i

ASIAN DEVELOPMENT BANK TA: 6039-REG

REPUBLIC OF THE FIJI ISLANDS:

COUNTRY ENVIRONMENTAL ANALYSIS
Mainstreaming Environmental Considerations in
Economic and Development Planning Processes

(FINAL DRAFT)

Prepared by: James T. Berdach

February 2005

The views expressed in this document are those of the consultant and do not necessarily
represent positions of the Asian Development Bank or the Government of the Republic of the Fiji
Islands.
ii

CURRENCY EQUIVALENTS
(as of 15 November 2004)

Currency Unit – Fiji Dollars (FJD)

FJD 1.00 = $0.5955
$1.00 = FJD 1.6793

ABBREVIATIONS AND TERMS

ADB – Asian Development Bank

ADTA – advisory technical assistance
ALTA – Agricultural Landlord Tenant Act
BOD – biochemical oxygen demand
CDM – Clean Development Mechanism
CEA – Country Environmental Analysis
CHARM – Comprehensive Hazard and Risk Management
CLIMAP – Climate Change Adaptation Program for the Pacific
CSP – Country Strategy and Program
CSPU – Country Strategy and Program Update
DOE – Department of Environment
DPP – Director of Public Prosecution
DRRF – Disaster Relief and Rehabilitation Fund
EEZ – Exclusive Economic Zone
EIA – environmental impact assessment
EMB – Environment Management Bill
EU – European Union
FBSAP – Fiji Biodiversity Strategy and Action Plan
FEA – Fiji Energy Authority
FEU – Forestry Economics Unit
FIMSA – Fiji Islands Marine Safety Administration
FLMMA – Fiji Locally Managed Marine Area
FRUP – Fiji Road Upgrading Project
FSC – Fiji Sugar Corporation
GDP – gross domestic product
GEF – Global Environment Facility
GHG – greenhouse gas
ha – Hectare
ICT – information and communications technology
IFI – international financial institution
IPP – independent power provider
km – Kilometer
km2 – square kilometer
KPI – key performance indicator
LC – Local Council
m – Meter
matagali – indigenous land use area/group
MDG – Millenium Development Goal
 iii

MPA – marine protected area

MWh – megawatt-hour
NCLP – National Code of Logging Practices
NDMO – National Disaster Management Office
NEDC – National Economic Development Council
NES – National Environment Strategy
NGO – non-governmental organization
NLTB – Native Land Trust Board
OCR – ordinary capital resources
ODS – ozone-depleting substance
OHS – occupational health and safety
OP – Operational Program
PARD – Pacific Department
PDMC – Pacific Developing Member Country
PICCAP – Pacific Islands Climate Change Assistance Project
PPTA – project preparation technical assistance
PRES – Pacific Region Environmental Strategy
PWD – Public Works Department
qoliqoli – indigenous ocean use area/group
ratu – high chief
REEP – Renewable Energy and Energy Efficiency Program
RESCO – renewable energy service company
RET – renewable energy technology
RETA – regional technical assistance
SDB – Sustainable Development Bill
SDP – Strategic Development Plan
SIDS – Small Island Developing State
SME – small and medium-size enterprise
SOPAC – South Pacific Applied Geoscience Commission
SPC – Secretariat of the Pacific Community
SPREP – South Pacific Regional Environment Programme
SPSO – South Pacific Subregional Office
TAC – total allowable catch
TBT – tributyl tin
UNCCD – United Nations Convention to Combat Desertification
UNDP – United Nations Development Programme
UNFCCC – United Nations Framework Convention on Climate Change
USP – University of South Pacific
WSSD – World Summit on Sustainable Development
WWF – World Wide Fund for Nature

NOTE

In this report, "$" refers to US dollars.

iv

Acknowledgements

The author wishes to thank the many people who contributed directly or indirectly to the
production of this report. Mr. Edy Brotoisworo of ADB’s Pacific Department (PARD) in Manila,
has ably directed the overall project effort. Mr. K. Kannan, also of PARD, shared his local
knowledge of Fiji and provided guidance for structuring of the work plan for the analysis. Ms.
Ophelia Iriberri (PARD), who joined the mission to Fiji, provided logistical support. Mr. Lope
Calanog, ADB consultant, had principal responsibility for preparing an early draft of this
document, and did much of the groundwork necessary for obtaining important background
information. The staff of the South Pacific Subregional Office (SPSO) in Suva, led by Ms. Sirpa
Jarvenpaa, and including Ms. Sophia Ho, Mr. Christopher Wensley, and all the SPSO
administrative personnel, gave their full support for the project, and were most helpful in
providing up-to-date details about the status of ADB’s country program. Sincere thanks are
extended to Mr. Tevita Banuve, CEO of Ministry of Finance and National Planning; Mr. Cama
Tuiloma, CEO of the Ministry of Local Government, Housing, Squatter Settlement &
Environment; and Mr. Epeli Nasome, Director of the Department of Environment, for the
courtesy and cooperation they showed as the key counterparts for the project, and points-of-
contact within government. Great appreciation is expressed to Ratu (High Chief) Osea Gavidi,
who volunteered his efforts in helping to arrange for important contacts with key stakeholders,
especially within the traditional community and the tourism sector. Ms. Ana Koiviralobe of the
Department off Environment, and Ms. Angela Thomas, served as project administrative
assistants, and provided logistical support and conducted research that contributed to the
analysis. Finally, the author expresses the deepest gratitude to the many stakeholders in the
Fijian government, NGOs, regional inter-governmental institutions, community-based groups,
academia, and private sector, who gave freely of their time to contribute their views and
knowledge through the consultation process. For them, the challenging task and hard work of
building a sustainable future through effective environmental mainstreaming is only in its early
stages. Vinaka vakalevu veikemuni kecega, ena nomuni veivuke, kei na nomuni lomasoli!
 v

CONTENTS

I. INTRODUCTION ...............................................................................................................1
II. METHODOLOGY FOR THE ANALYSIS ...........................................................................2
III. BACKGROUND INFORMATION.......................................................................................2
A. Country Setting ........................................................................................................2
B. Role of Environment and Natural Resources in the Economy.................................3
C. Key Environmental Issues and Challenges .............................................................4
1. Land Use and Management ....................................................................................4
2. Forest Resources ....................................................................................................7
3. Marine and Coastal Resources ...............................................................................8
4. Biodiversity Resources..........................................................................................10
5. Mineral and Groundwater Resources....................................................................13
6. Water Resources...................................................................................................13
7. Urbanization ..........................................................................................................15
8. Pollution and Waste Management ........................................................................16
9. Tourism Development ...........................................................................................17
10. Energy Sector........................................................................................................18
11. Natural Hazards and Disaster Management .........................................................20
12. Climate Change.....................................................................................................21
D. Policy, Regulatory, and Institutional Framework....................................................24
1. Policy Framework for Sustainable Development...................................................25
2. Legal and Regulatory Framework .........................................................................26
3. Institutional Framework for Environmental and Natural Resources Management 28
IV. PRIORITIES FOR ACTION .............................................................................................31
A. Recent Environmental Record ...............................................................................31
B. Environmental Information and Data Needs ..........................................................32
C. Review of Country Strategy and Program (CSP) and Country Strategy and
Program Update (CSPU).......................................................................................34
1. Strategic Priorities .................................................................................................35
2. Assessment of Environmental Impacts .................................................................36
3. Coordination with Other Funding Institutions ........................................................38
4. Conclusions and Recommendations.....................................................................39
vi

List of Tables and Figures

Table 1 Fiji’s GDP By Activity at Constant Prices of 1995 at Factor Cost (FJD thousands) ........ 4
Table 2 Type of Land Tenure/Ownership in Fiji Islands ................................................................ 5
Table 3 Estimate of Fiji Islands’ Forest Resources ....................................................................... 7
Table 4 Soil Loss in Four Major Watersheds, Viti Levu Island ...................................................... 8
Table 5 Estimated Annual Fisheries Production of Fiji Islands by Volume and Value, late 1990s 8
Table 6 Tuna catch (metric tons) by species for the Fijian domestic longline fishery 1989-1992 . 9
Table 7 Native, endemic, extinct, threatened and introduced species in the Fiji Islands ............ 11
Table 8 Summary of Rural Electrification Projects Installed (1994-2003) ................................... 19
Table 9 Percentage of energy from hydro, diesel and bagasse, 1990 - 2002............................. 19
Table 10 Budget and Staffing, Department of Environment, 2003-2005..................................... 29

Figure 1 Organizational Chart, Department of Environment ....................................................... 29

Appendixes

1: Country Environment Indicators: Republic of the Fiji Islands

2: References
3: Persons Consulted
4: Fiji’s Environmental Setting
5: Fiji’s Sugar Industry
6: Fiji’s Protected Areas and Sites of National Significance
7: Government Agencies, Legislation, and Strategies Relating to Environmental
Management
8: History of the Development of the Environment Management Bill
9: Fiji’s International Environmental Agreements and Conventions
10: Coordination Matrix for Key External Assistance
11: Environmental NGOs Working in Fiji
12: Current ADB Operations Summary for Fiji
13: Proposed Revision of Summary Statement of Strategy for Fiji CSP
14: Opportunities for Environmental Strengthening of Projects Within the Existing ADB
Country Program for Fiji
15: Concept Papers: Potential New Projects for Inclusion in ADB’s Country Program for Fiji
 1

I. INTRODUCTION

1. The Republic of the Fiji Islands (Fiji) has generally returned to normalcy after a period of
political unrest and uncertainty. Instability over a period of nearly two decades, highlighted by
the military coups that occurred in 1987 and again in 2000, has brought into focus the urgent
need to achieve peace and security, in order to restore private sector confidence, and to
accelerate various proposed public sector reforms needed to promote sustainable economic
growth and poverty reduction. In 2001, the Government pledged to build a better Fiji. Eleven
task forces, representing a wide cross-section of the island community, were formed to discuss
and submit recommendations on key economic and social issues. The Strategic Development
Plan (SDP)1 for 2003-2005 emerged from this work with a vision for a “peaceful and prosperous
Fiji” and a mission to develop and implement the best political, social and economic policies to
realize this vision for the nation.

2. One of the guiding principles articulated in the SDP is to create the enabling preconditions
necessary for achieving environmental sustainability in the country. Given Fiji’s many desirable
environmental attributes, including its highly productive agricultural lands, forests, and seas, its
rich biodiversity, and its mild tropical climate and scenic coastlines and landforms, substantial
opportunities exist for further development in the natural resources and tourism sectors.
However, if such development is to be sustainable, due care must be taken in planning and
managing future development activities, so that the normal ecological functioning and
‘environmental services’ (such as water balance, carbon cycling, and habitat to support
biodiversity), upon which all these economic activities depend, are preserved. Key
environmental indicators, intended to track Fiji’s progress toward achieving environmental
sustainability in its economic development, are shown in Appendix 1.

3. The Asian Development Bank (ADB) has been providing development assistance to Fiji for
over three decades. The guiding document that details ADB’s framework for lending and
technical assistance to the country is the Country Strategy and Program (CSP). While annual
updates to Fiji’s most recent CSP have been prepared,2 it is planned that a new CSP, to cover
the program period 2006-2010, will be produced in 2005.

4. The Country Environmental Analysis (CEA) is an integral part of the CSP preparation
process, and provides the information needed to ensure that programmed funding for the future
development of the nation is grounded on a firm foundation of sound environmental
management principles and practices. Recognizing (i) the sizeable contribution that natural
resources-based activities make to the Fijian economy overall; (ii) the potential for that
contribution to continue into future; and (iii) the existence of a number of key barriers and
problems that threaten the sustainability of Fiji’s environment and natural resources base, it is
imperative that the new CSP place strong emphasis on environmental management objectives,
in order to ensure the viability of these critical resources over the long-term.

5. The present CEA thus (i) describes the role of natural resources and the environment in the
national economy; (ii) provides an overview of key environmental issues; and (iii) outlines the
policy, regulatory and institutional framework for environmental management in the country. The
CEA goes on to analyze the existing environmental conditions, and includes a review of ADB’s
current investment portfolio. Emerging from the review and analysis, priorities for action are
1
Republic of the Fiji Islands. November 2002. Rebuilding Confidence for Stability and Growth for a Peaceful,
Prosperous Fiji: Strategic Development Plan 2003-2005. Parliamentary Paper No. 72.
2
ADB. August 2003. Fiji Islands Country Strategy and Program Update (CSPU) 2004—2006; and ADB. August 2004.
Fiji Islands CSPU 2005—2007.
2

identified, and recommendations are made for projects for possible inclusion in ADB’s future
country program, that could proactively incorporate, integrate and support sound environmental
management practices and mainstreaming of environmental considerations into the economic
development planning and policy-making for the country.

II. METHODOLOGY FOR THE ANALYSIS

6. ADB prepared an internal draft for the CEA in March 2004. This was augmented and
strengthened through subsequent further literature review, research and an in-depth
participatory, consultative process. In October and November, 2004, ADB fielded a mission3 to
Fiji during which meetings with some 60 stakeholders were conducted. These extensive in-
country consultations culminated with the organization and hosting of a consultative workshop.4
Over forty key stakeholders participated in the workshop and provided valuable feedback on the
preliminary CEA findings. The participants represented a wide cross-section from various
sectors, including national and local government, inter-governmental donor and assistance
agencies, NGOs, community groups, women’s groups, academia, and the private sector. The
consultations and workshop discussions helped to confirm preliminary findings, identify key
issues, and develop concepts for possible interventions to address specific problems and
barriers to effective environmental management. Proceedings of the workshop were posted to
the ADB website, and workshop participants were afforded the opportunity to provide further
comment. Appendix 2 provides a list of references, while Appendix 3 includes a list of persons
contacted during the consultations.

III. BACKGROUND INFORMATION

A. Country Setting

7. The Republic of the Fiji Islands lies in the Southwestern Pacific Ocean between
approximately 15o to 20o south latitude and 175o to 182o east longitude. Fiji’s total landmass
comprises some 332 islands scattered across nearly 1.3 million km2 of ocean within its declared
Exclusive Economic Zone (EEZ). The two main islands of Viti Levu and Vanua Levu together
comprise around 87 percent of the total land area of around 18,333 km2, with most of the
remaining islands being small, low-lying, and widely dispersed. Fiji’s larger islands are volcanic
in origin and dominated by steep mountainous terrain that is deeply cut by perennial rivers and
streams. There are 30 peaks over 1,000 meters (m) in elevation, with the highest, Tomaniivi, at
1,323 m.

8. The total population, based on 2003 estimates, is around 831,600 persons, made up
primarily of indigenous Melanesians, and Fijian Indians, the latter being mostly descendants of
immigrants brought to Fiji in the late 1800s. The majority of the population is concentrated in the
urban centers on the main islands; many of the smallest islands are uninhabited. Appendix 4
presents a more detailed overview of Fiji’s environmental setting.

3
Mr. Edy Brotoisworo, Senior Environmental Specialist, Pacific Division (PARD), and Ms. Ophelia Iriberri, Senior
Operations Officer, PARD, visited Fiji from 19 November to 26 November 2004. Mr. James. T. Berdach,
Environmental Management Specialist, visited Fiji from 24 October to 26 November 2004. Mr. Berdach’s
consultancy was supported under ADB RETA 6039-REG: Formulation of Pacific Region Environmental Strategy
(PRES).
4
The one-day Consultative Workshop was held on 25 November 2004 at the Tradewinds Hotel Floating Restaurant,
in Lami, near Suva.
 3

B. Role of Environment and Natural Resources in the Economy

9. Fiji’s natural endowment of forest, agricultural, fishery and mineral resources has historically
played a key role in supporting its economic development. This South Pacific island nation
enjoys a tropical climate that allows production of a wide range of food crops, both for local
consumption and export, and provides one of the basic attractions for the tourism industry. Over
a third of the country’s gross domestic product (GDP) and 70 percent of exports can be
attributed to natural resource-related activities such as agriculture, forestry, fisheries, tourism,
and mining.

10. Tourism is the fastest growing industry in the country, contributing about 17 percent to
GDP.5 The sugar industry’s share of GDP, while declining in recent years, is still around 5
percent, while other agricultural food crops, fruits, vegetables, and livestock cumulatively
contribute another 3-4 percent. Forest products add about 1 percent to GDP. The marine and
fisheries sectors account for 3 percent. The mineral sector contributes between 1-2 percent and
employs about 1,800 persons. This includes extraction of drinking water from mineral springs.
In 2002, the export value of bottled mineral water was estimated at FJD28.6 million, up from
FJD1.1 million when first exported in 1997. In addition to these contributions to the cash
economy, virtually all subsistence activities, estimated at over 4 percent of total GDP, are based
on use of natural resources. Fiji’s biodiversity resources, which support many of the economic
activities listed here, produce ecological benefits valued at FJD973 million per year, which
represents more than 42 percent of Fiji’s 1994 GDP.6 Figures for Fiji’s GDP, broken down by
activity, are presented in Table 1.

11. While much of Fiji’s environment is still in a relatively pristine state overall, developments in
several sectors are at a critical crossroad, and a number of key problems pose direct threats to
continuing environmental functionality and resource sustainability. These include, among others
(i) conversion of remaining stands of native forest into exotic mono-species plantations; (ii)
inappropriate zoning and land use; (iii) overexploitation of marine resources; (iv) inadequate
mechanisms for effective waste management; (v) air and water pollution; (vi) climate change,
with resultant increased risks of drought and flooding; and (vii) adverse social and
environmental impacts associated with rapid development and urbanization. One of the key
underlying causes for many of these threats is that, while laws exist for environmental
compliance, the regulatory framework is in need of overhaul, and resulting environmental
governance practices in the country are weak. The increasing demands being placed on the
finite natural resources base makes pursuit of more sustainable development options imperative
for the country.

5
Tourism is not disaggregated as a distinct sector in the GDP calculations. The estimate comes from the SDP
Midterm Review.
6
FBSAP 1999.
 4

Table 1 Fiji’s GDP By Activity at Constant Prices of 1995 at Factor Cost (FJD thousands)
% of 2002
Activity 1995 1996 1997 1998 1999 2000 2001 2002 GDP
1 AGRICULTURE, FORESTRY &
FISHING 475,901 498,373 443,037 412,265 467,816 462,433 435,567 454,250 16.3
1.1 Crops 233,422 247,339 202,479 163,374 207,977 199,329 186,309 197,718 7.1
1.1.1 Sugarcane 178,607 178,607 136,497 100,689 143,059 131,761 121,853 124,721 4.5
1.1.2 Other Crops 54,815 68,732 65,982 62,685 64,918 67,568 64,456 72,997 2.6
1.2 Livestock Products 16,679 17,757 15,259 16,125 15,886 16,028 15,822 16,168 0.6
1.3 Fishing 65,765 71,666 65,857 68,740 82,292 84,617 70,986 80,959 2.9
1.4 Forestry 38,806 39,657 35,924 39,222 34,790 36,334 35,370 30,706 1.1
1.5 Subsistence 103,152 -- 108,914 110,298 111,543 112,097 112,789 114,311 4.1
2 MINING & QUARRYING 37,650 48,945 50,128 40,178 47,633 40,845 41,566 40,081 1.4
3 MANUFACTURING 330,612 346,272 372,550 392,101 421,004 391,660 435,845 436,268 15.6
3.1 Sugar 88,579 88,579 67,702 49,948 70,239 65,556 60,483 61,849 2.2
3.2 Other Food Industries 32,743 32,874 29,862 31,040 30,484 26,325 30,058 33,267 1.2
3.3 Non-Food Industries 178,282 192,706 240,931 275,437 280,213 259,061 299,808 292,487 10.5
3.2.1 Clothing, Footwear 54,534 68,331 110,213 139,934 147,242 139,825 178,054 156,349 5.6
3.3.2 Other Non-Food 123,748 124,375 130,718 135,503 132,971 119,236 121,754 136,138 4.9
3.3 Informal Sector 9,617 10,123 10,461 10,798 11,169 11,541 11,912 12,215 0.4
4 ELECTRICITY AND WATER 76,438 81,971 84,165 87,043 95,444 93,980 100,150 104,419 3.7
5 CONSTRUCTION 132,179 142,250 129,157 124,766 131,942 114,351 121,817 139,045 5.0
6 WHOLESALE & RETAIL
TRADE, RESTAURANTS &
HOTELS 361,484 368,113 382,987 407,707 438,541 413,646 442,126 457,559 16.4
6.1 Wholesale & Retail Trade 248,954 253,961 263,368 279,948 297,520 300,180 319,157 323,610 11.6
6.2 Restaurants & Hotels 112,530 114,152 119,619 127,759 141,020 113,466 122,969 133,948 4.8
7 TRANSPORT &
COMMUNICATION 293,624 321,038 330,348 342,667 380,338 362,215 353,333 375,316 13.4
7.1 Transport and Storage 208,510 222,379 232,814 245,235 273,361 249,860 249,568 274,978 9.8
7.2 Communication 85,114 98,659 97,534 97,432 106,977 112,355 103,765 100,338 3.6
8 FINANCE, INSURANCE, REAL
ESTATE, BUSINESS SERVICES 383,412 390,232 348,746 339,269 316,939 345,113 368,634 365,399 13.1
8.1 Finance 141,909 137,967 127,295 131,971 77,672 92,663 102,957 98,448 3.5
8.2 Insurance 52,681 56,311 33,810 28,256 60,975 67,088 91,526 107,647 3.9
8.3 Real Estate & Business
Services 188,822 195,954 187,640 179,042 178,293 185,362 174,151 159,304 5.7
8.4 Ownership, Dwellings 114,476 115,519 117,457 118,799 120,140 120,736 121,482 123,121 4.4
9 COMMUNITY, SOCIAL &
PERSONAL SERVICES 433,579 435,665 424,119 454,288 468,928 484,484 491,068 527,992 18.9
OTHERS 382,206 382,974 371,181 400,399 412,612 426,663 431,732 467,387 16.7
LESS IMPUTED BANK SERVICE
CHARGES 151,891 147,672 136,250 141,255 83,136 99,181 110,199 105,374 3.8
GRAND TOTAL 2,372,987 2,485,187 2,428,987 2,459,029 2,685,449 2,609,548 2,679,907 2,794,965 100.0
MEMORANDUM ITEMS:
SUGAR PRODUCTION ( tonnes) 454,000 454,000 347,000 256,000 364,000 335,000 310,000 317,000 --
VISITOR ARRIVALS (# persons) 318,000 340,000 359,000 371,000 410,000 294,000 348,000 398,000 --
Source: Key Statistics (Fiji Islands Bureau of Statistics, March 2004); 2002 percentage calculation by the author.

