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NATURAL CAPITAL

BOX 5.6

119

Involving local communities in nature-based tourism in Indonesia

The Komodo National Park is a protected marine area in the Lesser Sunda Islands of Indonesia. This World Heritage Site was established in 1980 to protect the habitat of the Komodo dragon. Since then, its goals have expanded to include protection of the area’s many coral species and nearly 1,000 fi sh species. In 2005, a nonprofi t joint venture, Putri Naga Komodo (PNK)— comprising The Nature Conservancy, a local tourism company, and the International Finance Corporation—was set up to run the area. The aim is to protect biodiversity and enable local communities to benefit from the park in a sustainable way—through carefully managed nature-based tourism, alternative livelihoods for local people, and collaborative protection strategies, such as antipoaching patrols. All proceeds go toward stewarding biodiversity and developing

Watershed services Watersheds—that is, the area of land where all of the water that is under it or drains off it goes into the same place—provide a range of ecosystem services, supplying water and hydroelectric power, regulating water flows and floods,11 controlling soil erosion, and creating habitats for wildlife. Because of spatial tradeoffs—and in some cases open access regimes— the market often underprovides these services, creating the need for public intervention. To correct this market failure, governments have been investing directly in the restoration and enhancement of watershed services through initiatives such as watershed development programs. Payments for such environmental services are a recent policy innovation to create markets and provide incentives to conserve or generate these services. Support for investments in soil and water conservation. Investments in soil and water conservation normally include support for a mix of measures adapted to local conditions, including landscape restoration, erosion control, grazing management, water

alternative and sustainable livelihoods for the local communities. PNK, which is the exclusive manager of the venture, has invested $1 million in helping people in the park develop new activities, such as woodcarving and textile weaving. It has also provided them with technical assistance to develop sustainable seaweed farms, as well as facilitate the breeding of high-value reef fish to substitute for threatened wild fish. These efforts notwithstanding, a recent evaluation report (Agardy and others 2011), while acknowledging the project’s positive impacts, raises concerns about the sustainability of the results, given the difficulties encountered in making this public-private partnership work. Source: The Nature Conservancy website (http://www.nature.org/); Catherine Cruveillier-Cassagne (personal communication).

harvesting, and agricultural productivity support measures. At lower altitudes in irrigated landscapes, they often include support for improved irrigation water management, drainage, and salinity control. Such integrated programs have been supported to scale in a number of countries and include a mix of private and public investment measures. In Turkey, better land management practices—promoted through investments in watershed rehabilitation and landscape restoration and reforestation programs, as well as profound changes in agricultural policy—have led to greening in the interior of the country, despite declining rainfall and increased temperatures in these areas. However, it is unclear whether this “regreening” also led to increases in rural incomes and employment. In India, where several watershed development programs have been tried in semiarid rain-fed regions of the country, the verdict is still out. These programs seek to increase agricultural productivity by controlling soil erosion, preventing siltation of water

Inclusive Green Growth  
Inclusive Green Growth  

As the global population heads toward 9 billion by 2050, decisions made today will lock countries into growth patterns that may or may not b...