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Socio-Economic Impacts of Tourism on a World Heritage Site:Case Study of Rural Borobudur, Indonesia

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Socio-Economic Impacts of Tourism on a World Heritage Site:Case Study of Rural Borobudur, Indonesia Socio-Economic Impacts of Tourism on a World Heritage Site:Case Study of Rural Borobudur, Indonesia by KAUSAR Devi Roza Krisnandhi DISSERTATION Submitted in Partial Fulfillment of the Requirements for the Degree of Doctor of Philosophy in International Development GRADUATE SCHOOL OF INTERNATIONAL DEVELOPMENT NAGOYA UNIVERSITY Approved by the Dissertation Committee: Yoshiaki NISHIKAWA (Chairperson) _____________________________ Hiroshi OSADA _____________________________ Kimiaki TAKAHASHI _____________________________ Yoshihiko NISHIMURA _____________________________ Approved by the GSID Committee: March 3, 2010 ABSTRACT This study focuses on Borobudur Temple Compounds World Heritage Site (WHS) and the surrounding rural area in Central Java, Indonesia. It aims to (1) investigate socio-economic impacts of heritage tourism from local community’s point of view; and (2) explore factors, which are affecting the generation of socio-economic impacts for the community. Through survey research targeting local people, focus group interviews and key informants interviews, this study tried to investigate socio-economic impacts of heritage tourism from local community’s point of view. The study then explores factors that have been affecting socio-economic impacts of heritage tourism in Borobudur. It classified these factors into three different contexts, i.e. local, national, and international context. The local context consists of the local environment (socio-demography and area characteristics) and management of WHS and heritage tourism (organizations involved in the management and their inter-relationships, management process); the national context encompasses tourism policy and the existing legal frameworks on tourism and WHS; and the international context consists of the role of relevant organizations, such as UNESCO, the nomination process and the dynamics of World Heritage discourse, i.e. evolving concepts relevant to local development in the past years and how they are implemented so that WHS can give more benefit to development at the local level. Using data collection methods such as interviews with organizations involved in the management of WHS and its vicinity, expert interviews, secondary data analysis, the second research objective, which is to explore factors affecting the generation of socio-economic impacts for the community, is carried out. By combining the research conducted at the community level and the many influencing factors, the study intend to explain the socio-economic impacts at the community level in light of the management or governing process of the WHS and its vicinity, the institutional arrangement as well as the interactions between organizations, and in the context of policy – which is reflected in the current legal framework influencing the site. This study finds that heritage tourism in Borobudur had contributed quite significantly to local government’s tax revenue and to growing services and tourism related sectors’ shares into Gross Regional Domestic Products within Borobudur District. Tourism has also stimulated the development of infrastructure in the area and has provided business opportunities over the years. However, the study also found that there have been limited positive impacts of heritage tourism i for the majority of local people in the rural Borobudur. Tourism has not encouraged the growth in the agriculture sector – a sector in which more than 40% of the workforces are involved. This study also found that tourism in Borobudur has had only limited success in stimulating the development of other sectors in the local economy. Its impact on other sectors is limited to certain economic activities that are closely related with tourism, such as tourism village and handicrafts. However, other important sectors, which have taken root in the rural livelihoods, i.e. agriculture and food production or processing have been largely neglected. Although survey results indicate positive perceptions of tourism impacts, this perception is not supported by other facts, such as the level of income and the magnitude of tourism impacts on employment and income. The tourism impact has been most significant in providing employment in the informal sector. Monthly household income for the majority of sample households who are involved in tourism related jobs is still below the minimum regional wage. Analysis of factors in the local context that have been influencing tourism impacts found that problems at the local area, such as unfavorable condition for farming in parts of the area; small land holdings; low education level which limits job opportunity; poverty and scarce