Pacific Region Environmental Strategy 2005–2009 Volume 1I: Case Studies Mainstreaming the Environment in Development Planning and Management -@EJA@>O Daniele Ponzi David S. McCauley Lope A. Calanog Asian Development Bank ii © Asian Development Bank All rights reserved First published in April 2004 This publication was prepared by consultants of the Asian Development Bank (ADB). The findings, interpretations, and conclusions expressed here do not necessarily represent the views of ADB or those of its member governments. ADB does not guarantee accuracy of the data included in this publication and accepts no responsibility whatsoever for any consequences of their use. Asian Development Bank P.O. Box 789, 0980 Manila, Philippines Website: http://www.adb.org Photo credits: James T. Berdach, Edy Brotoisworo, Lope A. Calanog, Rollie del Rosario, Marcia Samson, Richard S. Stevenson, WWF-SPP Pacific Studies Series The publication is part of a series published by ADB to provide the governments of its Pacific developing member countries with analyses of economic and other issues. The studies are expected to shed light on the problems facing governments and people in the Pacific islands, and to suggest development strategies that combine both political and technical feasibility. Pacific Region Environmental Strategy 2005-2009 Executive Summary (January 2004) Pacific Region Environmental Strategy 2005-2009 Volume 1: Strategy Document (January 2004) Swimming Against the Tide? An Assessment of the Private Sector in the Pacific (2004) While Stocks Last: The Live Reef Food Fish Trade (2003) Moving Toward a Sector-Wide Approach: Papua New Guinea–The Health Sector Development Program Experience (August 2003) Information and Communication Technology for Development in the Pacific (2003) Cook Islands 2001 Economic Report: Policies for Progress (December 2002) Tuvalu 2002 Economic and Public Sector Review (November 2002) Kiribati Monetization in an Atoll Society (Managing Economic and Social Change) (December 2002) Vanuatu: Policy Issues in the Agriculture, Fisheries, and Forestry Sectors (May 2002) Vanuatu: Economic Performance and Challenges Ahead (April 2002) Tonga: Natural Resources Use and Sustainable Socioeconomic Development (April 2002) The Contribution of Fisheries to the Economies of Pacific Island Countries (December 2001) Financial Sector Development In Pacific Island Economies Vol. 2 (September 2001) Financial Sector Development In Pacific Island Economies Vol. 1 (September 2001) Marshall Islands: Economic Report 2000 (June 2001) Vanuatu: Agriculture and Fisheries Sector Review 2000 (April 2001) Tuna: A Key Economic Resource in the Pacific Islands (March 2001) Samoa 2000 – Building on Recent Reforms (November 2000) Republic of the Fiji Islands: 1999 Economic Report (April 2000) Pursuing Economic Reform in the Pacific (October 1999) Reforms in the Pacific: An Assessment of the ADB’s Assistance for Reform Programs in the Pacific (October 1999) Solomon Islands: 1997 Economic Report (August 1998) Improving Growth Prospects in the Pacific (March 1998) Kiribati: 1997 Economic Report (March 1998) Tuvalu: 1997 Economic Report (February 1998) A Different Kind of Voyage: Development and Dependence in the Pacific Islands (February 1998) Sociocultural Issues and Economic Development in the Pacific Islands – Vol. II (November 1997) Marshall Islands: 1996 Economic Report (June 1997) Vanuatu: Economic Performance, Policy and Reform Issues (May 1997) Pacific’s Tuna: The Challenge of Investing in Growth (April 1997) Federated States of Micronesia: 1996 Economic Report (March 1997) Fiji: Agriculture Sector Review: A Strategy for Growth and Diversification (July 1996) Tonga: Economic Performance and Selected Development Issues (June 1996) Sociocultural Issues and Economic Development in the Pacific Islands (April 1996) Strategy for the Pacific: Policies and Programs for Sustainable Growth (March 1996) Cook Islands: Economic Performance, Issues, and Strategies (July 1995) Human Resource Development: Small Pacific Island Countries (March 1995) Copies of these reports are available from the Office of External Relations, Asian Development Bank, P.O. Box 789, 0980 Manila, Philippines. E-mail:[email protected], Fax No. (632) 636-2648 iii ABOUT THE EDITORS Daniele Ponzi is Principal Environment Specialist, Environment and Social Safeguard Division, Regional and Sustainable Development Department, Asian Development Bank (ADB). Mr. Ponzi has 20 years’ work experience as staff and consultant for various international organizations, including ADB, the United Nations Environment Programme (UNEP) and the Organisation for Economic Co-operation and Development (OECD). He has worked in Europe, Asia, and Africa and his expertise is in environmental