STUDY TOUR FRANCE

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STUDY TOUR FRANCE

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Title: STUDY TOUR FRANCE


1
STUDY TOUR FRANCE
  • 29 APRIL 9 MAY 2004

2
INDEX
  • TEAM
  • DOS AND DONTS
  • FRENCH GOVERNMENT SYTEM
  • WHAT DID WE DO.
  • REPORT AT THE END
  • PLACES ATTENDED
  • COLLAGE OF SOME PICTURES

3
DOS AND DONTS
  • Always be on time.
  • Be sure of the outcome of the tour
  • Ask as much questions as possible.
  • Make sure you understand the issues
  • Enjoy the tour
  • See this as a opportunity for marketing
  • Dont carry al your money with you.
  • Be aware of pick pocketing
  • Dont buy one day rail tickets

4
FRENCH GOVERNMENT SYSTEM
5
DAY 1
  • There seems to be limited public participation
    when compared to South Africa. South Africa is
    much more involved and thorough in this regard.
    One benefit in the French Government is that they
    hold local referendums on important issues.
  • Special mention was made of qualification
    requirements, career development, training and
    capacity building for local government officials.
    It was also mentioned that cities compete to
    attract the best local government officials.
  • French government have negotiations between
    different levels of government to render services
    for infrastructure. Contractual agreements
    between different government spheres. This may be
    similar to service delivery agreements in South
    Africa. Integration of medium term planning
    strategy (3 to 5 years).

6
DAY 2
  • VISIT - Sewerage Plant of Colombes managed by
    SIAAP
  • Seint - Normandie Water Agency
  • VISIT - ISTED

7
Visit to Sewerage Plant of Colombes managed by
SIAAPSeint - Normandie Water Agency
  • Serve Population 1 Million
  • Cost 450 million
  • operates at 20 million per annum
  • operating costs ( 0.22 per cubic meter)
  • disposes of 240 000 cubic meter per day
  • fully controls the quality of water outflows as
    well as of fume and odour emissions
  • An interdepartmental syndicate owns and runs the
    plant.

8
  • When the Municipalities did the planning for the
    plant, cost was not an issue but the expected
    lifespan of more than 100 years was taken in
    consideration. The drive was to comply with EU
    standards for environmental standards and
    sustainability. This practice highlights that
    when it comes to the planning of infrastructure
    of this magnitude, planners should look at the
    objective/outcome and not primarily at the cost.
  • The Plant was created mainly for water quality
    and tap water is said to be of a better quality
    than bottled water.
  • From discussions with representatives of the
    water Agency, it was mentioned that the plant
    will never be replicated in France again as a
    result of the cost being too high.
  • The roll that the agency plays is unique and is
    mainly focused on financial and technical
    support.
  • The principle applied is that water related
    infrastructure should be financed by water
    revenue, which indicates that the service is
    ringfenced.

9
  • The plant meets the highest environmental
    standards and is designed to cope with large
    excesses of rainwater run off.

10
  • The Agency is one of six catchment authorities or
    river basin agencies covering metropolitan
    France, but represents over a quarter of France
    in terms of population (18 million),
    municipalities (8 700 municipalities) and
    departments (25).

11
ISTED
  • ISTED is a specialized data and research centre
    on roads, transport and urban development in
    developing countries.
  • Legally a non-profit organisation with 60
    members, 25 staff and a budget of 4,5 million,
    it is funded by public institutions, including
    the French Government, the EU and the World Bank.

12
World Congress of the United Cities and Local
Government (UCLG)Palais des Congres
13
First Plenary Session Human Rights in Our Cities
  • to tackle the key issues of poverty, hunger, and
    the lack of access to basic services in education
    and health by the year 2015
  • that local government is the sphere of government
    closest to he needs of the population as more
    than 50 of the world population live in cities
  • Cities are burdened with a further evil war and
    terrorism. What is the impact? And how should the
    plan to overcome these challenges?

