Mega Cities

Mega Cities General

* Not measured by economic, cultural and political influence, mostly population: >10 million people (therefore majority of megacities are in developing countries) 
* Largest cities no longer most important cities in global economy
* Puts stress on scarce resources and major contributor to environmental degradation
* Developing world megacities are growing  faster than major urban centres in developed nations

Over-urbanisation

excess of urban residents that economies of cities cannot support with jobs. Struggle providing basic services through disproportionate revenue/taxation increase to population growth. Result of rural-urban migration

Over-ruralisation

rapid population growth that the rural economy cannot support as local people are being controlled by corporations via purchase of land and expansion of export-oriented cash cropping.

Characteristics of Megacities Economies

Perform national or international functions (high-order business services banking, finance etc) but all megacities have large informal sectors

* 69% of Lagos’s total employment is informal
* 65% of Dhaka, 68% of Mumbai and 67% of Kolkata. 

Major manufacturing centres

* Mumbai, Kolkata and Seoul have employment here in 35-40% range
* Manila and Dhaka is \~23%

Characteristics of Employment in Megacities

* International division of labour (shift of labour-intensive manufacturing to cheap developing countries) is redefining employment structure in megacities
* TNCs have increased employment in manufacturing
* Population composition is changing due to international migration 
* Workers come over to send money they earn to families

Characteristic of Inequality in Megacities

* __Rich__ confined themselves to well-resourced, exclusive communities with privatisation schemes to develop own basic service structures
* __Poor__ are confined to unplanned/squatter settlements where local governments cannot provide basic needs for them

Employment Challenges in Megacities

* Absence of properly planned and managed urbanisation means labour markets cannot cater to all job seekers (high level of unemployment and underemployment in megacities) 
* ILO suggests that 20-25% of urban adults in developing world cities have no regular work
* ¼ of urban population in developing countries live in absolute poverty

Alleviating Poverty in Megacities

1. Done by higher levels of productivity
2. Employment opportunities
3. Improved quality of life via better education and  health
4. Large-scale public investment
5. Access to improved infrastructure and services 

* 1980s → 77% Asia under poverty line, in 2015 → 11%
* China urbanisation pulled 680 million people out of extreme poverty between 1981-2010
* 1980 → 84% to 2013 → 10% in poverty

Informal Economy Employment in Megacities

* Poor resort to making own employment when there are few formal job opportunities
* Cheap goods and services with high exploitation (low wages, poor conditions, child labour)
* UN estimates 37% of people in megacities in developing world are in informal sector

Promoting Employment in Formal Sector of Megacities

 Goods infrastructure encourages domestic and foreign investment which makes large scale job creation e.g. 

* Planners can attract investors in making private sector development (processing zones, industrial parks etc)
* Linking industrial zones with seaports and airport reduced time/cost/inconvenience of shipping goods 
* TNCs take advantage of CHina’s concessions and invest in new production facilities 
* Contribution to new international division of labour, shiftings manufacturing activities from developed to developing countries in Asia

Promoting Employment in Informal Sector of Megacities

low pay, productivity, security can be improved by: 

* New laws and regulation to encourage formalisation of enterprises
* Assistance to small enterprises to upgrade skills and increase access to opportunities and resources sometimes via microfinance (small loans)

Benefits of Microfinance in Megacity (Informal Sectors)

Can assist urban poor to start/expand small businesses, and transition into formal economy 

* NGO-led banking services to urban poor
* Small loans and provision of credit help self-employment projects generate more income
* World Bank estimates >700 microfinance institutions

Housing Challenges in Megacities

Population growth is faster that growth in housing supply, makes housing expensive, people resorting to inadequate housing

* Right now, 30% of urban population lives in slums (881 million)
* By 2025, 1.6billion will require adequate affordable housing
* 40% of Karachi, Pakistan live in slums/squatter settlements
* 66% Mumbai, India live in Shanties
* 32% in Manila, 50% in Mexico City, 55% in Lima, 60-70% in Zambia, 80% in Caracas and 90% in Ghana, 50% in Delhi

