The role of NGO’s in facilitating tourism concessions and providing support to communities entering

joint-venture agreements Technical workshop on concessioning and

investment in TFCA’s 1 September 2014

Steve Collins

Chemucane, Maputo Special Reserve - www.anvilbay.com

The African Safari Foundation • Established in 2005 – outcome of TRANSFORM

• Work in Namibia, Mozambique and South Africa

• Not-for-profit organisation

• Offer a loan facility for community equity in joint ventures through the Ford Foundation

• Facilitated over 25 projects where community have land or ecotourism rights – CAPEX of $43 Million

– Local wage income of $ 3 Million per year

– Lease income to community organisations of $3 Million

Benefits of inclusive Tourism development

• Community buy-in and support of conservation • Income for biodiversity protection • Community tenure rights can be clarified • Increase local income

– Jobs • Construction • Ongoing wages

– Local procurement

• Build skills • Stimulate social investment in rural areas

– Clean water – Energy – Education

Partnerships based on clear rights and honesty are needed for a successful CPPP

Conservation STATE

Ecotourism PRIVATE

Social Development COMMUNITY

NGO

NG

O

An inclusive forum brings it together

Partnership models • Operate – Transfer

– Community own rights and infrastructure – Private sector tourism operator

• Build – Operate – Transfer – Community own rights – Private sector funds infrastructure, operates for a set period – Community own improvements after contract

• Joint Venture Operation – Community own rights – Community leases opportunity PLUS – Community is a shareholder in the operating company.

• Community built - Management contract – Community builds using grant and loan finance and has a

management contract with private sector

Grootberg community owned lodge, Namibia

Agreements can put community at the centre

Government of Mozambique

Ahi Zameni Chemucane Association

25yr

CTC Joint Venture 40% AZC - 60% Bell

$2.5 million

50yr

Lease fee Community Levy Loan repayments

Dividends

Concession fees Taxes

$500 000 W B Grant $500 000 ASF loan

Community Investments

Returns / Benefit

AZC community association receive $500 000 from WB/Government

Typical Project Timing is 6 years to Opening

• Concession tendering 2008/9

• Negotiate Agreement 2010

• EIA, Joint Venture establishment 2011/12

• Construction 2012/13

• Opening Feb 2015

The Role of NGO’s Advise the community, private sector and

government during the process

Facilitate a fair and workable partnership model

Access social development investment

Empower the Community to be real partners

Monitor the agreements and social impact both positive and negative

Be available to mediate if there are problems

Road map to maximise social development

Establish an agreed status quo baseline Have a social development plan with clear

priorities and assigned roles Let the community organisation guide and take

ownership of the interventions Monitor impact at household level Have a gender sensitive approach Understand social development takes time Have realistic expectations Honest and supportive private sector

Useful websites

• www.asl-foundation.org • www.nasco.org.na

THANK YOU stevecollins@iafrica.com

+27828086255