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FEATURE STORY March 2, 2021

QII principles: Critical Tools for Sustainable Recovery in Cities post-COVID-19

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Story Highlights

  • By implementing Quality Infrastructure Investment (QII) principles, cities can increase the benefits of infrastructure development while minimizing economic burden.
  • A case study from Fukuoka demonstrates how upgrading pipes with polyethylene sleeves is a cost-effective method and investments for leakage reduction can contribute significantly to cost reduction.
  • Toyama’s case demonstrates how an integrated approach to urban and transport development is key to tackling urban challenges.

Following the G20 Osaka Summit in June 2019, the World Bank together with the government of Japan established the Quality Infrastructure Investment (QII) Partnership with the aim of maximizing the positive impact of infrastructure development in developing countries.

QII principles advocate for economic efficiency, environmental sustainability, disaster resilience, social inclusion, and sound governance in infrastructure development. These principles are especially critical now, as cities work toward a sustainable and resilient recovery from the COVID-19 crisis.


"Strengthening economic efficiency in view of life cycle costs and infrastructure governance are key priorities for us especially today given the importance of managing risks and establishing clear priorities in the current context."
Fatouma Toure Ibrahima Wane
Practice Manager, World Bank

Japan underwent a period of rapid growth and rapid urbanization in the 1950s and 60s and its shift to longer lasting, higher quality infrastructure is a result of lessons learned during this process. For countries now entering periods of rapid urbanization, Japan’s experience can be beneficial. To demonstrate how QII principles can be successfully operationalized in cities, Tokyo Development Learning Center (TDLC) in collaboration with the QII Partnership published case studies of two Japanese cities, Fukuoka and Toyama.

The key takeaway from both studies is that a pioneering approach on the local level can serve as a model on the national level.

 

Fukuoka: Efficient water management for life-cycle optimization in urban areas

Fukuoka is one of Japan’s most prominent cities, a global hub — thanks to its proximity to other key Asian cities — that attracts cutting-edge industry and start-ups. The city, however, has one major drawback: scarce water resources. After a severe drought in 1978, Fukuoka committed to becoming a water-conscious city. The city adopted several key policy measures, including the development and upgrading of its water distribution pipe network; the establishment of a water distribution control center and leakage reduction measures.

Particularly noteworthy was a change in procurement policy that required all newly installed pipes to be fitted with polyethylene sleeves. The sleeves added 1–2% to the upfront cost but extend the pipes’ life cycle by 40 years. Investment in leakage prevention — Fukuoka reports just 2% leakage, the lowest in the world — also lowered long-term operational costs, generating an estimated 15% internal rate of return on investments.

As operations and management costs can often exceed the initial investment in infrastructure, life-cycle optimization is crucial for long-term economic efficiency. One way to work towards this on the project level is to make life-cycle cost assessment part of bidding criteria.


"The challenge is that life-cycle cost minimization only reveals itself after so many years, after decades, so when we introduce these case studies, we hope that they become good practice examples."
Hiroshi Nishimaki
co-author of the QII Japan case studies, Tokyo Development Learning Center

Toyama: Integrated approach to urban and transport development to tackle urban challenges 

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LRT Network in Toyama City (Photo: Toyama City)

Toyama has among the lowest population density of all prefectural capitals in Japan. With most people relying on cars, Toyama lacked a robust public transportation system; this would make getting around more difficult in coming years, as the elderly population increased. Moreover, the city’s central core lacked vibrancy, which made it difficult to attract and retain young people.

In 2003, the city created a roadmap for transitioning to a compact city model with revitalized transportation corridors. A key component of this plan was the development of an LRT (Light Rail Transit) network, which would be the first in Japan. Toyama accomplished this first stage in just three years, by opting to upgrade an existing and underused rail line that connected the city’s main train station to the port. By leveraging this underutilized asset, the city could save money on construction costs, and the new, upgraded line has attracted increased ridership and thus increased economic viability.

In 2012, Toyama was recognized by the OECD ((Organisation for Economic Co-operation and Development) as one of five cities with advanced "Compact City" policies, along with Melbourne, Vancouver, Paris, and Portland and became the first Japanese city selected to join the Rockefeller 100 Resilient Cities initiative in 2014. To explore the key strategies of Toyama model, the city of Toyama and TDLC co-published the Development Story of Toyama: Reshaping Compact and Livable Cities to present the power of integrated transport and urban development that shapes city’s physical structure and livability.


"We need more knowledge and dissemination efforts. We need to build up the library of case studies on QII principles and their operationalization. In particular we need to make sure that the benefits of these are very clearly articulated."
Clive Harris
Lead Infrastructure Specialist, World Bank


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