Eric White, Integra LLC’s Lead Economist and Managing Associate, will join a panel next Wednesday, May 15th at the World Bank Info Shop. At the event, entitled“Breaking the Rural – Urban Divide”, panelists will be discussing two books released by the World Bank Press; Structural Transformation and Rural Change Revisited and Financing Africa’s Cities. As a co-author of the former, Mr. White will take part in a discussion about the structural transformation process, from both a rural and urban perspective.

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This past January the  Communications Commission of Kenya (CCK) presented the draft of their National Broadband Strategy for public review. The strategy outlines a comprehensive plan for bringing communications services and ICT business development to all of Kenya. Expected to cost US$ 2.4 billion, 70% is budgeted for national infrastructure while the remainder will be used for capacity building and content development. Funding will be a combination of public and private sources and will include accessing Kenya’s capital markets. Read more …

USAID Report

A key recommendation by a USAID report that was released in June and titled “Emerging Technology and Practice for Conservation Communications in Africa” is for international development agencies to institutionalize good practice in the use of ICTs for Conservation. The report noted that while the conservation community has a wealth of experience in harnessing ICTs and communications among its many members, the distribution of this expertise is uneven.

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Jonathan Malagon speaks at a February Compartel Broadband Strategy event

Jonathan Malagon, (fmr) Director of Compartel, speaks at a February Compartel Broadband Strategy event

On October 23 Integra wrapped up its technical assistance in Colombia, with the presentation of a strategic plan for Compartel, a telecommunications organization under the direction of the Ministry of Information and Communications Technology (MINTIC). The “Broadband Strategic Plan: 2013-2017” (below, in Spanish), was developed by Compartel in collaboration with Integra’s consultants working under USAID’s Global Broadband and Innovations program (GBI). The project also falls under the Broadband Partnership of the Americas, an initiative announced by President Obama while he was in Colombia in April 2011.

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According to a United Nations Environmental Programme –International Water Management Institute report, “An Ecosystems Approach to Water and Food Security”, ecosystem services should be incorporated into food security efforts, as should the proper incentives needed to involve local members of the community.  In part three of our Ecosystem Services series, we take a look at how ecosystems can be better managed and maintained, to play a vital role in nourishing communities around the world. 

As the global population approaches 8 billion people, it will become increasingly difficult to provide a steady supply of food, let alone at a price point the majority of people can afford. In this respect, ecosystems perform a vital function by producing food and providing access to water, thereby increasing food security for communities around the world. For example, it is estimated that a mangrove can yield an annual harvest per hectare of 220 lbs of fish, 44 lbs of shrimp, 33 lbs of crabmeat, 440 lbs of mollusk and 88 lbs of sea cucumber. With food prices predicted to rise an additional 30-50% over the next several decades, ecosystem-provisioning services will be heavily relied upon, particularly in areas of poverty.

In addition to the increased demand on food supply, climate change also has the potential to significantly impact an ecosystem’s ability to produce food, regulate water, and irrigate land (among other functions). Given the provisioning and regulating services ecosystems perform, it is crucial that agricultural areas in particular are managed and maintained to increase resilience and reduce vulnerability to climate change. For example, small-scale rainwater harvesting in Tanzania has improved agricultural production, and increased the water soil capacity, reducing vulnerability to dry spells. When correctly managed, ecosystems have the ability to resist drought and help prepare for water and food shortages that may occur throughout the year.

The Jordan Valley Permaculture Pilot Project, before and after pictures of when the project began, six months later, and three years later (2003(

Jordan Valley Permaculture Pilot Project: start date, 6 months later, three years later
Photo credit: ProAct (2008)

One example of a natural resource management approach to improving ecosystem services is the Jordan Valley Permaculture Project, implemented by the Permaculture Research Institute of Australia. Established in 2008, the project aimed to increase food and water production in the Jordan Valley by rehabilitating the land, known for month-long droughts ranging up to 122 degrees Fahrenheit. In order to improve the health of the ecosystem, a swale system, or land contouring system, was used to help the land trap water in the soil during the winter months to be used during summer droughts. Drought and salt resistant crops were also planted to better trap water in the soil. Using this system over 10 acres of land, the project was able to increase freshwater sources and overall food production. This can act as an important lesson in natural resource management, particularly for dry lands, which support one-third of the global population, up to 44 percent of the world’s cultivated systems, and approximately 50 percent of the world’s livestock.

