National Report On Housing & Sustainable Urban Development
NATIONAL REPORT ON HOUSING & SUSTAINABLE URBAN DEVELOPMENTNational ReportonHousing & Sustainable Urban DevelopmentMinistry of Urban Development, Housing and Construction11/30/2014MINISTRY OF URBAN DEVELOPMENT, HOUSING & CONSTRUCTIONPage 1
NATIONAL REPORT ON HOUSING & SUSTAINABLE URBAN DEVELOPMENTFEDERAL DEMOCRATIC REPUBLIC OF ETHIOPIAMINISTRY OF URBAN DEVELOPMENT, HOUSING, AND CONSTRUCTIONCHAPTER IEXECUTIVE SUMMARYCHAPTER IIII.1II.2II.3II.4II.5II.6URBAN GROWTH PATTERNS AND TRENDSMANAGING RAPID URBANIZATIONRURAL-URBAN LINKAGESURBAN YOUTH NEEDSRESPONDING TO THE NEEDS OF THE OLDINTEGRATING GENDER IN URBAN DEVELOPMENTFUTURE CHALLENGES AND ISSUES FOR A NEW URBAN AGENDA11111213131416CHAPTER IIIIII.1III.2III.3III.4III.5SUSTAINABLE URBAN PLANNING AND DESIGNURBAN LAND MANAGEMENTENHANCING URBAN AND PERI-URBAN FOOD PRODUCTIONURBAN MOBILITYTECHNICAL CAPACITY TO PLAN AND MANAGE CITIESFUTURE CHALLENGES AND ISSUES FOR A NEW URBAN AGENDA171819202122CHAPTER IVIV.1IV.2IV.3IV.4IV.5SUSTAINABLE URBAN DEVELOPMENTCLIMATE CHANGEDISASTER RISK MANAGEMENTURBAN TRAFFIC MANAGEMENTAIR POLLUTIONFUTURE CHALLENGES AND ISSUES FOR A NEW URBAN AGENDA242424252627CHAPTER VV.1URBAN GOVERNANCE AND LEGISLATIONLEGAL AND REGULATORY FRAMEWORKS FOR URBANDEVELOPMENTDECENTRALIZED SERVICE DELIVERYENHANCING URBAN SAFETY AND SECURITYSOCIAL INCLUSION AND EQUITYPARTICIPATORY URBAN DEVELOPMENTFUTURE CHALLENGES AND ISSUES FOR A NEW URBAN AGENDA29LOCAL URBAN ECONOMIC DEVELOPMENTIMPROVING MUNICIPAL/LOCAL FINANCEHOUSING FINANCEMICRO AND SMALL SCALE ENTERPRISE DEVELOPMENTCREATING DECENT JOBS AND LIVELIHOODSINTEGRATION OF THE URBAN ECONOMY INTO NATIONALDEVELOPMENT POLICY3838434649V.2V.3V.4V.5V.6CHAPTER VIVI.1VI.2VI.3VI.4VI.5MINISTRY OF URBAN DEVELOPMENT, HOUSING & CONSTRUCTION829293234353751Page 2
NATIONAL REPORT ON HOUSING & SUSTAINABLE URBAN DEVELOPMENTVI.6FUTURE CHALLENGES AND ISSUES FOR A NEW URBAN AGENDA52CHAPTER VII HOUSING AND BASIC SERVICESVII.1SLUM REDUCTION PROGRAMS IN ETHIOPIAVII.2THE INTEGRATED HOUSING DDEVELOPMENTPROGRAM/PROMOTING ACCESS TO HOUSINGVII.3ACCESS TO SAFE DRINKING WATERVII.4ACCESS TO BASIC SANITATION AND DRAINAGEVII.5ACCESS TO CLEAN DOMESTIC ENERGYVII.6ACCESS TO SUSTAINABLE MEANS OF TRANSPORTVII.7FUTURE CHALLENGES AND ISSUES FOR A NEW URBAN AGENDA5353CHAPTER VIII NATIONAL URBAN INDICATORS71CHAPTER IX74REFERENCESMINISTRY OF URBAN DEVELOPMENT, HOUSING & CONSTRUCTIONPage 3576163656769
NATIONAL REPORT ON HOUSING & SUSTAINABLE URBAN DEVELOPMENTLIST OF TABLESTABLE 3 TREND OF THE SIZE AGED POPULATION AND DEPENDENCY RATIO . 14TABLE 6 FEMALE POLITICAL REPRESENTATION . 16TABLE 7 COMPOSITION OF REGIONAL REVENUE (ETB MILLION) - 2010/11 . 39TABLE 9 PER CAPITA STATE REVENUE AND MUNICIPAL REVENUE BY REGION (ETB) - 2011/12 . 40TABLE 10 TOTAL AND PER CAPITA MUNICIPAL REVENUE FOR SELECTED ULGS - 2010/11 . 40TABLE 11 COMPOSITION OF MUNICIPAL REVENUE BY CATEGORY (% OF TOTAL) FOR SELECTED ULGS - 2011/12 . 41TABLE 12 TRENDS OF OWN SOURCE MUNICIPAL REVENUE (ETB MILLION) . 42TABLE 13 TOTAL EMPLOYMENT CREATED BY MSES AND MEGA PROJECTS . 48TABLE 14 HISTORICAL AND AVERAGE GROWTH RATE OF GDP BY MAIN ECONOMIC ACTIVITY AT CONSTANT PRICES (PERCENTAGE) 2010/11BASE YEAR SERIES . 51TABLE 15 HISTORICAL AND AVERAGE STRUCTURAL DECOMPOSITION OF GDP BY MAIN ECONOMIC ACTIVITY AT CONSTANT PRICES(PERCENTAGE) 2010/11BASE YEAR SERIES . 51TABLE 16 URBAN REDEVELOPMENT AND RENEWAL PROJECTS IN ADDIS ABABA . 56TABLE 18 NUMBER OF JOBS CREATED BY GOVERNMENT HOUSING PROJECTS, 2011 . 59TABLE 19 URBAN WATER SUPPLY ACCESS BY REGION AND YEAR (%). 62TABLE 20 ACCESS TO SANITATION FACILITIES. 64MINISTRY OF URBAN DEVELOPMENT, HOUSING & CONSTRUCTIONPage 4
