Territorial and Regional Development Strategies in Korea

Transcription

1 Territorial and Regional Development Strategies in Korea Won Sup Lee Senior Research Fellow Korea Research Institute for Human Settlements

2 Contents I. Korea s Territory II. Policy Framework and Major Issues III. History of Policies IV. Recent Policies

3 I. Korea s Territory

4 Korea in Northeast Asia 2

5 Geography and Land Use Location and Area The Korean Peninsula lies on the northeastern section of the Asian continent, sharing border with China, Russia and Japan South Korea encompasses a total of 100,210 square kilometers, including about 3,200 islands mostly in the southwest Land use and Natural Environment Land use is consisted of 64.5% of forests, 20.3% of arable land and 6.6% of urban land High mountains are located along the Grand Baekdu Mountains running along the east coast, north to south direction Climate is characterized by the Asian monsoon system with distinct four seasons and annual mean temperature of 6-16 degrees 3

6 Population Total population of Korea is about 50 million in 2010, doubled from 25 million in 1960 Annual population growth rate fell sharply over time, from 3% in the 1960s through 1.5% in the 1980s to below 1% after the1990s 4

7 Age Structure Changes 5

8 Age Structure, Urban/Rural 6

9 Urbanization Population is heavily concentrated in a few regions, with the capital region accounts for 49.5% and 7 metropolitan cities account for 45.9%, while share of rural regions is less than 10% Urbanization rate is 90.9% with major cities including Seoul (10.2 mil), Busan (3.6 mil), Incheon (2.8 mil), Daegu (2.5 mil), Daejeon (1.5 mil), Gwangju (1.5 mil) and Ulsan (1.1 mil) Nation 24,989 31, ,390 47,964 50,516 Urban 9,784 15,750 25,738 35,558 42,375 45,933 Rural 15,205 15,685 11,711 7,832 5,579 4,583 Urbanization

10 Population Distribution 8

11 Population Change & Movement Population growth rates, Share of resident born in same area 9

12 Major Indicators of Korea (2010) Area size Km² 100,033 Population thousand 49,410 Urbanization rate % 90.9 GDP billion dollar 1,015 GDP, per capita dollar 20,562 Export billion dollar 466 Internet use household % 77.8 College student thousand 2,951 Literacy rate %

13 Subdivision of Regions 7 Metropolitan cities (Shi) 9 Provinces (Do) 74 Cities (Shi) 86 Counties (Gun) 69 Districts (Gu) Gyeonggi - Do Incheon Seoul Chungcheongnam - Do (Chungnam) Daejeon Gangwon - Do Chungcheongbuk - Do (Chungbuk) Gyeongsangbuk - Do (Gyeongbuk ) Regional governments administer metropolitan cities and provinces, and local governments administer cities, counties and districts Jeollabuk - Do (Jeonbuk) Gwangju Jeollanam- Do (Jeonnam) Jeju- do Daegu Ulsan Gyeongsangnam - Do (Gyeongnam ) Busan N ( km) 11

14 Hierarchy of Regional Administration Regional Government Special City (1) Metro City (6) Province (8) Special Province (1) Local Government Gu(25) Gu(44) Gun(5) Shi(74)/Gun(80) Shi(2) Gu(33) Community Center Dong (424) Dong (679) Eup(10) Myeon(36) Eup(199) Myeon(1,157) Dong(934) Eup(7) Myeon(5) Dong(31) 12

15 II. Policy Framework and Major Issues

16 Legal Framework of Spatial Policy The Framework Act on National Territory (2002) The act is the fully revised version of the Act on the Comprehensive Territorial Development and Planning (1963) The act stipulates basic guidelines on the planning, making and implementing of spatial policies, including the Comprehensive National Territorial Plan (CNTP) The act specifies basic principles of territorial policy and planning : balanced development of national territory (Article 3), creation of conditions for competitive national territory (Article 4), and environment-friendly territorial management (Article 5) 13

17 Hierarchy of Spatial Plan CNTP Provincial Plan City/County Plan Regional Plan Area-wide plan Capital region plan Special region plan Development promotion zone plan Border region plan etc Sectoral Plan Transportation Housing Water resource Culture & tourism Information Industrial location etc 14

18 Hierarchy of Spatial Plan Three Tiers of Territorial Plan National government makes the Comprehensive National Territorial Plan (CNTP) as the guiding plan for regional and local plan Regional governments make the Comprehensive Provincial Plan, while local governments make the Comprehensive City/County Plan Regional Plan and Sectoral Plan Regional plan covers a single or multiple administrative areas, usually for economic regions, capital region, special purpose areas, and less developed areas Sectoral plan covers the whole nation for specific policy areas such as transportation, housing, water, environment, etc. 15

