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Urban Development

Cities Around the World Want to Be Resilient and Sustainable. But What Does This Mean?

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Cities around the world, large and small, face common challenges, especially due to rapid urbanization and climate change. According to United Nations (UN) estimates, four billion people – more than half of the world’s population – live in urban areas today. By 2050, over two-thirds of the global population will be urban, challenging cities to meet accelerating demand for affordable housing, well-connected transport systems and other infrastructure and services, as well as jobs.

In addition, rising global temperatures increase the risks of rising water levels, landslides, droughts, hurricanes, and other disasters. Without urgent action, these climate impacts could push an additional 100 million people into poverty by 2030, according to the World Bank. 

The good news is that, armed with knowledge and creativity, urban centers are finding ways to tackle new and old problems alike, with fewer losses and greater recovery capacity – in other words, creating “resilience”.

The Catalyzing Sustainable Urban Futures global conference held recently in São Paulo, Brazil, which was co-hosted by the São Paulo City Hall, the Sustainable Cities Program, and the World Bank’s Global Platform for Sustainable Cities (GPSC), with the support of the Global Environment Facility (GEF), looked closely at this topic of “resilience”.

Representatives from four continents examined three global issues, with sustainability and resilience as an ever-present backdrop. The first was climate change, a concern that mayors can no longer afford to sidestep. According to the World Bank, cities consume about 2/3 of the world’s energy and account for over 70% of global greenhouse gas emissions.

The second issue was the need for more green spaces – think about public parks with trees, birds, bees, and other species. Today, around one million animal and plant species are threatened with extinction, eroding the foundation of our shared livelihood, society’s ability for adaptation, and nature’s capacity to store carbon. Green spaces do not only help cities mitigate and adapt to climate change, but also serve as important places for human-wildlife coexistence – and a home for conserving urban biodiversity.

Third, there was a constant discussion about solid waste management. Without it, rivers will overflow and the air will be polluted by harmful substances, among other problems. With it, millions of people, including those in the recycling industry, will be presented with new opportunities.

Mitigating and adapting to climate change

Today, 90% of urban expansion takes place in developing countries, and much of it occurs near natural hazards, rivers, and coastal regions, in the form of informal and unplanned settlements. A lack of infrastructure and proper land use plans exacerbates the risks facing residents, especially in view of climate change. Thus, several cities are now devising their own mitigation and adaptation plans. São Paulo, for example, is set to launch its plan in June 2020.

Another Brazilian city, Recife, already has a plan in place, in preparation for the city’s 500th anniversary celebration in 2037. One-third of the local population lives in hill areas susceptible to disasters; another third of the population resides at sea level, which means that flooding is a threat.

“With the participation of civil society and the general population, we have compiled a strategic plan based on a set of urban and environmental plans containing a series of initiatives to mitigate [disaster risks], increase resilience, and adapt to the consequences of the climate crisis,” stated Mayor Geraldo Júlio at the conference.

Plans in developed countries are even more ambitious. Paris, France, has pledged to become a carbon-neutral city by 2050, enacting 500 measures in various industries, such as construction, transport, energy, and food. These measures include goals such as using only green energy (biomass, wind, and solar), banning diesel cars by 2024, and eliminating all cars running on petrol fuels by 2030.

Less asphalt, more forests and parks

“With fewer cars on the street, we will not need as many parking lots or as much asphalt,” said the Deputy Mayor of Paris, Pénélope Komitès. “We can, for example, use garage buildings to plant urban forests that help regulate the temperature.”

Just like Paris, the expansion of green spaces is becoming a trend, from China to Paraguay. These spaces capture carbon and improve air quality, among other benefits. Such changes are most welcome in Chinese cities like Ningbo, which has over 40 square kilometers of protected areas despite its population of 8 million people.

In Latin America, the city of Asunción, Paraguay, is planning to build a green urban corridor – at least 35,000 hectares in size – to take better care of its biodiversity, especially birds. The project is in the preliminary phase.

Parks also help reduce heat, a much-needed improvement in a city like Caruaru in the Brazilian state of Pernambuco, where a linear park (i.e., longer than it is wide) will be built with a bike path connecting 14 neighborhoods, with the potential to benefit 140,000 people.

