Inception Report

Conservation and Sustainable Use of Biodiversity in the Dalmatian Coast through Greening Coastal Development - COAST

(PIMS 2439)

UNDP-GEF Full Size Project

Inception Report

June, 2007

TABLE OF CONTENTS

LIST OF TABLES 3

ACRONYMS 5

A. PROJECT INCEPTION UPDATE 6

1. OVERVIEW 6 2. CHANGES TO PROJECT DESIGN AGREED AT INCEPTION WORKSHOP 6 3. CHANGES IN CIRCUMSTANCES THAT MAY AFFECT PROJECT IMPLEMENTATION 7 4. CHANGES IN CIRCUMSTANCES THAT POSE A RISK TO SUCCESSFUL PROJECT IMPLEMENTATION 8 5. UPDATE ON BIODIVERSITY BUSINESS AND BANKING DEVELOPMENT 11 6. EU ACCESSION PROCESS 13

B. RECOMMENDATIONS TO PROJECT TEAM 14

1. BEGIN WORK ASAP ON LAUNCHING KEY ACTIVITIES 14 2. CONFIRM CO-FINANCING AMOUNTS AND USES 14 3. ASSIGN RESPONSIBILITY FOR ACTIVITIES/OUTPUTS 14 4. COORDINATE WITH THE OTHER BIODIVERSITY PROJECTS 15 5. REVIEW UNDP-GEF ADVISORY NOTES 15

C. REVISED MONITORING AND EVALUATION BUDGET 16

D. SCHEDULE FOR PROJECT REVIEWS, REPORTING AND EVALUATION 17

E. SUB-CONTRACTS FOR IMPLEMENTATION OF PROJECT ACTIVITIES 18

1. OVERVIEW 18 2. SUB-CONTRACTS TO BE INITIATED DURING YEAR 1 OF THE PROJECT 19 SUB-CONTRACT 1: HABITAT MAPS 19 SUB-CONTRACT 2: TAXONOMICALLY AND GEOGRAPHICALLY LIMITED FLORA MAPPING AND PREPARATION OF POPULAR FLORA GUIDE OF DALMATIAN COAST AND ISLANDS 21 SUB-CONTRACT 3: TAXONOMICALLY AND GEOGRAPHICALLY LIMITED FAUNA MAPPING 23 SUB-CONTRACT 4: AGRICULTURAL BIODIVERSITY DATA COLLECTION: TRADITIONAL AGRICULTURAL PLANTS AND DOMESTIC ANIMALS 25 SUB-CONTRACT 5: BIRDS POPULATIONS OF VIS ARCHIPELAGO: MONITORING; DRAFTING OF PROPOSAL FOR PROTECTION REGIME AND PRODUCING OF MATERIALS FOR VISITORS CENTER 26 SUB-CONTRACT 6: INVENTORY AND VISITORS INTERPRETATION OF MARINE BD AROUND ISLAND BIŠEVO AND SE COAST OF ISLAND OF VIS; PREPARATION OF PROPOSALS FOR SUSTAINABLE USE OF AREA 27 SUB-CONTRACT 7: MAPPING OF POSIDONIA SEA BEDS USING REMOTE SENSING METHOD 28 SUB-CONTRACT 8: INVENTORY AND ASSESSMENT OF COASTAL FISH POPULATION IN VIS AQUATORIUM AND RECOMMENDATIONS FOR SUSTAINABLE COASTAL FISHERIES IN VIS AQUATORIUM 29 SUB-CONTRACT 9: EVALUATION OF BIVALVE COMMUNITIES IN ZADAR COUNTY DEMO AREA 30 SUB-CONTRACT 10: MARINE BIODIVERSITY ASSESSMENT – REFINEMENT OF THE EXISTING HABITAT MAP OF ZADAR COUNTY DEMO AREA 31 SUB-CONTRACT 12: PREPARATION OF INTEGRATED SHELLFISH FARMING PLANS FOR 1) MALO SEA / MALOSTONSKI BAY, 2) KRKA ESTUARY AND 3) NOVIGRADSKO SEA / SI PART OF VELEBIT CHANNEL / SI COASTAL AQUATORIUM OF ISLAND PAG 34

1 SUB-CONTRACT 13: LANDSCAPE ANALYSIS OF THE MALOSTONSKI BAY 36 SUB-CONTRACT 14: LANDSCAPE ANALYSIS OF VIS AND SURROUNDING ISLANDS 37 SUB-CONTRACT 15: LANDSCAPE ANALYSIS OF ŠIBENIK-KNIN COUNTY COASTAL AREA 38 SUB-CONTRACT 16: LANDSCAPE ANALYSIS OF NOVIGRADSKO/KARINSKO SEA AREA AND LANDSCAPE PLAN FOR THE SELECTED AREA ON SOUTH-EAST PART OF THE ISLAND OF PAG 39 SUB-CONTRACT 17: PLAN FOR SUSTAINABLE TOURISM DEVELOPMENT FOR PELJEŠAC AREA 40 SUB-CONTRACT 18: PLAN FOR SUSTAINABLE TOURISM DEVELOPMENT FOR THE ISLAND OF VIS 42 SUB-CONTRACT 19: PLAN FOR SUSTAINABLE TOURISM DEVELOPMENT IN THE AREA OF KRKA RIVER ESTUARY 43 SUB-CONTRACT 20: PLAN FOR SUSTAINABLE TOURISM DEVELOPMENT IN WIDER NOVIGRAD/KARIN AREA 44 SUB-CONTRACT 21: GUIDELINES / GOOD PRACTICES FOR CONSERVATION AND SUSTAINABLE USE OF BD / LD IN KEY ECONOMIC SECTORS IN DALMATIA 45 SUB-CONTRACT 22: BD FRIENDLY AGRICULTURE AND FISHERIES: INFORMATION, NETWORKING AND TRAINING PROGRAM 47 SUB-CONTRACT 23: INVOLVEMENT AND TRAINING OF BANKS AND PROSPECTIVE BIODIVERSITY- FRIENDLY OPERATORS 48 SUB-CONTRACT 24: DEVELOPMENT AND IMPLEMENTATION OF ACTIVITIES/PROGRAMS EXPLORING SUSTAINABLE FUTURE OF DALMATIA AS TOURIST LANDSCAPE 49

F. PROJECT IMPLEMENTATION PLAN FOR 2007 AND 2008 51

G. REVISED LOGICAL FRAMEWORK MATRIX 62

H. REVISED PROJECT MANAGEMENT STRUCTURE 65

1. PROJECT STEERING COMMITTEE (PSC) 65 2. PROJECT IMPLEMENTATION UNIT (PIU) 65

I. ANNUAL WORK PLAN 2007-2008 68

J. GEF TRACKING TOOL: BIODIVERSITY FOCAL AREA STRATEGIC PRIORITY TWO 76

APPENDIX I: AGENDA OF THE INTERNAL AND EXTERNAL SESSION OF THE INCEPTION WORKSHOP 84

INTERNAL SESSION, 8 MAY 85 EXTERNAL SESSION, 9 MAY 86

APPENDIX II: LIST OF PARTICIPANTS 87

LIST OF TABLES

Changes made to the Project Design 7

Project implementation timetable 8

Risk table 9

Revised monitoring and Evaluation Budget 16

Sub-Contract 1: Habitat maps 19

Sub-Contract 2: Taxonomically and geographically limited Flora mapping and preparation of popular flora guide of Dalmatian coast and islands 21

Sub-Contract 3: Taxonomically and geographically limited Fauna mapping 23

Sub-Contract 4: Agricultural biodiversity data collection: traditional agricultural plants and domestic animals 25

Sub-Contract 5: Birds populations of Vis archipelago: monitoring; drafting of proposal for protection regime and producing of materials for visitors center 26

Sub-Contract 6: Inventory and visitors interpretation of marine BD around island Biševo and SE coast of island of Vis; preparation of proposals for sustainable use of area; visitors interpretation 27

Sub-Contract 7: Mapping of Posidonia sea beds using remote sensing method 28

Sub-Contract 8: Inventory and assessment of coastal fish population in Vis aquatorium and recommendations for sustainable coastal fisheries in Vis aquatorium 29

Sub-Contract 9: Evaluation of bivalve communities in Zadar County demo area 30

Sub-Contract 10: Marine biodiversity assessment – refinement of the existing habitat map of Zadar County demo area 31

Sub-Contract 11: Critical review of fisheries regulated areas and other protection regimes in Dalmatian aquatorium 32

Sub-Contract 12: Preparation of Integrated Shellfish farming plans for 1) Malo sea / Malostonski bay, 2) Krka estuary and 3) Novigradsko sea / SI part of Velebit channel / SI coastal aquatorium of island Pag 34

Sub-Contract 13: Landscape analysis of the Malostonski Bay 36

Sub-Contract 14: Landscape analysis of Vis and surrounding islands 37

Sub-Contract 15: Landscape analysis of Šibenik-Knin County coastal area 38

Sub-Contract 16: Landscape analysis of Novigradsko/Karinsko sea area and landscape plan for the selected area on south-east part of the island of Pag 39

3 Sub-Contract 17: Plan for sustainable tourism development for Pelješac area 40

Sub-Contract 18: Plan for sustainable tourism development for the island of Vis 42

Sub-Contract 19: Plan for sustainable tourism development in the area of Krka River estuary 43

Sub-Contract 20: Plan for sustainable tourism development in wider Novigrad/Karin area 44

Sub-Contract 21: Guidelines / good practices for conservation and sustainable use of BD / LD in key economic sectors in Dalmatia 45

Sub-Contract 22: BD friendly agriculture and fisheries: information, networking and training program 47

Sub-Contract 23: Involvement and training of banks and prospective biodiversity-friendly operators 48

Sub-Contract 24: Development and implementation of activities/programs exploring Sustainable Future of Dalmatia as Tourist Landscape 49

Project implementation plan for 2007 and 2008 51

Revised Logical Framework Matrix 62

Project Steering Committee 65

Annual Work Plan 2007-2008 68

List of participants 88

4 ACRONYMS APR Annual Project Report BD Biodiversity BDFBD Biodiversity Friendly Business Development CAP Common Agriculture Policy CBRRF COAST Biodiversity Rapid Response Facility CEMAT Conference of Ministers on Regional Planning COAST Conservation and Sustainable Use of Biodiversity in the Dalmatian Coast through Greening Coastal Development CSR Corporate Social Responsibility CTE Core Team Expert DPM Deputy Project Manager EBRD European Bank for Reconstruction and Development EC European Commission ECD European Commission Delegation ELC European Landscape Convention ESDP European Spatial Development Perspective EU European Union FAO Food and Agriculture Organization FSP Full Size Project GEF Global Environment Facility HAMAG Croatian Agency for Small Business HBOR Croatian Bank for Reconstruction and Development IPA Instrument for Pre-Accession Assistance IPARD Instrument for Pre-Accession Assistance for Rural Development IPPC Integrated Pollution Prevention and Control Directive LD Landscape Diversity NEN National Ecological Network NPIS Nature Protection Information System MSME Micro-, Small- and Medium-sized Enterprises NGO Non-government Organisation OFP Operational Focal Point PA Project Assistant PDF Project Development Funds PIR Project Implementation Review PM Project Manager PMG Project Management Group PIU Project Implementation Unit PRGF Partial Risk Guarantee Facility PSC Project Steering Committee Q Quarter SAPARD Special Accession Programme for Agriculture and Rural Development SINP State Institute for Nature Protection TPR Tripartite Review UNDP United Nations Development Programme WB World Bank WWF World Wide Fund for Nature

A. Project Inception Update

1. Overview

1. The inception phase of the COAST Project, lasting 6 months (January – June 2007), marks the launch of the implementation of the UNDP/GEF project “Conservation and Sustainable Use of Biodiversity in the Dalmatian Coast through Greening Coastal Development – COAST”. In this period the following activities were completed: (i) Terms of Reference for the Project Team were drafted and the team members were hired by April 1, (National Project Manager; Deputy Project Manager based in Zagreb; Deputy Project Manager based in Split; Project Assistant; Administrative and Financial Assistant). In addition, six sectoral experts were contracted for the inception period, covering the following fields: Terrestrial Biodiversity; Fisheries/Mariculture and Marine Biodiversity; Landscape; Tourism; Agriculture and Biodiversity Friendly Business Development. Finally, the members of the Project Steering Committee as well as Operational Focal Points as defined in FSP Project Document.

(ii) The project team organized the inception workshop from May 8 – May 10, 2007. During the first day, an internal workshop was held with the participation of the project team, UNDP Croatia, the UNDP-GEF Regional Technical Advisor for Biodiversity, and the PDF B Phase Project Manager. First day of the workshop was focused on orienting the team to UNDP and GEF project monitoring and evaluation procedures, and discussing technical aspects of the project, such as reviewing the logical framework, updating/revising the indicators and preparation of the first year workplan; and helping the project team organize the inception workshop for project partners and stakeholders. In addition, the presentation on monitoring and evaluation of GEF/UNDP projects, including the ATLAS risk management module was given to the team and considerable amount of time was spent on the risks the project is facing. During the second day, an external workshop was held with the participation of the project team, representatives of UNDP Croatia, UNDP-GEF Regional Centre, members of the Project Steering Committee and Operational Focal Points, as well as numerous representatives of national, county and local government agencies, NGOs, and private sector companies. The workshop focused on explaining the Project objectives, strategy and the workplan of the project to the audience and discussing opportunities for partnership during project implementation. Agenda and list of participants of the workshop internal and external sessions are presented in Appendices I and II.

(iii) During the inception phase, the project team worked to further develop key documents relating to the first year of project implementation, including: (a) Outcomes and outputs and revising logical framework and output indicators in an open and participatory discussion involving the whole team and key sectoral experts; (b) The workplan for the year 1, detailing primary activities under each output; (c) The working budget for the year 1; (d) An update of the SP2 GEF Tracking Tool, which will be used to measure the progress in management effectiveness until the project mid- term review; (e) Project sub-contracts for key activities for the year 1; (f) Project monitoring and evaluation budget; (g) Changes in circumstances since project approval, and related review of the project risk matrix.

2. Changes to Project Design agreed at Inception Workshop

The table below describes main changes made to the Project Design at Inception Workshop:

6 Changes made at the Inception Workshop Reason for change Output 3.3 There is no need to develop eco certification Relevant ministry developed the scheme scheme Output 1.1 and 1.3 There is no need to: - identify shell fish farm zones in Dubrovnik Relevant activities have already been undertaken Neretva and Šibenik Knin County - facilitate shell fish farms permits Output 2.5 Recognition and involvement of recently RDAs have been established by counties to take established Regional Development Agencies care of all aspects of regional development (RDA) as important project partners

2. Important changes regarding monitoring indicators and project risks have been incorporated in the further sections of this report, in particular in the revised Logical Framework Matrix.

3. Changes in Circumstances that may affect project implementation

3. Significant decline of exchange rate of US$ to Kuna took place, from 8,80 kn/1US$ in February 2002 to 5,40 kn/1US$ in May 2007. Over the same period of time the average costs of Project activities implementation, according to the recent estimates, has slightly increased or at best remained the same as they were at the beginning of the Project planning cycle. Therefore, it may become reasonable to reconsider Project duration which has originally been conceived at 7 years.

4. Most of the Project institutional partners are undergoing through the EU accession, process which has induced intensive adjustments towards introduction of advanced environmental legislation and standards. In addition, most of them take part in number of different national and international projects. Accordingly, Project partners will be exposed to an excessive regular workload and Project of excessive duration may cause in them fatigue which, in turn, will result in less interest and enthusiasm for active participation in the Project. All the project partners contacted during the Inception period suggested reconsidering the Project life span.

5. To facilitate further consideration of this question, during the Inception period detailed analysis of Project Workplan options has been made. Main activities which are dependent on the outputs of other activities were identified. Among them the key activity is establishment of BD and LD data collection, update and verification. Biodiversity and landscape related data will be collected and systematized as a basis and input for the next activity, planning of nature-friendly tourism development within demo areas. Furthermore, the same inputs are necessary for elaboration of national ecological network and design of biodiversity conservation/sustainable use measures. The same inputs will be converted and developed into guidelines for biodiversity friendly development of other economic sectors, in particular agriculture and fisheries, and further applied as criteria for banking sector and small grant program (COAST Biodiversity Rapid Response Facility - CBRRF). The elements of national ecological network and respective measures will be built into the land use planning documents, facilitated by the secondment scheme. Secondment is a key project strategy to permanently ‘embed’ biodiversity into the working practices of ministries, county planning departments, HBOR and tourism boards, through the financing of seconded staff.

6. The second step in the activity scheduling and Project duration analysis has been elaboration of key activity packages and estimate of the time needed for their implementation. In addition, partial overlapping of activities, originally scheduled sequentially, has been applied without compromising the basic input-output relationship. The inputs for this analysis were provided by the key sectoral

7 experts engaged during the inception stage. Finally, the following Project implementation timetable can be drawn:

2007 2008 2009 2011 2013 BD/LD data collection, update and verification National ecological network and conservation measures Nature based tourism development plans Improved BD investment climate BD Guidelines and BD friendly business criteria COAST Biodiversity Rapid Response Facility (CBRRF) Compliance and enforcement in key sectors Seccondment National awareness and dissemination

7. This analysis together with close project implementation monitoring will enable better informed assessment of the project duration as part of the first Annual Project Implementation Review.

4. Changes in Circumstances that pose a Risk to successful project implementation

8. Some fundamental but specific combination of policy issues or key questions that Dalmatian coast is faced with in recent years can be summarized as follows: • what is the right response to strong pressure for intensive coastal urbanization (primarily real estate development, namely secondary homes, sometimes hidden or combined with tourism development? • what are the instruments of equitable distribution of extra profit generated through land use decisions (planning gain or increase of land value when land is designated as buildable in statutory land use plans)? • how to ensure local communities are not excluded from future economic development, particularly on the islands and how to fight severe depopulation, ageing and abandonment of traditional economic sectors?

9. Different ways each of these issues is addressed may lead to different scenarios for the future of Dalmatian coast. The first issue, if not dealt with, may lead to future environmental degradation and artificialization of the coast, inevitably associated with biodiversity and landscape diversity loss. The second issue leads towards further social segregation and loss of trust of islanders for any state policy. The third issue requires supportive environment for islanders to participate in local development and if not taken care of, may lead to further depopulation, uncontrolled in-migration of

8 foreigners (coming from more robust socio-economic environments) and loss of traditional Dalmatian character and identity.

10. The risk in project implementation associated with the first issue is whether the Government remains supportive of the Coastal Decree or similar policy package. For the last two years the Coastal Decree to a significant extent managed to control coastal urbanization processes. Since the COAST Project has not been primarily designed to deal with the issue of uncontrolled urbanization, in the absence of this type of policy package, the situation with environmental and natural resources may deteriorate rapidly regardless of the COAST Project implementation.

11. The consequences of the second issue are difficulties in the participatory Project implementation. Lack of trust in state policies, combined with already developed fatigue of ever new policies and projects, may hinder the local participatory process and Project implementation. The only answer to this risk is even harder work with people and project partners as well as patient building of mutual trust and support for Project objectives.

12. The third issue, degree of participation of local communities in economic development, is also very important for the Project success, in particular on the islands. The associated risk is that once the Project is completed, its outcomes will not sustain over time and local life will get back to the old practices. In other words, the incentive structures designed during the project to support BD friendly business development will not survive the end of the project. It is critical for Project outcomes sustainability to develop some longer lasting mechanisms, particularly regarding the banking sector and state supported programs for regional and particularly rural development.

13. Following the above analysis and sectoral updates in section 2 of the Report, the Project team reviewed the risk matrix, identified some new risks and reassessed the existing ones.

Risk Risk Risk Mitigation Strategy rating This is considered unlikely. Moreover, most project activities and outputs can proceed The future of EU accession process: without the EU Accession process. The EU The EU Accession process slows or stops Low Accession process will be closely monitored. If due to external or political reasons. EU Accession slows down, the project will

undertake measures to compensate/alleviate the resulting weaknesses, if any. Collapse or downfall in European/ Downfall in European tourism sector is regional tourism sector: The impact is considered unlikely as opposed to regional twofold. Although this may reduce some instabilities which may have temporary but pressure on biodiversity, the overall severe impact on tourism along Adriatic Coast. impact on biodiversity is likely to be The likeliness of this kind of development is negative, as the momentum towards Medium difficult to forecast. Project will closely monitor sustainable tourism in the project area will regional situation and factors which may impact be lost, and local communities are tourism development. If it shows signs of unlikely to innovate. Local economic decline, project design will be reviewed and stagnation will lead to further degradation revised accordingly. of natural resources. This is considered possible, hence project design Changes in European market for organic is not fully dependent on the quick development and traditional agriculture does not of this market. Project will monitor development develop quickly. General market demand Medium of this market, and will revise its focus for organic and traditional agriculture accordingly. For example, if the market does not develop quickly. develops quicker than anticipated, project

emphasis will be redistributed accordingly.