19 Major Policy Agenda Reducing Regional Disparities The most important issue in regional policy is disparities between the capital region and other regions, urban and rural areas, and metropolitan and non-metropolitan regions A distinct feature of regional policy is to counteract the overconcentration into the capital and assist depressed regions Addressing Problems of Less Developed Areas Large portion of provincial regions suffer from problems such as population decrease, lacking socio-economic vitality, losing competitiveness potential and deteriorated living condition Regional policy aims to reduce spatial disparities by fostering regional economic capacities and improving living conditions of less developed areas. 16

20 Major Policy Issues Spatial concentration into the capital region Area 11.8% Population GRDP 50.1% 48.8% R&D expenditure Bank deposit 64.1% 70.0% Government agencies 100 Largest corporations 85.0% 91.0% 17

21 Major Policy Issues Depressed regions suffer from depopulation due to migration of young people to urban regions Area Depressed regions Other regions Population 92.6% 48.8% 51.2% % Depressed regions Other regions 18

22 III. History of Policy

23 Paradigm Shift in Spatial Policy Main Emphasis s 1980s 1990s 2000s Growth pole development and industrialization Control of the capital region and decentralization Promotion of provincial regions and localization Balanced development and competitiveness 20

24 Policies in the s Growth Pole Development and Industrialization Regional policy aimed to develop selected growth poles specialized in heavy and chemical industries such as steel, machinery, chemical, shipbuilding, non-metallic, and electronics industries Large-scale industrial complexes were developed in Ulsan, Pohang, Changwon, Gumi, Yeocheon, Okpo and other cities mostly along the southeast coastal regions, leading a rapid growth of the cities Growth pole strategy resulted in the spatial concentration of manufacturing industries and population, creating disparities between the regions with the poles and without the poles 21

25 Industrial Complexes 22

26 Industrial Complexes Total 901 complexes 40 National complexes 434 General complexes 6 Urban high-tech complexes 421 Rural complexes Engine of Korean economy 58,761 operating firms 1,576,968 employed 343 billion dollars export 27

27 Policies in the s Special Development Areas Legal basis of regional policy was the Law of Comprehensive National Territorial Planning and Construction enacted in 1963 According to the law, the special development area was designated to Seoul-Incheon in 1965, followed by Jeju Island in 1966, Ulsan, Yeongsan River, Asan-Seosan and Taebaek Mountains in 1967, and Yeongdong-Donghae in 1976 Earlier special development areas were focused on the promotion of industrial location, tourism and natural resources After the 1980s, 7 special development areas were designated to islands, mountains, cultural areas and border regions to lead the development of regions based on culture and tourism 24

28 Progress in the 1970s Indicators Unit GNI per capita US dollars 254 1,645 Urbanization % Express way km 551 1,225 Pavement of road % Electrification of railroad km Electric power generation Gwh 9,167 37,239 Number of automobile Housing stock 000 4,360 5,319 Water supply capacity 000 tons/day 2,166 6,756 25

29 Policies in the 1980s Addressing Spatial Concentration and Disparities Major policy goals in the 1980s were to reduce widening gaps among regions and population concentration in the capital region Various measures including the Capital Region Readjustment Planning Act (1982) were implemented to lessen the concentration of population and industry into the capital region According to the Act, the First Capital Region Readjustment Plan ( ) was implemented, and the Second Plan ( ) and Third Plan ( ) thereafter, but not much success in curbing the expansion of the capital region 26

30 Policies in the 1980s Approaches to Regional Development Introduced the concept of regional living space as the spatial unit for self sustained development Considering the characteristics and size of the living space, 5 metropolitan spaces, 17 provincial city spaces and 6 rural city spaces were designated Two tiers of growth poles were designated, with the first tier consisted of 3 major provincial cities, and the second tier consisted of 12 medium sized cities Later in the 1980s, regional economic sphere development program was introduced to promote balanced development 27

31 Policies in the 1980s Major Policies Implemented Development of Industrial complexes was focused on medium and small cities and also rural areas, with 20 complexes built in cities and 266 in rural areas until 1997 Comprehensive development projects were implemented in Gwangju and Jeonju area located in less industrialized southwest region with the assistance of the World Bank Special development area projects were implemented in 5 areas, mostly islands and mountain regions Large scale living environment improvement projects such as 5 million housing construction and 5 new towns development began to implement in the capital region from the late 1980s 28

