Chapter 3 URBAN GOVERNANCE

3.1 WHAT IS GOOD GOVERNANCE?

❖ Governance is the exercise of political,
economic and administrative authority in the
management of a country’s affairs at all levels.
❖ Good governance, addresses the allocation and
management of resources to respond to collective
problems, it is characterized by participation,
transparency, accountability, rule of law,
effectiveness and equity.
❖ Bad governance is often associated with:
✓ an excessive concentration of decision-making-
authority
✓ Closed decision making processes;
✓ unstable and unpredictable legal framework
✓ excessive rules and regulations;
✓ unclear definition of the limits between public and
private resources and interests.
❖ Good governance is associated with
✓ a more inclusive,
✓ open, transparent and accountable system for
decision-making.
Characteristics of good governance – among others - being
✓ Participatory, transparent and sustainable;
✓ Legitimate and acceptable to the people;
✓ Promoting equity and equality;
✓ Able and willing to promote gender balance;
✓ Tolerates and accepting diverse perspectives;
✓ Strengthen indigenous mechanisms;
✓ Operates by rule of law;
✓ Efficient and effective in the use of resources;
There is no universally accepted and applicable model of
good governance practice.
Good governance will be different in the varied cultural
conditions.
❖ There are three main groups involved in
urban governance, namely:
✓ The state or public sector;
✓ Civil society;
✓ The private sector.
❖ Therefore good governance is not about
government alone.
❖ Many institutions and individuals within the
three areas mentioned above are involved.
 A. The State
❖ Is responsible for developing an
appropriate political and legal
environment, a sound system of public
sector institutions and for ensuring
provision of effective services.
❖ Good governance requires a vigorous
system of democratic, dynamic,
transparent & efficient local government.
❖ This includes executive, legislative,
judicial and regulatory agencies.
The state has to face a series of challenges, among others:
✓ To protect the vulnerable groups of population
and to alleviate the severe conditions of poverty;
✓ To foster social, ethnic and cultural integration
and harmony;
✓ To facilitate the participation of the population;
✓ To play an active role as a promoter and enabler
of local economic development and the creation of
a conducive economic environment.;
✓ To promote and sustainable environmental
development.
B. Civil Society
❖ CSOs include a wide range of different organizations by nature
and purposes:-
✓ Non-governmental organizations;
✓ co-operatives;
✓ community development organizations;
✓ religious, cultural, ethnic, language or gender based
organizations;
✓ charities;
✓ professional and business associations;
✓ political parties;
✓ social and sports clubs;
✓ environmental groups;
✓ academic and policy oriented institutions;
✓ media groups...
The role of civil society organizations (CSOs) in urban
development is crucial since they are key political actors in
the local society.
➢ They protect rights and interests of citizens and
➢ They can organize and mobilize the poor and other
disadvantaged groups.
➢ They are intermediary organizations between individuals
and the state, and can facilitate and enhance
participatory channels and practices.
➢ They represent non-governmental, community based and
non-for-profit organizations.
It is widely recognized that a sound urban development
requires the participation of vibrant civil society in urban
governance.
 C.The Private Sector
❖ The private sector which is seen as “engine of
the cities”.
❖ This is because it creates jobs, provides
income, produces and delivers goods and
services.
❖ Private sector partnership with local
government may mobilize financial resources
and facilitate the provision and/or
management of public services with private
involvement.
❖ However, the market or private sector alone often is not
able to guarantee appropriate patterns of production
and consumption.
❖ Private sector development requires a regulatory
framework and good infrastructure.
✓ It also requires the right balance in relation to the
preservation of environment and natural resources,
✓ Equitable growth, gender awareness, protection of
vulnerable population from economic exploitation and
access of the poor to the established credit system.
✓ Fair competition, stable market conditions and
transparency should be encouraged and supported in the
development of urban economy.
❖ A dynamic and responsive system of government is
essential for both civil society and the private sector to
constructively develop.
✓A robust civil society and private sector can assist a
local government’s efforts to build up financial,
institutional and infrastructural capacities for the
sustainable development of cities and towns.
✓Local governments should therefore enable, facilitate
and encourage development of civil society and the
private sector.
