BACKGROUND

& ISSUES OF URBAN MANAGEMENT

Oleh :
Dr. Ir. Firmansyah, MT

Jurusan Teknik Planologi

Fakultas Teknik
Universitas Pasundan
Bandung
2009
 Urban Management : Policies and Innovations in Developing
Countries (G. Shabbir Cheema, 1993)

Ch. 1 : The challenge of Urban Management : Some Issues

I. Urbanization Trends in Developing Countries

- worlds urban population
1,4 billion (1970) ; 2,9 billion (2000) ; 5,1 billion (2025)
- urban population in developing countries
675 million (1970) ; 1,9 billion (2000) ; 4 billion (2025)
- shared of world’s urban population (proporsi)
49% (1970) ; 58% (1985) ; 67% (2000) ; 79% (2025)
- 1950  41 kota dengan populasi > 5 juta
- 2000  32 kota > 5 juta ; 11 diantaranya > 10 juta
 I. Characteristics of Urbanization Throughout the
World

1. Transformation from rural (largely agricultural) to an

industrial/services way of living
2. A major characteristic of urbanization is the higher density
of settlement, with urban dwellers living in areas of at least
5000 persons per square km.
3. Urbanization is also a demographic phenomenon, defined as
% ( or proportion ) of urban population to total national
population.

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 Characteristics of Urbanization Throughout the World

There are 3 Determinants of Urbanization :

1. Natural population increase – excess of births over deaths
within a given time period.
2. Rural to urban migration – population moving from rural to
urban areas within a given time period
3. Reclassification – referring to change in administrative area
from rural to urban local government.

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Characteristics of Urbanization Throughout the World

Concentration of urban population in very large cities :

1. Another characteristic of urbanization in developing
countries is the high concentration of urban population in a
few very large cities.
2. This trend is taking place at faster rate during globalization
era. Non-agricultural economic activities locate in large
cities because they generally have better
infrastructures/other facilities and access to capital, labor,
and markets.

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Poverty, unemployment, violent class and race conflicts,
“alienation” are certainly problems in the city, but they are not
problems of the city.
They are problems produced by the social, economic and
political structure of our society.
 Indonesia :
Tahun Penduduk Perkotaan (Juta) % dari Σ penduduk Nasional
1971 20,5 17
1980 32,8 22
1990 55,4 31
1993 65,9 35
1998 84,4 41
2018 152,2 59
Table 3.4

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URBANISASI

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Table 3.5 Penduduk Desa (Rural) dan Kota (Urban) oleh Pulau

Rural (Desa) Urban (Kota) Total (Jumlah)

% Number % Number % Number

Jawa 40.00 53,142,600 60.00 79,714,000 61.47 132,856,600

Kalimantan 66.00 8,479,500 34.00 4,368,200 5.95 12,847,700

Sumatera 43.00 20,987,100 57.00 27,820,100 22.58 48,807,200

Sulawesi 58.00 9,588,000 42.00 6,942,900 7.65 16,530,900

Pulau 69.00 3,496,100 31.00 1,570,700 2.35 5,066,800

Timur
Total 44.28 95,693,300 55.72 120,415,90 100 216,109,200
0

(*) = LSI (Lembaga Survey Indonesia) 2008

(*Need to update data from BPS !

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 Proses Urbanisasi

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 II. The Role Of Cities
 In developing countries  contribution to
economic growth
 Cities  2/3 national output
Bangkok metropolitan, 10% Thai Pop 
74% countries manufacturing
 Contribute to the achievement of social
development objectives
Characteristics of Urbanization Throughout the World

3. Bangkok is an extreme case of high concentration of

urbanization in one country’s major city. As Table 3.3 shows,
18% of Thailand’s urban population – and 38% of its GDP – is
in Bangkok. However Jabodetabek is getting closer.

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 III. Negative Consequences of Urbanization
 Increasing incidence of urban poverty
 Inadequate access to housing and such basic urban
services as primary health care & water supply
 Proliferation of slums & squatter settlements
 Urban environmental degradation
PERKOTAAN
 Isu-isu internal :
 Masalah kemiskinan
 Kualitas lingkungan hidup
 Kapasitas daerah termasuk pengelolaan kota.
 Isu-isu eksternal :
 Ketidakseimbangan wilayah-wilayah antara kota besar,
metropolitan, dan kota Menengah dan Kecil.
 Kesenjangan Pembangunan antara desa dan kota
 Belum Berkembangnya Wilayah-Wilayah Strategis dan Cepat
Tumbuh
 Banyaknya wilayah yang masih tertinggal
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Perkotaan
• Masalah kemiskinan

• Kualitas lingkungan hidup

• Kapasitas daerah termasuk pengelolaan kota.

