Smart Growth Strategies and Actions for Small Towns and Rural Areas


In the wake of urbanization, rural areas and small towns often grapple with issues like depopulation, unemployment, and limited access to resources. However, the concept of smart growth offers a ray of hope. Smart growth involves efficient and sustainable development strategies that can revitalize these communities while preserving their unique character. In this blog, we’ll explore various smart growth strategies and actions tailored to small towns and rural areas.

In this white paper, we provide examples that demonstrate that smart growth strategies can be tailored to the unique needs and characteristics of rural areas in different countries, leading to sustainable and prosperous communities. We also provide innovative technologies that could be implemented for each of the smart growth strategies in small towns and rural areas. These technologies can help transform small towns and rural areas into smart and sustainable communities, fostering economic growth, preserving natural beauty, and improving the quality of life for residents.


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1. Embrace Sustainable Infrastructure:

a. Broadband Connectivity: In today’s digital age, access to high-speed internet is crucial for education, business, and healthcare. Rural areas must invest in broadband infrastructure to bridge the digital divide.

Estonia: Estonia’s rural areas have some of the fastest and most extensive broadband coverage globally. The government invested in a robust digital infrastructure, ensuring that even remote communities have access to high-speed internet.

Technologies to consider:

  • Fiber Optic Networks: Deploy high-speed fiber-optic networks to ensure reliable and fast internet access even in remote areas.
  • Satellite Internet: Use satellite-based internet services to reach areas where laying cables is impractical.

b. Green Energy: Encourage renewable energy sources like solar and wind power. Implementing microgrids can make communities self-sufficient and resilient during power outages.

Germany: The village of Wildpoldsried in Bavaria, Germany, generates multiple times more energy from renewable sources than it consumes. They utilize wind turbines, solar panels, and biogas plants to become energy self-sufficient.

Technologies to consider:

  • Microgrids: Implement microgrids powered by renewable sources like solar and wind for localized energy generation.
  • Energy Storage: Utilize advanced energy storage systems like lithium-ion batteries to store excess renewable energy.

c. Efficient Transportation: Develop efficient public transportation systems, biking lanes, and pedestrian-friendly pathways. Promote carpooling and electric vehicle adoption.

Netherlands: The Dutch village of Houten has transformed into a cycling paradise. Its extensive network of bike paths and bike-sharing programs has reduced car usage significantly, making it an eco-friendly town.

Technologies to consider:

  • Smart Traffic Management: Implement intelligent traffic management systems to reduce congestion and optimize traffic flow.
  • Electric Bicycles: Promote the use of electric bicycles and e-bike charging stations to encourage eco-friendly commuting.

2. Preserve Natural and Cultural Assets:

a. Agricultural Land Preservation: Implement zoning regulations to protect farmland from urban sprawl. Support local agriculture through farmers’ markets and agricultural cooperatives.

Japan: Japan’s satoyama and satoumi landscapes are carefully managed, sustainable ecosystems where rural communities coexist with nature. These areas promote traditional farming and biodiversity conservation.

Technologies to consider:

  • Precision Agriculture: Use IoT sensors, drones, and data analytics for precision agriculture to maximize yields with minimal environmental impact.
  • Digital Farming Platforms: Adopt digital platforms that connect farmers with consumers directly, promoting local produce.

b. Historic Preservation: Preserve and promote historical sites and buildings. Heritage tourism can boost the local economy.

Italy: The town of Matera in Italy preserved its ancient cave dwellings, known as Sassi. Today, it’s a UNESCO World Heritage Site and a thriving tourist destination.

Technologies to consider:

  • Virtual Reality (VR) Tours: Offer VR tours of historic sites, allowing tourists to experience the past while preserving physical structures.
  • 3D Scanning: Use 3D scanning technology to create detailed digital replicas of historical artifacts and buildings.

c. Open Spaces: Create parks and recreational areas that preserve natural landscapes. These areas improve residents’ quality of life and enhance the environment.

Costa Rica: Costa Rica’s emphasis on preserving its natural landscapes has led to a booming ecotourism industry. National parks and protected areas attract visitors worldwide.

Technologies to consider:

  • Augmented Reality (AR) Nature Guides: Develop AR apps that provide interactive guides for exploring natural parks and reserves.
  • Environmental Sensors: Install environmental sensors to monitor and preserve the health of ecosystems.

3. Economic Diversification:

a. Entrepreneurial Support: Offer incentives and support for small businesses and startups. Business incubators, co-working spaces, and training programs can foster entrepreneurship.

Finland: Finland’s “Startup Sauna” program supports startups and entrepreneurs. It provides mentorship, funding, and co-working spaces to encourage innovation in rural areas.

Technologies to consider:

  • Online Incubators: Establish online business incubators that provide mentoring and resources to rural entrepreneurs.
  • Crowdfunding Platforms: Create crowdfunding platforms specifically tailored to rural startup initiatives.

b. Workforce Development: Collaborate with local educational institutions to tailor training programs to meet the needs of emerging industries. Encourage vocational education.

Switzerland: Swiss vocational education and training (VET) programs prepare students for careers in industries vital to rural areas, such as agriculture and hospitality.

