korea.

3. Strong Federal States, encouraging City-Regions without Regional Gov or nation wide policy.

USA, Canada, Australia.

4. National-Local only; limited regions, no city-regions.

Ireland, Greece,

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The ‘Northern Way’

Integrated Framework For City/Region Development

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Pre-conditions

Business

environment

& investment

Educational

and research

base

Land and

physical

infrastructure

Social/ cultural

infrastructure &

quality of life

Ecological

base

Innovation

& creativity

Industrial

structure

Business

ownership & mgt

Human

capital Connectivity

Use of

resources

Productivity Population

Development and growth

Drivers

Global economy and

Macro-economic

framework

Feedback effects Markets

Governance

structure

Environ

mgt

As many city & metropolitan economies are „under-bounded‟

some regional governance may boost growth…

Proportion of city-region population covered by city-region governance arrangement

Gro

wth

in

GD

P p

er

ca

pita

Local

Authority

Regional

Note that the identification of LA

and regions on this curve is

stylised - we are doing some work

to identify where the core cities

are on this curve

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Relationship between size of government and economic growth

…

The new mobility.....not just tourism

Increasing

Mobility

Visitors

Firms

Events & Festivals

Students

Investors

Institutions

Innovators

Entrepreneurs

Research

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Why metropolitan action 1?

1. Extensive metropolitan re-organisation visible world-wide.

Metropolitan markets

Metropolitan brands

Metropolitan governance

2. Functional Space Economy & Markets

Environment

Society

Identity

Scale

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Why metropolitan action 2?

3. Dynamic space

The space is dynamic and ever changing. Metro area and Region converging.

4. Opportunity costs.

Organise the whole space or suffer from:

lack of scale and critical mass needed to succeed

co-ordination and capacity problems

internal competition and waste

incoherent messages

missed opportunities

5. Who is responsible for metropolitan area?

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SDRIF: Growth corridors SDRIF: Regional connectivity

SDRIF: Multi-modal transport plan SDRIF: Regional green space

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Regional Development and Specialisation

Smart Regions?

Regional Development Leadership

1. National Gov Co-ordination and Innovation

eg Inter-ministerial commitment and discipline

eg Integrating National and EU Efforts

2. Regional level

Strategy development

Alliance building

Inter-regional system

3. Local level

Collaboration with neighbours

Prioritisation

Business and Investment friendliness

National Leadership

The biggest challenge in regional development is internal

government co-ordination and alignment.

Cabinet Committees?

Super Ministries?

Shared targets?

The 2nd biggest challenge is integrating national and EU

approaches.

Different competences. Gaps.

How to avoid being led by the money?

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Local and Regional

What is really regional and local?

Capable local government, with enough

scale and incentive to encourage

development.

4th role of Local needs special

arrangements.

Enough Regional Governance with

competence and authority to lead and co-

ordinate and achieve scale 301

Leadership dividend –

competitive advantage of leadership

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What role for institutional and business groups in

the regional leadership system?

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Negotiate

Advocate

with Gov

Attract &

retention Ent

Reg

collab

Bus

know

how

Comms

& media CSR

Int best

practic

e

Pay for

activitie

s

X Party

collab

Wider

particip

Regional Development Tools

i. Strategic Planning

ii. Development Agencies

iii. Development Banks

iv. Brand Platforms

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Regional Strategic Planning

Definition:

“Regional/spatial planning gives geographical expression to the economic,

social, cultural and ecological policies of society.”

(European Regional / Spatial Planning Charter)

“It is at the same time a scientific discipline, an administrative technique

and a policy developed as an interdisciplinary and comprehensive

approach directed towards a balanced regional development and the

physical organisation of space according to an overall strategy."

(European Regional / Spatial Planning Charter)

Origins of Strategic Planning

• Spanish Cities after Franco

• Australian Cities catching up with sprawl.

• EU cities in the context of EU enlargement

• Chinese cities coping with rapid urbanisation

and metropolitanisation.

• Japanese cities confronting climate change.

Tackling Crisis and Challenge is often the

beginning.

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Core features of Strategic Planning

Shape the future or be shaped by it!

i. Shaping future growth management. Clear framework for market

development and public investment. Understand the returns to

the city and citizens form development.

ii. Integrated Efforts, mixture of tools, cross cutting issues.

iii. Guiding other strategies and frameworks.

iv. Based on Vision, foresight, and evidence.

v. Incentivising external investment. Combines internal and

external rates of returns. Overcomes apparent tensions.

vi. Setting standards and measurable targets.

vii. Agreement between tiers of Government, providing decisive

outcome. Conformity. Joint Prospectus. Agreement.

viii. Consultation with stakeholders.

ix. Implementation arrangements.

x. Locate roles of different bodies.

