Paths to success for a ‘city region’

Posted On Saturday, 02 September 2006 02:00 Published by
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INCREASED globalisation has highlighted the way in which cities and regions, rather than countries, compete with each other to attract job-creating ventures.


Jack Bloom

INCREASED globalisation has highlighted the way in which cities and regions, rather than countries, compete with each other to attract job-creating ventures. The “Gauteng global city region” could invigorate our province’s feeble planning and, if it is done correctly, allow us to take off as a destination for investment. Gauteng premier Mbhazima Shilowa has promoted the concept of a globally competitive city region that will encompass the three metro councils and other local authorities in Gauteng. The overseas model that most closely approximates our situation of a multiple-centre city region is Randstad, in the Netherlands. This has four major city councils (Amsterdam, Rotterdam, The Hague and Utrecht) and 203 smaller municipalities. Despite this complexity, they co-operate on a joint vision and strategy that involves business partners.

Successful city regions have a high degree of decentralisation, with strong independent representation at lower levels to deepen democracy and focus on service delivery. We need “joined-up government” rather than “big government”. It is important to think beyond municipal boundaries, because where people choose to live, work, play or trade is a flow that ignores arbitrary municipal demarcations.

The role of the province should be that of facilitator and co-ordinator of the new city region. Current communication channels between local authorities in Gauteng are tenuous, which is undesirable when we think of joint infrastructure requirements, particularly roads and public transport.

Gauteng has an annual traffic growth rate of 7%. Road congestion is becoming a serious constraint on our economic growth, as is the deteriorating metro rail system. I doubt that the Gautrain would have emerged as a transport priority in our city region if this had been a bottom-up, rather than a top-down, process.

Municipalities should keep their autonomy but work more closely on issues of common interest. There should be no threat of increased centralisation that would take power further away from the people. Rather, certain provincial functions could be devolved to local government.

But, of great concern are the many unfilled posts in senior professional and technical positions in local government. Ekurhuleni has the highest vacancy rate at almost 50%, followed by Tshwane at 30% and Johannesburg at 20%. This is not a recipe for world-class status. It means that we could slip as easily as rise.

We must get the basics right. This means efficient administration, a reliable electricity supply, good road and rail connections, public transport, quality education and health care. If this needs rehiring skills lost because of badly implemented affirmative action, then that is what must be done.

The single biggest threat to everything that we want to achieve in our city region is crime. If it is not dramatically reduced, it will ruin everything, including the 2010

Soccer World Cup. There are about 650000 serious crimes reported every year in Gauteng. This means that every five years, one in three residents becomes a crime victim. It is one of the highest crime rates in the world. If we remain the world champions of crime, we will not be world champions of anything else.

The good news is that in many cases, doing less can achieve more. Studies have shown that for a small business, red tape costs 8% of turnover on average. Unnecessary regulations destroy jobs and must go. All the hassle factors that foreign as well as local companies face must be identified and minimised.

This should be a top priority of the Gauteng Economic Development Agency in all three spheres of government in Gauteng.

We should not overestimate the ability to select and plan clusters of industries as these are essentially spontaneous and unpredictable.

It is ideas that count, and everything must be done to foster ideas that increase productivity. We have impressive research institutions that need to be given the incentive to convert ideas into new industries.

The non-metro areas should not be neglected, but assisted to find their own competitive advantages. They have open space, which means that tourism and value-added processing of agricultural products are the likely way forward.

The co-operation and co-ordination in a city region must be for a purpose, rather than just a talk shop or an unnecessary extra political authority that is not accountable to the people.

The Gauteng global city region is a good idea that can work, provided it focuses on essentials, avoids any new bureaucracy and accommodates local diversity.

Bloom, MPL, is Democratic Alliance chief whip in the Gauteng legislature.


Publisher: Business Day
Source: Business Day

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