JKAU: Env. Design Sci., Vol. 11, pp: 177 - 198 (1438 A.H. /2017 A.D.

)
DOI: 10.4197 / Env.11-5

The Impact of Unban Governance on the Quality of Public Services in Saudi

Cities
Khalid Nasralden Mandeli
Department of Urban and Regional Planning, Faculty of Environmental Design, King Abdulaziz
University, Jeddah, Saudi Arabia
[email protected]
Abstract. This paper explores the attitudes of multi stakeholders who plan and manage
construction projects for public services in Jeddah city regarding urban governance in improving
high quality public amenities. Our findings show that the Saudi Vision 2030 provides opportunity
for the creation of inclusive urban governance to raise the quality of public services. Our findings
indicate that to confront the challenges of urban governance, we must identify the factors best
encouraging their promotion. Attention should be paid to the principles of Saudi Vision 2030, to
strengthen urban governance and promote the quality of public service delivery.
Keywords: Urban governance, Urban management, Public services, Jeddah, Saudi Vision 2030,
Saudi Arabia.

1. Introduction In Saudi Arabia, petroleum revenues and

changes inspired by urbanisation, towns have
Cities where people live, work and socialise
shifted rapidly towards urbanization,
are engines of growth and crucial to economic
undergoing spectacular transformations. Since
and social development. To provide good
the country’s creation in 1932, many
quality lives, cities must deliver numerous
initiatives and plans have been enacted,
public services: transportation, housing, water
regulating urban development and ensuring
supply, sanitation, and garbage collection.
basic public services. The dramatic rise in
These can be considered drives for
population has necessitated huge expansion in
productivity nationwide. Today, city
amenities and infrastructures in urban and
management is a major challenge
rural centres. In response to growing demands
everywhere[1]. In many urban centres
for service delivery and infrastructure, one
populations increase faster than states can
main objective was to enhance the techno-
provide public services and infrastructures[2].
political capacity of governance of urban
Although resources are necessary to provide
development. However, rapid urbanisation and
amenities, effective urban governance is
growing complexity presented cities with
required to establish a vision for contemporary
daunting challenges in inefficient public
and future growth, developing better capacity
service delivery and insufficient urban
to address potential pitfalls and cement
governance. Such growth has significantly
mechanisms of coordination among
degraded public amenities, adversely affecting
stakeholders, expanding capacities to manage,
urban life.
plan and deliver public services[3].

177
178 Khalid Nasralden Mandeli

For over forty years, the government has Understanding urban policies and the
approved significant expenditure to implement limitations and strengths of specific
infrastructure projects, providing quality administrative and political reform is essential
services to residents. In response to growing to improve urban governance and resolve
infrastructure requirements, government has strains on infrastructure and resources. We
aimed to strengthen the construction industry explore the factors driving recent reforms to
through stabilization, organization, and governance, then probe daily project
productivity. Governmental concern for experiences. We ask two questions: how does
construction projects has enlarged the industry. a particular mode of governance affect quality
This concern will predominate in response to of service delivery and how far does the NTP
expected population growth and urban implement governance principles? Finally, we
expansion in the next two decades. Although review literature on these subjects. Our
the economy has slowed, prospects for the premise is that understanding urban
industry in 2017 were positive, despite poor governance principles helps synthesize a
liquidity from decreasing oil prices and conceptual framework to bring clarity to the
austerity programmes freezing infrastructure NTP, enabling stakeholders to implement
spending. The infrastructure market and Vision for 2030 goals and resolve pragmatic
construction sector are estimated to grow and issues. Our investigation confirms previous
remain the brightest in the Gulf region[4]. research, showing that project issues are
Government concern to expand service strongly associated with ineffective urban
delivery and infrastructure will energize the governance. An ambitious reform programme
industry as urbanization intensifies over is crucial to efficiency and good quality
coming decades[2]. project management.
Growing project demands highlight the 2. Urban Governance and Public Service
importance of construction to socio-economic Delivery in Advanced Countries
development; poor quality services and
2.1 Urban Governance in Advanced Countries
industry degradation allowing lengthy delays
remain major problems. Despite investments, Governments and stakeholders use urban
most companies face delays, project cost governance to engage in making policies to
overruns and poor services. These can be manage patterns of daily life for residents[1].
attributed first to poor resources, Governance encompasses many economic
incompetence, and weak contractor actors determining urban transformation.
performance, secondly to bureaucratic control Negotiations and debates occur over allocation
and ineffective governance. of wealth and responsibilities. Government is
the largest actor controlling city management,
The rapid growth of Saudi cities leads to with officials supplying capable leadership and
strained public infrastructure and resources, resilience, acting to establish partnerships with
delays and cost overruns. Decision makers other stakeholders, cooperating and
demand governmental intervention and empowering participation in setting policies.
reform. Heavy expenditure has challenged the Governance has responded to increasing urban
efficiency and quality of services alongside complexity, addressing lifestyle and cultural
governmental inability to handle urban, differences. Connections between people and
economic and social developments. This has places grow more diffuse, creating challenges
led to a National Transformation Program
within shared spaces. To maximize potential
(NTP) altering the state apparatus[5].
 The Impact of Unban Governance on the Quality of Public Services in Saudi Cities 179