Together, these measures create opportunities for cities to deliver growth that is green, low carbon and competitive – and to build societies that are resilient, inclusive, and livable.

Waste remains rather unsustainable

According to the World Bank report What a Waste 2.0: A Global Snapshot of Solid Waste Management to 2050, in 30 years the global rate of waste production will be double the growth rate of the population. “Cities and countries are developing rapidly, but without suitable systems to cope with changes in the waste disposed of by citizens,” the study highlights.

Against this trend, São Paulo is gradually enacting initiatives and setting goals to alleviate the problem. For example, this year the local government joined the New Plastics Economy Global Commitment to ensure that 100 percent of plastic packaging can be recycled or reused by 2025.

In addition, there is an initiative in place in São Paulo to increase composting yards. Currently, there are five composting yards that receive waste from public markets with a capacity of up to 10 tons / day. By the end of 2020, the local government has promised a total of 17 composting yards to treat 100 percent of the waste from the more than 800 open markets held each week in the state capital.

Composting yards, waste disposal eco-points (available in São Paulo and Caruaru), or simply improved urban sanitation systems (as in the more precarious neighborhoods of Abidjan, Côte d’Ivoire) are among the various solutions that can be adopted by cities around the world to boost sustainability and resilience. Granted, these ideas are not always easy to implement and can be rather expensive. However, according to the What a Waste 2.0 report, the cost of inertia tends to be much higher for both the environment and the poor.

World Bank

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Urban Development

Improve Quality of Life, Economic Opportunities in Cities to Build Sustainable Future

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Improving quality of life, and social and economic opportunities in Asia’s fast-growing cities are instrumental in fulfilling their potential as engines of economic prosperity and hubs for sustainability, says Creating Livable Asian Cities, a new book released today by the Asian Development Bank (ADB).

The publication examines the region’s urbanization challenges and presents solutions across five priority areas: smart and inclusive urban planning; sustainable transport that provides equitable access to services and opportunities; sustainable energy sources that are less polluting; innovative finance to bridge resource gaps; and greater climate and disaster resilience.

“Urbanization has driven regional productivity growth, but opportunities in cities have not been available to all residents and are further limited by the COVID-19 pandemic,” said ADB Vice-President for Knowledge Management and Sustainable Development Bambang Susantono, who co-edited the publication. “Cities in Asia and the Pacific are among the largest and most vibrant in the world, with many experiences and best practices to share. This publication collects these lessons and aims to guide cities to learn from common challenges and opportunities.”

Developing Asia is home to 17 of the 33 megacities with more than 10 million residents. More than half of the region’s 4 billion population lived in urban areas in 2019 and a billion more are expected to migrate to cities in the next 30 years. By 2050, the region’s urbanization rate could reach 64%. 

To plan for livable and sustainable cities that are people-centered and accessible, the report highlights the need for governments to employ smart and inclusive planning. This includes policies that promote the use of technology, data, and innovation to make urban services—mobility, social infrastructure, resilience management, and utilities, among others—more effective and efficient. For instance, using earth observation technology can help mitigate flood risks and better inform infrastructure projects.

Governments should also focus on sustainable transport and energy as these have a direct impact on people’s productivity, the vibrance of a city’s economic activity, and the environment’s sustainability. Increased mobility will help realize urban economic potential and increase inclusion. Sustainable transport solutions, for example, could include using electric vehicles in public transport systems. Sustainable energy options include household and community-level solar grids, which benefit as the price and availability of solar photovoltaic cells become cheaper and more widespread. Other options include waste-to-energy systems that can lead to improved urban sustainability.

Expanded access to finance will be instrumental in helping cities achieve targets outlined in the Sustainable Development Goals (SDGs). Cities will account for about 70% of the $1.7 trillion in annual investment developing countries need to meet the SDGs. The publication lays out innovative financing models such as new forms of private sector partnerships, capital market instruments and bonds for housing finance, and strengthening institutional frameworks and the capacity to apply value-capture mechanisms.

Lastly, the report highlights the need to improve the resilience of cities, particularly in response to climate change, natural disasters, and public health emergencies like the COVID-19 pandemic. Tools that can help build a city’s resilience include nature-based solutions, financial tools drawn from the insurance industry, and a range of operational approaches drawn from the lessons being learned while cities are responding to the pandemic.

