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Cities On The Move Ten Years After
Cities On The Move Ten Years After
a r t i c l e i n f o
a b s t r a c t
Article history:
Available online 25 August 2012
The World Bank urban transport strategy review, Cities on the Move analyzed urban transport problems in developing and transitional economies and articulated a proposed strategy framework for
national and city governments. This paper describes how the urban transport problems of the developing
world have changed in the last decade and assesses the extent to which the strategies recommended in
2002 have been successfully implemented. It shows that progress has been widespread in some areas e
particularly in mass transit analysis and investment and some environmental policies e and that there
have developed some good planning and public transport practices in a smaller number of model cities.
But more strategic institutional and policy issues, including the mobilization and regulation of private
sector initiative in meeting infrastructure and public transport supply deciencies, have tended to be
poorly developed. Above all, the growth of medium sized cities with weak institutions and nance
highlights the need for the international development institutions to put greater emphasis on helping
those cities by dissemination of best practice in strategic transport planning and trafc management.
2012 Published by Elsevier Ltd.
Keywords:
Urban transport
Developing countries
Institutional reform
1. Introduction
In 2002, the World Bank published its urban transport strategy
review, Cities on the Move (World Bank, 2002).1 The paper had
three objectives, (i) to develop a better understanding of urban
transport problems in developing and transitional economies; (ii)
to articulate an urban transport strategy framework for national
and city governments; and, (iii) to identify the role of the World
Bank in supporting governments in the development and implementation of urban transport strategies. The purpose of the present
paper is to take stock, a decade later, of how the urban transport
problems of the developing world have changed and the extent to
which, and success with which, the strategies recommended in
2002 have been implemented.
The report fell into four parts. The rst, identied and analyzed
the main strategic objectives with chapters on city economic
development, poverty reduction, the urban environment and
safety and security. The second part dealt with strategy for the
q This paper has benetted from input from former colleagues at the World Bank,
including Tony Bliss, Jean-Charles Crochet, Roger Gorham, Masami Kojima, Ajay
Kumar, Shomik Mehndiratta, Gerhard Menckhoff, Slobodan Mitric, Richard
Podolske, Jorge Rebelo, Tom Rickert, Chris Willoughby and Zhi Liu, They are not
responsible, however, for the opinions and judgments offered in the paper.
E-mail address: kgwilliam@yahoo.com.
1
A summarized version of the contents of the report is contained in Gwilliam
(2003).
0739-8859/$ e see front matter 2012 Published by Elsevier Ltd.
http://dx.doi.org/10.1016/j.retrec.2012.06.032
regulatory arrangements at the municipal level. Excessive concentration of activity in the capital cities and megacities was to be
addressed by removal of the scal advantages which they enjoy in
many countries. Counterproductive policies on land use control
were to be improved by more reliance on market signals. And
inconsistencies between sector policies were to be addressed by the
incorporation of all sector policies within a coherent city development strategy.
2.1.1. Urbanization continues.
By 2008, more than half of the globes population, 3.3 billion
people, was living in towns and cities, and urban population is
projected to grow to 4.9 billion by 2030. At the global level, all
future population growth will thus be in towns and cities. Most of
this growth will be in developing countries. The urban population
of Africa and Asia is expected to double between 2000 and 2030. It
will also continue to expand, but more slowly, in Latin America and
the Caribbean (United Nations Population Fund, 2010). Poverty is
now growing faster in urban than in rural areas: a billion people
already live in urban slums.
2.1.2. .but is not conned to megacities
While the number of megacities with a population of over 10
million is expected to increase from the present 27, most of the
growth is expected to occur in smaller and medium sized cities.
The number of cities with more than one million people has
already grown from 74 in 1950 to 442 today (National
Geographic, 2011). The policy implication is that urban transport strategy must concentrate more than was suggested in Cities
on the Move on the medium sized cities, which are often less well
endowed in either nancial or human resources to deal with the
transport problems of urbanization. It is notable that in the
national transport strategy reviews currently taking place in
Russia and India, the focus of urban transport strategy has shifted
from the problems of megacities to the more general issues
which affect cities of all size.
2.1.3. In many countries the economic context is now more
favorable.
