IN WHOSE INTEREST? A CRITICAL APPROACH TO SOUTHEAST ASIA S URBAN TRANSPORT DYNAMICS

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IN WHOSE INTEREST? A CRITICAL APPROACH TO SOUTHEAST ASIA S URBAN TRANSPORT DYNAMICS Craig Townsend MEDes (Planning), University of Calgary BA, University of British Columbia This thesis is presented for the degree of Doctor of Philosophy at Murdoch University, Australia 2003

I declare that this thesis is my own account of my research and contains as its main content work which has not previously been submitted for a degree at any tertiary education institution... Craig Townsend

ABSTRACT During recent decades, urban transport systems in Southeast Asia s industrialising high growth economies were transformed. The ownership and use of privatelyowned cars and motorcycles grew in all cities, simultaneous to the introduction of new forms of public transportation including rail rapid transit in the larger metropolises. While these cities all experienced dynamic change, the relative rate and direction of the changes to urban transport systems varied greatly as did levels of success. Singapore emerged as a highly efficient transit metropolis whilst Bangkok and other cities gained notoriety as some of the world s great traffic disasters. Why these differences emerged, particularly given a regional and global context of increasing interaction and exchange of ideas and of capital flows, presents a compelling question largely unanswered by previous research. A review of the general state of knowledge about urban transport worldwide reveals fundamental disagreements over basic questions such as the social value of motorisation, the relative merits of specific modes and technologies, and prescriptions for change. However, there is a general consensus that interest groups or rent-seekers influence urban transport, which can not be understand in solely technical or value-free terms. A literature review focused on Southeast Asian cities finds that in contrast to theoretical perspectives on cities of the industrialised world, there is less acknowledgement of interests and values and more emphasis on instrumental knowledge which can be used to address immediate problems such as rapid growth in motorisation, traffic congestion, and pollution. Questions such as who wins and who loses from changes to urban transport systems are not systematically examined in the existing literature on Southeast Asian cities. In order to address this gap, a case study analysis of three key cities, Bangkok, Kuala Lumpur, and Singapore is undertaken. This analysis utilises policy and planning documents, monographs and academic works, newspapers and archival materials, discussions with key informants, and participant observation, to reveal the significant actors and processes which shape urban transport. The study finds that the presence or absence of actors and complexions of interests in the development of urban land, urban transport equipment, infrastructure construction and operation, and local environmental improvements are linked to specific urban transport outcomes. The findings provide a basis for future research, particularly in cities of the developing world characterised by economic growth, rapid motorisation of urban transport systems, and substantial inequalities of wealth and power. i

ii

TABLE OF CONTENTS Abstract.. i Table of Contents.. iii List of Figures vi List of Tables. viii List of Plates.. viii Abbreviations and Acronyms. ix Acknowledgements.... xi Notes on Currencies, Thai Transliteration, and Names. xii CHAPTER 1 INTRODUCTION 1.1 The evolution of urban transport..... 1 1.2 Cities and urban transport in Southeast Asia 8 1.3 Success and failure in Southeast Asia.. 13 1.4 Research objectives and questions 15 1.5 Methodological overview. 15 1.6 Thesis structure.....16 CHAPTER 2 THE CHANGING STATE OF KNOWLEDGE ABOUT URBAN TRANSPORT 2.1 Introduction.. 19 2.2 Pro-motorisation theories.... 21 2.2.1 Urban Transport Planning (UTP). 25 2.2.2 Rent-seeking and special interests..... 29 2.2.3 Road pricing..... 31 2.3 The problems with motorisation...33 2.3.1 Automotive interests and the road lobby 37 2.3.2 Induced demand. 42 2.3.3 Links between wealth and motorisation and global comparisons.. 44 2.4 Solutions to motorisation: a shift in values... 48 2.5 Conclusions... 51 CHAPTER 3 PERSPECTIVES ON THE DYNAMICS OF URBAN TRANSPORT IN SOUTHEAST ASIA 3.1 Introduction. 55 3.2 Motorisation and privatisation 56 3.3 Restrained motorisation.. 69 3.4 The question of interests.. 81 3.4.1 The World Bank.. 84 3.4.2 Japan s developmental state. 87 3.5 Conclusions. 94 Page iii