Not only are ecosystems a vital source of food and water, but for poor and rural populations in particular, they are also a crucial source of income. Better-managed fisheries for example, can increase revenue by improving the fish supply. Water regulation is also very important, to enhance food production and provide water for livestock, fish farms, etc. Whether a community’s food supply is mainly a source of nourishment or a source of income, the livelihood of that population is greatly dependent on a given ecosystem’s ability to function properly. It is therefore very important that community members, farmers and fishermen, are also kept informed about natural resource management tools they can utilize.

As the world continues to rely on the provisioning and regulating services ecosystems provide, it will become increasingly important to ensure the health of ecosystems, and control for environmental degradation wherever possible. Environmental policy tools such as payment for ecosystem services, and economic valuation strategies can assist in this effort by making it easier to provide incentives for this purpose. In the forth blog of our Ecosystem Services series, we will look into how ICTs can help support such policies, involving a variety of players from corporate leaders to local farmers, in natural resource management.

Stay tuned next week for the final blog of our Ecosystem Services series, “ICT for Ecosystem Management and Environmental Policy”.

Red Cross volunteers monitor the growth of mangroves in Vietnam to reduce the effects of typhoons and large waves

Red Cross volunteers monitor the growth of mangroves in Vietnam to reduce the effects of typhoons and large waves. Photo credit: IFRC

Healthy ecosystems and the services they provide help reduce a community’s risk to natural disaster. Conversely, poorly functioning ecosystems increase this risk, ridding a community of its natural protective barriers. As part two of our Ecosystem Services Series, we’ll be taking a look at the role ecosystem services can play in disaster risk reduction (DRR).

Ecosystem services such as flood regulation for example, have the potential to reduce risk in a variety of natural disasters. For example, mangroves have the ability to reduce wave energy of tsunamis up to 70%, and off-short drift and sedimentation help create barrier islands to provide protection for coastal communities. Most ecosystem services for DRR belong to the category of regulatory services, and are greatly impacted environmental degradation. Accordingly, it is important that ecosystems be managed properly, to increase the level of protection they are able to provide.

In addition to their DRR-related benefits, ecosystem services are also a cost-efficient alternative to hard-engineering solutions for natural resource management. China for example, spent $3.15 billion in flood control over the course of four years, avoiding $12 billion that would have incurred otherwise.  Similarly, forests also provide an array of ecosystem services with large economic benefits, particularly in avalanche-prone areas. It is estimated that by breaking up snow cover and preventing wind-blow drifts, approximately $100 per hectare per year is saved in areas of open land, while more than $170,000 per hectare per year is saved in areas with valuable assets.

The Coastal Community Resilience (CCR) Initiative exemplifies a DRR program that incorporates both ecosystem services and natural resource management. Implemented throughout the Indian Ocean region, CCR takes a collaborative approach to build resilience to disaster, across the environment and coastal management sectors, involving both government and civil society organizations.  It is also important to involve members of a given community, since the majority of environmental degradation results from human actions. Processes such as deforestation or grazing for example, decrease an ecosystem’s ability to perform regulating services efficiently, thereby increasing a community’s risk for disaster. Poorer communities are often more vulnerable to disaster, as their livelihoods depend on many of the other services ecosystems provide, such as food production and income generation. In this respect, natural resource management can play a crucial role in preserving ecosystems, ensuring their functionality for DRR.

Given the amount of damage and loss of life caused by natural disasters, it is important to recognize both the social and fiscal benefits of ecosystem services for DRR. This is not to imply that ecosystem services alone can sufficiently protect against natural disasters, as a combination of hard and soft engineering is most likely also necessary to build up adequate resilience. Areas of natural resource management such as biodiversity conservation and proper land management are also necessary to sustain the quality of life within an ecosystem. It is therefore important that policy officials and community members are informed of the benefits ecosystems have the potential to supply. With the proper knowledge and plan of action, ecosystems can be sustained to better defend populations from disaster worldwide.

Stay tuned next week for the third blog of our Ecosystem Services series, “Natural Resource Management for Increased Food Security”.

