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Urban planning challenges and “smartness”




                             14 September 2011
Pablo Vaggione
                   1 of 18                p.vaggione@designconvergence.org
Urban planning challenges



•   70% of urban population by 2050
•   3 billion new urban dwellers in the next 40 years
•   Building a city like Barcelona every 2 weeks
•   70-90% will take place in developing countries
•   North: doing more with existing infrastructure
•   South: delivering basic infrastructure
•   Huge financing gaps
•   Informality and urban poverty
•   Environmental drawbacks of growth
•   Planning under-resourced and peripheral

                            2 of 18            p.vaggione@designconvergence.org
Challenge: revising the “modern” approach to planning



• Our cities today are based on industrial revolution
  assumptions
   – Affordability of individual transport through industrialization
   – Cheap fossil energy
• High resource consumption
   – 4x population increase 1900-2000
   – 16x resource consumption increase in the same period
• Unsustainable outcome
   – Single-use zoning has induced high infrastructure and services
     costs, mobility inefficiencies
   – Questionable land use model – 50% to road infrastructure
   – Social collateral effects with inequality and segregation


                                3 of 18                p.vaggione@designconvergence.org
4 of 18   p.vaggione@designconvergence.org
Challenge: access to infrastructure and services




• Congestion costs 6% of GDP in               • 884 million people have no
  Bangkok                                       access to potable water
• Tourism is 7% of Thailand’s GDP             • 4,7 trillion liters lost to home
                                                leakages in the US per year

                                                       Source: TAT, Water.org, Asian Development Bank, EPA

                                    5 of 18                          p.vaggione@designconvergence.org
Challenge: behaviour change




 • 800 million people do not have enough to eat                                 • Increase of solid waste in Spain:
 • 1 billion “heavier than advised”                                               39% between 1994 and 2004
                                                                                • Waste generated per capita
                                                                                  higher than France, Italy,
                                                                                  Germany, UK

Source: The Guardian, University of North Carolina (2007), Eurostat


                                                                      6 of 18               p.vaggione@designconvergence.org
Challenge: responding to immediate needs




Palmanova 1590       Brasilia 1960             Songdo 2010



• Security
• Symbolism
• Economic opportunity
                                               Source: Gale International


                                     7 of 18            p.vaggione@designconvergence.org
Challenge: being visionary




Manhattan 1811
• A visionary plan that was able to accommodate key technological
  solutions well in advance – electricity, tram, car
• Addressed urgent needs: reducing diseases and increasing
  construction affordability

                              8 of 18              p.vaggione@designconvergence.org
Questions to the current smart city discourse


• “Technology will save us”
    – Are tech-based panaceas realistic?


• Focus on products rather than integrated vision
    – (Pilot) projects successful by themselves but lack transformative
      effect


• Lots of “sensoring” and raw data collection
    – Do decision makers have the right information and a holistic
      mindset?

• Adaptiveness to austerity
    – Financial constraints and resource allocation to “mission critical”


                                 9 of 18                  p.vaggione@designconvergence.org
Questions to the current smart city discourse


• How smart is a smart city?
    – Currently most metrics are IT-based
        • Sectoral indicators respond to sectoral approach
    – Holistic city IQ metrics still to be developed
        • Would indicate a direction for the evolution of the approach


• Addressing possible conflicts of interest
    – Product-focused approach and neutral advise

• “Smart” does not sound right to many cultures
    – Can imply lack of intelligence in what they are currently doing


• Avoiding trivialisation

                                   10 of 18                   p.vaggione@designconvergence.org
What a smart city could do




• Identify pressing needs and choose effective strategies
  that address priorities

• Know how to efficiently manage assets and resources

• Be open to engage people in thinking and doing

• Learn from implemented projects and implementers


                             11 of 18       p.vaggione@designconvergence.org
Key aspects of “smartness” (1/4): efficient use of assets and resources



•   In new and existing cities, developed countries:
    –   Retrofit and “built-in” intelligence in buildings
    –   Land value, location strategies and housing occupancy
    –   Modelling demands in transport, utilities, services
    –   Services on demand including energy


•   In fast-growing and new cities, developing countries:
    –   Smart affordability addressing upfront investment
    –   Identify and prioritise pressing needs & match with right solution
    –   Accelerate delivery of infrastructure and services
    –   Facilitate transition to clean urbanisation & industrialisation


                                12 of 18                p.vaggione@designconvergence.org
Key aspects of “smartness” (2/4): learning