C. Key Environmental Issues and Challenges

1. Land Use and Management

12. The total land area of the Fiji Islands is around 1.83 million hectares, comprising native
lands (traditionally-owned lands); state lands (formerly Crown lands); and freehold (privately
owned) lands (Table 2). About 45.3 percent of this land area is estimated to be farmland under
cultivation, and the remaining 54.7 percent is classified as non-farm lands. Non-farm lands
comprise 453,603 hectares (63.4 percent) of natural forest, 196,967 hectares (27.6 percent) of
non-agricultural land, and 64,624 hectares (9.0 percent) of planted forest.
 5

Table 2 Type of Land Tenure/Ownership in Fiji Islands

tenure type area (ha) percent of total land area
Native Land 1,646,814 90.00
Freehold 147,448 8.06
State Land 31,195 1.70
Rotuman Communal Land 4,452 0.24
Total 1,829,909 100.00
Source: Fiji Islands National Assessment Report to BPoA+10. 2003

13. Fiji’s annual population growth rate is only around 0.7 percent,7 but the absolute increase in
population over the past 40 years has resulted in increased demand for agricultural production,
and consequently has put significant pressure on arable lands. Intensive application of fertilizers
and pesticides, monocropping, and short fallow periods have depleted and prevented recovery
of soil fertility, caused increased soil erosion, lowered yields, reduced food security, and
increased rural poverty. A by-product of rural poverty has been increased rural-urban drift,
which has in turn led to other adverse social, economic, and environmental consequences.
Further compounding the problem has been conversion of many prime arable lands into
industrial and commercial areas and housing estates to accommodate the needs of the growing
population.

14. While over 60 percent of the total land area is suited to some form of agricultural activity,
only about 29 percent of the land area is flatland appropriate for sustainable cultivation. As early
as 1965, most of these arable lands were already under cultivation. Thus, since that time,
further agricultural development of necessity has been directed towards lands that are less
appropriate for cultivation.

15. A host of unsustainable agricultural practices are on-going in Fiji. In addition to the intensive
cultivation practices already described above (para. 12), these include sloping land cultivation of
sugar-cane, ginger and dalo; commercial livestock farming without good pasture management;
reclamation of large freshwater swamps for growing rice; and reclamation of large mangrove
swamplands for agricultural use. Over the years, these practices have dramatically increased
erosion, resulting in the loss of soil nutrients and thinning of topsoils, progressive siltation of
rivers, deterioration of drainage on river flats, and inundation of coastal areas. A case study of
the use of inappropriate methods in the cultivation of ginger, illustrates just how damaging and
costly these practices can be (Box 1). Other serious impacts, such as the irreversible loss of
biodiversity, have also resulted from these inappropriate land uses.

16. Patterns of land tenure are also a major concern.8 Ninety percent of the land is traditionally
owned by indigenous Fijians (through land-owning units known as mataqali), and most
development occurs only on leased land. While government has the authority to acquire lands
for purposes deemed to be in the public interest, this authority is rarely9 used, owing to the
unpopular political response it is expected that such action might generate. With a rapidly
growing population and the need for continued commercial development, increasing pressure
on land resources may contribute to more frequent land disputes between government, tenants,
and landowners in the future. In recent times, the transition from a subsistence to a cash
7
Secretariat of the Pacific Community (2003).
8
It is general consensus that land tenure issues are at the heart of Fiji’s recent social and political unrest. Problems
arising from customary tenure patterns have caused ill-will between government and resource-owners, and
resource owners and land lease holders, particularly in the context of income-generating activities, especially in the
agriculture and tourism sectors.
9
The Government has acquired some traditional lands needed for road construction and for construction of the
Monasavu hydropower dam.
6

economy has been accompanied by an deterioration of traditional environment-friendly systems

of natural resource allocation and land management.

Box 1: Environmental Costs of Ginger Cultivation in Fiji

On-site costs:

Loss of soil resource expressed as a capita loss:

• Average erosion rate – 100–300 t/ha/yr on 271 ha ginger (1990)
• 27,100 – 81,300 tons of soil is lost each year by ginger growers
• soil capital loss $7.57 -$22.72 /t (15-5% discount rate respectively)

Annual capital loss of $410,294 - $1,231,424 (15-5% discount rate respectively) for 200t/ha erosion
rate.

This figure does not include the cost of restoring soil resources, which is effectively impossible. It
represents only the lost opportunity cost –the value of net returns foregone through lost production.

Off-site costs:

• Dredging has cost the nation over $16 million between 1986-91. A significant
proportion of the sediment can be attributed to the ginger industry
• Each ton of sediment costs $3.5 to remove – at 200t/ha erosion rate = $189,700.

This figure does not include a value for impacts on fisheries and tourism (sedimentation of reefs and
mangroves), navigational costs, and flood risks.
Adapted from IUCN 1993. National Environment Strategy – Fiji.

17. One of Fiji’s largest economic contributors, the sugar industry, is ailing and currently facing a
period of crisis that could have major implications for macroeconomic and social stability. The
Fiji Sugar Corporation (FSC), a government entity that owns four sugar mills, is insolvent and
requires significant investment to upgrade its mills, which are outdated and inefficient. It is also
necessary to start reducing production costs, in order to remain competitive in a climate of
declining world sugar prices.10 Phasing out of sugar price supports by the European Union (EU)
is imminent, and will be completed by 2008.11

18. In addition, the expiration and non-renewal of leases under the Agricultural Landlord and
Tenant Act (ALTA) is causing the loss of access to land (and loss of livelihood) for a large
number of sugar-cane farmers. During the period 1997-2000, of a total of nearly 4,000 ALTA
leases that expired, 86 percent were not renewed. For Indian Fijian sugar farmers who are
losing access to farmlands, some are already being pushed into practicing unsustainable
cultivation on steeply sloping lands. Without an extension of their leases, sugar growers face a
very uncertain future, and those whose leases are soon to expire are already unable to get bank
loans for their working capital. While some indigenous Fijian landowners are keen to enter the
industry, they often lack the capital and appropriate skills for effective and efficient production.
Hence, the long-term viability of the sugar industry depends (among other factors) upon the

10
It has been mentioned that in other countries where sugar has traditionally been an important cash crop, e.g.,
Brazil, sugar has now been relegated to by-product status. Cane is now being grown instead largely for ethanol
production for use as alternative fuel and for production of rum. There has been downward pressure on the price of
sugar as a result. Nonetheless, the possibility of producing higher-value, ethanol-based products from sugar-cane
offers at least one alternative source of revenue that could help to bolster the struggling sugar-growing industry.
11
From current prices of around FJD 50 per ton, it is anticipated that the price for sugar will drop to around FJD 35
per ton by 2008.
 7

successful resolution and reform of land policies, especially the ALTA. Further background
information, plus discussion on the prospects for the Fijian sugar industry, is presented in
Appendix 5.

2. Forest Resources

19. Fiji’s forest resources cover an area of approximately 870,000 hectares, or about 47.5
percent of the total land area. Rain forests exist on the windward sides of the mountainous
islands, while the leeward sides have grassy plains. Plantation forests, mainly exotic pine and
mahogany, account for 6.14 percent of the total forest area (Table 3). While these plantations
are generally regarded to have had, on balance, positive environmental impacts, the rate of
conversion of diverse natural forests into exotic mono-species plantations needs to be
monitored and regulated, with greater attention paid to the role of natural forest cover in the
protection of watersheds, streams, soil resources, and biodiversity. The functionality of natural
forested areas as habitat for many of Fiji’s native species of wildlife cannot occur in areas that
are converted to plantation. Thus, while plantations of pine and hardwood do not presently
account for a large proportion of the total forest cover, any major increase would result in loss of
important biodiversity resources, and also increase the risk of pest or disease outbreaks.

Table 3 Estimate of Fiji Islands’ Forest Resources

forest type hectares percent of total land area
Indigenous Logged Forest 309,940 16.93
Protection Forest 260,330 14.22
Indigenous Forest 187,700 10.25
Plantation Forest 112,490 6.14
Total Forest Area 870,460 47.56
Total Land Area 1,830,000 100.00
Source: Fiji Islands National Assessment Report to BPoA+10. 2003

20. Some of the other threats potentially affecting forest resources include (i) the increasing
incidence of wild fires which destroy wildlife habitat; (ii) disregard for restrictions on logging in
protection forests; and (iii) inattention to stream flow, soil erosion and other watershed and
ecological considerations during logging.

21. Seemingly disparate figures are found for rates of change of forest cover in Fiji. On the one
hand, an increase in forest cover from 878,600 hectares in 1992, to 897,298 hectares in 2002,
(an increase of 2.1 percent overall, and 0.2 percent annually), is reported. In contrast, a modest
deforestation rate of 0.5-0.8 percent per year is reported by the same source.12 Where losses of
natural forests do occur, they are accompanied by resulting soil erosion, loss of soil nutrients,
and siltation of coastal waters. Some 21 million tons of soil are estimated to be lost annually in
four watershed areas alone (Table 4).

22. Among the key sectoral issues identified in a recent policy paper13 are: (i) absence of
comprehensive regional and national land use plans; (ii) limited protection and enforcement for
conservation, especially in natural (native) forest areas; (iii) inadequate knowledge of forest
resources; (iv) inadequate research effort; (v) poor fire protection capabilities and procedures;

12
Source: Fiji Islands National Assessment Report to BPoA+10. 2003. It seems likely that figures for the
reported increase may include new areas of plantation forest, while the deforestation figure may refer only to losses
in natural forested areas.
13
Ministry of Fisheries and Forests. August 2004. National Forest Policy Statement. GTZ Regional Forestry
Project/SPC Forests and Trees Programme. (draft)
8

(vi) institutional weaknesses, and difficult bureaucratic processes; (vii) outdated forestry
legislation; and (viii) absence of detailed forest management and harvesting plans. Clearly,
there is a need for major reforms in order to support sustainability in the forestry sector.

Table 4 Soil Loss in Four Major Watersheds, Viti Levu Island

Soil Loss Total soil loss
Watershed Soil loss (mm/yr)
(tons/ha/yr) (million tons/yr)
Rewa 32.2 2.2 9.3
Ba 69.0 4.6 6.4
Sigatoka 76.9 5.1 1.1
Nadi 81.4 5.4 4.2
TOTAL 21.0
Source: Leslie and Ratukalou 2002. Review of Rural Land Use in Fiji.

3. Marine and Coastal Resources

23. Fiji controls commercial fishing within some 1.3 million km2 of ocean area inside its Exclusive
Economic Zone (EEZ). Artisanal and subsistence fishing activities are practiced within the
territorial waters, which lie within 12 nautical miles of the shoreline. The fishing industry makes a
significant contribution to the Fijian economy (Table 5). However, destructive fishing practices
occur in the subsistence, artisanal, and commercial fisheries, and are becoming a more
widespread and serious problem in many parts of the country. Left unchecked, these damaging
practices could threaten the viability of fisheries stocks and the long-term viability of the sector.

24. Despite legislated restrictions, dynamite fishing is prevalent in some areas of northern Viti
Levu and northern Vanua Levu, while use of traditional fishing poisons (e.g. duva or derris) is
also common. Exploitation of coastal resources at an unsustainable level is also a critical
concern. Overharvesting of mangrove wood, and the sale of undersized fish and crustaceans,
are becoming more widespread. Even small sizes of Serranidae (groupers) and Lethrinidae
(emperor fishes) are captured and sold, especially in heavily populated areas. Trochus (button
shell), mangrove crabs, and beche-de-mer (sea cucumber) are also overfished. While traditional
chiefly bans on harvest of turtles and mangrove crabs have served to maintain turtle populations
in the past, increasing incidence of harvest of these species, possibly to unsustainable levels, is
reported. Populations of highly-prized species such as giant clams (Tridacna and Hippopus
spp.) and coconut crabs (Birgus latro), are overexploited, and are now nearly extirpated in some
areas.

Table 5 Estimated Annual Fisheries Production of Fiji Islands by Volume and Value, late 1990s
Volume Value
Fishing Method
(metric tons) (in US$’000)
Subsistence Fishing 21,600 24,675
Coastal Commercial Fishing 9,320 15,232
Offshore Fishing 5,500 25,640
Offshore Foreign Fishing 917 555
Total 37,337 66,102
Source: Gillet and Lightfoot 2001

25. Tuna are the key target species in the pelagic commercial fishery. The annual total
allowable catch (TAC) for tuna in Fiji’s waters is currently set at 15,000 tons; according to the
Department of Fisheries, this target has not been achieved. The number of licenses issued
currently stands at 90 per year, i.e., around 30 more than the sustainable limit proposed by the
 9

Secretariat of the Pacific Community (SPC). This has raised concerns within the industry
regarding excessive fleet sizes and the threat of overfishing.14

26. There is also a fleet of domestic joint-venture small longliners which operates within the 12-
nautical mile territorial waters. This local longline fleet includes several vessels registered in
Korea, Australia, Japan, Taiwan and US, which are operated by Fijian residents. Twenty-three
of these vessels operated in 1992, targeting bigeye and yellowfin tuna, with a substantial
albacore tuna by-catch. The proportion of albacore in the catch of these vessels varied from 27
to 44 percent during this period. The number of vessels active in the fishery (Table 6) has
increased dramatically, since 5 vessels fished in 1989. Marine ecologists are very concerned
about the numbers of vessels operating, the sustainability of the catch effort, and the potential
impacts both upon pelagic fisheries resources and nearshore coral reefs.

27. Apart from potential overharvesting of resources, other problems also affect the marine and
coastal sectors. Land-based and nearshore impacts, including erosion due to loss of forest
cover, runoff of pollutants from agricultural lands, siltation caused by land reclamation projects,
impacts from mineral and oil exploration activities, and dumping of sewage and other wastes,
are only some of the ongoing processes that are damaging coastal water quality. Nearshore
coral reef ecosystems are especially affected by such impacts.

Table 6 Tuna catch (metric tons) by species for the Fijian domestic longline fishery 1989-1992
Vessels Vessels Yellowfin Bigeye Albacore
Year Others Total
Active covered tuna tuna tuna
1989 5 4 10.1 13.6 3.4 25.5 52.6
1990 10 5+(1) 22.6 27.5 68.5 39.3 157.9
1991 18 6+(3) 106.0 122.7 207.9 135.8 572.4
1992 23 14+(4) 201.3 186.6 243.2 252.1 883.2
Note: Vessel numbers in parentheses () are Korean vessels fishing as part of the local fleet.
Source: Forum Fisheries Agency 1994. Fiji Fisheries Resources Profiles. FFA Report No. 94/4.

28. The legislative framework put in place by the colonial government to safeguard the rights of
indigenous Fijians reflects traditional fishing and coastal use practices. The coastal and
foreshore water resources are shared under dual ownership, wherein the state owns the land
beneath the sea and the Fijian clans own the right to fish for subsistence purposes in their
respective traditional fishing-grounds (qoliqoli). In the past, the qoliqoli system functioned
effectively in providing for fair and equitable sharing and sustainable management of nearshore
resources. Integrating this traditional system of nearshore land and water use rights with more
modern ownership practices will be a major challenge facing the responsible Fijian government
agencies. One of the mechanisms that could help to improve the conservation of valuable
fisheries resources is the establishment of networks of marine protected areas (MPAs) to
protect breeding stocks from overharvesting (discussed in Section II.C.4 which follows).
Depending on site-specific conditions, management of MPAs, which is usually undertaken by
the adjacent communities and affected resource users, could combine traditional and modern
management methodologies.

29. Fiji has an estimated 1,129 km of coastline, and because of the confluence of biophysical,
socioeconomic, and institutional factors that operate in the coastal zone, applicable
management issues are especially challenging. There have been rapid changes in coastal

14
Despite the fact that the number of licenses issued already exceeds the SPC-recommended level, Government
stands by its estimated total allowable catch (TAC) of 15,000 tons, of which it reports only 11,000 tons are being
harvested annually. It therefore would like to further increase the number of fishing licenses granted, to the legally
allowed maximum of 110.
10

geography associated with increasing reclamation projects undertaken in an attempt to

accommodate a growing tourism industry and rapid urbanization. Most national assets and
public infrastructure are located in low-lying coastal areas, including major towns, international
airports, hotels, sugar-cane fields and most major industrial facilities. The intensification of such
development is placing increasing pressure on the coast, and leading to greater risks of physical
and economic losses from coastal erosion and the effects of storm surges.

30. To protect reclaimed land from the destructive effects of ocean waves and storm surge,
various coastal works such as concrete seawalls, groynes and riprap revetments have been
constructed. However, construction has been haphazard and often not in accordance with the
current level of knowledge regarding accepted coastal engineering practices. Further, these
protection structures have been put in place without an in-depth analysis of wave and current
patterns around the islands, reflecting a misconception that coasts are inherently and eternally
stable. Such deficiencies in the design and development of structures intended for coastal
protection have in certain instances only made the problem worse. Indiscriminate reclamation
and aggregate mining in the reef areas also have added to coastal instability and beach erosion.
Ultimately poor design and execution of structures in the coastal zone have led to loss of
infrastructure valued in the millions of dollars, loss of life, and the continuing added costs of
dredging and reconstruction.

4. Biodiversity Resources

31. The unique marine and terrestrial biodiversity resources of Fiji are of global importance. As
is true of most isolated island groups, the terrestrial flora and fauna of Fiji demonstrate a high
degree of endemism (unique occurrence of species within a limited geographic area)—over half
(56 percent) of Fiji’s 1,594 known plant species are endemic, with some groups being
completely or almost entirely endemic (e.g., all 24 native species of palms in Fiji are found
nowhere else). More than 40 percent of the native forest cover of the islands is still intact, and
some islands, like Taveuni, still have contiguous forest cover stretching from the mountain
peaks to the coast. Forested areas provide habitat for a wide array of unique birds mammals,
reptiles and amphibians, insects and other invertebrates. In the marine environment, areas such
as the Vatu-I-Ra Channel that separates Viti Levu and Vanua Levu islands, harbor some of the
most unique assemblages of coral reefs in the world, comprising barrier, fringing, and lagoon
reefs. These reefs support varied biodiversity including large groupers and Napoleon wrasses,
other coral reef fishes and invertebrates, sharks, and cetaceans. The area is also of ecological
importance and of great research interest because it is believed to show resilience toward large-
scale climatic events, including coral bleaching,15 which have devastated reefs in other areas.

32. However, biodiversity in Fiji is threatened due to a number of important factors, including: (i)
cyclones and destructive waves, which cause physical damage to coral reefs; (ii) overfishing;
(iii) pollution and deteriorating water quality; (iv) forest denudation; and (v) introduction of a wide
range of exotic and invasive species of plants and animals that out-compete and displace native
species. The biodiversity resources of Fiji are summarized in Table 7.

