Land Management Overview: Key Issues and Instruments in a Transitioning Economy
This article provides an overview of the key issues and instruments involved in land management as an economy transitions from a state-dominated socialist system to a market-based one. The
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Slide1Land Management Overview - Key issues and instruments Land Management Overview - Key issues and instruments Introduction & Contents: 1. Shift from State dominated socialist economy to market based economy 2. Land management requirements 3. Decentralisation and increasing role of local authorities 4. Relationships between land management and urban spatial planning 5. Conclusions & Recommendations
Slide2Shift from State dominated socialist economy to market based economy Shift from State dominated socialist economy to market based economy • The current mechanisms for urban spatial planning and management under MOC have little relevance to the control of private development in market economic conditions. The problems faced by urban planners in Vietnam’s cities today are a direct result of the continued application of these mechanisms that are only relevant to the former centralised economic system.
Slide3Shift from State dominated socialist economy to market based economy Shift from State dominated socialist economy to market based economy In the socialist economy urban planning is not seen as a means of addressing urban social or physical issues or problems but rather is the process of spatial allocation of state resources to meet the specified targets. The problem is that urban planners in Vietnam have little appreciation or experience of the dynamic nature of (non- socialist) cities, where redevelopment and renewal are functions of the market economy brought about by mostly private investment.
Slide4Shift from State dominated socialist economy to market based economy Shift from State dominated socialist economy to market based economy There is little or no consideration of the appropriateness of the development in terms of its visual, social, economic or locational characteristics, as there is no process or mechanism for the granting of development permission where these characteristics of the proposal would be evaluated. All “planning” is viewed as a process of implementing the planned investment of state resources, and not as a means of controlling private development/investment for the public interest, as this is a function of the market economy, which previously was non-existent and is now not fully understood.
Slide5Shift from State dominated socialist economy to market based economy Shift from State dominated socialist economy to market based economy For example the consequences for the public interest of the accumulative effect of many private decisions to develop small projects are not recognised and appreciated. This is because there is no process or mechanism to evaluate the consequences or impact of any form of urban redevelopment as this is not a characteristic of the city in the socialist economy. As a consequence, there is little or no strategic planning basis to the preparation of urban spatial plans.
Slide6Shift from State dominated socialist economy to market based economy Shift from State dominated socialist economy to market based economy Conclusions : The current mechanism for the formulation of urban spatial plans produces plans that are inflexible and have little relevance to the control of development, particularly development by the non-government sector. The shift to a market economy requires a new urban development management model that does more than provide a simple spatial allocation of development. It is now also required to consider the strategic implications of the spatial allocation to ensure the efficient, effective and sustainable management of resources.
Slide7Shift from State dominated socialist economy to market based economy Shift from State dominated socialist economy to market based economy Issues to be addressed: Are the Spatial Plans produced under MOC effective? Is there an alternative approach that will achieve more effective outcomes? Is MOC addressing these issues as part of an on-going administrative reform process?
Slide8Land Management Considerations Land Management Considerations For a comparison, look at the ‘SEMLA’ Project under MoNRE: The “Vietnam – Sweden Cooperation Programme on Strengthening Environmental Management and Land Administration in Vietnam” (“SEMLA”) is a five-year bilateral cooperation programme (2004-2009) assigned to the Ministry of Natural Resources and Environment (MoNRE), and officially launched in November 2004. (Refer to webpage: www.semla.org.vn )
Slide9Land Management Considerations Land Management Considerations The goal of the SEMLA programme is to develop an effective and efficient system of environmental and natural resource management that contributes to satisfying the country’s sustainable development needs, economic growth associated with poverty alleviation, natural disaster control, environmental protection and various social issues, tuning the management systems with the public administrative reform, establishing and administration system close to the people, encouraging the people to monitor the implementation of legislation and contribute to decision making process.
