“One Metropolis, Two Systems”
Contextual Policy Recommendations for
Enhanced Metropolitan Cooperation between
Hong Kong and Shenzhen
Image courtesy of China Southern Airlines Magazine
PPD 613 International China Lab
June 6, 2014
Overview
• Border divides Hong
Kong and Shenzhen
• Amplifies political
differences
• Complicates urban
challenges
• Requires
collaboration
Image courtesy of RFA
Potential Solution
• Improve communication and collaboration
• Develop more effective regional partnerships
• Keep in mind the complexities of the border and
the pervasive and inherent dilemmas
Recommend the region adopt a Three-Step Blueprint for
improving cross border collaboration which includes:
Step
Symposium
Step
Commission
Step
Funding
Mechanism
Contextual Dilemmas
Considerations special to the Hong Kong & Shenzhen case
Collaboration can be a successful tool however, there are special
considerations that need to be made when looking at Hong Kong.
Mistrust in
Government
● Fear of Beijing’s influence on government
● Officials are not democratically elected
● 2017 questions
Immigration
● Difficulty in accepting mainland China
immigration and economic involvement
● Exacerbates the existing burden on Housing,
Education, Health Care Services and Social
Services
Strain on
Services
●
●
●
●
Transportation congestion
High rental prices
Long wait lists for Public Housing
Lengthy timeframes to receive medical care
Shenzhen & Hong Kong Partnership
• Shenzhen has been given
more economic freedom
than elsewhere in China
(ex. Shenzhen Special
Economic Zone)
• Similarities between
Shenzhen and Hong Kong
• Beijing open to allowing
innovation
Image courtesy of China Daily
Proposal Timeline
Commission
Symposium
Funding Mechanism
2015
2016
2017
2018
Framework
Chief Executive Election
Future
Step 1: Symposiums
Initiate a series of symposiums to:
• Improve regional collaboration between Hong Kong and
Shenzhen by fostering dialogue and the sharing of
research and innovation concerning cross-border issues
Symposiums will convene quarterly to cover sectoral issues
that affect both sides of the border such as Housing, the
Environment and Social Services.
Use universities on both sides to avoid the public distrust
associated with working through government
Symposium
Commission
Funding
Mechanism
Symposium
How it will function as an operating body
• Where: Hosted at the universities and could
alternate between Hong Kong and Shenzhen
campuses
• How: Funding
from universities
and local charities,
and/or
private foundations
Image courtesy of Institute of Biological Chemistry
The symposium would be used as a starting point
to establish a regional commission
Step 2: Commission
Create a commission to address the fragmented and sporadic
communication problems that hinder cross-border collaboration:
•
•
Synthesize and streamline communication between existing bodies
Build a systematic database to coordinate the exchange of information
and best practices between Hong Kong and Shenzhen
Once the commission is established, the symposium will shift its focus to
providing a constant metropolitan dialogue to address issues including
Housing, Health Care Services, Transportation, Education and Social
Services
Symposium
Commission
Funding
Mechanism
Commission Example
Case study: Central Policy Unit in Hong Kong
• Similarity: serve as a
database of knowledge for
analysis and
recommendation
• Differences: CPU is funded
by government while
commission is funded by the
universities; CPU is
Hong Kong-centric while
commission focuses on
cross-border issues.
Symposium
Image courtesy of China Daily Asia
Commission
Funding
Mechanism
Commission Example
Case study: United States and Mexico Health Commission
While Hong Kong is unique in some respects, it could benefit from a cross
border collaboration scheme exemplified throughout the world
A partnership agreement
created at an international
border for the purposes of:
● Protecting citizens
● Facilitating and
expediting legitimate
cross border travel and
commerce
● Creating better quality of
life
● Resulted in the creation
of an international NGO
Symposium
Image courtesy of George W. Bush Whitehouse Archives
Commission
Funding
Mechanism
Step 3: Funding Mechanism
Create a funding mechanism to implement collaborative
metropolitan projects recommended by the commission:
• Establish stable and reliable financial support
• Support both public and private sector initiatives
• Implement cross-border projects benefiting Hong Kong and
Shenzhen
Symposium
Commission
Funding
Mechanism
Funding Mechanism Option 1
• Option 1: Hong Kong – Shenzhen Development Bank (HSDB)
• Government Led and Funded
• Purpose: Provide Loans and Grants
• Benefit: Provides Funding to Public and Private Industry
• Ex: North American Development Bank
• Relationship with Commission
• Funds Projects Approved by the Commission
Symposium
Commission
Funding
Mechanism
Funding Mechanism Option 2
• Option 2: Hong Kong – Shenzhen Foundation
• Non-Government Led
• Purpose: Provide Grants
• Ex: The Asia Foundation
• Benefit: Receives Funding from Multiple Sectors
• Relationship with Commission
• Similar to Development Bank
• Funds Projects Approved by the Commission
Symposium
Commission
Funding
Mechanism
Funding Mechanism Option 3
• Option 3: Hong Kong – Shenzhen Fund
• Government Led and Funded
• Purpose: Provide Grants
• Ex: The European Regional Development Fund
• Relationship with Commission
• Commission Operates as an Advisory Board
• Funds Projects Approved by Government
• Benefit: Each Governmentt Will Have More Say in the
Allocation of Funds for Projects
Symposium
Commission
Funding
Mechanism
Joint Government Fund
Joint
Government
Fund
Hong Kong
Government
Hong Kong
Government
Shenzhen
Government
Shenzhen
Government
Symposium
Commission
Funding
Mechanism
Next Steps
• 2015: Initiate symposiums
• Confirm attendees and format
• 2016: Symposium recommendation
• Framework for commision
• 2017: Chief Executive election
• 2018: Establish commission
• Confirm members and procedures
• Future (2022): Create funding mechanism
• Confirm approach and governance
Conclusion
Despite ongoing collaboration between Hong Kong and
Shenzhen, the two cities have yet to attain a meaningful
process to coordinate joint efforts.
• Distinct political systems continue to cause
complications
The Three-Step Blueprint presented can be used as a
guideline to enhance coordination and communication:
• Creation of a symposium
• Establishment of a commission
• Initiating a funding mechanism to implement projects
The proposed blueprint would establish stronger
communication and collaboration between Hong
Kong and Shenzhen, increasing their combined
effectiveness in the Pearl River Delta