Urban land management in Ecuador: a preventive approach Monica Quintana Project Coordinator Ecuador Based on Preparatory Work for the Low Income Neighborhood Upgrading and Urban Land Management Project MIDUVI, Banco del Estado, World Bank, Cities Alliance Washington DC, April 30 2007 Project Concept Objective: Improve quality of life of urban Ecuadorians presently in marginal conditions and develop the capacity of cities to plan for growth and expansion Amount: $35 million Target cities: Intermediate cities (urban population > 20,000, excluding Quito and Guayaquil) that can borrow Instrument: Municipal loans to be channeled through the State Bank (= Municipal Development Fund) Eligibility criteria for municipalities and neighborhoods 1
Project components 1. Urban upgrading: curative Menu of investments: physical + property titling Strong community participation 2. Urban land management: preventive Ensure supply of serviced urban land affordable to the urban poor Urban Land Management Subcomponents Preparation for urban expansion Progressive urbanization through strategic partnerships pilot (Improved sites and services scheme) Streamlining land titling mechanisms as a key investment with multiplier effect (how to do it at larger scale and lower cost) 2
Subcomponent 2.1. Preparation for urban expansion Work with 7 cities in Ecuador: SANTO DOMINGO RUMIÑAHUI MANTA RIOBAMBA DURÁN MILAGRO MACHALA Population forecasts YEAR RATIO RATIO CITY 2001 2015 2030 2015/2000 2030/2001 Eloy Alfaro Duran 170,884 394,728 842,547 2.3 4.9 Milagro 123,450 154,848 178,184 1.3 1.4 Machala 210,850 306,474 417,766 1.5 2.0 Manta 188,852 211,323 215,655 1.1 1.1 Riobamba 133,966 180,692 222,061 1.3 1.7 Sangolqui 60,803 110,371 188,949 1.8 3.1 Santo Domingo 225,107 476,414 902,505 2.1 4.0 Average 159,130 262,122 423,953 1.6 2.6 Source:1. Eduardo Arriaga, Proyección de la Población en Siete Ciudades del Ecuador, 2006. 2. Solly Angel, Ecuador PPT 2, Dic. 13 2006 3
Built-up area forecasts BUILT - UP FORECAST 2001 2015 2030 BUILT UP AREA 100 90 80 70 60 50 40 30 20 10 0 21 8.5 12.2 41.7 77.2 87.6 16.1 77.2 31.3 27.9 22.4 47.3 20.3 31.9 26.9 8.2 41.7 21 Riobamba Milagro Sangloqui Rio Bamba Manta Machala CITIES Preparation for urban expansion Premises Pilot component Ecuadorian intermediate cities will double and triple their builtup area in 25 years There is availability of land in these cities Interventions in land markets should be minimal The arterial network is what guides where urban growth takes place Acquisition of land is possible in Ecuador 4
Preparing for urban expansion Making minimal preparations Determine population forecasts for 2030 Determine existing built-area and forecasts for 2030 Establish preferred city growth patterns according to topography, amenities, soil characteristics Determine urban growth boundary Design of secondary arterial system Establish needed rights of way Acquire land for rights of way only The savings of planning ahead The cost of not planning now is: - Increased congestion - Location of settlements in land subject to natural disasters and need to relocate later on - Location of settlements in land that should be protected from the environmental point of view and need to relocate later on - Location of settlements in areas that should be open space or public space and need to relocate later on - Creation of new marginal areas without access to trunk infrastructure and need to upgrade The cost of the minimal planning for expansion is $1-1.5 million per city 5
The case of Milagro GENERAL INFORMATION ** Location Eastern area Prov. Del Guayas Population Extention Density Population **152.424 Hab. 401,10 Km2. 380 Hab. / Km2. Growth rate 1,7 I. MUNICIPIO DE MILAGRO * Source: Census Projection 2001- INEC Population Growth MILAGRO: CRECIMIENTO POBLACIONAL 160000 140000 120000 POBLACION 100000 80000 60000 40000 20000 0 1950 1962 1974 1982 1990 2001 URBANA 13736 28148 53106 77010 93637 113440 RURAL 27463 39475 27531 30178 29728 26663 CANTONAL 41199 67625 80637 107188 123365 140103 6
Access To Public Services ACCESS TO PUBLIC SERVICES IN HOUSE WATER CONNECTION SANITATION CONNECTION ELECTRICITY WASTE COLLECTION FIXED TELEPHONE PROPERTY OWNERSHIP (HOUSE) EMPLOYMENT TRANSPORT 35.7% 20.54% 93,74% 56.06% 22.32% 68.85% 73,91% 65,48% DEFICIT OF URBAN SERVICES 87.37% Urban Growth OCUPATION Km2. BEFORE 1997 17,03 1968 38.591 Hab. 332 Ha. 1982 77.010 Hab. 1.300 Ha. 1997 106.092 Hab. 1.763 Ha. 2006 124.024 Hab. BETWEEN 1997 AND 2006 TOTAL AREA 1,16 18,19 1.819 Ha. 30.68 Km2. MARGINAL SETTLEMENTS 1997-2000 2001-2004 2005-2006 0,68 Km2. 0,29 Km2. 0,19 Km2. 7
Built up area forecast Ratio Ratio Milagro T 1 T 2 Δ T 2001 2015 2030 2015/2000 2030/2001 Urban Population 93,111 111,319 1.8% 123,450 154,848 178,184 1.3 1.4 District Population 122,893 138,303 1.2% District Density (persons/ha) 182 166-0.9% 164 144 126 0.9 0.8 District Built-up Area (km2), Est. 1 6.7 8.3 2.1% 8.5 12.2 16.1 1.4 1.9 District Built-up Area (km2), Est. 2 6.7 8.3 2.1% 8.5 12.6 16.4 1.5 1.9 Source:1. Daniel Civco, Classification of Urban Land Cover for selected cities in Ecuador, 2006, 2. Solly Angel, Ecuador PPT 2, Dic. 13 2006 Future Boundary and Road Network ACTUAL AREA: 3132 Has FUTURE EXPANSION: 2465 Has 44% ACTUAL BOUNDARY 8
Area for road network Chosen Grid 9
Subcomponent 2.2. Progressive urbanization through strategic partnerships pilot - The proposed intervention works from the bottom up, with the participating municipality identifying existing communities who are interested in the scheme. - The municipality will provide TA to eligible communities to search for appropriate and affordable land sites (meeting eligibility criteria) and will pay the services of a designer to work with the community in developing a neighborhood blueprint. - The municipality will provide loans to families for land acquisition and provision of basic infrastructure. - The families will construct their houses and community infrastructure based on the plans developed with the designer. - The municipality will provide technical assistance for the self construction process. Progressive urbanization through strategic partnerships pilot: premises This is a pilot component The component looks to solve a problem known in game theory as the prisoner s dilemma in which, interested parties would be better off acting as a group than as individuals, but cannot do so due to lack of information. The municipality should only play a facilitator role in the provision of shelter Subsidies should be minimized and if possible, eliminated The land should be acquired at market value An existing community is needed in order to ensure: (i) adequate targeting from the beginning; and (ii) appropriate community participation 10
Subcomponent 2.3. Streamlining land titling mechanisms In this component, improvements to current procedures for land titling will be studied, implemented and institutionalized. Each participating municipality will create a minimal team to carry out reforms of municipal ordinances, drafting of new ordinances, marketing, and dissemination programs. Basic premises This is a pilot component The component looks to solve the problem of excessively long and complicated administrative mechanisms involved in land titling. Land titling substantially improves economic opportunities of low-income families. 11