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March 22, 2013

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Mega city needs transparency to explain the upstream pig debacle

DESPITE very challenging international landscape, Shanghai has thrived through the crisis years. As an emerging megacity, it can and must turn even threats into opportunities - including the debacle over dead pigs in the Huangpu River.

In early March, Shanghai authorities retrieved hundreds of dead pigs from the Huangpu River and began to investigate the potential causes of the deaths.

As the first news stories were released, city residents began to feel concern for the drinking water. Meanwhile, Shanghai's environmental agency was investigating the dead swine and taking samples of local water for examination.

If there had been no further reports, the story might have died out. But it didn't.

Internationally, the story was first reported as something of an anomaly. It did not really fit the image of Shanghai as an emerging global hub of high finance and advanced technology.

Soon new reports indicated that the number of the dead pigs had risen to more than a thousand. Then, new reports surfaced suggesting that the real numbers could soar to 5,000 or even more.

Today, more than 10,000 dead pigs have been retrieved. Meanwhile, Shanghai's municipal government has said that the water quality of the Huangpu River, which provides water to more than a fifth of the megacity, has not been affected.

However, authorities are under increasing public scrutiny to release more detailed and specific information about the water tests.

Obligations of a megacity

After the National People's Congress, China has begun the massive move from investment and net exports toward consumption and innovation. In this transition, the pioneering role belongs to China's 1-tier megacities, such as Beijing, Shenzhen but especially Shanghai.

These urban agglomerations are evolving into "global cities," which are seen as important nodal points in the global economic systems. Such global cities play a vital role in the global systems of finance and trade, while serving as bases for international corporations, foreign direct investment and R&D.

These cities share a sophisticated infrastructure, including advanced transportation systems, international airports that often serve as hubs for the largest international airlines - as well as advanced communications and health facilities.

In the past decade or two, Shanghai has climbed close to the top of a diverse set of global city indicators. It is among the top-8 in the GaWC system (Globalization and World Cities Network); 14th in the Global Power City Index (Mori Foundation); 21st in the Global Cities Index (AT Kearney); and 43rd in the Global City Competitiveness Index (Economist).

In the late 1980s, the credit card company American Express launched a new campaign, "Membership has its privileges." But the same goes for membership among the most advanced megacities - and their obligations.

In order to keep and sustain its rising position, Shanghai must manage and communicate appropriately its successes and failures.

The corollary is that when things go wrong, a global city does not shy away from its responsibilities. Instead, it tackles the adversities head-on. All global cities have a knack of turning threats into opportunities.

In the case of the Huangpu River debacle, this means accelerated transparency. It requires determined authorities who make it clear that they will get to the bottom of the story and will communicate it to city residents.

Threats into opportunities

In effect, the megacity says: "Look, we didn't create this challenge. But we certainly are not going to be complacent about it. We will test and re-test the samples. As soon as we have more information, we shall release it. We love this beautiful city and we shall protect its beauty. That's what we owe to our people and our children."

In this way, the megacity will foster trust between authorities and residents, reduce the threat probabilities and provide a model to other cities on how to tackle challenges.

Modern lifestyle comes with increasing risk. But risks contain new opportunities. The pig story is not an exception. It can give rise to a new blueprint that will foster a more sustainable Shanghai.

Dr Dan Steinbock is the research director of international business at the India, China and America Institute (USA) and a visiting fellow at the Shanghai Institutes for International Studies (China).




 

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