employment opportunity, have contributed to high dependency toward tourism in the area. In addition, the current management system, which consists of three different organizations managing three different zones, is inadequate in managing heritage tourism so that it can help solve problems at the local level. Management plan, which is actually required for every WHS and is needed to arrange coordination between organizations based on some shared objectives, is absent in Borobudur. Thus, this study finds institutional problems such as lack of planning mechanisms, difficulties in coordination as well as lack of legal framework that prevent the management system from working together to address local issues. This study also argues that the nomination process, guidance from relevant international organizations and the development in WHS discourse have also influenced the course of heritage tourism development – although not directly. The nomination process, which place most emphases on conservation and much less on community development, has influenced the limited view of Borobudur WHS for conservation and tourism. International organizations such as UNESCO should do more to encourage or even enforce compliance from WHS in taking extra means to ensure a wider benefit of WHS for development, i.e. by developing a management plan and implementing the participatory process. ii This study recommends that a formal management plan or integrated plan between sectors is necessary if the development of other sectors in the local economy alongside tourism is to take place. It also suggests that in the spirit of decentralization, in which Indonesia has moved since 2000, local government must be given more authority in the management of WHS and its vicinity as one integrated area. Lastly, community participation is needed in recognizing potential resources to be developed or improved as well as problems or weaknesses that may exist. These efforts may help to realize at a local level, the ideal of WHS for development that has been stated by higher level organizations such as UNESCO. iii ACKNOWLEDGEMENT I would like to express my deep gratitude to Professor Yoshiaki Nishikawa, my main advisor, for his guidance, supervision, and support whilst undertaking this research. Professor Nishikawa has always encouraged me to keep my spirit high in times of difficulties during the course of my study. Special thanks also to Professor Yoshihiko Nishimura, who often through critical questions has helped me to improve my research and make it more meaningful. Professor Hiroshi Osada, who always provided supports in a special way. I found that although my interaction with Professor Osada was too short, I could always count on him for advice and guidance. In the later part of my three years in the doctoral program, I am honoured to have Professor Kimiaki Takahashi as one of my advisors. I thank him for the enlightening discussions about social research that has contributed to the improvement of this dissertation. I am also indebted to Assistant Professor Mark Rebuck for generous English proofreading and editing that have really improved my work. This research would not have been possible without the help of Ms. Titin Fatimah at Kyoto University and Dr. Amiluhur Soeroso and Dr. Laretna Adishakti of Gadjah Mada University for sharing invaluable information regarding the research site. Mr. Yunus Arbi and Ms. Winarni from the Directorate General of History and Archaeology, Ministry of Culture and Tourism, for allowing me to interview them. Mr. Marsis Sutopo from the Borobudur Heritage Conservation Institute. Mr. Masanori Nagaoka, Culture Programme Specialist, and his staff at the UNESCO Office, Jakarta. From the local government of Magelang Regency: Mr. Utoyo, the Secretary of Local Government; Mr. Wibowo Setyo Utomo, the Head of Tourism and Culture Office; Mr. Chairiel Wasthonny, Head of the Regional Planning Agency (BAPPEDA) and his staff, Mr. Pantjaraningtyas Putrato; and the staff at the Regional Income Office. I thank all of them for the time they spared me for the interview sessions and for all the secondary data they kindly provided me. From PT Taman Wisata Candi Borobudur, Prambanan, and Ratu Boko, I would like to thank Mr. Guntur Poernomo and Mr. Jamari, key staff during the period of 2008, and Ms. iv Retno Hardiasiwi, Personnel and General Affairs Director, member of the new board of directors in 2009. I am indebted to the people of Borobudur who welcomed me and was willing to participate in the surveys and focus group interviews. In particular, I would like to thank Hatta and Jack Priyana of JAKER (Borobudur Tourism Workers Association); Ian and everyone at the Candirejo Tourism Village Cooperatives; Mr. Maladi, Head of the Borobudur Village; and Wahyu, my research assistant during the surveys. I thank also the people who have helped me with logistic arrangement for the
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