ISET

ISET Economist Blog

A blog about economics in the South Caucasus.

The Case Of Tbilisi Hippodrome – Urban Planning Mistake Or A New Approach To Regional Policy?

Despite arduous government efforts to reduce regional disparities, population and wealth are very unevenly distributed across Georgia’s territory. The largest city, Tbilisi, is pulling scarce human and financial resources away from other major cities, which in turn compete with smaller towns and villages in their immediate locale. Tbilisi’s population is already more than five times larger than that of Kutaisi, the second largest Georgian city (200,000 people). And while no precise data is available the gap is likely to be growing further.

In principle, there is nothing unusual about this situation. The largest cities around the world offer the most productive environment for economic activity. For one thing, they have the best labor force and a great variety of high quality suppliers and service providers. Not less importantly, life in the capital implies not only higher productivity and higher wages, but also better access to essential amenities such as schools, healthcare, culture, etc.

Georgia is no exception to this rule except that the gap between Tbilisi and the rest of the country is much larger than the “norm” around the world. With about 1,15 mln. inhabitants, in 2010 Tbilisi produced 47% of Georgia’s total value added, according to GeoStat, almost twice its share in population (26%).

There are also important negative sides to living in a large city such as higher costs (certainly as far as services and housing prices are concerned), higher levels of pollution, longer daily commutes, more time spent in traffic jams, limited access to environmental amenities, etc. This explains why not all people move to the cities, and some choose to move out of “unlivable” oversized cities to smaller towns or the countryside.

For a variety of reasons governments around the world are trying to implement regional policies that attempt to stem the tide and provide profitable investment and employment opportunities outside the main cities. For instance, Israel offers large subsidies to West Bank settlers in order to change the demography of occupied territories. Switzerland and many other EU countries hand out very large subsidies to farmers for them to look after traditional landscapes and provide recreation services.

Georgia’s regional policies are quite multidimensional. They include the widely publicized construction of the new parliament building in Kutaisi, the creation of special touristic zones along the Black Sea coast, and massive investment in road and other types of public infrastructure in Adjara, Svaneti, Kakheti and Samtskhe Javakheti, among others. Yet, the center-periphery gap persists.


THINKING OUT-OF-THE-BOX?

Until recently, the so-called hippodrome area along the Vake-Saburtalo road has been the major sports and recreation area in central Tbilisi. Hundreds of Tbilisi citizens were flocking to this green oasis on a daily basis, jogging or cycling along the mile-long circular track, playing football and rugby, throwing “Flying Khachapuri” (the expat jargon for Frisbee) or just walking their dogs. As no cars were allowed into the territory it was perfectly safe for kids. And, as a matter of fact, this was one of the very few (flat and safe) places in Tbilisi where small kids could learn cycling.

Not any more.

During the last several months, the hippodrome area has become a construction site for a tunnel connecting Saburtalo to the new Mziuri highway. Access roads are being laid on the running/cycling track. Clouds of dust, bulldozers and heavy trucks welcome desperate joggers. Kids are no longer allowed.

It is not clear what will be the fate of the large green field at the center of the hippodrome as there are no signs explaining the final purpose of the entire construction effort. What is obvious, however, is that regardless of its final goal, the new tunnel will dramatically reduce Tbilisi dwellers’ ability to engage in outdoor sports and recreation activities.

The decision to build the tunnel in the hippodrome area may be perceived by some as an urban planning mistake, yet it may in fact represent an innovative, out-of-the-box idea for a regional policy to bridge the gap between Tbilisi and rest-of-Georgia. Indeed, by eliminating (or reducing the size of) this unique facility, this policy makes Tbilisi less attractive for investors and high skill workers (in particular expatriate workers) who place great value on outdoor activities. Which, in turn, raises the prospect for these workers and related investments to land in Rustavi, Gori, or Lazika.