NATIONAL REPORT ON HOUSING & SUSTAINABLE URBAN DEVELOPMENTACRONYMSADBAfrican Development BankARTAnti Retroviral TreatmentCBBConstruction and Business Bank of EthiopiaCBDSDCapacity Building for Decentralized Service DeliveryCBECommercial Bank of EthiopiaCEDAWConvention on the Elimination of All forms of Discrimination against WomenCRGEClimate Resilient Green EconomyCSACentral Statistical AgencyCSOCivil Society OrganizationsDRMDisaster Risk ManagementDRMPDisaster Risk Management ProgrammeECEXEthiopian Commodity ExchangeECSCEthiopian Civil Service CollegeEPACCEthiopian Programme of Adaptation to Climate ChangeEPEEthiopian petroleum EnterpriseERAEthiopian Roads AuthorityETBEthiopian BirrEUEuropean UnionFeSMEDAFederal Small & medium Scale Enterprises Development AgencyGBVGender Based ViolenceGDPGross Domestic ProductGHGGreen House GasesGoEGovernment of EthiopiaGPERGross Primary Enrolment RatioGTPGrowth and Transformation PlanHEWPHealth Extension Workers' ProgrammeHEWsHealth Extension WorkersHFAHyogo Framework of ActionHIV/AIDSHuman Immune-Deficiency Virus/Acquired Immune Deficiency SyndromeIDAInternational Development AssociationMDGMillennium Development GoalsMINISTRY OF URBAN DEVELOPMENT, HOUSING & CONSTRUCTIONPage 5
NATIONAL REPORT ON HOUSING & SUSTAINABLE URBAN DEVELOPMENTMEAMultilateral Environmental AgreementsMoFAMinistry of Federal AffairsMoFedMinistry of Finance and Economic DevelopmentMOLSAMinistry of Labor and Social AffairsMoWCYAMinistry of Women, Children, and Youth AffairsMSEMedium and Small Scale EnterprisesMUDHCoMinistry of Urban Development, Housing, and ConstructionMWUDMinistry of Works and Urban DevelopmentNAMANational Appropriate Mitigation ActionsNAPANational Adaptation Plan of ActionNFCCCUnited Nations Framework Convention on Climate ChangeNLFSNational Labor Force SurveysPASDEPPlan for Accelerated Development to End PovertyPLHIVPersons Living With HIVRAIRoad Sector Development ProgramRSDPRural Access IndexSDPRPSustainable Development and Poverty Reduction ProgrammeSLMSustainable Land ManagementSNNPRSSouthern Nations, Nationalities, and Peoples Regional StateTBTuberculosisTVETTechnical and Vocational Education and TrainingUEAPUniversal Electricity Access ProgrammeUEUSUrban Employment and Unemployment SurveysUGGPUrban Good Governance ProgramULGUrban Local Government Development ProgramULGDPUrban Local GovernmentURRAPUniversal Rural Road Access ProgramUSDUnited States DollarVATValue Added TaxVCTVoluntary Counseling and TestingWHOWorld Health OrganizationMINISTRY OF URBAN DEVELOPMENT, HOUSING & CONSTRUCTIONPage 6
NATIONAL REPORT ON HOUSING & SUSTAINABLE URBAN DEVELOPMENTThis document has been drafted by Teka Halefom (TH) Consulting Firm who is employed toprovide Consultancy services by the Ministry of Urban Development, Housing and Constructions(MUDHc) to prepare a National Housing and Sustainable Urban Development Report byassessing and identifying urban development policies, programs and targets to documentachievements and lessons learnt and challenges encountered to date in relation to the UNHABITATAGENDA resolutions adopted in 1996 related to “Adequate Shelter for All” and “SustainableHuman Settlements in an Urbanizing World’.The preparation of this document was primarily spearheaded by the National Habitat Committee(NHC) from project inception to completion. Various consultative meetings and workshops havebeen organized to review the current national and local plans of action & their implementation since1996; assess progresses made and obstacles encountered in implementing the habitat agenda; & toagree on priorities, issues and challenges for a new urban agenda ( about five Workshops in AddisAbaba and two more in Bishoftu town)MINISTRY OF URBAN DEVELOPMENT, HOUSING & CONSTRUCTIONPage 7
