the project: Economic valuation
We have a pretty clear idea of what ravages can be made by bleaching on corals. But what about the impact on the people of Bali Barat National Park and their economy?
This question is driving a vital part of WWF's efforts in Bali Barat: an assessment of the direct and indirect benefits which communities around the National Park obtain from coral reef ecosystem.
With the results in hand, WWF intends to make a case to local and central governments for methods of sustainable natural resource use and the conservation of the reefs.
Coral reef ecosystems have many benefits that directly or indirectly contribute to the social and economic welfare of people. Two industries relatively directly impacted by a coral bleaching event are thought to be a) the coastal capture fishery industry, especially of food fish that live in the reef ecosystem (such as groupers) and of ornamental fish and hard corals, and b) the recreational diving and snorkeling industry.
The Bali Barat study will develop several indicators related to these two industries, which will tell us how local communities derive benefits from the reef ecosystem, and how these benefits might be impacted by a bleaching event.
The geographic scope of the research is the area surrounding Bali Barat National Park where local communities live: four villages in Buleleng Regency and two in Jembrana Regency (in Bali Province) and two villages in Banyuwangi Regency (in East Java Province).
These communities are on the receiving end of the ecological services provided by the Park: the habitat services for reef fish and reef wildlife, and the underwater scenery which attracts divers and snorkelers to the area.
Specialists from the Economics Laboratory of the University of Indonesia will collect three categories of information:
- the socioeconomic profile of households. This data will be used to describe how households depend on reef-related activities both for their own consumption, for earning money, and as a source of employment; what percentage of the community have alternative sources of livelihoods; their perception of environmental quality and resource management; and the current basic demographic and economic profile.
- the profile of the area's coastal capture fishery. This describes the average behavior of fishermen, the type of gear used, the composition of the fish catch and its' volume, and the cost of catching fish.
- The profile of the area's tourism industry, including recreational diving and snorkeling. This data will describe tourists’ preference for Bali Barat sites, factors affecting their enjoyment of the visit, and the level of their willingness to pay to come to these sites. Data will also be collected on the tourism service providers (e.g. hotels, restaurants, crafts, etc), especially those catering to divers and snorkelers.
What the data will tell
So we have three information categories making up the baseline information of the services provided by the Bali Barat coral reef ecosystem. With this baseline data, should a severe mass coral bleaching event occur (such as the one in 1998), WWF will be able to assess its socioeconomic and ecological impacts.
Naturally, it's important to continue with the regular monitoring of key indicators, so that we can distinguish the actual impact of mass bleaching with regard to other external changes.
The baseline data will also be used to quantify in monetary terms the benefits of the ecological service provided by the reef ecosystem. Scenarios will also be explored, for example simulating what happens to these benefits should a mass bleaching occur.
Finally, a list of indicators of social resilience (how the local people adapt to changes) will be developed, for example when facing an external event such as severe mass coral bleaching.
Bali Barat should provide an interesting case study for assessing the socio-economic impacts of mass coral bleaching, since the area is intensively used for reef-related goods and services, i.e. dive-related tourism, aquarium fishery and reef-dwelling consumption fish capture.