CHAPTER 4 CASE STUDY METHODOLOGY 4.1 Introduction.. 97 4.2 Choice of case study cities 100 4.2.1 Bangkok. 101 4.2.2 Kuala Lumpur 103 4.2.3 Singapore 103 4.3 Approach to the case study research 104 4.4 Field research and challenges 106 CHAPTER 5 BANGKOK: ORDER AMIDST CHAOS IN DETROIT OF THE EAST 5.1 Introduction...113 5.1.1 Bangkok s early transport history. 115 5.2 Facilitating early motorisation.. 119 5.2.1 Early highway building. 120 5.2.2 The first Bangkok plan.. 124 5.2.3 The first urban transport plan 126 5.3 Industrialisation and vehicle manufacturing. 131 5.4 Democratisation and road contracting.. 137 5.5 The Second Stage Expressway project. 145 5.5.1 Baan Krua.. 147 5.5.2 BECL and finance.. 149 5.6 Land ownership and real estate development... 153 5.7 Encouraging cars and confronting a traffic crisis.. 162 5.8 Rail mass transit projects.. 164 5.9 Conclusions... 176 CHAPTER 6 KUALA LUMPUR: RACING TO MOTORISE AND INDUSTRIALISE 6.1 Introduction..179 6.1.1 Kuala Lumpur s early transport history 180 6.2 The New Economic Policy (NEP), roads and minibuses.... 184 6.3 PM Mahathir, privatisation and industrialisation. 189 6.3.1 Promoting motor vehicles.. 195 6.3.2 The Multimedia Super-Corridor (MSC).. 196 6.4 Private expressway development. 201 6.4.1 Addressing social concerns... 211 6.5 Private rail systems.. 215 6.6 Conclusions.. 225 iv

CHAPTER 7 SINGAPORE: SPEED, SUCCESS AND CONTROL IN THE PAP-STATE 7.1 Introduction. 229 7.2 Land use: public housing and industry. 230 7.3 The Mass Rapid Transit system (MRT) 245 7.4 Vehicle restrictions... 255 7.5 Towards a World Class Land Transport System 264 7.6 Conclusions.. 271 CHAPTER 8 COMPLEXIONS OF INTERESTS AND URBAN TRANSPORT IN THREE CITIES 8.1 Introduction.. 275 8.2 Overview and comparison of urban transport systems 277 8.3 Complexions of interests in three cities 279 8.3.1 Bangkok 280 8.3.2 Kuala Lumpur.. 285 8.3.3 Singapore.. 290 8.4 Three cities in comparative perspective... 295 8.4.1 Interests in the use of land. 296 8.4.2 Interests in urban transport equipment..297 8.4.3 Interests in infrastructure construction and operation... 299 8.4.4 Interests in local environmental improvements. 301 8.5 Conclusions... 303 CHAPTER 9 CONCLUSIONS AND IMPLICATIONS 9.1 Introduction...307 9.2 Why does urban transport change?... 308 9.3 How have changes to urban transport in Southeast Asian cities been theorised?... 311 9.4 Is there a theoretical approach which can explain changes within, and differences between, Southeast Asian cities?.. 314 9.5 Why have urban transport outcomes varied so widely in Southeast Asia?.. 316 9.6 What are the implications of the findings?......318 9.7 Conclusions and suggestions for further research. 320 APPENDIX 1: FIELD WORK DIARY. 323 WORKS CITED... 327 NEWSPAPERS AND NEWSMAGAZINES CITED. 349 SELECTED INTERNET REFERENCES. 349 v

LIST OF FIGURES Figure 1.1 The spatial pattern of growth in automobile suburbia since 1920... 3 Figure 1.2 Automobile-dependent city.. 4 Figure 1.3 Mobility in cities of over 2.5 million inhabitants, 1995...6 Figure 1.4 Transport energy in cities of over 2.5 million inhabitants, 1995.. 7 Figure 1.5 Southeast Asia s million-plus inhabitant cities. 10 Figure 2.1 Per capita and total public transport boardings per urban resident and automobile ownership, USA... 24 Figure 2.2 Modernist principles of transport: good and bad practices.. 27 Figure 2.3 The Great Web (Wheel) of Automotive Interests (USA) 39 Figure 2.4 The main links in the UK road lobby... 41 Figure 2.5 Conceptual models for understanding transport energy use and emissions in cities.. 43 Figure 2.6 Gasoline use per capita versus urban density (1980).. 47 Figure 3.1 Figure 3.2 Figure 3.3 Per capita income and motor vehicle ownership in fifty countries and thirty-five cities.. 58 Proposed changes to funding transport.64 Model of urban transport and land use change in developing nations 73 Figure 3.4 Full motorisation strategy. 87 Figure 3.5 Strong-centre strategy.. 89 Figure 3.6 Evolutionary model of urban public transport 90 Figure 4.1 Characteristics of three case study cities.. 102 Figure 5.1 Bangkok and its environs.. 117 Figure 5.2 The middle ring road 130 Figure 5.3 Japanese-financed industrial infrastructure... 133 Figure 5.4 Bangkok s bus coverage and Lat Phrao Superblock/ Hyperbloc. 144 Figure 5.5 ETA s planned and completed projects 146 Figure 5.6 Agricultural land converted to urban use, 1974-1988.. 155 Figure 5.7 Sites of 25 slum relocation projects, 1984-1994... 159 Figure 5.8 Location of Muang Thong Thani.. 162 Figure 5.9 Physical conflicts between transport mega-projects.169 Figure 5.10 Actors influencing Bangkok s urban transport..177 vi