A policy seeking to make Tbilisi less attractive for people and businesses would complement the ongoing government efforts to develop the periphery. This approach has one important advantage: rather than picking particular “winners”, it would provide a potential boost to all peripheral locations. This is crucial given that Georgia has only one parliament and a limited number of government agencies that could be redeployed while investment and high skill labor are needed everywhere.

Rate this blog entry:
9 Comments

Related Posts

Comments

 
Guest - david lee on Monday, 30 July 2012 21:59

I sense an element of criticism through faint praise if not sarcasm in your assertion that it is innovative planning to make Tbilisi less attractive to investors.

I also mourn the loss of this popular park, but the benefits to Saburtalo are clear and constent with the Government's road building strategy which has already reduced transit times between the main cities and made the roads safer, obvious economic benefits. The road building is.also more extensive than you imply and has extended to many smaller towns and villages. Indeed a trip to Batumi, Kobuleti or Kutaisi shows that the Government is attempting and having great success in attracting investment to areas outside the capital. I would conclude by noting that when a new Prime Minister states as a national priority agriculture, some credit must be given to the idea that Georgia is no longer run for or by a Vake intelligentsia.

I sense an element of criticism through faint praise if not sarcasm in your assertion that it is innovative planning to make Tbilisi less attractive to investors. I also mourn the loss of this popular park, but the benefits to Saburtalo are clear and constent with the Government's road building strategy which has already reduced transit times between the main cities and made the roads safer, obvious economic benefits. The road building is.also more extensive than you imply and has extended to many smaller towns and villages. Indeed a trip to Batumi, Kobuleti or Kutaisi shows that the Government is attempting and having great success in attracting investment to areas outside the capital. I would conclude by noting that when a new Prime Minister states as a national priority agriculture, some credit must be given to the idea that Georgia is no longer run for or by a Vake intelligentsia.
Guest - Eric on Monday, 30 July 2012 22:57

David, you are absolutely right as far as my assessment of the decision to destroy the hippodrome is concerned. I am not aware of any cost-benefit assessment or public hearings that preceded this miserable move. The benefits to Saburtalo are likely to be quite marginal since a) it is already connected to the Mziuri highway; b) there Heroes' Square to which the Mziuri highway leads is one big mess. Finally, it was possible to dig the tunnel (and thus benefit Saburtalo) on the outskirts of the park, without destroying it in its entirety.

But there was not a bit of sarcasm in my assessment of the government's regional policies. I am perfectly aware of and am quite appreciative of what's being done "outside Vake". This is what I wrote: "Georgia’s regional policies are quite multidimensional. They include the widely publicized construction of the new parliament building in Kutaisi, the creation of special touristic zones along the Black Sea coast, and massive investment in road and other types of public infrastructure in Adjara, Svaneti, Kakheti and Samtskhe Javakheti, among others."

David, you are absolutely right as far as my assessment of the decision to destroy the hippodrome is concerned. I am not aware of any cost-benefit assessment or public hearings that preceded this miserable move. The benefits to Saburtalo are likely to be quite marginal since a) it is already connected to the Mziuri highway; b) there Heroes' Square to which the Mziuri highway leads is one big mess. Finally, it was possible to dig the tunnel (and thus benefit Saburtalo) on the outskirts of the park, without destroying it in its entirety. But there was not a bit of sarcasm in my assessment of the government's regional policies. I am perfectly aware of and am quite appreciative of what's being done "outside Vake". This is what I wrote: "Georgia’s regional policies are quite multidimensional. They include the widely publicized construction of the new parliament building in Kutaisi, the creation of special touristic zones along the Black Sea coast, and massive investment in road and other types of public infrastructure in Adjara, Svaneti, Kakheti and Samtskhe Javakheti, among others."
Guest - Timur on Monday, 30 July 2012 23:13

Building this road is also consistent with building a light rail line running on Chavchavadze Avenue. Some rerouting of road traffic will be necessary, and so it be that it goes through the hippodrome. It seems that this road project is not pure Robert Moses, there is also a bit or more than a bit Jane Jacobs in there.