9 Risk Risk Risk Mitigation Strategy rating There are two aspects to managing this risk: (i) The project team will continuously monitor the co-financing, report to key project stakeholders, Project co-financing: Co-financers, either identify likely problems in advance, and react as governmental or non-governmental, are appropriate; (ii) The project’s approach to unable to meet commitments due to Medium communication and outreach ensures that the developments not anticipated at project project will continuously identify new partners. design stage. Hence, even if the initially identified partners are unable to contribute at the committed level, the level of co-financing should rise with co- financing from the new partners. Thorough work planning with key partners and Project duration in view of available stakeholders, so more activities can be resources due to decline of exchange rate undertaken in the first years of the project. The of US$ to Kuna See Section 5 of the High mid-term evaluation could be planned after 2.5 Report. years to enable an independent assessment of the situation and recommendations towards a more realistic timeframe. Coastal Decree is suspended or repealed. Since the introduction of Coastal Decree (September 2004) planning system got clear and quantitative criteria which have been applied in the new generation of spatial plans of communes and municipalities. Most of these plans have been completed in year 2006. The Decree In case of decree suspension the project managed to achieve some of the important activities should be intensified in order to coastal sustainable development Medium convince key partners in likely adverse effects. objectives, including: to high There is also possibility for some or most of the curbed further expansion of buildable (during Decree provisions to be built into the Physical lands and associated sprawl election Planning Law in which case the law will development and loss of natural year) effectively replace the decree. resources,

ensured decent building setback, protection and public access along the coast, stopped greenfield development on the unserviced coastal lands thus improving environmental situation. Presently there is a strong pressure from illegal builders to suspend the Decree. Possible changes in project (institutional) environment after Parliamentary elections in November 2007: The changes Medium anticipated are to some extent inevitable to high due to likely reconstruction of Thorough work planning with key partners and (dependi Government regardless of the elections stakeholders is necessary avoiding key inputs ng on the returns. Changes in the partner ministries from partners shortly before or after elections. election will certainly cause delay in project returns) activities in which partner participation is necessary. As a result, the members of the project bodies may be changed or

10 Risk Risk Risk Mitigation Strategy rating reappointed. In addition, at least some of the co-financing arrangements should be reconfirmed. Underdeveloped local consultancy market for biodiversity and landscape related Project activities: The number of firms and teams of consultants capable of undertaking complex biodiversity related tasks (field work and biodiversity inventories/assessments, ecological Thorough work planning, including timely networks, nature conservation measures, invitations for prequalification in order to monitoring) is still very limited. Non- identify possible contractors and keep them Medium availability of the consultants may cause informed on the project needs is necessary. delays. On the other hand there is a strong need to develop local consultancy market to be able to carry out intensive biodiversity related activities in the near and mid term future as a result of application of EU directives and need for development of national ecological networks. Changes in the banking sector: Since the time the project was submitted, the overall environment for biodiversity friendly businesses (BDFB) in Croatia has improved significantly, with more banks The project needs to pay particular attention to developing green portfolios and images. the PRG. It was agreed that the UNDP/GEF The main assumption on which the Partial Global Technical Advisor, who was involved in Risk Guarantee (PRG) was based, the fact the design of the financial mechanisms for the Medium that the banks perceive the BDFB as COAST will spend 7 days with the team during risky, is only partly valid. The banks are the second half of the year and assess the reluctant to fund BDFBs not because of feasibility of using the funds for the the “BD friendly” aspect but because of establishment of a PRG. the vulnerability of the sectors they belong to. In addition, there are so many new credit lines, that it might be counter- productive to launch another one.

5. Update on Biodiversity business and banking development 14. In general, overall environment for both biodiversity friendly business development (BDFBD), as well as for SME category of businesses – where the majority of the BDFB belong, is improving during the last few years. BDFBs (or likely to be) has grown, following market trends of “healthy life” and “return to nature” (rural tourism, traditional food products, natural cosmetic products...) and/or incited by national/regional strategies and incentives (olive-groves, vineyards, orchards planting and processing,…). The banks, including commercial ones, have also started developing their “green” portfolios and image (e.g. Croatian Bank for Reconstruction and Development (HBOR) loans for renewable energy; several CSR initiatives; HBOR becoming member of UNEP FI). However, there is still much room for further development, both among entrepreneurs themselves and within the wider context. Namely, general level of knowledge required to develop BDFB and use the most out of the BDFB niche is still rather low, as well as the level of general

11 awareness of added value of BDFB (market, social and ecological) and in relation with this, additional respect and support it deserves.

15. Regarding the banks’ attitude towards the BDF investments, following clarification is needed in order to prevent potential misinterpretation: (i) collateral requests (app.1 : 1,3 for investors with business history and app.1 : 2 for start-ups) is not a special request for BDFBs, but for all loan applicants; (ii) for all applicants SMEs – which is including BDFBs – there are already several operational possibilities of additional guarantees (Croatian Agency for Small Business - HAMAG, HBOR, regional / local guarantee funds) as incentive for SME development; (iii) when banks are reluctant to finance BDFBs, it is not because they are BDF, but because of vulnerability of the sectors they usually belong to (e.g. bank will be, at least, equally reluctant to finance non-BDF agricultural project as BDF one); and (iv) for most vulnerable and strategic sectors (agriculture/fishery/mariculture and tourism) there are specific incentives and subsidies.

16. Arguably, the main problem is not that BDFB can not obtain a loan (as argued in previous point), but that non-BDFB can obtain financing. Therefore, the project should, besides making efforts to promote businesses aiming at BDF niche, also attempt to introduce more elaborated BD criteria in the loan programs for the “mainstream” businesses. The approach “I know everything, just give me the money” is still part of the mentality of MSMEs. Consequently, financial instruments shouldn’t be the only, preferably not even the major driving force for change to BDFBD!

17. There are lot of relevant institutions (on all levels) and various existing opportunities, incentives, subsidies for SMEs and targeted sectors (tourism, agriculture, fishery/mariculture). Actually, the greatest barriers for MSMEs taking advantage of the existing (and the same would apply to improved and new) support are poor information dissemination and insufficient knowledge/capacity of MSMEs to deal with such demanding “information environment”. To avoid the project being just “another new trees in deranged wood”, the Project approach should prefer improvements and adjustments of existing institutions and support, complemented by the establishment of the new ones, only if there are no adequate existing ones to be improved/adjusted.

18. The project should communicate the following main messages: (i) BDFBD is necessity and not the luxury!, as non-BDFBD destroys the very pre-conditions for the strategic sectors in Dalmatia which all rely upon natural resources; (ii) BDFBD is an opportunity and not a development restriction!, as BDFBD is complementary with the, generally speaking, only possible competitive development strategy for Croatia, which is selective - maximize profit per unit (of product or service) – strategy. Consequently, BDFBD is actually a niche that enables us to transform our weaknesses (e.g. low intensity farming and small size land plots) into our strengths (e.g. eco-farming) and, at the same time, to preserve our comparative advantage, i.e. bio-quality of this area!

19. The Project itself should not emphasize the risk of BDFBD as some additional risk due to its BD approach, on the contrary! BDFBD may reduce the risk and present a chance for reputation improvement – an opportunity to improve banks’ green image, in general, by “proofing” through BD sensitiveness and care for local natural values. Establishment of the “new” BD loans is associated with the following main risks/weaknesses: (i) above mentioned loans amount is arguably not worth the launching of the new BD credit line (especially, when distributed, as it is planned, among the more the better commercial banks); (ii) there are already so many various loans, incentive and commercial ones (not to mention all other incentives and subsidies) that it could be contra-productive to launch another one; (iii) the new BD loans will “separate the BD from business” in MSMEs and banks perception! As opposed to this, the option of adjusting existing loans (by including eliminative/selective BD criteria), besides avoiding all mentioned risks has additional benefit that at the same time BDFB would receive incentive and the non-BDFB would face restrictions in financing.

20. The project should use data, information and results in general from quite a few existing relevant projects, funded either through some other form of bilateral cooperation, or by the Ministry of Culture (i.e. its directorate for Nature protection), Ministry of Science, Ministry of Agriculture,

12 Forestry and Water Management, etc. In overcoming presently quite common problem of unavailability of data, the COAST project expect to benefit from the partnerships established during the project preparation phase with all of the mentioned ministries, more particularly from the fact that existing datasets are promised as part of the in-kind contribution. Some examples of the relevant projects were cited within the specification of the individual activities which are supposed to make use of them (see descriptions of activities / subcontracts). Regarding indicators, baselines and targets, some further elaboration and changes were required and consequently have been proposed in the revised Logical Framework Matrix.

6. EU Accession Process

21. This section provides brief information on the Croatia’s status to EU Accession for the Environment Chapter to which nature protection and biodiversity are integral part of.

22. The EU Accession process has continued to be a national priority. In October 2005 Croatia entered into negotiations with the EU. The main focus of the negotiations has been to demonstrate the capacity to adopt EU law, as this significantly determines the country’s ability to meet all other criteria for full membership. The screening process for the environment chapter was completed by the end of 2006. The Screening Report states that Croatia has made significant progress in some areas but additional efforts are needed in order for Croatia to be ready for full membership.

23. Main areas where Croatia needs to make additional efforts include: (i) Strengthening of administrative structures needed for the implementation of the environmental acquis at national, regional and local level in terms of number of staff, skills and equipment. This in particular is relevant for monitoring, inspection and data management system; (ii) Difficulties in the implementation of some directives are expected due to a high cost of implementation (e.g. landfills directive, water framework directive, waste water treatment directive, integrated pollution prevention and control (IPPC) directive, large combustion plants directive); (iii) The fragmented structure and division of responsibilities for operational aspects of environmental protection among many different bodies at central and local level may have negative impact on effective implementation, monitoring, enforcement, and reporting to the EC.

24. According to information provided by the Croatian Negotiating Team, Croatia is planning to complete the transposition of the entire environmental acquis by the end of 2008. Therefore, all government initiatives, programmes and legislative developments are consistent with and aimed at meeting EU Accession requirements. However, full transposition of the acquis does not mean that the legal process is completed, but that Croatia yet has to develop strong and well equipped administrative capacity to be able to implement the acquis. To respond to this, Croatia was advised by the EC to prepare a plan with a timetable and specific measures in terms of how it intends to address these issues, which concern both legislation and its implementation.

25. The EC has continued to facilitate the Accession process through financial support from CARDS and PHARE programmes to the following projects: o Approximation of Water Management Legislation with the EU Water Acquis o Environmental Assessment of Development Strategies o Institutional Capacity Building and Support for Implementation of SAPARD/IPA-RD Program o Support for the Further Approximation of Croatian Legislation with Environmental Acquis

13 o Technical Assistance to Ministry of Environmental protection, Physical Planning and Construction of the Republic of Croatia for Enhanced Environmental Inspection for Enforcement of New Environmental Legislation o Development of Nature Protection Information System (NPIS) and Institutional Building for Monitoring of Biodiversity Indicators o Institutional Building and Implementation of NATURA 2000 o Developing the Capacity of Environmental Authorities through Transfer of Best Practice and Training to Support Effective Use of Financial Resources Location – Bulgaria, Croatia, Romania and Turkey o Strengthening the Capacity of Local and Regional Environmental Authorities to Implement the Environmental Acquis Location – Bulgaria, Croatia, Romania and Turkey.

26. The listed projects are being implemented in parallel with the COAST project and directly complement the activities planned under the COAST. As it can be seen from the above, there are many possibilities for cooperation in policy advice, capacity strengthening and natural resources management. Therefore, a close cooperation with the ECD office in Zagreb should be established in order to benefit from each other efforts and to avoid any duplication and over-utilization of otherwise scarce national and local capacities.

B. Recommendations to Project Team

1. Begin work ASAP on launching key activities 27. The project team must ensure that substantive activities, in addition to administrative ones, are completed during the first year of the project. For this reason, the year 1 project workplan includes specific targets for each of the Outcomes/Outputs that encompass activities for which implementation will begin during year 1. As it has been presented in previous chapter, the critical activity is biodiversity and landscape baseline data collection, inventory and assessment in demo areas. These targets were developed in a participatory manner with the project team and key sectoral experts engaged during the inception period. The project team must view achievement of these targets as essential to measuring their success at the end of year 1 as well as year 2 of the project.

2. Confirm co-financing amounts and uses 28. Two years have passed since most of the co-financing letters of commitment were signed by co-financing partners. For this reason, the project team has re-confirmed the co-financing amounts committed by major partners, during initial meetings. Commitment letters with regional and local stakeholders to re-confirm their financial commitments are in the process of confirmation. However, it should be pointed out that commitment letters signed by local stakeholders (NGOs, private entrepreneurs, cooperatives, etc) could not be considered as final and obligatory ones. Namely, all those stakeholders expressed their willingness to receive small grants and/or credits, within those letters. Still, they should reapply once the respective calls for proposals are issued, if they are to be considered to receive the grants and/or credits.

3. Assign responsibility for activities/outputs 29. During the Inception phase, the National Project Manager together with the project Team defined and allocated responsibilities among project team members for various outputs/activities under the first year workplan. This includes more detailed workplan with monthly and quarterly targets that guide week-to-week work. In addition, the National Project Manager together with the team will identify appropriate partners, stakeholders and executors of activities as defined by project team and key experts.

14 4. Coordinate with the other biodiversity projects 30. The project team should take advantage of lessons learned from other relevant projects in Croatia and other countries and regions. The WB - GEF Karst Ecosystem Conservation Project has been in implementation for several years by now, and the project team for that project could provide valuable information such as the project implementation strategy and communication with stakeholders, small grants scheme, bottle necks and mistakes made. Strategic Partnership for the Mediterranean Large Marine Ecosystems – is the GEF project, implemented by UNEP, MAP, FAO, UNESCO, UNIDO, ICS-UNIDO, METAP/WB and WWF in the Mediterranean Region. Its main objectives are to foster the implementation of the two Strategic Action Programmes (SAP MED and SAP BIO) and to prepare the ground for the future implementation of the ICZM Protocol. Full project implementation is expected to start in 2008/2009. Once the project starts, it would be relevant for the entire Croatian coastline and the COAST project. The WWF 2012 Protected Areas Program for the Dinaric Arc Ecoregion is implemented in parallel with the COAST project and geographically working over the same area in Croatia. A close cooperation should be established with this project because the project is aimed to gather, interpret and produce biodiversity relevant information, build capacity and skills of national and local authorities, and initiate activities to bring biodiversity higher on the political agenda and that is mainstreamed into existing country’s strategies and plans. The UNDP Croatia provides office space and logistical support to the WWF project. Also, cooperation should be established with the EC funded Development of Nature Protection Information System (NPIS) and Institutional Building for Monitoring of Biodiversity Indicators and Institutional Building and Implementation of NATURA 2000 projects that are planned to start by end of 2007 / beginning of 2008. The project team should work with UNDP Croatia and/or UNDP-GEF Regional Technical Advisor for Biodiversity to make sure is well informed of and takes part in European and international biodiversity related fora and initiatives. Besides biodiversity projects, the UNDP / GEF Energy Efficiency project team could provide valuable information and lessons learned regarding the HBOR Partial Guarantee Facility.

5. Review UNDP-GEF Advisory Notes 31. The project team should review the following documents, which give the reader a good sense of UNDP-GEF thinking on critical issues related to the implementation of this project. These advisory notes include:

- Advisory Note on Transforming Markets for Biodiversity Conservation and Sustainable Use - Advisory Note on Ecotourism for Project Development - Advisory Note on Indicators

15 C. Revised Monitoring and Evaluation Budget

Type of M&E Responsible Parties Budget US$ Time frame activity Project Team Project Coordinator Within six months of Inception Workshop 8,000 UNDP CO project start up UNDP GEF Project Team Immediately following Inception Report None UNDP CO IW Project Manager will oversee 5,000 Measurement of Means the hiring of specific studies To be finalised in of Verification for Start, mid and end of and institutions, and delegate Inception Phase and Project Purpose project responsibilities to relevant Workshop. Indicators team members Measurement of Means 5,000 of Verification for Oversight by Project GEF To be determined as Project Progress and Annually prior to PIR Technical Advisor and Project part of the Annual Performance (measured and to the definition of Coordinator Work Plan's on an annual basis) + annual work plans preparation. workshop for dissemination Project Team APR and PIR UNDP CO 3,000 Annually UNDP-GEF Government Counterparts UNDP CO Every year, upon TPR and TPR report Project team None receipt of APR UNDP-GEF Regional Coordinating Unit Project Manager Following Project IW Steering Committee Project Coordinator None and subsequently at Meetings UNDP CO least once a year To be determined by Periodic status reports Project Team None Project team and UNDP CO To be determined by Project Team Technical reports 14,000 Project Team and Hired consultants as needed UNDP CO Project Team UNDP- CO At the mid-point of Mid-term External UNDP-GEF Regional 60,000 project Evaluation Coordinating Unit implementation. External Consultants (i.e. Evaluation Team) Project Team, UNDP CO Final External UNDP-GEF Regional At the end of project 60,000 Evaluation Coordinating Unit implementation External Consultants (i.e. Evaluation Team) Project team At least one month Terminal Report UNDP CO None before the end of the External Consultant project Project Team Lessons learned UNDP-GEF Regional 12,000 Annually Coordinating Unit Audit UNDP CO 21,000 (average $3,000 Annually

16 Project Team per year) UNDP CO Visits to field sites UNDP-GEF Regional 10,000 (average one (UNDP staff travel costs Coordinating Unit (as Annually visit per year) to be charged to IA fees) appropriate) Government representatives TOTAL INDICATIVE COST (Excluding project team staff time and UNDP staff and travel US$200,000 expenses)

D. Schedule for Project Reviews, Reporting and Evaluation 1. Inception Report June 2007

2. 1st GEF Tracking Tool June 2007

3. 1st Project Steering Committee (PSC) meeting July 2007

4. 1st Project Implementation Review (PIR) July 2008

5. 2nd PSC meeting August 2008

6. 2nd Annual PIR July 2009

7. 3rd PSC meeting August 2009

8. Mid Term External Evaluation June 2009

9. 2nd GEF Tracking Tool (including METT) June 2009

10. 3rd Annual PIR July 2010

11. 4th PSC meeting August 2010

12. 4th Annual PIR June 2011

13. 5th PSC meeting August 2011

14. 5th Annual PIR July 2012

15. 6th PSC meeting August 2012

16. 6th Annual PIR July 2013

17. Terminal Report October 2013

18. Final External Evaluation and Project Review October 2013

19. Final PSC meeting December 2013

32. In addition to the above, quarterly progress reports will be prepared starting in April 2007, as per UNDP requirements.

17 E. Sub-Contracts for Implementation of Project Activities

1. Overview 33. Sub-contracts will be issued during the project to undertake numerous task-specific consultancies that will support the efforts of PIU staff and national and international experts. This chapter presents detailed Terms of Reference for the implementation of 26 project activities to be sub- contracted during the first year of project implementation. The awarding of the sub-contracts will be done on a competitive basis using established procedures. Sub-contract agreements will be concluded with individual specialists as well as private firms, public and private institutions and organizations at the national and international level. In instances where international consultants will be required, notification of the tenders will be done using established procedures that make them known to the international consulting community. Incoming applications to participate in tender will be reviewed by the UNDP Tender Panel in association with representatives of the Executing Agency. Tender results will be delivered to all applicants. Agreements in accordance with existing legislation will be concluded with all selected subcontractors. Work-plan and terms of reference will be attached to every agreement.

34. If an agreement is concluded for a long-term period (two or more quarters), then specific procedures will be agreed upon to evaluate the quality of the work carried out. Appropriate supervisory mechanisms will be established for all sub-contracts, including milestones and indicators. The National Project Manager will have overall responsibility for all sub-contracts, but much of the actual monitoring of their implementation will be carried out by the PIU staff with relevant expertise in each area.