The four categories of ecosystem services, and examples of those services, as defined by the Millennium Ecosystem Assessment, 2005.

Ecosystem Services: Categories and Examples

According to the Millennium Ecosystem Assessment, ecosystem services are defined as the benefits people obtain from ecosystems, split into four categories of provisioning, supporting, regulating and cultural services. Because they are so beneficial in a variety of ways, the international community has begun to monitor and monetize these services, in addition to advocating for environmental sustainability.

Each category of ecosystem services provides a certain type of benefit to the global population.

  • Provisioning services are often described as ecosystem goods, and refer to benefits such as food production.
  • Supporting services are services that enable other categories to work, including but not limited to nutrient production and habitat provision.
  • Regulatory services, such as carbon storing, are processes often considered to be public goods, and are perhaps the most difficult to measure.
  • Lastly; cultural services refer to social aspects of the ecosystem, such as the services sacred land provides and eco-tourism.

As climate change increasingly warrants international attention, a system that measures and monitors the benefits of ecosystem services will prove to be more necessary than ever before. In addition to having a set measurable indicators, it will also be valuable to monetize these services for both the public and private sector.  Fortunately, some of the information and technology needed to perform these functions are already in development. The US Department of Agriculture for example, recently launched Comet 2.0, a web-based tool to help farmers estimate farm-specific carbon sequestrations and net greenhouse gas emissions from soils, biomass, annual crops, and fossil fuel usage.  Another tool, the i-Tree, allows municipalities to monetize the value of urban trees, and is used in over 6,000 communities worldwide for city planning initiatives.

Recognizing the monetary value of ecosystem services, the private sector has also begun to show their commitment to the environment as part of an overall business strategy. This past June at the Rio+20 Summit, 24 global Fortune 500 companies including Coca-Cola, Dell, General Motors and Xerox, released a report called The New Business Imperative: Valuing Natural Capital. The report, sponsored by the Corporate Eco Forum and The Nature Conservancy, urges businesses to recognize how their companies are dependent on ecosystem services in a range of areas, from supply chain to cost savings.  Complete with a commitment from each company involved, the report estimated the world’s ecosystem contributes about $72 trillion in goods and services per year to the global economy.

While ecosystem services may be a relatively new topic on the environmental agenda, the momentum behind the discussion is building. In fact in February 2012, the UN Statistical Commission recently approved the System for Environmental-Economic Accounts (SEEA) to account for material natural resources in a nation’s economy. It should be noted however, that an internationally accepted method of accounting for ecosystem services, as opposed to goods and materials, does not currently exist.

Because this is an increasingly important topic with a potential impact on Environmental Natural Resource Management (ENRM), we’ll be taking an in-depth look at ecosystem services in the areas of disaster risk reduction, food security, health and technology. Each week, we’ll look at specific areas of ecosystem services and how they fit into the larger development picture.

 

First Quarter, 2012 State of the Internet Report from Akamai

Photo Credit: Akamai http://www.akamai.com/stateoftheinternet/

The broadband revolution is proceeding apace across the globe as internet speed and adoption have increased at faster paces.  The Akamai company recently released its First Quarter, 2012 State of the Internet report which discusses important global broadband statistics like internet penetration rates, mobile connection speeds, regional and global connection speeds, and broadband adoption among many others.  The report, in addition to providing invaluable insight into global trends in broadband, also underscores the role broadband and mobile technologies can play in the future of development.

Thanks to an ever-increasing demand for connectivity in both developed and emerging economies the world has seen a dramatic rise.  Broadband speed has increased to such an extend that Akamai has redefined what it calls “high-broadband.”  Previously, any connection at speeds of 2Mbps or higher was defined as broadband, but now Akamai will consider connections of 4Mbps has broadband and connections of 10Mbps has high broadband.