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Urban Development

Suraj Morajkar – A celebrity home builder in Goa

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Suraj Morajkar has worked with almost all celebrities who have homes in Goa. He has also worked on key projects in Goa like The Hilton Goa Resort. His journey in real estate has been a spectacular one which leaves many people inspired to create more while giving back to society.

How did your journey in real estate start? Tell us more about your experience in this field till now. 

As a young boy from Goa I was always surrounded by beautiful architecture. That image has stayed with me all along. I have always wanted to create homes that would retain its posterity and the inspiration from Goan architecture which is a blend of Europe and it took us in that direction.

Tell us more about the role that international collaborations play in the real estate industry?

Our company was born with acumen for International standards. At first, we worked with local and national architects gradually moving to associate and engage with international architects who brought a different understanding and view for what we desired to create and build. We found tremendous change between what was getting acquired and the development done by the rest of the developers. Right from the beginning, since our brand took progressive involvements and engagements we were aligned towards international standards of design which aesthetically suit the local atmosphere. Also, such projects attract the right audience, enabling us to convert them to great addresses in Goa. We have collaborated with some very talented architects national and international. David Ruff of Nava Companies from New York. Blink Design group from Singapore, Robert Patzschke of Germany, Burega Farnell of Singapore, Lars Thomsen of Denmark, Edgar Demello of EDA Bangalore, Arvind D’Souza of ADA Goa.

Having built both commercial and residential real estate in Goa, which one do you like building more and why?

Both have their own charm. The commercial real estate we build is in conservative zone where there is a challenge in building commercial premises based on the old charm, which excites us more. We like the challenge of it and it gives us a lot of intellectual recognition. Residential housing gives us a chance to bring in a new flavour and add beauty to the local landscape.

What are some laws which help the real estate industry in India?

I could say that what helped us in my state of Goa is where the laws are local friendly to keep the village atmosphere whilst building something modern yet maintaining the locality of the place. The laws here are not of a city mentality.

Are there any specific policies in India which aid the real estate sector and contribute to its growth?

Policies like RERA aid in easing down the funding for the real estate sector through NBFC (Non Banking Financial Companies). RERA has helped to retain buyer’s confidence and also helped progress motion and drive in the real estate sector.

What do you wish was different about the real estate market in India?

I’m a local of Goa. My market is very different as compared to the other since the Indian real estate market is specific to the regions you belong to. 

For instance, we in Goa are not city specific per se. However, a metro city always has an expansion because of the population and desire of a middle class family to move to a larger home apartment or villa. Also, with the pandemic happening, people want to move to open spaces.

I think there should be the ease of funding and India should bring in foreign investment for the real estate sector which is their own banking institution and we should have access to the capital. Real estate should also have its own cooperative.

Since foreign investment is important, the government should have a policy that foreign investors can directly give money to builders as it is cheaper due to interest rates.

Out of other destinations in India, why did you choose Goa as the location for your real estate? 

Goa is home. It is obvious I chose Goa to create beautiful homes. 

What is different about the real estate market in Goa compared to other places in India?

Goa is a place where everyone comes to unwind; for peace of mind, for holiday homes, for tranquility and for some a wish to retire. Goa is an International tourist destination which gives you a blend of greenery of village life and beach getaway. This is the big difference and makes Goa global in terms of living standards.

Where do you see real estate in Goa going in the next 10 years? What policies do you think will be different about real estate in the country? 

I think since there is a great connectivity to Goa, it will be another Mecca of holiday homes, retirement options and settling down in India. The culture of Goa is here to stay as the people of Goa really care about their local aesthetics and environment.

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Urban Development

Preparing (Mega)Cities for the 2020s: An Innovative Image and Investment Diplomacy

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WAN

Globalized megacities will definitely dominate the future, in the same way as colonial empires dominated the 19th century and nation-states the 20th. A new geography of power is emerging, made up of global city networks. All in all, the attractiveness of cities is based on the hope of higher purchasing power through greater opportunities, for a better quality of life. Megacities have the potential to effectively fight against poverty and enhance living conditions for a large proportion of the population – if they are managed correctly and make the most of their advantages. Nonetheless, there is a drastic need for new urban models to tackle the associated social, economic, and environmental pressures in a sustainable way.