18 2. Sub-Contracts to be initiated during Year 1 of the Project

Sub-Contract 1: Habitat maps Production of habitat maps (1:25000) Targeted outputs in Year 1 1.1.; 1.2.; 1.3. ; 1.4. Workplan Expected duration 12 months Expected period Q3 2007 – Q3 2008 Project site(s) Central part of the Island of Pag (approx. 108 km2, see attached map) Delta of Krka river with neighboring area (approx. 117 km2, see attached map) Island Vis and related archipelago (approx. 102 km2, see attached map) Island Mljet (approx. 116 km2, see attached map) Budget 160.000 US$ Responsibility and control over sub-contract implementation rest BD CTE & DPM posted in project area with Background Production of Habitat maps in scale 1:25000 is a part of the basic biodiversity data collection, update and verification in demo sites, which will provide fundamental information on biodiversity values on the habitat level and related spatial relations for identified priority BD areas. The maps are background/input for several subsequent project activities, particularly for local elaboration of the national ecological network, identification of highly important BD spots, collimation of other project activities, etc. The activity should be implemented in coordination, i.e. by complementing and using already available results and experiences of all other past and ongoing relevant projects – including: Investigation of the sea flooded karst in the coastal area of Croatia funded by Ministry of Science, Education and Sport, Habitat mapping activities in protected areas along Croatian coast funded by Ministry of Culture; Biodiversity of the vascular plants inside Adriatic area, Faculty of Science, University of Zagreb funded by the Ministry of Science; Biodiversity of medicinal and aromatic plants - Faculty of Agronomy, University of Zagreb, funded by Ministry of Science, Education and Sport; Mediterranean landscape as a factor of Croatian identity, conservation and development (performed by Faculty of Agronomy, University of Zagreb; investor Ministry of Science, Education and Sport; etc. (see the list on Ministry of Science, Education and Sport: http://zprojekti.mzos.hr/public/c-prosudbene.asp) Objective Production of the Habitat maps in scale 1:25000 for BD priority site within demo site in each of the four counties within the project area. Activities / The Consultant will produce habitat maps for the specified BD priority areas (approximately Tasks 450 km2, see attached maps). The maps should be based on new and original data sets. The Consultant will propose and perform optimal methodology having in mind the following: The National classification system of habitats should be used as nomenclatural standard. Minimal definition of ground units should be on 4th level of National classification system of habitats. Minimal mapping unit for forest habitat types should be 2.25 ha and minimal mapping unit for non-forest habitat types should be 1 ha. For the purpose of above, the remote sensing data not older than 2006 should be used together with appropriate ground ratification. Usage of ortho photo images (BW, Color) is obligatory only if such input already exist in counties or state administration or other sources without extra costs. Usage, i.e. integration of other sources useful for mapping small significant spots bellow minimal mapping unit (e.g.. springs, small ponds, etc.) is obligatory only if such input already exist in counties or state administration or other sources without extra costs (i.e. Croatian Waters, SINP, etc). The consultant is fully responsible for ground ratification, and quality of the habitat maps and associated products. The consultant should also identify and use available results of the other relevant projects. The consultant will regularly report to PIU on progress made, and adjust its activity to accommodate for new developments in case of availability of relevant “ready to use” datasets. Deliverables Habitat maps in scale 1:25000 in digital form, including: 1) high resolution files in tiff

19 Production of habitat maps (1:25000) format, fully elaborated map sheets, print ready (frames, legends, coordinate systems, titles, authorizations, etc.); 2) structured GIS layers containing all information and attribute tables for map production and analysis with other data, in ESRI compatible formats RS images used GIS layer(s) with ground ratification details Manual on habitat maps with methodology description, technical information, digital form description, etc. Video and photo documentation on habitats (at minimum, all locations used for ground ratification). Qualifications Technical capacity for: 1) GIS data evaluation and analysis; 2) RS data evaluation and required analysis; 3) field work ground ratification; 4) video and photo documenting Specific experience of the consultants relevant to the assignment: 1) experience in habitat mapping; 2) experience in ground ratification and other related field activities; 3) background in application of GIS technologies and Remote Sensing techniques; 4) capacity for preparation of the high quality final mapping results presentation; 5) experience in monitoring; 6) qualifications, competence and sufficient number of key staff for the assignment (biologists-botanists, foresters, GIS/RS experts, others); Previous experience of the key staff on similar tasks in the project area is considered as an advantage. Inclusion of the best experts from the project area in the proposed team is considered as an advantage. Both the lead company references and references of each individual key staff for the assignment will be evaluated.

20 Sub-Contract 2: Taxonomically and geographically limited Flora mapping and preparation of popular flora guide of Dalmatian coast and islands Taxonomically and geographically limited Flora mapping and preparation of popular flora guide of Dalmatian coast and islands Targeted outputs in Year 1 1.1.; 1.2.; 1.3.; 1.4. Workplan Expected duration 12 months Expected period Q3 2007 – Q3 2008 Project site Central part of the Island of Pag (approx. 108 km2, see attached map) Delta of Krka river with neighboring area (approx. 117 km2, see attached map) Island Vis and related archipelago (approx. 102 km2, see attached map) Island Mljet (approx. 116 km2, see attached map) New flora mapping is expected on area of 50 km2per site For sub-activity Popular flora guide of Dalmatian coast and islands, the whole project area Budget 90,000 US$ Responsibility and control over sub- BD CTE & DPM posted in project area contract implementation rest with Background Preliminary assessment of the demo sites and identification of BD Priority Areas provided the basic information on current level of knowledge about vascular flora within the project area. Consultant will, starting with these data, further investigate and map the flora in BD priority areas in all four counties. This information should be based on new and original data sets. The results should serve as a background for several subsequent project activities, particularly for national ecological network development (NEN), identification of highly important BD spots, monitoring, itinerary development, collimation of other project activities, etc. The activity should be implemented in coordination, i.e. by complementing and using already available results and experiences of all other past and ongoing relevant projects – including: Important Plant Area – Croatia (performed by Faculty of Science, University of Zagreb (FoS/UoZ); investor Plant Life International-UK & BBI-Matra Netherlands), 2006-2009., Biodiversity of the vascular plants inside Adriatic area (performed by FoS/UoZ; investor Ministry of Science, Education and Sport - MSES), 2006-2009., Phylogeny and genetic diversity of the endemic plants of the Dinaric-Adriatic karst, 2006-2009., etc. (see the list on MSES: http://zprojekti.mzos.hr/public/c-prosudbene.asp) Currently there is no popular literature on biodiversity values and BD worth of Adriatic coast and islands. On the other side, experience from countries with longer tradition in similar endeavor demonstrates that such literature has multitude of very positive effects, including: improved BD information dissemination and increased public sensibility on BD issues and knowledge on surrounding natural environment; growing number of educated amateurs that form informed public required for effective policy making and implementation as well as a manpower for more and more widespread participatory monitoring practice; enriched tourism offer; etc. The proposed popular flora guide, covering combination of common and widely distributed as well as the most threatened Mediterranean species, will serve that purpose for the COAST project area. Besides, it will serve as an example for similar publications (demonstration power) for other parts of Croatia. Objective Identification of particularly important BD localities and areas, based on flora distributions Flora guide of Dalmatian coast and islands Activities / The consultant will prepare a comprehensive flora inventory report – for each of the above Tasks listed project site / BD priority area – based on the best available / existing datasets. The reports will consist of two main parts differing in the level of detail in treatment of the subject: the first one with all-embracing but necessarily more general description of flora within each of the area; the second with more detailed description of the most specific / valuable / threaten / common flora species in each of the areas. The consultant will make public presentations of the report for academia and experts institutions (SINP, county departments, etc), as well as for general interested public somewhere within the project site. The reports will answer / incorporate / reflect in some way all substantive received comments / suggestions.

21 Taxonomically and geographically limited Flora mapping and preparation of popular flora guide of Dalmatian coast and islands The consultant will organize and perform field work for the mapping of vascular flora. Field mapping activities are taxonomically limited to the vascular flora (Tracheophyta) that are (1) Red Book species in categories CR, EN and VU, (2) species from the annexes in Bern Convention and Habitat Directive, (3) species protected by the law (protected and strictly protected). Mapping is geographically limited to the priority sites area, and ecologically focused to the threatened habitats (according to the Red list of habitat types of Croatia). Geo coding of findings should have precision minimum ±50 m using appropriate GPS devices; MTB squares 1/64 (~ 1 km2) for all other records. Data gathering, organization, delivery form and other should follow standard field work requests and sheets (Faculty of Science, University of Zagreb or SINP). For planning field activities and selecting target area, consultant will use available habitat maps (existing national habitat map 1:100.000) and expert knowledge about area. Bidders should specify the target species of flora and foreseen monitoring methodology in technical part of their proposals. Expected area which will be covered by the new mapping of vascular flora field exercise is 50 km2 per site. The consultant will incorporate newly gathered data/information in the previously prepared / presented (above described) flora inventory report. The consultant will identify and provide advice regarding especially BD valuable areas within the Project site as well as regarding their preferred management regimes within the forthcoming national ecological network. The consultant will select 250 species/subspecies of the vascular flora characteristic for the Dalmatian coast and islands (common, threatened, endemic, flagship, etc.). Each taxon should be elaborated according to the methodology developed by Croatian Botanical Society (CBS) (for details see http://hirc.botanic.hr/HBoD/HBoD-biblio-sp.htm). Beside standard elements defined by CBS, it should contain introduction with the broad description of Dalmatian coast and islands (i.e. position, climate, vegetation, flora, other important issues). Deliverables Report on flora inventory of the project site – separately for each specified area, based on the best available / existing datasets. Floristic lists - hard copies (standard sheets of Faculty of Science or SINP) Floristic lists data inputs in Flora Croatica Database (following procedure on http://hirc.botanic.hr/fcd/html/Hr-FC-kako.html ) Photo documentation of registered species and related habitats in digital form (appropriate format with resolution that fit good quality publishing in format A4) Video documentation on habitats and species Proposal of sites and areas of particular BD values presented on map 1:25000 with explanation as well as suggestions regarding preferable conservation / sustainable usage regimes as elements of forthcoming LEN NKS codes and coordinates of rare habitat types according to the Red list of habitats The flora guide (working title “Flora of the Dalmatian coast and islands”) ready for publishing Easy approachable and downloadable web version of the Flora quide (in coordination with SINP and/or CBS) Qualification Specific experience of the consultants relevant to the assignment: 1) experience in flora s required mapping; 2) experience with standardized methods and data delivery; 3) specific knowledge on target taxa and habitats; 4) experience with standardized methods on flora and habitats monitoring Qualifications and competence of key staff for the assignment: 1) well trained field botanists or/and other appropriate staff (foresters, agriculturist or similar); 2) Inclusion of the best experts from the project area in the proposed team is considered as an advantage. Technical capacity: 1) appropriate GPS devices; 2) capability to approach to the field; 3) appropriate literature for taxa evaluation; 4) appropriate equipment and material for herbarium collection management for later evaluation; 5) database entry capability experience in writing, editing and publishing of popular scientific publications.

22 Sub-Contract 3: Taxonomically and geographically limited Fauna mapping Taxonomically and geographically limited Fauna mapping Targeted outputs in Year 1 Workplan 1.1.; 1.2.; 1.3.; 1.4. Expected duration 12 months Expected period Q3 2007 – Q3 2008 Project site Central part of the Island of Pag (approx. 108 km2, see attached map) Delta of Krka river with neighboring area (approx. 117 km2, see attached map) Island Vis and related archipelago (approx. 102 km2, see attached map) Island Mljet (approx. 116 km2, see attached map) Budget 90,000 US$ Responsibility and control over sub- BD CTE & DPM posted in project area contract implementation rest with Background The preliminary assessment of the demo sites and identification of BD Priority Area present the basic information on current level of knowledge about fauna within the project area. Consultant will, starting with these data, propose and conduct further data collecting and mapping of the fauna in BD Priority Areas in all counties. These results are background for several subsequent project activities, particularly for ecological network development, identification of highly important BD spots, itinerary development, monitoring, collimation of other project activities, etc. The activity should be implemented in coordination, i.e. by complementing and using already available results and experiences of all the other past and ongoing relevant projects (e.g. see the list on Ministry of Science, Education and Sport: http://zprojekti.mzos.hr/public/c- prosudbene.asp) Objective Production of distribution maps for BD priority sites in all counties for selected group of taxa and identification of particularly BD important localities and areas. Activities / The consultant will prepare a comprehensive fauna inventory report – for each of the above Tasks listed project site / BD priority area – based on the best available / existing datasets. The reports will consist of two main parts differing in the level of detail in treatment of the subject: the first one with all-embracing but necessarily more general description of fauna within each of the area; the second with more detailed description of the most specific / valuable / threaten / common fauna species in each of the areas. The consultant will make public presentations of the report for academia and experts institutions (SINP, county departments, etc), as well as for general interested public somewhere within the project site. The reports will answer / incorporate / reflect in some way all substantive received comments / suggestions. The consultants will propose, organize and perform field work for the mapping of fauna that in their opinion is the best fit to the following criteria. Field mapping activities are taxonomically limited to those fauna groups that could serve as the basis in identification of highly important BD sites and area. From selected groups of fauna, target species are (1) Red Book species in categories CR, EN and VU, (2) species from the annexes in Bern Convention and Habitat Directive, (3) species protected by the law (protected and strictly protected) and (4) other (taxa important for the spatial management, key species, flagship species, bio indicators). Mapping is geographically limited to the above listed project site / BD priority area, and ecologically focused, more or less, to the threatened habitats (according to the Red list of habitat types of Croatia). Bidders should specify the target species of fauna and foreseen monitoring methodology in technical part of their proposals. Expected number of species which will be covered by the new field survey / data gathering exercise is 6 per site. Geo coding of findings should have precision appropriate for incorporation to the ecological network in scale 1:25000. Data gathering, organization, delivery form and other should follow best practice and standard field work requests and sheets (in coordination with SINP). For planning field activities and selecting target area, consultant will use available habitat maps (existing national habitat map 1:100.000) and expert knowledge about the area. The consultant will incorporate newly gathered data/information in the previously prepared / presented (above described) fauna inventory report. Based on the both collected existing and newly gathered data, the consultant will identify and provide advice regarding especially BD / fauna valuable areas within the Project site as well as regarding their preferred management regimes within the forthcoming national ecological

23 Taxonomically and geographically limited Fauna mapping network. Deliverables Report on fauna inventory of the project site, based on the best available / existing datasets Distribution maps in scale 1:25000 for target species Distribution data in digital form according to the COAST database requests Photo documentation of registered species and related habitats in digital form (appropriate format with resolution that fit good quality publishing in format A4) Video documentation on habitats and species Proposal of sites and areas of particular BD values presented on map 1:25000 with explanation as well as suggestions regarding preferable conservation / sustainable usage regimes as elements of forthcoming LEN Qualifications Specific experience of the consultants relevant to the assignment: 1) experience in fauna required mapping; 2) experience with standardized methods and data delivery; 3) specific knowledge on target taxa and habitats; 4) experience with standardized methods on fauna and habitats monitoring Qualifications and competence of key staff for the assignment: 1) well trained field zoologists or/and other appropriate staff; 2) Inclusion of the best experts from the project area in the proposed team is considered as an advantage. Technical capacity: 1) appropriate GPS devices; 2) appropriate specific equipment and materials related to target taxa; 3) capacity for field work; 4) appropriate literature for taxa evaluation General database entry capability (inputs to official SINP database)

24 Sub-Contract 4: Agricultural biodiversity data collection: traditional agricultural plants and domestic animals Agricultural biodiversity data collection: traditional agricultural plants and domestic animals Targeted outputs in Year 1 1.1.; 1.2.; 1.3.; 1.4. Workplan Expected duration 10 months Expected period Q3 2007 – Q2 2008 Project site Project area Budget 15,000 US$ Responsibility and control over sub- BD CTE & DPM posted in project area contract implementation rest with Background Diversity of traditional agricultural plants and autochthonous/domestic animals is an important part of overall biodiversity in the project area. There is not much data on this issue and even existing data is scattered between different institutions and databases. Data collected through the project could be used as a basis for protection of some breeds and varieties. The activity should be implemented in coordination, i.e. by complementing and using already available results and experiences of all other past and ongoing relevant projects – including: Evaluation, conservation and use of the olive genetic resources (performed by Institute for Adriatic Culture and Karst Melioration, Split; investor MSES), 2006-2009., Biodiversity of medicinal and aromatic plants (performed by Faculty of Agronomy, UoZ, investor MSES), 2006-2009., etc. (see the list on MSES: http://zprojekti.mzos.hr/public/c-prosudbene.asp) Objective Collection and incorporation of data on traditional agricultural plants and autochthonous / domestic animals into BD data bases Activities / Identify the partners and stakeholders relevant for the agriculture plant and animal genetic Tasks resources (e.g. Institute for Agricultural Advisory Services; Institute For Seed and Seedlings in Osijek, Faculties of Agronomy in Zagreb and Osijek, Croatian Livestock Centre, State Institute for Nature Protection, Faculty of Natural Sciences, Institute for the Adriatic Crops and the Amelioration of Karst - Split, Mediterranean Crops Research Station Dubrovnik, Vine Institute; farmer union and associations, NGOs) Make inventory of available data of relevant institutions Build up information into existing electronic data-bases Identification of storage sites and inclusion of material Prepare recommendations for the ex-situ and in-situ conservation of selected breeds and varieties Identify dozen of autochthonous plants / domestic animals and develop project ideas for support of their cultivation – criteria for selection include already existing interested prospective partners, particularly if they already have partially developed or initiated project initiative which would significantly benefit from some additional COAST project support. (e.g. Plavac, Vugava, Grk vine species; Komiža’s big carob; olive species Paštrica; etc.) Deliverables Inventory Report Data on agriculture plant and animal genetic resources incorporated in existing electronic data-base Identified dozen of species with clear BD / LD value and the highest development potential Qualifications Highly qualified expert with proven experience in agriculture plant and animal genetic required resources and in BD research, inventories and assessment. Previous experience on the similar tasks within the project areas is considered as an advantage.

25 Sub-Contract 5: Birds populations of Vis archipelago: monitoring; drafting of proposal for protection regime and producing of materials for visitors center Birds populations of Vis archipelago: monitoring; drafting of proposal for protection regime and producing of materials for visitors center Targeted outputs in Year 1 Workplan 1.2. Expected duration 36 months (3 years of regular monitoring with annual reporting) Expected period Q4 2007 – 2012 Project site Vis archipelago Budget 30,000 US$ Responsibility and control over sub-contract BD CTE & DPM posted in project area implementation rest with Background The remote islands – including the whole Vis archipelago – are recognized for its BD value, primarily for high level of endemism and important bird habitat. Objective Preparation of guidelines for BD conservation and sustainable tourism exploitation of the remote islands - with emphasis on the birds populations. Activities / Monitoring of birds population at the remote islands during a five year period; Tasks Reporting on observed state and trends Analysis of trends, existing and foreseeable threats Recommendation on regulation and management of the area as part of the ecological network: proposal of zoning and “exploitation” / visitors regimes for particular zones, based on their importance as birds population habitats Participation in the preparation of the video material for visitor’s center in Komiža / Vis / somewhere else Deliverables Regular annual monitoring reports throughout a five year period Draft management plan for the area – element dealing with aspects of bird habitats Inputs for video material for the visitor’s center in Komiža / Vis / somewhere else Qualifications Expert team including ornithologist required Experience in similar activities in project area is considered as an advantage Experience in preparation of the popular presentation of the BD themes

26 Sub-Contract 6: Inventory and visitors interpretation of marine BD around island Biševo and SE coast of island of Vis; preparation of proposals for sustainable use of area Inventory and visitors interpretation of marine BD around island Biševo and SE coast of island of Vis; preparation of proposals for sustainable use of area Targeted outputs in Year 1 Workplan 1.2. Expected duration 15 months Expected period Q3 2007 – Q4 2008 Project site Aquatorium around island Biševo; Aquatorium around SE coast of Vis and neighboring archipelago from Greben to Ravnik Budget 50,000 US$ Responsibility and control over sub- Marine BD CTE & DPM posted in project area contract implementation rest with Background Aquatorium around island Biševo and SE coast of Vis and neighboring archipelago from Greben to Ravnik are areas of extraordinary BD value and as such they are proposed as core areas in the national ecological network. More detailed inventory and assessment of marine biodiversity is required for preparation of the management plan, as well as for the sustainable use of this area as element of the tourism attraction base of the Vis tourism destination. Objective Inventory and visitors interpretation of marine BD around island Biševo and SE coast of island of Vis; preparation of proposals for sustainable use of area Activities / Tasks Carry out detailed inventory of marine BD in the area, including fitobentos, zoobentos and ichtyofauna through 1) collection, analysis and interpretation of existing data; 2) sampling of new data / materials through field research; Field research will be done cooperatively with the association(s) of the (marine) biology students and young graduates, especially those that already have experience in the activity area. Consultant will lead and supervise field research. Approximately 10,000 US$ should be allocated to cover material costs of that exercise. No fees are foreseen for students/young graduates, however, they will have covered all expenses. The selection of students / young graduates will be done in transparent way, with criteria including: similar experience, especially within the activity area; valid and appropriate diving license; general students/young scientist rating. Consultant should secure provision of all standard safety measures; Preparation of proposals for sustainable use of area. This activity should include organization of international workshop dealing with Marine protected area practices and experiences in Mediterranean (in cooperation with WWF / MedPAN (The Network of Managers of Marine Protected Areas in the Mediterranean) as partners). Consultant should allocate 5,000 US$ for this sub-activity; Prepare materials for visitors interpretation of identified marine BD. Deliverables Inventory and assessment of marine BD in the area, including fitobentos, zoobentos and ichtyofauna Map of the most valuable and interesting habitat types (Posidonia seabed, reefs, caves,...) Popular determination key / narrative about the most interesting identified species appropriate for amateur scuba divers Proposals for sustainable use of area. Video material for the visitors centre in Komiža Qualifications Expert team including experts in fitobenthos, zoobenthos, ichthyology, fishery required biology Experience in project area demonstrated by participation in collecting of existing data Availability of equipment, tools and laboratories to conduct on-site research Experience with similar tasks

