K N O W L E D G E S H E E T 9 B | P R I VAT E  SU STA I NA BLE U SE O F RESOURCES KNOWLEDGE SHEET 9B | PRIVATE Preserving the coast of West Africa: How Can Your Private Company Help and Benefit? Engaging the Private Sector on Coastal and Marine Preservation tourist, agricultural, energy and oil industries. However, the importance of preserving these environments goes well • By the end of the century, with a mean tem- beyond the economic profits generated by key coastal perature rise of 4.1°C, the economic costs sectors as the effects of damaged ecosystems are felt are equivalent to just under 10 per cent of in many economic sectors including those that have no the continent’s GDP, if the coastal and marine obvious link to coastal activities. The lack of improved environments are not preserved and climate management for cleaner production and consumption change effects are not mitigated (PACJA patterns, illegal construction and pollution can accentuate 2009, page 5). the phenomena of erosion and natural coastal degradation. • African tourism creates a total of 20.5 million Faced with these challenges, the private sector can take jobs a 7.1% of the total employment on the action and preserve the local coastal environment while continent. In West Africa this figure is growing, contributing to sustainable economic growth. for example Côte d’Ivoire was the third most visited African country in 2013 representing a 24% rise on previous years (AfDB 2015, page Challenges 7). Coastal regions are the main draw for tourists, therefore if the coastal environment The private sector in the coastal regions of West Africa is is not preserved, this presents a significant facing a number of challenges directly linked to climate cost of lost opportunities. change. These challenges increase the economic costs to West Africa, and often result in rural populations being cut off from markets and services, with the associated harmful effects on rural income and welfare. As populations in West Africa grow and migrate to the urban areas of coastal regions, the coastal environments come The most economically important sectors in West Africa under increasing threat. The ecological and environmental are Agriculture (for instance Côte d’Ivoire and Ghana alone services offered by the coastal environment are essential account for about 60% of the world’s cocoa production; to support the increasing coastal communities and to Guinea-Bissau together with Côte d’Ivoire, Nigeria and maintain the vibrant and economically significant fishing, Senegal account for 40% of world cashew production) 1 K N O W L E D G E S H E E T 9 B | P R I VAT E  SU STA I NA BLE U SE O F RESOURCES Tourism and Entertainment (especially in Nigeria) (Arvanitis, is a disconnect between practice and research. Policy 2014). The main economic activities at the coastal region makers do not currently implement research findings and are: Agriculture, Fishing, Tourism and Oil Extraction. As recommendations into practice. can be seen, a lack of intervention in the protection of Private companies are also impeded by the low degree the coastal areas will have a dramatic impact on private development of West African financial markets, additionally sector organizations. few firms are established enough to take advantage of • Agriculture is the most vulnerable sector to climate external finance via stocks and bonds further underscoring change in West Africa. Aquifer and soil salinization the degree of the capital barriers suffered by national caused by water scarcity will impact significantly the private sector companies (Speck, 2013). agriculture sector. It is projected that the maize yield will be reduced by 7% by 2020 due to this phenom- enon. The projected 12-fold increase for the need for irrigated agriculture by 2050 as a result of climate Potential Solutions change and the increased population growth specifically The growth of West Africa’s national economies is now faster at the coastal region will have a significant negative than that of many economies in other regions of Africa. implication for crops and planting cycles (IPCC, 2014). West Africa is experiencing better savings rates, growing • Fisheries: It is estimated that an increase in ocean demand and a consolidation of capital markets. Foreign temperatures and illegal, unreported and overfishing direct investment has increased six-fold over the past will result in as much as a 50% reduction in revenue to decade and for the first time it is exceeding Development local fishing businesses (Africa Progress Panel, 2014). Assistance, generating a significant opportunity for private This will have a dramatic impact on the industry as the sector participation to promote a transition to green growth current total fishing production in West Africa equates and coastal preservation. Private entrepreneurs and the to USD$400 million per year (IPCC, 2014). youth can bring in a dynamic force for change, innovation and transformation of obsolete business models and to • Tourism: The World Tourism Organization (UNWTO) transform them from linear to circular economies especially acknowledges the enormous potential of the West at the coastal regions (AfDB, 2013). African coast for tourism arrivals, however the degra- dation of the West African coast, coupled with water For instance business model innovation in the agro- pollution and coastal and marine contamination through business sector in South Africa showcased how to address poor solid waste management have a direct impact the challenges faced by the fresh vegetable supply chain on tourism revenues as tourists avoid degraded areas of a local hotel. The hotel invested in the local community (UNWTO, 2011). Tourists for their part also add to this to supply fresh vegetables as opposed to importing them problem and therefore it is important to promote sustainable and ecological tourism internationally. Modified greenhouses were supplied and farmers were trained to produce vegetables using • Oil Extraction: Extracting hydrocarbons from coastal modern technology. Currently, almost all the lodges, areas has a significant environmental impact, but there hotels and supermarkets within the area of the local is also an economic risk in that West African economies community purchase their