33. In keeping with its commitments as a signatory to the international Convention on Biological
Diversity (CBD), a Fiji Biodiversity Strategy and Action Plan (FBSAP) was prepared in 1999.
The Plan outlines the current status of biodiversity resources in the country, and highlights
several key areas that need greater attention in order to ensure the sustained viability of

15
Believed to be a biological response to the warming of ocean waters caused by the El Niño Southern Oscillation
(ENSO).
 11

biodiversity: (i) community support, awareness, involvement, and ownership; (ii) improving the
knowledge base; (iii) developing protected areas; (iv) species conservation; (v) control of
invasive species; and (vi) capacity building and strengthening.

34. The principal weaknesses that are hindering effective conservation of biodiversity resources
at present are inadequate legislation, and institutional failures in establishing and managing
protected areas. The 1997 National Report submitted by the Fiji Islands to the CBD underscores
the lack of a systematic strategy in establishing and managing protected areas in the country.
So far, only 1.4 percent of the total land area is declared as protected area (ADB 2003). While
only about two dozen terrestrial sites are formally protected to date, some 129 terrestrial, marine
and mangrove sites that are included within a larger list, the “Preliminary Register of Sites of
National Significance” have potential biodiversity importance. Listings of Fiji’s protected areas,
and of the sites included on the Register of Sites of National Significance, are presented in
Appendix 6.

Table 7 Native, endemic, extinct, threatened and introduced species in the Fiji Islands
Group Est. total Est. no. (%) Number of Number (%) Number of
no. of living endemic extinct of introduced
native (unique) to species threatened species
species Fiji species
TERRESTRIAL
Birds 56 27 (48%) 7 13 (23%) 11
Mammals 6 1 (17%) 1 2 (33%) 5
Amphibians 2 2 (100%) 1 2 (100%) 1
Reptiles 26 10 (38%) 1 8 (31%) 0
Invertebrates N/A N/A N/A N/A N/A
Macrolepidoptera- 400 17 (4%) 2 N/A N/A
butterflies, moths
Cicadas 15 14 (93%) N/A N/A 0
Phasmids Stick Insects 19 12 (63%) N/A 10 (52%) 0
Odonata Dragonflies, 33 22 (67%) N/A N/A ?
Damselflies
Plants - Flora 1594 893 (56%) 1 281 (18%) 936
Ferns 303 90 (30%) N/A 58 (19%) 7
Palms 24 24 (100%) N/A 12 (50%) 6
Psychotria spp. 76 72 (95%) N/A 21 (28%) 0
Rubiaceae
AQUATIC
Freshwater bivalves, 61 7 (11%) N/A 1 (2%) 3
Gastropods and Crustacea
Fresh and Brackish Water 91 Few if any N/A N/A 10
Fish
Fish (freshwater and 1930 1 (<1%) N/A N/A c.10
marine combined)
Marine Invertebrates
Echinoderms 240 0 (0%) N/A N/A N/A
Crustaceans 262 1? (<1%) N/A N/A N/A
Gastropods - Cones 99 0 (0%) 29 N/A N/A
Gastropods – Cowries 71 0 (0%) 4 N/A N/A
Insects 2 2 (100%) N/A N/A N/A
Bivalves 382 0 (0%) 96 N/A N/A
Source: FBSAP 1999.
12

35. Providing adequate protection for these sites in the future will require additional trained
personnel, capital and material resources, strengthened legislation, and revised institutional
structures. Establishment of protected areas for biodiversity conservation is further complicated
by land tenure practices in the country. Because the vast majority of land is traditionally held, it
follows that most sites of biodiversity significance are found on traditional lands. Because
outright acquisition of such lands by government, in order to set them aside as nature reserves
may not be likely, or even possible under existing laws, innovative options for effective
management of these areas need to be explored. Undoubtedly, such options will need to
include the building of strong partnerships between government, traditional communities, and
other affected stakeholders.

36. Among the biodiversity conservation initiatives that have shown some success are the Fiji
Locally Managed Marine Areas (FLMMAs), a network of village-managed marine protected
areas. Communities are partnering with academia and conservation NGOs in order to develop
effective management mechanisms for each area within the FLMMA network. Another approach
which also holds promise, is the proposed establishment of a World Heritage Seascape in the
Vatu-I-Ra channel/Lomaiviti area that stretches between the two main islands of Viti Levu and
Vanua Leu. Classification of this expansive area as a World Heritage Seascape, and
establishment of a network of community-managed protected sites within the seascape, could
bring international recognition to the area, and help to preserve some of Fiji’s most important
coral reef and marine biodiversity resources.

37. While there have been some modest successes for biodiversity conservation, the threats to
Fiji’s rich biodiversity resources are real and imminent, and in fact some unique habitats and
species have already been pushed to the brink of disappearance. As examples:

• Native dryland forests, once occupying lowland coastal areas, have been almost entirely
eliminated to make way for sugar plantations; only 1 percent of the estimated original extent
of native dryland forest habitat remains today. This habitat is home to the Fijian crested
iguana, an endemic reptile, and a number of other endemic species.

• Increased issuance of logging licenses is resulting in the removal of large trees from old-
growth interior forests. Such practices are destroying habitat that supports biodiversity.

• Black, Norway and Pacific rats, and two species of mongoose, introduced to the islands by
early settlers, have had a devastating impact on all manner of native birds, reptiles, insects
and mollusks. Native species of birds, reptiles, land snails and other organisms, having
evolved in the absence of these predators, have no natural defenses against them.

• Issuance of licenses for longline fishing is not being adequately monitored. Longliners that
are licensed to fish for tuna in open waters are moving into nearshore areas and fishing for
sharks over coral reefs. This has an overall destabilizing effect on the fragile coral reef
ecosystem.

38. These and other examples make it clear that immediate action is needed to halt the trend
toward irreversible loss of Fiji’s unique biodiversity resources. Creating sufficient motivation and
building institutional capacity to protect the country's biodiversity, and to ensure sustainable
development, are the major challenges. Only if these conditions are established will it be
possible to achieve the goal articulated in the FBSAP: “to conserve and sustainably use Fiji’s
 13

terrestrial, freshwater and marine biodiversity, and to maintain the ecological processes and
systems which are the foundation of national and local development.”

5. Mineral and Groundwater Resources

39. Fiji has significant mineral deposits of gold, copper, lead and zinc. Gold has been exported
from the country since 1932 and continues to be a major foreign exchange earner. Large copper
deposits have been discovered at Namosi in east-central Fiji, and copper exploration and
feasibility study is on-going. Bauxite exploration is taking place on Vanua Levu. Quarrying
aimed at exploiting hardrock, gravel and sand deposits is supplying the steady demand for
construction materials.

40. Offshore exploration is still at a nascent stage. Exploratory surveys, however, reveal the
extensive presence of polymetallic massive sulfides (rich in copper, lead, zinc gold and silver)
on the ocean floor, at depths of 2500 m, in the Fiji Exclusive Economic Zone (EEZ). Several
exploration companies have expressed interest in these findings and have applied for
exploration licenses to assess the extent of the deposits and the potential for future
development. An offshore policy is being formulated to set up the legal and regulatory
framework for private marine mineral exploration.

41. Some potential also exists for extraction of hydrocarbons in Fiji. In 1993, a natural oil seep
was confirmed in the South Bligh Water. While one commercial concern was recently involved
in on-land and offshore oil exploration, currently there are no active licenses in place for
exploration. Only if significant deposits were discovered is it likely that the heavy investments
required for further exploitation would be justified.

42. Extraction of groundwater for production of bottled mineral water has grown to be an
important industry in recent years. Authority for regulation of water abstraction for this purpose
is unclear, but has been handled by the Mineral Resources Department. In 2003, export
earnings from bottled mineral water were estimated at FJD45.5 million, up from FJD5.9 million
in 1999, during the early stages of development of the industry. Government recognizes the
value that such a high-visibility export product brings, not only for direct revenue generation but
also in terms of market exposure. Thus the Trade and Advisory Committee is in the process of
establishing strict standards for bottled water to uphold the integrity of this important export
product, which can benefit not only the bottled water industry itself, but also enterprises such as
tourism which are sensitive to maintaining a positive market image.

43. Current weaknesses in the legal and institutional framework for environmental management
pose some risks because of the potential environmental impacts associated with mining
activities. Fortunately, despite the absence of a formal legal instrument for environmental impact
assessment at the present time, the Department of Mineral Resources has voluntarily imposed
this requirement “as a matter of policy” on new and ongoing mining operations. In addition, a
new Mining Act is presently being drafted that will (i) incorporate requirements for sound
environmental management procedures; (ii) establish linkages with the pending Environmental
Management Bill; and (iii) adopt an environmental Code of Practices as an overall guideline to
minimize adverse impacts of mining operations.

6. Water Resources

44. Given the abundant rainfall and relatively intact forest cover that allows capture and
retention of water in underground aquifers, and the presence of several important perennial
14

rivers and streams, the larger islands within the Fiji archipelago have adequate supplies of
water to meet the needs of the population. However, fragmented authority for the use of water
creates the principal barrier to effective and efficient management of this critical resource. At
least four separate agencies share primary responsibility for regulating water use or ensuring
adequate water delivery to the public: (i) the Department of Drainage and Irrigation (Ministry of
Agriculture) regulates the uses of water for irrigation of farmland; (ii) the Department of Lands
(in the Ministry of Lands and Surveys) has responsibility for the utilization and management of
water resources within river basins; (iii) the Department of Mineral Resources (in the Ministry of
Lands and Surveys) has authority for licensing the abstraction of groundwater to be used for
production of bottled mineral water; and (iv) the Water and Sewerage Section, Public Works
Department (PWD) (in the Ministry of Works) is involved with the delivery of safe drinking water
to the public, primarily in urban areas. Correspondingly, there is no piece of legislation that
confers authority on a single government entity for water management. As a result, there is no
clear ownership within any single government department when it comes to addressing the
issues of regulating, managing, and delivering water resources and services.

45. Provision of reliable potable water sources on the smaller outer islands is problematic, since
these small low-lying islands lack significant freshwater aquifers or lenses. Here, rainwater
collected in roof catchment systems provides the principal source of drinkable water for
residents. The Ministry of Regional Development is conducting programs in outer island
locations (Lau and Yasawa Groups) to develop improved roof catchment and ferro-cement or
plastic storage tank systems. At some sites, desalinization facilities are being planned.

46. Wastewater management, though not as fragmented as the management of clean water
resources, is also problematic. As is the case for water supply, the Water and Sewerage
Section of the Public Works Department has responsibility to provide sewerage services to
users, primarily in urban areas.16 In rural areas, responsibility for ensuring that wastewater is
safely disposed of rests with the respective Rural Local Authorities, but in reality is often left to
individual landowners to deal with. It is estimated that more than 50 percent of the rural
population does not have access to proper waste disposal services. In areas where no
sewerage connection is available, typically septic tanks are employed. Peri-urban populations
are also underserved, although ultimately, a number of the sewerage systems serving urban
areas may be expanded to reach peri-urban communities as well.

47. Government is presently considering ways in which the issues of water and wastewater
management can be addressed in a more integrated manner. A National Water Policy
statement has been drafted, and consultations with stakeholders are ongoing, which can
hopefully lead to a comprehensive and integrated “Water Resources Management Act” being
developed and put in place by 2005. Given the overlapping and sometimes conflicting
responsibilities ascribed to various ministries at present, creation of a new ministry may be
required to fully harmonize and integrate the responsibilities that are now divided among
multiple departments, and this is being considered as one possible institutional scenario.

16
The PWD operates a total of 12 regional water supply systems, and has 9 sewerage systems (6 operational, 3
more planned) for urban centers around the country. The systems that are already operational are being enlarged
to expand coverage of the service area. PWD only provides services, but does not regulate or set policies with
respect to water use or wastewater management.
 15

7. Urbanization

48. The population of the Fiji Islands was 775,077 in 1996.17 The total population in Fiji in 2003
was estimated at 831,600,18 with the annual growth rate in 2003 estimated at 0.7 percent. Over
50 percent of the population is rural-dwelling (an estimated 51.9% in 2003), but urban drift is
significant and increasing; the percentage of the total population living in urban areas increased
from 38.7 percent in 1986, to 48.3 percent in 2002. Much of this rural to urban displacement is
due to loss of access to land as farmland leases expire.

49. As a result of the influx of large numbers of impoverished and jobless persons from rural
areas, squatter settlements continue to increase in the urban centers. According to a survey
conducted by the Squatter Resettlement Unit in 1999, 9,231 households (approximately 46,155
people) were living in informal housing throughout the country. The latest available inventory,
conducted by the Ministry of Local Government, Housing, Squatter Settlement and Environment
in 2003, has shown a marked increase from the previous level, to some 13,700 squatter
households (approximately 68,500 people, an increase of nearly 50 percent within four years).
These increases have led to corresponding increases in sub-standard housing, poor sanitation,
overcrowding, pollution, crime, and related urban ills.

50. The lack of an agreed-upon urban policy has contributed to the poor performance of
municipalities in addressing urban problems. There is a need for better public accountability of
Town Councils, which need to assume a larger role in solving local problems and issues on
urbanization. Another problem is the lack of clarity in planning and management for peri-urban
areas. These areas, typically excluded from coverage under urban plans, come under the
authority of the Rural Local Authorities. However, peri-urban areas often have different needs
and a different set of management issues than strictly rural areas, and more attention should be
given to meeting the unique management and planning requirements for these important
transitional areas.

51. In a recent “Urban Policy and Action Plan”,19 recommendations are made to address the
following main issues within the urban environment: (i) haphazard, unplanned urban growth; (ii)
limited capacity of Local Councils (LCs) to fulfill their urban management mandates; (iii)
inadequate affordable housing; (iv) lack of secure tenure, with accompanying inadequate
municipal infrastructure and services; and (v) neglect of populations living in peri-urban areas.
The document includes an implementation strategy which has among its key elements (i) a
strategic urban land development program (upgrading of squatter settlements, provision of
serviced residential lots, and provision of infrastructure services in peri-urban areas); (ii)
devolution of local planning and development activities to local government agencies; (iii)
matching funds for capital improvements; and (iv) capacity building and training for local
governments.

52. While the actions proposed in the Urban Policy and Action Plan have the potential to
address many of the principal urban problems named above, in order to ensure sustainability,
Government will also need to seek ways in which to manage the underlying causes of rural-
urban drift, promote rural development, and address problems relating to the expiration of
agricultural land leases.

17
National census. Census data are only gathered every ten years; the next census will be in 2006.
18
ADB CSPU . August 2004.
19
Ministry of Local Government, Housing, Squatter Settlement and Environment. 16 April 2004. Urban Policy and
Action Plan 2004-2006 (draft).
16

8. Pollution and Waste Management

53. The principal sources of nearshore water pollution in Fiji are from mining, shipyards and
slipways, moorings, sugar mills, timber mills, cement factories, and other industrial operations,
as well as municipal waste disposal sites, sewage, agricultural pesticides and herbicides,
changing land use, and tourism developments. A review of pollution in Suva Harbor revealed
elevated biochemical oxygen demand (BOD), elevated nutrients (nitrates and phosphates),
increased levels of suspended solids, elevated pH, and high coliform bacterial levels, originating
in residential and industrial effluents. Discharge of untreated sewage has resulted in fecal
coliform concentrations several thousand times higher than accepted safe levels in streams
arund Suva.20 have been reported from streams in the Levels of tributyl tin (TBT), likely
contributed through its use in anti-fouling paints for boat hulls, are higher in Suva Harbor than in
any port reported in the literature. Levels of other heavy metals in Suva Harbor are also high,
and are equal to the most polluted harbors in Australia. Lagoon sediments and shellfish from the
Lami area have high levels of mercury, zinc and lead.

54. Large-scale clearing of land, and planting on steep slopes has led to serious soil erosion
problems in some areas, posing a major threat to nearshore coral reefs. Some reefs in the Suva
area were destroyed as early as the 1920s because of heavy sedimentation from the Rewa
watershed. High levels of nutrients (nitrates and phosphates), associated with runoff waters
carrying agricultural fertilizers and pesticides, are found in the nearshore areas around Suva,
and sedimentation and eutrophication of waters in northern Viti Levu and Vanua Levu may have
already caused some damage to adjacent coral reefs.

55. Another problem relating to effluent waters is thermal pollution. At the FSC sugar mills,
water used to cool mill machinery is discharged into rivers or coastal areas still at elevated
temperatures. This is seriously affecting the aquatic and marine life along these stretches of
river and coastline.

56. While air pollution appears to be fairly limited, the Ministry of Health has noted that there is a
high incidence of respiratory disease in some rural areas. It is believed that this may be
attributed to high levels of airborne dust occurring adjacent to unsurfaced roadways (although
this correlation has not been confirmed).

57. Litter and solid waste are a conspicuous environmental problem, especially in and around
urban areas. Solid wastes such as plastic bags and containers, metal cans, and glass, are often
discarded indiscriminately, and end up deposited in large quantities along the coast on beaches
and in mangroves. All but two of the designated municipal solid waste disposal sites in Fiji are
situated in mangrove areas or next to rivers, resulting in the degradation of these very important
ecological areas. These dump sites are poorly managed, and currently accepted landfill
operational and management procedures (e.g., waste segregation, and site covering and
rehabilitation) are not being practiced.

58. Thus far, efforts to institute public programs for recycling, waste segregation, or waste
minimization have been very limited in Fiji. While much of the rubbish at all municipal dumps
could be recycled, in the National State of the Environment Report (1992) it was stated that “the
Suva City dump has exceeded normal capacity, and is merely increasing in height.” Similarly,
according to ADK Consulting Engineers (1998), around 60,000 tons of waste is dumped at Lami
annually.

20
From Fiji School of Medicine, as reported in National State of the Environment Report (1992).
 17

59. As is true in most developing countries, Fiji’s municipal governments lack the power,
resources, and trained personnel to effectively implement waste management initiatives. While
a Litter Decree was enacted by Parliament in 1992 to minimize visual pollution around the
country, adequate manpower for proper implementation is lacking. As is the case for
wastewater, the institutional mandate for management of solid waste in areas outside the urban
centers is unclear, leading to inadequate provision of services in rural and peri-urban
communities.

9. Tourism Development

60. Tourism is increasingly recognized as one of the most dynamic economic sectors,
contributing substantially to the growth of developing countries through: (i) job creation; (ii) rural
and outer islands development; and (iii)

61. Fiji is the main center for tourism in the South Pacific, with tourism arrivals reaching 410,000
in 1999.21 Tourism is the country’s largest contributor to economic growth, investment, and
foreign exchange earnings, with nearly 17 percent of GDP derived from tourism-related
activities. The government has recently announced its target of 1,000,000 visitor arrivals within
ten years. While tourism has brought significant economic benefits, it has also created tangible
environmental threats. These threats become especially evident when environmental principles
are ignored in planning, development, or facilities operation. The following examples highlight
some of the key problems associated with tourism development in Fiji:

(i) Conflicts have occurred between resort operators and local communities. For
example, some coastal resorts have been set up without consultation with the
traditional fisheries rights owners of certain qoliqoli. Tourism development that is
carried out in the absence of adequate consultation and without cooperation from
the community, or which does not involve community members as participants
and potential beneficiaries, can result in heated disputes, disrupt community
social structure, and be detrimental to the long-term viability of the tourism
development itself.

(ii) Some coastal resort developments are poorly designed or inappropriately sited,
and are thus vulnerable to impacts from natural coastal erosion, wave action and
storm surge. Such developments are at risk of damage or loss of costly facilities
and infrastructure.

(iii) A number of smaller resorts, notably along the Coral Coast, have exceeded their
infrastructural design capacity—systems which were initially adequate can no
longer handle existing user loads. One problem that has been reported as a
result has been the discharge of inadequately treated sewage effluent into
nearshore waters, affecting water quality, potentially posing a risk to human
health and safety, and threatening the viability of nearshore coral reefs.

62. Several steps are being taken to improve environmental performance within the tourism
sector:

21
While growth slipped in following years (in part as a reaction to increased threats of international terrorism), the
trend has again been increasing. Arrivals in 2000 were 294,000, in 2001 about 348,000 and in 2002 around
398,000 (WTO 2002, http://www.world-tourism.org and South Pacific Tourism Organization [SPTO], May 2003.
18

(i) Ecotourism has been adopted as an integral component of Fiji’s tourism

development strategy, incorporating principles that support preservation of
unique ecological and biodiversity resources, and environmental sustainability.
This strategy has been formally incorporated into government policy, through
government approval of the National Tourism Development Plan (1998-2005)
and the 1999 Ecotourism and Village-Based Policy and Strategy.

