3/27/2021 Initiatives in Grassroot’s Participation

ARIF HASAN

Initiatives in Grassroot’s Participation

07 December, 1985 By Arif Hasan Pakistan Administrative Staff College,Lahore and UN Coordinators
Group for South Asia; Workshop on Initiatives in Grassroots Participation: NIPA,Karachi

This document can be found in the following categories: Orangi Pilot Project & Urban Resource Center, Seminar Papers,
Social Infrastructure, Urban Development, Water & Sanitation

These tags/keywords are associated with this document: Community participation, housing programme, informal sector,
Katchi abadis, lower income groups, metroville projects, OPP, Orangi Town, regularisation, socio-economic problems, urban
crisis

I. Introduction

The dimensions of the urban crisis in Pakistan are well known, and as such need
no elaboration. The most important aspect of this crisis is related to the provision
of land and shelter for lower income groups. Over 40 percent of the population in
our cities live in substandard housing, in squatter colonies, with no security of
tenure. In spite of elaborate studies on this aspect of the problem, by national
and international development agencies and experts, and in spite of the evolution
and application of new and alternative strategies for development, the problem
continues to grow. It almost seems as if the squatter colonies are the only
solution for housing the lower income groups.

The Housing Programme of the Orangi Pilot Project has to be understood in this
larger context, and as such this paper will briefly touch upon and discuss 3
issues:

1. Government response to the housing needs of lower income groups, its

nature and the obvious causes for its failure.
2. The informal sector, its growth and institutions.
3. The Housing Programme of the Orangi Pilot Project set against
conclusions arrived at in 1 and 2 above.

II. Housing in Karachi

1. GOVERNMENT RESPONSE TO THE HOUSING NEEDS OF LOWER INCOME GROUPS

In Karachi, as in most Third World cities, the state has’ at different times reacted
in a different manner to the problem of providing housing to the lower income
groups. Mainly four strategies have been followed. These are discussed below.

1.1 HOUSES FOR THE POOR

The initial response to the problem was the building of houses for the poor. For
this purpose the government undertook the construction of large housing colonies
complete with all services on the outskirts of the city and moved inner city
squatters to these areas. To finance these ambitious schemes, the state raised

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loans from national and international agencies at comparatively low rates of

interest. The residents of these houses were to repay these loans over a fifteen to
twenty five year period. Costs of construction were reduced by innovative
technology and the use of machines.

Although the government managed to shift a sizeable number of the poor to

these colonies, this strategy has now been abandoned. The reasons for this are
outlined below.
THE MAGNITUDE OF THE PROBLEM

No governments in the Third World, or for that matter in the First World either,
possess such enormous resources that they can provide houses to their poor.
Through this strategy they can deal only with a very small part of the problem. In
addition, the problem is not a static one, and with the passage of time will require
larger and larger investments. Foreign loans can help one or two more colonies,
but they cannot deal with the problem as a whole. Issues related to the
repayment of the loan and the rates of interest involved, further complicate
matters.
R E C OV E R Y O F LOA N S F RO M T H E U S E R

It is very difficult, if not impossible, to recover loans by taxing the user. The rate
of default is very high in all countries where this strategy has been followed, and
if the poor are almost destitute, or are politically powerful, nothing can be done to
effect recoveries.

SOCIO-ECONOMIC PROBLEMS

Removing the poor from the city centre also meant taking them far from their
places of work. Although such housing schemes were usually accompanied with
plans for creating jobs in the new colonies, these did not materialize for a host of
reasons related to economic, logistic and administrative factors. As a result, the
poor became poorer as they had to spend a large part of their income on
commuting and the state had to create transport services which, in Karachi, have
a history of running at a loss.

The Landhi-Korangi housing colonies of the early sixties in Karachi are examples
of this sort of development.

1.2 THE SITE AND SERVICES PROGRAMME

Given the impossibility of constructing houses for the poor, government policies
then aimed at providing land with all urban facilities to the lower income groups.
This land was developed by official agencies and put up for direct sale. Thus the
system of loans was dispensed with so as to overcome the problem of recovery.
Almost all such schemes have failed to serve the target group and become middle
income colonies. The causes for the failure of these schemes are fairly simple.
T H E C O S T O F D E V E LO P M E N T I S TO O H I G H

The cost of development, complete with all services, is far too high and cannot be
afforded by lower income groups in Karachi. The cost works out to a minimum of
Rs.6000 for an 80 square yard plot, a price which few squatters would be willing
or able to pay.

AFFLUENT MIDDLE CLASS

In Karachi there is an affluent middle class which can afford to, and is willing to,
pay higher prices for serviced plots than what the local bodies fix for their
schemes. Where administrative controls make it difficult for this class to move in,
the projects lie empty for years until such controls are removed. In this process

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the government suffers large economic losses and the services are damaged due
to non-use.
FINANCES

Financing of such projects also pose problems. For a new project to be launched
the old one has to sell. In none of the countries which I know, have original
targets of completion, and especially of sale and occupation, been met for such
projects, thus trying up large state investments unproductively.

S P E C U L AT I O N

Because of the dearth of availability of regularized plots with the necessary

services in the city, these schemes become subject to speculation and, as a
result, the target group is not served. If these projects were of a much larger
size, perhaps with lower standards of infrastructure to lower costs, there would be
greater chances of success.

The Metroville projects in Karachi are examples of this type of development. For
example, the Orangi Metroville was developed in 1973 as a site and services
project for lower income groups. It was almost unoccupied until 1978. It has now
become a middle income area and the users have demolished the utility walls put
up on the plots by the Karachi Development Authority (KDA) as the part of the
project, as these walls could not be integrated into the design of middle income
housing. The Metroville provided for 4131 plots. Since its inception, over 30,000
plots have been developed and occupied illegally around it, in what is now known
as Orangi Town.

1 . 3 T H E S TAT E T U R N S D E V E L O P E R

To overcome the financial problems related to the site and services programmes,
the state has now turned into a “developer”. This means that projects are
announced before they are physically commenced, and the public is asked to
apply for a plot with an advance payment. Those who cannot be allotted the
plots, have their money refunded. The rest pay for the plots in installments as the
work on roads and services progresses. Thus the people finance the project
themselves and the state overcomes its financial problems related to
development.

This form of development, though in many cases ostensibly meant for lower
income groups, does not cater to them for a variety of reasons.
P E O P L E W A N T L A N D I M M E D I A T E LY

Most lower income groups, and lower middle income groups as well, require land
for their immediate needs and cannot wait for the development process to be
completed. In some cases development may take up to 10 years, and the people
cannot move in before, at least, water is made available, and in no case before
official permission is granted. Lack of coordination between government agencies
for provision of transport and other necessities of life for the users may make life
very difficult for a considerable period of time.

C U LT U R A L G A P

To get the land, the people must apply for it, fulfill a series of formalities, and
deal with state officials. Given the relationship between an individual from the
working class and the state in our country, or in any Third World countr3, and
given the time wasted in bureaucratic red- tapism, even if they can afford it and
are willing to wait for years, the poor do not apply for these plots.

AFFORDABILITY

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