September 2009

Building development in countryside areas is increasingly becoming a problem. Potential approaches for sustainable spatial development include market-oriented controlling instruments, the involvement of the local population in planning processes, and fiscal measures.

Building site. Photo: John Currie, ETH Zurich

Ongoing development in rural areas is increasingly damaging the quality of life of the Swiss population, as studies of the Swiss Federal Institute for Forest, Snow and Landscape Research (WSL) show.

Market-oriented controlling instruments

How can spatial development be managed in a sustainable way? One approach is to enhance current spatial planning practice with market-oriented instruments, i.e. by exercising an influence via price or the available supply. As has been proven in the case of the cantons of Zurich and Basel- Land, the cost of land has an impact on the degree to which a plot is developed. However, the current price level is not sufficient for this degree of development to be meaningfully increased, which means that it is not impossible to exercise sufficient control via the pricing mechanism. Given that there are large building zone reserves available, a recommended alternative is the instrument of tradable land use certificates. This involves a state-authorised institution stipulating a particular usage supply limit – for example by restricting the area that can be built on in designated building zones. Municipalities with no building zone reserves can acquire these from municipalities that possess such reserves. For the municipalities of Wettingen and Geltwil in the Canton of Aargau, the WSL showed how trading in usage rights can be structured to the benefit of all: The instrument promises a concentration of building development in peri-urban areas and therefore a reduced level of urban sprawl.

Involving the local population

Co-operative planning processes likewise support sustainable spatial development. The involvement of the population in the planning of district and municipality development strengthens the level of identification, appreciation, and sense of responsibility of the local population vis-à-vis its living environment. In addition, it strengthens the trust of those involved in the planning authorities – something that is also relevant to future development plans.

False fiscal incentives

Another lever in the area of spatial development is that of fiscal measures. However, the current taxation situation with respect to residential property, the deductibility of commuting expenses and mortgage costs, and the lack of internalisation of environmental costs create false incentives: These promote the development of large residential areas, urban sprawl, land-intensive development of single- family houses, the acceptance of longer commuting distances, and an increasing requirement for transport infrastructure.