Stakeholders learning, Shekou turning and one Company’s earnings Figure 1: Image of Shekou’s catch phrase. Source: Auke Boomsma, 2015 The discovery of open planning processes in Shekou District, located in the Special Economic Zone of Shenzhen MASTER THESIS URBAN AND REGIONAL PLANNING A.I.L. BOOMSMA AUGUST 2015 2 Colofon Master thesis Urban and Regional Planning STAKEHOLDERS LEARNING, SHEKOU TURNING AND ONE COMPANY’S EARNINGS The discovery of open planning processes in Shekou District, located in the Special Economic Zone of Shenzhen University of Amsterdam and International New Town Institute Almere Supervisor Prof. A. Reijndorp Co Tutor C.W. Yang MSc Date February – August 2015 Name Auke Boomsma Admiraal de Ruijterweg 94hs 1056 GP Amsterdam 10896805 3 Abstract Chinese planning has become more than only a bilateral agreement between developer and local government. Consultation of foreign design companies and the inclusion of ideas from other places slowly settle. In the past thirty years planning was mainly about financial rewards. This has been replaced by a larger interest in the demands and organisational capacity of the community. Does this also show in the harbour area of Shenzhen, Shekou District, where the majority of the land and property belongs to one State-Owned Enterprise? This research shows that China Merchants tries to incorporate different stakeholders in plan-making, but holds onto their strong position in any kind of development. Meanwhile, a new generation has travelled the world and became accustomed to more open processes. This group is eager to be consulted and participate. Current events show that planning still follows the lead of CEOs. Nevertheless, change in policy and stakeholder positions is fastened by the instalment of new Special Economic Zones around China. This research looks at the interaction between the regime of government and developers, with the community in Shekou. An area that was once the first haven of foreign investment and open policy and is since 2009 looking for a new purpose. Keywords: Open Planning Process, Redevelopment, Stakeholder Consultation, Chinese plan-making Regime, Learning Processes 4 Acknowledgements Although this research has only taken me to Shenzhen and some of the surrounding cities, the stay in China was an overwhelming experience. Scientific articles, magazines and movies could not match the actual city-life of Shenzhen. The movement of people, their ideas and the culture shed a light on our own ideas in Western-Europe and the way companies, governments and other organisations function. It was interesting to see the situation from a different position and hear new opinions about one’s role in society. I would like to thank everyone that helped me with this research. The ideas and input from Prof. Arnold Reijndorp and Ching Weng Wang MSc. were really useful. Every time a particular part of my research did not work out as planned, I experienced that a simple meeting would lead to an epiphany and showed me the way forward. Without their help and consideration I would have ran around in circles for much longer. Moreover, when the moment came I had invented a new creative approach, they would advise me to stick with the story and let go of the majority of side-projects. This has certainly improved the structure of this research. I would also like to thank Linda Vlassenrood of the International New Town Institute for her support along the way. Without her support we could not have entered China, would not have stayed in our lovely hostel and could not have met all the interesting speakers. Moverover, I could not have consulted the participants that make up for my research. I would like to thank them for their time, advice and opinions. Without their help this research would have been impossible. I am also thankful to my fellow students for out time in Shenzhen. We supported each other in being part of new activities and commenting on topics related to our research. Hopefully this programme from the University of Amsterdam continues and more students can be part of the vibrant experience in Shenzhen. 5 Table of Contents Abstract .................................................................................................................. 4 Acknowledgements ................................................................................................. 5 1. Introduction: Glocal Shenzhen ........................................................................... 7 2. The Context of Open Processes ....................................................................... 18 2.1. Scientific Relevance: Planning Processes in China ...................................... 19 2.1.1. Joining Planning Processes ................................................................. 19 2.1.2. Learning from other Stakeholders ....................................................... 23 2.1.3. From Path to Regime .......................................................................... 28 2.1.4. Lonely Together ................................................................................. 32 2.2. Societal Relevance ..................................................................................... 33 2.2.1. Theory Meets Practice ......................................................................... 36 2.3. What Theory Assumes ............................................................................... 36 3. Methodology: Research in the planning of China ............................................. 38 3.1. Methods and Theory: Conducting Research ............................................... 38 3.1.1. The Collection of Data in Shekou ........................................................ 39 3.1.2. The Interviewees ................................................................................ 40 3.1.3. The Interview and the Planning Game ................................................. 42 3.2. The Stakeholder and its Position ............................................................... 43 3.3. Leaving the premises: What is next? .......................................................... 45 4. Results & Analysis ........................................................................................... 47 5. Conclusion and Discussion: Access to Process................................................. 75 5.1. Progressive Shekou under Construction .................................................... 76 5.2. Challenging the Assumptions ................................................................... 82 5.3. Discussion: The Path without a Pattern ..................................................... 84 5.4. Reflection: Missing Links ........................................................................... 85 Literature .............................................................................................................. 88 Appendix (DISK) .................................................................................................... 94 6 1. Introduction: Glocal Shenzhen In the Southeast corner of China a village with 150 thousand inhabitants in 1979 grew to an enormous city with over 15 million people in 2014 (Shenzhen Standard, 2014). Located next to the border with Hong Kong, this area has become known as the Chinese centre for technology. Although the city’s name is not that familiar as Beijing or Shanghai, Shenzhen is one of the main hubs of the Pearl River Delta. The heart of the process towards industrial and economic growth has been the Shekou District. It was one of the first areas Deng Xiaoping assigned as Special Economic Zone. This change in policy made it possible to attract foreign investments in the area (Wang, 2014). Supported by money and knowledge flowing in this led to an increase in jobs. People from all over China moved to Shenzhen to work in one of the factories. Subsequently, after the instalment of new Special Economic Zones and cheaper industrial sites, the factories and companies left Shekou and Shenzhen. Recently the area moved towards services and technology. In Shekou several derelict industrial sites remain. A new redevelopment plan from 2009 distinguishes different concepts for the degraded places (UPDIS & SKIZ, 2011). Shekou has been under reconstruction, with Sea World, Net Valley and E-Cool as the significant (partly) finished design projects (Figure 2). Figure 2: Nanhai E-Cool in the former Sanyo factory Source: SKIZ, 2009 7 The development of these plans is subject to a change in Chinese governance. In different planning processes across the country public and private stakeholders work together. The combination with small and cultural initiatives on these locations shows a (temporary) solution to remaining vacancy and deterioration (i.e. Wang 2014; Webster et al., 2011). However, will the regeneration of Shekou be successful without a structured approach with a clear direction? (Jones Lang LaSalle, 2012). The former top-down initiated blueprint is replaced by an incremental step-by-step process. The plan is a result of the cooperation between the Urban Planning and Design Institute Shenzhen and Shekou Industrial Zone Company Ltd.. This company is in control of all kind of real estate and community projects in Shekou and is part of the huge developer in the area, China Merchants. Other places in China show possibilities for re-using degraded industrial sites. In Beijing and Shanghai creative spaces function as bottom-up catalysts for a culture- led regeneration (Zielke & Waibel, 2014). However, the situation in