Lack of Services due to Lack of Housing in Mega Cities

* Informal settlements are unplanned, unmonitored and unprovided for by authority so they lack basic services (water, electricity, roads, drainage, infrastructure) 
* They improvise by making shallow wells, defecate in street, illegally connecting to power supply lines, but their settlements are often flooded (no drainage)

Government Strategy to Target Spontaneous Slums

* For >50 years, strategies such as denial, tolerance, formalisation, demolition and displacement have been trying to quell rise in informal settlements
* Does not recognise source however: poverty and inequality

Mega Cities

very large agglomerations of \>10 mil inhabitants

Formal Sector

area of economic activity formally recorded by state, who can also intervene directly or indirectly

Guest worker

foreign worker who is permitted to enter a country temporarily in order to take a job for which there is shortage of domestic labour

Informal Sector

economic activity not regulated by labour, taxation laws or monitors for inclusion in GDP (like street vendors)

Megacity

very large urban agglomeration of \>10mil people

Microcredit

extension of small loans to entrepreneurs who are too poor to qualify for traditional bank loans. enables very poor people to engage in self

New International Division of Labour

late 20th century set of global economic relationships characterised by growing dominance of service industries in global economic core (developed countries) and shift of manufacturing to developing worlds

Primate City

a city that dominates the urban system, government, economy, and culture of a region or country; primate cities are much larger than the second

Squatter/spontaneous settlement

roughly built dwelling that is characteristic of those in many cities in developing world; generally inhabited by rural migrants seeking employment

Meeting House Needs of Poor

* Resettlement of slums → socially disruptive + moved to locations that reduces access to informal economy
* Some argue upgrading settlements is needed
* Can attract more people
* These projects (below) preserve: existing economic systems, low cost housing in accessible locations, community and family structures

Meeting House Needs of Poor, Site-and-Service Projects

* Provision of urban land that’s divided into plots to provide basic services (electricity, water, sanitation)
* Plots then sold/leased to those that want to build homes (provides capital + shift housing burden from government)
* Used in India, Brazil, Zambia

Meeting House Needs of Poor, Upgrading Projects

* Aim to transform areas that provide shelter close to employment opportunities
* Doesn’t clear, simply install new infrastructure (water, sewers, electricity, street paving, schools)
* Financial + building assistance can be granted

Meeting Needs of Poor - Core housing projects

Construction of concrete structure with water + toilets → up to occupants to complete house

Megacity Challenges, Infrastructure - Water and Sewage

* Karachi supplies piped water to only 40% of its population
* In Jakarta >80% have no direct connection to piped water, 40% buy water from street vendors
* Hard to manage as informal settlements can be erected in short periods of time (days)
* Cairo ½ sewage is dumped, untreated into the Nile (primary source for irrigation + domestic use)
* Low cost systems implemented → hand pumps + pour-flush toilets

Megacity Challenges, Infrastructure - Energy

* Residents rely on other energy sources (eg kerosene) or illegally connect to power lines
* India - almost 300 million rely on kerosene for lighting
* Kerosene releases carbon monoxide, sulphur dioxide, nitrogen oxides which increases risk of respiratory infections + increases risk of fire
* Pollinate Energy charity - created a solar light that was paid on a deferred payment plan over 10-12 weeks to make it affordable

Megacity Challenges, Infrastructure - Waste Disposal

* Proportion of solid waste collected - Jakarta = 25%, Karachi = 33%, Kolkata = 55%
* Recycling of solid waste becomes source of income
* Beijing - 100000 rural migrants scavenge 20,000 tons of waste for recyclable material and they earn US$50 a month 
* Jakarta - clogged waterways increase severity of floods (killed dozens of people)
* Government hasn’t provided funds to dredge rivers/canals (20% of waste ends up here)
* Unchecked development has led to ponds, swamplands, open spaces being paved over