and handle complexities, governance emerged budgeting, management, monitoring,

alongside technical solutions, replacing top- evaluation, policy networks, decision-making
down steering models. This fuelled interest procedures, self-organizing networks and
group participation and coordination among multilevel governance[14]. Accordingly, city
urban actors[2]. governments no longer control direct
developments. Healey et al. [15] argue that
Urban governance literature (e.g.
management with top-down planning has been
[6,7,8]), shows a growing perception of the
replaced by governance, stressing bottom-up
importance of strengthening local authority
initiatives and network organization to
capacity and autonomy to empower other
coordinate stakeholder actions fulfilling
stakeholders in urban entrepreneurialism and
collective goals[9].
privatization, regulating urban development
and public service delivery. This avoids The shift to local governance with
reliance on traditional management structures principles and public values has also affected
formerly criticised for inefficiency[9]. developing countries, bringing sweeping
Justification for this lies in economic reforms in some places. This has witnessed
globalization and international competition stakeholder involvement in planning[16].
between cities, while governments face severe International case studies on urban governance
capacity constraints and lack the vision and conclude that regulating urban development
information to address urbanization issues that and delivering public amenities require
necessitate privatization[10]. substantial governing capacity. Urban
governance is important for collaboration
Challenges to government have been
between developers since it powerfully
stimulated by neo-liberalism, citizens, and
promotes delivery of amenities, efficiently and
interest groups suffering from poor quality
in quality, enabling residents to access local
services. Citizens questioned government
government and involve themselves in
responses to their demands and perceived
decisions that affect their lives[1,17].
unaccountability[11,12]. This required a shift to
more diffused power situations, with vocal 2.2 The Challenges of Construction
actors at national, regional, and municipal Management of Public Services Projects
levels. These pursue collective action, aligning The literature suggests that urban
decisions about service expansion with sector governance and politics determine delivery of
priorities, incorporating core principles to goods and services. Many say good practice is
make policies regulating urban developments.
a priority for national and local governments
These principles include: efficiency, and crucial for effective urban
effectiveness, cooperation, partnership, [18]
infrastructures . Although appropriate
participation, accountability, transparency, delivery depends on resources, urban
policy alignment competence, and equity[13]. governance institutions are important[19].
The shift from technocratic and Devas, Amis et al. (2004) say service delivery
bureaucratised managerial styles to is not purely technical but is influenced by
competition and urban governance is reflected political context and wealth distribution.
in changes in thinking about urban planning. Although insufficient finances result in
Concerns with physical planning without downgraded amenities, other factors are
sufficient attention have shifted to involved. These include government
participatory urban planning practice through unresponsiveness; poor coordination between
180 Khalid Nasralden Mandeli

bodies; unaccountable and opaque progress Worldwide experience shows that failure
monitoring; poor locality oversight; no in infrastructure projects is strongly associated
interaction with civil society; institutional with corruption and fiscal volatility. This is
capacity failures; rigid regulation; inadequate attributable to construction industry
professionalism; and the pace and scale of complexity, costly financing, and stakeholder
urban growth[10]. Wild et al. [20] (2012) place numbers. Absence of integrity creates project
governance constraints into three categories: 1) delay and increasing cost overrun, degrading
policy incoherence. 2) lack of bottom-up, top- the quality of delivery. High values are a
down performance mentoring. 3) the scale of perquisite for effective governance
local problem solving. environments and successful delivery with
superior quality standards[23]. The World Bank
Rakodi[8] confirms that environmental
Group[24] found clear positive correlations
deterioration reflects public service
between governance measures and high quality
inadequacies and is directly connected to
urbanization providing long-term growth rates
political power rather than failure of adapted
of national investment. Misallocations of
approaches to planning or management.
public investment and corruption occur when a
Healey[21] says some governance modes
government is acting in favour of influential
restrict creativity and innovation, while others
political groups rather than in the public
release creative energy in managing urban,
interest.
social and economic issues. This results in
improved urban development and service Construction management failure is a
delivery. Governance creativity requires a neo- global phenomenon attracting the attention of
institutionalist perspective where “governance academics and practitioners, who acknowledge
institutions of a society are those values, norms the importance of good governance. In the UK,
and ways of acting that shape the realm of the Office of Government Commerce (OGC)
collective action”. reveals that five out of eight major deficiencies
in construction projects in 2005 were caused
According to the Charter Institute of
by weak governance at various stages. This
Public Finance and Accountability[22], effective
results in mismanagement and increased
management of public service provision and
opportunities for corruption, misbehavior,
allocation of national resources requires a
project delays and cost overruns[23]. The
culture of integrity and collaboration
OECD[25] considers it dangerous to think
throughout the state apparatus. This entails
involvement of the private sector in
implementation of good governance principles
governance is a panacea. Effective private
and establishment of ethical values and
sector involvement requires active consultation
standards across actions, policies and
and stakeholder engagement involving end-
procedures to reflect public expectations about
user evaluation and monitoring of the quality
how officials should behave in the public
of delivery. Governments at all levels require
interest. It entails robust mechanisms to ensure
essential skills and powers to regulate public
enforcement throughout governance
service provision, guaranteeing public values
arrangements. The Organisation for Economic
such as transparency and integrity[23].
Co-operation and Development[23] confirms
that success of construction management for The New Urban Agenda (Habitat III) of
projects is strongly associated with good UNCHSUD indicates that service delivery has
quality governance and how far public values two major dimensions: political and technical.
are embedded into these mechanisms. Politically, success requires leadership,
 The Impact of Unban Governance on the Quality of Public Services in Saudi Cities 181

stakeholder involvement, and localities in the quality of construction management of

decision making. Technically, it needs good public service projects. We believe the launch
planning, negotiation with contractors, of Saudi Vision 2030 and enactment of the
accounting and monitoring. Both require National Transformation Program (NTP) will
strong technical and management capacity promote inclusive governance, improving
from stakeholders employing transparency, nationwide productivity and enhancing the
efficiency, effectiveness and resilience. quality of life. To test this, we conducted a
Successful delivery requires collaboration systematic literature review, seeking new
between spheres of government along with ideas. We searched the Web of Science for
resources, giving city authorities cooperative relevant articles and books, then combined
responsibilities towards national policy goals data from two stages of our empirical survey in
[26,27]
. The World Bank Group says Jeddah (May 2015 - September 2016; October
establishing effective urban governance and 2016 - February 2017).
successful service delivery demands We used a qualitative approach for data
institutional capacities within public agencies. gathering, informed by in-depth interviews
Selection of and rewards for officials, with gauging perceptions of stakeholders and
performance assessments, call for integrity industry actors (clients, contractors, and
measures, mediating between powerful groups consultants) regarding challenges they faced
in city governance[24]. (Sample size: 29). We focused on officials
Experience of urbanization in Western from three public sector agencies, three from
societies indicates that changes in governance consultant offices and four from construction
originate in structural changes over the last companies, through interviews in offices, cafés
three decades. This reveals general themes in and hotels. Lack of an appropriate framework
governance affecting how public services are for agencies and professionals, our selection
regulated. Problems impeding governance and was based on quota sampling through
infrastructure in cities of developed countries researcher choice and individual willingness to
enhance understanding of hindrances in participate. We used the concept of saturation
emerging economies. Assuming a significant point, where the collection of new data adds no
relationship between governance and further insights[28].
management of public services – while using From the literature review, we
the construction industry in Jeddah as a case scrutinized different themes linked to
study – our investigation explores the attitudes governance and management challenges. Our
of different parties (e.g. clients, contractors and themes were developed thus: 1) what
consultants) towards challenges they face. The constitutes urban governance and what causes
basic premise is that a need exists for a insufficient service provision in Saudi cities,
practical framework suggesting new degrading the construction industry? 2) the
approaches to improve construction industry quality of governance and its impact on
practices. service provision. 3) how effective Saudi
3. Methodology of the Jeddah Case Study Vision and NTP initiatives have proved. 4)
Recommendations for improvements.
3.1 Qualitative Survey Using In-depth
Interviews as Data Collection We designed our semi-structured
interviews along these themes as a device to link
We aim to explore the relationship
governance with public service provision. Our
between urban governance in Saudi cities and
182 Khalid Nasralden Mandeli