The rst decade of the new millennium was also a period of
growth for many of the developing countries. Economic growth
proceeded at about 8% per annum in India and 10% per annum in
both China, while sub-Saharan Africa, achieved overall growth in
excess of 5% per annum for a continuous period of over 5 years at
the end of the decade, despite the world recession and the
continued ravages of war in some of its countries. The improvement
of the economy in general is having signicant effects on urban
transport, including an actual or incipient explosion in private car
ownership in the wealthier countries or cities. The effect of that
rapid rate of income growth has been an unprecedentedly rapid
growth in car ownership which has had profound implications for
transport infrastructure, public transport, transport nance and
institutions.
2.1.4. .and car ownership is accelerating at an unprecedented rate
Recent research on car ownership trends in developing
countries throws some light on this. Dargay, Gately, and Sommer
(2007) use a conventional sigmoid curve to model the relationship between car ownership and income, but allow the saturation level to be determined endogenously to reect differences in
urbanization and population density. They conclude that saturation levels for countries presently in the earlier stages of
development are likely to be similar to those of already developed countries with similar density and urbanization, and that
the elasticity of car ownership with respect to income peaks at
2
This is similar to the merit good argument for subsidies to health and
education.
3
4
devices, and, for some such as diesel particulate lters, even render
them inoperative. The gasoline sulfur content standard in the United
States has been set at less than 30 ppm over 2004e2007, and diesel
sulfur at less than 15 ppm over 2006e2010, while EU Directive 2003/
17/EC introduced a new phase-in requirement for both gasoline and
diesel, restricting the maximum sulfur content to 10 ppm from
January 1, 2009. As late as 2006 few developing countries had
stringent standards for sulfur in diesel. In Argentina, Kenya, and
Bolivia, the maximum allowable limit for sulfur in fuels was 500 mg
per kg, which was quarter that in Pakistan, one third of that in
Guatemala, El Salvador, Honduras, Malaysia, and Tanzania, and half of
that in Bangladesh, the Philippines, Thailand, Columbia, Paraguay,
Nicaragua, and Panama (CONCAWE, 2006). However, national vehicle
emission standards are now changing rapidly. While there are still
countries in Latin America with standards for cars and light vehicles
equivalent to Euro 1 or less, many of the larger countries in the region
such as Argentina and Mexico are already adopting Euro 4 standards
for new vehicles. New member countries of the European Union
accept EU standards. And large countries in the rest of the world, such
as Russia, Thailand, Malaysia, Indonesia and the Philippines have
committed to introduce Euro 4 standards for new vehicles by 2012
(Delphi, 2011). Fuel standards will follow accordingly.
2.3.4. .alternative, cleaner fuels have not yet made a breakthrough
Alternative fuels, given some consideration in Cities on the Move,
have not made the expected breakthrough. Liqueed petroleum gas
(LPG), is the third most widely used motor fuel in the world with
14.6 million vehicles estimated to be fueled by propane gas
worldwide in 2008.5 It is supported by preferential taxation in
many European countries. It is relatively safe and easy to distribute
and has a signicant market share in some, particularly the
Republic of Korea, Turkey, Poland, and Japan.6
Compressed natural gas (CNG) powered 12.7 million vehicles
worldwide in 2010.7 It is most important in a few countries with
domestic reserves and a dense distribution market, such as
Pakistan, Iran, Argentina, and Brazil, and for high mileage public
transport eets (taxis and buses), particularly in locations where
the use of CNG is mandated (e.g. buses in Delhi, Ahmedabad and
Rangoon) or supported by signicant price advantage (for taxis in
Argentina and Brazil) or tax advantage (in China and Malaysia). It
maybe expected to increase its market share where there are large
local reserves (as in Peru), but elsewhere the costs of fuel distribution, the sparcity of distribution networks and the space of onvehicle storage, limits its use to a few heavily concentrated eet
operations.
2.3.5. .and the role of biofuels is increasingly controversial
Liquid biofuels have the advantage of being readily usable in
transport without signicant modication in existing vehicles or
infrastructure (Kojima, 2010). The International Energy Association
(IEA) estimates that liquid biofuels accounted for 1.5 percent of
global transportation fuel, and the volume of liquid biofuels
supplied could double by 2015 (IEA, 2009). With the aid of heavy
subsidy and protection in the United States, which with Brazil
accounted for about 90 percent of total supply, world fuel ethanol
production rose from 17 billion in 2000 to 66 billion liters in 2008.
Biodiesel production, 70% of which is from the European Union,
rose even faster, from less than 1 billion liters in 2000 to 12 billion
liters in 2008 (REN21, 2011, pp. 13e14).
