Human Settlements and Local Governments
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In the next thirty years it is expected that the number of people living in urban regions will double to account for nearly half of the global population.1 Currently, approximately one-third of the world’s urban population lives in slums and informal settlements.2 Given these harsh realities it is clear why the issue of human settlements has garnered so much attention worldwide. As outlined in Chapter 7 of Agenda 21, the overall objective of improving human settlements is to better the social, economic, and environmental quality of these settlements and the living and working environment of all people, particularly the urban and rural poor. As the level of government closest to the people, local governments play a vital role in educating and mobilizing the public to promote these goals. Futhermore, it is local governments who often provide the services, such as water, transportation, and waste management among others, that impact on the quality of human settlements.

Slums and informal settlements are of particular concern to local governments as they can create a heavy strain on municipal budgets due to the lack of tax revenue generated for services that are provided. These services, though costly, are an integral component of either specific slum upgrading processes or overall urban renewal and development strategies. The provision of basic services and infrastructure must be ensured to mitigate the effects of poverty and social exclusion. As outlined in Agenda 21, “An integrated approach to the provision of environmentally sound infrastructure in human settlements…is an investment in sustainable development that can improve quality of life, increase productivity, improve health and reduce the burden of investments in poverty alleviation.”3

Local governments must work in partnership with national governments to promote policies of decentralization. Through such policies, local governments can begin to take leadership by responding to the challenges of poverty. These policies enable decision making on local development to be carried out at the local level. Further, decentralization and increased resource transfers, on a per capita basis, would allow local governments to establish a revenue base for core services.

Both the Johannesburg Plan of Implementation and the Millennium Development Goals include specific goals and targets concerning human settlements. Ways in which local governments can pursue these goals and targets are outlined in the six areas listed below.