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©2016 Centre for Liveable Cities (CLC), Singapore and Development Research Center of the State Council of the People’s Republic of China (DRC). All rights reserved. CLC is a division of Set up in 2008 by the Ministry of National Development and the Ministry of the Environment and Water Resources, the Centre for Liveable Cities (CLC) has as its mission “to distil, create and share knowledge on liveable and sustainable cities”. CLC’s work spans four main areas — Research, Capability Development, Knowledge Platforms, and Advisory. Through these activities, CLC hopes to provide urban leaders and practitioners with the knowledge and support needed to make our cities better. The Development Research Center of the State Council of the People’s Republic of China (DRC) is a policy research and consulting institution directly under the State Council, the central government of the People's Republic of China. Its major function is to undertake research on the overall, comprehensive, strategic and long-term issues in economic and social development, as well as pressing problems related to reform and opening up of China’s economy, and provide policy options and consulting advice to the CPC Central Committee and the State Council. Centre for Liveable Cities Development Research Center of the State 45 Maxwell Road Council of the People’s Republic of China #07-01 The URA Centre 225 Chaoyangmenwai Avenue Singapore 069118 Dongcheng District, Beijing 100010, China Website: www.clc.gov.sg Website: www.en.drc.gov.cn ISBN #9789814765305 (print) e-ISBN #9789814765350 (e-book) All rights reserved. No part of this publication may be reproduced, distributed, or transmitted in any form or by any means, including photocopying, recording, or other electronic or mechanical methods, without prior written permission of the publisher. 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Challenges and Reforms in Urban Governance Insights from the development experience of China and Singapore Contents Foreword 4 Three: Public Housing Preface 8 Chapter 1 — Public Housing in China: Progress, Challenges and Policy Recommendation 170 One: Urbanisation Overview Chapter 2 — Home, Community, Identity: Chapter 1 — China’s Urbanisation: Singapore’s Public Housing Story 188 the Path, Paradigm and Policies 16 Four: Urban Infrastructure Financing Chapter 2 — Singapore’s Experience in Urbanisation 42 Chapter 1 — PPP: Driver of China’s New Urbanisation Approach 224 Two: Urban Planning and Governance Chapter 2 — Financing Infrastructure and Chapter 1 — China’s Urban Planning System: Development: A Sustainable Approach in Singapore 240 Issues and Reform Path 68 Five: Insights from the Development Chapter 2 — Intelligent Planning in Singapore: Experience of China and Singapore Practice and Insights 80 Achievements and Challenges in Urban Chapter 3 — Complexity and Development: Experience of China and Singapore 276 Urban Governance 148 Epilogue 294 List of Contributors 297 FOREWORD Challenges and Reforms in Urban Governance Insights from the development experience of China and Singapore This inaugural publication on urban governance marks the start of a strong The close ties between our two countries can also be seen in our deepening collaboration in mutual knowledge-sharing between the Ministry of National economic linkages — Singapore is China’s top FDI investor and China is Development, Singapore (MND), and the Development Research Center of Singapore’s top trading partner. the State Council (DRC) of the People’s Republic of China. This publication is a joint effort by the Centre for Liveable Cities under MND and the DRC to The steadfast friendship between Singapore and China goes back a long time capture and distil the knowledge, insights and lessons from the development to 1978, when the late Chinese Vice Premier, Deng Xiaoping made his first and experience of both China and Singapore. only visit to Singapore where he learnt about Singapore’s public housing and industrialisation programmes. Singapore and China share a special bond, with certain profound similarities in culture and values. We also share common aspirations to excel and succeed. The close bonds have been cemented through three Government-to-Government flagship projects. In 1994, the China-Singapore Suzhou Industrial Park was inaugurated to facilitate the transfer of Singapore’s public administration “software” to the project. The Sino-Singapore Tianjin Eco-city project was conceived in 2007, and it seeks to become a model for sustainable development in China and the world. More recently, the China-Singapore (Chongqing) Demonstration Initiative on Strategic Connectivity will seek to enhance connectivity and drive the development of Western China. With these firm foundations and shared aspirations, I believe there remains significant scope for both countries to continue to share knowledge and learn from each other’s development experience. This inaugural joint publication between MND and DRC is the first tangible outcome from the Memorandum of Understanding (MOU), which was signed between the two ministries, and witnessed by President Tony Tan and President Xi Jinping in July 2015. The MOU aims to facilitate knowledge-sharing between Singapore and China in the areas of urban development, sustainability and liveability, as well as to draw lessons from the development experience of both countries. The scope of collaboration comprises visiting fellowships, joint research and publications. These exchanges between our experts will provide new and important perspectives in addressing today’s urban challenges. As the partnership between MND and DRC deepens, I am confident that we will be able to make significant strides in our efforts to address today’s pressing urban challenges. I would like to take this opportunity to thank DRC Minister Li Wei for his strong and steadfast support in forging close cooperation between my Ministry and DRC. I hope readers will find this publication a fulfilling read, and a useful contribution to our search for more liveable and sustainable urban solutions. 4 Lawrence Wong Minister for National Development, Singapore FOREWORD The world is in the process of rapid urbanisation with more than half of the population The Chinese government has always attached great importance to urban construction. living in cities. The United Nations predicts that the world’s urban population will In recent years, it has convened the Central Urbanisation Work Conference and exceed six billion by 2045. The city is an important engine for economic and social Central Urban Work Conference successively and advanced the implementation of the development. Historical experience shows that only by promoting efficient, inclusive National Plan on New Urbanisation (2014-2020). In the process of new urbanisation and sustainable urbanisation can a country successfully realise industrialisation construction, the Chinese government has paid high-level attention to drawing on the and modernisation, and head towards a high-income society. successful experience of advanced countries including Singapore. China’s urbanisation process see the largest population migration in human history. 2015 marks the 25th anniversary of bilateral diplomatic relations between China and From 1978 to 2015, there have been over 16 million people in China moving from Singapore. On 2 July 2015, President Xi Jinping and President Tony Tan witnessed the the countryside to cities and towns on average each year. The three national urban official signing of the Memorandum of Understanding (MOU) between the Development agglomerations of the Yangtze River Delta, the Pearl River Delta and the Beijing- Research Center of the State Council of the People’s Republic of China and the Tianjin-Hebei Region have become the main platforms driving China’s fast economic Ministry of National Development, Singapore. The MOU aims to carry out various forms growth and involvement in international economic cooperation and competition. of joint research and knowledge-sharing projects in the following five years, and the However, while China is making significant progress in urbanisation, it faces many theme of the first joint research project is urban development. Both sides have jointly challenges as well, including a series of issues such as the equalisation of public established a research team led by eminent experts from China and Singapore. This service, “metropolis disease” and so on. team has convened a series of symposiums centred on areas including urbanisation development models, urban planning and urban governance, urban public housing construction and urban infrastructure financing, and also visited many government departments in China and Singapore, and carried out several rounds of field research. All this work finally culminates in this publication entitled “Challenges and Reforms in Urban Governance: Insights from the Development Experience of China and Singapore”, which has gathered key observations from important experiences of urban development in China and Singapore. These include: the division of responsibilities among government departments should be clear to ensure scientific, professional and executable urban planning and urban governance; more flexible trade networks,