Slide10Land Management Considerations Land Management Considerations The national component is aimed at building and strengthening Institutional, Policy, and Operational Capacities; Capacity Building and Public Awareness Raising. The Provincial Component in the Inception Phase is implemented in the three provinces of Ha Giang, Nghe An and Bai Rai – Vung Tau, focussing on Pollution Prevention, Control and Rehabilitation; Chemical Safety, Environmental Impact Assessment and Strategic Environmental Assessment Systems; Environmental and Land Information System; Land Registration and Real Estate Market Development; Provincial Capacity Building and Public Awareness Raising
Slide11Land Management Considerations Land Management Considerations The Draft Final Report on the Land Use Planning Action Plan (September 2006) proposes a framework for reform of land-use planning processes in the following terms: “DEFINING THE WAY FORWARD – A FRAMEWORK FOR REFORM” 1. An Inter-Ministerial committee on Planning 2. Clear policy objectives for LUP 3. Enhanced Institutional Arrangements
Slide12Land Management Considerations Land Management Considerations 4. A revised and integrated Land Use Planning approach, incorporating environmental and social aspects Redefine the Land Use Planning Process Integrate Environmental Considerations into LUP Process Link to Environmental and Land Information System 5. Integration of LUP with sector development plans and the SEDP
Slide13Land Management Considerations Land Management Considerations 6. An improved budgetary management approach 7. Enhanced public and stakeholder consultation process 8. Capacity building and Awareness raising programs 9. Alignment of the land allocation process with the LU Planning framework 10. Separation of the land use classification from the LURC
Slide14Land Management Considerations Land Management Considerations The SEMLA project appears to be undertaking a comprehensive review of the overall operation of a land use planning in Vietnam in an endeavor to formulate an efficient and effective system that best serves the interests of the stakeholders and the community. It is certainly a most appropriate starting point I am unaware of any programme in MOC that has any similarity to the SEMLA programme being undertaken by MoNRE, that has a focus on “Defining The Way Forward – A Framework For Reform”.
Slide15Land Management Considerations Land Management Considerations The best system for Vietnam is one that coordinates and integrates the spatial planning responsibilities of MOC with the land use management responsibilities of MoNRE An example of this current focus on the narrow requirements of a single ministry is the separation of the House registration (under the MoC) from the land registration (under MoNRE). Vietnam is now creating two separate registration systems and causing considerable confusion in respect to development rights in the real estate market.
Slide16Decentralisation and increasing role of local authorities Decentralisation and increasing role of local authorities The primary problem is that the Vietnam government administration system creates a distinction between “use” and “development” of land. Most development planning systems in a market orientated economy combine the activities; that is, in the process of evaluation of an investment project the consideration of use and development is a single integrated process.
Slide17Decentralisation and increasing role of local authorities Decentralisation and increasing role of local authorities This distinction or separation of responsibilities between MPI, MOC, and MoNRE is far less dominant at the local authority level; that is, the level immediately below the provincial government level . At this level of government there is a far greater capacity to evaluate an investment proposal on its merits and in a coordinated and integrated way. For a particular investment proposal the benefits and dis- benefits can be evaluated in terms of socio-economic impacts, spatial planning implications, land use compatibility and environmental implications .
Slide18Decentralisation and increasing role of local authorities Decentralisation and increasing role of local authorities It is at this local authority level where a far greater emphasis needs to be placed in formulating development management processes that are relevant to the needs of Vietnam’s cities and towns in the 21st Century. This is of course entirely consistent with the directives of the Party and the Government for an increase in the role and responsibilities of local authorities through the decentralisation of administrative functions. A separate Ministry that has sole responsibility for the efficient and effective administration of local authorities.
Slide19Decentralisation and increasing role of local authorities Decentralisation and increasing role of local authorities There have been many studies undertaken in Vietnam in recent years which proposed new and innovative systems for development management which were formulated for operation at the local authority level: – The Hanoi Planning and Development Control Project. – Strengthening Urban Management Capacity in Ho Chi Minh City: Project VIE/95/051, funded by UNDP in 1997 and 1998. – Strengthening Capacity for Urban Planning and Management for Hanoi City, Project VIE/95/050, funded by UNDP in 1997 and 1998 – Environmental issues in Investment Planning: The second phase of a UNDP Capacity 21 project (VIE/97/007) October 1999 - 2002.
Slide20Relationships between land management and urban spatial planning Relationships between land management and urban spatial planning The core issue is reinforcing the relationship between land management and urban spatial planning What is required as a first step is a reformed urban design process for Vietnam that emphasises the integration of land-use and urban spatial planning into a comprehensive and coordinated system that can be operated and implemented by ‘local authorities’ (specifically at the level of administration below provincial governments).
Slide21Relationships between land management and urban spatial planning Relationships between land management and urban spatial planning In my opinion this reformed urban design process needs to incorporate five components: 1. An Urban Development Strategy (i.e. Master Plan) 2. Public Works Project Schedule (for public investment projects) 3. Urban Management Controls (for private investment projects) 4. A Manual on ‘How to Operate the System’ 5. A Manual on ‘How to Formulate the System’
Slide22Relationships between land management and urban spatial planning Relationships between land management and urban spatial planning
Slide23Quang Ninh Pilot Project Quang Ninh Pilot Project Focused on the process of assessment of development planning and investment proposals in an established urban area (Hong Gai town), with the primary aim to reform the existing process by the formulation of the procedures, policies and standards required to ensure that land use and environmental protection issues are considered in all decisions associated with development planning and investment in urban areas. These procedures, policies and standards were accompanied by “ support tools ” suitable for application in similar urban areas and localities throughout Vietnam. These support tools were designed to assist the decision makers in the local authorities (Cities and Towns) in the operation and administration of the relevant procedures, policies and standards.