27 Sub-Contract 7: Mapping of Posidonia sea beds using remote sensing method Mapping of Posidonia sea beds using remote sensing method Targeted outputs in Year 1 Workplan 1.2. Expected duration 9 months Expected period Q1 2008 – Q3 2008 Project site Wider Vis aquatorium (including infralitoral areas around Vis, Biševo, Svetac, Palagruža) Budget 25,000 US$ Responsibility and control over sub- Marine BD CTE & DPM posted in project area contract implementation rest with Background Posidonia seabed is recognized as critical marine habitat of great importance in lifecycle of many marine organisms (spawning and nursery area) and with generally very high biodiversity. As such it is protected both by international conventions and laws (EU habitat directive) and national legislation. At the same time, it suffers significant antropogenic pressure (fishing activities, anchoring, invasive species, coastal development and land based pollution, etc.). Efficient conservation of this fragile habitat through introduction of appropriate regulative measures requires affordable method for assessment of its distribution and monitoring. Objective Mapping of Posidonia sea beds using remote sensing method Activities / Tasks Mapping of Posidonia sea bed in infralitoral areas around Vis, Biševo, Svetac, Palagruža using interpretation of aero photo (and possibly satellite) images with “ground thruthing” for delineation of upper border and precise bathymetry for delineation of the lower border of the habitat. ALTERNATIVELLY: Implementation of the task by some other more convenient (higher or same quality of the result for same or lower cost) method offered by the bidder. COMMENT: This activity will get results of field survey done within the activity “Inventory and visitors interpretation of marine BD around island Biševo and SE coast of island of Vis” as input data for groundtruthing Deliverables Maps of Posidonia sea bed in infralitoral areas around Vis, Biševo, Svetac, Palagruža, 1:25.000 GIS database Qualifications Expert team including experts in Remote Sensing methods and marine biology required Availability of equipment, tools and laboratories to conduct on-site research Experience with similar tasks The most competitive bidder is the one which will offer the cheapest / most affordable method measured by cost / area unit of mapping (i.e. the one which will offer mapping of the biggest area for the offered fixed budget.), with the guaranteed outputs of the satisfying quality

28 Sub-Contract 8: Inventory and assessment of coastal fish population in Vis aquatorium and recommendations for sustainable coastal fisheries in Vis aquatorium Inventory and assessment of coastal fish population biodiversity and recommendations for sustainable coastal fisheries in Vis aquatorium Targeted outputs in Year 1 Workplan 1.2. Expected duration 12 months Expected period Q4 2007 – Q3 2008 Project site Coastal area of Vis fishing aquatorium Budget 20,000 US$ Responsibility and control over sub- Marine BD CTE & DPM posted in project area contract implementation rest with Background Fishery is traditional activity important not only as economic activity but also as segment of subsistence economy, recreational and sport fishing. Although in Croatia the level of fishery regulation is relatively high, poor datasets on fishing effort, catch and current state of exploited resources prevents more rational management. Further on, multi-species and multi-gears nature of the existing exploitation with strong synergetic and cumulative effects, require stronger management of resources. More thorough information, as well as more participatory management is sine qua non of sustainable use of the resources. Objective Recommendations for sustainable coastal fisheries in Vis aquatorium Activities / Tasks Evaluation of the recent state of small-scale fisheries and coastal resources in Vis aquatorium based on: 1) desk research of existing statistical data in fisheries department, scientific data about state of the stocks and recent trends; 2) collection of new information through interviews with local fishermen and 3) collection of new information through limited direct field sampling Consultation with representatives of stakeholder groups and coordination of wider participatory planning process. Drafting of recommendations for sustainable coastal fisheries in Vis aquatorium Public presentation of the findings at the worshop / roundtable organized in Komiža. Deliverables Recent information on fishing effort, catch and status of stocks Practical recommendations for sustainable coastal fisheries in Vis aquatorium Built social capital among stakeholders through collaborative planning and management process Qualifications Expert team including experts in ichtiology and fishery biology required Experience in project area demonstrated by participation in collecting of existing data Availability of equipment, tools and laboratories to conduct on-site research Experience with similar tasks

29 Sub-Contract 9: Evaluation of bivalve communities in Zadar County demo area Evaluation of distribution and current state of natural bivalve communities in the Zadar County demonstration area Targeted outputs in Year 1 Workplan 1.4. Expected duration 6 months Expected period Q3 2007 – Q4 2007 Project site Zadar county demonstration area (Novigradsko more, Karinsko more, Stara Povljana, Vlašić, Dinjiška, Ljubačka, Plemići bay) Budget 20,000 US$ Responsibility and control over sub- Marine BD CTE & DPM posted in project area contract implementation rest with Background Zadar county demonstration area is rich in bivalve communities, which makes it also appropriate for shellfish farming. However, currently there is no remotely complete information on distribution and biomass of those species. More complete information will serve as input for policy decision on regulation of sustainable exploitation of natural bivalve communities as well as for sea zoning for shellfish farming. Objective Evaluation of distribution and current state of natural bivalve communities in the Zadar county demonstration area Activities / Tasks Collection and integration of existing data Consultation of relevant experts within the area (approximately 20% of budget should be allocated for fees for local consultants, i.e. their knowledge / experience / expert opinion extraction and codification) Field sampling preferably by hydraulic dredge Evaluation of the qualitative and quantitative catch composition Laboratory analysis, including size structure of the population Interpretation of data in the form of spatial distribution of species Deliverables Map of spatial distribution of species with interpretation Evaluation of biomass Recommendations for possible sustainable exploitation of natural population Recommendations for preferable / the most appropriate areas for shellfish farming, according to biological and oceanographic criteria Qualifications Expert team including experts in seashells and fishery biology required Experience in project area demonstrated by participation in collecting of existing data Availability of equipment, tools and laboratories to conduct on-site research Experience with similar tasks

30 Sub-Contract 10: Marine biodiversity assessment – refinement of the existing habitat map of Zadar County demo area Marine BD assessment – refinement of the existing habitat map – of Zadar County demonstration area aquatorium; drafting of the proposals for sustainable use of the area, informed primarily by its BD aspects Targeted outputs in Year 1 Workplan 1.4. Expected duration 6 months Expected period Q1 2008 – Q3 2008 Project site Zadar county demonstration area aquatorium Budget 20,000 US$ Responsibility and control over sub- Marine BD CTE & DPM posted in project area contract implementation rest with Background Zadar county demonstration area aquatorium consist of several connected almost completely closed aquatoriums – i.e. Karinsko sea, Novigradsko sea (with Zrmanja river estuary and several smaller waterways), SI part of the Velebit Channel, SI part of the Pag bay, area of Ljubački, Ninski, Stara Povljana, Dinjiška bays – and as such is both of exceptional natural value and sensitive to all kinds of the anthropogenic pressures. This was exactly the reason why this area is chosen for demonstration of the sea-use zoning and integrated coastal zone management as its wider context. On the other side, although there have been more than a few research of marine BD of this area, currently there is no single, both sufficiently detailed and comprehensive marine BD information, presented in the form suitable for policy analysis / making – i.e. integration of the BD information in general spatial plans of the area as well as in various sectoral plans, primarily for further urbanization, tourism and shellfish farming. Objective Marine BD assessment of Zadar county demonstration area aquatorium; proposals for sustainable use of the area, informed primarily by its BD aspects - i.e. assessment of the suitability of various parts within an area for various sectors (especially for tourism, shellfish farming) Activities / Tasks Based on the expert knowledge of the area, existing currently dispersed secondary sources and limited additional field checking, prepare refinement of the existing Habitat map of Republic of Croatia within the activity’s area. Based on the collected information, identify the most BD valuable parts / localities and assess suitability of the various portion of the area for various sectors – primarily: tourism, shellfish farming, strict protection / conservation, development of the existing urban areas; Prepare materials (photos / videos with short interpretation) for visitors interpretation of identified marine BD Deliverables Refinement of the existing habitat map for the aquatorium with general information on marine BD in the area, including fitobentos, zoobentos and ichtyofauna Identified and photo documented the most BD valuable spots Assessment of suitability of the various portion of the area for various sectors – primarily: tourism, shellfish farming, strict protection / conservation – based on the BD criteria Photo / video material suitable for the visitors interpretation Qualifications Expert team including marine biology experts required Experience in project area demonstrated by participation in collecting of existing data Availability of equipment, tools and laboratories to conduct on-site research Experience with similar tasks

31 Sub-Contract 11: Critical review of fisheries regulated areas and other protection regimes in Dalmatian aquatorium Critical review of fisheries regulated areas and other protection regimes in Dalmatian aquatorium; proposal of network of no-take zones; recommendations for sustainable demersal fisheries in Jabuka Pit area Targeted outputs in Year 1 Workplan 3.4. Expected duration 6 months Expected period Q3 2007 – Q2 2008 Project site Dalmatian aquatorium; Open central Adriatic sea, i.e. Jabuka Pit Budget 25,000 US$ Responsibility and control over sub- Marine BD CTE & DPM posted in project area contract implementation rest with Background Currently there are quite a few modes of protection / regulation of marine environment in Croatia: national legislation on nature protection, marine fisheries, maritime affairs, etc. Enforcement/implementation of the protection regime requires easily accessible, verified, consistent and comprehensive information. No take zones are more and more proven as the most effective and efficient instrument for sustainable use and protection of marine ecosystem. Besides protecting marine ecosystem within its borders, no take zones have many other benefits, the most important being: by-spill over effect, they have positive impact for rehabilitation of wider ecosystem; they provide the benchmark of the healthy state of the marine ecosystem, which allow for more prudent management of the whole system; they help diversification of the local economy by providing resource base for various selective form of tourism (diving, educational, eco, recreational). Open central Adriatic is one of the most important fishing ground in the Adriatic Sea. In the same time Jabuka Pit is spawning and nursery area for the several commercially most important species. As the majority of this area is outside of Croatian and Italian territorial waters there is no adequate fisheries regulation measures for protection of resources. Objective Critical review of fisheries regulated areas and other protection regimes in Dalmatian aquatorium; draft, present and advocate for a proposal of network of no-take zones in Dalmatian / Croatian Adriatic area; Provide detailed description of current state of demersal resources in the Jabuka Pit and propose measures for sustainable management and protection of stocks. Activities / Collection of the most recent data on all existing regulation of Dalmatian marine areas and Tasks their Integration and presentation in form of GIS data layers and application Critical assessment of current regulation / protection status and proposal of the “network of no take zones” in the area, based on the best currently available data and expertise, taking into account already existing protection regimes, and socio-economic concerns (without – at this phase – entering into wider, full-fledged participatory management process at each location in the proposed network) Presentation of the proposal at workshop with all relevant stakeholder (representatives of fishermen, Ministries in charge of fishery and nature protection, scientific institution, State institute for nature protection, etc.) Collection of existing information and limited collection of necessary additional data on demersal fisheries and state of demersal resources in Jabuka Pit Analysis and interpretation of the collected information – i.e. analysis of the changes in the exploited population and demersal communities due to the high fishing pressure; identification of critical areas in Jabuka Pit requiring special regulation measures for protection of resources; preparation of policy recommendations for sustainable exploitation in Jabuka Pit area Deliverables Integrated information on protection / conservation / regulation in marine environment presented in the form of GIS data layers and application Critical assessment of current regulation / protection status and proposal of the “network of no take zones” in the area Report with information on the current status of demersal resources in Jabuka Pit; maps of the most important nursery areas in the Jabuka Pit area; policy recommendation for sustainable exploitation in Jabuka Pit area Several public presentations of the work done and advocacy for the proposed solution Qualifications Expert team including experts in fishery biology, GIS analysis, protection area planning required and management with accent on marine protected areas;

32 Experience in project area demonstrated by participation in collecting of existing data; Availability of equipment, tools and laboratories to conduct on-site research; GIS capacity; Experience with similar tasks

33 Sub-Contract 12: Preparation of Integrated Shellfish farming plans for 1) Malo sea / Malostonski bay, 2) Krka estuary and 3) Novigradsko sea / SI part of Velebit channel / SI coastal aquatorium of island Pag Preparation of Integrated Shellfish farming plans for 1) Malo sea / Malostonski bay, 2) Krka estuary and 3) Novigradsko sea / SI part of Velebit channel / SI coastal aquatorium of island Pag Targeted outputs in Year 1 Workplan 1.1., 1.3.; 1.4 Expected duration 12 months Expected period Q4 2007 – Q3 2008 Project site Malo sea / Malostonski bay, 2) Krka estuary and 3) Novigradsko sea / SI part of Velebit channel / SI coastal aquatorium of island Pag Budget 40,000 US$ Responsibility and control over sub-contract Marine BD CTE & DPM posted in project area implementation rest with Background The national fisheries strategy as the objective for shellfish farming sets an increase of the production from nowadays 4.000 t to 20.000 t by the year 2010. Malo more / Malostonski bay, Krka estuary and Novigradsko sea / SI part of Velebit channel / SI coastal aquatorium of island Pag areas play significant role in this plan with production levels of approximately 10.000t, 5.000 t and 5.000 t, respectively (current levels of production are approximately 3.000 t, less than 1.000 t, less than 100 t, respectively). Assuming that set quantities are within the carrying capacities of the foreseen areas – which has been proven with reasonable level of certainty by already prepared studies, based on which zones has been identified and later on integrated / reserved within the relevant physical plans – implementation of this ambitious strategy of fivefold increase requires several major advances from the current state, primarily regarding: 1) increased social capital within the sector (increasing level of regulation and common action, increasing legality i.e. decreasing gray economy, integrated planning and market presence, …); 2) securing marketability of the products (developing traceability, building of storage, connecting supply and demand side, i.e. building of trade chain, establishing brands, standardizing product, …); 3) increasing know how (level of education, technology, diversification of the production and optimal use of the designated areas); 4) resolution of the ecological and technological problems (securing sanitary conditions; securing sufficient levels of natural juveniles; resolving problem caused by fluctuating inflow of fresh water in estuaries areas; developing hatcheries for autochthonous species); 5) resolving actual or potential spatial and other conflicts with other sectors. Although both national and county government have made several important steps forward during the recent several years period (establishment of the certified laboratories for inspections of bivalves according the EU regulations and several applied scientific and technological projects at the national level; strategic environmental studies and integration in the physical plans at the county level), already ad hoc analysis of the situation shows that quite a few of the above mentioned problems have remained (the current state of the shellfish farming and its problems significantly differ among the three location, however, there are also many similarities), requiring coordinated action. Consequently, the proposed project activity will address problems by preparation of the Integrated shellfish farming plans for each of the area. Plans will be prepared in participatory manner, with a strong two-way educational component, in parallel building consensus required for the implementation of the proposed activities. It will built on already existing studies (several already mentioned very recent studies for Ston and Krka area, less for Zadar area) and make another step by addressing and integrating unresolved technological, BD/ecological, management (organizational, institutional, …), market/economical aspects. Context of EU accession process and its requirements will also be addressed. Preparation of plans should also serve to introduce new ideas, i.e. demonstrate business case for alternative way of doing shellfish farming business. It will lead to more efficient production of shellfish and fish by optimizing conditions within the areas and it will lay the foundations for co-operative ventures between operators, industry and other stakeholders. Within the COAST project, plans will serve to guide all further action in the shellfish farming sector – primarily in the foreseen demonstration activities and grants / loans project components. Objective Preparation of Co-ordinated Local Aquaculture Management Plans for the chosen areas.

34 Preparation of Integrated Shellfish farming plans for 1) Malo sea / Malostonski bay, 2) Krka estuary and 3) Novigradsko sea / SI part of Velebit channel / SI coastal aquatorium of island Pag Activities / Identification of local officer and local resources Tasks Define specific areas of interest for shellfish farming Collection and analysis of the most recent existing relevant studies (Strategic environmental assessment for shellfish farming in Malostonski bay; zoning for shellfish farming in physical plans, …); Collection of relevant information on ecological and production statistics; formation of GIS database; identification of missing data important for the aquaculture industry Consultations on relevant policy and licensing issues for the area Coordination and facilitation of the process of participatory preparation of the plan – e.g. meetings / workshops with: 1) existing fish and shellfish producers and identification of their needs; 2) third parties, County and Governmental bodies, University and research organizations Preparation of agenda that raises major issues encountered in preliminary meetings Formation of groups, meeting of producers and coordinators on present issues and developmental plans Compilation of additional data and information; small research projects to describe important missing data Drafting of initial document and its circulation Meeting to revise document Presentations of plan to relevant local bodies, state agencies and industry representative Deliverables Co-ordinated Local Aquaculture Management Plan for the 1) Malostonski bay, 2) Krka estuary and 3) Novigradsko sea / SI part of Velebit channel / SI coastal aquatorium of island Pag Qualifications Expert team including experts in shellfish and fish farming, environment protection, required participatory planning techniques, … Experience on similar activities in project area Experience in education, training and knowledge transfer expertise

35 Sub-Contract 13: Landscape analysis of the Malostonski Bay Landscape analysis of the Malostonski Bay; Scale 1:25000 Targeted outputs in Year 1 Work- 1.1. plan Expected duration 8 months Expected period Q3 2007 – Q2 2008 Project site Malostonski Bay Budget 40,000 US$ Responsibility and control over sub- LD CTE & PA contract implementation rest with Background Based on the recommendations of Council of Europe and European Landscape Convention it would be necessary to determine homogenic landscape units and to identify spatial and landscape values of Malostonski Bay. Based on the above, it would be necessary to propose sustainable tourism and agriculture development plans that ensure landscape conservation and sustainable use. In addition, this area could be proposed in the registry of world landscape sites. Objective The main objective is to identify cultural and ecological values of the landscape within Malostonski Bay and to recommend the area as part of world landscape sites. Activities / Tasks Carry out inventory/assessment on the spatial patterns of landscape (landscape units and patchworks based on cultural and natural landscape values as well as historical and land use patterns) using thematic maps with relevant data for the area: hypsometric, slope, exposition, geological, geomorphologic, pedological, hydrological, habitat, fitocenology, parceling of land, land use, visual characteristics, cultural and other maps; Updating data based on the fieldwork; Evaluation of the landscape units based on two main criteria: for the protection and for the development. It is recommended to use the results of public perception survey (next to the expert opinion) for the evaluation of landscape units; Feasibility analysis for productive economic sectors; Analysis and evaluation of the area in regards with spatial values; Analyze landscape component within existing physical plans and other relevant documents and propose corrections/updates where necessary; Determine landscape areas that are: i) suitable for particular activities (such as tourism, agriculture, etc); ii) vulnerable to different development activities; Determine areas of conflict between development from one side and natural, cultural and historic landscape values from the other side; Presentation of possible development alternatives respecting the landscape values; Proposal for protection of the area as UNESCO world landscape site. Deliverables Landscape character (classification) map of the Malostonski Bay, 1:25000; Recommendation for the physical plans’; Development model(s) that ensure landscape conservation and its sustainable utilization; Recommendation for UNESCO site. Qualifications Demonstrated experience in landscape assessment and landscape planning; required Educational background in landscape architecture (landscape planning); Experience in collaboration with experts in related fields (landscape and physical planning); Related technical and software support.

36 Sub-Contract 14: Landscape analysis of Vis and surrounding islands Landscape analysis of Vis and surrounding islands; scale 1:25000 Targeted outputs in Year 1 Workplan 1.2. Expected duration 8 months Expected period Q3 2007 – Q2 2008 Project site Vis archipelago (Vis, Biševo, Svetac, Brusnik, Jabuka and Palagruža) Budget 40,000 US$ Responsibility and control over sub- LD CTE & PA contract implementation rest with Background In the past, as a result of traditional agricultural land utilization, complex typology of cultural landscape has been created on the island of Vis and some of its surrounding islands. The process of cultural landscape degradation has already taken place on the island. Further degradation can be stopped if appropriate policy for landscape conservation and revitalization is in place (especially in physical planning). Objective The main objectives of the sub-contract are to: identify cultural and ecological values of the landscape within Vis island area and to recommend models for sustainable landscape management: propose corrections or confirm suitability of proposals within sustainable tourism plans of the area. Activities / Tasks Study available reports, publications, press articles, domestic and foreign literature; Carry out inventory/assessment on the spatial patterns of landscape (landscape units and patchworks based on cultural and natural landscape values as well as historical and land use patterns) through thematic maps with relevant data for the area: hypsometric, slope, exposition, geological, geomorphologic, pedologic, hydrological, habitat, fitocenology, parceling of land, land use, visual characteristics, cultural) based on existing geological, geomorphologic, pedologic, habitat, cultural and other maps; Updating data based on the fieldwork; Evaluation of the landscape units based on two main criteria: for the protection and for the development. It is recommended to use the results of public perception survey (next to the expert opinion) for the evaluation of landscape units; Feasibility analysis for productive economic sectors;; Analysis and valorization of the area in regards to spatial values; Analyze landscape component within existing physical plans and other relevant documents and propose corrections/updates where necessary; Determine landscape areas that are: i) suitable for particular activities (such as tourism, agriculture, etc); ii) vulnerable to different development activities and propose their protection (where necessary); Presentation of optimal revitalization model; i.e. land use plan which represents possibilities of special restructuring that could be economically feasible, but at the same time to contribute to a more complex landscape picture. Deliverables Landscape character (classification) map of the island of Vis, 1:25000; Recommendation for the physical plans; Development model(s) that ensure landscape conservation and its sustainable utilization. Qualifications Demonstrated experience in landscape assessment and planning; required Educational background in landscape architecture (landscape planning); Experience in collaboration with experts in related fields (landscape and physical planning); Related technical and software support.