For the first quarter of 2012, the report points out a series of trends:

  • A 6 percent global increase in the number of unique IP addresses to over 666 million in between fourth quarter 2011
  • A global average of peak connection speed of 13.5 Mbps
  • A global average connection speed of 2.6Mbps
  • A global average mobile connection speed range between 32.2 Mbps and 2.2 Mbps
  • A doubling in global mobile data traffic between the first quarters of 2011 and 2012
  • A global increase in adoption of high broadband
These statistics are certainly promising, especially when considered within the context of the increasingly important role broadband and mobile broadband can play in process of development.  The global doubling of mobile broadband certainly lends itself to the existing forecasts of the increasing prominence and importance of smartphones in many developing countries as price wars continue to drive down device prices.  All this, when added with the World Bank’s recent Maximizing Mobile report on  harnessing mobile for development, adds up to a future full of potential, fueled by broadband.
As we move forward it is important that we remember these technologies are only as good as their connection.  Many developing countries still have a pronounced rural/urban digital divide in both access and connectivity.  If the potential of these technologies can be fully realized, it is crucial that policy makers commit reducing these gaps.

 

Photo Credit: The Economist

I participated in a very informative event this week in Washington DC where a researcher was sharing his experience on “Weather-Index based Crop Insurance for Smallholder Farmers in Ethiopia”. As I listened to the discussion as an agricultural information specialist, my concern was what is the role of mobile technologies in this?

According to the researcher, Dr. Shukri Ahmed a Senior Economist, Food and Agriculture Organization (FAO), the concept of crop insurance has a long history from Asia with the leadership of India. However, due to the challenges associated with insurance in general and access to credit to smallholder farmers, the idea somehow waned. But according to Index Insurance Innovation Initiative (I4), there is overwhelming evidence that uninsured risk can drive people into poverty and destitution, especially those in low-wealth agricultural and pastoralist households. There is therefore a re-emergence of insurance for smallholder farmers across the globe.

The speaker gave a detailed background to the study in Ethiopia and the importance of partnership in the design and implementation of the study. The difference, however, with this new approach to crop insurance for smallholder farmers is the use of index (indices) to support the insurance service, and intervention against emergency situation. But at the same time the study is targeting farmers that are relatively better off and who are already engaged in the market but are not investing in insurance due to the anticipated risks. The outcome of the pilot study is expected to help protect the livelihoods of smallholder farmers, who are vulnerable to severe and catastrophic weather risks particularly drought, enhance their access to agricultural inputs, and enable the development of ex-ante market based risk management mechanism which can be scalable in Ethiopia.

Dr. Shukri Ahmed, Senior Economist at the United Nations Food and Agriculture Organization (FAO)

Unbanked or Branchless Services

Adding another concept to an already very complex issue that tries to combine weather, insurance, credit/finance, and smallholder farming, should be carefully considered. But the key question is whether mobile technologies can play a catalytic role in this entire complex system?

Among the reasons for choosing a given area for the pilot study, include availability of Nyala Bank branches, the vulnerability of yields to drought, the availability of nearby weather stations, and the willingness of cooperatives in the area to purchase the new product. As the pilot study progresses, the possibility of scaling the project across the country is high. But what will be the implications for the absence of banks in the rural farming communities in a country that has an approximately one bank loan per 1000 adults? Can Mobile Banking help understand why smallholder farmers under-investment in agriculture?

A success story of mobile banking by  the Dutch-Bangla Bank Limited (DBBL) in Bangladesh was recently highlighted by the GSMA Mobile Money for the Unbanked. Interestingly, the story pointed out how DBBL learnt from Kenya’s famous mobile money program M-PESA. Kilimo Salama (KS) is an innovative index-based insurance product that insures farmers’ inputs (seeds, fertilizer, pesticides), and outputs (crop harvests), in the event of drought or excessive rainfall. It uses weather stations to collect data and implements SMS-based mobile technologies to administer and distribute the payouts. Mobile technologies will not only help with the financial transactions such as seen in Kilimo Salama’s case but also in support of the weather stations for timely and accurate decision making for pay-outs.

My conversation with Dr Shukri about the possibility of integrating mobile money into the project to address the challenge of absence of banks in rural Ethiopia, revealed the huge untapped market for Mobile Banking in that country. However, the success of such services depends on a convincing business case for both the banks and Mobile Network Operators (MNOs). Most importantly, however, is the state of telecommunication infrastructure and regulation in the country. These need to be in place for services and applications to thrive. With this huge investment

Outside Ethiopia, I believe it is time for African countries to take advantage of the increasing mobile phone penetrations in the continent beyond social networking to general development applications such as for agriculture, health, education, and rural development.