5
See
http://www.worldlpgas.com/page_attachments/0000/2191/WLPGA_
ARTICLE.pdf.
6
See http://www.worldlpgas.com/gain/key-autogas-data/.
7
See http://www.iangv.org/tools-resources/statistics.html.
Most recently the contributions of biofuels to energy conservation and environmental protection have both been challenged
(Delucchi, 2010). In energy terms, estimates by Bourne and Clark
(2007, p. 41) point to modest results for corn ethanol produced in
the United States: one unit of fossil-fuel energy is required to create
1.3 energy units from the resulting ethanol compared with a ratio of
1:8 for Brazilian ethanol from sugar cane.8 In environmental terms,
while many biofuels directly generate one third less GHGs by volume
than gasoline, the advantage is reduced by the environmental effects
associated with their production, including depletion of natural
resources, razing of forests to open land for cultivation, and damage
to ecosystems (Phalan, 2009). Nearly half of all biofuels, including
U.S. maize ethanol, soy diesel, and Malaysian palm-oil dieseldmay
even have greater environmental costs than fossil fuels (Zah et al.,
2007).
The UN Food and Agriculture Organization (FAO) suggests that
diversion of maize and oilseeds to biofuel production and soaring oil
prices together were the major drivers for the record prices for basic
foods set in June 2008, pushing an additional 115 million people
into chronic hunger (FAO, 2009). This has already prompted some
governments to direct efforts for biofuel production away from
food-based feedstock. In 2007, the Chinese government stopped
approving new plants processing grains, including ethanol plants.
Indias biofuel strategy focuses on the use of nonfood feedstock:
molasses for ethanol and non-edible oilseeds for biodiesel. South
Africas biofuels industrial strategy, issued in December 2007,
excluded maizedan important staple among the poordfrom the
governments biofuel policy (DME, 2007). Mexico stopped
providing nancial support to maize-based biofuel projects in 2008.
Second-generation biofuels, derived from feedstock from non-food
crops, wastes and by-products and a possible third generation of
biofuels derived from algae may change the picture (Dragone,
Fernandes, Vicente, & Teixeira, 2010). But they are still under
development, and their costs are high and signicant technical
barriers remain (Brennan & Owende, 2010).
Despite these disadvantages there may still be an important role
for biofuels in developing countries. For example, Melillo et al.
(2009) consider Africa to be the best place to produce cellulosic
biofuels which will lead to most carbon capture in the long run,
though they also argue that the CO2 account might not benet until
mid-century. Modes of use may also improve. There is an emerging
consensus that biomass is better used in stationary applications
(UNEP 2009; WBGU, 2009); a recent analysis of full lifecycle GHG
emissions concluded that using biofuels in stationary applications
to produce energy for electric vehicles would reduce GHG emissions more than direct use to fuel conventional spark ignition
(Campbell, Lobell, & Field, 2009).
2.3.6. But the motorcycle problem now looks more tractable
Motorcycles were seen as a major problem in Asia both because
they were very polluting (especially the two stroke engines common
in South Asia) and because, even if clean, they were a precursor of an
unsustainable motorization as incomes increased (as in Vietnam
and China). The problem of trading up from motorcycles to cars still
exists. In Ahmedabad, India, two and three wheeler motorcycles
account for 30% of all trips. In Hanoi, Vietnam, though the average
ownership rate of motorcycles is already 0.5 per capita, and still
increasing at 14% per annum, increased car ownership has already
led to increased congestion and serious accident rates.
The environmental issue now looks rather different, however.
First, state of the art technology is a great improvement with
8
A more favorable estimate for the US is contained in nepis.epa.gov/Exe/ZyPURL.
cgi?DockeyP1006DXP.txt.
9
Interestingly, in a comparison between the countries which now form the EU
27 and the CIS countries showed them to have very similar fatality rates of around
13 per 100,000 in 1988, but by 2006 the CIS average rate had risen to about 17
while that of the EU 27 had fallen to about 8. Russia is particularly bad.