37 Sub-Contract 15: Landscape analysis of Šibenik-Knin County coastal area Landscape analysis of Šibenik-Knin County coastal area; Scale 1:25000 and 1:10000 Targeted outputs in Year 1 Workplan 1.3. Expected duration 8 months Expected period Q3 2007 – Q2 2008 Project site Sibenik-Knin County coastal area Budget 40,000 US$ Responsibility and control over sub- LD CTE & PA contract implementation rest with Background Based on the recommendations of Council of Europe and European Landscape Convention it would be necessary to determine homogenic landscape units, to identify spatial and landscape values and to give an integrated overview of development plans related to different economic activities. Therefore, these activities are going to be applied within Šibenik-Knin County coastal area with particular focus on landscape compliance with tourism and agriculture.

Objective The main objectives of the sub-contract are to: identify cultural and ecological values of the landscape within coastal area of Šibenik- Knin County, point out landscape vulnerability for different types of spatial utilisation (tourism, residential, business etc); propose corrections or confirm suitability of proposals within physical plans; supplement the existing regime of landscape/biodiversity protection with proposals of new protected areas (if necessary). Activities / Tasks Carry out inventory/assessment on the spatial patterns of landscape (landscape units and patchworks based on cultural and natural landscape values as well as historical and land use patterns) through thematic maps with relevant data for the area: hypsometric, slope, exposition, geological, geomorphologic, pedological, hydrological, habitat, fitocenology, parceling of land, land use, visual characteristics, cultural and other maps; Evaluation of the landscape units based on two main criteria: for the protection and for the development. It is recommended to use the results of public perception survey (next to the expert opinion) for the evaluation of landscape units; Analyze landscape component within existing physical plans and other relevant documents and propose corrections/updates where necessary; Determine landscape areas that are: i) suitable for particular activities (such as tourism, agriculture, etc); ii) vulnerable to different development activities and propose their protection (where necessary). Deliverables Landscape character (classification) map of the coastal area of Šibenik-Knin County with Prukljan lake area, Scale 1:25000; Landscape map of Prvić island and Morinje bay, Scale 1:10000; Recommendations for the landscape utilization and conservation. Qualifications Demonstrated experience in landscape assessment and planning; required Educational background in landscape architecture (landscape planning); Experience in collaboration with experts in related fields (landscape and physical planning); Related technical and software support.

38 Sub-Contract 16: Landscape analysis of Novigradsko/Karinsko sea area and landscape plan for the selected area on south-east part of the island of Pag Landscape analysis (scale 1:25000) of Novigradsko / Karinsko sea area and detailed (1:10.000) landscape plan for the selected area on south-east part of the island of Pag; Targeted outputs in Year 1 Workplan 1.4. Expected duration 8 months Expected period Q3 2007 – Q2 2008 Project site Novigradsko/Karinsko sea or south-east part of the island of Pag Budget 40,000 US$ Responsibility and control over sub- LD CTE & PA contract implementation rest with Background During history on the island of Pag, very complex typology of the landscapes has been developed. These landscapes need to be identified and evaluated in order to obtain their sustainable utilization and protection. Objective The main objective of the sub-contract is to identify cultural and ecological values of the landscape within southeast part of the island of Pag and to obtain its sustainable utilization and protection. Activities / Carry out inventory/assessment on the spatial patterns of landscape (landscape units and Tasks patchworks based on cultural and natural landscape values as well as historical and land use patterns) based on thematic maps with relevant data for the area: hypsometric, slope, exposition, geological, geomorphologic, pedological, hydrological, habitat, fitocenology, parceling of land, land use, visual characteristics, cultural and other maps; Screening the given data based on the fieldwork; Evaluation of the landscape units based on two main criteria: for the protection and for the development. It is recommended to use the results of public perception survey (next to the expert opinion) for the evaluation of landscape units; Analyze landscape component within existing physical plans and other relevant documents and propose corrections/updates where necessary, Determine landscape areas that are: i) suitable for particular activities (such as tourism, agriculture, etc); ii) vulnerable to different development activities, Determine areas of conflict between development from one side and natural, cultural and historic landscape values from the other side; Presentation of optimal development model, ensuring tourism and agriculture development by respecting the landscape values. Deliverables Landscape map of the southeast part of the Karinsko/Novigradsko sea area (1:25.000) and more detailed map (1:10.000) of selected site on SI island of Pag, showing the landscape areas suitable for tourism and specific types of agriculture; Landscape map of the southeast part of the Karinsko/Novigradsko sea area (1:25.000) and more detailed map (1:10.000) of selected site on SI island of Pag, showing vulnerable landscape areas; Optimal revitalization model; i.e land use plan which represents possibilities of land use that could be economically feasible (tourism and agriculture), but at the same time to contribute to a complex landscape character. Qualifications Demonstrated experience in landscape evaluation and planning; required Educational background in landscape architecture (landscape planning); Experience in collaboration with experts in related fields (landscape and physical planning); Related technical and software support.

39 Sub-Contract 17: Plan for sustainable tourism development for Pelješac area Plan for sustainable development of nature based tourism in wider Pelješac area Targeted outputs in Year 1 1.1. Workplan Expected duration 12 months Expected period Q1 2008 - 2009 Project site Demo area Dubrovnik Neretva County Budget 90,000 US$ Responsibility and control over sub-contract implementation rest T CTE & PM with Background Tourism has been a significant part of Dalmatia economy for decades. It is the most important economic sector in the project area. Nationally, tourism provides approximately 10% of GNP. It directly accounts for 13% of employment, and indirectly accounts for an additional 14%. The figures for the project area indicate that hotels and restaurants alone contribute 11% of GNP, and agencies and nautical tourism contribute a further almost 3%. The vast majority of tourists are attracted by the possibility of having a peaceful, relaxing experience and/or by the attractive coastline. In addition, tourism has nationally been identified as an industry that should be promoted to diversify and grow economy of the Croatian coastal area in the future. Tourism has had a negative impact on biodiversity in coastal areas and around islands. This is notably from mass tourism, but is increasingly from niche tourism such as yachts, Robinson tourism, and fishing/diving. The two most serious impacts of tourism on biodiversity are due to the construction (often illegal) of tourist facilities at biodiversity rich sites, and the heavy consumption by tourists of water, energy, food and the related production of polluting waste. Misbehavior by tourists also directly causes habitat degradation, waste and in several cases large forest fires (especially on islands). In the baseline scenario, Croatia will make efforts to improve the overall management of the tourism industry with focus on increasing the economic benefits from the tourist sector. However, baseline efforts will not adequately address conservation of biodiversity. Although biodiversity (more specifically, the landscape diversity) is the principal attraction and major tourism asset in the project area, tourist policy makers, planners and entrepreneurs have little concept of biodiversity or landscape diversity, or of its role in driving the economy. In the baseline, tourism development continues to threaten the natural landscape and biodiversity on which it depends. In the same time opportunities for developing nature based biodiversity- friendly tourism are not exploited.

Objective The objective of the sub-contract is to inquire into and report on the potentials and constraints as well as practical project ideas and support measures for sustainable development of nature based tourism in wider Pelješac area Activities / Identification of key destination assets, in particular key natural (bd/ld) tourist attractions; Tasks Tourist development situation analysis – tourist offer, demand, trends, issues, SWOT; Analysis of tourism development theme in the Dubrovačko-neretvanska county and local level documents, including statutory land use plans; Assessment of the present state of, sensitivity and impacts on the key natural assets; Analysis of potentials and limitations for sustainable use of bd/ld assets in tourism development; Present and potential participation of local communities/businesses in distribution of tourism development benefits; Nature based tourism development vision and strategy, links and synergies with other components of the tourism product of the area; Design of bd/ld friendly tourism products and services including biodiversity itineraries and interpretation, visitor’s center in Ston, including program of incentives to attract developers; Proposal of measures to manage impacts of tourism including role of tourism as a contributor to nature conservation; Detailed elaboration of Gornja Sela, Dubrovačko Primorje commune, rural tourism development proposal and project ideas; Good practices of nature friendly tourism development, applicable for the project area;

40 Plan for sustainable development of nature based tourism in wider Pelješac area Participation of and training for local tourism boards; Cooperation with other project activities, including consideration and interpretation of relevant activity outputs (BD/LD data inventories and assessments, national ecological network, measures for BD/LD conservation/sustainable use,...)

Deliverables Main report – textual part of the Plan; Maps developed in GIS, main scale 1:25.000, detailed scales as needed; Detailed records of public consultations and work with key stakeholders, particularly tourism boards; Presentation materials (PPTs) to be used for consultation meetings and other Project communication purposes; Photo documentation and brief field work reports. Qualifications The Consultant (multidisciplinary working team) should have extensive experience and formal required qualifications for different aspects of tourism planning and management, in particular nature based, eco and rural tourism. The Consultant will need to be familiar with the tourism sector in the Mediterranean region including the extensive knowledge and previous successful working experience in Dalmatia.

41 Sub-Contract 18: Plan for sustainable tourism development for the island of Vis Plan for sustainable development of nature based tourism for the Island of Vis Targeted outputs in Year 1 1.2. Workplan Expected duration 12 months Expected period Q1 2008 – 2009 Project site Demo area Split Dalmatia County Budget 90,000 US$ Responsibility and control over sub- T CTE & PM contract implementation rest with Background same as SC 20 Objective The objective of the activity is to inquire into and report on the potentials and constraints as well as practical project ideas and support measures for sustainable development of nature based tourism for the Island of Vis Activities / Identification of key destination assets, in particular key natural (BD/LD) tourist Tasks attractions; Tourist development situation analysis – tourist offer, demand, trends, issues, SWOT; Analysis of tourism development theme in the Splitsko-dalmatinska county and local level documents, including statutory land use plans; Assessment of the present state of, sensitivity and impacts on the key natural assets; Analysis of potentials and limitations for sustainable use of BD/LD assets in tourism development; Tourism Carrying Capacity Assessment, analysis of limits of acceptable change, proposal for set of key indicators, environmental considerations in typological and functional analysis of exclusive tourist development zones in statutory land use plans; Present and potential participation of local communities/businesses in distribution of tourism development benefits; Nature based tourism development vision and strategy, links and synergies with other components of the tourism product of the area; Design of BD/LD friendly tourism products and services including biodiversity itineraries and interpretation, visitor’s center, rural tourism (e.g. Podhumlje village) including program of incentives to attract developers; Proposal of measures to manage impacts of tourism including role of tourism as a contributor to nature conservation; Good practices of nature friendly tourism development, applicable for the Project area; Participation of and training for local tourism boards; Cooperation with other project activities, including consideration and interpretation of relevant activity outputs (BD/LD data inventories and assessments, national ecological network, measures for BD/LD conservation/sustainable use, etc).

Preparation of the plan requires participation of major stakeholders, including local and regional authorities, business sector representatives, associations and NGOs, which have to be identified on time to be involved in the planning process, in order to guarantee plan acceptance and implementation. Deliverables Main report – textual part of the Plan; Maps developed in GIS, main scale 1:25.000, detailed scales as needed; Detailed records of public consultations and work with key stakeholders, particularly tourism boards; Presentation materials (PPTs) to be used for consultation meetings and other Project communication purposes; Photo documentation and brief field work reports. Qualifications The Consultant (multidisciplinary working team) should have extensive experience and formal required qualifications for different aspects of tourism planning and management, in particular nature based, eco and rural tourism. The Consultant will need to be familiar with the tourism sector in the Mediterranean region including the extensive knowledge and previous successful working experience in Dalmatia.

42 Sub-Contract 19: Plan for sustainable tourism development in the area of Krka River estuary Plan for sustainable development of nature based tourism for the Krka River estuary Targeted outputs in Year 1 1.3. Workplan Expected duration 12 months Expected period Q1 2008 – 2009 Project site Demo area Šibenik Knin County Budget 90,000 US$ Responsibility and control over sub-contract implementation rest T CTE & PM with Background same as SC20 Objective The objective of the activity is to inquire into and report on the potentials and constraints as well as practical project ideas and support measures for sustainable development of nature based tourism for the Krka River estuary Activities / Identification of key destination assets, in particular key natural (BD/LD) tourist Tasks attractions; Tourist development situation analysis – tourist offer, demand, trends, issues, SWOT; Analysis of tourism development theme in the relevant county and local level documents, including statutory land use plans; Assessment of the present state of, sensitivity and impacts on the key natural assets; Assessment of impact of nautical tourism on marine environment including shellfish farming; Analysis of potentials and limitations for sustainable use of BD/LD assets in tourism development (detailed analysis of Morinje bay and Prokljan lake area); Present and potential participation of local communities/businesses in distribution of tourism development benefits; Nature based tourism development vision and strategy, links and synergies with other components of the tourism product of the area Environmental considerations in typological and functional analysis of exclusive tourist development zones in land use plans for Prokljan area – proposals and ideas; Design of BD/LD friendly tourism products and services including biodiversity itineraries and interpretation, management of nautical visitors, including program of incentives to attract developers; Proposal of measures to manage impacts of tourism including nautical tourism; Good practices of nature friendly tourism development, applicable for the Project area; Participation of and training for local tourism boards; Cooperation with other project activities, including consideration and interpretation of relevant activity outputs (BD/LD data inventories and assessments, national ecological network, measures for BD/LD conservation/sustainable use, etc). Preparation of the plan requires participation of major stakeholders, including local and regional authorities, business sector representatives, associations and NGOs, which have to be identified on time to be involved in the planning process, in order to guarantee plan acceptance and implementation. Deliverables Main report – textual part of the Plan; Maps developed in GIS, main scale 1:25.000, detailed scales as needed; Detailed records of public consultations and work with key stakeholders, particularly tourism boards; Presentation materials (PPTs) to be used for consultation meetings and other Project communication purposes; Photo documentation and brief field work reports. Qualifications The Consultant (multidisciplinary working team) should have extensive experience and formal required qualifications for different aspects of tourism planning and management, in particular nature based, eco and rural tourism. The Consultant will need to be familiar with the tourism sector in the Mediterranean region including the extensive knowledge and previous successful working experience in Dalmatia.

43 Sub-Contract 20: Plan for sustainable tourism development in wider Novigrad/Karin area Plan for sustainable development of nature based tourism in wider Novigrad/Karin area Targeted outputs in Year 1 1.4. Workplan Expected duration 12 months Expected period Q1 2008 – 2009 Project site Demo area Zadar County Budget 90,000 US$ Responsibility and control over sub-contract implementation rest T CTE & PM with Background same as SC20 Objective The objective of the activity is to inquire into and report on the potentials and constraints as well as practical project ideas and support measures for sustainable development of nature based tourism in wider Novigrad/Karin area Activities / Identification of key destination assets, in particular key natural (BD/LD) tourist Tasks attractions; Tourist development situation analysis – tourist offer, demand, trends, issues, SWOT; Analysis of tourism development theme in the relevant county and local level documents, including statutory land use plans; Assessment of the present state of, sensitivity and impacts on the key natural assets; Analysis of potentials and limitations for sustainable use of BD/LD assets in tourism development; Present and potential participation of local communities/businesses in distribution of tourism development benefits; Nature based tourism development vision and strategy, links and synergies with other components of the tourism product of the area Design of BD/LD friendly tourism products and services including biodiversity itineraries and interpretation, including program of incentives to attract developers; Proposal of measures to manage impacts of tourism including nautical tourism; Good practices of nature friendly tourism development, applicable for the Project area; Environmental considerations in typological and functional analysis of exclusive tourist development zones in statutory land use plans – proposals and ideas; Participation of and training for local tourism boards; Cooperation with other project activities, including consideration and interpretation of relevant activity outputs (BD/LD data inventories and assessments, national ecological network, measures for BD/LD conservation/sustainable use, etc).

44 Sub-Contract 21: Guidelines / good practices for conservation and sustainable use of BD / LD in key economic sectors in Dalmatia Guidelines / good practices for conservation and sustainable use of BD/LD in key economic sectors in Dalmatia. Targeted outputs in Year 1 1.1.; 1.2.; 1.3.; 1.4.; 2.1.; 2.4. Workplan Expected duration 6 months Expected period Q4 2007 – Q2 2008 Project site 4 targeted counties / demo-areas + national level context Budget 90,000 US$ Responsibility and control over sub-contract implementation rest CTE, DPM Split, DPM Zagreb, PM with Background The goal of the COAST project is mainstreaming of BD/LD conservation and sustainable use into development path of the Croatian coast. Clearly, the first step in doing that is identification of what actually makes BD/LD friendly operating in the main development sectors, which will be both in accordance with the state-of-the-art experiences and recommendation from elsewhere in the world (especially in EU), and aware, informed, “customized” by the “local know how” – i.e. by inductive reasoning from the existing examples of what is generally recognized as BDFB and by multidisciplinary expert roundtable discussions on the issue. Besides, the Project strategy is to remove existing barriers of BDFBD to positive transformation through interventions focusing on improving the investment climate and strengthening the capacity of the stakeholders. In order to do that in the most efficient way – maximizing partnership building, participatory and demonstration approach – it is necessary to have sufficiently detailed and up to date assessment of the relevant issues and context as well as mobilized, involved and coordinated the most important prospective partners and stakeholders. More concretely, the Project intervention should learn from and grow on the existing examples of the BDFBD, particularly those in the project area; it should be in line with the state of the art experience and practices with BDFBD in the world (e.g. UNEP, EBRD/ECNC and other recent initiatives); wide consensus should be achieved among the key partners – based on the best world practices, expert inputs, analysis of the case studies – regarding the scope and content of the BDFBD, as well as regarding its defining criteria – so called “BD criteria”; the existing barriers for the BDFBD should be assessed in detail, including the issue of the real and perceived credit risk of such entrepreneurial ventures. Objective Prepared guidelines on the best BD friendly practices in the main sectors of economy Mobilized and coordinated the most important relevant partners and prospective stakeholders. Clear understanding of the existing and potential BDF businesses in the Dalmatia - based on the portfolio of case studies; consensus on BD criteria and risk criteria issues. Activities / Tasks Identification and analysis of the most recognized / accepted (from around the world, especially EU relevant) existing guidelines / best practices for BD friendly business operation in the main economic sectors in Dalmatia and its “Customization” for Dalmatian specific case. Identify also the world best practices and relevant recent initiatives related to the BDFBD – including at least UNEP, EBRD/ECNC and UNDP initiatives. Identification of existing case studies good practice and “candidates” for BDFBD in Dalmatia (approx. 20 case studies) and their business analysis. Prepare the portfolio of the case studies of existing BDF businesses as well as of the promising business ideas; identify the good and bad experience, investment range, barriers and needs. Identification of the BDF criteria suitable for integration as weather negative or positive selection criteria in existing policies, programs, projects. Identification and assessment of the BDFBD relevant business context (existing policies, programs, projects.) in coordination / collaboration with the relevant project partners, including ministries, HBOR, banks, counties regional government offices, counties development agencies.