✓National governments need to provide the framework
and actively support the building of local capacity.
 3.2 Supporting Good Governance
❖ There is no single, universal model for good
governance.
❖ Consequently, general principles need to be applied
and adapted to specific local circumstances.
Levels of intervention
❖ There are at least three levels at which
interventions can be made to support and develop
good governance, these are:
institutional, organizational and human resources.
 i. Institutional Level
Working to improve the governance of the cities
can be done by:-
A) Fostering changes in the legal framework, government
regulations and procedures;
B) Reforming procedures or systems of coordination between
organizations, especially between governmental and non
governmental organizations;
C) Supporting the emergence and development of institutional
mechanisms which could facilitate the governance of the city
D) Cultivating new norms and values (promoting good
governance) so as to change the incentive structure for
individuals and organizations.
 ii. Organizational Level
❖ At this level, good governance can be supported,
mainly by the modernization and strengthening of
governmental agencies and structures.
❖ Key areas for intervention are financial
management (including, budgeting, accounting and
auditing procedures), human resources
management, & communication & information
technology.
❖ Civil society and private sector organizations may
also require support especially in learning to work
with new partners.
 iii. Human Resources
❖ At this level skills can be enhanced by the training and
education of key actors in the process of urban
governance.
❖ State organizations, may be strengthened by the design
and implementation of staff development and training
programs aimed at improving competence and
capacities of different branches and agencies of
government.
❖ Civil society and business leaders must also be attracted
to training activities together with governmental
representatives, so that to facilitate communication
between different sectors.
3.3 Aspects Of Sustainable Urban Development
i. Decentralization (Getting closer to the people)
❖ State organizations are often seen to be far away from
people – both geographically and socially.
❖ Often, their decisions are not seen to represent the current
concerns and priorities of the people.
❖ Concentration of authority and decision making has been
tackled with decentralization policies in many countries
during the last decades.
❖ Decentralization as a process can be interpreted and take
place in very different forms, but it basically means the
transfer of power or authority to perform some service
from central government to some other entity or agency
at sub-national levels of government.
❖ Decentralization is promoted because it is believed that
mainly local government, but also central government
agencies at the local level, are closer to the people to be
served and hence can be more responsive and sensitive to
their needs.
❖ Decentralization recognizes that the demand for local
services varies in different places and that local politicians
are more accessible to the people.
❖ Central government will always retain certain core functions
on national matters – among others
✓ Defense and Security
✓ International relations,
✓ Promotion of regional balances and equalization.
❖ Role of Government under market economic system?
❖ Important functions of central government remain
in the defense of territorial integrity and national
unity.
❖ Therefore, the process of decentralization should
not compromise the need for preservation of
national integrity, unity and integration.
 ii. Democracy, representation and legitimacy of local government
➢ Voting is an indicator of GG but voting itself is not enough
to declare that a system of democratic representation is in
place.
➢ For that purpose, a credible, competitive based and
sustainable political process needs to be developed.
That is to mean, among other points,
✓ Elections should take place regularly and on time in
accordance with established procedures.
✓Elections should lead to a legitimate government,
widely recognized by and with the consent of the
population.
✓In this sense, participation and representation of
women, ethnic, religious or political minorities in local
elections are an important criterion of good governance.
❖ The process of democracy building in urban
areas can be supported by working with local
government and civil society organizations
through advocacy and the dissemination of
information.
❖ Therefore, advocacy and educational
programs aimed at improving the knowledge,
understanding and practice of local political
and electoral processes by the citizens is also
an area of possible intervention, to support
good governance.
iii. Accountability, Corruption and Transparency
❖ Good governance implies among other things, responsible
government.
❖ Elected and appointed officials in all branches of local
government and state agencies acting at the local level
should be responsible for and accept criticism of their acts.
❖ Incompetence, failure, deceit, patronage, nepotism and
corruption should be tackled by supporting the establishment
and development of mechanisms for holding elected and
appointed officials accountable to stakeholders in the city.
❖ If the exercise of authority is unchallenged, that creates a
fertile ground for insensitivity and self-interest.