Cities on the Move recognized that the road system was the
fundamental core of all city transport systems, but observed that it
is usually managed in fragmented and uneconomic way. Decisions
on the management, maintenance and expansion of urban road
systems usually rest with separate public sector agencies, while
those concerning operations on the system are predominantly
private sector. The report therefore concluded that the most
important requirement of a strategy for urban roads was to link
those public and private sector decisions in a coherent way. The
framework of a metropolitan strategic transport plan was important for achieving this, but changes in the approach to the separate
functions were also needed. On road system investment the report
emphasized the need for more rigorous economic appraisal of
investments and the development of a logical hierarchical structure
with clear allocation of responsibility for provision and maintenance of each category. On road maintenance more stable funding
mechanism were usually needed, as were more scientic maintenance management systems and improved private sector contracting capabilities and arrangements. On trafc management it
was argued that improved technical capability (for example
computer linked signal systems), need to be complemented by
strategic decisions to use the system to improve the ow of people
rather than vehicles (which implies priority to public transport and
non-motorized movement). On demand management the report
emphasized the need to balance demand with capacity through
restraint measures such as parking control and congestion pricing.
3.1.1. Road infrastructure remains inadequate in many cities
In a study of 14 African cities Kumar and Barrett (2008) identied a range of deciencies in the urban road systems. In quantity
the networks were insufcient, accounting for less than 7 percent
of the land area in cities e only about one third of that in most
developed cities. Service lanes are absent, and street lighting is
minimal. Moreover the majority of the roads had one lane in each
direction; where the roads are wider, one lane is often taken up by
pedestrians and parked vehicles and outlying neighborhoods could
only be reached only by two-wheeled vehicles. Only one third of
these roads were paved, giving a paved road density is typically on
the order of 300 meters per thousand inhabitants (or close to two
kilometers per square kilometer), which is only about one third of
the average for developing country cities worldwide.
Paved
Gravel
Earth
Good
Fair
Poor
Good
Fair
Poor
26.1
26.7
0.5
11.2
12.7
0.5
8.2
13.3
0.6
25.5
15.5
1.4
14.4
15.0
1.3
6.7
18.5
1.6
The reason for this poor state is partly institutional. Most African
countries have now established a second generation road fund, and
have moved toward a policy of funding road maintenance through
various kinds of road-user charges. But although most road use
occurs in urban areas, and hence most of the fuel levy revenue is
collected from urban road users, the allocation of the resulting
scal resources usually fails to reect that. While in Ghana and
Ethiopia 20e30 percent of the road fund is allocated for urban road
maintenance, of on an average only about 10 percent of road fund
revenues go to urban roads. A restructuring of road-fund allocations to more closely reect observed trafc patterns could help to
alleviate this problem. In addition, urban road funds could be
supplemented by charges on parking for private cars or on urban
developments that impose a measurable transport burden.
3.1.3. .and implementation of work is inefcient
Work implementation also needs to be efcient. While many
cities still undertake maintenance by force account, there is an
10
10
In Russia a common form of urban public transport enterprise is the unitary
municipal enterprise. This is a company solely owned by the municipality, operating, but not owning, the municipalitys buses. It relies solely on the municipal
budget for vehicle replacement. But the municipal budget is only 30% funded by
sources controlled by the municipality. The rest comes from transfers from the
regional government obtained annually on a request and negotiation basis. Bus
replacement, not surprisingly does not get consistently treated in this arrangement.
11
12
13
group savings program in Kenya were more successful. Government support is critical, as in the South African shova kalula
program inaugurated in 2001, which now aims to roll out a million
bicycles by 2014, but had only introduced 72,000 bicycles by early
2011. The elimination of import duties helps, as in Kenya (Earthtec,
2007). An alternative approach is adopted in Hangzhou, China
where a short term bicycle rent program, has 2000 stations and
50,000 bicycles for hire.
3.4.4. But there are now signs of change in policies on cycling
Most signicantly Chinese policies are becoming more cycling
friendly. A number of recent World Bank projects have assisted
cities in providing a more cycle friendly environment, including
road design on a safe corridor philosophy, re-introduction and
strengthening of separation barriers, and a shift from investments in
primary to secondary and tertiary roads (Mehndiratta, 2011). Many
pedal cycles in China are being replaced by electric cycles which
have much of the same environmental advantage but offer greater
range, speed and comfort. Over 20 million electric cycles are being
produced annually. Moreover, China has chosen to limit the power
and speed of the electric cycle to allow them to continue to use the
cycle paths and to avoid the congested motor roads. Cycling is also
increasingly being addressed as part of a system. A pattern of
coherent, complete, segregated cycle networks has been introduced
with great success in Bogota, Colombia. Since the completion of the
300 km cicloruta network in 2001 bicycle use has been increased by
ve times, and now nearly 400,000 cycle trips are made daily in the
city. The synergy between the cycle (pedal or electric) as an access
mode to mass rapid transit in cities is increasingly recognized and
planned for. Bogotas Transmilenio and the new major BRT network
in Guangzhou are good examples of that integration with well
organized bicycle parking facilities provided.