policy, planning and management; rural development; energy policy; and water resources management. With undergraduate training in Economics, Mr. Ponzi holds a master’s degree in Environmental Policy and Management. His e-mail is [email protected]. David S. McCauley is an environmental economist and policy expert with long experience in Asia and the Pacific. A frequent consultant and advisor to international agencies such as ADB and to Asia-Pacific government and nongovern- ment bodies, he is Adjunct Senior Fellow at the East-West Center in Honolulu, Hawaii and Affiliate Graduate Faculty at the University of Hawaii, Department of Natural Resources and Environmental Management. Dr. McCauley’s undergraduate training was in the environmental sciences, and he holds a PhD in Agricultural and Resource Economics from the Univer- sity of Hawaii. He may be contacted at [email protected]. Lope A. Calanog is a science research specialist of the Department of Environment and Natural Resources (DENR), Philippines. His field of expertise on sociodemographic studies, community-based forestry and natural resources man- agement, biodiversity conservation, and protected area management. He has worked as consultant to various multilat- eral organizations, foremost of which are the European Union, through the EU-DENR funded project “National Integrated Protected Areas Programme” as National Director; and ADB, as Environment Specialist of the Regional Technical Assis- tance—Pacific Region Environmental Strategy. He holds a PhD in Community Development/Social Forestry from the University of the Philippines and may be contacted at [email protected]. PACIFIC REGION ENVIRONMENTAL STRATEGY 2005–2009 VOLUME 2 iv v CONTENTS Tables Figures Boxes Abbreviations Foreword 1 Introduction: Toward Environmental Mainstreaming Threats to the Pacific Environment Toward Environmental Mainstreaming ADB’s Pacific Region Environmental Strategy The Case Studies Rationale for Conducting the Case Studies Summary of the Cases Conclusion 9 The Funafuti Conservation Area, Funafuti Atoll, Tuvalu: Drawing Lessons for Future Marine Conservation Planning and Manage- ment 11 Executive Summary 15 Introduction 15 Broader Context: Marine Protected Areas as a Management Tool 16 Description of the Funafuti Conservation Area Project 16 Background 17 Objectives of the FCA 17 Biophysical Characteristics of the Funafuti Conservation Area 19 Project Initiation and Management Framework 19 The Case Study 19 Background and Rationale of the Case Study 20 Case Study Methodology 21 Major Findings 21 Overall Evaluation of the Performance of the FCA Project 21 Performance of the FCA Project, by Component 30 Lessons Learned 30 General Lessons Learned From Marine Protected Areas 31 Lessons from the Funafuti Conservation Area 32 Costs and Expected Benefits of Management 34 Recommendations 34 Strengthening the FCA Project PACIFIC REGION ENVIRONMENTAL STRATEGY 2005–2009 VOLUME 2 vi 40 Replicating the FCA Model 41 Mainstreaming Environmental Concerns in the Development Process 43 Implementing the Recommendations 43 Implications Beyond the Region 45 References 47 Appendixes 67 Strategic Environmental Assessment of Fiji Islands National Tourism Plan 69 Executive Summary 73 Rationale of the Case Study 73 The Case Study 73 Objective and Scope 73 The Project Team 74 Consultation and Partnerships 74 Application of the Findings 75 The Methodology 75 Strategic Environmental Assessment 75 Critical Elements of an SEA 76 The SEA Process 76 Major Findings and Analysis 76 Relevant Plans and Programs 76 The Tourism Development Plan 80 Objectives 80 Objectives, Indicators, and Targets 83 Environmental, Social, and Economic Baseline 83 Overview of the Fiji Islands 83 State of the Environment 88 Conclusions: Environmental Impacts of Tourism Development 88 Socioeconomic Trends and Pressures 92 Uncertainties in the Practicability of Strong Growth 94 Conclusions and Issues 95 Assessing the Impact of the Tourism Development Plan 95 Sustainable Options for Dealing with Key Issues 108 Conclusions and Recommendations 108 Main Findings 108 Adopting a Cautionary Approach to Tourism Development 111 Lessons Learned 111 Usefulness of the SEA as a Tool 111 Adaptation of SEA to the South Pacific Context vii 113 Management of the SEA Process 114 Overall Lessons 115 References 119 Appendixes 131 The Integration of Traditional and Modern Systems of Environ- mental Management: Public-Private Partnerships in Natural Re- source Management and Tourism Development in the State of Yap, Federated States of Micronesia 133 Executive Summary 139 Background and Rationale of the Study 140 The Study 140 Objective and Scope 140 Methodology and Implementation 141 Issues 142 Findings and Analysis 142 Background and Observations 148 Natural