questions were written on a questionnaire. Their infrastructure; otherwise, it will prove

design was based on the literature, but modified increasingly difficult to support future socio-
to fit participants’ organizational requirements. economic development. Jeddah was chosen
Respondents were allowed to ask further because of its role in socio-economic
questions, and informed consent was obtained. development, making it a catalyst of
The in-depth interviews were digitally recorded, productivity, technology and infrastructure. Its
anonymized and transcribed in order to generate complexity is caused by neo-urbanization.
a substantive code. Collected data were classified Such complexity[31], will help researchers
into themes, then analysed through the software study a multi-faceted phenomenon. Jeddah’s
package NVivo 7 to develop a coding dramatic urban growth since 1932 has required
framework. These codes were then grouped into complex governance and management
concepts and categorised to establish an arrangements. We therefore expect to provide
analytical framework. insights for other rapidly growing cities.
3.2 Case Study Selection 4. Urban Governance and Public Service
Jeddah is the second largest city in Saudi Projects in Saudi Arabia
Arabia and the biggest in Makkah Province. Its 4.1 Urban Governance in Saudi Arabia
coastal locations along traditional routes to Before turning to Jeddah, we must
Mecca and Medina made it an urban center with establish the broader context. After the final
a distinct identity and a key role in the Islamic establishment of the third Saudi State in 1932,
world (Fig. 1). Today, its population amounts to Saudi kings gradually developed a central
3.4m – 14% of the national total. Since the government whereby all financial resources are
1970s, the government has invested heavily in allocated nationally. From 1953, the Council of
public services to underpin its economy and Ministers, royally appointed, has held
address growing aspirations of citizens. responsibility for national policy, directing a
Infrastructure projects – transportation, water, growing urban bureaucracy. Below this come
drainage and urban renewal – have significantly three administrative levels. The highest is
changed the city[29]. The government has spent provincial. There are 13 provinces (emirates)
billions of dollars responding to infrastructure headed by an appointed Amir or governor, each
shortages, improving access to basic services in divided into governorates (Fig. 2).
major cities. But rapid urbanization has raised
demands for infrastructure and public facilities The second level is that of the
for sprawling low density residential areas, governorates – 134 in all. Each is divided into
creating many problems over fifty years. municipalities – the third level. Under the
Alongside exponential demographic growth, this Interior Ministry, the provincial and
has placed insurmountable strains on governorate roles were limited to coordination
infrastructure[30]. of activities by central government ministries.
However, with the approval of the Interior
Jeddah experiences deficiencies in Minister and the Civil Service Minister of
existing infrastructures – crumbling roads, administrative reforms were introduced in
poor drinking water, and decaying sanitation. 2008 for existing provincial organizational
These require maintenance and expansion for structures (including a specialized agency to
future growth. Urban expansion has imposed administer urban development). The provinces
financial burdens nationally and locally, are now often influential in determining
requiring action to invest in better expenditure and programmes[12].
 The Impact of Unban Governance on the Quality of Public Services in Saudi Cities 183

Fig. 1. Jeddah, Saudi Arabia.

Fig. 2. Saudi Provinces.

Source: adopted from (http:www.en.wikipedia.org/wiki/Province of Saudi Arabia)

To regulate public services, the its own Presidency and the Interior
government established a local council in Ministry[29]. By 1937, a Royal decree
1923. This council consisted of 12 elected reinstated the Mecca Municipality and others
members to give advice for the management of in major towns. In 1975, the Municipal
Mecca. In 1926, two organizations were Systems Act established the Ministry of
established: the Municipality Governorate for Municipal and Rural Affairs (MOMRA).
Mecca and the Rural Councils, to regulate Accordingly, municipalities came under the
tribal/rural affairs. In 1930, a Council of control of MOMRA at the national level. This
Deputies with two agencies was established: Ministry centralized city regulation, providing
184 Khalid Nasralden Mandeli

basic infrastructure while promoting housing implementation alongside supervision of public