❖ The abuse of public power for personal ends, or in other
words, corruption, is a cause and a consequence of
underdevelopment.
 Corruption
➢ Discourages investment in the local economy and consequently
the supply of appropriate infrastructure and urban finances
are affected.
➢ It affects the poorest and facilitates the emergence of
inequality and injustice in the cities.
➢ Poor and illiterate population is more frequently subject to
pay bribes to access government services, than other groups of
the population.
➢ Among its effects,
✓ Goods and services become unjustifiably expensive,
✓ Formal institutions and procedures are undermined,
✓ Government debts increased,
✓ And services (especially those provided to vulnerable groups
of the population) are provided with a low quality standards.
More accountability and less corruption in local systems of
governance can be fostered by;
➢ strengthening the system of checks and balances
between different branches of government;
➢ clarifying the definition of roles, rules and
responsibilities of agencies and officials;
➢ Supporting the functioning of a good system of justice
and the development of effective systems of local
government audit.
➢ Transparency and openness in the process of decision-
making are essential elements in fighting corruption and
increasing accountability in local government.
➢ Support of local watchdog organizations, citizens
education programs and media awareness are also
important measures.
 iv.The rule of law, human rights & social diversity
❖ Good governance demands a fair, transparent,
predictable and credible legal framework able to
guarantee individual and group rights and capable to
provide a conducive environment for the development of
economic and social activities.
❖ Therefore, good governance is closely associated with
respect to the rule of law and the protection of human
rights, with the guarantee of individual and collective
liberties.
❖ In relation to urban development the main stakeholders –
local government, civil society and private sector -, should
respectively exercise their authorities and accomplish their
functions in accordance with the legal framework in force.
❖ Basic right to quickly access an impartial system of
justice must be granted to all groups in the local
community.
❖ Enforcement should be guaranteed by the existence of
appropriate procedures and institutions.
❖ Population in urban areas should be subject neither to
discrimination on grounds of race, gender, religion or other
such characteristic, nor to arbitrary restriction, arrest or
violence.
❖ The local system of institutions should provide appropriate
protection and promote peace, integration and harmony in
the city.
❖ Diversity in the cities - social, ethnic, religious, cultural,
should be treated as a positive factor for urban
development.
✓ For that purpose local governmental institutions and
local civil society must play an active role to ensure the
preservation of law and order and the protection of
vulnerable groups from exploitation and
discrimination.
❖ For the existence of a strong and constructive civil
society
✓ Freedom of association and expression
✓ Freedom of interest groups to operate should be granted.
Support can be provided to improve organizational aspects of
the judicial system at the local level, such as:
✓ Strengthening organizational and skill capacities of judges
✓ Support to civil society organizations acting in the areas of
human rights, civil rights, defense of vulnerable groups and
minorities, social inclusion and participation;
✓ Supporting activities which result in better and wider access to
information;
✓ Creation and functioning of community information centers for
the implementation of advocacy and information campaigns;
✓ Training for local police forces reinforcing the characteristics
of good governance in their day to day activities
✓ Modernization of the legislative systems in local
government;
✓ Good governance training for councilors.
 V. Civil society participation
❖ Individuals have the fundamental right of having a say in the
decisions that affect their lives and future conditions.
❖ People exercise this right, as individuals or in organizations
(formal or informal).
❖ Participation takes place in different manners, fuelled by
different reasons, at different times and making use of
different structures and channels.
❖ Civil society role is crucial in the process of helping
peoples, in the process of articulation of their needs into
real demands, and in the process of negotiation and
participation in governance.
❖ Governance may be improved in urban areas by supporting
participation of civil society in decision-making, i.e. in the
decisions about what services and how should be provided.
❖ Resources may be allocated for the establishment of
official mechanisms for participation. (Eg. In
participatory planning and budgeting)
❖ Another possibility is to support initiatives that
involve the communities as the producer of services.
(projects where community is getting direct
involvement in their implementation may be given high
priority.)
❖ The provision of arrangements for the exercise of
consultation and the participation of expected
beneficiaries in the different phases of the project cycle,
e.g., identification, design, implementation, monitoring
and evaluation, should be prioritized in urban projects.
End of Chapter
Three!
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