NATIONAL REPORT ON HOUSING & SUSTAINABLE URBAN DEVELOPMENTChapter IEXECUTIVE SUMMARYThe increase in urbanization and its potential role requires the creation of a more dynamic nonagricultural economy through raising the profile of the urban agenda as a possible resource forgrowth and poverty reduction. Recognizing the importance of achieving a balanced urban systemwould certainly become a necessary concern for government as it would offer an opportunity forincreasing market integration by facilitating exchanges and the division of labor, as well asfacilitating partial or complete diversification in the non-agricultural sector. Further, cities couldoffer the opportunity to deliver services more cheaply and can act as poles of growth, therebyplaying an important role in poverty reduction.The increase in the economic weight of towns in Ethiopia is also reflected in increasedconcentration of people in urban areas. However, this does not seem to have been accompanied by areduction in poverty in urban areas. Available evidence has shown that there are limitations inaccess to services in urban areas, suggesting that the pace of urbanization has been faster than theincrease in service delivery. On the basis of cross-country evidence it can be supposed that this hasbeen particularly the case in smaller, secondary cities where resources might be more limited,administrative capacity weaker and where migrants arrive directly from rural areas, without manyassets and skills which might help them in the urban economy. For the benefits that cities canprovide to materialize, several pre-conditions need to be put in place. This particularly relates to theexistence of well-functioning markets for land, labor, and services, with efficient information flows.On some of these fronts, progress has been made in Ethiopia.The urban landscape is evidently lacking in those qualitative elements that combine to produceattractive built environments, provide public amenity and enable satisfactory urban lifestyle. Manyof these elements demand significant investment which is constrained by resource limitations.However, many other elements are primarily dependant on the creative aspects of urban planningand design, which are evidently lacking. Amongst other elements, one may note: The UrbanStructure – most towns and cities in the country retain and display distinct legible structures, mostare moulded to strict grids or hierarchies. The Urban Fabric – whilst it is to be expected that muchof the urban fabric is poor and degraded, even the newer elements of the urban landscape aregenerally bland. The design of public facilities is generally distinctly lacking in creativity andimagination (and apparently also functionality). Major new commercial developments in AddisAbaba appear to be randomly distributed over the skyline and are probably directed more by theavailability of vacant land than by development guidelines.The Public Domain is largely preserved but only partially developed given resource constraints.When developed the emphasis appears to be directed almost exclusively on functionality indicatingengineering determinism and the absence of urban design input; impacting directly on the quality ofpublic space and restricting effective contribution to the urban fabric and the built environment.Ethiopia retains significant resources in a number of fields, which if utilised and properly deployedcould significantly improve the Quality of Life of the urban population.The political responsibility for urban development is devolved to regional states; nevertheless, theMinistry can play an important role. In particular it should; Develop and promote a vision ofmunicipalities, their future role, and responsibilities in the economic and social development of thecountry, the role of the federal government and the state administrations in the urban developmentMINISTRY OF URBAN DEVELOPMENT, HOUSING & CONSTRUCTIONPage 8