Building this road is also consistent with building a light rail line running on Chavchavadze Avenue. Some rerouting of road traffic will be necessary, and so it be that it goes through the hippodrome. It seems that this road project is not pure Robert Moses, there is also a bit or more than a bit Jane Jacobs in there.
Guest - Eric on Tuesday, 31 July 2012 00:35

@Timur - Jane Jacobs??? Her book The Death and Life of Great American Cities promoted a grassroots, organic, neighborhood-based process of urban planning and rehabilitation...

Some rerouting of road traffic is always necessary in a growing city. But the new road did not have to go "through" the hippodrome. It could have been built on its outskirts. Helping traffic and maintaining the park.

@Timur - Jane Jacobs??? Her book The Death and Life of Great American Cities promoted a grassroots, organic, neighborhood-based process of urban planning and rehabilitation... Some rerouting of road traffic is always necessary in a growing city. But the new road did not have to go "through" the hippodrome. It could have been built on its outskirts. Helping traffic and maintaining the park.
Guest - Kodjo Koffi on Friday, 03 August 2012 19:31

Typical David Lee response to kow-tow to the Govt of Georgia. Misha will need a good proctologist to get Lee's head out

Typical David Lee response to kow-tow to the Govt of Georgia. Misha will need a good proctologist to get Lee's head out
Guest - Thomas van Dam on Monday, 30 July 2012 23:32

As a former resident of Antonovskaia st, right behind the hippodrome, I would most definitely mourn the loss of this facility. Not only did I use to run there myself almost every day, but so did many of my friends an neighbours.

In a country with no culture of exercise, few people being able to afford or have interest in a gym membership, the Hippodrome was a great way for the average person to get some activity and participate in sports.

The area around the actual track is rather large and I'm sure a tunnel entrance can be constructed on the turnoff from Tamarashvili st across from the sciences building, where currently the little tire shop is.

Seems to me like the city chose to pick whatever is cheapest, as obviously plowing over the hippodrome is cheaper than digging up an existing road.

As much as I understand the desire and need for the road, as well as the budgetary realities of the city of Tbilisi, I do think they made the wrong call here. In a country where so many people are overweight and so few people exercise, this was a great spot that actually benefited the "public good" as it was accessible to all.

I would have liked to see some budget allocated to preserving the hippodrome - maybe build one less new city in the swamp?

As a former resident of Antonovskaia st, right behind the hippodrome, I would most definitely mourn the loss of this facility. Not only did I use to run there myself almost every day, but so did many of my friends an neighbours. In a country with no culture of exercise, few people being able to afford or have interest in a gym membership, the Hippodrome was a great way for the average person to get some activity and participate in sports. The area around the actual track is rather large and I'm sure a tunnel entrance can be constructed on the turnoff from Tamarashvili st across from the sciences building, where currently the little tire shop is. Seems to me like the city chose to pick whatever is cheapest, as obviously plowing over the hippodrome is cheaper than digging up an existing road. As much as I understand the desire and need for the road, as well as the budgetary realities of the city of Tbilisi, I do think they made the wrong call here. In a country where so many people are overweight and so few people exercise, this was a great spot that actually benefited the "public good" as it was accessible to all. I would have liked to see some budget allocated to preserving the hippodrome - maybe build one less new city in the swamp?
Guest - Sandro on Tuesday, 07 August 2012 13:05