Focus of regional plans

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Ile-de-

France

South

Florida

Hong

Kong

/PRD

Tokyo Greater

Toronto

Chicago

Infrastructure

Affordable housing ● ● ●

Major house-building

programme ● ● ●

●

Reduce sprawl - direct growth

towards existing centres ● ● ● ●

●

Quality of life/ public realms ● ● ● ● ● ●

Keynote CBD redevelopment ● ●

Urban regeneration ●

Mobility

Reduce car dependency

through high-investment

public transport programme

● ● ●

Easing congestion - road

expansion alongside public

transport investment

● ●

●

Focus of regional plans

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Ile-de-

France

South

Florida

Hong

Kong

/PRD

Tokyo Greater

Toronto

Chicago

Mobility

Reduce car dependency

through high-investment

public transport

programme

● ● ●

Easing congestion - road

expansion alongside public

transport investment

● ●

●

Environment

Act on climate change –

energy infrastructure and

sustainability

● ● ● ● ●

Conservation and water/air

pollution improvements ● ● ● ● ● ●

Emergency/ disaster

preparation ● ●

Focus of regional plans

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Ile-de-

France

South

Florida

Hong

Kong

/PRD

Tokyo Greater

Toronto

Chicago

Socio-economic

Quality services to reduce

social/territorial

inequalities

● ● ●

Preserve/create

employment land ● ● ●

Economic development ● ● ● ● ●

Job skills ● ● ●

Race-gender inclusivity ●

Improve social

fabric/community ●

●

Governance Improved regional co-

ordination ● ● ●

●

Brand-image

Improve international

image ● ● ●

Attract international

populations ● ●

Conclusions

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i. A new era in regional spatial planning.

ii. Regional leadership tools.

iii. Strategic and influential documents.

iv. Investment prospectus and communication tool.

v. Based on evidence and scenario building.

vi. Integrated strategies and families of strategies.

vii.Spatial and Infrastructure Planning combined.

viii.Integrated Planning

ix. Implementation of Regional Plans: use of tools.

x. Leadership and Citizen/Stakeholder Dialogue

Turin metropolitan strategic plan

City centre strategy Strategic themes of strategy Specific initiatives Strategy management

Phase 1

(1993-1997)

Urban renewal – rejuvenation of the city‟s

public realm and accommodation with a

focus on the city centre area and adjacent

areas.

Special Communication Project, „Luci

d'Artista‟, Film Commission Torino

Piemonte, Invest in Turin and

Piedmont Agency, 1st Strategic Plan,

Torino Convention Bureau, Atrium

project, Winter Olympics.

City of Turin, Piedmont Region,

Torino Internazionale (Agency for

Strategic Plan)

Phase 2

(1998-2007)

Internationalising the city and consolidating

and projecting the city‟s new image and

identity to the world. A focus on the city

centre but not specific to it.

Hosting of culturally significant

events such as: Torino World Design

Capital and XXIII World Congress of

Architecture (2008); Euroscience

Open Forum (2010); Italia 150 (2011,

celebrations of the Unification of

Italy 150th anniversary)

City of Turin, Piedmont Region,

Torino Internazionale (Agency for

Strategic Plan), former Banking

Foundations, University system,

Italia 150 (committee for the

organization of the 2011

celebrations). The Urban Centre

Metropolitano.

Phase 3

(2008-2011) Turin as a „knowledge hub‟

Special Communication Project, „Luci

d'Artista‟, Film Commission Torino

Piemonte, Invest in Turin and

Piedmont Agency, 1st Strategic Plan,

Torino Convention Bureau, Atrium

project, Winter Olympics.

City of Turin, Piedmont Region,

Torino Internazionale (Agency for

Strategic Plan)

Development Banks and

Financial Institutions i. Many regional development imperatives are neither wholly market

fundable, nor justifying permanent subsidy.

ii. They can be seen as ‘niches’ where the use of mixed public/private,

cash/equity, short-term/long- term financing is involved.

iii. To make this work ‘capable intermediaries’ are needed, special purpose

financial institutions.

iv. Development Banks can build these niches, utilise their balance sheet to

manage risks and spread innovation, and leverage external investment.

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Building a regional development financial system.

i. National Development Bank.

ii. Evolution of local and regional development finance system to be

a key focus.

iii. Inter-ministerial co-ordination: national and at regional level.

iv. EU Structural Fund programme simplification.

v. Regional level finance, budgets, and programming.

vi. PPPs and Project Bonds

vii. Municipal finance.

viii. Inter-municipal collaboration

ix. Bankers co-ordination

x. Finance skills

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Development Corporation Typologies

Typology

Urban

Development and

Revitalisation

Agencies

Productivity

and Economic

Growth

Agencies

Integrated

Economic

Agencies

Internationalisat

-ion Agencies

Visioning and

Partnership

Agencies

Purpose “Place drivers”

“Employment

and productivity

drivers”

“Place and

productivity

leaders”

“Place and

productivity

promoters”

“Place -shapers

and visioners”

Example

Agency

Bizkaya: Regional Development System

what are brands?

€3.50 €2.20

Brands are simply stories that drive demand

what are brands?

They signpost what makes you different

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Building a „Great Regional Experience‟

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“Great Place”

“Enjoyable and

Memorable

Experience”

“Pleasant

Experience”

“Poor

Experience”