32 Progress in the 1980s Indicators Unit GNI per capita US dollars 1,645 6,147 Urbanization % Express way km 1,225 1,551 Pavement of road % Electrification of railroad km Electric power generation Gwh 37, ,670 Number of automobile ,395 Housing stock 000 5,319 7,357 Water supply capacity 000 tons/day 6,756 16,274 29

33 Policies in the 1990s Responding to Global Changes in Economies and Politics Accelerated globalization and open market policy offered both opportunities and challenges to Korean regions Korea increased exchanges with formerly hostile nations such as Russia, China and Eastern European countries as well as North Korea, opening new opportunities for economic growth Regional policy emphasized the adaptation of regions to globalization and localization Government implemented policies focusing on the deregulation of land use, demand oriented industrial complex development and more strict feasibility test on regional development projects 30

34 Policies in the 1990s Approaches to Regional Development Employed the strategy to build large scale economic bases such as major industrial complexes and area-wide development New policy measures included high-technology industrial complex, multimedia complex and information industry complex Major target of regional development policy was the west coast, Chungcheong and Honam region, with weak production base and living condition compared to the capital region and south east region The concept of new industrial spaces were applied to the west coast region, building new large scale industrial estates and the west coast expressway 31

35 Policies in the 1990s Area-Wide Development Program The program aims to develop major cities and surrounding areas, industrial complexes and hinterlands, and contiguous urban areas together A total of 10 areas were designated except the capital region from1994 to 2005 Development plans are comprehensive, covering themes of industrial location, higher control functions, international infrastructure and sustainable development 33

36 Progress in the 1990s Indicators Unit GNP per capita US dollars 6,147 10,841 Urbanization % Express way km 1,551 2,131 Pavement of road % Electrification of railroad km Electric power generation Gwh 107, ,400 Number of automobile 000 3,395 12,059 Housing stock 000 7,357 11,472 Water supply capacity 000 tons/day 16,274 26,980 34

37 Policies in the 2000s Drive for Balanced National Development Balanced territorial development was pushed strongly by the Participatory Government ( ), attempting to relocate national administration and public organizations away from the capital to the provinces Three types of new cities, an administrative (Sejong) city, 6 enterprise cities, and 10 innovative cities were planned to accommodate public institutions and private investment Regional innovation system and industrial cluster replaced industrial complex as the new engine of regional growth Depressed rural regions were designated as the revitalization areas, receiving support from the central government 35

38 Policies in the 2000s Five Year Plan for Balanced National Development The five year balanced national development plan was implemented according to the Special Act for Balanced National Development, which went into effect in April of 2004 New policy measures for regional development in the plan included regional innovation system, regional strategic industries, industrial clusters, revitalization of depressed areas, and relocation of national public institutions including the government to the provinces Implementation of the five year plan was financed by the special account for balanced national development established by the special act 36

39 Regional Policy in the 2000s Revitalization Area Program The program targeted 70 counties and cities, the lower 30% class of the 234 county level areas in Korea Policy measures include establishing regional innovation system based on education and expert consulting, rural-urban interaction programs, and specialized resource development combined with tourism Government supported financial assistance depending on the degree of deprivation and performance 37

40 Progress in the 2000s Indicators Unit GNP per capita US dollars 10,841 20,562 Urbanization % Express way km 2,131 3,859 Pavement of road % Electrification of railroad km 668 2,212 Electric power generation Gwh 266, ,745 Number of automobile ,059 17,941 Housing stock ,472 17,672 Water supply capacity 000 tons/day 26,980 30,936 38

41 IV. Recent Policies

42 Spatial Strategies, Lee Myung-bak Government s 3 dimensional approach Scope Direction Financing Local Area 163 cities and counties Basic needs and QOL enhancement Local development account (special account) Mega Economic Region 5+2 economic regions Regional competitiveness, inter-provincial cooperation Regional development account (special account) Supra- Economic Region 4 + α develop. axes Globally open and competitive territorial belts General account and private investment 40

43 Mega Economic Region Development Objectives and Framework Mega economic regions are proposed for global competitiveness by overcoming the limitation of administrative boundaries, maximizing scale and network economies 7 metropolitan cities and 9 provinces are regrouped into 5+2 mega economic regions Capital Region Chungchung Region Honam Region Jeju Region Gangwon Region Daekyung Region Dongnam Region Source: Presidential Committee on Regional Development 42

