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Transit Oriented Development NAMA in Colombia

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Transit Oriented Development NAMA in Colombia Environment and Climate Change Transit Oriented Development NAMA in Colombia Nationally Appropriate Mitigation Action (NAMA) for transformational urban development linking transport and land-use planning at the local level Already a leader in implementing Bus Rapid Transit Country Colombia, with a focus on at (BRT) systems, Colombia is now taking a more holistic least three cities. DSSURDFKWRWDFNOHWUDI½FDQGJUHHQKRXVHJDV *+* Sector Transport, Urban planning, emissions over the long-term. Through coordination of +RXVLQJ transport systems and land-use planning, integration Duration March 2015 - 2019 with housing policy and inter-institutional coopera- tion which includes sub-national governments and the Framework 7KLV1$0$LV½QDQFHGE\WKH -RLQW*HUPDQ\8.1$0$)DFLOLW\ private sector, Colombia’s Transit Oriented Development with a budget of €14.7 million. (TOD) Nationally Appropriate Mitigation Action (NAMA), Coordinating entity Board of the Centre for the now under implementation, is using climate funds to Promotion of Transit-Oriented catalyze transformational urban development. Development (CIUDAT) Background Implementing agency Financial implementation by Findeter (Colombian develop- Transport is the fastest growing sector in terms of energy ment bank); Technical implemen- consumption in Colombia, causing traffic, air pollution tation by Center for Clean Air problems and increasing GHG emissions in many cities. Policy (CCAP) "e main driver is the rapid growth of private motor- Partners 1DWLRQDO&RORPELDQ*RYHUQPHQW vehicle use. "e situation is aggravated, in part, because Ministries (Ministry of Transport, 0LQLVWU\RI(QYLURQPHQW+RXVLQJ urban development has not been oriented towards public and Territorial Development, transport. "e GHG inventories of several Colombian cit- National Planning Department ies show that the transport sector accounts for 50% of their '13 0LQLVWU\RI+RXVLQJ&LW\ and Territory). GHG emissions (e.g. Santiago the Cali and San Jerónimo 6XEQDWLRQDO/RFDO*RYHUQPHQWV de Montería). In terms of air pollution, in metropolitan (e.g. Cali, Manizales, Medellin). regions such as Bogotá, mobile sources are responsible for Other: Private developers, more than 95% of carbon monoxide (CO) and nitrogen university researchers and non-governmental organizations oxides (NOx) emissions. Mass transit and non-motorized transport shares are decreasing. Many transit systems are not achieving the International Policies projected ridership and some are already operating below Colombia is a party to the United Nations Framework cost recovery levels. Some cities have established fare com- Convention on Climate Change (UNFCCC). It ratified pensation funds to avoid fare increases that would make it the Kyoto Protocol in 2000 as a developing country without unaffordable to the poor and less competitive compared to a binding target, and participates in the Clean Develop- other transport modes. "is scenario is undermining the ment Mechanism (CDM). Colombia has made no formal sustainability of urban transport in Colombia. commitment to reduce emissions. On behalf of: In collaboration with: Environment and Climate Change National Policies • Limited policy integration among sectors; In 2002 the Government of Colombia adopted the National • Limited technical capacity at the local level for TOD Public Transport Policy , which led to the implementation projects and policies; of Colombia’s BRT systems, internationally recognized as • Insufficient institutional coordination among public a model for inexpensive and sustainable urban transport. entities (national, regional, local) in interventions; "rough this national policy, 15 Colombian cities received • Lack of continuity and inconsistent ‘Rules of the Game’; financial, institutional, and technical support to implement • Limited public-private collaboration. public transport systems. To date the national government "e TOD NAMA was designed to help address many of invested $4.5 billion USD in this policy. With local govern- these most significant barriers. ment co-financing, total public investment amounts to $7.3 billion USD. Description of Activities Transit Oriented Development focuses public and In 2011, the national government launched the Colombian private investment around transit stations and corridors, Low Carbon Development Strategy (ECDBC), recognizing in a process which is sensitive to community needs. TOD that although Colombia’s GHG emissions are currently results in more compact development through high- low relative to developed countries, projected economic density, mixed land use and human-scale design, locating growth scenarios suggest that emissions will grow signifi- facilities within walking distance of transit