INVESTMENT IN TRANSFRONTIER

CONSERVATION AREAS (TFCAs)

SETTING THE SCENE

01 September 2014

DEFINITIONS

Transfrontier Conservation Area (TFCA)

An area straddling across two or more international

borders where the natural and cultural resources are

collaboratively managed by the Governments and/or

Authorities involved.

Transfrontier Park (TFP)

An area where two or more protected areas are adjoined and

collaboratively managed across the international borders

The terms are used interchangeably with TFCAs being the

common one

WHY TFCAs?

International boundaries were set without taking into

consideration the ecosystem boundaries as a result they

have had the effect of:

• Dissecting natural ecosystems into unsustainable

components which are restrictive to the movement of

wildlife and tourists; and

• Compromising the well-being and resilience of

ecosystems due to incompatible management systems

across the borders

TFCAs and TFPs are designed to bring the effect of

restoring these ecosystems and their functions as well as

enabling the free movement of wildlife and tourists.

OBJECTIVES OF TFCAs

ECOLOGICAL

Promote trans-national

collaboration in the

management of shared

ecosystems in the process

securing the integrity of the

region’s major ecosystems

Re-establish ecological

functions such seasonal

migration routes for wildlife

and habitat connectivity

Create an enabling

environment for dealing with

issues of transboundary

significance (pollution, AIS,

Wildlife Crimes, Fires etc)

GOVERNANCE

Deepening

regional

integration and

cooperation

Promote peace

and harmony

Enhance Law

Enforcement

SOCIO-ECONOMIC

Promote growth of the

tourism sector specifically

cross-border tourism

Create employment in

geographically remote areas

with limited employment

opportunities thereby

serving as nodes for rural

development (tourism

related SMMEs)

Promote cultural linkages

between countries in the

region. People are often

linked across borders by

kinship, language and

culture

TFCAs IN SADC REGION

• Development of TFCAs started in 1999 with the

establishment of Kgalagadi Tranfrontier Park (Botswana

and South Africa)

• Since then significant strides have been made across the

region to establish additional TFCAs.

• Currently there are 18 TFCAs across SADC region that

are in different stages of development.

• The legal foundation for the establishment, development

and management of TFCAs is the SADC Protocol on

Wildlife and Law Enforcement Article 4(f). All

international agreements establishing the TFCAs are

based on that Protocol

•

TFCAs IN SADC REGION

TOURISM DEVELOPMENT IN TFCAs

In addition to conservation, TFCA Programme is promoting

development of tourism in TFCAs. Why?

• Tourism is a prominent ecosystem service of

conservation areas and point of convergence between

the economy and environment.

• Key and well known tourist destinations in the region are

located in TFCAs therefore efforts to coordinate

conservation across boundaries are being

complemented by initiatives to boost tourist arrivals.

• TFCAs are located in rural areas often surrounded by

disenfranchised communities with limited employment

opportunities. Tourism development, investment and

rehabilitation of ecosystems in TFCAs contribute to

poverty reduction in these areas

•

FOUNDATION FOR TOURISM IN TFCAs

• TFCAs are about looking after the natural and cultural

attractions that create the basis for tourism development

• Diverse Fauna and Flora, vast landscapes, rivers,

mountains, oceans, sand dunes, canyons (Key and well

known destinations in the region are located in TFCAs)

• Rich and diverse cultural heritage e.g. historical sites

depicting early civilization and art

• Geographical overlap between TFCAs and World

Heritage Sites. Combining TFCAs and WHS elements,

where applicable, will add value to tourism products in

the region.

•

FOUNDATION FOR TOURISM IN TFCAs

• They offer multiple destination experiences that are

favoured by long-haul visitors

• Increasing demand sustainable tourism products. TFCAs

are about conservation and all development activities in

TFCAs are required to embrace sustainable practices in

order to support the economy while maintaining the

integrity of resource base.

•

INVESTMENT IN TFCAs

Development Challenge:

Lack of investments in tourism facilities and supporting

infrastructure has been identified as a major barrier to tourism

growth in the SADC region.

Root Causes:

• Limited awareness among the investor community about

tourism investment opportunities in the region; and

• Lack of packaged and ready-to-go investment projects.

Investment and infrastructure development is one of key

priorities of the TFCA Programme

•

INVESTMENT IN TFCAs

Investment and infrastructure programme for TFCAs

Goal: To improve the supply and quality of tourism

experiences and complementary services in TFCAs

Objective: To increase investment in tourist facilities and

supporting infrastructure in order to enhance tourism

attractiveness of TFCAs.

•

INVESTMENT IN TFCAs

Approach

• Identify and package investment projects in TFCAs (51

projects packaged);

• Identify potential investors and generate their interest;

• Introduction of projects: Investment promotion process to

raise awareness among potential investors about available

projects;

• Facilitating linkages and engagement between the

investors and project owners/authorities;

• Source funding to support the implementation of projects

(financial institutions, public, private, PPP); and

• Monitoring and evaluation

• 11 projects valued at USD 25 Mil have secured investors

•

INVESTMENT IN TFCAs

Development of supporting Infrastructure

• Identify critical infrastructure projects in TFCAs

• Inclusion of infrastructure projects in TFCAs into SADC

Regional Infrastructure Development Master Plan (RIDMP)

to elevate fund raising efforts. The tourism chapter of

RIDMP focuses on infrastructure development in TFCAs

• Projects promoted at the SADC Infrastructure Investment

Conference in June 2013 and have been included in the

EDF 11.

• RIDMP is complementing on-going infrastructure

development efforts for TFCAs

•

INVESTMENT IN TFCAs

Lessons Learned

• Investment projects in TFCAs fall under a distinct niche

within the broader Tourism Hospitality Investment

Promotion portfolio (safari sub-sector).

Unique features of projects in TFCAs:

• Size: Most projects are relatively small size (safari

lodges) making them less attractive to investors

• Geographical location: Remote areas presenting access

and logistical challenges

• Strict environmental requirements as projects are

located in ecologically sensitive areas

•

INVESTMENT IN TFCAs

Lessons Learned (cont.)

• Local/regional investors are more likely to invest in TFCAs:

They are familiar with the landscape; and understand the

needs and challenges of operating in this sub-sector.

• Infrastructure projects are capital intensive - difficult to

raise funds for their development

Conclusion: Need to find a formula/recipe bespoke of

investment projects in TFCAs taking into consideration these

lessons, as well as relevant experiences and best practices

from Southern Africa and elsewhere

•

THE WORKSHOP

Objectives

• Share experiences with regards to investment in tourism

related accommodation establishments in Protected Areas

(market trends, barriers, incentives, financing mechanisms,

strategic partnerships, business/investment models, salient

features of successful projects)

• Brainstorm on concrete investment options/strategies and

contribute to the process of developing the investment

roadmap (identify logical steps to be followed and

implementable actions aimed at increasing investment in

TFCAs).

• Contribute to the development of guidelines for tourism

concession and investment in TFCAs

•

THE WORKSHOP

Participants

Government Institutions, Private Sector, Financing

Institutions, Protected Area Managers (responsible for

commercial activities), TFCA Practitioners and relevant

Communities

Partnerships

• SADC Secretariat

• GIZ Transboundary Use and Protection of Natural

Resources Programme

• Boundless Southern Africa

;

•

THANK YOU