and living conditions[29,30]. spending. In April 2005, municipal councils
were modernized. Half the 178 municipal
1977 saw the Law of Villages and
representatives in the fourteen municipal
Municipalities annul the 1937 Law of
councils were elected, while the others were
Municipal Governorates. MOMRA was
appointed by MOMRA [29]. Women were
empowered to supervise resources for
excluded as voters and candidates, and the
municipalities. The law gives it power to
elections discouraged many male citizens from
establish Municipal Councils with 4-year
voting[36].
terms. These councils have equal numbers of
elected and appointed members; decisions are In 2009, alongside national concern to
made by a majority, leaving final approval to improve urban governance, an important
the Minister. Municipal Councils are part of reform was launched to stimulate competence
the city management system, but centralization in the municipal system. This increased
leaves this unimplemented. A Supreme municipalities from 100 to 241, then 244. On
Steering Committee has replaced councils to 18 March 2011, royal order A/65 established a
inspect nationwide productivity[29]. Following National Anticorruption Commission, Nazáha,
reforms in 1977, municipalities are in response to public discontent with
administered by appointed mayors under corruption and degradation of public
MOMRA [32,33]. amenities. The commission’s responsibility is
to create a work environment of integrity,
In March 1992, King Fahd issued three
transparency, and equality, combating
major laws: the Basic Law of Government, the
administrative and financial corruption and
Council Law, and the Law of Provinces. The
ensuring the viability of municipal projects
first amended the constitution. The
with the help of diverse segments of society.
Consultative Council, replacing the council of
According to Transparency International, this
1926, is new; appointed members have powers
initiative will reduce budgetary and
to review and advise on public interest issues,
procurement overruns[37].
outlining regulations for thirteen provincial
councils. In 1997, council membership rose Several institutional and administrative
from 60 to 90, then in 2005 to 150. Its role reforms were initiated, promoting welfare-
expands with experience. While its main task state policies – the most prominent advance in
is to provide recommendations to central centralization[32]. However, these reforms,
authority for improvements in development, aimed at administrative decentralisation and
the Provincial System (Council) aims to local and private actions for managerial
upgrade management, preserving all citizens’ control failed due to unclear guidance for
rights[34]. implementation. Local devolution was
obscure, lacking fiscal delegation when central
In 2003, the government furthered
authorities clung to their power to oversee
reforms to promote service delivery through
others’ actions. Poor institutional capacities
privatization. which has been used in a wider
and insufficient skilled central and local staff
context including the concept of ‘public–private
compounded this. This attests to the failure of
partnership’[35]. In October 2003 the Council of
the centralized welfare state, handicapping
Ministers instituted municipal elections for
local authorities in responding to emerging
four-year terms. One responsibility was to
urban challenges. This undermined urban
establish development programmes, monitoring
governance, necessitating further reforms in
 The Impact of Unban Governance on the Quality of Public Services in Saudi Cities 185

2016. Next, we take an initial look at Vision document sets targets and benchmarks for the
2030 and the NTP, highlighting opportunities public sector agencies, establishing PMOs
to improve urban governance. under the Ministry of Economy and Planning
(MEP) to provide overall frameworks
4.2 The Saudi Arabia Vision for 2030 and
overseeing and managing predictable and
Transformation Programe (NTP)
transparent resource allocation for mega
In April 2016, the Saudi cabinet projects across organizations and companies.
endorsed Vision 2030; a wide-ranging The Vision Realization Offices (VROs) in
economic and administrative reform program ministries established and assigned
aimed at strengthening the economy through responsibility to monitor progress in Vision
reduced dependence on oil and rationalized 2030[38].
public spending. It encompasses ‘strategic
Whether Vision 2030 and the NTP, with
objectives, targets, outcome-oriented
their initiatives and reforms, are appropriate
indicators and commitments that are to be
steps towards progress in urban governance,
achieved by the public, private and non-profit
they represent a new phenomenon in Saudi
sectors in the Kingdom’[38]. The private sector
Arabia; it is far too early to fully assess their
has been granted greater opportunities of
viability[42]. Initially, some observers were
partnership with the public sector, while the
unsure goals would be achieved: previous
Supreme Economic Council has been replaced
experience made people skeptical of the
by the Council of Political and Security
government’s ability to achieve goals like
Affairs and the Council of Economic and
increasing accountability and transparency[43].
Development Affairs[39].
However, most local newspapers wrote of a
Vision 2030 was driven by fiscal giant step, greeting this as an urgent leap
pressures following decreasing oil prices, a towards significant and comprehensive change
budget deficit and slow project progress. This to make Saudi Arabia a new developed nation
has downgraded public services and with better governance and a diversified
infrastructures, intensifying challenges around economy beyond dependence on oil,
quality, efficiency, and overspending on public improving productivity, and slashing waste in
amenities. All these hampered public sectors public services[44].
in handling urban development. This
Some international media argue that
necessitated new initiatives and reforms to
recent reforms and economic transformation
government composition, leading to Vision
will not work because although the NTP
2030[5]. The NTP identifies challenges for
promised improved economic governance and
government bodies in achieving Vision 2030.
resource allocation, this was not the first time
According to this programme, public state
the government promised diversification from
apparatus need restructuring and realignment
oil. Government officials need to explain how
towards national strategic objectives (Fig. 3).
this initiative may differ since it will most
To support this, the government likely be hindered by challenges such as the
established expert project management offices rising cost of living[45]. Others say the makeup
(PMOs) in the Council of Economic and of the Saudi talent pool and other domestic
Development Affairs (COED), within regional labour market realities represent critical
municipalities and other central government contradictions to long-term economic goals.
departments and bodies (about 50) to manage Without systematic enforcement of
long-term development[40,41]. The NTP 2020 meritocratic structures inside public and
186 Khalid Nasralden Mandeli