Technologies to consider:

  • Virtual Training: Offer virtual reality-based vocational training programs for skills development.
  • Remote Learning Platforms: Provide online courses and certifications for rural job seekers.

c. Tourism Promotion: Promote local tourism by highlighting natural attractions, cultural festivals, and unique experiences.

New Zealand: New Zealand’s “Pure New Zealand” campaign promotes rural tourism, showcasing its stunning landscapes, outdoor activities, and indigenous culture.

Technologies to consider:

  • Tourism Apps: Develop mobile apps that provide tourists with real-time information and guides.
  • Eco-friendly Lodging: Promote eco-friendly accommodations and practices to attract sustainable tourism.

4. Housing and Community Development:

a. Affordable Housing: Develop affordable housing options to attract and retain residents. Use mixed-use zoning to create vibrant town centers.

Canada: The city of Calgary, Alberta, has implemented affordable housing initiatives to address housing shortages in rural communities. They offer subsidies and incentives for affordable housing construction.

Technologies to consider:

  • Prefab Construction: Utilize prefab construction methods to quickly and cost-effectively build affordable housing.
  • Smart Home Technology: Integrate smart home technology for energy efficiency and security in new housing developments.

b. Smart Infrastructure: Upgrade infrastructure with a focus on sustainability. Implement smart grid technology, efficient waste management, and green building practices.

Singapore: Singapore’s Punggol Eco-Town is a model for green building and sustainable infrastructure. It incorporates smart technologies for energy efficiency, waste management, and water conservation.

Technologies to consider:

  • IoT for Water Management: Implement IoT sensors to monitor water usage and detect leaks in water supply systems.
  • Green Building Materials: Use sustainable and eco-friendly building materials for construction.

c. Community Engagement: Engage residents in the decision-making process. Local input is invaluable for shaping the community’s future.

Australia: The “Your Say” platform in Victoria, Australia, engages rural communities in decision-making processes, ensuring that local voices are heard in planning and development.

Technologies to consider:

  • Community Mobile Apps: Develop mobile apps for community members to engage, share ideas, and provide feedback.
  • Online Town Hall Meetings: Host virtual town hall meetings to involve residents in decision-making.

5. Regional Collaboration:

a. Shared Services: Collaborate with neighboring communities to share resources and services, reducing costs and increasing efficiency.

United States: In rural Maine, multiple towns collaborate to share emergency services, reducing costs and improving response times.

Technologies to consider:

  • Cloud-Based Collaboration Tools: Use cloud-based tools for seamless collaboration among towns sharing services.
  • Unified Communication Platforms: Implement unified communication platforms for efficient sharing of information.

b. Regional Planning: Develop regional growth plans that consider transportation, environmental conservation, and economic development across multiple communities.

Sweden: The Swedish government supports regional planning councils that coordinate growth and development strategies across multiple municipalities, promoting regional prosperity.

Technologies to consider:

  • Geographic Information Systems (GIS): Employ GIS technology for spatial planning and resource allocation.
  • Big Data Analytics: Analyze data to identify regional development opportunities and trends.

c. Grant Opportunities: Seek state and federal grants for smart growth initiatives. These funds can support various projects, from transportation upgrades to community revitalization.

India: India’s “Smart Cities Mission” provides financial support to small and mid-sized towns to implement sustainable urban development projects.

Technologies to consider:

  • Blockchain for Grants: Use blockchain technology for transparent and efficient grant distribution.
  • Digital Grant Application Systems: Simplify grant applications with online platforms.

6. Measure and Adapt:

a. Data-Driven Decision Making: Use data to assess the impact of smart growth initiatives continually. Adjust strategies based on the outcomes.

United Kingdom: The UK’s “Rural Evidence Research Centre” collects data on rural communities to inform policies and investments effectively.

Technologies to consider:

  • Data Analytics Tools: Utilize data analytics software to gather insights from collected data.
  • Predictive Analytics: Predict future trends and needs based on historical data.

b. Feedback Loops: Encourage residents and stakeholders to provide feedback on projects and policies. Adaptation is key to successful smart growth.

South Africa: In the Western Cape province, community engagement and regular feedback sessions help adapt rural development projects based on local input.

Technologies to consider:

  • Community Feedback Apps: Develop apps for residents to submit feedback and concerns.
  • Social Listening Tools: Monitor social media and online discussions to gauge public sentiment.

c. Long-Term Vision: Maintain a long-term vision for sustainable growth. Understand that smart growth is an ongoing process that requires commitment and adaptability.

Sweden: The “Vision 2030” plan outlines Sweden’s long-term sustainable development goals, emphasizing rural development alongside urban growth.

Technologies to consider:

  • Scenario Planning Software: Use scenario planning tools to create long-term development strategies.
  • Digital Master Plans: Develop digital master plans that can be updated regularly based on changing needs.

Small towns and rural areas have unique opportunities to harness the principles of smart growth to create vibrant, sustainable, and resilient communities. By embracing innovation, preserving their natural and cultural assets, and fostering economic diversification, these areas can thrive in the modern world while maintaining their distinctive character.