Megacity Challenges, Infrastructure - Congestion

Jakarta:

* Gridlock of cars during 5am-8am + 5pm-8pm

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Mumbai:

* 90% of commuters use railway systems (200 trains make over 2000 trips per day)
* MUIP (Mumbai Urban Infrastructure Project) - strengthen transport infrastructure + improve trains
* Phase I (2002-2011) → construction of link roads, eco friendly buses, air quality monitoring, improvement to rail (line extensions, new maintenance facilities) 
* Phase II → additional rail tracks, new rolling stock, station improvement, trespassing controls
* Phase III → fast transport corridor from main rail terminal to city of Panvel and to new Navi International Airport (to be completed 2031)

Megacity challenges, health: transmission of infectious diseases

* mainly airborne respiratory diseases (colds, pneumonia, tuberculosis)
* spread quickly in crowds + due to poor personal hygiene

Megacity challenges, health: mental health

* stress, depression, and other psychological disorders
* caused by lack of privacy and poor livelihoods

Megacity challenges, health: food contamination

* caused by lack of food preparation and safe storage
* many purchase good from street vendors (food prepared in unsanitary conditions as sector is poorly regulated)
* contributes to premature child death (from diarrhoea + dysentery)

Megacity challenges, health: rats, fleas, bubonic plague

* Black death still affects urban life in some megacities in less developed countries
* eg. Madagascar had an outbreak in November 2014

Megacity challenges, health: diarrhea

* symptom of many infections (bacterial / viral / parasitic organisms)
* mostly spread by faeces contaminated water 
* common where lack of safe water for drinking / cooking / cleaning / sanitation
* 2nd leading cause of death in children under 5 (kills 525,000 a year)
* nearly 1.7 billion cases of childhood diarrhoeal disease globally a year

Megacity challenges, improving health:

* Need medical services, cleaning up settlements, access to clean water and sanitation
* Mumbai - 5.3 million kg of trash was removed from Versova beach as a volunteer led cleanup
* SlumAid - aim to improve health of people that live in slums through disease control + nutrition
* Mumbai - mobile health clinics to treat eczema, common colds, leprosy, tuberculosis

Megacity Challenges, Air pollution

* Sulphur dioxide emissions remain an issue, high levels of lead (from leaded petrol), nitrogen oxides (from cars)
* Can cause asthma + bronchitis
* Knowledge-based development - providing knowledge to people on how to deal with these issues 
* New Delhi - common for air borne particles to be > 900 micrograms per cubic metre (90 times over WHO safe limit)
* Short term measures - banned construction + shut down coal fired power plants
* Long term - stricter emissions controls for cars + tax on diesel fuelled vehicles entering

Response to Challenges

* NGOs + community groups important in: articulation of interests/needs, mobilisation of local resources, implementation of self improvement programs
* Karachi - NGOs provide water pipes, septic tanks, sewage systems in unauthorised settlements 
* Environment Management Action Plans (EMAP) - aim to reverse environmental degradation caused by urbanisation, industrial pollution, neglect
* In major asian cities - Beijing, Mumbai, Colombo, Jakarta, Manila
* Lack of financial resources hinders community based development - However, once organised communities can contribute own financial resources (eg. credit unions, community based banks)

Response to Challenges, Jakarta

* Kampongs (informal settlements) lack paved roads, drainage, clean water, sanitation
* Government now encourages councils + local sector to be more involved to allow active participation in their own development
* Eg. local council organised gardening and clean up program
* ‘Healthy Places, Prosperous People’ - NGO led program that encourages residents to work with local government to address water, sanitation and solid waste issues

Response to Challenges, Dhaka

* Slum Improvement Project (SIP) - local government initiative to provide physical, social economic services
* savings/credit program → empowered women through community involvement which enhances economic independence in families and communities
* Raised awareness of health and sanitation practices - decreased disease reports