private sector institutions, sensible economic response to the dramatic population growth,
reforms may struggle due to the expected to increase by 30.7% by 2030[51].
demographically complex economy[43]. Growing demands for amenities and
Whether the goals are realistic or not, we infrastructure highlight the industry’s
believe that the NTP represents a significant importance to urban and socio-economic
transition in public management and urban development. However, frequent delays, cost
governance. It will enhance the economic overruns, inefficiency, and non-performance
position of the country and realize successfully of projects, are prevalent challenges for
the strategy of Vision 2030. This is because governance, threatening the economy and
Vision 2030 incorporates good governance services. Some[49] say 70% of projects
principles as agreed in the literature (e.g. experience time overruns and few finish within
[8,46,47,48]) as prerequisites for promoting schedule and budget. In response, the
good governance and planning, promoting government and academics developed
service delivery, and enhancing the strategies and tools limiting adverse effects[52].
construction industry everywhere, Despite efforts by governmental
coordinating the public and private sectors and officials, decision makers, and specialists to
ensuring integrity by combatting corruption address poor public services, this continues to
and ensuring system integration. be a sizable challenge for urban and project
4.3 The Practice of Construction Management management. It requires further institutional
for Public Service Projects in Saudi Arabia and organizational reform in governance to
promote management centrally and locally. As
Saudi urbanization is among the fastest
indicated, we hypothesize that Saudi Vision
in the world. Construction project management
2030 and the NTP will provide opportunities
started there in 1932. Increasing oil revenues
to create inclusive urban governance,
in the next two decades propelled urban
improving nationwide productivity and
growth through housing, transportation, and
enhancing living conditions. We now present
infrastructure projects[32]. With the 1970s and
the findings of our survey, exploring
80s economic boom, much of the national
challenges to urban governance and its impact
budget has been invested in constructing
on service delivery. Finally, we examine how
municipal services, addressing growing needs
accurate this hypothesis is from the
and enhancing state legitimacy. Utility projects
perspective of various stakeholders
attracted local and international contractors,
interviewed.
advancing the construction industry[49,50].
High governmental spending since the 5. Findings: Challenges of Urban Governance
1970s has made the construction industry the and Public Service Delivery in Jeddah
largest in the Gulf. Recent decreases in oil Concerns about urban governance
prices have affected the economy, reducing efficiency emerge from a study of the
investment in public services. But many perceptions of stakeholders involved in
recognize the industry as ‘the jewel in the managing public service projects in Jeddah.
crown for international contractors looking to This regards infrastructure project quality as
get into the Arabian Gulf’s construction affected by existing governance arrangements.
market’[41]. The country’s strong economy, Based on earlier research (e.g. [1,9,21,53])
they say, will encourage investment in more which improved insight into the opportunities
municipal and housing construction projects in and risks of urban governance, we developed
 The Impact of Unban Governance on the Quality of Public Services in Saudi Cities 187

these questions: What most degrades public We show that key challenges associated
service delivery in Saudi cities? Do urban with such governance belong within five
governance and management influence project main categories: human and financial
construction? How far can local agencies make resources; transparency and accountability;
reforms? How independent are local enforcement mechanisms; progress
authorities? What initiated the new Saudi monitoring; and coordination of interventions
Vision 2030 and the NTP? How can we trigger in delivery – a major challenge (Fig. 4). We
a move to good governance? How can we will discuss these and other factors inducing
increase transparency, accountability and reforms, highlighting challenges to urban
democratic processes? How far does the NTP governance.
help address pressing governance issues and
guarantee effective management?

Fig. 3. Strategic objectives of Saudi Vision 2030 and the NTP.

188 Khalid Nasralden Mandeli

Fig. 4. Urban governance and the quality of municipal construction projects.

5.1 Weak Coordination Between Public ministries. Although central authorities

Service Agencies planned to coordinate intervention in urban
development nationwide, orchestration
Our evidence shows the substantial
remains fragmented, insufficient and hampered
challenge faced by project management in
by weak mechanisms, poor harmonization of
coordinating the activities of civil society
strategies, and clashing ministry interests.
actors. Patsy Healey[46], conceptualizing
Cooperative Planning, argues that increasing Locally, no one public sector
complexity and stakeholder multiplicity in organization has ultimate responsibility to
pursuing national goals impede coordination control development and coordinate
but are ‘endemic in the organisation of megaprojects for services. Different provisions
governance activity’. In Jeddah and other remain regulated by varying branches of
cities, public agencies were pressured to central ministries. Regionally, although
provide basic services and facilities. This emirates and governorates insist on
involved numerous stakeholders as legitimate coordinated actions, officials in different
participants in planning and management – branches whom we interviewed admitted there
despite reforms improving coordination. New is weak coordination: they work together
administrative structures continue to suffer through separate lines of responsibility. This
from significant fragmentation locally and often produces conflicting and overlapping
nationally. Nationally, allocation of investment responsibilities, with disparate actions for
resources was carried out by different delivery and varying timescales, creating
 The Impact of Unban Governance on the Quality of Public Services in Saudi Cities 189

ineffective integrated decision-making, Agency coordination while promoting

failures in implementation, and poor quality performance by agencies, clarifying standards
delivery[54]. and objectives in public policies and providing
reports about performance targets and
One contractor in charge of a sanitation and
evaluations of agency works.
drainage system said:
Lack of coordination among public 5.2 Insufficient Human and Financial
service agencies is the major source of Resources
industry problems, including delays in Interviewees were asked questions
public projects, cost overruns and poor concerning the availability of financial
quality amenities. The main cause of resources and expertise in their agencies. They
delay in is lack of information on were also asked whether appointed officers
underground characteristics. Some with responsibilities to oversee public
ministries avoid coordination with others amenities were appropriately qualified. Most
who had previously implemented clients, regulators, consultants and contractors,
infrastructure projects, while clients found limited financial resources a major
provide incomplete information and fail factor limiting efficiency and constraining
to coordinate with contractors. Thus, effective collaboration between stakeholders.
capacity building is urgently needed to Inadequate funding restricted maintenance and
enable officials to make links with expansion of basic utilities, leading to poor
stakeholders (Interview 2017, translated quality projects. Late funding causes failures
from Arabic). to meet policy deadlines, increasing total
delivery costs.
Previous research indicates that in an
increasingly urbanized world, collaboration is Limited resources in public and private
considered indispensable for successful agencies are the major factor restricting trained
delivery management with vertical and and qualified personnel, undermining
horizontal coordination[10,26]. Our research institutional and administrative capacities.
confirms this. Most of our interviewees Most contractors interviewed said public
highlight a need for coordination mechanisms sector agencies (clients) are the main cause of
to ensure harmonious relationships among delays. Such delays are usually caused by
stakeholders. poorly organized clients with staff unqualified
to deliver a clear management framework.
Interviewees also declared themselves
This translates to frequent design changes and
optimistic about Vision 2030 and believed the
slowdowns in work, delaying delivery on
NTP with its project management offices
deadline and within budget. One Jeddah
(PMOs) and Vision Realization Offices
municipality contractor said:
(VROs) will establish effective mechanisms,
enhancing Ministry-Agency coordination. As Finance is central for project continuity.
advisory boards, these offices will help public Delaying finance negatively impacts
sector organisations and other stakeholders to labour and material availability, slowing
synchronize their actions, fulfilling national delivery and increasing cost overruns.
objectives. As indicated by Lafuente and Delays in government finance mean
Nguyen[55] (2011) regarding public-sector delays in construction, constraining the
advisory boards in selected OECD countries, implementation of vital amenities. There
these offices will help improve Ministry- is evidence that government spending
190 Khalid Nasralden Mandeli