vegetables locally as opposed become wholly reliant on oil extraction. For example to international imports. Most of the children from the in Nigeria, a challenge to local companies is that the community are now enrolled in schools and farmers have majority (70%) of extraction activities are undertaken built or renovated their own houses (UNDP, 2012). by international companies (AfDB 2009). As a private company you can operate waste collection and treatment services. For instance the Private Public The Main Barriers to Private Sector Involvement Partnership in Cotonou, Benin, was initiated to calibrate, The majority of the private sector companies based in the protect and to clear the water drainage routes of the coastal areas of West Africa are hindered by poor access solid waste that built up. This has aided in mitigating the to financing and institutional barriers such as a lack of clear negative impacts on the environment and health risks policies and enforcement of coastal management laws. resulting from the blocked drainage systems caused mainly Over the years, there has been repetitive implementa- by illegal disposal of solid waste in the open draining tion of unsuccessful policies at the coastal regions which canals. The intervention has thus in turn created local results in weak advancement in private sector involvement employment while preserving the coastal environment in coastal preservation (AfDB, 2013). Additionally, there (Abdoul’Ganyi, 2012). 2 K N O W L E D G E S H E E T 9 B | P R I VAT E  SU STA I NA BLE U SE O F RESOURCES Engineering aspects can also be initiated at the coastal areas of West Africa by repairing and establishing “natural” recuperate the health of the environment and the ecosystem (known as blue/green engineering) through local community. A number of small private waste the rehabilitation and preservation of the beaches, dunes collection companies were thus set-up as they saw and mangrove forests so that they provide the adaptation an opportunity to be involved. These companies and protection to the local population and businesses. are operating in an open competition and work on The above interventions greatly aid the coastal tourist a willing-buyer willing-seller basis. The fees for the sector in West Africa, as preserving the environment services are tiered for low income (0.38 USD – 1 will allow tourists to return to or be enticed to visit a USD), medium income (1.5 USD – 2.5 USD) and certain coastal area. However, the tourist industry is high-income households (2.5 USD – 5 USD) per also presented with an opportunity to be sustainable month (Munala. and Moirongo, 2017) and provide ecotourism as this type of tourism provides Due to the implementation of private waste additional income for local communities through jobs as collection companies in Kisumu, the town has educators, guides, and artisans. reported the following advantages over a 2-year period: EXAMPLES OF BEST PRACTICE • Reduced waste generation (as they are now charged for the waste they produce to be collected) How private companies are improving • Recycling and reuse of waste waste collection services in towns bordering • Introduction and on-going development of Lake Victoria, Kenya. new technologies to treat and valorise waste In Kisumu, Kenya, more than 400 tons of waste is • Private Public Partnerships encouraged and generated on a daily basis, 60-65% of this waste functioning is organic in nature. The majority of the waste has traditionally been sent to landfill, but there As this example from Kisumu shows, the has only been 20% collection efficiency. Kisumu introduction of the private sector to a challenge reported high incidences of disease related to faced by the local community to preserve their uncollected waste in densely populated congested environment can bring not only economic benefits areas. As the town borders Lake Victoria, it was to companies and the local community, but it also imperative that the situation was improved to brings health and environmental benefits. 3 K N O W L E D G E S H E E T 9 B | P R I VAT E  SU STA I NA BLE U SE O F RESOURCES REFERENCES • Abdoul’Ganyi BACHABI, A.L.I.D.O.U., (2012). Cadre • Arvanitis (2014) Building commodity trade infra- de gestion environnementale et sociale (cges). structure in West Africa: bringing “price” back to its source. African Development Bank. https://www. • AfDB (2015). African Tourism Monitoring. Unlocking afdb.org/en/blogs/measuring-the-pulse-of-eco- Africa Tourism potential. Pp 8. https://www.afdb.org/ nomic-transformation-in-west-africa/post/ fileadmin/uploads/afdb/Documents/Publications/ building-commodity-trade-infrastructure-in-west- Africa_Tourism_Monitor_-_Unlocking_Africa’s_ Tourism_Potential_–_Vol_3_–_Issue_1.pdf africa-bringing-price-back-to-its-source-13320/ • AfDB (2009). Oil and Gas in Africa. https://www. • IPPC, 2014. Climate Change (2014). Impacts, afdb.org/fileadmin/uploads/afdb/Documents/ Adaptation and Vulnerability: Regional Aspects. Publications/Oil%20and%20Gas%20in%20Africa.pdf Cambridge University Press. • AfDB (2013). Accompagner la transformation • Munala, G. and Moirongo, B.O., 2017. The need for an du secteur privé en Afrique . https://www.afdb. integrated solid waste management in Kisumu, Kenya. org/fileadmin/uploads/afdb/Documents/Policy- Documents/2013-2017_-_Stratégie_de_dévelop- • Pan African Climate Justice Alliance. 2009. The pement_du_secteur_privé.pdf Economic Cost of Climate Change in Africa. Retrieved 2017 (http://www.christianaid.org.uk/images/eco- • Africa Progress Panel (2014) Grain, fish, money: financing Africa’s green and blue revolutions. Africa nomic-cost-of-climate-change-in-africa.pdf). Page 5. Progress Report 2014. • UNDP, (2012). The roles and opportunities for the • Seck, D., (2014). Private Sector Development in West private sector in Africa’s Agro-food Industry, United Africa. Springer. Nations Development Program. The West Africa Coastal Areas Management Program (WACA) is a convening platform that aims to assist West African countries to sustainably manage their coastal areas and enhance socio-economic resilience to the effects of climate change. The program also seeks to facilitate access to technical expertise and financial resources for participating countries. www.worldbank.org/waca 4