Elsewhere, in 2007 the government of Botswana commissioned
a report on best practices in NMT planning implementation and
maintenance (Earthtec, 2007). In 2008 the South African government
published its draft proposals for NMT, which included the obligation
for NMT plans to be prepared at both the provincial and local levels,
and for an NMT fund to be established from part of the national Road
Fund revenues (South Africa Department of Transport, 2008).
3.4.5. .and the importance of walkability is increasingly
recognized
Most trips involve at least a short walk leg. And in many
developing country cities walking accounts for half of all total trips.
Yet it is notoriously uncomfortable and dangerous, having traditionally received little attention in the design of transport systems.
This limits accessibility, increases costs and lowers the quality of
life. A number of design factors contribute to this. Systems containing large block sizes, sparse secondary and tertiary networks
and wide roads with large set-backs reduce pedestrian accessibility
to buildings e less than one quarter of the numbers of jobs are
accessible within 10 min walk of major rail stations in Beijing than
in New York (Torres-Montoya, Yanan, Dubin, & Mehndiratta, 2010).
This is often accentuated by insufcient and poorly designed street
crossing places, lack of pedestrian phases in signal setting, poor
road condition and impediments such as cars parked on sidewalks.
These issues are now being addressed in a comprehensive way in
some of the World Bank projects in China (Mehndiratta, 2011).
4. The policy instruments
4.1. Pricing
Cities on the Move noted the complexities arising from the
multiplicity of objectives being pursued in urban transport and by
14
benets. But they also need to be seen in the wider context of their
adverse effect on scarce government revenues and on the distribution of income. In that context, the overall effect may be negative.
In respect of socially oriented subsidies two different
approaches are adopted. Controlling the general level of fares to
what is considered an affordable level is explicit policy in the FSU,
but in many cities has the perverse effect of progressively diminishing the level of service that the budget provision affords.
Personally targeted subsidies are usually targeted at students and
old people who are believed to have less ability to pay. But those
subsidies miss what may be the most vulnerable group, very low
income or unemployed adults. Even the work trip subsidy implemented through the Brazilian vale transporte fails to reach the
informal sector.
4.2. Finance
Cities on the Move said little about nancing of urban transport
except to emphasize the need for integrated urban transport
funding. Experience in the last decade suggests that this was
a serious omission as failures in the transport sector have often
been associated with a general nancial failure of the cities.
4.2.1. Municipal tax revenues are typically inadequate
In most countries municipal tax revenues are very limited. For
example, in Russia the municipalities only nance about 30% of
their expenditures from their own resources, with the rest coming
from intergovernmental transfers. The conventional explanation of
this is that only property tax meets the criteria for good local taxes
e ease of local administration, impact predominantly on local
residents, and not raising problems of harmonization or competition between sub-national local or regional governments or
between sub-national and national governments. In practice,
however, property tax is difcult to administer and property taxes
seldom account for more than 20 percent of local current revenues
or less than 1 percent of total public spending in developing
countries (Bahl & Martinez-Vasquez, 2007). For local property tax
to play a larger role local governments must be allowed to set their
own tax rates, the tax base must be maintained, property transfer
taxes reformed to prevent under-declaration of sales values, and
procedures reformed to improve collection efciency, valuation
accuracy, and the coverage of the potential tax base. Given these
limitations, Bahl and Bird (2008) conclude that in most developing
countries there are other potentially sound and productive taxes
that sub-national governments could use: PIT surcharges, taxes on
the use of motor vehicles, payroll taxes, and even sub-national VATs
and local business value taxes may all be viable options in
particular countries.
4.2.2. .and borrowing capabilities are weak
In principle, capital expenditures could be nanced by local
borrowing. While some large cities are at least as creditworthy as
their national governments, but that is not usually the case for
smaller cities, however, and borrowing may have to be by
government on their behalf. Sood (2010) argues that the most
critical avenue for sustained nancing of urban infrastructure will
be domestic credit markets. Several approaches have been tried.
