From urban sprawl to land consolidation in suburban Shanghai under the backdrop of increasing versus decreasing balance policy: A perspective of property rights transfer

Since the 1980s, Chinese cities have witnessed significant growth, resulting in urban sprawl all over the country. Under the strict land quota system, local government has had to transform its approach of Greenfield development to land consolidation. Under the ‘Increasing and Decreasing Balance’ land use policy, the Shanghai government began to consolidate rural construction land in order to acquire extra quota for state land by transferring development rights from collective land to state land and by establishing a three-level land consolidation planning system. This paper firstly examines the expansion of non-agricultural land in Shanghai since 1990. It explains the policy arrangements of land consolidation from the perspective of property rights transfer between state and collective land. Taking Xinbang Township as an example, this paper examines the roles of various stakeholders in land consolidation, the municipalities, district and township governments, village collectives, local villagers and entrepreneurs, and analyses the impact land consolidation has upon them. The paper concludes with discussion and policy implications of future land consolidation.