stations. Key cantly if no mitigation action is taken. Under the ECDBC features of TOD include: high-quality public spaces; framework, a Mitigation Action Plan for the Transport Sector variety of housing types and prices; frequent, reliable, fast was developed which includes the TOD NAMA as one of and comfortable transit; and measures discouraging the use the priority actions. It merges the national policy objectives of private cars. for both affordable housing and sustainable transport by enhancing the benefits of public investments in transit "e Colombia TOD NAMA aims to reduce emissions, and leveraging funds for low-income housing. In 2012, improve quality of life, promote social equity and econom- Colombia approved a law on Public-Private Partnerships ic prosperity by delivering high-quality TOD enhancement (PPP) to attract private investment for public interest devel- projects, blending low-income and market-rate housing opment projects. "e PPP law allows for proposals initiated with commercial uses to create vibrant neighborhoods. by either the private or public sector. For privately-initiated proposals the public sector can finance up to 20% of total "e Center for Clean Air Policy (CCAP), a non-profit or- project investments. ganization supporting NAMA initiatives around the world, led the development of the TOD NAMA in a process that Local Policies lasted two years. Securing international financing, in No- Colombia’s territory is divided administratively into 32 vember 2013, was a key milestone for the implementation departments, which in turn are subdivided into over 1,100 of the NAMA. municipalities. Almost every major city in Colombia is currently updating its land use master plan (POT), which A specialized independent facility, housed within the will define the urban development and growth model Colombian national development bank (Findeter), is being implemented over the next 12 years. For example, the POT created for the implementation of the NAMA: Centre for update of Bogotá, the capital city of Colombia, includes the Promotion of Transit-Oriented Development (CIU- policies and rules to strengthen the link between land use DAT). Its core functions will be to ensure: and transportation planning. Several cities such as Bogotá, • Technical and financial assistance to catalytic transit Medellin, Cali and Manizales have created special urban neighbourhoods, including: project development; Pub- redevelopment entities (ERUs) to lead, promote and coor- lic-Private Partnerships; finance and funding proposals; dinate urban renewal projects. However, coordination of value capture mechanisms; TOD “pipeline” of sites, ERUs with the BRT transit agency, other local secre- districts and corridors. tariats, and national entities is currently limited, pointing • Policy coordination analysis and advisory for integration to the need for enhanced vertical integration for successful of national and local policies on transportation, land use delivery of TOD districts. and housing. • Ev aluation of results and benefits including GHG mitiga- Barriers to national implementation tion, economic and social impact at the local level. Despite national and local efforts, a range of barriers to • Development of a financial sustainability plan to identify TOD implementation remain, including: funding sources beyond the NAMA support. "e TOD NAMA will be managed under a trust fund station areas, redesign of car-oriented infrastructure and scheme overseen by a Board responsible for strategic the improvement of informal settlements. steering and definition of selection criteria for investment and technical assistance (e.g. competitive selection of TOD "e total budget for the TOD NAMA is €14.7 million project proposals). "e Board will include senior national EUR over four years, to fund CIUDAT staff, technical government partners as well as Findeter and CCAP. consultants, and overhead. "e expectations for replication of this model anticipate $8 billion USD future investments "e establishment of CIUDAT’s organizational and in public transport and social housing. Findeter estimates operational structure is currently ongoing, as is signing that Bar-ranquilla could save $1 billion USD in infrastruc- partnerships and defining the types of loans to be provided, ture costs by steering future development to TOD. Finde- guarantee mechanisms and a system for monitoring and ter’s Sustainable Cities Initiative documented $1.5 billion evaluation of funded projects. "e indicators used to assess USD in infrastructure investment. According to various the NAMA’s implementation progress and its results will literature, public investments in TOD can attract up to be selected by CIUDAT in consultation with the NAMA 20 times their value in private investment. CIUDAT will funders. Existing information systems can serve as a source design
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