14
Local Action for Environment
  • The world is becoming more and more urbanized,
    resulting in more pressure for the rendering of
    services on sanitation, water and electricity.
  • The handling of solid waste is directly linked to
    the quality of living standards (higher quality
    creates more solid waste) and the cost of
    managing waste can be recovered through selling
    of recycled goods.
  • Lessons from Rio de Janeiro how to curb erosion
    and mud slides through reforesting processes
    create jobs and enhance dignity of communities.
  • The preservation of the environment should start
    with programmes at school level.
  • Natural resources can be preserved by saving on
    the consumption of water and electricity.

15
Day Five - DEXIA Credit Local
  • formed in 1996 by the merging of two communal
    banks, viz. Credit Local de France, a bank formed
    in 1987 and Credit Communal de Belgique
  • financing of local authorities and other local
    sector bodies via direct loans signed commitments
    or purchases of securities issued by the customer
  • Project financing is mainly provided for,
    public transport, the environment and energy 15

16
  • The need to encourage competition within local
    government lending market.
  • Propose securitisation and debt restructuring
    even credit enhancement to support the SA
    municipal debt market as feasible financial
    instruments.
  • Dexia indicated their willingness to arrange a
    workshop with their structured finance people to
    promote these concepts in SA through INCA

17
South African Embassy
  • welcomed by Deputy Ambassador Enrico Kemp and his
    staff responsible for international bilateral and
    multilateral relations
  • Embassy personnel indicated that they would
    welcome future study tour delegates

18
Day Six - Reunion Island
  • only French department and European region in the
    southern hemisphere
  • population of 760 000 (1 million in 2025)
    Reunions predominant feature is its ethnic
    diversity.
  • population is very young 56 under the age of 30
    years and population growth is expected to
    stabilize by the year 201

19
  • high unemployment rate which currently stands at
    approximately 30
  • elect five representatives who sit in the French
    Parliament and three Senators who sit in the
    Higher Chamber
  • Prefect (French government highest ranking civil
    servant at provincial level)
  • Regional Council and 24 municipal councils.

20
  • The French first set foot on the island in 1649
  • Until 1946 there was a mix of being a classic
    French colony and a department, with a brief
    English rule between 1804 to 1811
  • From 1946 Reunion became a fully-fledged overseas
    French department just like any mainland
    department

21
  • State functions such as Public law and order,
    Defence, Employment, Environment, Transport,
    Airport, Hospitals, Elections, Implementation of
    policies and monitoring compliance thereof,
    Housing, Cultural and Sport.
  • Management of European structural funds earmarked
    for addressing backlogs an amount of 3 billion
    in capital funds over the next 6 years
  • Proactive monitoring of budgets and ensuring
    legal compliance by municipalities

22
  • Each level decides on its own budget. 50 of GDP
    is transferred from the government to local
    government. 70 of income streams are from state
    grants, local taxes and the balance from loans.
  • A balanced budget approach is followed both in
    terms of operational expenditure and investment
    (capital expenditure).
  • The planning period is normally five years or
    more.
  • Elected officials are responsible for making
    decisions on which projects or works are included
    in the budget and medium-term plan. In certain
    cases consultations with the public and relevant
    stakeholders will take place but it is not a
    legal requirement.
  • Any operating surpluses go into investments
    (funding of additional capital expenditure).
  • Approximately 25 of the operating budget is
    allocated to debt servicing cost.
  • Property taxes are collected by state and then
    re-allocated to local authorities.

23
  • non payment level for municipal services is
    estimated at approximately 5.
  • principle that everyone should pay for services
    consumed
  • social assistance program assists residents to
    pay for services
  • on a salary of 1 000 per month an employee will
    contribute 100 and employers 800 to the social
    security fund, which covers medical aid, family
    allowances, unemployment benefits and
    occupational injuries

24
  • The minimum wage is 1 000 per month and the
    general social security fund pays 500 per month
    to people who have not worked before in the form
    of a social grant.
  • two-envelope tender process followed, viz. the
    first envelope consists of technical competence,
    tax paying institutions and financial guarantees
    (first decision) and the second covers the
    pricing proposal of the tenderer.