45 Guidelines / good practices for conservation and sustainable use of BD/LD in key economic sectors in Dalmatia. Multidisciplinary (BD, agriculture, fisheries, tourism, MSME, …) / multistakeholder (MSME, banks, sectoral technical experts, national / local regulators…) round table discussion and working consensus on BD business and bank loan risk criteria. Deliverables Guidelines / good practices for conservation and sustainable use of BD/LD in key economic sectors in Dalmatia – informed both by the most recognized state of the art recommendations from the EU/world, and by local know how and accumulated experiences. Portfolio of the case studies of existing and promising BDF businesses in Dalmatia (and/or, if well justified, relevant examples from other parts of Croatia and abroad) including analyses of BDFBD opportunities, barriers and needs (institutional / administrative – financial / business nature; national – local – private sector level). Review of the BDFBD relevant context including recommended collaboration and adjustments of Project’s interventions and on-going initiatives, in order to remove barriers for utilization of BDFBD opportunities. Consensus on BD business criteria, as well as on bank loan risk criteria. Working relationship established between COAST project and all the most relevant partners and prospective stakeholders. Qualifications Team of experts – senior consultants – covering area of agriculture, fisheries with required mariculture, tourism, business development, banking with previous experiences on similar tasks; Knowledge of the Project area Familiarity with all the Project’s documents, as well as with the national and international situation and trends in BDFBD

46 Sub-Contract 22: BD friendly agriculture and fisheries: information, networking and training program BD friendly agriculture and fisheries: information, networking and training program

Targeted outputs in Year 1 Workplan 1.1.; 1.2.; 1.3.; 1.4.; 3.3.; 3.4. Expected duration 6 months Expected period Q2 2008 – Q4 2008 Project site Whole project area Budget 40,000 US$ Responsibility and control over sub- AG CTE; Fisheries CTE, Tourism CTE, PIU contract implementation rest with

Background BD friendly practices in agriculture and fisheries are still in an early stage of development in the project area - one of the main obstacles for its further development is lack of information and training possibilities for farmers / fishermen and other relevant stakeholders. Objective Transfer of information and knowledge on BD friendly practices in agriculture and fisheries. Activities / Tasks Carry out workshops for farmers / fishermen in each of the project counties Carry out information / networking roundtables / meetings for relevant stakeholders (farmers, fishermen, county agriculture experts, extension advisers, NGOs, nature conservation and environment experts, etc.) Organize visits for tourist operators / farmers / fishermen interested for adoption of more BD friendly practices Deliverables Training and workshops curricula for the sectors of fisheries and agriculture 4 trainings in each county Qualifications Two highly qualified experts with proven experience in organic agriculture and BD required friendly types of farming Two highly qualified experts with proven experience in sustainable fisheries practices Proven training skills Good network among prospective audience

47 Sub-Contract 23: Involvement and training of banks and prospective biodiversity-friendly operators Involvement and training of banks and prospective BDF business operators; establishment of the working PRGF and CBRRF schemes Targeted outputs in Year 1 2.1.; 2.5. Workplan Expected duration 6 months (training / capacity building will continue further on) Expected period Q2 2008 – Q4 2008 Project site National and 4 targeted counties / demo-areas Budget 40,000 US$ Responsibility and control over sub-contract implementation rest BDFBD CTE, DPM Split, DPM Zagreb with Background The Project strategy is to remove existing barriers of BDFBD to positive transformation through interventions focusing on improving the investment climate and strengthening the capacity of the stakeholders. Coordinated with other activities, Project will use specific tools - CBRRF / small grants program, as well as PRGF / partial risk guarantee fund (yet to be specified and embedded within the concrete business context in Dalmatia / Croatia). In order to make it effective, all the most important partners and prospective stakeholders should be mobilized, involved, appropriately informed and if needed trained (through and accordingly to previous activity). Objective Working PRGF and CBRRF schemes. Developing interest (offer & demand) for BDF investments. Activities / Tasks Raise banks’ BDF awareness through series of workshops, with HBOR as the main partner. Achieve consensus on all the important issues regarding PRGF and CBRRF. Establish (all procedures and arrangements) and initiate PRGF and CBRRF launching. Mobilize and train prospective BDF business operators through series of workshops, with regional development agencies as the main partners. Communicate, coordinate, collaborate with other COAST project activities / teams. Deliverables Working PRGF and CBRRF schemes. Identified and mobilized prospective BDF business operators / BDF activities in each of the demo areas / counties. Qualifications Banking / financial experience (preferably on designing application / selection criteria required and procedures), especially with MSMEs Experience and throughout knowledge of entrepreneurial venture / investments, especially of MSMEs (particular experience and knowledge / experts’ team in training’s topics) Knowledge of the Project area Change management, participatory approach, interpersonal (motivation, moderating and training) skills and experience Should be familiar with all the Project’s documents and related activities / deliverables, as well as with the national and international situation and trends in BDFBD (including the related banking sector role)

48 Sub-Contract 24: Development and implementation of activities/programs exploring Sustainable Future of Dalmatia as Tourist Landscape Development and implementation of activities/programs exploring Sustainable Future of Dalmatia as Tourist Landscape Targeted outputs in Year 1 Workplan 1.1.; 1.2.; 1.3.; 1.4.; 2.3.; 2.4.; 3.1.; 3.2. Expected duration Initially 6 months with regular annual pilots throughout the project Expected period Q4 2007 – Q3 2008 Project site National and 4 targeted counties / demo-areas Initially 30,000 US$ (additional budget will be allocated later on, for Budget other foreseen activities – see bellow in activities / task description). Responsibility and control over sub- PM, DPM Split contract implementation rest with Background Tourism has been a significant part of Dalmatia economy for decades. It is the most important economic sector in the project area. Nationally, tourism provides approximately 10% of GNP. It directly accounts for 13% of employment, and indirectly accounts for an additional 14%. The figures for the project area indicate that hotels and restaurants alone contribute 11% of GNP, and agencies and nautical tourism contribute a further almost 3%. In addition, tourism has nationally been identified as an industry that should be promoted to diversify and grow economy of the Croatian coastal area in the future.

A tourist landscape can be described as constructed through a variety of material and symbolic transformations of original physical, socioeconomic and cultural landscape/resources in order to serve the interests of tourists and the tourist industry. Tourism in Dalmatia has most often been viewed from a demand perspective rather than a supply perspective with most attention given to marketing and promotion rather than managing the resources on which tourism depends.

Project COAST has recognized the need for a multi-disciplinary effort to provide policy oriented support to coastal decision makers and planners at local, regional and national level. This will be achieved by: analyzing trends and possible futures of Dalmatia as tourist landscape/territory at a range of spatial scales, developing locally-tailored concepts and practical ideas/projects to enhance the uniqueness of Dalmatian physical, natural and cultural environments/resources, encouraging field practitioners, university researchers/students and local communities to better integrate their work. Objective The purpose of the activity is to collectively develop creative approaches, strategies and practical ideas/projects for enhancing the uniqueness of Dalmatian physical, natural and cultural environments The objective is Knowledge generation, sharing and utilization on Sustainable development of Dalmatia as tourist landscape Activities / Tasks generation of strategies/concepts/projects dealing with issue of sustainable coastal development at various landscape/territorial scales, development of ideas/”instructions for use” of Dalmatia as a global/local “nature- friendly vacationscape”, organization and implementation of the summer schools/workshops/round tables/competitions/award schemes as tools to enable/support knowledge generation/dissemination/utilization, support of individual projects or graduate/postgraduate theses dealing with relevant themes.

Important inputs will come from other project activities, in particular biodiversity/landscape diversity inventories and assessment, national ecological networks and conservation measures and local nature based tourism development plans. Deliverables event/project reports, media presentations, exhibitions, brochures,... Qualifications relevant qualifications in the fields of development planning, tourism, spatial planning,

49 Development and implementation of activities/programs exploring Sustainable Future of Dalmatia as Tourist Landscape required environmental management, social sciences,... successful experiences with similar activities/themes/projects, expertise gained and proven in international context.

50 F. Project Implementation Plan for 2007 and 2008

(activities in bold are those to be implemented/initiated as part of the Annual Workplan 2007-2008) 2007 2008 2009- OUTPUT & ACTIVITIES: Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec 2013 Project initial phase Q1-Q2 2007 Signature of the Project Document Establishment of PIU (recruitment and premises) Sub-contracting of key experts Establishment of PSC Nomination of operational focal points Development of Workplan for Year 1 and 2 Organization and conducting of Inception Workshop Preparation of the Inception Report OUTCOMES, OUTPUTS, ACTIVITIES OUTCOME 1: BD-friendly development is demonstrated in four small, globally important, productive landscapes. Output 1.1: DUBROVNIK NERETVA COUNTY, PELJEŠAC & MLJET DEMO Meetings of demo area focus group Habitat maps 1:25.000 and monitoring for Mljet (SC 1) Taxonomically and geographically limited Flora mapping & monitoring on Mljet and popular flora guide (SC2) Taxonomically and

51 2007 2008 2009- OUTPUT & ACTIVITIES: Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec 2013 geographically limited Fauna mapping & monitoring on Mljet (SC 3) Agricultural BD survey: autochthonous / traditional agricultural plants and domestic animals (SC 4) Landscape analysis of Mali Ston area, Scale 1:25.000 (SC 13) Local elaboration of National Ecological Network; proposals for sustainable use; analysis and integration of nature protection measures into physical plans Preparation of Integrated Shellfish farming plan for Malo sea / Malostonski bay (SC 12) Implementation of the priority activities defined by the Integrated Shellfish farming plan for Malostonski bay area Plan for sustainable development of nature based tourism in wider Pelješac area (SC 17) BD friendly agriculture and fisheries: information, networking and training program (SC 22) Croatian Waters and Waste Water Treatment planning; submarine outfalls – biodiversity concerns Output 1.2: SPLIT DALMATIA COUNTY, VIS DEMO AREA

52 2007 2008 2009- OUTPUT & ACTIVITIES: Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec 2013 Meetings of demo area focus group 1:25.000 habitat maps and monitoring for Vis & Biševo area (SC 1) Taxonomically and geographically limited Flora mapping & monitoring in Vis & Biševo area and production of popular flora guide (SC 2) Taxonomically and geographically limited Fauna mapping & monitoring in Vis & Biševo area (SC 3) Agricultural BD survey: autochthonous / traditional agricultural plants and domestic animals (SC 4) Landscape analysis of Vis & Biševo area, Scale 1:25.000 (SC 14) Inventory and visitors interpretation of marine BD around island Biševo and SE coast of island Vis; proposals for sustainable use (SC 6) Mapping of Posidonia sea beds using remote sensing methods (SC 7) Inventory and assessment of coastal fish population BD and recommendations for sustainable coastal fisheries in Vis aquatorium (SC 8) Local elaboration of National Ecological Network; proposals

53 2007 2008 2009- OUTPUT & ACTIVITIES: Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec 2013 for sustainable use; analysis and integration of nature protection measures into physical plans Birds populations of Vis archipelago: monitoring; drafting of proposal for protection regime and producing of materials for visitors center (SC 5) Plan for sustainable use of natural resources (values) in tourism development of Vis island (SC 18) Pilot Green Globe award Implementation of the priority activities defined by BD tourism development plan Green audits CW Water supply Bisevo island rehab BD friendly agriculture and fisheries: information, networking and training program (SC 22) Croatian Waters and Waste Water Treatment planning; submarine outfalls – biodiversity concerns Output 1.3: ŠIBENIK KNIN COUNTY, KRKA ESTUARY DEMO AREA Meetings of demo area focus group 1:25.000 habitat maps and monitoring for Krka estuary area (SC 1) Taxonomically and geographically limited Flora

54 2007 2008 2009- OUTPUT & ACTIVITIES: Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec 2013 mapping & monitoring in Krka estuary area with production of popular flora guide (SC 2) Taxonomically and geographically limited Fauna mapping & monitoring in Krka estuary area (SC 3) Agricultural BD survey: autochthonous / traditional agricultural plants and domestic animals (SC 4) Landscape analysis of ŠK county coastal area, Scale 1:25000 and 1:10000 (SC 15) Local elaboration of National Ecological Network; proposals for sustainable use; analysis and integration of nature protection measures into physical plans Preparation of Integrated Shellfish farming plan for Krka estuary (SC 12) Plan for sustainable use of natural resources in tourism development in the area of Krka River estuary (SC 19) Green audits Demonstration of BD friendly recultivation of abandoned land BD friendly agriculture and fisheries: information, networking and training program (SC 22) Support sustainable shellfish farming development in Krka

55 2007 2008 2009- OUTPUT & ACTIVITIES: Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec 2013 estuary Croatian Waters and Waste Water Treatment planning; submarine outfalls – biodiversity concerns Output 1.4: ZADAR COUNTY, SE PAG, NOVIGRAD KARIN DEMO AREA Meetings of demo area focus group Habitat maps and monitoring for central Pag area, Scale 1:25.000 (SC 1) Taxonomically and geographically limited Flora mapping & monitoring in central Pag area with production of popular flora guide (SC 2) Taxonomically and geographically limited Fauna mapping & monitoring in central Pag area (SC 3) Agricultural BD survey: autoctonous / traditional agricultural plants and domestic animals (SC 4) Landscape analysis 1:25.000 of Novigradsko / Karinsko sea area and landscape analysis 1:10.000 of some especially valuable micro locality (SC 16) Local elaboration of National Ecological Network; proposals for sustainable use; analysis and integration of nature protection measures into physical plans

56 2007 2008 2009- OUTPUT & ACTIVITIES: Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec 2013 Evaluation of distribution and current state of natural bivalve communities in the Zadar county demonstration area (SC 9) Marine BD assessment – refinement of the existing habitat map – of Zadar county demonstration area aquatorium (SC 10) Pilot sea-use zoning Preparation of Integrated Shellfish farming plan for Novigradsko sea / SI part of Velebit channel / SI coastal aquatorium of island Pag (SC 12) Plan for sustainable use of natural resources in tourism development in wider Novigrad / Karin Sea area (SC 20) Green audits BD friendly agriculture and fisheries: information, networking and training program (SC 22) Croatian Waters and Waste Water Treatment planning; submarine outfalls – biodiversity concerns Output 1.5: LESSONS UPTAKE Establish database OUTCOME 2: An improved investment climate for BD-friendly enterprises across the four counties Output 2.1: INCREASED AVAILABILITY OF CAPITAL HBOR training

57 2007 2008 2009- OUTPUT & ACTIVITIES: Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec 2013 Guidelines / good practices for conservation and sustainable use of BD/LD in key economic sectors in Dalmatia (SC 21) Involvement and training of banks and prospective BDF business operators; establishment of the working PRGF and CBRRF schemes (SC 23) Risk guarantee to loans Output 2.2: FUNCTIONING MARKET BASED INCENTIVES FOR BD PRODUCTS Ecolabel award scheme - family guest houses Ecolabel award scheme - large hotels Prepare Agri marketing plan Implement Marketing plan Output 2.3: INCREASED CONSUMER DEMAND FOR BD PRODUCTS Develop COAST identity Awareness raising on BD value Tourist products Output 2.4: IMPROVED APPROVAL PROCESSES FOR BD FRIENDLY INVESTMENTS Guidelines: BD/LD and CCA/SEA/EIA Guidelines: BD/LD and mariculture/fisheries Output 2.5: INCREASED DEMAND FOR LOANS FOR BD FRIENDLY INVESTMENTS Prepare requests for IPARD / IPA Pilot Smart Gear Training for Association of small hotel owners Develop requests for loans OUTCOME 3: Compliance with BD-related regulations has increased significantly across all sectors across the four counties

58 2007 2008 2009- OUTPUT & ACTIVITIES: Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec 2013 Output 3.1: STRONG PLANNING BASIS Training on international experience Output 3.2: TOURISM COMPLIANCE Develop compliance strategy Training for inspections, BD concern Training on CCA, focus on demo areas Develop fines/awards, strengthen inspection capacity Development and implementation of activities/programmes exploring sustainable Future of Dalmatia as tourist landscape (SC 24) Output 3.3: AGRICULTURE COMPLIANCE Develop compliance strategy Strengthen inspection of org agric. Promotional campaigns Output 3.4: FISHERIES COMPLIANCE Develop compliance strategy Support to department and inspectors Guidelines/regulation for smart gear Critical review of fisheries regulated areas and other protection regimes in Dalmatian aquatorium; Recommendation for sustainable demersal fisheries in Jabuka Pit area (SC 11) Media and promotional

59 2007 2008 2009- OUTPUT & ACTIVITIES: Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec 2013 campaign Output 3.5: MARICULTURE COMPLIANCE Develop compliance strategy Monitor water at farms Implement compliance strategy Output 3.6: WATER QUALITY CONTROL Advocate BD oriented changes to CW Output 3.7: BD COMPLIANCE IN AND AROUND PROTECTED AREAS Prepare conflict resolution strategies Implement elements of strategy Conflict resolution within project area OUTCOME 4: A national-level enabling environment that appreciates, supports, institutionalizes and disseminates BD-friendly development in coastal areas Output 4.1: HIGH LEVEL SUPPORT Document on economic value of BD Contribution to NHDR for 2008 High level conferences and follow-up Output 4.2: POLICY AND LEGISLATIVE REFORM HBOR procedures and capacity Bank training package Negotiate risk guarantee Support to CTO. Develop National Tourism certificate Review and advocate for fishing regulations Output 4.3: DISSEMINATION Develop project communications strategy (web site, logo, initial set of promo materials, etc.)

60 2007 2008 2009- OUTPUT & ACTIVITIES: Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec 2013 Support website, newsletters, videos, etc All 7 county promotional campaign for key county and municipal government agencies CBRRF Preparation activities for CBRRF CBRRF SECONDING CTO, 2 years, a 3.000, 50% GEF HBOR, 2 years a 3.000, 50% GEF 4 County Planning Institutes, 2 years a 2.500 4 County Tourism Boards, 2 years a 2.500 Min.Agriculture, in project area, compliance, 2 years a 2.500 Min.Fish/maricult, in project area, compliance; 2 years a 2.500 Min. Tourism, in project area, compliance, 2 years a 2.500 MONITORING AND EVALUATION National Expert Data collection Independent evaluation Reporting and meeting Auditing

61 G. Revised Logical Framework Matrix

Objectively verifiable indicators Project Strategy

To ensure that the development path of the Croatian coast is environmentally friendly, with the conservation of biological diversity firmly mainstreamed into Goal that development path.

Indicator Baseline Target Sources of Risks and Assumptions verification $1,100,000 (total in Risk 1: The EU Accession process slows or stops 2009 and 2010) due to external or political reasons. The volume of investments into $1,100,000 (total in biodiversity-friendly activities, Official data and 0 2011 and 2012) Risk 2: Collapse or downfall in European/regional assisted by the project, across the project records $2,500,000 (for the tourism sector. The impact is twofold. Although entire project area (four counties) entire project, 2009 to this may reduce some pressure on biodiversity, the 2013) overall impact on biodiversity is likely to be Objective: Direct contribution negative, as the momentum towards sustainable To effectively 663,000 ha of land tourism in the project area will be lost, and local transform actions, surface communities are unlikely to innovate. Local Biodiversity Indicator No. 1. practices and 702,000 ha of sea economic stagnation will lead to further Size of the area that the project has approaches of private surface degradation of natural resources. mainstreamed biodiversity Project records operators in the 0 conservation and sustainable use into tourism, agriculture Indirect contribution Risk 3: Changes in European market for organic the productive landscape and and fisheries sectors in 629,000 ha of land and traditional agriculture do not develop quickly. relevant sectors. the four coastal surface counties, in part by 1,640,000 of sea Risk 4: Co-financers, either governmental or non- influencing the surface governmental, are unable to meet commitments due banking sector, and Biodiversity Indicator No. 2. to circumstances not anticipated at project design Published papers in thereby mainstream Species composition and abundance stage. Flora Croatica biodiversity in key habitats: Database (FCD), conservation into Risk 5: Project duration in view of available national database on these sectors. - Salt marshes (alliance resources due to decline of exchange rate of US$ to 2005 situation – as vascular flora held by Arthrocnemion) at 3 localities in Kuna. recorded in the Flora Remains unchanged Department of project area: Croatica Database Botany, University of (1) Blace-Neretva; Risk 6: Coastal Decree is suspended or repealed Zagreb FCD URL (2) Privlaka (Zadar); Since the introduction of Coastal Decree hirc.botanic.hr/fcd (3) Vlašići (Pag). (September 2004) planning system got clear and

quantitative criteria which have been applied in the Habitat Maps (2005) new generation of spatial plans of communes and

62 Application of GEF biodiversity Biodiversity Tracking Improved ratings at BD2 Tracking Tool municipalities. Most of these plans have been “tracking tool” shows improvement tool attached the mid-term and final Reports completed in year 2006. The Decree managed to Outcome 1: in sectoral activities throughout life evaluation achieve some of the important coastal sustainable Biodiversity-friendly of project development objectives, including: development is The revenue from the biodiversity- 0 $150,000 in 2010 Project Records, 1) curbed further expansion of buildable lands and demonstrated in four friendly investments, assisted by the (investments from based on stakeholders associated sprawl development and loss of natural small, globally project, across the entire project area 2009 only) partners annual resources, 2) assured decent building setback, important, productive (four counties). $600,000 (investments reports protection and public access along the coast, 3) landscapes. from 2009 to 2013) stopped greenfield development on the unserviced coastal lands thus improving environmental Number of loans and None 2 in 2008 Project records situation. Presently there is a strong pressure from incentives/subsidies programs 5 in 2009 illegal builders to suspend the Decree. Outcome 2: An integrating BD criteria developed by 7 in 2013 improved investment the project into approval process Risk 7: Possible changes in project (institutional) climate for BD- Number of banks participating in the 1 (HBOR) 5 in 2008 Project and CTBs environment after elections in November 2007. friendly enterprises project 7 in 2009 records across the four 10 in 2013 Risk 8: Underdeveloped local consultancy market counties. Number of units applying for None 10 in 2010 for biodiversity and landscape related Project Tourism eco-label scheme and award 25 in 2013 activities. competition Outcome 3: Change in fishery regulation None At least one new Project records Risk 9: Changes in the banking sector. Since the Compliance with measure Copy of legal the project was submitted, the overall environment biodiversity-related measure for biodiversity friendly businesses (BDFB) in regulations has Croatia has improved significantly, with more increased significantly Number of spatial plans that None Input documents PIU reports, physical banks developing green portfolios and images. The across all sectors integrate recommendations provided prepared by the plans main assumption on which the Partial Risk across the four by the project project to four county Guarantee (PRG) was based, the fact that the banks counties. plans and/or perceive the BDFB as risky, is only partly valid. municipality plans – 5 The banks are reluctant to fund BDFBs not because Outcome 4: A Number of national level None 2 in 2010 PIU reports; official of the “BD friendly” aspect but because of the national-level programmes that incorporate 3 in 2013 documents of vulnerability of the sectors they belong to. enabling environment biodiversity criteria developed by the MEPPPC / local that appreciates, Project planning institutes supports, The number of Parliamentary or None At least two new Project records institutionalises and Governmental laws, regulations or measures respectively Copy of legal disseminates other measures that relate to coastal in agriculture, measures biodiversity-friendly areas and integrate or directly target fisheries, tourism, development in biodiversity conservation goals banks coastal areas.