and resource efficiency have improved technical assistance to local authorities will
since the mid-2000s through expanding empower them to plan and adjust delivery.
urban management experience. Others say effective resource utilization and
However, fragmentation of policies, allocation for service delivery will most likely
overlapping responsibilities and benefit from changes under the NTP and
ineffective resource allocation for Vision 2030, to improve opportunities for
amenities has resulted in resource partnerships with the private sector in public
shortages, creating discrepancies service provision, establishing strong steering
between targets and service quality. committees and coordination offices (VROs)
Enhancing public sector personnel skills with competent members. These initiatives
and lightening bureaucracy is essential should enhance urban governance, eliminate
for resource utilization and successful bureaucratic complexity, and allocate public
delivery (Interview 2016, translated from wealth for clear objectives and priorities.
Arabic).
5.3 Lack of Transparency and Accountability
The candor of these responses shows The last decade has witnessed increasing
that major causes of delays in Saudi Arabia requests for well-functioning governance
relate to slow financial payments and lack of alongside rises in transparency and
coordination and knowledge, resulting in accountability worldwide, employing multi-
changes of orders and increased costs. stakeholder partnerships and harnessing public
There is increasing recognition that participation[24]. As in other Arab countries,
decision making within public-sector agencies corruption and lack of transparency are Saudi
is highly technocratic, lacking a participatory problems. The National Anti-Corruption
approach, hindering delivery of numerous Commission (SNAC) was established in 2011
public amenities. As some interviewees to fight corruption as an independent authority
reported, although local authority mandates encompassing all public sectors and reporting
promise to provide municipal infrastructure, directly to the king. In 2016, Vision 2030 and
they actually lack budgetary powers and the NTP were launched. According to the
authority for decision making. Moreover, they Crown Prince, Vision 2030 will ensure
require institutional capacity and transparency and fight corruption, while the
administrative competence to regulate services government adopts international
or devolve decision-making. Although there is administrative practices to achieve the highest
general dissatisfaction about weak levels of clarity and accountability.
performance by local public sector agencies, Asked about major causes of
some indicate that deficiencies in delivery are deficiencies in project management and the
also attributable to centralization of public significance of the above initiatives,
administration and absence of fiscal autonomy interviewees agreed these are key problems
within local authorities. undermining urban governance and project
Some suggest that decentralization and management. Most said centralization is the
devolution of responsibilities to sub-national main reason for poor accountability among
and local authorities avoids national policies bureaucrats, because officials and public
that neither consider local needs nor eliminate employees report to central authorities rather
bureaucratic layers which delay in services than local communities. Many refer to a lack
provision. Decentralization while ensuring of accurate legal records for public-sector
 The Impact of Unban Governance on the Quality of Public Services in Saudi Cities 191

activities – a necessity if officials are to be bureaucratic apparatuses, advancing

held accountable or prosecuted for institutional and administrative capacities. For
unaccountability. Regarding transparency in recent initiatives to succeed, optimists say
service delivery, respondents repeated that government must ensure mutual
citizens, scholars, and professionals suffer responsibilities between stakeholders. While
from poor transparency and obstacles in these are all positive initiatives, much remains
accessing public accounts, budgets, and audit to be done to establish effective measures to
reports. This is because the Basic Law of evaluate agency performance and hold them
Government exempts public officials from accountable for shortcomings.
financial disclosure, while prohibiting public
5.4 Weak Enforcement of Contract Mechanism
access to government information. A former
Jeddah Municipality official, asked about Most public officials, consultants and
public access to the municipality database, contractors interviewed said the major
said: challenge is to enforce contracts and resolve
disputes. Enforcement by legal institutions is
Officials in different departments cannot fundamental for meeting deadlines within
allow public access to information on budget. It reduces uncertainty by assuring
projects, especially financial and budget stakeholders their contractual rights will be
data. To obtain information about maintained by public agencies. Although
Municipality activities local journalists comprehensive laws address corruption and
need permits from senior officials or the contractual disputes, they are not uniformly
mayor. Most citizens and officials
enforced or punished. The cumbersome actions
disapprove the lack of transparency. The and lengthy procedures of bureaucrats are
only sources of information about inefficient for dispute settlement, allowing
projects carried out by other agencies are corruption in terms of time and financial cost.
the press or social media. The main Weak law enforcement allows corruption to
reason for corruption is unaccountability flourish. One senior deputy official in a
and opaqueness, wasting public construction project in King Abdulaziz
resources (Interview 2015, translated University says:
from Arabic).
Often, we have to accept completion of a
Regarding the significance of recent project with fewer specifications than
reforms and initiatives, some interviewees said contractually agreed. This is because of
the Saudi National Anti-Corruption
lengthy legal proceedings for problem
Commission will succeed by encouraging solving. Complicated and lengthy
public participation in decision making, proceedings are used to stop projects
allowing direct interaction between users and while extending their duration. For
stakeholders to address issues of honesty in officials, expedited delivery is
public sector agencies. As advocated by the sometimes more important than quality.
World Bank, such interaction would promote These situations demand difficult
social accountability and instigate anti- choices and tradeoffs such as accepting
corruption reforms[24]. Regarding Vision 2030 minimum quality projects just to deliver
and the NTP in improving urban governance, the service as scheduled, avoiding
some argue it is too early to judge results. lengthy litigation. Weak contract
However, as the reforms occur, government
enforcement slows construction and
needs to speed up action within existing
192 Khalid Nasralden Mandeli