(ii) Government has endorsed “Green Globe 21” as the framework for ‘best
practices’ within the tourism industry. The program involves an industry-wide
system for sustainable tourism and eco-tourism benchmarking and certification,
allowing for monitoring and verification to ensure adherence to sound
environmental management principles.

(iii) Passage of the proposed Environmental Management Bill will help to ensure
sustainable tourism development, and preservation of ecologically important
areas utilized by tourists, especially along the coastlines of Nadi Bay, the
Mamanuca Group, and the Coral Coast.

(iv) While some beachfront resort operators have had disputes with the resource
owners of the qoliqoli (the traditional coastal resource gathering areas), in other
cases, beneficial partnerships between commercial interests and traditional
communities have been formed. The Tavarua Island Resort and the Namotu
Island Resort, in the Mamanuka Islands, are examples where operators and
resource owners have achieved mutually-beneficial agreements. Through a
profit-sharing arrangement, part of the proceeds from these operations are
returned to the community, and used to support initiatives such as improved
housing and scholarships. Another portion of the proceeds is returned to the
resort operators and utilized for improving environmental management. The
operators of these resorts are keenly aware of the natural limits, or carrying
capacity, of the surrounding environment, and strictly enforce limits on the
numbers of visitors in order to avoid unnecessary impacts to the environment,
that could have an adversely effect on their business.

63. While these steps will help to promote better environmental practices within the tourism
sector, the policy and institutional framework for tourism development is still weak and
fragmented, and there is poor coordination among involved agencies. Accordingly, there is a
need for a general policy review with respect to existing sector legislation and management
structures. In particular, institutional overlap should be eliminated to avoid regulatory and
management conflicts. Strengthening capacities and awareness-building within local institutions,
communities, and the private sector are also essential to achieving more widespread
sustainability in the tourism sector. Finally, there is an urgent need to assess the existing
physical, biological and social resources, so that reasonable parameters are established to
measure carrying capacity, to guide the future development of the sector.

10. Energy Sector

64. With light industries and tourism serving as the main engines for economic growth, the
energy requirements of the Fiji Islands have been growing steadily. Total electricity demand in
2003 was around 630,000 megawatt-hours (MWh), or approximately 0.76 MWh per capita.
Currently, about 55 percent of the power requirement is met by production from indigenous
renewable resources, mostly hydropower. The 80-MW hydroelectric project at Monasavu on the
 19

main island provides the bulk of this production, supplemented by a number of small-scale solar
and micro-hydro projects undertaken by the Department of Energy. Power generated through
imported diesel fuel accounts for the remaining 45 percent.

65. About 60 percent of the population has access to electricity. Provision of electricity to rural
communities has improved, through an implementation of the highest number in any year, 140
schemes, in 2003, and a total of 706 schemes over a ten-year period (Table 8). About half of all
households (approximately 48 percent according to the 1996 census results) still rely on
traditional fuels (e.g., fuelwood, coconut shell).

66. While Fiji depends less on foreign oil for energy generation than perhaps most other
countries, hydropower has some environmental vulnerabilities. This was clearly demonstrated in
late 2003, when water levels at the main Monasavu Dam dropped to a meter below the safe
minimum operating level. This resulted in a decrease in electricity generation at the dam, from
70 percent of total production at full capacity, to just 30 percent, resulting in 50 percent
reduction in total production for the year. While, production at the dam returned to normal levels
following heavy rains in early 2004, the Fiji Energy Authority (FEA) is now warning (as of early
November 2004) that rains are low for this time of year so there may be low hydro power
production two years in a row. A trend towards steadily declining hydro power production, as a
percent of total electricity production, has been seen year by year (Table 9).

Table 8 Summary of Rural Electrification Projects Installed (1994-2003)

Number of Schemes, by Type
Year
FEA connection Diesel Solar Hydro Government Station Total
1994 5 9 4 1 0 19
1995 10 20 4 1 0 35
1996 17 17 3 0 0 37
1997 16 12 1 0 2 31
1998 38 39 0 0 0 77
1999 56 75 1 3 0 135
2000 19 14 1 0 0 34
2001 52 33 0 1 0 86
2002 52 58 2 0 0 112
2003 60 79 0 0 1 140
Total 325 356 16 6 3 706
Source: SDP Mid-term Review

Table 9 Percentage of energy from hydro, diesel and bagasse, 1990 - 2002
Year
Source
1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002
Bagasse 0.6 0.5 0.7 0.9 2.0 1.9 3.2 3.2 2.6 4.5 5.7 3.8 3.6
Diesel 4.2 5.4 6.5 5.7 5.4 7.7 15.1 8.4 14.5 12.5 18.0 15.8 22.9
Hydro 94.5 93.4 92.1 92.8 91.9 89.8 81.1 87.8 82.2 82.3 75.6 79.6 72.7
Source: prepared by Dr. Luis Vega from information provided by FEA, 2004.

67. Despite the significant production shortfall that occurred in 2003, scientists and energy
sector specialists generally feel that hydropower and other indigenous, renewable energy
sources are the way of the future and the most appropriate, environmentally-friendly, and cost-
effective means for securing Fiji’s future energy needs. Several programs to pilot-test renewable
resources and methodologies, and to evaluate options for sustainable rural electrification, have
been conducted by the Department of Energy with assistance from various agencies. These
have included ADB’s review of rural electrification policy; the UNDP-GEF project on promoting
20

sustainability of Renewable Energy Technologies (RETs) and Renewable Energy Service

Companies (RESCOs); and the ADB-supported Renewable Energy and Energy Efficiency
Program (REEP). Generally, these programs are investigating market-driven options to develop,
fund and implement renewable energy projects and establish a framework for market-driven
energy efficiency improvements. Apart from the technologies already mentioned, opportunities
to develop wind energy, geothermal, and wave energy schemes are also under investigation.22

68. Another important aspect of energy consumption and demand in Fiji, often overlooked, is
the very real potential that exists for more efficient end-use. In contrast to new technologies that
may be quite costly to develop and initiate, changing end-user practices to encourage more
efficient use of energy, is a cost-effective means to reduce demand and thus conserve valuable
resources, especially non-renewables.

69. Several weaknesses and deficiencies constrain the expanded use of renewables, and
sustainable development generally, in the energy sector. Key among these is the absence of a
market and regulatory environment in which independent power provides (IPPs) might
successfully compete. In addition, the tariffs charged to consumers by the State-owned utility,
the Fiji Energy Authority (FEA), have been only marginally adequate to cover the costs of
production. Having grown accustomed to receiving electricity at subsidized prices, consumers
are reluctant to pay fair market value for these services. Further, disconnection of non-paying
customers is difficult to implement. These conditions create significant barriers to profitability for
electricity providers, thus threatening the long-term viability of their operations.

11. Natural Hazards and Disaster Management

70. The destruction and loss of human life left in the wake of the magnitude 9.0 earthquake and
resultant tsunamis of 26 December 2004, affecting a dozen Asian and African nations, has
caused a global re-thinking of the critical importance of disaster preparedness. Fiji is subject
cyclones, earthquakes, landslides, flooding and storm surges, and is second only to Papua New
Guinea as the Pacific Island Country most affected by natural disasters since 1990. The location
of the Fiji Archipelago between approximately 15o to 20o south latitude places it in a tropical
cyclone belt, with an average of one cyclone passing through its waters every year. Over the
last decade, tropical cyclones, by far the most prevalent and destructive of the natural hazards
occurring in Fiji, have caused an estimated FJD500 million in damage and loss of about 100
lives. The damage caused by Cyclone Kina in 1993 was estimated at $124 million. Cyclone
Ami, which hit the country in early 2003, damaged 50 percent of all buildings and 75 percent of
all tree crops, also causing over $100 million in damage. The Government has had to divert a
significant portion of its capital expenditure budget for post-Ami recovery work, and this is likely
to place a substantial drag on the country’s economic growth, especially in the absence of
foreign assistance. The overall impact of Ami also has graphically shown how poor building
standards have resulted in large infrastructural losses, and aggravated the human catastrophe.

71. Other natural disasters are also known in the islands. Floods occur periodically, and those
which affected the country in April 2004 were estimated to have caused around FJD30 million in

22
While wave energy may be an attractive option in the long term, there are no commercial plants currently operating
anywhere in the world, although there are working prototypes in Europe. Wind is likely to be marginally viable at
best in Fiji, where wind speeds are moderate; energy derived from wind is proportional to the cube of the wind
speed, so a consistently strong wind is important. FEA has signed a power purchase agreement with a private
company to provide about 200 kW (0.2 MW) from a wind farm, and plans to build its own wind farm in 2005-2006
on Viti Levu. Support for two other wind farms is under study and consideration through REEP.
 21

damage. Significant seismic events, while less common, occur occasionally, and include
impacts from earthquakes, landslides, and tsunamis (tidal waves).

72. Since 1918, when reliable recording began in Fiji, a potentially dangerous earthquake of
magnitude 6.0 or more has occurred on an average of once every three years. The magnitude
7.0 quakes in 1928 and 1949 are the largest known to have occurred in Fiji. The area of Rabi
and northern Taveuni was severely shaken (maximum intensity 8.0) by the 1919, 1932 and
1979 earthquakes, causing severe landslides, mud volcanoes, changes to natural water
supplies and severe damage to buildings. The stone church at Napuka sustained serious
damage on each occasion.

73. Eleven tsunamis have been recorded in Fiji, of which three were generated within Fiji
waters. The most damaging tsunami, in 1953, claimed five lives in Suva and Kadavu, and
flooded parts of Suva City. The wave heights in Suva were estimated to be about 2 m, and
about 5 m at Nakasaleka in Kadavu. Had the tsunami occurred at high tide, the damage would
have been more severe.

74. Recently, steps have been taken to improve disaster response and preparedness, and to
improve the performance of the National Disaster Management Office (NDMO). To improve
efficiency, the NDMO has been relocated from the Ministry of Regional Development to the
Ministry of Home Affairs. A Disaster Relief and Rehabilitation Fund (DRRF) was created, with a
budget of FJD2.6 million for 2004.23 A National Disaster Committee has been established in the
Prime Minister’s office to administer the DRRF and assist the NDMO to effectively deal with
disaster events.

75. Other constraints and concerns have been identified that affect disaster response and
preparedness in Fiji. These include the need to: (i) develop early warning systems for floods,
earthquakes, and tsunamis; (ii) provide sufficient funding to ensure public safety and provide
adequate relief assistance to victims; (iii) develop better coordination with the Red Cross,
NGOs, international funding institutions, and other partners; (iv) expand the coverage of the
NDMO to include both manmade and natural disasters; and (v) shift emphasis from disaster
mitigation to reducing risk and vulnerability, in order to help to minimize damage and danger
when disasters occur. The South Pacific Applied Geoscience Commission (SOPAC) has just
completed preparation of a regional Environmental Vulnerability Index (EVI) that will enable
Pacific Island leaders to understand their vulnerability to natural disasters, and put in place
plans and actions to remedy the situation. The EVI, developed in response to the Barbados
Plan of Action for the Sustainable Development of Small Island Developing States, is a model
composite vulnerability index that incorporates both ecological and economic parameters, which
may prove helpful to the Fijian government in better understanding the country’s vulnerabilities
and facilitating improved disaster preparedness.

12. Climate Change

76. An Intergovernmental Panel on Climate Change has confirmed that ADB’s Pacific
Developing Member Countries (PDMCs), already highly vulnerable to natural disasters, may be
among the most susceptible to the adverse impacts of climate change, and therefore the first to
be forced to adapt. Impacts include reduced security of fresh water supply due to higher
variability of rainfall and rising sea levels; coral bleaching; disturbances to agricultural

23
Unfortunately, the urgent need for extensive assistance in the aftermath of flash floods that occurred in early 2004
has already exhausted the annual allocation in the DRRF.
22

production; changed human disease patterns (e.g., the spread of malaria to areas currently
unaffected); and increased climatic extremes, such as unusually intense and unseasonal
cyclones, flooding, droughts, and other natural phenomena. Appropriate responses involve
mainstreaming climate change adaptation strategies (or “climate proofing”) into development
strategies, in order to assess and address risks to the natural environment, infrastructure, and
human development. These measures will involve additional costs to PDMCs.

77. As mentioned in the foregoing section (II.B.11), the Fiji Islands, particularly the low-lying
outer islands and atolls, are already highly vulnerable to extreme weather and climatic events,
including droughts, flooding, storm surge, and cyclones. Future climate shifts may further
exacerbate adverse impacts, including sea-level rise, and increase the costs of disaster
response and rehabilitation. Areas most likely to be affected include coastal ecosystems, marine
resources, and tourism developments, with impacts that will likely be felt in sensitive sectors
such as water and sanitation, energy infrastructure24, agriculture and fisheries. At present, Fiji
has limited capacity to respond effectively to these climate risks. In order to develop and
implement appropriate response strategies, a comprehensive baseline of the current situation is
needed, along with an understanding of the effects of climate change, the degree of
vulnerability, and the national capacity to adapt.

78. A Vulnerability and Adaptation Assessment for the Fiji Islands, prepared by the International
Global Change Institute of the University of Waikato (New Zealand) in partnership with the
South Pacific Regional Environment Programme (SPREP) and the Pacific Islands Climate
Change Assistance Project (PICCAP) Fiji Islands Country Team was produced in 2000. In this
report, vulnerability and adaptation assessment for the island of Viti Levu was carried out under
four sectors: agriculture, coastal resources, human health and water resources. The ADB,
through its regional Climate Change Adaptation Program for the Pacific (CLIMAP),25 has drafted
a climate profile (through a desk study) for the Republic of the Fiji Islands (October 2004). The
profile includes a general vulnerability profile, as well as climate sensitivity analyses for ADB’s
programmed technical assistance projects. Fiji’s principal potential climate-related
vulnerabilities, as identified by these and other studies, include the following:

(i) Water resources: climatic variations could result in reduced rainfall, increased
drought conditions, and failure to recharge groundwater aquifers. Reduced water
availability would have major impacts both on natural ecosystems, especially
forested watersheds, and on human populations.

(ii) Human health: climatic impacts that reduced drinking water supplies and
agricultural production could cause stresses on human health. Injuries, illness,
and loss of human life could occur during cyclones, droughts, and floods.
Climatic disturbances could also induce increased incidence of vector-borne
diseases (dengue fever), water-borne diseases (diarrhea), and toxic algae
(ciguatera). Any such human health impacts would more severely affect the
impoverished sectors of society.

24
The impacts of drought on the operation of the Monasavu hydropower plant, already discussed (Section II.B.10),
graphically illustrate the potential impacts of weather variability on energy infrastructure. It remains to be seen if
ENSO patterns are changing long-term. A climate adaptation strategy with respect to electricity production could
include developing geothermal, wind, biofuels, and solar, even if these are a bit costlier than hydropower, to
provide diversification when weather or climate affects an individual resource.
25
ADB RETA No. 6064-REG, Pacific Department (PARD).
 23

(iii) Fisheries: El Niño events, causing changes in the location of oceanic warm-water
masses, could also affect patterns of movement and capture of commercially-
important migratory species such as tuna.26 Warmer surface water temperatures
could induce coral bleaching events that may result in declining productivity of
coral reefs, upon which a large proportion of coastal populations depend for their
subsistence fishing needs.

(iv) Agriculture: Changing climate patterns could have major impacts on agricultural
crops. Droughts could dramatically reduce crop productivity, with significant
repercussions for human health and nutrition. Adaptive measures, such as
utilization of crops that have reduced water requirements, could help to mitigate
such impacts.

(v) Infrastructure, Coastal Developments and Tourism: The large majority of

infrastructure, urbanized areas and tourism developments in Fiji are found within
the coastal belt, and are thus particularly vulnerable to many of the effects of
climate change. Increased flooding, sea-level rise, and increased storm events,
could severely damage or destroy roads, power transmission systems, hotels
and housing developments, and commercial areas.

79. Within the Fiji SDP, a number of targets are identified that would help in adapting to climate
change impacts. For example, the SDP recommends (i) investigation of historical shoreline
changes, currents, and spatial and temporal dynamics in order to model and monitor coastal
change; (ii) preservation of natural coastal protection through such measures as reduced
mangrove logging and planting of mangrove seedlings, and protection of coral reefs by reducing
coral extraction activities; (iii) implementing engineered infrastructure improvements for flood
control; and (iv) alleviating the impacts of drought through improved water resources
management. Despite the enumeration of such objectives, there is no section within the SDP
dedicated specifically to identifying and integrating climate change issues and concerns. In
addition to these targets, another important adaptation that could help to mitigate the costs and
adverse effects of climate change would include review and modification of design of major
infrastructure, to ensure more effective climate-proofing.

80. With respect to proactive steps being taken to help mitigate global climate change,
government completed its first Greenhouse Gas (GHG) inventory in November of 1997. In
addition to the baseline inventory, the report highlighted biodiversity needs, such as reduction of
deforestation, and establishment of conservation or protected areas for the purpose of reducing
greenhouse gas emissions in the Fiji Islands. These concerns have been included in the Fiji
Biodiversity Strategy and Action Plan (FBSAP) produced in 1999.

81. The Fijian government has also taken steps toward the implementation of agreements under
the Vienna Convention and Montreal Protocol, through passage of the Ozone Depleting
Substances Act (ODS Act) in 1998 and ODS Regulation in 2000. The intention was to establish
an administrative framework for the enforcement of controls and to phase out completely by
2010 the import, use and storage of ozone-depleting substances. The ODS Unit established in

26
During major El Niño-Southern Oscillation episodes, such as in 1997-98, yellowfin tuna become more vulnerable to
purse-seine gear in the central-western Pacific. During an El Niño, the thermocline shoals from east to west,
compressing the preferred, mixed-layer habitat of yellowfin tuna. The change in ocean conditions causes the
yellowfin tuna to migrate up the water column, where they swim closer to the surface, in reach of the purse-seine
fishery. Large yellowfin tuna (>75 cm fork length) are particularly affected by these climatic changes (Source US
Fisheries Southwest Science Center).
24

the DOE monitors and enforces implementation of the ODS Act. The Unit has trained other
enforcement officers, including Fiji Islands Marine Safety Administration (FIMSA) officers;
Quarantine Officers; Customs Officers; Director of Public Prosecution (DPP) Legal Officers; and
a few staff of the Police and Occupational Health & Safety (OHS) office. More than 400
technicians have also been trained in the safe handling, use, and storage of refrigerants, and
two recycling centers have been established in Suva and Nadi within the National Fire Authority
compounds to store used ODSs from the refrigeration and air-conditioning sector. Enforcement
of the ODS Act in 2003 has included confiscation of HCFC-22 refrigerant from companies due
to non-compliance, and issuance of permits to store controlled substances.27

82. The Fijian government has yet to approve a consistent and comprehensive policy with
regard to climate change. However, efforts are being undertaken along these lines. A recent
policy paper28 outlines the following primary policy objectives: (i) mainstreaming; (ii) data
collection, storage, and sharing; (iii) awareness raising; (iv) adaptation; (v) mitigation; (vi)
government commitments to environmental conventions; and (vii) promotion of community
participation and equitable access to assistance among all social sectors, including
marginalized groups.

D. Policy, Regulatory, and Institutional Framework

83. The Fijian Government recognizes the importance of effective and efficient functioning of
institutions for rebuilding confidence in the country. In the area of environmental governance,
legislation aimed at sustainable environmental management must be enforced. To support
effective enforcement and management, measures must be taken to bring about increased
public awareness and understanding, and to effect a change of attitude in order to reduce and
eliminate ongoing environmentally-damaging practices. Environmental Impact Assessment
(EIA) must be strictly imposed upon all development projects, especially for projects located on
environmentally-sensitive sites or in areas that are prone to environmental degradation.

84. In part due to recent political disruptions, until recently, it has not been possible to achieve
needed policy, regulatory, and institutional reform for environmental management, and to
mainstream environmental concerns into Fiji’s economic and development planning and
decision-making processes. A 1998 study29 reported that decision-making at the national level
has traditionally dealt almost exclusively with economic issues, without the integration of social
and environmental considerations. As a result, in the past, the focus has been on short- to
medium-term development policies and strategies, which do not take into account benefits of
environment protection that become evident only over the long-term.