As a Saburtalo resident, I do not see the "clear benefits" of the roads that cut through Hippodrome (what problem does this road solve that the newly built Vake road along with Saburtalo street don't?). The decision was made by the City without consulting anyone, and most likely with no expert assessment of the traffic whatsoever. What I do see is that yet another green area of Tbilisi has been wiped out. As for David Lee's points. Only a raging supporter of this government (or an active member?) and someone who doesn't care about the quality of life in the city, would bring forward an argument that justifies destruction of a park by road congestion without assessing relative benefits. Would New York citizens not benefit in terms of their traffic situation if the Central Park was criss-crossed with highways? Probably yes. This is true for any park in any city - they make traffic worse. But most cities choose to keep them because of the benefits (described in detail by Thomas Van Dam). A brief visit to the Turtle Lake (which is also being turned into a residential area, step by step) in the evening shows how much the city craves for parks, but yet the city hall decided to solve a vague transport problem by sacrificing a park. Unfortunately, there are no "otkats" (kick-backs) to be made by kipping the park going, yet there are so many when an expensive road project is underway. As for Eric's sarcastic (or not) point. Ugulava and co's incompetence/corruptness could only boost other regions if those regions were not governed by the same kinds of people. Mayors make the same under-studied and corrupt decision in Batumi and Kutaisi as Ugulava does in Tbilisi. So, they only effect all this can have is more people leaving Georgia altogether.

As a Saburtalo resident, I do not see the "clear benefits" of the roads that cut through Hippodrome (what problem does this road solve that the newly built Vake road along with Saburtalo street don't?). The decision was made by the City without consulting anyone, and most likely with no expert assessment of the traffic whatsoever. What I do see is that yet another green area of Tbilisi has been wiped out. As for David Lee's points. Only a raging supporter of this government (or an active member?) and someone who doesn't care about the quality of life in the city, would bring forward an argument that justifies destruction of a park by road congestion without assessing relative benefits. Would New York citizens not benefit in terms of their traffic situation if the Central Park was criss-crossed with highways? Probably yes. This is true for any park in any city - they make traffic worse. But most cities choose to keep them because of the benefits (described in detail by Thomas Van Dam). A brief visit to the Turtle Lake (which is also being turned into a residential area, step by step) in the evening shows how much the city craves for parks, but yet the city hall decided to solve a vague transport problem by sacrificing a park. Unfortunately, there are no "otkats" (kick-backs) to be made by kipping the park going, yet there are so many when an expensive road project is underway. As for Eric's sarcastic (or not) point. Ugulava and co's incompetence/corruptness could only boost other regions if those regions were not governed by the same kinds of people. Mayors make the same under-studied and corrupt decision in Batumi and Kutaisi as Ugulava does in Tbilisi. So, they only effect all this can have is more people leaving Georgia altogether.
Guest - Eric on Tuesday, 07 August 2012 20:25

Points well taken, Sandro, especially in the last paragraph.

I don't necessarily buy into any corruption stories (especially if not substantiated), but incompetence is a major issue. Not only in the public sector, by the way.

When the number of competent people is limited (as it obviously is), it is better not rush with decisions that require careful consideration and judgement. The continuous restructuring of the Heroes square is an illustration of what happens when thinking is done (if at all) after action has already been taken.

Points well taken, Sandro, especially in the last paragraph. I don't necessarily buy into any corruption stories (especially if not substantiated), but incompetence is a major issue. Not only in the public sector, by the way. When the number of competent people is limited (as it obviously is), it is better not rush with decisions that require careful consideration and judgement. The continuous restructuring of the Heroes square is an illustration of what happens when thinking is done (if at all) after action has already been taken.
Guest - Sandro on Wednesday, 08 August 2012 03:02

I'm not a prosecutor to investigate, but if one wanted to, within a day approximate amounts and rates could be figured out. Unfortunately prosecutors subordinate to the very same people who arrange kickbacks.

Incompetence is a problem all around. The problem with the regime is that people in it actually think they are competent, and make drastic decision with no deliberation.

I'm not a prosecutor to investigate, but if one wanted to, within a day approximate amounts and rates could be figured out. Unfortunately prosecutors subordinate to the very same people who arrange kickbacks. Incompetence is a problem all around. The problem with the regime is that people in it actually think they are competent, and make drastic decision with no deliberation.
Already Registered? Login Here
Register
Guest
Saturday, 23 November 2024

Captcha Image

Our Partners