• “You can’t manage what you don't know”
   – A limited number of performance indicators aligned to vision and
     organisational capacity
   – Survey community for perception and qualitative measuring
   – Integrate information in readable dashboards


• Monitoring information supports decision making
   – Feedback findings to strategic planning stages
   – Link metrics to the budgeting process


• The community needs to know that progress is being made
   – Monitoring is an opportunity to strengthen civic commitment
   – De-politize metrics
                                                                 Quote: M Bloomberg / C40


                               13 of 18                p.vaggione@designconvergence.org
Key aspects of “smartness” (3/4): open to civic engagement


• Participation is brain power
   – One million ideas better than a single perspective
   – Needs good facilitators to extract actionable points


• Public sector beyond regulator
   – Manager of a continuous process of change
   – Capable of articulating a durable collective vision
   – Leadership that mobilises actors into “urban authors”

• Transforming citizens into agents of sustainability
   – Sustainability is a task for each one of us
   – Conflictive vs constructive resolution of divergences
   – Decentralised infrastructure


                                14 of 18                p.vaggione@designconvergence.org
Key aspects of “smartness” (4/4): soft infrastructure


• Governance and leadership
    – Lead by example by making smart decisions
    – Synchronising watches of stakeholders with different horizons

• Public-public partnerships
    – Aligning supra-municipal agendas
    – Creating critical mass at the local level

• Reform planning and delivery cycle
    – Upstream implementation knowledge
    – Procurement methods

• Align private sector competencies to city agenda
    – Finance, drive, skills
    – Life cycle business models addressing higher upfront costs



                                     15 of 18                p.vaggione@designconvergence.org
Linking urban planning to bankability


• Most city development will not be in AAA/AA cities
    – Cities with limited spending capacity

• Cities need to be investible
    –   Credible roadmap: vision, plan and civic support
    –   Set metrics and demonstrate city performance
    –   De-politise infrastructure
    –   Transparency and enabling business climate

• A good urban plan can help reduce investment risk
    – Predictability
    – Bankable projects aligned with long-term structural vision

• Cities need to deliver quality of life at the right price point
    – Jobs, services, civic amenities
    – Cost of living, taxes


                                     16 of 18                 p.vaggione@designconvergence.org
Key messages




• We cannot meet urbanisation challenges with our current
  methods

• A “smart city” is not a “gadget city”

• An intelligent city makes intelligent decisions that have a
  positive impact on living conditions




                           17 of 18           p.vaggione@designconvergence.org
Gracias




p.vaggione@designconvergence.org




 18 of 18          p.vaggione@designconvergence.org

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Pablo Vaggione _ Urban challenges and “smartness”

