Who runs our cities? - Alfred Herrhausen Gesellschaft

Tuesday 25 November 2015
Who runs our cities? How governance structures around the world compare
As the planet becomes more urbanised and cities become larger, more complex and fragile,
questions about governance become ever more significant
Who governs London? Photograph: LSE Cities
On Valentine’s Day 2014, Delhi’s chief minister Arvind Kejriwal resigned. Opposition politicians
blocked his anti-corruption bill in the state assembly because, they argued, it was unconstitutional to
introduce legislation that did not have the approval of the federal government. A full year of
President’s Rule ensued with the city’s administration effectively paralysed, leaving the capital of the
world’s biggest democracy without local representation.
Speaking at an Urban Age conference in Delhi during that year, Gerald Frug, professor of local
government law at Harvard University, stated that “cities ought to be able to make policies that
improve the lives of their own citizens”. But, he continued: “The more basic question for urban
dwellers today is: who decides who decides? Who has the power to allocate decision-making
authority?”
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This question is as pertinent to the residents of Delhi as it is to the residents of Mexico City – which
Guardian Cities visited earlier in the month. In fact, only 40% of the 22 million people who live there
are represented by the mayor of Mexico City DF (Distrito Federal) with the balance falling under the
jurisdiction of the State of Mexico, one of the 31 that make up the Mexican nation. It is not by
chance, perhaps, that president of the country Enrique Peña Nieto was, until recently, the governor
of this populous state.
Londoners, New Yorkers, Mumbaikers and Paulistanos are equally exercised by who runs their city.
This concern reflects a general trend towards “urbanising” government in developed and developing
countries that are grappling with the need to re-think urban planning, investment and finance in the
context of diminishing public funding and an increase in the role of the private sector. As the world
becomes more urbanised, these governance questions become magnified in significance as cities
become larger, more complex and more fragile.
Who decides who decides? Who has the power to allocate decision-making authority?
Gerald Frug
The geographic reach of a mayor’s jurisdiction is only one parameter in the rich debate among
academics and policymakers about urban empowerment and democracy. The role of central
government, the state (as in US’s Texas or India’s Maharashtra), regions, municipalities, publicprivate partnerships, quangos, community groups and other stakeholders preoccupy urban
commentators, as does the hotly debated subject of devolution v centralisation and associated fiscal
autonomy.
In some parts of the urban world – especially in Western Europe and South America – a broader,
local coalition of city governments, private and civil society actors are increasingly having their say in
determining municipal futures. In others – most notably the US, India and China – the central and
federal government or state authorities seem to have kept their grip on the governance of cities.
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How cities are governed: city v metropolitan area populations. Photograph: LSE Cities
The Urban Age at LSE Cities has carried out new research which aims to shed some light on the
current debate about the dynamics of urban governance. It has investigated the “fit” between the
size of the administrative boundary controlled by city governments (usually led by a mayor, city
manager or governor) and the extent of the “wider functional metropolitan” area of 35 cities and
undertaken a detailed analysis of the governance arrangements of complex cities like London, Delhi,
Bogota and Tokyo.
Like patterns of urbanisation across the globe, governance arrangements between some of the
world’s largest and fastest growing cities diverge widely. Only a handful of city governments of the
developed and developing world have control over their metropolitan area, reflecting different
institutional arrangements and the protracted time-lag required to align urban growth “on the
ground” with political boundaries.
Of 35 cities studied, the governor of Lagos oversees the urban futures of 100% of the estimated 21.5
million people living within the functional urban region. The powerful mayor of Istanbul (where
President Recep Erdogan of Turkey built his political base as mayor before entering the national
stage) has a similar level of geographic oversight over its 14 million inhabitants, as does the chief
executive of 7.2 million residents of Hong Kong. Chinese cities such as Beijing and Shanghai (with
over 50 million inhabitants between them) control around 80% of their functional metropolitan area.
At the other extreme, only 8% of Manila’s estimated 22.5 million metropolitan dwellers live under
the eye of the mayor of Manila, 19% of metropolitan Parisians are represented by recently elected
mayor Anne Hidalgo (who stands for the 2.3 million residents living within the Périphérique orbital
motorway) and only 3.9 million Los Angelenos are represented by their mayor, a modest 23% of the
17.3 million people of the greater Los Angeles metropolitan area.
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While 8.6 million Londoners have been governed by a directly elected mayor since 2000, they still
only represent 39% of the number of people who make up the more extensive economic region of
the South-East of England, which contains 21.8 million people. Similarly, the governor of Tokyo is
responsible for only 34% of what today is still one of the largest metropolitan agglomerations on the
world with nearly 40 million inhabitants.
60% of the Greater London Authority budget is spent on transport, with nearly a third on police and
security
To better understand the hierarchy of decision-making in London and other global cities, the Urban
Age has created a series of diagrams that capture their governance structures, political
representations and budgets. Unsurprisingly, no clear pattern emerges.