Output 1.1 On Pelješac Peninsula, Dubrovacko Primorje, Malostonski Bay and Malo More, biodiversity-friendly and diversified tourism is growing, all fish farms are biodiversity-friendly, traditional shell-fish farming and BD-friendly agriculture has expanded, abandoned lands recultivated with traditional/endemic sorts / plants / herbs, and critical micro eco-systems are protected; Outcome 1: Output 1.2 Across Vis Island and remote islands, sustainable use of biodiversity is driving economic development (notably, in the small hotel sector, the marina sector Biodiversity-friendly and in the micro-agricultural sector), degraded lands have been rehabilitated using traditional practices, and critical micro eco-systems are protected; development is Output 1.3 In Krka estuary, significant number of large and small scale private sector enterprises (tourism, organic and traditional agriculture and shell-fish culture) are demonstrated in four operating in a biodiversity-friendly manner, abandoned lands recultivated with traditional/endemic sorts / plants / herbs, all contributing to the local economy; small, globally Output 1.4 In Northwest Zadar county, traditional agriculture and traditional food production has expanded and has increased in profitability, mariculture and family- important, productive run tourist enterprises are biodiversity-friendly, abandoned lands recultivated with traditional/endemic sorts / plants / herbs, and critical marine ecosystems are landscapes. protected; Output 1.5 The findings and the lessons learned from the four demonstration landscapes are systematically fed into county and national level practices (notably through Outcomes 2 – 4) Outcome 2: Output 2.1 Increased availability of affordable capital; An improved Output 2.2 Functioning market-based incentives for biodiversity products; investment climate for Output 2.3 Increased consumer demand for biodiversity-friendly services and products; BD-friendly Output 2.4 Improved approval processes for BD-friendly investments; enterprises across the Output 2.5 Increased demand for capital to invest in profitable, biodiversity-friendly investments. four counties. Outcome 3: Output 3.1 A strong planning basis for regulating the biodiversity aspects of private sector investments and production; Compliance with Output 3.2 Strengthened capacity to increase compliance with biodiversity-related tourist regulations and guidelines; biodiversity-related Output 3.3 Strengthened capacity to increase compliance with biodiversity-related agriculture regulations and guidelines; regulations has Output 3.4 Strengthened capacity to increase compliance with biodiversity-related fishery regulations; increased significantly Output 3.5 Strengthened capacity to increase compliance with biodiversity-related mariculture regulations; across all sectors Output 3.6 Strengthened capacity to control water quality; across the four Output 3.7 Strengthened capacity to enforce biodiversity regulations in and around Protected Areas. counties. Outcome 4: A national-level enabling environment that appreciates, Output 4.1 Effective political support to the project goal from high-level government and high-level private sector decision-makers; supports, Output 4.2 Essential policy and legislative changes in both government and private sector; institutionalises and Output 4.3 Project successes disseminated and communicated across project area and beyond. disseminates biodiversity-friendly development in coastal areas.

64 H. Revised Project Management Structure 35. The management structures proposed in the Project Document have been revised in order to reflect the changes that took place in the organizational structure responsible for nature protection and to ensure adequate stakeholder participation.

1. Project Steering Committee (PSC) 36. The composition of the initial PSC established in PDF B phase has been revised as follows:

PSC initial membership PSC current membership Ministry of Environmental Protection Physical Ministry of Environmental Protection Physical Planning and Construction (Chair) Planning and Construction (Chair) Ministry of the Sea, Tourism, Transport and Ministry of the Sea, Tourism, Transport and Development Development (2 members, Directorate for Tourism and Department for the Sea Traffic) Ministry of Agriculture, Forestry and Water Ministry of Agriculture, Forestry and Water Management (2 members, Directorate for Fisheries Management and Directorate for Sustainable Rural

Development) Ministry of Culture/ State Institute for Nature Ministry of Culture (Directorate for Nature Protection Protection) Ministry of Science, Education and Sports Ministry of Science, Education and Sports Ministry of Foreign Affairs and European Ministry of Economy, Labor and Entrepreneurship Integration Environmental Protection and Energy Efficiency Ministry of Finance Fund Croatian Bank for Reconstruction and State Institute for Nature Protection Development Central Office for Development Strategy and Croatian Tourism Organization Coordination of EU Funds Croatian Forests Environmental Protection and Energy Efficiency Fund Croatian Waters Croatian Bank for Reconstruction and Development Zadarska County Croatian Forests Sibenik-Knin County Croatian Waters Split-Dalmatia County Zadarska County Dubrovnik-Neretva County Sibenik-Knin County UNDP CO Split-Dalmatia County Dubrovnik-Neretva County UNDP CO

2. Project Implementation Unit (PIU)

37. The composition of the Project Implementation Unit has been revised as follows: National Project Manager, two deputy project managers (one posted at PIU in Split and another one in UNDP Office in Zagreb), one project assistant and one administrative and financial assistant. Due to the technical complexity of the project and experience with other projects, it was decided that the project could benefit more with one project assistant with some administrative tasks and one administrative/financial assistant.

38. Due to the complexity of the biodiversity in the project area it appeared impossible to find marine, landscape and biodiversity expertise in one person. Therefore for the biodiversity three experts have been hired: (i) Terrestrial Biodiversity; (ii) Marine Biodiversity; and (iii) Landscape diversity. Seascape was attached to the mariculture/fisheries sectors.

39. In total six key experts have been contracted: (i) - terrestrial biodiversity; (ii) - landscape diversity; (iii) marine biodiversity and fisheries/mariculture; (iv) agriculture; (v) tourism; and (vi) biodiversity friendly investments.

40. It is also suggested to change the proposed composition of the PMG by adding a representative from Regional Development Agency (established within counties). The revised Project Management structure is presented in Figure H1

66 Figure H1: Revised Project Management Structure

National Executing Agency GEF Implementing Agency MEPPPC UNDP CO Croatia PROJECT (and HQ, RCU Bratislava) MANAGEMENT Project Director GROUP Project Coordinator CO Croatia (PMG) Hosting deputy project manager; One full time staff to backstop Support services – Payments Procurement Contracting OPERATIONAL FOCAL POINTS in key partner agencies

CBRRF PROJECT IMPLEMENTATION UNIT MANAGEMENT (PIU) UNIT (2) staff 1. Project manager 2. Deputy project manager - Zagreb SECONDEES: 3. Deputy project manager – Split 4 Counties planning depts. 4. Project assistant 4 Counties tourism boards 5 Administrative and Financial Assistant 4 RDAs PARTIAL MSTTD - tourism GUARANTEE HBOR SCHEME MAFWM – rural development and Managed by fisheries – in the project area HBOR

CORE EXPERTS: DEMO AREA (4) FOCUS National GROUPS International

OTHER EXPERTS

I. Annual Work Plan 2007-2008

TIMEFRAME 2007 TIMEFRAME 2008 PLANNED BUDGET OUTPUTS/PLANNE RESPONSIBLE OUTCOMES Source of Budget Description Amount D ACTIVITIES Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 PARTY Funding (US$) BD-friendly Output 1.1: GEF, development is Dubrovnik Neretva Environmental demonstrated County, Pelješac & Protection and Total for in four small, Mljet Demo UNDP Energy Efficiency Outcome 1: globally Fund of the 1.120.000 important, Republic of productive Croatia (EPEEF) landscapes. Habitat maps 1:25.000 and monitoring for X X X X X 40.000 Mljet (SC 1) Taxonomically and geographically limited Flora mapping & monitoring in Mljet 22.500 with production of X X X X X popular flora guide of Dalmatian coast and islands (SC 2) Taxonomically and geographically limited Fauna mapping & X X X X X 22.500 monitoring on Mljet (SC 3) Agricultural BD survey: autochthonous / traditional 3.750 agricultural plants and X X X X domestic animals (SC 4) Landscape analysis of Mali Ston area, Scale X X X X 40.000 1:25.000 (SC 13) Preparation of Integrated Shellfish 16.000 farming plans for X X X X

TIMEFRAME 2007 TIMEFRAME 2008 PLANNED BUDGET OUTPUTS/PLANNE RESPONSIBLE OUTCOMES Source of Budget Description Amount D ACTIVITIES Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 PARTY Funding (US$) Malo sea / Malostonski bay (SC 12) Plan for sustainable development of nature 90.000 based tourism in wider X X X X Pelješac area (SC 17) BD friendly agriculture and fisheries: information, 10.000 networking and X X X training program (SC 22) Output 1.2: Split Dalmatia County, UNDP GEF, EPEEF Vis Demo Area Habitat maps 1:25.000 and monitoring for Vis X X X X X 40.000 & Biševo area (SC 1) Taxonomically and geographically limited Flora mapping & monitoring in Vis & Biševo area with X X X X X 22.500 production of popular flora guide of Dalmatian coast and islands (SC 2) Taxonomically and geographically limited Fauna mapping & X X X X X 22.500 monitoring in Vis & Biševo area (SC 3) Agricultural BD survey: autochthonous / traditional 3.750 agricultural plants and X X X X domestic animals (SC 69

TIMEFRAME 2007 TIMEFRAME 2008 PLANNED BUDGET OUTPUTS/PLANNE RESPONSIBLE OUTCOMES Source of Budget Description Amount D ACTIVITIES Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 PARTY Funding (US$) 4) Landscape analysis of Vis & Biševo area, 40.000 Scale 1:25.000 (SC X X X X 14) Inventory and visitors interpretation of marine BD around island Biševo and SE X X X X X X 50.000 coast of island Vis; proposals for sustainable use (SC 6) Mapping of Posidonia sea beds using Remote 25.000 Sensing method (SC X X X 7) Inventory and assessment of coastal fish population BD and recommendations X X X X 20.000 for sustainable coastal fisheries in Vis aquatorium (SC 8) Birds populations of Vis archipelago: monitoring; drafting of proposal for 30.000 protection regime and X X X X X producing of materials for visitors center (SC 5) Plan for sustainable use of natural resources (values) in X X X X 90.000 tourism development of Vis island (SC 18) BD friendly agriculture and X X X 10.000 70

TIMEFRAME 2007 TIMEFRAME 2008 PLANNED BUDGET OUTPUTS/PLANNE RESPONSIBLE OUTCOMES Source of Budget Description Amount D ACTIVITIES Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 PARTY Funding (US$) fisheries: information, networking and training program (SC 22) Output 1.3: Šibenik Knin County, Krka UNDP GEF, EPEEF Estuary Demo Area Habitat maps 1:25.000 and monitoring for 40.000 Krka estuary area (SC X X X X X 1) Taxonomically and geographically limited Flora mapping & monitoring in Krka estuary area with X X X X X 22.500 production of popular flora guide of Dalmatian coast and islands (SC 2) Taxonomically and geographically limited Fauna mapping & X X X X X 22.500 monitoring in Krka estuary area (SC 3) Agricultural BD survey: autochthonous / traditional 3.750 agricultural plants and X X X X domestic animals (SC 4) Landscape analysis of Šibenik-Knin County coastal area, Scale X X X X 40.000 1:25000 and 1:10000 (SC 15) Preparation of Integrated Shellfish X X X X 14.000 71

TIMEFRAME 2007 TIMEFRAME 2008 PLANNED BUDGET OUTPUTS/PLANNE RESPONSIBLE OUTCOMES Source of Budget Description Amount D ACTIVITIES Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 PARTY Funding (US$) farming plan for Krka estuary (SC 12) Plan for sustainable use of natural resources in tourism 90.000 development in the X X X X area of Krka River estuary (SC 19) BD friendly agriculture and fisheries: information, 10.000 networking and X X X training program (SC 22) Output 1.4: Zadar County, SE Pag, UNDP GEF, EPEEF Novigrad Karin Demo Area Habitat maps and monitoring for central 40.000 Pag area, Scale X X X X X 1:25.000 (SC 1) Taxonomically and geographically limited Flora mapping & monitoring in central Pag area with X X X X X 22.500 production of popular flora guide of Dalmatian coast and islands (SC 2) Taxonomically and geographically limited Fauna mapping & X X X X X 22.500 monitoring in central Pag area (SC 3) Agricultural BD survey: autoctonous / X X X X 3.750 72

TIMEFRAME 2007 TIMEFRAME 2008 PLANNED BUDGET OUTPUTS/PLANNE RESPONSIBLE OUTCOMES Source of Budget Description Amount D ACTIVITIES Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 PARTY Funding (US$) traditional agricultural plants and domestic animals (SC 4) Landscape analysis 1:25.000 of Novigradsko / Karinsko sea area 40.000 landscape analysis X X X X 1:10.000 of some especially valuable micro locality (SC 16) Evaluation of distribution and current state of natural bivalve communities X X 20.000 in the Zadar county demonstration area (SC 9) Marine BD assessment – refinement of the existing habitat map – X X X 20.000 of Zadar county demonstration area aquatorium (SC 10) Preparation of Integrated Shellfish farming plan for Novigradsko sea / SI 10.000 part of Velebit channel X X X X / SE coastal aquatorium of island Pag (SC 12) Plan for sustainable use of natural resources in tourism 90.000 development in wider X X X X Novigrad / Karin Sea

TIMEFRAME 2007 TIMEFRAME 2008 PLANNED BUDGET OUTPUTS/PLANNE RESPONSIBLE OUTCOMES Source of Budget Description Amount D ACTIVITIES Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 PARTY Funding (US$) area (SC 20) BD friendly agriculture and fisheries: information, 10.000 networking and X X X training program (SC 22) An improved Output 2.1: Total for investment Increased UNDP GEF Outcome 2: climate for BD- Availability of 130.000 friendly Capital enterprises Guidelines / good across the four practices for counties conservation and sustainable use of X X X 90.000 BD/LD in key economic sectors in Dalmatia (SC 21) Involvement and training of banks and prospective BDF business operators; 40.000 establishment of the X X X working PRGF and CBRRF schemes (SC 23) Compliance Output 3.2: Tourism Total for with BD- Compliance UNDP GEF Outcome 3: related 55.000 regulations has Development and increased implementation of significantly activities/programmes across all exploring sustainable X X X X 30.000 sectors across Future of Dalmatia as the four tourist landscape (SC counties 24) Output 3.4: Fisheries

Compliance 74

TIMEFRAME 2007 TIMEFRAME 2008 PLANNED BUDGET OUTPUTS/PLANNE RESPONSIBLE OUTCOMES Source of Budget Description Amount D ACTIVITIES Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 PARTY Funding (US$) Critical review of fisheries regulated areas and other protection regimes in Dalmatian 25.000 aquatorium; X X X X Recommendation for sustainable demersal fisheries in Jabuka Pit area

GRAND 1.305.000 TOTAL

Tracking Tool for GEF Biodiversity Focal Area Strategic Priority Two: Mainstreaming Biodiversity in Production Landscapes/Seascapes and Sectors

J. GEF Tracking Tool: Biodiversity Focal Area Strategic Priority Two

I. PROJECT GENERAL INFORMATION

1. Project Name: Conservation and Sustainable Use of Biodiversity in the Dalmatian Coast through Greening Coastal Development ("COAST" Project) 2. Project ID (GEF): 00050301 3. Project ID (IA): 4. Implementing Agency: UNDP 5. Country(ies): Croatia

Name of reviewers completing tracking tool and completion dates:

Name Title Agency Dennis Expert Work Program Fenton,

Inclusion Arsen PDF B Project Pavasovic Manager Project Mid-term Final Evaluation/project completion

5. Project duration: Planned 7 years Actual ______years

6. Lead Project Executing Agency (ies):

Ministry of Environmental Protection, Physical Planning and Construction, Croatia

7. GEF Operational Program: drylands (OP 1) X coastal, marine, freshwater (OP 2) forests (OP 3) mountains (OP 4) agro-biodiversity (OP 13) integrated ecosystem management (OP 12) sustainable land management (OP 15)

Other Operational Program not listed above:______

8. Production sectors and/or ecosystem services directly targeted by project:

8. a. Please identify the main production sectors involved in the project. Please put “P” for sectors that are primarily and directly targeted by the project, and “S” for those that are secondary or incidentally affected by the project. Agriculture P Fisheries P Forestry S

76 Tracking Tool for GEF Biodiversity Focal Area Strategic Priority Two: Mainstreaming Biodiversity in Production Landscapes/Seascapes and Sectors

Tourism P Mining Oil Transportation Other (please specify) Banking P

8. b. For projects that are targeting the conservation or sustainable use of ecosystems goods and services, please specify the goods or services that are being targeted, for example, water, genetic resources, recreational, etc 1. Coastal and marine resources 2. Unique landscape and biological diversity

II. Project Landscape/Seascape Coverage

9. a. What is the extent (in hectares) of the landscape or seascape where the project will directly or indirectly contribute to biodiversity conservation or sustainable use of its components? An example is provided in the table below.

Targets and Timeframe Foreseen at Achievement Achievement at project start at Mid-term Final Evaluation Evaluation of of Project Project Coverage Project Landscape/seascape1 area 663,000 land 30% 100% directly2 covered by the project (ha) 702,000 sea Landscape/seascape area 629,000 land 30% 100% indirectly3 covered by the project (ha) 1,640,000 sea

Explanation for indirect coverage numbers:

Project area is the area to be affected, both directly and indirectly. The land area includes all the municipalities that lie along the coast in the four project areas. For marine areas, the area affected is estimated based on mapping and simple estimates of areas to be affected.

9. b. Are there Protected Areas within the landscape/seascape covered by the project? If so, names these PAs, their IUCN or national PA category, and their extent in hectares.

Name of Protected Areas IUCN and/or Extent in hectares of PA national category of PA 1. Mljet National Park 5,400

1 For projects working in seascapes (large marine ecosystems, fisheries etc.) please provide coverage figures and include explanatory text as necessary if reporting in hectares is not applicable or feasible. 2 Direct coverage refers to the area that is targeted by the project’s site intervention. For example, a project may be mainstreaming biodiversity into floodplain management in a pilot area of 1,000 hectares that is part of a much larger floodplain of 10,000 hectares. 3 Using the example in footnote 5 above, the same project may, for example, “indirectly” cover or influence the remaining 9,000 hectares of the floodplain through promoting learning exchanges and training at the project site as part of an awareness raising and capacity building strategy for the rest of the floodplain. Please explain the basis for extrapolation of indirect coverage when completing this part of the table.

77 Tracking Tool for GEF Biodiversity Focal Area Strategic Priority Two: Mainstreaming Biodiversity in Production Landscapes/Seascapes and Sectors

2. Biokovo Nature Park 19,550 3. Krka National Park 11,100 4. Kornati National Park 21,800 5. Vransko lake Nature Park 5,700 6. Telašćica Nature Park 6,700 7. Lastovsko archipelago Nature Park 5,200 lad surface; 14,300 sea surface

III. Management Practices Applied

10.a. Within the scope and objectives of the project, please identify in the table below the management practices employed by project beneficiaries that integrate biodiversity considerations and the area of coverage of these management practices? Note: this could range from farmers applying organic agricultural practices, forest management agencies managing forests per Forest Stewardship Council (FSC) guidelines or other forest certification schemes, artisanal fisherfolk practicing sustainable fisheries management, or industries satisfying other similar agreed international standards, etc. An example is provided in the table below.

Targets and Timeframe Area of Achievement at Achievement at coverage/volume Mid-term Final Evaluation foreseen at start Evaluation of of Project of project Project

Specific management practices that integrate BD 1. BD-friendly organic and Organic - 240 ha Organic – 210 ha Organic - 240 ha traditional agricultural practices Traditional - Traditional – Traditional - 10,000 ha keep unchanged 10,000 ha 2. BD-friendly: - shell-fish farming 4,500 t/y 4,000 t/y 4,500 t/y 3. Tourism, BD-friendly: - Nature-based tourism 4 4 4 development plan - Itineraries 8 4 8

10. b. Is the project promoting the conservation and sustainable use of wild species or landraces? No

10. c. For the species identified above, or other target species of the project not included in the list above (E.g., domesticated species), please list the species, check the boxes as appropriate regarding the application of a certification system, and identify the certification system being used in the project, if any. An example is provided in the table below.

A A certification Name of A certification Certification certification system will be certification system will not be system is used system if used being used being used Species 1. Mytilus Oyster X

78 Tracking Tool for GEF Biodiversity Focal Area Strategic Priority Two: Mainstreaming Biodiversity in Production Landscapes/Seascapes and Sectors

IV. Market Transformation and Mainstreaming Biodiversity

11. a. For those projects that have identified market transformation as a project objective, please describe the project's ability to integrate biodiversity considerations into the mainstream economy by measuring the market changes to which the project contributed. The sectors and subsectors and measures of impact in the table below are illustrative examples, only. Please complete per the objectives and specifics of the project.