Cities are the new engines of growth in the global economy, responsible for 80% of global GDP. It is no longer just countries that compete, but cities as well. Like there is great power competition, so will the world’s great cities increasingly compete. Every city will have to gain a competitive edge to differentiate itself from the rest. Flexible and agile cities that can diversify their resources and offer economic, social, and cultural opportunities to their citizens will not only survive but thrive. The cities that are best equipped to produce innovative, inclusive, and ethical solutions in the face of multiplying risks and threats will emerge as leaders. A clear picture emerges: cities will compete and collaborate globally as interdependent entities and will drive the future.

Speaking about megacities, let’s look for example at Mumbai, which is the financial capital of India and the second-most populated city in the world. It is not only the subcontinent’s city with the highest GDP but also ranks among the world’s top ten trade centers. The city contributes 25% of industrial output and 70% of capital transactions to India’s economy. Important financial organizations such as the Reserve Bank of India and the National Stock Exchange of India are in Mumbai. It houses the headquarters of various multinational companies and has thus become an influential commercial and entertainment center of India. It would be foolish to ignore such cities in tomorrow’s global economy.

City diplomacy could be considered a form of decentralization of international relations management, choosing cities as the key actors. In many cases, the representatives of cities involved in city diplomacy will be the mayors, given that they are often responsible for the international relations of their communities. On behalf of their cities, these key actors can engage in relations with other actors on the international stage through two-sided or multiple-sided interactions. There is a lot of room for city diplomacy to grow. It can be driven by image or investment interests, development and strategic communications complete each other.

A city relationship is formally created when the mayors or highest elected or designated leaders from two communities sign a memorandum of understanding establishing the partnership. Nevertheless, this is usually the result of a long process that involves the local city organizations along with the municipalities and other local institutions. It takes a lot of work to get to this stage, so, as in many other cases, sustained effort and clear vision pay off. So, time to shape up the in house mayoral or county staff and consolidate a stellar local talent team of global reach.

Competition matters but so does cooperation. Collaborating with neighboring or nearby cities enables cities to plan and implement actions to address emissions from energy infrastructure, public transport, food systems, waste management, and other services that often operate across municipal borders and to address cross-border climate risks. It also helps cities overcome regional or national climate-policy barriers, share the cost of staff and equipment, and secure better access to data, funding, and technical assistance – all of which can motivate other cities in the area to participate as well.

Image and Investment demand a third I in the 2020s: Innovation. The fastest way to connect cities and counties is using technology. The technological progress of recent decades has had not only a powerful but also a transformative influence on urban life. As technology progresses and becomes more affordable, the functionality and sustainability of urban practices undergo significant advancements as well. At the same time, increased access to information consolidates the role of knowledge as a powerful engine of economic growth. This enables the development of knowledge-based and connected societies. Under these continuously evolving conditions, many concepts about the organization and management of the new technological capabilities have become popular, including the smart city.

To establish an approach for the ideal future of an urban settlement that harnesses technology should be part of the integrated processes that connect cities at a regional level. In the best-case scenario, a city that aspires to become „smart‟ has an integrated, forward-looking plan that includes a vision and a methodology focused on benefiting from digital technologies to improve urban functions and develop knowledge ecosystems. Like any strategy, the plans for smart cities must be adapted to the needs, priorities, and constraints of their circumstances.

Funding for smart city projects is still carved out of overall city or department budgets, either through existing spending (e.g., IT, lighting contracts) or designated ‘smart city’ spending, which is typically relatively small. It is therefore difficult to identify the exact amount local authorities allocate to such projects. Even though a lot of the investment for smart city projects comes from the general city budget, cities have found it most beneficial to have earmarked funds for innovation initiatives. At the moment, what is clear is that the funding and budgeting has to match the ambitions of big cities and transform the smart city objective into reality.

National governments are also encouraging cities to increase funding by boosting the participation of the private sector in delivering smart city projects. Businesses’ experience with participating in the delivery of smart city projects has been dominated by pilot projects often utilizing public sector grant funding. There is room for much more. Local authorities need to make more strides towards scaling pilot projects and procuring large-scale solutions. The city must be able to articulate clearly the challenges it faces and develop a more open way for the market to respond. The sky is the limit, if the game is played well. An innovative image and investment diplomacy operation is an important way forward.

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