Quasi-independent municipal credit institutionsdsuch as the
Municipal Development Fund in the Philippines, the Municipal
Fund for Infrastructure Finance in the Czech Republic, and the Tamil
Nadu Urban Development Fund of Indiadhave been established to
channel borrowed and grant funds to local governments. Credit
enhancement mechanisms have been developed e such as the
Local Government Units Guarantee Corporation in the Philippines
and the Infrastructure Credit Guarantee Fund in the Republic of
15
Korea. And some special purpose vehicles have been set up, such as
the Water and Sanitation Pooled Funds in Tamil Nadu and Karnataka in India to raise nance for small municipalities through
bonds, the Investment Fund for Urban Development in Vietnam,
and the Urban Development Investment Corporations in China to
manage specic sectors of urban infrastructure in each of the major
cities. However, ADB (2007) reports that the experience with these
initiatives has been mixed and that they have, at best, had limited
impact and, at worst, crowded out private nance.
4.2.3. .but new sources of funding have been developed
An alternative cost based approach, is to require developers to
provide their own common infrastructure and to recover their
costs through land sales. Developer exactions require developers
to install at their own expense the internal infrastructure needed
to meet development standards or to pay for infrastructure
elements provided by public authorities. Impact fees are designed
to cover the external infrastructure costs caused by demand for
system wide expansion in infrastructure capacity for roads and
other social services caused by a new development In Mumbai, it
has been estimated that a 10 percent development fee, imposed
on the cost of new construction, could nance as much as 40e50
percent of all regional infrastructure investment required over the
next two decades. However, there is often a considerable margin
of uncertainty about the amount of external infrastructure
expansion to associate with any particular new development so
that impact fees have to be negotiated and often cover less than
the full costs. For example, the government of Chile attempted to
nance the external development costs of the metropolitan
extension of Santiago in Chacabuca province by impact fees
negotiated with developers but were only able to recoup 39% of
the total estimated costs.
The establishment of new town corporations allows the developer to recoup the costs of infrastructure through land and property sales. These corporations can be entirely public, as in the UK or
public private participatory ventures, as in Denmark. Many new
towns in the developing world build directly on the experience
with new towns in Great Britain. In India the private sector has
been involved as developer in a national plan for 11 airports,
including Bangalore and Hyderabad. Some state agencies have also
acquired surrounding land, with the intention of nancing access
roads to the airports through prots from land sales (Kagonova and
Peterson, 2010).
Lease or sale of unused urban land can also contribute, in
Ethiopia, for example, 90 percent of the proceeds of municipal land
leasing should, by national law, be used to nance municipal
infrastructure investment. In other settings, the fact that publicly
owned land in cities is held by state or national development
agencies has made it more difcult to use the prots from land sales
to nance infrastructure investments that, by law, are the responsibility of municipal governments. In contrast in China, where all
urban land is owned by the municipal government, an entire
generation of urban highways and other urban public works has
been nanced throughout by sales of rural land rezoned for urban
development or by direct municipal land leasing combined with
borrowing against land collateral (Peterson, 2007). Of course, land
leasing cannot be the primary source of infrastructure nance
indenitely; the major cities of Chinas coastal region by now have
largely exhausted land-leasing revenue as a source of infrastructure
nance, after 15e20 years of reliance on it. Also the danger is that
the attractiveness of converting rural land for urban development
for a municipality containing a large amount of rural land (as many
municipalities do) leads to unnecessarily large conversions and
sprawling development with associated transport and environmental damages (Liu & Salzberg, 2012).
16
17
18
megacities the problems are now impacting cities which are less well
equipped to handle them in either nancial or human resources. The
challenge for the next decade is to broaden that impact.
So the suggested agenda for the development banks is to
establish, with the support of national governments, sustainable
programs for urban transport in secondary cities. To do that, two
things are necessary. First, a method of rolling out the reforms to
secondary cities must be established. That has already been achieved in a number of cases. In Colombia, the Bogota BRT development has been extended, with central government support, to
secondary cities. In Uzbekistan the national government legislated
for the introduction of competitive tendering of bus services as
a response to a World Bank project limited to ve cities. And in
Parana state, Brazil, the Curitiba system is being replicated in
smaller cities. The common element in all these cases is the
commitment of national or state governments to support the
reforms. Second, the cities themselves must be convinced of the
benets of reform and capable of implementing them. This requires
both human resource development in the secondary cities as well
as scal reforms to make them self-sustaining. That is no mean task.
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