85. Within the present institutional framework, mandates and resources for environmental
management in Fiji are scattered among more than twenty ministries, departments, statutory
bodies and related agencies. While a host of environment-related policies, legislation and
regulations have already been promulgated, implementation and full enforcement are generally
lacking. Policies, laws, and institutional responsibilities need to be better integrated and
harmonized, and adequate technical assistance and funding provided to support these efforts. A

27
Controlled substances include chlorofluorocarbons (CFCs), hydrochlorofluorocarbons (HCFCs),
halons/bifluorocarbonos (BFCs), methyl chloroform, methyl bromide and carbon tetrachloride.
28
Department of Environment. 22 October 2004. Fourth Draft Climate Change Policy Paper for Fiji: Adapting to
Climate Change, Variability and Sea Level Change—Planning for the Future.
29
ESCAP. 1998. Integrating Environmental Considerations into Economic Decision-making Processes at the National
Level.
 25

summary matrix of existing policies, laws and regulations, and agencies responsible for
environmental management, is provided in Appendix 7.

86. Improved political stability over the last three to four years has enabled the Fijian
government to start to tackle some of the major requirements for improved environmental
management. Key among these is a new Environment Management Bill (EMB), currently before
Parliament; it is expected that the bill will be signed into law sometime in 2005. Effective
implementation of the bill, if enacted, will require significant resources to be devoted to building
up capacity and capabilities within the various relevant government agencies. The sections that
follow detail recent progress in reform of the policy, legal, and institutional framework for
improved environmental management.

1. Policy Framework for Sustainable Development

87. The principal policy instrument guiding the sustainable development of the Fiji Islands is its
Strategic Development Plan (SDP), 2003-2005, prepared in 2002.30 The Plan sets as its
medium-term strategy “rebuilding confidence for stability and growth.” It identifies the priorities
that Government must concentrate on during the three-year implementation period. It consists
of an integrated set of policies in the areas of macroeconomic management; economic
development; social and community development; and key cross-sectoral issues, including
environment. To facilitate the implementation of the SDP, a National Economic Development
Council (NEDC) was established, especially to assist in developing mechanisms for integrating
sustainable development policies into national planning and budgeting.

88. The key elements of environmental policy articulated in the SDP are: (i) the critical need for
proper management of the environment and sustainable use of natural resources; (ii)
recognition of the country’s rich natural endowment, which is fragile, diverse and unique; (iii) the
acknowledgement of the existence of serious environmental problems, including land
degradation through expanded development, air and water pollution, inappropriate refuse
disposal, and vulnerability to climate change and sea level rise; (iv) the need to enact
comprehensive legislation to address these problems, and especially to require the conduct of
EIAs for all development; and (v) Fiji’s commitment to the Millenium Development Goals
(MDGs), the World Summit on Sustainable Development (WSSD) Plan of Implementation, and
other international environmental conventions.

89. Specific environmental policy objectives set forth in the SDP are to: (i) minimize degradation
of natural resources and protect biodiversity; (ii) reduce and eliminate pollution; (iii) raise
awareness of the importance of sustainable development; and (iv) initiate environmental
auditing procedures in sensitive sectors and industries. A series of key performance indicators
(KPIs) are identified, by which progress in achieving the policy objectives can be measured.
Similarly, policy objectives and KPIs are established for all major development sectors.

90. A draft mid-term review of the SDP has recently been produced.31 The review provides a
thorough evaluation of progress made since the SDP was released. In particular, the review
evaluates progress toward achieving the KPIs presented in the SDP. Of an original 615 KPIs,
some 149 have been removed because they have already been achieved. Other KPIs have
been deleted to reduce duplication or because they are not relevant. A total of 103 KPIs are
suffering delays due to lack of funding or lack of technical capacity. The number of KPIs that still
30
Government of the Fiji Islands. November 2002. Parliamentary Paper No. 72.
31
National Planning Office. September 2004. Strategic Development Plan: Mid-Term Review. Ministry of Finance and
National Planning, Suva.
26

remain to be achieved after this review are 490. There are recommendations for adding a
number of important KPIs that were not included in the original Plan.

91. An integral part of the policy framework for sustainable development is based upon the
global Millenium Development Goals (MDGs), which were adopted as part of the “roadmap” for
achieving sustainability under the UN’s Millenium Declaration.32 The MDGs have been adopted
by the Fijian government, and are integrated into the SDP goals and objectives, and into the
KPIs. Eight goals representing key focal areas are comprised in the MDGs, including Goal 7,
“Ensure Environmental Sustainability.” Relevant MDG indicators for environmental sustainability
are included among the Country Environment Indicators for Fiji (see Appendix 1).

2. Legal and Regulatory Framework

92. Fiji’s National Environment Strategy (NES), which was endorsed by Cabinet on 20 April
1993, identified weak environmental management capability as the most critical environmental
issue faced by the country. The Department of Environment has identified over eighty Acts that
have relevance for environmental and natural resources management. These laws and
regulations are administered by more than 20 different ministries, statutory bodies, or other
agencies. Most of this legislation is outdated, and ineffective for environmental management in
the modern era. Many of the existing laws overlap, or have sections that are in conflict with one
another. Among the most glaring deficiencies that exist is the absence of a clear-cut, well-
defined, and comprehensive piece of legislation requiring environmental impact assessment
(EIA) of all major development projects.33

93. Recognizing that urgent action was necessary to address these shortcomings, government
in early 1995 approved the drafting of new legislation intended to strengthen, modernize, and
overhaul the existing legal framework for environmental management. In support of this effort,
later in the same year ADB initiated technical assistance through its Environmental Awareness,
Legislation and Database Project for Fiji.34

94. By 1996, legal drafting of a new Sustainable Development Bill (SDB) was completed.
However, the proposed SDB, in its original form, contained 19 parts and 22 schedules, and was
considered by Parliament to be overly broad, and not adequately focused solely on
environmental management issues. In addition, during the period leading up to and following the
2000 coup, work was interrupted on the normal processing of the legislation. As a result of
these and other factors, passage of the legislation has now been delayed for nearly a decade.

95. After a return to more peaceful conditions following the coup, the SDB was significantly
modified, and has been reintroduced as the Environmental Management Bill (EMB) of 2004. It is

32
This resolution was unanimously adopted by all UN member nations during the 8th Plenary Meeting of the UN
General Assembly on 8 September 2000.
33
In the absence of an EIA law, the responsibility for reviewing and evaluating the environmental impacts of proposed
development projects has fallen largely to the Town and Country Planning Department of the Ministry of Local
Government, Housing, Squatter Settlement and Environment. As provided in the Town Planning Act, the Director of
Town and Country Planning has discretionary authority to request an Environmental Impact Assessment for any
projects that involve zoning changes or construction of buildings. Similar discretionary powers are given to the
Director of Lands for foreshore and offshore development, including reclamation.
34
ADB TA No. 2180.
 27

now hoped that this bill may be passed into law sometime in 2005.35 A more detailed account of
the progress and history of this legislative effort is contained in Appendix 8.

96. The revised EMB contains the following principal provisions: (i) mandates the formation of
an Environmental Impact Assessment Unit, and requires EIA for all major development projects,
including those undertaken by the government; (ii) provides for a framework of permitting and
enforcement orders to ensure compliance with pollution control and waste management
regulations; and (iii) contains provisions for ensuring the effective sustainable management of
all natural resources. While the long delays and failure to quickly enact effective environmental
management legislation has no doubt had some weakening effects, it appears that finally the
government is very close to putting in place a critical piece of legislation that can help to secure
environmental and natural resource sustainability for Fiji’s future.

97. Apart from the need for passage of the EMB, a whole host of associated enabling
regulations will need to be drafted, reviewed, and implemented following passage of the bill into
law, to empower the relevant responsible government agencies to action. Apart from that, other
legal instruments will undoubtedly be required to strengthen environmental management. Many
of these have to do with protection of the marine environment and biodiversity resources, and
include (i) enactment of the Marine Pollution Prevention Bill; (ii) review, update, and
implementation of the FBSAP; (iii) implementation of a National Control on Coral Harvesting; (iv)
review and endorsement of the Mangrove Management Plan; and (v) legal declaration of nature
and marine parks.

98. Fiji is signatory to an array of international environmental and resource conventions that
place considerable added responsibility on the Government.36 While these agreements ensure
that the nation has a voice in global and regional environmental policy decision-making, and
strongly support sustainable environmental management principles, they increase the burden
being placed on already overtaxed institutions with limited capacity, which is a serious barrier
limiting government’s ability to carry out its commitments under these agreements. Technical
assistance provided by various international and regional organizations has made it possible for
government to undertake national-level projects, and to participate in regional programs, aimed
at improving environmental management and sustainability. Most notable of these are: (i) the
FBSAP; (ii) Pacific Invasive Species Management; (iii) South Pacific Biodiversity Conservation
Program; (iv) Strategic Action Program for the International Waters of the Pacific Small Island
Developing States; and (v) Oceanic Fisheries Management. As already mentioned, government
has also committed to achieving the Millennium Development Goals (including environmental
sustainability), and the World Summit on Sustainable Development (WSSD) Plan of
Implementation.

35
Until very recently, most legislators and environmental administrators had felt confident that the EMB would be
passed into law during the November 2004 session of Parliament. However, during the publication of the 2005
fiscal year budget on 5 November 2004, it was announced that further consideration and likely passage of the EMB
into law will be deferred until 2005.
36
Both preceding and following its participation in the Rio Declaration (Agenda 21) at the United Nations Conference
on Environment and Development (UNCED) or “Earth Summit” in 1992, Fiji has signed, ratified or other wise been
party to more than 30 international and regional environmental conventions. A complete listing of these is provided
in Appendix 9.
28

3. Institutional Framework for Environmental and Natural Resources

Management

a. Government Institutions

99. As mentioned above, there are apparent duplications, conflicts, and overlaps among the
laws pertaining to environment and natural resources management, and therefore, of the
mandates and functions of the various government agencies and statutory bodies that
administer them. For example, all the following entities have some responsibility for land
management: the Ministry of Lands and Mineral Resources; the Ministry of Agriculture, Sugar
and Land Resettlement; the Native Lands Trust Board; the Department of Town and Country
Planning, (in the Ministry of Local Government, Housing, Squatter Settlement, & Environment);
and the Ministry of Fijian Affairs, Culture and Heritage (especially concerning traditional
communal lands). The same is true in managing forest and fishery areas, coastal and marine
areas, water resources, mining areas, protected areas, as well as in discharging duties like
disaster management, addressing climate change, tourism development, health and sanitation,
and pollution control (see Appendix 7 for a matrix that illustrates the jurisdiction of these
different institutions, together with the related legislation, regulations, policies, strategies, plans
and programs).

100. To help harmonize administration of various responsibilities for environmental

management, it is envisioned that under the proposed EMB, if passed, the Department of
Environment (DOE), within the Ministry of Local Government, Housing, Squatter Settlement, &
Environment, will take the lead in environmental management, impact assessment, and
compliance. Environmental Management Units will be set up within each of the line ministries
having authority in relevant natural resources or environment-related sectors, and will conduct
liaison with the DOE to ensure effective coordination. The new EMB also provides for the
creation of a National Environment Council that will be an advisory body to Cabinet on resource
management policy, and will coordinate the formulation of these policies.

101. While these proposed institutional changes will be a positive step in helping to
harmonize environmental management, it is anticipated that, with passage of the proposed
EMB, the new responsibilities and activities to be given over to DOE, as well as to other key
ministries, will represent an exponential increase in workload. As can be clearly seen from the
existing budget and human resources allocation for the Department of Environment (Table 10
and Figure 1, respectively) this entity has limited capacity for implementation of such a far-
reaching law. While only around 20 professional staff are counted within the department, not
even all of these positions are permanent recurrent staff positions. Rather, most are paid for out
of temporary project budgets or other donor funds (e.g., CIDA-funded Climate Change project;
GEF-/UNEP POPs project; JICA-funded staff for environmental education and environmental
impact assessment, among others). Therefore, it is incumbent upon Parliament to ensure that,
along with passage of the new proposed legislation, adequate budgetary resources are
allocated to enable development of the requisite human resources37 needed for implementation
of all the activities that are required for effective environmental management, including research
and information management, planning, compliance monitoring, and enforcement. Such support
will clearly represent the most tangible evidence of governmental commitment to truly
mainstream environmental concerns within national economic development planning and
decision-making processes.

37
Currently with only 8 permanent budgeted positions, the Department of Environment has already requested that
some 23 additional staff be added to its current technical complement, once the EMB is passed into law.
 29

Table 10 Budget and Staffing, Department of Environment, 2003-2005

Year
2003 2004 2005
Recurrent budget (FJD
‘000) 1,115.8 2,144.3 1,166.9
Budget, operations and
maintenance (FJD ‘000) 5.6 6.4 7.0
Budget, travel and
communications (FJD
‘000) 9.6 9.1 8.8
Number of professional 8 (+23 additional
staff 8 8 requested)
Source: Department of Environment

Figure 1 Organizational Chart, Department of Environment

DIRECTOR OF
ENVIRONMENT (1)

Principal Environment
Officer (1)
Legal Officer (1)
Senior Environment
Officer (1)

Natural Resources
Environment Officer, Management (1+1)
Education and
Environment Officer, Information (1)
Waste/Pollution (1)
Volunteer (JICA), PROJECTS:
Education and -Climate Change (1)
Information (1) -Ozone-Depleting
PROJECTS: Substances (1)
-International Waters
-Persistent Organic Program (1)
Pollutants (2) Project Officer, EIA (1) (plus 4 assistants)
EIA Expert (JICA) (1)

Source: adapted from information provided by Department of Environment

Positions indicated in italics are non-recurrent positions

b. Other Institutions

102. A host of other institutions, including international financial institutions (IFIs) and bilateral
donors; non-governmental organizations (NGOs); academia and research institutions; social,
traditional, and religious groups; and the private sector, all potentially have key roles to play in
planning, policy-making, and support and implementation of sound management practices for
Fiji’s environment.
30

103. IFIs and Donors. Numerous IFIs and bilateral donors fund activities in Fiji, and many of
these maintain offices in Suva. Among the key partners in this category are European Union
(EU), Australia, New Zealand, Japan, the United Nations, ADB and World Bank. Despite the
large number of organizations, the total level of funding support being delivered to Fiji is low, on
a per capita basis, as compared to other countries in the region. A summary of key projects
being financed by these partners, and their linkages to ADB’s own funding activities, is
presented in Appendix 10.

104. NGOs. Among the NGOs active in Fiji, several have mandates that include
mainstreaming of environmental considerations into the policy and planning framework,
conducting environmental advocacy, and raising environmental consciousness and awareness
within formal and non-formal educational sectors, in both urban and rural communities. Many of
these are international or regional NGOs that have a strong presence in the country (often with
regional offices located in Suva). A representative listing of NGOs that are undertaking
environment-oriented activities in the country is presented in Appendix 11.

105. Academia and Regional Intergovernmental Agencies. The premier institution of

higher learning in the country and the region, the University of the South Pacific (USP), has
many ongoing, completed and planned research and demonstration projects that are relevant to
environmental and natural resources management issues. These include (among others)
projects and studies on environmental policy, community based management, coastal
resources management, forestry, and climate change. Regional intergovernmental agencies
active in Fiji, that have an environmental focus include Forum Secretariat, SOPAC, SPC, and
SPREP.

106. Social, Traditional and Religious Groups, and Women. Various civil society groups in
Fiji wield great influence in national decision-making processes. Interests of indigenous Fijians
are represented through the Native Land Trust Board (NLTB), the Ministry of Fijian Affairs, and
the Great Council of Chiefs (among others). As the majority landowners, indigenous Fijians
control access to most of Fiji’s natural resources, and thus have key responsibilities in resource
management and environmental preservation. Because of the high degree of participation
among members of all communities in their respective religious practices (with Christianity being
practiced primarily by the indigenous Fijians, and Hinduism and Islam being practiced mainly by
Indian Fijians), opportunities exist to utilize churches and temples as media for disseminating
environmental messages and instilling a sense of environmental responsibility and ethical
behavior among religious observers. As family caregivers, women, too, have a potentially
important role to play in supporting environmental sustainability and passing along
environmental teachings to future generations.

107. Private Sector. Natural resources are exploited for revenue generation and economic
gain through private-sector enterprises. Therefore the private sector has a heavy obligation to
ensure that the resources being tapped are utilized in a sustainable manner. The resource base
needs to be maintained, both for the public good, and to guarantee that adequate opportunities
for economic development will be available for future generations. The continuing viability of
such sectors as agriculture, fisheries, forestry, and tourism depends directly upon the continued
health of the environment and upon available natural resources.

108. The presence of such a diversity of institutions that have important roles to play in the
environmental arena offers the potential to offset some of the weaknesses inherent in
government institutions. It has been pointed out, for example, that government has so far failed
to fully utilize the many data and human resources that are available within these other
 31

institutions, to assist with the planning and implementation of environmental projects. More
effective partnering between government and these other types of institutions could provide the
stimulus to revitalize better environmental decision-making, planning, and management, with
benefits to be realized by all parties concerned, across a multitude of sectors.

IV. PRIORITIES FOR ACTION

A. Recent Environmental Record

109. The SDP of 2002 set a policy framework for Fiji to pursue economic development in an
environmentally-sustainable way. The National Environment Strategy (NES),38 prepared in
1993, identified several environmental issues of major significance, first and foremost of which
was “the inability of Government to manage natural resources on a sustainable basis because
of inadequate policies, legislation, forward planning and administration.” The government
responded by calling for the drafting of legislation to address this critical need. Although more
than a decade has elapsed, passage of the proposed legislation (in its present form as the
EMB), is still pending.

110. During the past 10 years of waiting for the enactment of the EMB, Fiji’s institutional set-
up for environmental management has been in a state of flux, with mandates and resources
scattered among more than 20 ministries, departments, statutory bodies and related agencies.39
While numerous environmental policies, laws and regulations already exist on paper,
implementation is generally inadequate, with lack of resources and capacities across the whole
administrative spectrum. This has led to ineffective legal enforcement and compliance in many
cases.

111. The absence of a well-articulated law requiring EIA is one area of particular concern. In
light of this situation, environmental compliance has been handled as a discretionary matter by
various agencies. For example (i) at the discretion of the Director of Town and Country
Planning, EIA may be requested for projects involving the subdivision of land (under the
Subdivision of Land Act) or for projects involving the construction of buildings, or requiring
changes in zoning (under the Town Planning Act); and (ii) at the discretion of the Director of
Lands, EIA may be requested for projects for foreshore or offshore development (e.g.,
reclamation projects), or, if illegal reclamation has already occurred, the Director may call for
preparation of a management plan in lieu of an EIA. In addition, other departments may also
establish requirements for EIA on a discretionary basis. For example, the Director of Mineral
Resources has called for EIAs for all new mining operations as a matter of policy, in the
absence of a formal requirement to do so.

112. While this discretionary system has worked reasonably well in helping to avoid serious
impacts to Fiji’s environment over the years, there is always the danger that projects posing
significant environmental threats are not subjected to EIA, because of the lack of a legal
requirement. In addition, under the current system, there is some argument about whether the
government itself is or should be exempt from an EIA requirement, for projects that it
undertakes. Under the proposed EMB, all projects would be evaluated to determine the level of

38
Watling D. and Stuart Chape. 1993.
39
Including the Ministry of Agriculture, Sugar and Land Resettlement, Ministry of Fijian Affairs, Culture and Heritage,
Ministry of Fisheries and Forests, Ministry of Health, Ministry of Home Affairs, Immigration and National Disaster
Management, Ministry of Local Government, Housing, Squatter Settlement and Environment, Ministry of Lands and
Mineral Resources, Ministry of Tourism, Ministry of Regional Development, Ministry of Works and Energy, the
Native Lands Trust Board (NLTB), Native Land Commission, and many others.
32

environmental assessment required, regardless of whether the proponent is a government- or

non-government entity.

113. The absence of an enforceable EIA law is recognized as one of the major shortcomings
in Fiji’s environmental management framework. Apart from this critical deficiency, the principal
shortcomings within government that are hindering effective implementation of sound
environmental management practices are institutional ones, especially limited capacity, as
reflected by inadequate numbers of skilled, qualified, and trained personnel. Underlying this
institutional weakness are budgetary deficiencies. Beginning about 10 years ago, when
government articulated its intention to follow a sustainable development path, and began efforts
to enact focused environmental legislation, these institutional deficiencies have been in part
made up for by (i) actions undertaken by stakeholders within civil society, and (ii) efforts
supported by external assistance. Nongovernmental organizations (NGOs), regional inter-
governmental agencies, and academic institutions have played an important role in carrying out
a number of important environmental projects, especially in the areas of biodiversity
conservation, water resources management, and awareness-raising, among others. Assistance
from external donors, bilateral aid agencies, and international financial institutions (IFIs), has
also been critical in advancing work in key environmental areas, such as policy and institutional
strengthening, climate adaptation, development of renewable energy, and biodiversity
conservation. It is expected that reliance on such sources of technical and financial assistance
will continue for some time to come, at least until the Fijian governmental institutions having
responsibility for environmental management are on a much firmer footing, both in terms of
technical capability and budget allotments.