NATIONAL REPORT ON HOUSING & SUSTAINABLE URBAN DEVELOPMENTprocess, the role, and importance of the private sector, civil society, and NGOs, Create an enablingframework for urban and municipal development; a municipal financial system that allowsmunicipalities to perform their functions while preserving their autonomy; an Urban DevelopmentFund or credit system that encourages improved performance within municipalities; a constitutionalguarantee for municipalities at the federal level; Develop vision statement and policy optionsconcerning the role of Addis Ababa and regional towns in order to achieve a more balancedregional development; Promote greater involvement of the private sector (Town Planners,Consultants, Contractors, etc.) in urban development activities and to improve efficiency as well asalleviate capacity constraints; assess the impact of federal economic and social developmentpolicies on urban centers and their development so as to propose modifications as needed andsupport capacity building at the municipal and regional level; promote applied research and theexchange of experiences.The low-level per capita for an urban local government remains to be a serious constraint to fundinginvestment in infrastructure and service provision. Thus, many urban local governments depend onspecial grants or transfers to finance certain capital investments. However, during previous yearsurban local governments financed such capital investment projects as; construction of cobble stoneinner roads, drainage ditches, market centers, and extension of street light.Ethiopia has yet to establish and strengthen a housing finance sector that is flexible and diversifiedin providing loan for the construction of housing. In particular, improving access to housing financefor the majority of low-income urban households to own affordable houses remains a seriouschallenge. The effort to building low-cost condominium houses that are affordable by low-incomeresidents through the government's large-scale Integrated Housing Development Program is anexperience that deserves close examination. In this respect, while the construction of thecondominium houses was at low-cost it seems that many low-income urban residents cannot affordowning the houses. An indication to this is the low-ability to effect the down payment within manyregional towns because of which implementation is now suspended. One major lesson to be drawnfrom the experience is the need to design national programs taking into consideration the specificneeds and capacities of residents in different local areas.Ineffective utilization of land resources by allowing low density, urban sprawl; Low densityinstigates higher travel demand and by implication imposes higher load on the environment.Ineffective measures to conserve soils; Usage of inappropriate mechanisms to direct runoff water;reduction of water seepage to the ground as a result of over-surfacing of urban grounds;inappropriate run-off water management and increased soil erosion and degradation of lands in andaround urban areas are some of the urban development challenges in Ethiopia.Lack of control mechanisms for conveyance and treatment of raw water; high water pollution:improper handling of water resource from production to the consumption level; Lack of diversity inenergy use: Heavy dependence on biomass energy leading to deforestation and minimization ofparks around urban centers; and minimal usage of renewable resources in urban areas. Vehicularemission is on the increase; traditional technology in domestic energy use produces high airpollution; inappropriate technology usage in industries produces high air pollution.Increased solid waste generation with inefficient utilization of resources; prevalence of wastefulpractices and waste generating habits; lack of recycling habit and technology, lack of differentiatingwaste by type, lack of awareness of dangers from waste etc. and lack of Lack of minimum standardMINISTRY OF URBAN DEVELOPMENT, HOUSING & CONSTRUCTIONPage 9