affects service quality. Initiatives are (Interview 2017, translated from

needed to hasten dispute resolution, Arabic).
reducing delays and incorporating best We asked contractors what contributes to
practices while measuring enforcement conflict between agencies and contractors.
and providing accountability at all stages Most say public officials often lack
(Interview 2016, translated from competence and understanding of project
Arabic). design and scope. This causes payment delays,
Most Municipality officials interviewed causing project suspensions from our inability
criticized residents, citing vandalism, anti- to pay workers and purchase materials to
social behavior, and limitations blocking anti- complete projects. One consultant said
corruption measures. They say weak law inadequate qualifications for contractors are
enforcement is due to the absence of decisive the major reason. Others argue that appointing
and applicable laws rather than reluctance of inexperienced contractors to certain projects
agency officials to implement regulations or a relates to existing regulations that encourage
lack of coordination within enforcement selection of lowest bidders.
teams. They argue that current contract law Contractors and consultants expressed
deprives the Municipality of authority to dissatisfaction with prevailing legislation,
withdraw projects from contractors who requesting a neutral agency to formulate
procrastinate. They say existing laws and by- contracts between stakeholders and resolve
laws were formulated by the Law of disputes.
Municipalities and Villages of 1973. These
laws require updating to fight anti-social 5.5 Progress Monitoring Problems
behaviour and control illegality like Monitoring can provide progress in
vandalism, leafleting, breaking street furniture, projects, giving up-to-date information,
littering, and fly-tipping. This demands assisting government departments and
considerable manpower. Some spoke of a need agencies to track achievements, while evaluate
for public responsibility to help agencies movement towards decision making. The need
achieve this. An integrated law enforcement for it has increased as new stakeholders appear
team with skilled employees is urgently in service delivery practice provided by public
needed for such duties. One official stated that agencies (UNDP, 2013). To assess the role of
Although an enforcement team has been management in mentoring service provision,
established with members from various we asked: Are projects delivered as scheduled
public sector agencies, poor coordination and with specified qualities? How would you
has impeded effective operations. We estimate your agency’s progress? How could
have faced difficulties in prosecuting you show success? Is citizen participation
criminals because we lack full authority encouraged in monitoring delivery?
to deal with issues at city level. We Most interviewees indicated that the
usually need evidence of culpability for government is responsible for public services.
officials in higher authorities like Despite good progress, dramatic expansion of
provincial or government ministers. This cities like Jeddah hampered authorities in
leads to costly, time-consuming legal delivering services on time, with high quality
cases. The system needs to be and efficiency. In spite of various reforms,
overhauled if effective governance and agencies face challenges in establishing
management are to be achieved effective monitoring systems to measure
 The Impact of Unban Governance on the Quality of Public Services in Saudi Cities 193

successes and failures. Some attribute this to failure and low quality delivery. Elevated state
poor institutional and administrative capacity. commitment to encourage boards of
Efficient arrangements and skilled human stakeholders alongside steering committees of
resources are essential for monitoring and government and non-government personnel
evaluation systems. Others described a lack of and VROs at various agencies will turn Vision
public participation in local decision making. 2030 into reality and help promote capacity to
They said public involvement in project facilitate coordination through effective
monitoring teams can provide better monitoring and evaluation systems. These will
resolutions to issues. Citizens can report track expenditure, staff performance, resource
observations during project construction, allocation, programme and project
including delays and cost overruns, and implementation, and quality of goods and
register satisfaction with amenities. Some services. Promoting inspection functions – as
attributed this to lack of interest or pointed out by the UNDP 2013, World Bank
commitment to better performance. One 2017, and UN-Habitat[26] 2017 – will make
academic consultant was asked several governmental agencies participatory and
questions, including ‘how far have previous responsive, creating a sense of social
political and administrative reforms improved accountability as the key to successful urban
public participation in policy making and governance.
quality monitoring?’ He said:
6. Discussion
Although various reforms (e.g. Our findings indicate that urban
decentralization, deregulation and
complexity has forced government to explore
privatization) have strengthened public governance to transition from bureaucratic top-
sector agencies, helping build a system down steering models to an innovatory style
for tracking progress and evaluating encouraging stakeholder participation to
service delivery, results were regulate public service delivery. This
unsatisfactory. There are four major emphasizes public values including
reasons. Designing appropriate systems transparency, social accountability, interaction,
that provide the basis for evaluation and participation and integrity alongside technical
monitoring is a challenge that cannot be principles such as efficiency and coordination.
tackled overnight. It requires 1)
considerable restructuring of the political In the last two to three decades, growing
and administrative environment; 2) well- demands on public services and reduced
trained experts to make agencies financial resources have resulted from
performance-oriented; 3) strengthening decreasing oil revenues and insufficient
supervision of local councils; and 4) provision for public infrastructure and goods.
since the greatest beneficiaries of These gave rise to a politico-social context
monitoring systems are localities, it is stimulating wider reforms in governance and
wise to encourage engagement in management. We argue that the key challenge
decision making and supervision to urban governance lies in extreme national
(Interview 2016, translated from and local centralization. Successive reforms
Arabic). inducing civil society stakeholders to
participate in local decisions and management
Several officials, contractors, and have been undermined by: 1) a lack of serious
consultants said recent reforms will help create
commitment by central government to break
a culture of integrity to resolve management
194 Khalid Nasralden Mandeli