114. While the delay in passing a comprehensive environmental bill into law must be
regarded as a serious failure of government, there is a feeling of confidence that the legislation
will be voted into law and signed sometime in 2005. It is expected that the institutionalization of
virtually all activities for sustainable environmental management will flow from the EMB. Thus
the importance of passing this bill into law as soon as possible cannot be overstated.

B. Environmental Information and Data Needs

115. Review of most government documents and statistical compilations for accuracy of data
shows numerous flaws, inconsistencies, and gaps in the quantitative data being presented.
Worse yet, it has been reported that the quality of environment-related information being
gathered and reported in Fiji shows a deteriorating trend. This deterioration is most likely the
result of several causes, among them, reductions in the funding of monitoring efforts, and also,
the cumulative effects of collecting information without a good understanding of the reasons for,
and importance and benefit of, the data-gathering effort. While new information is being
gathered for projects in well-defined areas of emerging environmental priority, such as climate
change, little support has been provided to establish a broad-based, integrated information
system for gathering, processing, interpreting, storing, and disseminating critical environmental
data. Planning documents such as the SDP incorporate targets for sustainability based on
measurement of quantifiable indicators (KPIs and MDGs), but how can these be properly
measured if a well-designed and functional monitoring system is not in place? For effective
planning, monitoring, and evaluation in virtually all sectors, more consistent, reliable, and
comparable sets of data need to be gathered in a time series.

116. These observations lead to the conclusion that reforms in monitoring, data collection,
and reporting and information dissemination are urgently needed to properly inform the
environmental planning, management, and decision-making process. Some specific data
 33

deficiencies and needs in the environmental and natural resources sectors are briefly presented
below:

• Environmental Planning: There is a need to prepare and update a national state of the
environment report and national environmental strategy every 4-5 years for national
environmental planning purposes. The value of these reports would depend upon regular
and accurate environmental monitoring conducted as part of a periodic natural resource
inventory.

• Biodiversity: Although the IUCN Red Data Book offers a good initial assessment of Fiji’s
terrestrial vertebrates, the list is deficient in many other areas. For example: (i) though about
60 plant species are listed as endangered, an additional 200-300 plants species may qualify
for endangered status based on their very limited distribution; (ii) a large number of fish and
invertebrate species have not been adequately evaluated; and (iii) specific notable
deficiencies include listings that are lacking for endemic land snails, endemic insects (e.g.,
Fijian longhorn beetles, Fijian stick insects), and a number of tree species only known from
single recorded occurrences. More comprehensive field surveys are required for describing
biodiversity resources, characterizing threats, and feeding into biodiversity planning,
especially through periodic updating of the Biodiversity Strategy and Action Plan.

• Protected Areas: A systematic survey of areas of ecological and biological importance is

needed. While a good start has been made in the marine environment through the Fiji
Locally Managed Marine Area (FLMMA) Network, additional marine and terrestrial sites
must be identified, and set aside for legal declaration as protected areas, in order to ensure
preservation of valuable biodiversity resources.

• Traditional Resources Management Practices. While traditional resource users have

both the right and the responsibility to manage their own resources, both through the
matagali on land and through the qoliqoli in nearshore areas, they usually lack the
information needed to ensure that resources are appropriately utilized and managed. As a
result, unsustainable practices are legitimized through owners’ granting of resource use
rights to other operators through leases, licensing arrangements, or joint ventures. It is
feared that such arrangements could seriously threaten the sustainability of a variety of
fragile natural resources, including natural timber stands, commercially important fish stocks,
and other significant biodiversity resources.

• Health: A variety of environmental data is needed to support public health planning. For
example, parameters for the incidence of water-borne disease, as well as water quality data,
need to be more widely and regularly gathered.

• Tourism: Project-specific and sector-wide studies of carrying capacity for tourism

development are required. Carrying capacity studies should evaluate expected
environmental impacts of varying levels of development, using such indicators as water
demand, water quality, solid waste generation, potential social impacts, and possible
impacts on biodiversity resources of tourism interest (e.g., coral reefs, native forests). In
addition, information for the tourism sector is apparently not segregated within the national
GDP database (though estimates of tourism’s contribution to the national economy have
been made; see Table 1, and Section II.C.9). Such fundamental information would be very
useful in assessing trends and facilitating better economic planning in the future.
34

• Fisheries: A disparity in the estimates of total allowable catch (TAC), as concluded by

government, vs. the estimates produced by the SPC, are worrisome—without accurate
catch data, if excessive fishing is permitted in Fiji’s EEZ, the sustainability of tuna stocks
could be threatened. Studies are required to accurately assess the standing tuna stocks,
and also to establish appropriate valuation of those stocks, so that more appropriate
licensing fees can be established. The contribution of fisheries to GDP may also not be
accurately known.40

• Forestry: Improved statistics concerning the extent and composition of native forested
areas need to be confirmed and verified. In some cases, it appears that data reporting the
total area of forest cover combines areas of native forest with forest plantation. While this
information may be acceptable for some purposes (e.g., calculating total vegetation biomass
available for sequestration of atmospheric carbon, with implications for mitigating climate
change), it cannot be used to support other types of investigations (e.g., assessment of
biodiversity resources in native forests).

• Climate Change: While fluctuations in sea level in Fijian waters have been accurately
recorded for many years, data about other climatic parameters is required to assess climate
change impacts. Such data are important for enabling appropriate adaptation and response.
As an example, changing climate patterns may affect crops, fish populations, stored water
for irrigation, drinking, and power production, and a range of other important sensitive
resources. Without adequate data to know the current status of resources (and ideally, to
forecast future trends) climate change vulnerability is heightened, with potentially greater
impacts that could affect the economic and physical well-being of the population.

• Energy: There is a general need for greater precision in the gathering and reporting of data
within the energy sector. Examples of areas where available information is vague or limited
include figures for household and per capita energy consumption, uses of traditional fuels
vs. modern energy sources, comparisons between rural and urban communities regarding
access to energy, and quantitative data for alternative energy schemes (e.g., number of
beneficiaries, amount of energy produced).

C. Review of Country Strategy and Program (CSP) and Country Strategy and
Program Update (CSPU)

117. Since 1970, and through December 2003, ADB has funded 15 loans to Fiji valued at a
total of $224.9 million. These have included three loans for road upgrading, two for port
development, three for the power sector, three for agricultural and rural development, two for
the development bank, one for low-income housing development, and one for water and
sewerage upgrades. Currently, three loans are being implemented: the Third Fiji Road
Upgrading Project (FRUP III) worth $40.0 million; the Fiji Ports Development Project worth
$16.8 million; and the Suva Nausori Water Supply Project, valued at $47.0 million.

118. In the same period (1970-2003), 74 grant-funded TAs have been approved and
implemented, totaling $23.0 million. These advisory TAs have covered a wide range of needs,
including strengthening debt management capacity, support for land mapping, port asset
management, supporting economic management and development policies, and

40
Fisheries contribution to GDP was estimated by consultants (Gillett and Lightfoot) to be131.8 percent greater than
the government estimate.
 35

implementation of an ICT strategy. Most of ADB’s assistance to Fiji in environmental sectors

has been through its TA grants, including projects in forestry and agricultural development;
tourism master planning; watershed management; and environmental awareness, legislation,
and database. Other TAs have targeted improved environmental management of infrastructure,
such as rural electrification, and capacity building for water and sewerage services. The current
ADB country program for Fiji is presented in Appendix 12.

119. In May 2003, the ADB Board approved the establishment of a South Pacific Subregional
Office (SPSO) in Suva, and the office was officially opened and inaugurated 18 June 2004. The
presence of the SPSO in Suva is expected to substantially improve ADB’s operations in the
country, including its portfolio performance, since it should enable better communications and
closer coordination with government agencies, and facilitate improved project monitoring and
management.

1. Strategic Priorities

120. The long-term goal of ADB for the Fiji Islands, as articulated in the most recent Country
Strategy and Program Update,41 is to raise the living standards of the Fijian people, especially
among the poor. To realize this goal, the guiding objectives that are identified are to: (i) support
increased public investments in productive physical infrastructure development in key sectors
for stimulating economic growth and poverty reduction; (ii) strengthen the associated policy,
institutional and regulatory frameworks, including setting appropriate tariffs and revenue
collections to instill good governance and accountability; and (iii) support increased private
sector participation and competition in key sectors by creating enabling conditions for private
sector as well as public-private partnership development.

121. Three key sectors are identified in the CSPU, within which ADB’s programmatic activities
are to be focused, including: (i) infrastructure development, (ii) agriculture and natural
resources, and (iii) environment. The levels of progress for program development within these
different sectors is directly reflected in the kinds of loans acquired by the Government and TAs
granted by ADB. Perhaps because Fiji only has access to funds from Ordinary Capital
Resources (OCR), the country’s loan portfolio is weighted heavily towards “hard” improvements,
i.e., infrastructure development.

122. Under infrastructure development (which includes transport, urban development, ICT,
and other social services infrastructure), ADB’s on-going loans are focused on road upgrading
and improvement (FRUP III, approved 1997), ports development (Fiji Ports, approved 2002),
and water and sewerage (the Suva Nausori Water Supply and Sewerage project, approved
2003). The indicative lending program for infrastructure includes a proposed concept for Power
Sector Development,42 including Rural Electrification (for 2005); a continuing road upgrading
project (FRUP IV, programmed for 2005); an Airport Rehabilitation and Upgrading project
(programmed for 2005); an Urban Sector Development project (for 2006); and a Rural and
Outer Islands Development Project.43 These loan projects will be strengthened through
associated technical assistance projects for road upgrading (FRUP IV), urban sector

41
ADB. 25 August 2004. Fiji Islands Country Strategy and Program Update (2005-2007).
42
ADB. Fiji Islands Pwer Sector Development Program ADB Reconnaissance Mission 18-26 October 2004
Memorandum of Understanding.
43
The scope of the Rural and Outer Islands Development Project, originally initiated for tourism development and
biodiversity conservation in the outer islands, is in flux. As most recently conceived, the project includes major
elements for infrastructure development. Agreements regarding the scope of the project are still to be finalized
between ADB and Government.
36

development, rural and outer islands development, and improved aviation sector performance,
all included within the indicative program.

123. Currently, there is a relative paucity of projects in the other key sectors identified in the
CSPU. In the agriculture and natural resources sector, a PPTA for Alternative Livelihoods
and Development is being concluded. This PPTA proposes alternative livelihoods that will help
to provide income for families of workers displaced from livelihoods in the sugar industry. The
loan for this activity is included in ADB’s indicative scheduling and is expected to commence
within the first quarter of 2005. In addition to these projects, only ADTAs for Implementation of
Sugar Sector Restructuring (approved 2002), and Fisheries Sector Review, are currently
underway. Also within this sector, upcoming projects included in the indicative program are
Strengthening Commercial Agriculture Development (piggybacked to the Alternative Livelihoods
project, targeted for 2004) and further technical assistance for fisheries development (targeted
for 2007). There are currently no projects included in ADB’s country program for Fiji within the
environment sector.44

124. Remaining ADB projects within the country program for Fiji are all TAs in such cross-
cutting disciplines as public sector financial governance, economic management, women’s plan
of action, capital market development, and private sector development. In general, most of
these projects have relatively little overlap with environmental mainstreaming objectives.

125. In addition to projects within the country program, two regional TAs that are currently
nearing completion should help to promote improved environmental management in Fiji. The
first, Formulation of the Pacific Region Environmental Strategy (PRES), seeks to identify
effective environmental management strategies through a series of case studies around the
region. In the Fijian case study for the PRES, a strategic environmental assessment was
conducted of Fiji’s Tourism Development Plan. The purpose of a second regional project, the
Climate Change Adaptation Program for the Pacific (CLIMAP), is to ensure that Pacific Island
nations are able to adapt to climate change and variability. For Fiji, a climate profile was
prepared through a desk study, which provides a general assessment of the country’s climate
vulnerability, and identifies climate-sensitive projects within the ADB program.

2. Assessment of Environmental Impacts

126. Of 33 TAs included in the Fiji country program over the last 10 years (1994-2003), three
have had clear environmental or natural resource implications. These are (i) the Environmental
Awareness, Legislation, and Database Project advisory TA; (ii) the Agriculture Sector Study
advisory TA; and the Suva-Nausori Water Supply and Sewerage Development Project PPTA.
The single environment-related loan from ADB during this period is for the development of the
Suva-Nausori Water Supply and Sewerage system.45

127. Institutional Strengthening and Capacity Building. In April 1993, the Government of
Fiji Islands adopted the National Environmental Strategy (NES)—a broad-based program of
action aimed to place the Fiji Islands firmly on a path to sustainable development. More
specifically, the NES, which was prepared with ADB’s assistance,46 called for enhancing

44
A small TA to provide support for the implementation of the Environment Bill, originally included in the indicative
scheduled projects for 2004, has been dropped.
45
The primary classification of the loan project is for Poverty Intervention, and secondary classifications are for
Human Development and Environmental Protection.
46
ADB 1990. Regional Technical Assistance for the Strengthening of Environmental Management Capabilities in
PDMCs.
 37

environmental awareness and education and informing the public of the benefits of
environmental management and conservation. It also sought to improve environmental
management capacity within the government’s mandated institutions, and strengthen
environmental legislation.

128. As already noted, responsibility for environmental management in the Fiji Islands has
been highly fragmented, with line ministries given discretionary authority for management within
their respective sectors. This has led to duplication of activities and inconsistent environmental
policies across sectors. Recognizing the need to consolidate authority for environmental
management and policy-making, the Department of Environment (DOE) was established in
1993 under the (then) Ministry of Housing, Urban Development and Environment. However, it
soon became apparent that the newly formed DOE would require significant institutional
strengthening assistance to fulfill its legislated mandate. ADB responded with another advisory
TA,47 with objectives for strengthening the institutional capability of the DOE, increasing
environmental awareness, helping to prepare comprehensive environmental legislation, and
developing an environmental information system.

129. While at the time this TA did result in some tangible improvements and was considered
generally successful, more than ten years after its implementation, many of its objectives remain
largely unachieved, as reflected by the following:

(i) legislation for environmental management is still pending, with no comprehensive

environmental management law yet in force;

(ii) the success of efforts to raise environmental awareness must be questioned,

since there is little evidence that government officials, especially at higher levels,
are sufficiently aware of key environmental issues, nor are motivated enough to
take the strong actions necessary to address them, and have the political will to
effectively mainstream environmental considerations into national level policy-
making and budgeting;

(iii) the Department of Environment has significant weaknesses in staffing and

technical capacity, and has been given neither the mandate nor adequate
resources for effective environmental management; and

(iv) while a database system has been set up within the Department of Environment,
the system is in need of upgrading. Furthermore, a more comprehensive
information management framework is needed, that will facilitate the gathering,
storage, and dissemination of consistent and relevant information for more
effective environmental management.

These deficiencies point to an urgent need for a comprehensive program of added

environmental institutional strengthening and capacity-building.

130. Social Infrastructure. Aside from projects aimed to build capacity in Fiji’s environmental
institutions, ADB also has provided assistance to improve the water supply and sewerage
system for the Suva-Nausori area. The PPTA48 was implemented to prepare a master plan for
the development of water supply and sewerage services, and to formulate an investment project
for ADB financing. The loan for the Suva-Nausori Water Supply and Sewerage Project, and an
47
ADB 1994. Technical Assistance to Fiji Islands on Environmental Awareness, Legislation and Database.
48
ADB 1998. Technical Assistance to Fiji Islands on Suva-Nausori Water Supply and Sewerage.
38

associated advisory TA on Capacity Building in Water and Sewerage Services are currently
underway.

131. As part of an advisory Urban Sector Strategy Study TA,49 an Urban Policy Action Plan
2004-2006 has recently been drafted. The TA also supports the preparation of a Greater Suva
Region Urban Management Plan. While aspects of urban environmental services provision are
covered in the Action Plan, there is little emphasis given to understanding and establishing the
basis for overall improvements in urban environmental quality and health.

132. Agriculture, Marine, and other Natural Resources. ADB has conducted several TAs
aimed at strengthening various elements within the agriculture sector. The Bank’s support
under the current work program for restructuring the sugar industry has already been described.
In a related area, since only the project preparation for the Alternative Livelihoods Development
Project has been completed to-date, it remains to be seen whether this project will help to bring
about meaningful access to sustainable livelihood opportunities for those workers displaced
from work in the sugar industry. The Fisheries Sector Review project, an advisory TA started in
late 2004, is the only ADB project in recent years that is dealing with marine resources. ADB
has not provided support to the forestry sector for more than 10 years. An advisory TA50 was
implemented in 1993 to activate and strengthen the Forestry Economics Unit (FEU) of the
Forestry Department, to enable it to conduct high priority studies on the proper utilization of the
country’s forest resources. While this TA was generally successful, there is still a need for
stronger organization and logistical support at the FEU, and within the Forestry Department, to
identify and address critical issues relating to resource exploitation within the sector. In terms of
other natural resources, ADB conducted a preparatory TA in 1989 for watershed
management,51 but a loan project for watershed management never materialized. ADB has not
yet implemented any projects in Fiji with a specific focus on management in other ecosystems,
or on biodiversity conservation.

3. Coordination with Other Funding Institutions

133. External assistance has been a critical element in Fiji’s economic and social
development. Key partners have been ADB, the European Union (EU), Australia, New Zealand,
Japan, and various United Nations agencies. The universality of the Millenium Development
Goals (MDGs), which have been embraced by the government, suggests a common ground for
closer cooperation among these various agencies. During Fiji’s first round-table donor
coordination meeting (April 2003), stakeholders agreed that: (i) there is a need for better country
ownership of development assistance; (ii) wider stakeholder consultations are required for better
utilization of aid funds; and (iii) improved coordination among external agencies is needed to
minimize duplication of effort and reduce transaction costs. ADB has actively sought to
coordinate with development partners, including World Bank and other regional agencies, and is
promoting cofinancing in all its activities. The EU and ADB have developed close partnering
relationships in the agricultural sector, especially in sugar industry reforms and the proposed
alternative livelihoods project.

134. For its Rural and Outer Islands Development Project, in cooperation with World Wildlife
Fund (WWF), ADB has drafted a proposal for funding from the Global Environment Facility
(GEF). This funding, if granted, would be used to support marine biodiversity conservation
activities that could enhance sustainable ecotourism enterprises in rural and outer islands
49
ADB 1999. Technical Assistance to Fiji Islands on Urban Sector Strategy Study.
50
ADB 1993a. Technical Assistance to Fiji Islands for Institutional Strengthening of the Forestry Economics Unit.
51
ADB 1989. Rewa and Ba River Watershed Management (Phase I).
 39

communities. However, as earlier mentioned, the scope of this project is still not confirmed, and
needs to be agreed upon between government and ADB. (Refer to 10 for an overview of recent
external assistance to Fiji, showing linkages between ADB’s funding activities and those of other
international and multilateral funding institutions).

4. Conclusions and Recommendations

a. Priorities for Sustainable Development in Fiji: Sectoral Goals and

Objectives

135. In the SDP, priority thrusts were identified by Government under each key natural
resource and economic sector. In addition, during the consultative process undertaken as part
of this CEA, especially in working group sessions of the Consultative Workshop, stakeholders
helped to identify the principal sectoral goals and priorities. Taking into account the most
pressing issues, the key sectoral goals and objectives are summarized here to serve as a basis
for decision-making and identification of potential interventions and projects that could help to
promote better environmental mainstreaming and improved environmental management in the
future.

136. Land Resources Development. The key to sustainable development of land resources
in Fiji will be through establishment of an effective land management system. Given the rigidity
of the ALTA, government has proposed an alternative lease arrangement under the Native
Lands Trust Act. Working in close consultation with the NLTB, there is an urgent need to
harmonize traditional tenurial rights, with the requirement that all of Fiji’s citizens be given fair
and equitable access to land. Land use planning processes need to be strengthened, to ensure
that (i) inappropriate land uses are minimized (e.g., residential, industrial, and infrastructure
development is not implemented in flood zones, upland watersheds are not cleared of forest
cover, etc.); (ii) areas of special significance (e.g., wildlife habitats, critical ecosystems,
watersheds, historic sites) are protected and preserved; and (iii) lands are generally are utilized
in an appropriate manner compatible with economic, social, and environmental requirements.
Land use planning processes need to be conducted at the national, divisional and district level.