Slide24Quang Ninh Pilot Project Quang Ninh Pilot Project The primary Outputs of the Quang Ninh Pilot Project were: Procedures, policies and standards: – An Urban Management Strategy – Urban Management Controls Support Tools: – A ‘User Guide’ – A ‘How to Prepare’ Manual
Slide25Quang Ninh Pilot Project Quang Ninh Pilot Project AIMS: To identify barriers to environmental management in the existing Investment Planning process To use ‘urban development’ in the Ha Long Bay World Heritage Area as a case study To identify ways of improving the Investment Planning process in relation to environmental management and urban development
Slide26Quang Ninh Pilot Project Quang Ninh Pilot Project Why is Reform Needed? Public investment will become less responsible for ‘change’ in urban areas Private investment will become more responsible for ‘change’ in urban areas Existing Investment Planning process manages public investment well. But does not manage private investment well . Urban development has the potential to cause major environmental impacts
Slide27Quang Ninh Pilot Project Quang Ninh Pilot Project Environmental Impacts of Unplanned Urban Development 1. Destruction of natural habitat and loss of eco-diversity within the Ha Long Bay World Heritage Area 2. Lose of natural scenery 3. Loss of history, culture and character of Ha Long Cit 4. Air pollution, water pollution and contamination of land 5. Traffic congestion, inconvenience and higher travel costs to residents and businesses 6. Poor and unhealthy standard of living for residents 7. Economic cost due to loss of tourism 8. Environmental degradation and high reclamation costs
Slide28Ha Long Central Area Urban Environment Plan Ha Long Central Area Urban Environment Plan Part 1 – Urban Management Strategy Part 2 – Urban Management Controls Part 3 – User Guide Part 4 – How to Prepare Manual
Slide29Hon Gai Study Area Hon Gai Study Area Three major changes: 1. Bai Chay Bridge 2. Coal Stores 1 and 2 3. Relocation of the Sports Ground and Soldiers Memorial Legend Project No. 1 Project No. 2 Project No. 3 Boundary of Study Area Ha Long City Central Area Urban Environment Strategy Major Projects 5
Slide30Part 1 - Strategy Plan - Vision Part 1 - Strategy Plan - Vision New development to be low to medium rise to respect World Heritage Environment Transform the centre of Hon Gai into a beautiful and attractive place Strengthen role as Administrative, Commercial and Tourist Centre of Quang Ninh Establish “Old Town Waterfront” as tourist destination Old coal stores used for a modern shopping centre, offices, residential apartments and private housing Urban design projects throughout the town centre Improve collection of sewerage, drainage and garbage
Slide31Part 2 - Controls to Manage New Development Part 2 - Controls to Manage New Development All development must comply with the requirements of the Controls – public and private Compliance assessed during assessment of an application for Investment Licence or Construction Licence Licence will not be issued if doesn’t comply
Slide32Types of Controls Types of Controls Height and form of buildings Use of land Requirement for open space when subdividing land Developer must provide adequate sewerage / drainage at time of construction Must provide adequate parking Cannot demolish historic buildings
Slide33ha long city central area urban environment strategyControl Areas 18 Mixed Commercial / Residential New Residential Area Existing Residential Area Special Waterfront – West Side Old Town Waterfront Stone Falling Area Central Shopping and Commercial Conservation Area
Slide34Central Shopping and Commercial Area: Central Shopping and Commercial Area: Description : Location for the development of a modern commercial and business centre for Quang Ninh Province and Ha Long City. Activities To Be Encouraged : Shopping complexes, supermarket, department store, commercial office buildings, business hotels, commercial cinema complex, trade exhibition centre, car and motorcycle parking, public transport facilities. Activities To Be Discouraged : Residential (houses and apartments), schools, market. Built Form : Medium-rise buildings to a maximum of 6 floors; podiums for the first 2 floors with setbacks above, provision for future pedestrian links at first floor level. Provision for goods delivery areas, provision of car-parking but preferable not at ground level in the middle of this area.
