Catalytic Programme & Resource Planning
Catalytic Urban Development Programmes
The Built Environment Value Chain starts with a process of spatial targeting flowing from the Metros’ spatial planning. Spatially targeted areas are prioritised and plans developed for the priority precincts within these prioritised areas. A catalytic urban development programme is developed out of this precinct plan, and this programme and the projects within it undergo preparation towards implementation.
Catalytic urban development programmes are specifically defined as programmes that:
- Enable integration, that is, mixed and intensified land uses where the residential land use caters for people across various income bands and at increased densities that better support the viability of public transport systems;
- Are game changers in that the nature and scope of the projects are likely to have significant impact on spatial form and unlock economic activity;
- Involve major infrastructure investment;
- Require a blend of finance where a mix of public funds is able to leverage private sector investment as well as unlock household investment; and
- Require specific skills across a number of professions and have multiple stakeholders
Catalytic development programmes are an ensemble of all related projects (public: municipal, public: non-municipal and private [PPPs, SPVs, and pure private development] projects) needing to be implemented within a priority precinct of a specific spatial targeted area and from which the total intergovernmental project pipeline is identified and updated for all public sector projects in the programme. At the same time, it must be demonstrated how private sector and household investment is leveraged within the programme.
The catalytic programme preparation process is therefore aimed at delivering a series of built environment projects to be implemented by either national, provincial, municipal or the private sector which will progressively put cities on the path to achieving compact cities and transformed urban spaces. This process is illustrated in the following figure:
The catalytic programme preparation process is therefore aimed at delivering a series of built environment projects to be implemented by either national, provincial, municipal or the private sector which will progressively put cities on the path to achieving compact cities and transformed urban spaces. This process is illustrated in the following figure:
Figure: Schematic Process Diagram For ( I ) Urban, Integration Zone & Precinct Spatial Planning, ( I I ) Programme Development Preparation For Integration Zone, Precinct & Catalytic Development Programmes And ( I I I ) Project Implementation For Municipal, Public- Private Partnership, Special Purpose Vehicle And Private Master Development Projects
Metropolitan municipalities have direct control over their projects within the catalytic urban development programme and indirect influence (although substantial) over the rest of the projects that make up the programme. Not all projects require extensive project preparation focus, only key projects. Metros should as far as possible enable the leveraging of investment in catalytic urban development programmes through individual project partnership arrangements using public expenditure to influence the location of investment by firms and households, e.g. identifying land to be serviced and packaged for development in particular spaces while using development control measures to discourage development elsewhere (e.g. Integration Zones in relation to other spaces). Collective investment from the public and private sector in specific urban spaces will enable these programmes to play an important role in spatially transforming cities by providing key services and developing mixed use, higher density developments.
A portfolio management approach for the catalytic programmes at the city level is required. That is the centralized management of the processes, methods, and technologies used by the programme and project managers and programme/ project management offices (PMOs) to analyse and collectively manage current or proposed catalytic programmes and associated projects. These catalytic urban development programme portfolios of the metropolitan municipalities will be amalgamated at the national level by National Treasury for the purpose of providing specialist technical support, aligning public investment across the spheres and entities, as well as attracting private sector funding.
A focus on the portfolio rather than individual projects only (whether mega, large or small projects) will enable effective identification, description and tracking of such interventions. Projects within a programme can be prioritised and sequenced in terms of dependencies (for instance, which projects are needed to unlock resources, align with budget cycles, are in states of readiness, respond to market conditions, as well as manage political expectations). Projects within such a portfolio can be supported to manage potential risks and clearly demonstrate the consequences of delays. It will also allow for improved resource allocation across spheres and entities, clearer monitoring, better project management and improved political reporting and project marketing. Careful thought should be given to how this approach can be inclusive of intergovernmental role players and the private sector, effectively.
A portfolio management approach for the catalytic programmes at the city level is required. That is the centralized management of the processes, methods, and technologies used by the programme and project managers and programme/ project management offices (PMOs) to analyse and collectively manage current or proposed catalytic programmes and associated projects. These catalytic urban development programme portfolios of the metropolitan municipalities will be amalgamated at the national level by National Treasury for the purpose of providing specialist technical support, aligning public investment across the spheres and entities, as well as attracting private sector funding.
A focus on the portfolio rather than individual projects only (whether mega, large or small projects) will enable effective identification, description and tracking of such interventions. Projects within a programme can be prioritised and sequenced in terms of dependencies (for instance, which projects are needed to unlock resources, align with budget cycles, are in states of readiness, respond to market conditions, as well as manage political expectations). Projects within such a portfolio can be supported to manage potential risks and clearly demonstrate the consequences of delays. It will also allow for improved resource allocation across spheres and entities, clearer monitoring, better project management and improved political reporting and project marketing. Careful thought should be given to how this approach can be inclusive of intergovernmental role players and the private sector, effectively.
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