137. Agriculture and the Sugar Industry. Lack of commitment to pursue reforms, and lack
of cooperation among key stakeholders in the sugar industry have contributed significantly to its
poor performance. There is a need to review and restructure the industry to make it more
efficient, sustainable, and commercially viable. Two recent studies—the ADB Intermediation of
Sugar Sector Restructuring (2003) and Indian Technical Team Report on Revival of the Sugar
Industry (2004)—have recommended ways to bring about improvements in the industry. A
House of Representatives Select Committee has been set up to consider the recommendations
of the Indian study. Through a related loan project (Alternative Livelihoods Development) ADB is
expected to assist farmers in sugar-producing areas.

138. Apart from dealing with land leasing and access issues, and associated livelihood
development problems, the steps that need to be taken to deal directly with problems in the
sugar industry include: (i) improving the general physical condition of the mills as well as the
industry’s transportation system; (ii) rehabilitating sugar lands that have been damaged or
depleted through inappropriate cultivation practices and (iii) achieving diversification within the
industry, and within the agriculture sector generally. Diversification within the sugarcane-
growing industry itself means that different revenue-generating uses are identified for the
sugarcane crop, other than sugar itself. For example, production of ethanol for fuel use and
human consumption, extraction of specialty compounds such as polycosinol (a high-value
40

compound used for lowering cholesterol), and generation of electricity from sugarcane biomass,
are only some of the options for diversification of sugarcane-based products to be considered
(discussed in greater detail in Appendix 5).

139. Diversification within the agriculture sector as a whole is a priority that has been
identified within the SDP, and should help to provide alternative livelihood opportunities for a
portion of the workers who are displaced out of the sugar industry. In addition, to further
promote sustainability within the sector, there is a need to improve agricultural land use and
management practices. Decision-making for upland agricultural land uses needs to be linked to
better awareness of impacts downstream.

140. Forestry. Sustainable development and management of forest resources is critical for
continued productivity and contribution of this sector to the country’s GDP. Equally important is
the role of healthy forest cover in preserving Fiji’s environmental values. These values include:
(i) the maintenance of Fiji’s unique terrestrial biodiversity resources, many species being
dependent upon and constituting part of the natural forest ecosystem; (ii) capture and retention
of groundwater within forested watersheds; (iii) retention of soil and nutrients, and minimization
of soil erosion on forested lands; (iv) preservation of scenic values on forested mountains and
hillsides; and (v) maintenance or increase of biomass in long-lived forest species that can serve
as a sink for sequestration of atmospheric carbon, thus mitigating the impacts of global climate
change. There is a clear need to review sectoral priorities and policies, to ensure that
environmental considerations are more effectively incorporated, along the lines recommended
in a recent draft “National Forest Policy Statement.”52 Specific steps to be taken to achieve
sustainable forestry objectives include (i) institution of a forest certification program; (ii) better
adherence to the National Code of Logging Practices (NCLP); (iii) completion of a Watershed
Management Master Plan; (iv) promotion of community-based forest management; (v)
improving protection and management of forest parks, reserves and conservation areas; (vi)
placement of greater emphasis on diversification through the use of non-timber forest products;
(vii) maintaining or increasing the extent of coverage of native vegetation, including forests,
mangrove swamps, and other wetlands (viii) implementation of an integrated data management
system for forest resources; and (ix) capacity-building and training, to be carried out through the
Forest Training Center and Timber Industry Training Center.

141. Coastal, Marine and Fisheries Resources. The continuing viability of fisheries in Fiji is
important not only for future economic development within the sector, but also because poor
coastal families depend upon use of fisheries resources as an important source of high-quality
food protein for their subsistence. There is a need for significant reform in this sector to ensure
sustainability. Among the key actions that are required are: (i) empowerment of indigenous
Fijians for greater participation in the sector, through [a] enactment of the Fisheries
Management Bill which will confer ownership of qoliqoli areas to traditional custodians; [b]
increased training and capacity-building; and [c] establishment of a National Fishing
Corporation, or similar vehicle, for greater participation within the sector by indigenous resource
owners; (ii) harmonization of utilization of coastal resources among different interest groups and
use categories (e.g., tourism, fisheries, coastal infrastructure, subsistence use); (iii) integration
of upland and coastal management activities, to ensure that the impacts of actions in upper
watersheds upon important coastal resources and ecosystems, especially coral reefs, are
minimized (iv) improved data-gathering, especially in the pelagic tuna fishery, for establishment
of realistic targets for total allowable catch (TAC), appropriate levels for total numbers of fishing

52
Ministry of Fisheries and Forests, and German Regional Forestry Project/SPC Forests and Trees Programme.
August 2004. (draft)
 41

vessels to be licensed, and appropriate licensing fees; and (v) implementation of more effective
enforcement measures designed to protect unique and important coastal and marine resources,
especially within designated marine protected areas.

142. Biodiversity and Protected Area Management. To ensure that important and
biologically significant species are protected and conserved, critical areas of intervention
identified in SDP, and confirmed during CEA consultations, are: (i) formulation and enactment of
a national policy/legislation on biodiversity conservation and an integrated system of protected
area management; (ii) assessment of critical areas/sites for biodiversity conservation; (iii)
continuous inventory of rare, threatened, and endangered wildlife species (both flora and
fauna); (iv) documentation of traditional, community-based biodiversity-related conservation
practices; and (v) full implementation of Fiji’s Biodiversity Strategy and Action Plan.

143. Water Resources Management. As has already been pointed out, the management of
water resources in Fiji is highly fragmented, with authority for various water uses divided among
many agencies. There is a need to (i) put in place relevant water legislation; (ii) integrate water
management activities, by operationalizing an inter-agency Water Resources Management
Committee or similar body; and (iii) establish tariffs, taxes, and user fees, that realistically reflect
the economic value of the resource, in order to capture adequate funds to be applied to water
conservation and water quality management efforts.

144. With respect to water and sanitation infrastructure, and provision of water for human
consumption, ADB’s loan project for Suva-Nausori water and sewerage will provide much-
needed improvements for Fiji’s major population center. Other improvements that will still be
required include (i) expansion of rural water supply infrastructure; (ii) extension and upgrading of
water schemes in other major urban areas and regions; (iii) provision of access to sanitation and
environmentally safe sewerage waste systems and treatment facilities; (iv) improvements in
efficiency of water and sewerage services; (v) greater private sector participation; (vi)
reassessment of current water legislation in order to prevent the overexploitation and other
abuses by large water users, especially during times of extreme surface water scarcity; and (vii)
development of alternative water resources (e.g., groundwater, rainwater catchment) and
promotion of better water conservation practices, both at the household level and the
watershed-ecosystem level.

145. Tourism. Because it is one of the primary drivers of economic development in Fiji, the
tourism sector needs to grow in a sustainable manner. This need becomes all the more
challenging, given the government’s projected rapid growth in visitor arrivals over the next
decade (expected to double from present levels). A significant step toward supporting
sustainable tourism development was made in the completion of the strategic environmental
assessment of Fiji’s National Tourism Development Plan. To continue to support sustainability,
the following additional prerequisites will need to be met: (i) assessments of the carrying
capacity of major tourism developments need to be conducted; (ii) institutions such as the
National Tourism Council must be strengthened; (iii) new infrastructure (especially for water
supply, sanitation, and waste management) for supporting continued tourism development
needs to be designed and built to ensure adequate capacity to handle expected visitor loads,
and so that all environmental impacts are minimized; (iv) new tourism development should place
greater emphasis on development of low-impact, eco-friendly development. Tremendous
opportunities exist in Fiji to form partnerships among governmental, non-governmental, private
sector and traditional indigenous stakeholders, to develop ecotourism projects that can help to
promote the preservation of biodiversity, cultural heritage, and other unique resources.
42

146. Energy. While a significant increase in access to electricity has been reported among
urban households,53 rural households are still significantly underserved. Of some 185 rural
electrification schemes implemented under the 1974 program, around 140 are in need of
overhaul and upgrading. Power disruptions or failures continue to plague electricity customers,
with the frequency of these incidents having remained at a high level during the 2001-2003
period. In addition to these specific problems, considerable work still needs to be done
regarding formulation of broader energy policies and achievement of higher levels of energy
efficiency. Thus the priorities for this sector are as follows: (i) formulating and implementing a
national energy policy; (ii) conducting an integrated program on demand-side management,
including public awareness raising and providing financial incentives to promote energy
conservation; (iii) promoting greater participation of the private sector in power generation; and
(iv) emphasizing development of more renewable energy sources, and removing economic
barriers so that more renewable energy service companies (RESCOs) can be established.

147. Climate Change Adaptation and Disaster Management. As a Small Island

Developing State (SIDS), Fiji is recognized as being one of the nations most vulnerable to the
impacts of climate change. While the predominant vulnerabilities have been identified in several
studies, there is a need to incorporate adaptive features into the nation’s development planning,
to minimize the risks associated with the impacts of climate change.

148. Key steps that need to be taken include the following: (i) a clear articulation of policy,
and mainstreaming of climate change adaptation as a focal area of concern, by incorporation of
a dedicated section on climate change within the national Strategic Development Plan; (ii)
strengthening of capabilities and capacities to respond to climate change variation; and (iii)
development of objectives, targets, and indicators to achieve effective climate-proofing of
infrastructure, and protection of other resources from climate change impacts.

149. Closely linked to climate change adaptation are measures to reduce Fiji’s vulnerability to
other natural disasters. A number of advances in this area have already been made, through
support of the NDMO and funding of the DRRF. Additional important steps that are required for
achieving effective disaster management include (i) mainstreaming of disaster management into
decision-making processes for national development; (ii) development of early warning systems
to forecast and communicate major natural events (e.g., earthquakes, tsunamis, droughts and
flooding); (iii) establishment of a comprehensive disaster preparedness database system; and
(iv) adoption of Comprehensive Hazard and Risk Management (CHARM) principles, formulation
of response plans, and improvement of community preparedness.

b. Potential ADB Actions for Promoting Environmental Mainstreaming

and Strengthening Environmental and Natural Resources
Management

150. Taking the sustainable development priorities identified in the previous section as a
starting-point, through extensive research and consultation, this analysis has identified several
key areas in which ADB assistance could be utilized to help promote environmental
mainstreaming, or to strengthen environmental or natural resources management.

53
From 75% in 1996 to 90% by July 2002, Household Income and Expenditure Survey, as reported in SDP Mid-Term
Review.
 43

i. CSP Revision

151. ADB’s Environment Policy is grounded in its Poverty Reduction Strategy54 and Long-
Term Strategic Framework.55 The Poverty Reduction Strategy recognizes that environmental
sustainability is a prerequisite for pro-poor economic growth and efforts to reduce poverty.
Environmental sustainability is also one of three crosscutting themes of the long-term strategic
framework.

152. To reduce poverty through environmentally sustainable development, ADB’s

Environment Policy contains five main elements: (i) promoting environment and natural
resource management interventions to reduce poverty directly, (ii) assisting developing member
countries (DMCs) to mainstream environmental considerations in economic growth, (iii) helping
maintain global and regional life support systems that underpin future development prospects,
(iv) building partnerships to maximize the impact of ADB lending and nonlending activities, and
(v) integrating environmental considerations across all ADB operations.56

153. In keeping with these clear directives, and given the fact that the vast majority of Fiji’s
economic sectors are directly dependent upon a clean and healthy environment, and upon
continuing viability and sustainability of the natural resource base, effective environmental
management should occupy a correspondingly important position in ADB’s statement of country
program objectives. However, in reviewing the latest CSPU, a clear and strong articulation of
ADB’s commitment to help Fiji to achieve these conditions is missing. This is despite the fact
that environment is called out as one of the three key sector focal areas within the country
strategy. Thus it is proposed that for the new CSP that will be prepared, the Summary
Statement of Strategy be modified to incorporate within the three strategic objectives already
stated (as cited in Section IV.C.1) a stronger statement of environmental sustainability goals.
Strengthening the statement of the strategic objectives in this manner is seen as at least one
way to ensure that ADB’s own programming activities give adequate recognition to the critical
need to implement projects that will positively affect Fiji’s environment. The proposed revisions
of the Summary Statement of Strategy are presented in Appendix 13.

ii. Environmental Roadmap

154. ADB could significantly contribute to Fiji’s environmental mainstreaming process by

promoting roadmapping as an environmental management and planning tool for measuring
progress in environmental sustainability and resource conservation efforts over time.57 While in
the past roadmapping has generally been used for project-level management, it could as well be
applied to an entire sector or national strategic planning effort. The roapmapping process would
comprise the following sequential steps or elements: (i) identify critical needs and problem
areas; (ii) measure baseline conditions; (iii) specify a timeframe within which change is to be
measured; (iv) develop goals and targets to address urgent problems and to achieve the
desired changes; (v) identify actions and activities that are required to meet the specified
targets; (vi) identify the implementers; (vii) identify and put in place a system to measure the
changes; (vi) review progress at pre-determined intervals; and (vii) feed back information from
the review process into the implementation process. The following points should be noted

54
ADB. 1999. Fighting Poverty in Asia and the Pacific: The Poverty Reduction Strategy of the Asian Development
Bank. Manila.
55
ADB. 2000. The Long-Term Strategic Framework of the Asian Development Bank (2001–2015). Manila.
56
ADB. 29 October 2003. Operations Manual, Bank Policies. OM Section F1/BP.
57
For further information see U.S. Department of Energy, Office of Environmental Management. July 2000. Applying
Science and Technology Roadmapping in Environmental Management. (draft B).
44

regarding the use of roadmapping as suggested here: (i) targets for environmental improvement
should always be linked to broad national policies, strategic plans, and objectives; (ii) the
timeframe for measuring environmental improvement typically ranges from five to twenty years;
(iii) measurement of change for most parameters can be specified on a percentage change
basis; and (iv) to the extent practicable, actions and strategies to promote improvement should
be innovative, test new theories and alternative technologies, and promote breakthroughs for
solving difficult problems. Roadmapping could be incorporated into an integrated environmental
institutional strengthening and capacity-building project, as suggested in Section IV.C.4.b.iv.,
below.

iii. Strategic Actions for Environment Strengthening of Existing

Country Program

155. ADB’s on-the-ground interventions for environmental improvement are accomplished

through the projects that constitute its country program. In addition to the above-mentioned
revisions that could be incorporated into ADB’s CSP documentation, environmental
strengthening opportunities have been identified for certain of the existing and pipeline projects
within the country program. These are presented in project tables contained in Appendix 14.

156. Many of the suggestions for strengthening or improving projects already in the Program
have to do with the inclusion of climate-related considerations. For a number of projects (e.g.,
most of the infrastructure-related projects), these considerations are absent or not adequately
detailed in project documents. Taking climate considerations into account in the early stages of
infrastructure project design could potentially reduce risk of lost resources, and result in
considerable cost savings over the long term.

157. Other types of strengthening measures are recommended for a number of projects. The
Fisheries Sector Review, currently underway, could benefit by giving clear emphasis to
environmental aspects of fisheries activities. Analysis of existing pressures on pelagic and
coastal fish stocks; recommendations for maintenance of stocks at sustainable levels; and
concepts to improve conservation and appropriate licensing arrangements, could help to ensure
the long-term viability of the sector.

158. The Rural and Outer Islands Development Project, in the indicative project pipeline, has
been redefined and been subject to a series of scope revisions. As originally conceived, a
component was included to support sustainable ecotourism as an important livelihood
opportunity for outer islands communities. Because of the importance of Fiji’s coral reefs as a
tourism attraction, the original concept also included a proposed element for marine biodiversity
conservation to be supported with GEF grant financing. It is suggested that these elements be
reinstated, either as part of the original project, or in a reformulated project. Another way to
strengthen this project would be to incorporate detailed carrying capacity analyses of current
and proposed tourism areas (see the more detailed concept for an integrated project in
Appendix 15). For the Women’s Action Plan II, also an indicative project, opportunities exist to
develop synergies between gender considerations and environmental issues, and to utilize
women as an entry point to help to tackle environmental problems and enhance enviornemntnal
awareness. For the Alternative Livelihoods project, great benefits could be derived by
supporting diversification of activities within the sugarcane growing industry, based on the
development of new products from cane. Finally, for the Urban Sector Development Project,
greater emphasis should be placed on considering the environmental aspects of urbanization,
and how to best address them.
 45

iv. Opportunities for New Interventions

159. Several opportunities for potential new ADB environmental projects or interventions have
been identified as an outcome of this CEA. These are presented in Appendix 15. These project
concepts constitute both lending and non-lending products, and fill needs not currently
addressed through other donor investments or by programs of the Fijian government itself.
These projects reflect actions that are intended to strengthen environmental performance in
several key sectors and cross-cutting areas, as described below.

160. Environmental Institutions, Capacity-Building, and Management. Already

mentioned (Section IV.C.1, above) is the fact that, despite the identification of environment as
one of three key sector focal areas in the CSP/CSPU, no stand-alone environmental projects
are included in ADB’s country program for Fiji at present. Furthermore, an urgent need for
environmental institutional strengthening within the country has been identified. Therefore, it is
proposed that a project be developed for improving institutional capacity for environmental
management. The principal elements of such a project would include: (i) support of the
Environment Management Bill, once passed into law, through the drafting of associated
enabling regulations; (ii) training and other capacity-building activities for staff of the Department
of Environment, as well as key staff within other relevant agencies and ministries; (iii) focus on
strengthening processes for Environmental Impact Assessment (EIA) as a mechanism for
ensuring sustainability of future development projects; (iv) a broad-reaching environmental
awareness campaign, targeting a wide spectrum of stakeholders; (v) policy and institutional
analysis aimed at making additional needed improvements in institutional and legal structures
for environmental management in the country; and (vi) development of an “environmental
roadmap” to monitor progress in mainstreaming environmental considerations into national
economic planning and policy-making.58

161. Integrated Land Management. The CEA consultative process has shown that Fiji’s
land-based natural resources, while still relatively intact as compared to other countries in the
region, are under significant threat due to varied pressures and inappropriate uses. Both
commercial interests and subsistence users are clearing remaining areas of natural forest for
the harvest of timber or to convert the land for agricultural use and human settlement. Pressures
created through the expiration of land leases under ALTA have forced displaced farmers to
practice cultivation on steep slopes, leading to soil loss and erosion. Collectively, these actions
have caused unnecessary and avoidable adverse environmental impacts to the environment,
representing not only the loss of forest area in upper watersheds, but also soil loss and erosion,
which are causing problems in downstream ecosystems. These losses potentially have much
wider-reaching impacts, including land degradation, lost capacity for carbon sequestration, and
loss of globally-important biodiversity. To be dealt with effectively, these problems need to be
addressed in an integrated way. Therefore, an Integrated Land Management Project is
proposed. The main components of such a project would be: (i) land use studies in the most
important and sensitive watershed areas, including upper watersheds and downstream areas
that are affected; (ii) development of community-based integrated watershed management
plans; (iii) protection of the most sensitive ecosystems and watershed areas; and (iv)
identification of additional targeted on-the-ground interventions to be implemented to improve
sustainable land management practices and develop sustainable livelihoods, especially in

58
The purpose of the roadmap, and a brief overview of its components, has been presented in Section IV.B.4.c.ii,
above. The proposed TA would develop the roadmap in greater detail and advocate for its adoption by government
to ensure long-term environmental commitment and accountability.
46

agriculture and forestry (e.g., promotion of environment-friendly practices including agroforestry,

utilization of non-timber forest products, appropriate sloping agricultural land technology, etc.).

162. Establishment of Environmental Data Center. The deficiencies in data for decision-
making in the natural resources and environmental sectors have already been noted (Section
IV.B). Available data are often inaccurate, incomplete, or out of date, and it is typically difficult to
draw meaningful data comparisons over time, due to inherent inconsistencies. Planning, policy
formulation and decision-making based on flawed data can potentially lead to adverse
environmental consequences. To address this problem, it is proposed that a national
Environmental Data Center be established. The Center would consist of new physical facilities
dedicated for this purpose, and housing offices for staff, a library and research center, and
computers and other equipment needed for data management. The principal functions of the
Center would be to serve as: (i) a clearinghouse for collection, storage, interpretation,
dissemination, and exchange of data for the natural resources and environmental sectors; (ii) an
environmental learning and awareness center; (iii) a coordinating body to harmonize and
standardize the types of data gathered for environmental decision-making; and (iv) an advisory
body which would provide guidance to government decision-makers based on sound
environmental information.

163. Sustainable Ecotourism and Biodiversity Conservation. With several very large
tourism developments already built, in progress or planned for the main tourism center of Nadi
(including Denarau and a new large-scale cultural center), there is concern that the
infrastructure in the Nadi area will soon reach full capacity, and will not be able to support any
further expansion. The government has projected a doubling of visitor arrivals, from around
400,000 at present to 1,000,000 within a decade. So the question arises: what areas are to be
developed to accommodate the projected expansion, and how should such expansion be
conducted? At the same time, development in outer islands and rural communities in general
has lagged behind the more urban areas. There is a need to offer greater and more diverse
economic opportunities to these communities. One option for sustainable development in these
areas is in ecotourism and the related livelihood activities.