Slide35Special Waterfront Area – ‘Old Town’ Special Waterfront Area – ‘Old Town’ Description : Action plan area to ensure high quality environment. Activities To Be Encouraged : Housing, market and market related, small-scale retail, restaurants and cafes, entertainment activities, tourism activities, integrated ferry and bus terminal, car parking and green spaces. Activities To Be Discouraged : Commercial office buildings, large scale retail. Built Form : Maximum of 3 floors
Slide36Part 3 – User Guide Part 3 – User Guide Two Main Uses of Urban Environment Plan 1. Assessing development proposals 2. Providing coordinated local input into investment planning process
Slide37Assessing Development Proposals Assessing Development Proposals Provides Guidelines for: Applicants Government Departments when an Investment Licence is required Government Departments when a Construction Licence is required
Slide38ChecklistChecklist Each Control includes a checklist against which applications are assessed for compliance
Slide39Local input into Socio-economic & Spatial Planning Process Local input into Socio-economic & Spatial Planning Process
Slide40Integration into Existing Planning Process Integration into Existing Planning Process
Slide41Part 4 – ‘How to Prepare’ Manual Part 4 – ‘How to Prepare’ Manual Explains how to prepare an Urban Environment Plan Will be used by the People’s Committee and Functional Departments to prepare and to update plans Will emphasis the need for co-ordination between departments Will explain the importance of community consultation in the process Is replicable and can be used in other Provinces
Slide42ChallengesChallenges Controlling private development Enforcement - stopping illegal development Adoption by the People’s Committee Institutionalising the Plan into the existing system Allocating sufficient funds to manage private development (the need for recurrent expenditure on staff etc) Integrate public works spending and private development Gaining Public acceptance Training and Capacity Building in the Local Authorities
Slide43Conclusions and Recommendations Conclusions and Recommendations The shape and character of urban areas in Vietnam is changing rapidly, resulting in both benefits and disbenefits to the state and to the community. The current spatial planning mechanisms are seen as being increasingly irrelevant in addressing the problems in urban areas brought about by the shift to the market economy. The major changes to the shape and character of urban areas are primarily the direct result of private investment in construction activities, both medium and large scale commercial redevelopment projects, and the cumulative effect of many small scale projects.
Slide44Conclusions and Recommendations Conclusions and Recommendations In formulating a reform process for development management which integrates and coordinates spatial planning and land management, the key concepts that need to be explored are those which determine the changes to the shape and character of the city together with the mechanisms that are required to manage those changes for the public benefit. In the market economic model these key concepts are: 1. Urban planning operates at the local authority level within a policy framework determined by the State or within the context of a regional plan approved by the State.
Slide45Conclusions and Recommendations Conclusions and Recommendations 2. Urban management and development control is a single system with a number of integrated and inter- dependent components. No one component can be operated effectively in isolation from the other components of the system. 3. Private sector investment is determined by the desire to obtain an appropriate capital return on the investment. 4. The vast majority of developments/investments in urban areas are funded from private (non-state) sources and therefore the state has no involvement in the investment decision.
Slide46Conclusions and Recommendations Conclusions and Recommendations 5. The issue of Planning Permit is the key decision by the planning authority to allow the implementation of a development project by both the public (state funded) sector and the private sector 6. A Planning Scheme provides the framework for the assessment by the planning authority of all proposed development projects. 7. A Planning Scheme is the mechanism for ensuring that all government policies that may affect the suitability of the proposed development for the proposed location are considered during the approval process 8. A Strategic Plan provides the policy framework for the preparation and operation of planning schemes.
Slide47Conclusions and Recommendations Conclusions and Recommendations The current mechanisms for urban management and development control currently operating in Vietnam, and the planning management systems that operate in a fully developed market economy are totally different, as they have evolved to serve a very different purpose. The current mechanisms in-toto have little or no relevance to the management of private development in market economic conditions, and the problems faced by urban planners in Vietnam’s cities today are a direct result of the continued application of these mechanisms that are only relevant to the former centralised economic system.
Slide48Conclusions and Recommendations Conclusions and Recommendations A paradigm shift is required that recognises the need for the introduction of an integrated land-use and development control system for Vietnam that provides for the efficient and effective control of all non-government development and investment, in addition to the current mechanisms for the management of state sponsored development and investment. This need is particularly evident in regard to the MOC and their responsibilities for spatial planning. I see no evidence that MOC is pursuing a reform agenda in regard to the management and administrative mechanisms necessary for the preparation of spatial plans that are relevant to development under market economic conditions, or for the evaluation of the physical planning aspects of investment proposals.
Slide49Thank you Thank you