Figure 6.1 Peninsular Malaysia.. 181 Figure 6.2 Multimedia Super-Corridor.. 198 Figure 6.3 KLCC Master Plan.. 200 Figure 6.4 Klang Valley Private Expressway Projects.. 210 Figure 6.5 Kuala Lumpur rail mass transit, 2005.. 223 Figure 6.6 Actors influencing Kuala Lumpur s urban transport 226 Figure 7.1 The 1963 Ring City Plan for 4 million. 235 Figure 7.2 1985 Update to Singapore s 1971 Concept Plan.. 235 Figure 7.3 Population housed in HDB flats.. 244 Figure 7.4 Location of HDB estates and rail system (operational and nearing completion) 254 Figure 7.5 Area Licensing Scheme. 259 Figure 7.6 Retail Price of Medium-Sized Car Relative to CIF Price, 1968-99 (excluding dealer mark up). 261 Figure 7.7 Actors influencing Singapore s urban transport... 272 vii

LIST OF TABLES Table 5.1 OECF/JBIC lending for urban transport in Bangkok... 175 Table 6.1 Transport fatalities indicators, 1995.. 213 Table 8.1 Comparative indicators, 1995. 278 Table 8.2 Motor vehicle production in Malaysia and Thailand, 1970-1995.. 298 LIST OF PLATES Plate 5.1 Bang Na-Chon Buri Expressway.. 152 Plate 5.2 Viphavadee-Ratchadapisek interchange on the middle ring road 157 Plate 6.1 Advertising for new segment of toll expressway... 207 Plate 6.2 The Kota Kemuning Township 209 Plate 6.3 STAR LRT System I 220 Plate 6.2 PUTRA LRT System II 221 Plate 7.1 Le Corbusier s buildings at Chandigarh 238 Plate 7.2 HDB s Bedok New Town 236 Plate 7.3 Transport problems in central Singapore.. 246 Plate 7.4 Integration between MRT and HDB estates 254 Plate 7.5 Expressways and modernist urban form in Singapore. 256 viii

ABBREVIATIONS AND ACRONYMS Asian Development Bank Area Licensing Scheme Area Traffic Control Bangkok Expressway Company Limited Bangkok International Banking Facility Bangkok Metropolitan Administration Bangkok Traffic Management Program Bangkok Transit System Corporation Build-Operate-Transfer Central Business District Central Intelligence Agency Central Provident Fund Certificate of Entitlement Corporate Debt Restructuring Committee Crown Property Bureau Dewan Bandaraya Kuala Lumpur (Kuala Lumpur City Hall) Economic Planning Unit Electronic Road Pricing Expressway and Rapid Transit Authority General Motors Gross Domestic Product Gross Regional Product Heavy Industries Corporation of Malaysia Housing Development Board International Monetary Fund Industrial Estate Authority of Thailand Institute for Transport and Development Policy International Bank for Reconstruction and Development International Monetary Fund Japan Bank for International Cooperation Japan International Cooperation Agency Kampung Improvement Project Kreditanstalt für Wiederaufbau Keretapi Tanah Melayu Berhad (Malaysian National Railways) Kuala Lumpur City Centre Kuala Lumpur Second International Airport Land Transport Authority Light Rail Transit Mass Rapid Transit (Singapore) Mass Rapid Transit Corporation (Singapore) Metropolitan Rapid Transit Authority (Bangkok) ADB ALS ATC BECL BIBF BMA BTMP BTSC BOT CBD CIA CPF COE CDRC CPB DBKL EPU ERP ETA GM GDP GRP HICOM HDB IMF IEAT ITDP IBRD IMF JBIC JICA KIP KfW KTMB KLCC KLIA LTA LRT MRT MRTC MRTA ix