  • 1. Urban planning challenges and “smartness” 14 September 2011 Pablo Vaggione 1 of 18 p.vaggione@designconvergence.org
  • 2. Urban planning challenges • 70% of urban population by 2050 • 3 billion new urban dwellers in the next 40 years • Building a city like Barcelona every 2 weeks • 70-90% will take place in developing countries • North: doing more with existing infrastructure • South: delivering basic infrastructure • Huge financing gaps • Informality and urban poverty • Environmental drawbacks of growth • Planning under-resourced and peripheral 2 of 18 p.vaggione@designconvergence.org
  • 3. Challenge: revising the “modern” approach to planning • Our cities today are based on industrial revolution assumptions – Affordability of individual transport through industrialization – Cheap fossil energy • High resource consumption – 4x population increase 1900-2000 – 16x resource consumption increase in the same period • Unsustainable outcome – Single-use zoning has induced high infrastructure and services costs, mobility inefficiencies – Questionable land use model – 50% to road infrastructure – Social collateral effects with inequality and segregation 3 of 18 p.vaggione@designconvergence.org
  • 4. 4 of 18 p.vaggione@designconvergence.org
  • 5. Challenge: access to infrastructure and services • Congestion costs 6% of GDP in • 884 million people have no Bangkok access to potable water • Tourism is 7% of Thailand’s GDP • 4,7 trillion liters lost to home leakages in the US per year Source: TAT, Water.org, Asian Development Bank, EPA 5 of 18 p.vaggione@designconvergence.org
  • 6. Challenge: behaviour change • 800 million people do not have enough to eat • Increase of solid waste in Spain: • 1 billion “heavier than advised” 39% between 1994 and 2004 • Waste generated per capita higher than France, Italy, Germany, UK Source: The Guardian, University of North Carolina (2007), Eurostat 6 of 18 p.vaggione@designconvergence.org
  • 7. Challenge: responding to immediate needs Palmanova 1590 Brasilia 1960 Songdo 2010 • Security • Symbolism • Economic opportunity Source: Gale International 7 of 18 p.vaggione@designconvergence.org
  • 8. Challenge: being visionary Manhattan 1811 • A visionary plan that was able to accommodate key technological solutions well in advance – electricity, tram, car • Addressed urgent needs: reducing diseases and increasing construction affordability 8 of 18 p.vaggione@designconvergence.org
  • 9. Questions to the current smart city discourse • “Technology will save us” – Are tech-based panaceas realistic? • Focus on products rather than integrated vision – (Pilot) projects successful by themselves but lack transformative effect • Lots of “sensoring” and raw data collection – Do decision makers have the right information and a holistic mindset? • Adaptiveness to austerity – Financial constraints and resource allocation to “mission critical” 9 of 18 p.vaggione@designconvergence.org
  • 10. Questions to the current smart city discourse • How smart is a smart city? – Currently most metrics are IT-based • Sectoral indicators respond to sectoral approach – Holistic city IQ metrics still to be developed • Would indicate a direction for the evolution of the approach • Addressing possible conflicts of interest – Product-focused approach and neutral advise • “Smart” does not sound right to many cultures – Can imply lack of intelligence in what they are currently doing • Avoiding trivialisation 10 of 18 p.vaggione@designconvergence.org
  • 11. What a smart city could do • Identify pressing needs and choose effective strategies that address priorities • Know how to efficiently manage assets and resources • Be open to engage people in thinking and doing • Learn from implemented projects and implementers 11 of 18 p.vaggione@designconvergence.org
  • 12. Key aspects of “smartness” (1/4): efficient use of assets and resources • In new and existing cities, developed countries: – Retrofit and “built-in” intelligence in buildings – Land value, location strategies and housing occupancy – Modelling demands in transport, utilities, services – Services on demand including energy • In fast-growing and new cities, developing countries: – Smart affordability addressing upfront investment – Identify and prioritise pressing needs & match with right solution – Accelerate delivery of infrastructure and services – Facilitate transition to clean urbanisation & industrialisation 12 of 18 p.vaggione@designconvergence.org
  • 13. Key aspects of “smartness” (2/4): learning • “You can’t manage what you don't know” – A limited number of performance indicators aligned to vision and organisational capacity – Survey community for perception and qualitative measuring – Integrate information in readable dashboards • Monitoring information supports decision making – Feedback findings to strategic planning stages – Link metrics to the budgeting process • The community needs to know that progress is being made – Monitoring is an opportunity to strengthen civic commitment – De-politize metrics Quote: M Bloomberg / C40 13 of 18 p.vaggione@designconvergence.org
  • 14. Key aspects of “smartness” (3/4): open to civic engagement • Participation is brain power – One million ideas better than a single perspective – Needs good facilitators to extract actionable points • Public sector beyond regulator – Manager of a continuous process of change – Capable of articulating a durable collective vision – Leadership that mobilises actors into “urban authors” • Transforming citizens into agents of sustainability – Sustainability is a task for each one of us – Conflictive vs constructive resolution of divergences – Decentralised infrastructure 14 of 18 p.vaggione@designconvergence.org
  • 15. Key aspects of “smartness” (4/4): soft infrastructure • Governance and leadership – Lead by example by making smart decisions – Synchronising watches of stakeholders with different horizons • Public-public partnerships – Aligning supra-municipal agendas – Creating critical mass at the local level • Reform planning and delivery cycle – Upstream implementation knowledge – Procurement methods • Align private sector competencies to city agenda – Finance, drive, skills – Life cycle business models addressing higher upfront costs 15 of 18 p.vaggione@designconvergence.org
  • 16. Linking urban planning to bankability • Most city development will not be in AAA/AA cities – Cities with limited spending capacity • Cities need to be investible – Credible roadmap: vision, plan and civic support – Set metrics and demonstrate city performance – De-politise infrastructure – Transparency and enabling business climate • A good urban plan can help reduce investment risk – Predictability – Bankable projects aligned with long-term structural vision • Cities need to deliver quality of life at the right price point – Jobs, services, civic amenities – Cost of living, taxes 16 of 18 p.vaggione@designconvergence.org
  • 17. Key messages • We cannot meet urbanisation challenges with our current methods • A “smart city” is not a “gadget city” • An intelligent city makes intelligent decisions that have a positive impact on living conditions 17 of 18 p.vaggione@designconvergence.org
  • 18. Gracias p.vaggione@designconvergence.org 18 of 18 p.vaggione@designconvergence.org