up the statutory monopolies of the welfare Evidence reveals that most respondents
system, offering alternative forms of say this issue is linked to difficulties in
governance based on comprehensive ensuring coordination of fragmented and
participatory mechanisms; 2) bureaucratic hierarchical government agencies. Corruption
resistance of central authorities to implement has been exacerbated by lack of inter-agency
new governance and facilitate collaboration; 3) coordination and weaknesses in enforcement
lack of clear institutional frameworks of effective regulations imposing immediate
supporting civil society actors, defining penalties. One contractor said existing contract
responsibilities and duties; 4) Lack of legal law prevents clients from making quick
and fiscal autonomy for local authorities, decisions to withdraw a delayed project from a
hindering innovative approaches to service contractor. Most said the government should
delivery that might encourage citizens to respond to infringements such as vandalism on
realize their full potential, while facilitating public amenities. Steps must be taken to
coordination. punish violators and enact effective policies
and regulations.
Local authorities in Jeddah face serious
challenges in regulating delivery, due to five Regarding weaknesses in progress
major factors: 1) The challenge to coordinate monitoring, most suggested that agencies face
interventions in delivery; 2) Lack of human challenges in establishing effective systems to
and financial resources; 3) Absence of track progress and measure success –
transparency and accountability; 4) Weakness something linked to insufficient administrative
of enforcement mechanisms; 5) Lack of and institutional capacity with resources to
effective progress monitoring systems. monitor legal and regulatory compliance.
Regarding lack of coordination and poor Involving stakeholders in governance and
communications between agencies, most delivery, including staff from agencies and
interviewees said coordination of private organisations, with consultants and
governmental and non-governmental agencies community members is complex. Regarding
and stakeholders is central to growth how far Saudi Vision 2030 and the NTP
management. These issues lead to conflicts in improve governance quality, most believe
management efficiency regarding financial current reforms will enhance political stability,
allocations, owing to insufficient strategic resolve corruption issues, and promote
structures for multi-level and multi-agency technical capacities through political support.
coordination to provide public services and All this is linked to the call to implement good
ensure alignment with human and financial governance principles such as transparency
resources. We show that resource allocation and accountability, emphasising collective
for delivery was insufficient for all residential action and creating harmonious workplace
areas within Jeddah. Although reforms sought relations in agencies. It is also linked to
to grant local authorities greater fiscal power, objectives for realization of Vision 2030,
in practice resources were limited and still including stakeholder boards, interactive
depended on central authorities for revenue. participation, policy alignment, and
Inadequate resources caused low maintenance coordinated stakeholder actions. All these will
levels for existing services and infrastructure. help promote urban governance quality and
Most amenities were without funding for long- ensure effective management of public goods
term maintenance because budgets were and services.
transferred to other projects.
 The Impact of Unban Governance on the Quality of Public Services in Saudi Cities 195

7. Conclusion coordinate public amenity provision for

progress monitoring mechanisms. It will
We have reviewed several claims about
expand building capacity, enabling broad
the transformation of modern cities and the
participation in local planning decisions and
decline of public services. The literature on
policy formulation regulating urban
this subject reveals multiple opinions.
development through social control over
Theoretically, the desire to develop a vision for
governmental activities.
city development and public service
management requires understanding of the Our research indicates an urgent need for
socio-political realities for each city. We need further empirical studies on the causes of
to know what services communities need and mismanagement of projects in Saudi cities,
why, to reinforce delivery of better amenities. focussing on challenges and lessons for
governing different services, identifying
Our findings provide a fresh
factors that shape provision quality. This will
understanding of how growing demands for
generate comparative analyses between
public services necessitated national and local
different services and areas, showing
reform initiatives, transforming modern
similarities and contrasts, exploring where and
agencies and bridging older literature on urban
how progress has been possible. We offer
governance and city management with recent
clues for countries of emerging economies,
work on change. Analysis of our empirical
such as the Gulf States, who struggle with
data shows that, in recent years, government
administrative and political reforms. Despite
has realized the urgent need for good urban
limitations, this is a fresh and timely
governance. Despite shifts in the governance
contribution to governance literature. The
regime, increasing erosion of control over
primary research is robust, raising questions
agencies, and efforts to incorporate
about Vision 2030 in promoting governance
governance into city development, actions still
and management. This should be read by
lag behind expectations. Bureaucratic
policymakers and academics.
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‫‪198‬‬ ‫‪Khalid Nasralden Mandeli‬‬

‫أثر الحوكمة الحضرية على جودة الخدمات والمرافق العامة في المدن السعودية‬
‫خالد نصرالدين أحمد منديلي‬

‫قسم التخطيط الحضري واإلقليمي‪ ،‬كلية تصاميم البيئة‪ ،‬جامعة الملك عبدالعزيز‪ ،‬جدة‪،‬‬
‫المملكة العربية السعودية‬
‫‪[email protected]‬‬

‫المستخلص‪ .‬تستعرض هذه الورقة البحثية آراء أصحاب المصلحة الذين يخططون ويديرون‬
‫عمليات تنفيذ مشاريع الخدمات العامة والبنية التحتية في محافظة جدة فيما يتعلق باإلدارة‬
‫الحضرية ودورها في االرتقاء بجودة هذه الخدمات‪ .‬كما تسلط هذه الورقة الضوء على عالقة‬
‫تقديم الخدمات العامة بجودة عالية بمستوى اإلدارة الحضرية‪ ،‬وتؤكد على أن رؤية السعودية‬
‫‪ 2030‬وبرنامج التحول الوطني السعودي يوفران فرصة إلنشاء إدارة حضرية شاملة تساعد على‬
‫تحقيق الكفاءة والفاعلية في ممارسة أجهزة الدولة لمهامها واختصاصاتها على أكمل وجه وتعزيز‬
‫نوعية الحياة‪ .‬كما تظهر النتائج التي توصلنا إليها أن صناعة البناء وعمليات تشييد الخدمات‬
‫والمرافق العامة تواجه تحديات كبيرة في الوقت الراهن بسبب ضعف اإلدراية المحلية بمحافظة‬
‫جدة‪ .‬ومن هذا المنطلق تؤكد على أن عملية مواجهة هذه التحديات وتحسين مستوى هذه‬
‫الخدمات بما يواكب التطلعات واآلمال تستوجب تحديد العوامل التي تساعد على االرتقاء بها‪.‬‬
‫كما تؤكد على أنه يمكن تعزيز اإلدارة الحضرية من خالل تطبيق مبادئ الرؤية السعودية‬
‫‪ 2030‬التي تهدف إلى تحقيق الحوكمة الرشيدة في جميع القطاعات‪ ،‬وبما يضمن استم اررية‬
‫العمل التنفيذي ومتابعة األداء وفق أفضل الممارسات العالمية المتبعة‪.‬‬

‫الكلمات المفتاحية‪ :‬الحوكمة الحضرية‪ ،‬اإلدارة الحضرية‪ ،‬الخدمات العامة‪ ،‬جدة‪ ،‬رؤية السعودية‬
‫‪ ،2030‬المملكة العربية السعودية‪.‬‬