25
  • Local taxes include land tax, residence tax,
    agricultural tax and a professional tax for
    companies
  • Income tax (one third of working people pay
    income and the maximum tax rate is 48), company
    tax, oil tax, VAT. Two thirds of the state
    income is funded by VAT, and one percent of the
    VAT collected is transferred to fund EU
    programmes. Taxes are regulated by law and local
    authorities cannot create new taxes

26
SIDR Social Housing Projects
  • SIDR is a social housing entity founded in 1949
    as a public/private company
  • shareholders include AFD (54), Regional
    Council/Department (43) and Private Shareholders
    (3)
  • SIDR has built 29 000 flats in collective and
    individual housing
  • SIDR construct on average 400 flats and houses
    for rent, 100 houses for sale in social housing
    and 50 flats in non-social housing

27
  • The rehabilitation of social housing units began
    in 1985.
  • The investment for 2004 amounts to 15 million
    and the average cost per unit is 36 000. SIDR
    aims to rehabilitate 5 400 flats by 2009.
  • Approximately 10 of population live in slumps
    (informal settlements) with one third dependent
    on social security benefits. The average
    household benefit is 762 per month (500 for
    social benefit and 262 for family and housing
    allowances).
  • Rehabilitation cost is financed by state
    subsidies (22), SIDR funds (60) and bank loans
    (18).
  • Tenants pay on average 230 per month for a 60m2
    size flat and rentals increase on average by 10
    after rehabilitation. Only 1.5 of people
    default on housing rental payments.
  • They use electrification as a control measure to
    register occupants
  • Shortage of land is becoming a problem with
    regard with their objective for housing
  • To build 10 000 houses/flat will take 20 years

28
Meeting with the Regional Council
  • budget allocations for the 2004 financial year
    amounting to 508 million
  • funded mainly by direct and indirect taxes (46),
    grants from central government and the European
    Union (38) and loans (13).
  • the Regional Council is to focus more on the
    development of long-term policy
  • plays an important role in terms of
    decentralization

29
  • investment programme is informed by the projected
    population growth of approximately 33 over the
    next 20 years
  • giving priority to employment, developing
    solidarity, investing in the people of Reunion,
    widen the horizons of Reunion and the promotion
    of sustainable development.

30
Dèpartment Water Catchment Project
  • Visit to bulk water facility used to provide
    water primarily for irrigation and industrial
    purposes
  • technology used to channel water through a tunnel
    system from the east of Reunion (which is water
    rich region due to the high rainfall which
    averages 5m pa to the west of the island which
    averages 1m rainfall per annum

31
  • in 1983 30kms of tunnel was built consisting of 8
    tunnels to transport 50 000m3 water together with
    reservoirs and pump stations as part of phase 1
    servicing 7150 ha of land
  • Total cost of phase 1 526m euros
  • was financed through European Union, government
    subsidies and grants and the Department

32
St Pierre Municipality/DDE/CIVIS
  • Economies of scale can be achieved through the
    amalgamation of smaller Boroughs into larger
    administration units.
  • construction cost of water treatment is much
    higher than in South Africa
  • price of water includes all the cost of treatment
    and all other operating cost of the scheme is
    subsidised at 80
  • The water treatment plant is maintained by the
    utility company
  • utility company bill the consumer and is
    responsible for the collection of debt

33
  • There are currently remote areas which are not
    connected to the system due to the costs
    associated with the service
  • apply technical solutions in the pre-treatment of
    waste, to remove grease and sand in order to
    extend the capacity and lifespan of the plant
  • Control over the project is achieved through
    regular reporting from the utility to the
    Municipality
  • purified water is channelled into the see once it
    has been purified

34
Management of Solid Waste
  • Solid waste is collected from five (5) areas on
    the Island, covering 50 500 square meters and
    servicing 145 000 inhabitants
  • The Island has progressed far in the recycling
    processes and recycling of plastic, glass and
    paper are separated and compacted for
    re-processing
  • Waste is exported to various countries and it
    includes South Africa, where Glass and paper are
    exported to Consul Glass and Sappi Paper
    respectively

35
Le Port Municipality Reunion
  • multi media center were the delegation was
    introduced to the different aspects that the
    Municipality is followed to educate and inform as
    well as to entertain the local community.
  • The center consists off a computer room which
    give full access to the internet
  • section for children where stories are read once
    a week on Wednesdays
  • has a full musical area were users can take CDs
    home for listening
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