NATIONAL REPORT ON HOUSING & SUSTAINABLE URBAN DEVELOPMENTfor sanitary provisions and inappropriateness of onsite sanitation facilities for dense settlements;inadequacy of sanitation facility for residents; gross lack of public bathing facilities; lack of publictoilets in central areas; lack of awareness about environmental hygiene; lack of proper de-sluggingmethods; and limited capacity of municipalities and minimal participation of private sectoroperators in sludge collection are some of the critical issues that should be addressed in the futureurban agenda of Ethiopia.In this regard efforts should be directed at strengthening of organizational and human resourcecapacities of urban local administrations. The development and implementation of a sustainableurban infrastructure and housing finance system should form as a critical element of future urbandevelopment implementation strategies. Here the primary focus should be on improving domesticsavings and revenues for infrastructure and housing developments. The experiences so far withregard to public participation in planning, delivery, and management of infrastructure, housing, andservices as well as other governance issues need to be consolidated further in the future. Finally theundergoing initiatives of strengthening the urban planning, design and construction capacities needto be consolidated further to ensure better quality, cost efficiency and productivity in infrastructureand housing delivery.MINISTRY OF URBAN DEVELOPMENT, HOUSING & CONSTRUCTIONPage 10
NATIONAL REPORT ON HOUSING & SUSTAINABLE URBAN DEVELOPMENTChapter IIII.1URBAN GROWTH PATTERNS AND TRENDSMANAGING RAPID URBANIZATIONIt is estimated that about 20 per cent of the total population of Ethiopia currently lives in urbanareas, which has rendered it as one of the least urbanized countries in sub-Saharan Africa. Despitethis low level of urbanization, however, the country has one of the highest rates of urbanizationeven by the standards of developing countries, which is estimated at 4.1 per cent.1 This is also muchhigher than the average growth rate of the total national population, which is estimated at 3 per centper annum. The level of urbanization has been only 6 per cent in the 1960, which has increased to11 per cent in 1984 and 14 per cent in 1994, which is estimated to have already reached 17.2 percent by 2013 and projected to account for 30 per cent of the total population in the year 2025.2At present about 20 % of the population is estimated as living in urban areas. About 60 % of theurban areas are estimated to be slum devoid of basic services. It is also important to recognize theoverwhelming weight of Addis Ababa in the urban picture of Ethiopia: Addis Ababa is a trueprimate city, with More than 3 million people, which is 14 times bigger than Mekelle, the secondlargest city in the country.Moreover, recent urban growth has been unprecedented, mainly as a result of rural-urban migration,resulting in growing welfare and housing problems for the new urban poor, and increasing urbanunemployment. The average urban unemployment was estimated to be 16%3. According to theHICES results, about 25% of the nation’s urban populations were living below the poverty line.Recent national level data has also shown that the total unemployment rate
national report on housing & sustainable urban development ministry of urban development, housing & construction page 2 federal democratic republic of ethiopia ministry of urban development, housing, and construction chapter i executive summary 8 chapter ii urban growth p
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