• Ketidakseimbangan wilayah-wilayah antara kota besar, metropolitan,

dan kota Menengah dan Kecil.

• Kesenjangan Pembangunan antara desa dan kota

• Belum Berkembangnya Wilayah-Wilayah Strategis dan Cepat Tumbuh

• Banyaknya wilayah yang masih tertinggal

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 IV. The Challenge of Urban Management
 The growth of cities is inevitable, and the solution to urban
problems depend heavily on effective urban management.
 Urban Management is a holistic concept
it is aimed at strengthening the capacity of governmental
and non governmental organizations to identify policy &
program alternatives and to implement them with optimal
result.
 The challenge of Urban Management is to respond
effectively to the problems & issues of individual cities in
order to enable them to perform their functions
1. The first issue : Improving Financial Structure
and Management
Several revenue – raising instruments
i. User charges  important instrument for financing capital costs of
urban facilities as well as maintenance & operating expenditure for
urban infrastructure & services

ii. Local taxes : property taxes, income taxes, consumption – based

taxes, automobile taxes

iii. Tax sharing  important instrument for transferring financial

resources from central to municipal governments

iv. Allocation from the center : grants, subsidies, loans (DAU dan DAK)
v. Private sector, including NGO and the informal sector  important
sources for mobilizing resources

vi. Administrative capacities and political support

2. The second issue : providing urban shelter,
services, and infrastructure
Access of the urban poor to shelter services &
infrastructure was constrained by many factors :
1. High prices of land for housing
2. Inadequate access of the urban poor to financial
institutions
3. Lack of participation by poor urban households in
planning and implementing shelter projects
4. Inadequate cost recovery of government
investment programs
5. Inflexible building codes and standards
3. The third issues improving urban information system

4. The fourth issue : strengthening urban informal - sector

roles
2 policies supply - oriented policies
- to income productivity & supply
- credit, technical assistance

demand - oriented policies

- to increase demand of informal
sector products

5. The fifth issue : strengthening urban institutional

capacities
- lack of clarity in the allocation of functions & responsibilities
to agencies
- shortage of qualified staff
 Normative / Radical View of Urban Development in
Indonesia :
In an article in Jakarta Post on December 20, 2010, take a more radical view,
with which I mostly agree :
1. Present urban development trends are private sector and market
driven, carried out without clearly stated vision, and relying on weak
rule of law.
2. Alternative voices are marginalized – including NGOs, community
leaders and organizations, academic and others – in decision-making
process.
3. Urban development, especially in suburbs, is fragmented; housing
projects are not supported by necessary infrastructure; and entire urban
system does not fit together as a whole.
4. In many of new developments in suburbs of large cities, rich become
more isolated and segregated from the poor.
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5. As a result, urban areas in Indonesia face many problems which
reduce their competitiveness with other cities in Southeast Asia.
Major problems include :
– Current policy focuses on large cities on Java instead of medium-size
towns throughout the country;
– Public transportation is poorly managed and has not been given
priority by most local governments;
– Green open spaces are lacking : Law No.26/2007 requires 30% of
total land use for open space, but Jakarta and Bandung have only
9.6% and 8.8% respectively.
– Jakarta and other cities are not prepared to face world-wide
challenges of climate change, including rising sea levels, flooding
and other disasters.
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6. Urbanization is inevitable, but that urban planning and
development policies should be more balanced. Among
other things, these policies should :
– Encourage medium and small town development in hierarchy
throughout Indonesia;
– Provide better, basic infrastructure, facilities and services;
– Organize for better urban management, good governance and
regional cooperation.

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 3. Policy Issues Related to Indonesian Urban Planning
and Development

1. Urban development planning and implementation policy

should be “people-oriented”, especially “pro-poor”, and
providing lower income families with access to basic public
services.
2. Critical need to reverse urban development trends to create
a new paradigm which reflects a more broadly shared vision
of urban development which is more integrated.

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3. This new paradigm should begin to address some of Indonesia’s
current urban problems, including ;
– Spatial planning system should be more integrated (i.e., less
fragmented), allowing for realistic standards of open space, roads,
and other space use;
– Infrastructure systems – including water supply, sanitation, sampah,
drainage, roads/public transport, and KIP – all need to be integrated:
• By scale from individual buildings local community (kelurahan)
municipality (kota) region
• This integration must not only be technological/sectoral, but institutional
and financial.
4. Spatial planning and infrastructure systems must be people and
ecologicaly-friendly settlements,

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