Name of the Unit of measure Market Market Market market that the of condition at condition at condition at project seeks to market impact the start of the midterm final evaluation affect (sector project evaluation of of the project and sub-sector) project BD-friendly US$ of sales of 300,000 Increase 30% Increase 60% agriculture certified organic agriculture / yr BD-friendly No. of BD- 0 10 50 tourism friendly itineraries performed by tourist groups/y BD-friendly t/y produced 3,500 t/y Increase: Increase: mariculture: 15% 30% - shell-fish farming

11. b. Please also note which (if any) market changes were directly caused by the project. N/A ______

V. Improved Livelihoods

12. For those projects that have identified improving the livelihoods of a beneficiary population based on sustainable use /harvesting as a project objective, please list the targets identified in the logframe and record progress at the mid-term and final evaluation. An example is provided in the table below

Improved Number of Please Improvement Achievement Achievement Livelihood targeted identify Foreseen at at Mid-term at Final Measure beneficiaries local or project start Evaluation Evaluation (if known) indigenous of Project of Project communities project is working with

79 Tracking Tool for GEF Biodiversity Focal Area Strategic Priority Two: Mainstreaming Biodiversity in Production Landscapes/Seascapes and Sectors

Grants and Project area 2,500,000 US$ 20% 100% loans for BD friendly activities

VI. Project Replication Strategy

13. a . Does the project specify budget, activities, and outputs for implementing the replication strategy? Yes

Replication is important at several levels: within the demonstration landscapes; across the four counties in the project area; across Croatia and internationally.

Activities under Outcomes 1-3 will address replication at the demonstration and four counties levels. Under Outcome 1, only Output 1.5 aims specifically at replication. GEF budget for this Output is $48,000. Under Outcomes 2-3, there are no activities dedicated to replication, although there are many activities that will contribute to replication.

13. b. Is the replication strategy promoting incentive measures & instruments (e.g. trust funds, payments for environmental services, certification) within and beyond project boundaries? Yes

If yes, please list the incentive measures or instruments being promoted:

Certification, marketing plans, negotiations with responsible Ministries to adapt the present system of incentives, see for example agriculture, and indicators.

13. c. For all projects, please complete box below. Two examples are provided.

Replication Quantification Measure Replication Achievement Achievement (Examples: hectares of certified products, Target at Mid-term at Final number of resource users participating in Foreseen Evaluation Evaluation payment for environmental services at project of Project of Project programs, businesses established, etc.) start

VII. Enabling Environment

For those projects that have identified addressing policy, legislation, regulations, and their implementation as project objectives, please complete the following series of questions: 18a, 18b, 18c.

An example for a project that focused on the agriculture sector is provided in 18 a, b, and c.

14. a. Please complete this table at work program inclusion for each sector that is a primary or a secondary focus of the project.

80 Tracking Tool for GEF Biodiversity Focal Area Strategic Priority Two: Mainstreaming Biodiversity in Production Landscapes/Seascapes and Sectors

Please answer YES or NO to each statement under the sectors that are a focus of the project.

Sector Agriculture Fisheries Forestry Tourism Banking Other (please specify) Statement: Please answer YES or NO for each sector that is a focus of the project. Biodiversity considerations NO YES NO NO are mentioned in sector policy Biodiversity considerations NO NO NO NO are mentioned in sector policy through specific legislation Regulations are in place to NO NO NO NO implement the legislation The regulations are under NO NO NO NO implementation The implementation of NO NO NO NO regulations is enforced Enforcement of regulations NO NO NO NO is monitored

14. b . Please complete this table at the project mid-term for each sector that is a primary or a secondary focus of the project. Please answer YES or NO to each statement under the sectors that are a focus of the project.

Sector Agriculture Fisheries Forestry Tourism Banking Other (please specify) Statement: Please answer YES or NO for each sector that is a focus of the project. Biodiversity considerations are mentioned in sector policy Biodiversity considerations are mentioned in sector policy through specific legislation Regulations are in place to implement the legislation The regulations are under implementation The implementation of regulations is enforced Enforcement of regulations is monitored

81 Tracking Tool for GEF Biodiversity Focal Area Strategic Priority Two: Mainstreaming Biodiversity in Production Landscapes/Seascapes and Sectors

14. c. Please complete this table at project closure for each sector that is a primary or a secondary focus of the project. Please answer YES or NO to each statement under the sectors that are a focus of the project.

Sector Agriculture Fisheries Forestry Tourism Banking Other (please specify) Statement: Please answer YES or NO for each sector that is a focus of the project. Biodiversity considerations are mentioned in sector policy Biodiversity considerations are mentioned in sector policy through specific legislation Regulations are in place to implement the legislation The regulations are under implementation The implementation of regulations is enforced Enforcement of regulations is monitored

82 Tracking Tool for GEF Biodiversity Focal Area Strategic Priority Two: Mainstreaming Biodiversity in Production Landscapes/Seascapes and Sectors

All projects please complete this question at the project mid-term evaluation and at the final evaluation, if relevant:

14. d. Within the scope and objectives of the project, has the private sector undertaken voluntary measures to incorporate biodiversity considerations in production? If yes, please provide brief explanation and specifically mention the sectors involved.

An example of this could be a mining company minimizing the impacts on biodiversity by using low-impact exploration techniques and by developing plans for restoration of biodiversity after exploration as part of the site management plan. ______

VIII. Mainstreaming biodiversity into the GEF Implementing Agencies’ Programs

15. At each time juncture of the project (work program inclusion, mid-term evaluation, and final evaluation), please check the box that depicts the status of mainstreaming biodiversity through the implementation of this project with on-going GEF Implementing Agencies’ development assistance, sector, lending, or other technical assistance programs.

Time Work Mid-Term Final Frame Program Evaluation Evaluation Inclusion

Status of Mainstreaming The project is not linked to IA development assistance, sector, lending programs, or other technical assistance programs. The project is indirectly linked to IAs development assistance, sector, lending programs or other technical assistance programs. The project has direct links to IAs X development assistance, sector, lending programs or other technical assistance programs. The project is demonstrating strong and sustained complementarity with on-going planned programs.

IX. Other Impacts

16. Please briefly summarize other impacts that the project has had on mainstreaming biodiversity that have not been recorded above. ______

APPENDIX I: AGENDA OF THE INTERNAL AND EXTERNAL SESSION OF THE INCEPTION WORKSHOP

Conservation and sustainable use of biodiversity in the Dalmatian coast through greening coastal development – COAST

INCEPTION WORKSHOP, Split, 8 – 9. May, 2007

INTERNAL SESSION, 8 MAY

09.00-09.30: Introduction of participants (roles and responsibilities)

09.30 - 10.30: Presentation of the project structure: goal, objective, outcomes and changes occurred in the project environment since submission

10.30 – 11.00: Project implementation arrangements

11.00 – 11.30: Presentation of the ToRs for the key experts/activities for the first year.

11.30 – 11.45: Coffee break

11.45 – 12.45: GEF Monitoring and Evaluation requirements; Risk Management Strategy (RTA, UNDP/GEF)

12.45 - 14.00: Lunch break

14.00 – 15.30: Logframe presentation and revision

15.30 – 16.30: Presentation of the first year’s workplan

16.30 – 16.45: Coffee break

16.45 – 17.30: General discussion and preparation for the external session

EXTERNAL SESSION, 9 MAY

9.00 - 09.30 Registration

9.30 – 10.00 Welcome and Introduction − Split-Dalmatia County Prefect − UNDP − National Project Director − GEF/UNDP Regional Technical Advisor

10.00 - 10.30 Objectives of the Workshop and Project overview (Gojko Berlengi)

10.30 – 11.00 Coffee break

First Year Workplan – Presentations and Discussion

11.00 – 11.20 Marine biodiversity and fishery (Nedo Vrgoc)

11.20 - 11.40  Terrestrial biodiversity (Toni Nikolic)

11.40 - 12.00 Landscape (Branka Anicic)

12.00 - 12.20 Agriculture (Sonja Karoglan Todorovic)

12.20- 12.40 Tourism (Eduard Kusen)

12.40 - 13.00 Banking (Dasa Dragnic)

13.00 - 14.00 Lunch

14.00 - 14.20 COAST and EU Accession

14.20 - 14.40 Communication, Public Awareness and Participation

14.40 – 15.40 Discussion and Wrap-up

APPENDIX II: LIST OF PARTICIPANTS

NATIONAL GOVERNMENT, NATIONAL INSTITUTIONS

INSTITUTION ADDRESS PARTICIPANT CONTACT INFORMATION

Ministry of Environmental Tel: +385 1 3782 180 Ulica Republike Austrije 14 Gordana RUKLIĆ Protection, Physical Planning and Mob: +385 91 505 32 36 10000 Zagreb Advisor Construction (MEPPPC) E-mail: [email protected]

Ministry of Agriculture, Forestry Ulica grada Vukovara 78, Irina ZORIĆ Tel: +385 1 6106 286 and Water Management, 10000 Zagreb Expert associate E-mail: [email protected] Directorate for Fishery Ministry of Sea, Tourism, Tel: +385 1 6169 418 Transport and Development Prisavlje 14 Ivana MAROVIĆ Fax: +385 1 6169 069 (MSTTD), Directorate for 10000 Zagreb Expert advisor E-mail: navigation safety and protection of [email protected] the sea Ministry of Economy, Labour and Ulica grada Vukovara 78 Ivana TABAK Tel: +385 1 6109 572 Entrepreneurship, Directorate for 10000 Zagreb Expert advisor E-mail: [email protected] Energetic Institute for Physical Lidija BENŠEK- Tel: +385 1 3782 462 Planning MEPPPC ZAVRŠKI E-mail: lidija.bensek- Ulica Republike Austrije 25 Senior expert advisor [email protected] 10000 Zagreb Tel: + 385 21 380 628 MSTTD, Directorate for Islands – Antofagaste 6, Maja ĐIRLIĆ, Fax:+ 385 21 360 657 Split Unit 21000 Split Administrative advisor Mob: + 385 91 739 39 27 E-mail: [email protected]

Tel: +385 51 212 474 Milivoj ANDRAKA Senjsko pristanište 3 Fax: +385 51 212 696 Port Authority Rijeka Senior inspector for the 51000 Rijeka E-mail: navigation safety [email protected]

NATIONAL SECTORAL INSTITUTIONS

INSTITUTION ADDRESS PARTICIPANT CONTACT INFORMATION State Institute for Nature Ana MARIČEVIĆ, Protection (SINP), Department for Bogovićeva 1 Tel: +385 1 4866 178 Expert advisor for the wild and domestic species and 10000 Zagreb E-mail: [email protected] sea habitats Tel: +385 1 4866 175 SINP, Department for wild and Bogovićeva 1 Ramona TOPIĆ, Expert Mob: +385 1 60 60 267 domestic species and habitats 10000 Zagreb associate E-mail. [email protected]

Mob: +385 91 5277 263 Bogovićeva 1 Nikica SKROZA, SINP E-mail: [email protected] 10000 Zagreb Expert associate

Tonči BOŽANIĆ, President of the Mob: +385 91 487 7111 Croatian Chamber of Economy Island of Vis fishermen union E-mail: [email protected]

Tel: +385 1 4591 740 Dubravka ZORIĆ, Croatian Bank for Reconstruction Strossmayerov trg 9 Fax: +385 1 4922 533 Head of department for and Development 10000 Zagreb E-mail: [email protected] the infrastructure

Fond for Environmental Tel: +385 1 5391 884 Ksaver 208 Vesna CETIN, Senior Protection and Energetic Fax: +385 1 5391 840 10000 Zagreb expert advisor Efficiency E-mail: [email protected] Šetalište Ivana Meštrovića Marija Tel: +385 21 40 80 46 Institute for oceanography and 63 DESPALATOVIĆ E-mail: [email protected] fisheries, Split 21000 Split Scientific associate

Šetalište Ivana Meštrovića Tel: +385 21 408 004 Institute for oceanography and 63 Ante ŽULJEVIĆ E-mail: [email protected] fisheries, Split 21000 Split Biologist

Šetalište Ivana Meštrovića Tel: +385 21 408 000 Institute for oceanography and 63 Vjekoslav TIČINA E-mail: [email protected] fisheries, Split 21000 Split Scientist

DALMATIAN COUNTIES

ZADAR COUNTY (ZC)

INSTITUTION ADDRESS PARTICIPANT CONTACT INFORMATION ZC, Administrative unit for physical planning, Božidara Petranovića 8 Josip MATIĆ Assistant Tel: +385 23 350 356 environmental protection and 23000 Zadar head of department Fax: +385 23 350 355 communal activities

ZC, Administrative unit for physical planning, Božidara Petranovića 8 Katarina JURLINA Tel: +385 23 312 245 environmental protection and 23000 Zadar Advisor E-mail: [email protected] communal activities

Institute for physical planning Braće Vranjana 11 Dejana HORDOV Tel: +385 23 254 907 of Zadar County 23000 Zadar Advisor

Igor RAMOV Expert advisor for Institute for physical planning Braće Vranjana 11 Tel: +385 23 254 908 environmental of Zadar County 23000 Zadar E-mail: [email protected] protection

Tel: +385 23 254 322 Public institution for Braće Vranjana 11 Morana BABAJKO Fax: +385 23 254 323 management of protected PP 257 Expert manager E-mail: [email protected] areas within Zadar County 23000 Zadar

Špire Brusine 11 Tel: +385 23 213 379 Renata MARUŠIĆ Chamber of artisans, Zadar 23000 Zadar E-mail: [email protected] Chamber secretary

ŠIBENIK - KNIN COUNTY (SKC)

Tel: +385 22 244-242 SKC, Administrative unit for Fax: +385 22 213 893 Trg Pavla Šubića I. br. 2 Neven BAUS navigation, transport, island E-mail: [email protected] 22000 Šibenik Head of department and regional development [email protected]

Tel: +385 22 217-113; 200-473; 200-477 Prilaz tvornici 39 Development agency of SKC Zoran BELAK Advisor Fax: +385 22 217-114 22000 Šibenik Mob: +385 98 337 979 E-mail: [email protected] Croatian chamber of Tel: +385 22 311 604 Fra. Jerolima Milete 31 Magda LAKOŠ-MIJOČ economy, County chamber E-mail: [email protected] 22000 Šibenik Secretary of chamber Šibenik Tel: +385 22 339 565 Gordana KOŽARIĆ Mob: +385 91 4882 857 Croatian institute for Matije gupca 66a 22000 SILOV E-mail: gordana.kozaric- agricultural advisory service 22000 Šibernik Expert advisor [email protected]

Town of Šibenik, Tel: +385 22 201 341 Administrative unit for Trg Pavla Subića I br.2 Martina MARKOV, E-mail. physical planning and 22000 Šibenik Expert associate [email protected] environmental protection

Tel: +385 22 771 076 Town of Skradin, Unique Trg Male Gospe 3 Josip SILOV E-mail: [email protected] administrative unit 22222 Skradin Head of department

Obala kralja Dmitra Gordana RENIĆ Head Town of Obrovac Tel: +385 23 689 007 Zvonimira of economy department

SPLIT – DALMATIA COUNTY (SDC)

Domovinskog rata 2 Ante SANADER Tel: +385 21 300-200 SDC 21000 Split Split-Dalmatia Prefect Fax: +385 21 345-164

E-mail: [email protected]

Tel: +385 21 300 262 Zoran DANILOV Domovinskog rata 2 E-mail: SDC Assistant to the head of 21000 Split [email protected] department

Tel: +385 21 300299 SDC, Administrative unit for Fax: +385 21 300 086 Domovinskog rata 2 Mario RADEVENJIĆ physical planning and E-mail. 21000 Split Expert advisor environmental protection [email protected]

SDC, Administrative unit for Domovinskog rata 2 Božo SINČIĆ Tel: +385 21 300 232 economy 21000 Split Head of department E-mail: [email protected] Tel: +385 21 300 262 Fax: + 385 21 300 155 Institute for physical planning Domovinskog rata 2 Niko MRČIĆ E-mail: nada.perak@splitsko- of the SDC 21000 Split Head dalmatinska-zupanija.hr

Tel: +385 21 490043 Public institution for the Prilaz braće Kaliterna 10 Fax: +385 21 490 029 Zora KAŽIMIR management of protected 21000 Split E-mail: zora.kazimir@dalmatian- Expert associate areas within SDC nature.hr

Mirjana ŠVONJA Head Vukovarska 35 Tel. +385 21 309 439 of department for Croatian Waters, Split 21000 Split E-mail: [email protected] development and

cadastre

Tel: +385 21 482950 Forestry Unit split Dragica ŽAJA, Deputy Fax: +385 21 482 946 Croatian Forests, Split Kralja Zvonimira 35 Head of Forestry Unit Mob: +385 98 445 520 21000 Split Split E-mail: [email protected]

Croatian chamber of Obala Ante Trumbića 4 Goranka KOŠTA Head Tel: +385 21 321 135 economy, County chamber 21000 Split of department E-mail: [email protected] Split

Croatian chamber of Obala Ante Trumbića 4 Ivan MAJER Tel: +385 21 321 139 economy, County chamber 21000 Split Head of department E-mail: [email protected] Split

Marija CRMARIĆ Tel: +385 21 470 116, 470 112 Ruđera Boškovića 28-30 Chamber of artisans, Split Vice-president Fax: +385 21 470 114 21000 Split Mob: +385 98 5656 123

Silvija MATKOVIĆ Mob: +385 91 4882 937 Croatian institute for agricultural Petra Jakšića 6, Expert advisor for E-mail: [email protected] advisory service 21400 Supetar protection of plants Club of sports fishermen Obala kralja Tomislava, Tel: +385 21 223 344 Stanislav BOTICA GIRIČIĆ Kaštel Gomilica Mob: +385 98 422 407

E-mail: [email protected]

DUBROVNIK-NERETVA COUNTY (DNC)

Tel: +385 20 351 405 / 351 438 Administrative unit for Branka MARTINOVIĆ Pred Dvorom 1 Fax: +385 20 351 438 communal activities and VUKOVIĆ 20000 Dubrovnik Mob: +385 98 427 967 environmental protection Assistant to head of E-mail: [email protected] within DNC department

Pred Dvorom 1 Institute for physical planning Silvana TASLAMAN Mob: +385 98 184 0944 20000 Dubrovnik of the DNC Expert associate E-mail: [email protected]

Croatian chamber of Pera Čingrije 6 Nikolina TROJIĆ Tel: +385 20 412 044 economy, County chamber 20 000 Dubrovnik Expert associate E-mail: [email protected] Dubrovnik

Tel: +385 20 323 550, 323 560 Fax: +385 20 323 550 Široka 4/II Mob: +385 98 344 233 Chamber of artisans, DNC Svetan PEJIĆ President 20000 Dubrovnik E-mail: hok-dubro-neret- [email protected] [email protected] Tel: +385 20 323 550, 323 560 Nikola Fax: +385 20 323 550 Široka 4/II Chamber of artisans, DNC KALAFATOVIĆ Mob: +385 98 243 943 20000 Dubrovnik Chamber secretary E-mail: [email protected] com.hr

INTERNATIONAL ORGANISATIONS

INSTITUTION ADDRESS PARTICIPANT CONTACT INFORMATION

World Wide Fund for Nature Kesterčanevova 1 E-mail: [email protected] Stella ŠATALIĆ (WWF) 10000 Zagreb

Priority Actions Programme Tel: +385 21 340 475 Kraj Sv.Ivana 11 Marko PREM Deputy Regional Activity Centre 21000 Split director (PAP/RAC) Fax: +385 21 340 490 E-mail: [email protected]

NON-GOVERNMENTAL ORGANISATIONS

INSTITUTION ADDRESS PARTICIPANT CONTACT INFORMATION

Tel/Fax: +385 21 360779 Association for Nature, Obala HNP 7 Ljiljana PREBANDA Mob: +385 91 527 9460 Environment and Sustainable 21000 Split President E-mail: Development Sunce [email protected]

Association for Nature, Obala Hrvatskog narodnog Zrinka JAKL Tel/Fax: +385 21 360779 Environment and Sustainable preporoda 7 Project leader E-mail: [email protected] Development Sunce 21000 Split

Tel: +385 1 3758 222 Goran STOJANOVIĆ Fax: +385 1 3758 223 Dolphin Dream Society Grada Mainza 24 Head Mob: +385 98 359 023 10000 Zagreb E-mail: [email protected]

Obala hrvatskog narodnog Association of family and preporoda 7/3 Natalija OŠTRIĆ Tel: +385 21 317 880 small hotels of Croatia 21000 Split Project manager E-mail: [email protected]

PRIVATE SECTOR

INSTITUTION ADDRESS PARTICIPANT CONTACT INFORMATION Lovretska 17 Marijana ORA NEVE EMA Inc. Tel: +385 21 480 226 21000 Split Director Mob: +385 98 423 655 Asja VLASTELICA - E-mail: [email protected] Project leader

Mob: +385 91 480 0741 Goran ŽAGROVIĆ, - E-mail: [email protected] Jurist