44 Mega Economic Region Development Strategies Building infrastructure with global perspectives (eg. airports, seaports) Promoting regional economies, including strategic industries and business services Combining industry, human resources and infrastructure Industry Enhance global competitiveness of leading industries Infrastructure Expansion of infrastructure in global perspectives Human Resource Foster universities in line with leading industries 43

45 Mega Economic Region Development Leading Project: Industry Focusing on strategic industries at mega regional level Developing one or two specialized industries in each mega region Promoting R&D and highvalue added s/w-led businesses 5.5 trillion Korean won (3.7 billion USD) to be invested in leading industries Capital Region Knowledge & Information Chungchung Region Bio Medical New IT Honam Region Renewable Energy Components& Material Leading Industries of Mega Regions Jeju Region Tourism, Water industry Gangwon Region Medical Products Medical tour Daekyung Region IT Green Energy Dongnam Region Machinery Components& material 44

46 Mega Economic Region Development Leading Project: Infrastructure Expanding infrastructures linking major cities and strategic growth regions Establishing backbone road and transportation network Connecting major international cities through airports and seaports 50 trillion Korean won (35 billion USD) to be invested into 30 leading infrastructure projects 30 Leading Infrastructure Projects 45

47 Local Area Development Satisfying basic living standards to local residents Enhancing quality of life in such areas as health, education, culture, housing, information, water and transportation Integrate 228 regional development projects into 20 programs by introducing block grant system 46

48 Supra-Region Development Building bases of cooperation between ROK and DPRK N-S Exchange & Border belt Capital Gangwon East Coast Power belt Promoting clean energy, tourism and leisure industries West Coast Industrial belt Chung - cheong Daegyong Developing IT, logistics, steel and automobile industries responding to China s Yellow Sea Zone Honam Dongnam South Coast Sunbelt Nation s 2 nd growth area and center for manufacturing, logistics and tourism Jeju

49 Fourth National Territorial Plan( ) Vision Global green territory Objectives Competitive integrated territory Sustainable and environment friendly territory Attractive territory with high standards Open territory toward the world 51

50 Fourth National Territorial Plan( ) Strategies Reinforcing regional specialization and inter-regional cooperation Creating nature friendly and safe territory Building pleasant and cultural urban and living space Establishing integrated network of green transportation and territorial information system Building bases for new maritime territory open to the world Establishing bases for trans-border territorial management 52

51 Park Geun-hye Government s Approach Vision of the Government A New Era of Hope Priorities of the Government Economic revival Happiness for the people Cultural renaissance Foundation for peaceful unification 52

52 Park Geun-hye Government s Approach Paradigm Shift in National Development Area The Present The Future Focus of policy The Nation Individuals Economic Growth Model Paradigm of social progress Directions of Governance Catching up with advanced nations Input-oriented quantitative growth (economic growth rate) Focused on export, manufacturing and conglomerates, resulting in unbalanced growth (Growth -> Welfare) Linear cause and effect Focused on physical capital (infrastructure) Insensitivity to safety Government-led administration and private-sector conformity Focused on the execution of policies Barriers among ministries and agencies Leading in the global market Productivity-oriented qualitative growth (employment rate) Focus on domestic demand, the service industry and SMEs, leading to balanced growth (Growth<->Welfare) Recognition of the cyclic relationship Focus on social capital (community based on mutual confidence) Safety first Collaborative administration and communication between the Government and private sector Focus on the evaluation of policies Collaboration among ministries and agencies 52

53 Park Geun-hye Government s Approach Regional Development Strategies(under developing) Key regional policy concepts will include creativity (regional economies), happiness (people), cooperation (local governments) and living area (spatial scope) Objectives of regional development include creation of jobs, regeneration of regions and improvement of quality of life Major strategies include the development of city-regions, revitalization of rural regions, improvement of education, culture and welfare system, promotion of regional industries and job creation, and restructuring of governance system and financial instruments 52

54 Major Development Projects Undergoing Innovation City Construction 147 public institutions and 45,000 employees will be relocated from Seoul Capital region to 10 innovation cities and Sejong City 53

55 Major Development Projects Undergoing Saemangeum Development Project Creates 283 km2 of reclaimed land and a lake as large as 118 km2 by constructing the world s longest 33.9km sea dike 53

56 Major Development Projects Undergoing International Science Business Belt 55

57 Major Development Projects Undergoing High-Tech Medical Cluster Daegu (1.03 km2 ) Osong (1.131 km2 ) Key Infrastructure R&D Facilities Communication Center 56

58 Thank You