Multimedia Development Corporation Multimedia Super-Corridor Newly Industrialised Country National Economic and Social Development Board National Housing Authority New Economic Policy North-South Expressway Office of the Commission for the Management of Road Traffic Overseas Development Assistance Overseas Development Authority (UK) Overseas Economic Cooperation Fund People s Action Party Perusahaan Otomobil Nasional Privy Purse Bureau Projek Leburaya Raya Utara-Seletan Berhad Projek Usahasama Transit Ringan Automatik (LRT System II) Ringgit (Malaysian currency) Singapore Improvement Trust Singapore Mass Rapid Transit Sistem Transit Aliran Ringan Sdn Bhd (LRT System I) State Railway of Thailand Standing Advisory Committee on Trunk Road Assessment United Engineers (Malaysia) Sdn Bhd United Malays National Organisation United Nations Development Programme United Nations Environment Programme Urban Transport Planning Vehicle Kilometres Travelled Vehicle Quota System MDC MSC NIC NESDB NHA NEP NSE OCMRT ODA ODA OECF PAP PROTON PPB PLUS PUTRA RM SIT SMRT STAR SRT SACTRA UEM UMNO UNDP UNEP UTP VKT VQS x

ACKNOWLEDGMENTS I wish to acknowledge, first and foremost, the invaluable support and encouragement of my thesis supervisor, Associate Professor Jeff Kenworthy. In spite of incessant demands on his time, Jeff remains a tireless advocate of sustainable cities and an inspiration to many. Professor Peter Newman, Director of the Institute for Sustainability and Technology Policy (ISTP), has created a unique environment which fosters scholarship, professionalism, and activism. ISTP s diversity and dynamism are products of Peter s vision and they offered me ample opportunities for discussion and debate with faculty and students about my research as well as broader ideas about sustainability. Professor Garry Rodan from Murdoch University s Asia Research Centre offered crucial intellectual guidance on approaching political analysis in general and on the political economy of Singapore in particular. The field research on which this thesis is based depended to a large extent on the willingness of people in Bangkok, Kuala Lumpur, and Singapore to talk openly and frankly with me. Their names are not acknowledged in the thesis, but their contributions are appreciated and remembered. While a number of friends and colleagues, mainly at ISTP, provided me with advice and feedback along the way, there are three people who I wish to single out for acknowledgement. Allan Johnstone provided me with much practical assistance, office space, and ideas about cities. Dr. Paul Barter from the National University of Singapore offered me accommodation in both Kuala Lumpur and Singapore, access to his library, contacts, and a sounding board for my ideas. My research in Bangkok and Singapore was enriched by the assistance of Matthias Mueth, who enthusiastically debated ideas with me. While I take full responsibility for the ideas and analysis contained in this thesis, the final work has been informed by my interaction with many people. Murdoch University provided an International Postgraduate Research Scholarship as well as funding for some research trips and conference travel. The last six months of work were made possible by the unquestioning support and financial assistance of my parents, Anthony and Denise Townsend. Last but certainly not least, I wish to thank Pajaree Na Thalang for enduring the process with love and patience. xi

NOTES ON CURRENCIES, THAI TRANSLITERATION, AND NAMES Monetary figures cited in the thesis have been left in the local currencies, rather than converted into a common currency. During the regional economic crisis of 1997-8, all of the Southeast Asian currencies cited in this thesis lost substantial value in a short period of time, but have remained stable for the last few years. As a general reference, against the US dollar the pre-crisis, 1995 values of the Thai Baht, Malaysia Ringgit, and Singapore Dollar were 25 Baht, 2.5 Ringgit, and 1.4 Dollars. In 2002 the values were approximately 44 Baht, 3.8 Ringgit, and 1.8 Dollars. I have attempted to use the most common transliterations of Thai names and places, rather than adhering to one of the formal transliteration schemes. Thais and Malaysians are commonly identified by their first names, and I have therefore followed this practice in the text. However, I have not adhered to Thai referencing convention because I have listed Thai authors alphabetically by their last names in the bibliography. This was done in order to preserve consistency with the referencing of sources from Malaysia and Singapore. xii