Following the abolition of the Greater London Council in 1985 and the implementation of the Greater
London Authority Act in 1999, Londoners have been governed by a relatively innovative and “slim”
administrative structure. The mayor sets the strategic framework for all of London’s 33 boroughs
(including the Corporation of London) and has executive powers over a number of city-wide areas
including transport (the mayor chairs Transport for London), policing, fire and emergency services,
inward investment and, to a degree, regeneration and housing. Other areas such as education and
health are controlled by central or local government. Unlike other nations, there is no state or
regional level of governance in the UK, as there is in Germany or the US.
The London mayor has the largest electorate in the UK, and one of the largest in Europe, with 5.8
million voters entitled to take part in elections every four years. The 25 directly elected members of
the London Assembly have the responsibility of scrutinising the Mayor’s Office. Local boroughs, made
up roughly 200,000-300,000 residents, are responsible for most other services including schools,
social services planning, environment and waste collection. 28 of the 33 borough leaders are
indirectly elected through the borough councils, with four borough-level mayors directly elected. The
lion’s share of the GLA budget is spent on transport (60%), with nearly one-third on police and
security.
The political representation of Delhi. Photograph: LSE Cities
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In contrast to London, Delhi’s administration is dominated by central and state governments, leading
to the tensions which caused municipal meltdown last year. The National Capital Territory (NCT) of
Delhi is one of India’s 29 states, with a population of 16.6 million. Its powers are closely dependent
on the Indian national government. At the state level, powerful bodies such as the Delhi
Development Authority and the Delhi Police are centrally supervised. Executive power is exerted
through the chief minister of Delhi, who is elected by 70 members of the Delhi Legislative Assembly.
The central government appoints the lieutenant governor. At the local level, there are 11 districts
administered through four Municipal Corporations and, partly, by the Delhi Cantonment Board. The
executives within these institutions are appointed by national ministries.
In 2012, a change in legislation saw the Delhi Municipal Corporation split into three separate
corporations: the East, South and North Delhi Corporations, each with their own commissioner and
mayor. 22% of the NCT’s budget is allocated to public transport and 13% to urban development and
housing, which still features significant levels of informal and sub-standard accommodation for the
city’s underclass.
At the opposite end of the scale, in terms of development and efficiency, the Tokyo metropolitan
region remains the largest urban agglomeration in the world with a population of 38 million people.
Despite its size, it has developed an articulated metropolitan governance system that responds to its
specific economic, environmental and social challenges, with one of the most sophisticated and
efficient integrated public transport systems in the world.
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How Tokyo is governed. Photograph: LSE Cities
Given the size and economic weight of the greater Tokyo area, the directly elected governor of Tokyo
is the second most powerful figure in Japan after the prime minister, with an electorate of 9.6 million
residents. 127 members of the Tokyo Metropolitan Assembly are directly elected. The Tokyo
Metropolitan Government (TMG) administers a total of 62 municipalities which include 23 special
wards, 26 cities, five towns and eight villages. Each of these 62 units has a directly elected mayor and
assembly who serve office for four years.
While the TMG handles broader administrative works, local municipalities are responsible for local
services such as education, health and welfare. The 23 special high-density wards are home to major
business activities, with different needs from the other municipalities in the prefecture. 16% of the
TMG budget goes to education, 14% to transport and civil engineering, 14% to social welfare, and
15% is allocated to more local special ward initiatives.
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The political representation of Bogotá. Photograph: LSE Cities
The limelight has recently returned to Bogotá, the capital of Colombia, whose voters re-elected
Enrique Peñalosa as mayor after a period of 14 years. The directly elected mayor of this city of over 7
million inhabitants is not allowed to hold office for more than one four-year term consecutively (by
contrast, Michael Bloomberg succeeded in changing the law in New York City to be elected for a third
consecutive term from 2009 to 2013).
While the city formally lies within the Department of Cundinamarca, it is administered independently
from the rest of the state and has a degree of autonomy, with 45 directly elected councillors on the
Bogotá City Council. Like the UK and unlike India, the power of the regional state is not dominant in
city governance structures. The mayor of Bogotá has relatively strong powers across many different
sectors including education, health and transport, while the 20 local administrative boards, each
made up of between seven and 11 members, have relatively few responsibilities compared to local
boroughs in other cities.
Following Colombia’s constitutional reform in 1991, the mayor’s and city council’s direct influence
over transport, health, environmental and educational policies account for the city’s ability to invest
in infrastructure and transport initiatives, including the Transmilenio Bus Rapid Transit system, the
ciclovía network of cycle ways, and the provision of high-quality schools and libraries near the city’s
most deprived communities. Some 26% of the city budget is allocated to education, with 17% on
health and 13% on transport.
Urban Age is a worldwide investigation into the future of cities, organised by LSE Cities and Deutsche
Bank’s Alfred Herrhausen Society. Its 10-year anniversary debates are held in conjunction with
Guardian Cities.
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