To listen to the audio recording of the event, visit Center for Strategic and International Studies (CSIS).

Photo credit: Sustainable Futures

980 million people traveled internationally in 2010, a 4% increase over the previous year, and forecasts expect 1.6 billion tourists by the year 2020. Travel & Tourism as a sector accounts for 258 million jobs globally, and provides crucial opportunities for investment, economic growth, and fostering cultural awareness.  Tourism can also be a powerful tool for tackling major challenges such as conservation and poverty alleviation.

But how do environmentally and socially conscious travelers navigate the complex differences between ecotourism, sustainable tourism, socially responsible tourism and the other myriad forms of traveling responsibly?

Ecotourism vs Sustainable Tourism

Industry consensus agrees ecotourism is more focused on ecological conservation and educating travelers on local environments and natural surroundings, whereas sustainable tourism focuses on travel that has minimal impact on the environment and local communities. Ecotourism is a form of tourism, or a category of vacation similar to beach, adventure, health, or cultural, while the concept of sustainability can be applied to all types of tourism.

As established by The International Ecotourism Society (TIES) in 1990, ecotourism is “Responsible travel to natural areas that conserves the environment and improves the well-being of local people.” Another widely cited definition of ecotourism is “purposeful travel to natural areas to understand the culture and natural history of the environment; taking care not to alter the integrity of the ecosystem; producing economic opportunities that make the conservation of natural resources beneficial to local people.”

The Global Sustainable Tourism Council (GSTC) is a global initiative dedicated to promoting sustainable tourism practices around the world. GSTC and its global members of UN agencies, global travel companies, hotels, tourism boards and tour operators follow the Global Sustainable Tourism Criteria. The 23 criteria focus on best practices to sustain natural and cultural resources, maximize social and economic benefits for the local community, and minimize negative impacts to the environment.

Currently there is no internationally accredited body charged with overseeing the standards, monitoring and assessment, or certification for the ecotourism or sustainable tourism industries. Without an established standard it is easy to be confused by organizations that greenwash services and offerings as “environmentally friendly.” Others argue that ecotourism is an oxymoron, as travel implicitly entails activities that are detrimental to the environment. Planes, trains and automobiles use harmful fossil fuels that emit CO2, and forestland is often cleared for roads and railways.

Ecotourism and Sustainable Tourism in Action

Photo Credit: Visit Costa Rica

Costa Rica was a pioneer in ecotourism and exemplifies how tourism can be a key pillar of economic development policy. Costa Rica is now the premiere destination for ecotourism, and in 2010 tourism contributed 5.5% of the country’s GDP. Jordan serves as another model of successfully integrating conservation and socio-economic development. Ecotourism generated $2.1 million in 2010, and Jordan’s Royal Society for the Conservation of Nature has received several global awards for its success in alleviating poverty and creating employment for local communities, in combination with integrating nature conservation.

Myriad sites offer options for tours and hotels that cater to a more environmentally friendly and sustainable type of traveling experience. The New York Times travel section allows viewers to search potential destinations using ecotourism as a criteria, and Condé Nast Traveler highlights Ecotourism and Sustainable Travel under Expert Travel Tips.

The Earthwatch Institute, organizes trips where travelers work alongside scientists and explorers on field expeditions and Sierra Club’s travel arm Sierra Club Outing allows environmentalist to learn something on vacation and inflict minimal harm on the surrounding environment.

At the industry level, hotels and resorts are taking on sustainability commitments that focus on recycling, decreasing water and energy usage, reducing greenhouse gas emissions,and environmentally friendly design. Many in the industry show a commitment to a holistic approach to sustainability which includes  the construction of Leadership in Energy & Environmental Design (LEED) certified buildings, providing eco-friendly and organic food and wine selections, and rewarding guests who make “green choices.” Marriott, which boasts 2,800 hotels worldwide, offers guests hotel points or vouchers for the hotel restaurant should they choose to not having linens and towels washed daily.

Understanding the difference between sustainable tourism and ecotourism educates travelers on the significant impact their travel decisions have on the environment, economy and local communities they visit. Participating in sustainable tourism, or more specifically ecotourism vacations, means travelers can contribute to development and conservation efforts, while enjoying themselves on vacation.

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