164. Most tourism activities in Fiji depend upon the islands’ natural beauty, and this is
especially evident in the marine and coastal environment. Because of the linkages between dive
tourism and the maintenance of the health of coral reefs, it is appropriate to connect these two
elements in a project that promotes sustainable ecotourism for economic development, through
the conservation of the unique coral reef biodiversity resources that are found in Fiji. It is
suggested to reinstate the previous proposal for Sustainable Tourism and Biodiversity
Conservation, and either link it to, or incorporate it with, the current Rural and Outer Islands
Development Project. Based on the CEA consultations, important features that may be
appropriate to include into the project design include: (i) a detailed assessment of tourism
carrying capacity in the Nadi tourism zone; (ii) assessment of rural and outer island areas to
identify those that offer the greatest possibility for expansion of tourism; (iii) evaluation of
potential impacts to coastal areas that may result from land-based activities, and establishment
of an integrated management system to address potential cross-ecosystem impacts; (iv)
development of support infrastructure that may be required for further tourism development; and
(v) application to GEF for support of marine biodiversity conservation (under GEF OP#2) as part
of the project. The overall goals of the project for alleviating poverty, creating sustainable
employment opportunities for disadvantaged rural communities, replacing environmentally-
damaging practices with environment-friendly ones, would be consistent with, complementary
to, and supportive of the biodiversity conservation objective.
 47

165. Support for Fiji’s Sugar Industry through the Clean Development Mechanism
(CDM). Fiji’s sugar industry is in crisis, due primarily to imminent declines in sugar prices with
the scheduled removal of EU price supports in 2008, and continuing displacement of large
numbers of long-time sugarcane workers due to expiry of land leases under the ALTA. The
Clean Development Mechanism (CDM), an internationally-supported market-based financing
mechanism, could be utilized to help promote diversification within the sugarcane-growing
industry, bring about significant environmental improvements, and generally revitalize the
industry. An initial feasibility study would investigate opportunities for several diverse activities
within the sugar industry, to ascertain their eligibility for CDM financing, among them: (i)
replacement of fossil fuel with biomass (i.e., bagasse, the cane by-product from the sugar
harvest) for energy production; (ii) sale of excess energy from sugar mills to the electricity grid;
(iii) production of ethanol from sugarcane as an alternative fuel source; and (iv) expansion of
sugarcane-growing lands to increase absorption of atmospheric carbon. Following the initial
feasibility study, pilot projects would be developed in cooperation with the Fiji Sugar Corporation
and private sector, to test the most promising of these opportunities.

166. Mainstreaming Climate Change Considerations into Planning and Economic

Development. As pointed out in the foregoing discussion (Section II.B.12), climate change has
not yet been adequately taken up as a key element of the national planning framework.
Following on the initial work undertaken as part of ADB’s regional CLIMAP, a more in-depth
project to develop a framework for Fiji’s climate adaptation and mitigation activities will be
conducted. In terms of climate adaptation, the key components of such a project would be to: (i)
draft appropriate sections for the national Strategic Development Plan and other government
planning and policy documents, highlighting climate change as a significant cross-cutting issue;
(ii) take steps to develop capabilities for climate change forecasting and early warning; (iii)
evaluate the vulnerabilities of existing and future proposed infrastructure to climate-related
impacts, and propose design modifications to address these; (iv) evaluate productive sectors
such as fisheries, forestry, and agriculture, as well as tourism, and make recommendations for
adaptive steps to be taken to minimize climate-related risks and vulnerabilities; (v) maintain or
improve natural features of ecosystems that provide resiliency to climate-related impacts (e.g.,
maintaining coral reefs and mangroves are natural buffers for absorbing the energy of storm
waves, minimizing flooding, and other coastal impacts); and (vi) advocate for appropriate budget
support by government to implement the needed adaptive modifications. For climate change
mitigation, the project would also seek to: (i) support reduction of vehicle and factory emissions,
and develop alternative fuels, in order to reduce the production of GHGs; (ii) promote
reforestation and other activities that improve capacity for absorption of atmospheric carbon;
and (iii) maintain and regularly update inventories relevant to monitoring and mitigating climate
change.
48

Appendixes

1: Country Environment Indicators: Republic of the Fiji Islands

2: References
3: Persons Consulted
4: Fiji’s Environmental Setting
5: Fiji’s Sugar Industry
6: Fiji’s Protected Areas and Sites of National Significance
7: Government Agencies, Legislation, and Strategies Relating to Environmental
Management
8: History of the Development of the Environment Management Bill
9: Fiji’s International Environmental Agreements and Conventions
10: Coordination Matrix for Key External Assistance
11: Environmental NGOs Working in Fiji
12: Current ADB Operations Summary for Fiji
13: Proposed Revision of Summary Statement of Strategy for Fiji CSP
14: Opportunities for Environmental Strengthening of Projects Within the Existing ADB
Country Program for Fiji
15: Concept Papers: Potential New Projects for Inclusion in ADB’s Country Program for Fiji
 Appendix 1 49

Appendix 1: Country Environment Indicators: Republic of the Fiji Islands1

Item 1990 Latest Year
A. Energy Efficiency of Emissions
1. Traditional Fuel Use (% of total energy use) 45.0 50.0 (1996)
B. Water Pollution: Water and Sanitation
(1990) (1997)
2
1. % Urban Population with Access to Improved Water Source 96.0 90.0 43.0 (2000) 80.0 (2004)
2. % Rural Population with Access to Improved Water Source 69.0 80.0 51.0 (2000)
3
3. % Urban Population with Access to Sanitation 91.0 90.0 75.0 (2000) 30.0 (2004)
4. % Rural Population with Access to Sanitation 65.0 80.0 12.0 (2000)
C. Air Pollution
1. Carbon Dioxide (CO2) Emissions
Total (‘000 metric tons) 813.9 725.9 (1999)
Metric tons per capita per year 1.1 0.9 (1999)
Per unit of GDP (kg/PPP$ GDP) 0.2 0.2 (1999)
2. Sulfur Dioxide (SO2) Emissions
Total (‘000 metric tons) - 3.0 (1995)
D. Land Use and Deforestation
2
1. Total Land Area (km ) 18,333 18,333 (2003)
2. Total Forest Area remaining km2 (percent forested) 8,700 (47.5%) 8,150 (44.6%) (2000)
3. Average Annual Change in Forest Cover (-=loss; +=gain) -0.2 (1990-2000)
4. Arable Land (% of total land) 10.0 (1993)
5. Cropland, Permanent (% of total land) 4.0 (1993) 25.0 (2002)
6. Pastures, Permanent (% of total land) 10.0 (1993)
7. Rural Population Density (# persons/km2) 24.3 (2003 est.)
E. Biodiversity and Protected Areas
1. Nationally Protected Areas
Land Area under protection, terrestrial (km2) - 255.8 (2003)
% of total land area 0.3 (1985) 1.4 (2003)
Number - 31 (2003)
2
Ocean Area under protection, marine (km ) - -
Number - -
2. Mammals (number of threatened species) 4 (1996) 2 (2002)
3. Birds (number of threatened species) 9 (1996) 13 (2002)
4. Higher Plants (number of threatened species) - 281 (2002)
5. Reptiles and Amphibians (number of threatened species) - 10 (2002)
E. Urban Areas
1. Urban Population
Total (‘000) 276.8 (1986) 393.9 (2002 est.)
% of total population 38.7 48.3 (2002 est.)
Urban population density (# persons/km2) 205 (2003 est.)
2. Per Capita Water Use (liters/person/day) - +/-250 (2004 est.)4
3. Wastewater treated (%) - >30% (2004 est.)5
4. Total Solid Waste Generated Per Capita (kg/person/yr) - 343 (2004 est.)6

1
Figures in red (sourced from ADB 2004. CSPU. Table A.2.1) may be anomalous and require further verification.
2
Water and Sewerage Section, Public Works Department
3
Water and Sewerage Section, Public Works Department
4
Water and Sewerage Section, Public Works Department
5
Water and Sewerage Section, Public Works Department.
6
Based on figures from Nadi-Lautoka solid waste study (SPREP).
50 Appendix 1

NOTES:
2
= no data available; GDP = gross domestic product; kg = kilogram; km = square kilometer; PPP$ = purchasing
power parity in US dollars
Sources: ADB. August 2004. Fiji Islands Country Strategy and Program Update (2005-2007). ADB. 2002. Key
Indicators 2002: Population and Human Resource Trends and Challenges. ADB 2002. Technical Assistance for the
Preparation of National Poverty Reduction Strategies in Pacific Member Developing Countries. Manila (discussion
paper on Assessment of Hardship and Poverty, June 2003); ADB. Republic of the Fiji Islands 1999 Economic
Report; Central Intelligence Agency (CIA), The World Factbook (2001-2003) (http://cia.gov); Secretariat of the
Pacific Community (SPC), Oceania, Population 2000-2003; UNDP, Human Development Report (2000-2003); UN
Statistics Division (UNSD), Millenium Indicator Database (2003) (http://milleniumindicators.un.org); World Bank,
The Little Green Data Book (2000-2003); World Resources Institute (WRI), Earth Trends 2003
(http://earthtrends.wri.org)
 Appendix 2 51

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ADB October 2004b. Fiji Islands: Power Sector Development Program. ADB
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Understanding.

ADB August 2004. Fiji Islands’ Country Strategy And Program Update 2005-2007.
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ADB March 2004. Technical Assistance to the Republic of the Fiji Islands for
Sustainable Tourism, Outer Islands Infrastructure and Biodiversity
Conservation (TAR FIJ-___)

ADB 2004. Pacific Regional Environmental Strategy 2005 – 2009. Executive

Summary, Volumes I and II. Pacific Studies Series. Manila.

ADB November 2003a. Report and Recommendation of the President to the Board
of Directors on a Proposed Loan and Technical Assistance Grant to The
Republic of the Fiji Islands for The Suva-Nausori Water Supply and
Sewerage Project. RRP:FIJ 32200.

ADB November 2003b. Draft Report and Recommendation of the President to the
Board of Directors on a Proposed Loan and Technical Assistance Grant to
The Republic of the Fiji Islands for the Alternative Livelihoods Development
Project. RRP:FIJ -___.

ADB November 2002. Technical assistance for the Climate Change Adaptation
Program for the Pacific (CLIMAP) TAR: OTH 36069.

ADB January 2002. Report and Recommendation of the President to the Board of
Directors on a Proposed Loan to the Maritime and Ports Authority of Fiji for
the Fiji Ports Development Project in the Republic of the Fiji Islands. RRP:FIJ
32525

ADB 2002a Technical assistance to Fiji Islands on Preparing the Alternative

Livelihood Project. Manila: TAR:FIJ 32541.

ADB 2002b. Environment Policy. Asian Development Bank, Manila. Available at

http://www.adb.org/Environment/envpol/default.asp

ADB 2002c. Key Indicators 2002. Population and Human Resource Trends and
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ADB 2001. Promotion of Renewable Energy, Energy Efficiency, and Greenhouse

Gas Abatement Projects. Manila

ADB 2000. Technical Assistance to Fiji Islands on Capacity Building of the Native
Land Trust Board in Preparing Land Maps and Establishing Land Boundaries.
52 Appendix 1

Manila.

ADB 1999 Fiji Islands 1999 Economic Report. Pacific Studies Series. Manila.

ADB August 1999. Technical Assistance to Fiji Islands on Urban Sector Strategy
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ADB 1998. Technical Assistance to Fiji Islands on Suva-Nausori Water Supply and
Sewerage. Manila.

ADB 1994. Technical Assistance to Fiji Islands on Environmental Awareness,

Legislation and Database. Manila.

ADB 1993a. Technical Assistance to Fiji Islands for Institutional Strengthening of the
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ADB 1993b. Technical Assistance to Fiji Islands for the Management Information
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ADB 1990. Regional Technical Assistance for the Strengthening of Environmental

Management Capabilities in PDMCs. Manila

ADB and SOPAC (South Pacific Applied Geoscience Commission) 2002. Regional
Action Plan for Sustainable Water Management. Output of the Pacific
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Anonymous. 2002. Sustainable Coastal Resources Management For Fiji. A

Background Paper Prepared For The Fiji National Workshop On Integrated
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Anonymous. n.d.Strategy for Marine Conservation in Fiji Islands Marine Eco-Region.

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Anonymous. n.d. Community Based Marine Conservation in Fiji. University of the

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Baird, Ian G. 2003. Lessons in Sustainable Co-Management of Fisheries at the

Mekong River. In Conservation and Sustainable Use of Agricultural
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Becken, Susanne. August 2004 Climate Change and Tourism in Fiji: Vulnerability,
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Bricker, Kelly S. 2000. Ecotourism Development in the Rural Highlands of Fiji (case
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CBD (Convention on Biological Diversity). 2003. Accessed April–May 2003.

 Appendix 2 53

Available: http://www.biodiv.org/world/map.

CITES (Convention on International Trade in Endangered Species of Wild Fauna

and Flora). 2003. Accessed April–May 2003. Available: http://www.cites.org

Cornforth, Roger and Dutuituaraga, Emele. 2002. Review of Fiji NZODA Ecotourism
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Energy, Department of, Government of Fiji Islands. 1999. Achievements of the Past
Decade 1990-1999.

Environment, Department of, Government of Fiji Islands. 22 October 2004. Fourth

Draft Climate Change Policy Paper for Fiji: Adapting to Climate Change.

Environment, Department of, Government of Fiji Islands. 2004. Environment

Management Bill 2004. Draft for Cabinet.

Environment, Department of, Government of Fiji Islands. 1999a. Draft Sustainable

Development Bill. Suva.

Environment, Department of, Government of the Fiji Islands. 1999b. Fiji Biodiversity
Strategy and Action Plan – Final Draft for Consideration by the Cabinet of the
Fiji Islands. Suva.

Environment, Department of, Government of Fiji Islands. 1997. National Report to

the Conference of Parties by the Republic of Fiji Islands to the Convention on
Biological Diversity. Suva.

Environment, Department of, CV&A Team. n.d. Tilivalevu CV&A Report – Climate
Change Community Vulnerability and Adaptation Assessment Report. Fiji

Environment, Department of, CV&A Team n.d. Community Vulnerability and

Adaptation Assessment Report – Tikina Wai Pilot Site – Fiji.

Environment, Department of, CV&A Team n.d Community Vulnerability and

Adaptation Assessment – Volivoli Workshop Report Fiji.

ESCAP. 1998. Integrating Environmental Considerations Into Economic Decision-

Making Processes at the National Level in Fiji.

Fiji Islands, Government of. November 2004. Millenium Development Goals. Fiji
National Report (draft).

Fiji Islands, Government of. 2003b. National Assessment Report submitted to

Barbados Programme of Action + 10. Suva.

Fiji Islands, Government of. 2002a. Rebuilding Confidence for Stability and Growth
for a Peaceful, Prosperous Fiji. Strategic Development Plan 2003 –2005.
Parliamentary Paper No. 72 of 2002. Suva.

Fiji Islands, Government of. 2002b. 50/50 by Year 2020. 20-Year Development Plan
(2001 – 2020) for the Enhancement of Participation of Indigenous Fijians and
54 Appendix 1

Rotumans in the Socio-Economic Development of Fiji. Parliamentary Paper

No. 73 of 2002.

Fiji Islands, Government of. 2002c. Report to United Nations Convention to Combat
Desertification (UNCCD). http://www.unccdd.int/cop/reports/asia/asia.php.

Fiji Islands, Government of. 2002d. Government’s Affirmative Action Programs for
Fijian and Rotuman Development – Consultation Documents, 7 February
2002. Suva.

Fiji Islands, Government of. 2000. National Report on the Implementation of the
United Nations Convention To Combat Desertification. Report Prepared for
Consideration by the Fourth Session of the Conference of the Parties (COP4)
to the United Nations Convention to Combat Desertification (UNCCD) in
those Countries Experiencing Serious Drought and/or Desertification
Particularly in Asia.

Fisheries and Forests, Ministry of. August 2004. National Forest Policy Statement.
GTZ Regional Forestry Project/SPC Forests and Trees Programme. (draft).

Fisheries Department, Government of Fiji Islands. 2002. Fisheries Department –

Annual Report for the Year Ending 2001. Parliamentary Paper No. 49 of
2002.

Fisheries Department, Government of Fiji. n.d. Community Marine Resource

Management Project – Proposal to NZAID/USP. Suva.

GEF, UNDP and SPREP. 2004. The International Waters Project – Implementing the
Strategic Action Programme (SAP) for the International Waters of the Pacific
Small Island Developing States. Third Multipartite Review—Working Papers.
8-9 July 2004, Apia, Samoa.

GEF and UNDP.2002. Issues for Community-based Sustainable Resource

Management and Conservation: Considerations for the Strategic Action
Programme for the International Waters of the Pacific Small Island
Developing States. Vol. 2. IWP Technical Report 2002/02. Samoa.

Gillet, Robert and Chris Lightfoot. 2001. The Contribution of Fisheries to the
Economics of Pacific Island Countries. Pacific Studies Series. ADB, Manila.

Harrison, David, and Jesper Brendt. N.d. Summary of Ecotourism in Fiji. Chapter 10
- Fiji Ecotourism Policy and Ecotourism in Fiji.

Information and Media Relations, Ministry of, Government of Fiji Islands. 2003a. Fiji
Today. Suva.

Kurukulasuriya, Lal., Bernard Moutou and Clare Cory. 1998. South Pacific Handbook
of Treaties and Other Legal Instruments in the Field of Environmental Law.
SPREP/UNEP/NZODA Publication Series on Environmental Law and Policy
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 Appendix 2 55

Leslie, David, and Inoke Ratukalou. 2002a. A Rural Land Use Policy for Fiji. Ministry
of Agriculture, Fisheries, and Forests/Ministry of Agriculture, Sugar and Land
Resettlement. (with support from SPC/GTZ).

Leslie, David, and Inoke Ratukalou. 2002b. Review of Rural Land Use in Fiji. Ministry
of Agriculture, Fisheries, and Forests/Ministry of Agriculture, Sugar and Land
Resettlement. (with support from SPC/GTZ).

Levett, Roger and McNally Richard. 2003. A Strategic Environmental Assessment of

Fiji’s Tourism Development Plan. WWF. Suva.

Local Government, Housing, Squatter Settlement and Environment, Ministry of,

Government of Fiji Islands. 16 April 2004. Urban Policy Action Plan 2004-
2006. Draft for DSC/Cabinet Consideration.

McIntyre, Matt. 2002. Pacific WSSD Regional Assessment. Summary of Key Points
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National Planning Office, Government of the Fiji Islands. 2004. Strategic

Development Plan 2003 – 2005: Mid- Term Review (draft). Ministry of
Finance and National Planning. Suva.

Olson David and Farley Linda. 2003. Polynesia-Micronesia Hotspot Ecosystem

Profile and Five Year Investment Strategy – Fiji Sub regional Profile. Wildlife
Conservation Society-South Pacific. Suva

Prasad, B. C and P. Narayan. 2003. Fiji’s Sugar, Tourism and Garment Industries: A
Survey of Performance, Problems and Potentials. Fijian Studies, 1(1): 1-27.

Reddy, Narendra. 2003. Survival Strategies for the Fiji Sugar Industry. Fijian Studies
Vol. 1 No. 2. Fiji Institute of Applied Studies. 2003

Robinson, Floyd B. 2002. Promoting a Healthy Environment: A Case Study of the

Wai Bulabula and Coral Gardens Initiative in Cuvu, Nadroga Fiji. Foundation
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Siwatibau, Suliana. 2003. Forests, Trees and Human Needs in Pacific Communities.
Paper submitted at the XII World Forestry Congress, Quebec City Canada,
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Sinclair Knight Merz. 2000. Solid Waste Characterization – Fiji (Draft). Fiji.

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Regional Energy Assessment 2004: Fiji National Report. Pacific Islands
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SPREP. 2002. Action Strategy for Nature Conservation in the Pacific Islands Region
56 Appendix 1

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 Appendix 2 57

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Building Conservation Landscapes into Forestry Operations and Forest
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58 Appendix 2

Appendix 3: Persons Consulted

National Government

1. Mr. Tevita Banuve, Chief Executive Officer, Ministry of Finance & National Planning
2. Mr. Pita Wise, Deputy Secretary Planning, Ministry of Finance & National Planning
3. Mr. Taito Waqavakatoga, President of the Senate
4. Mr. Cama Tuiloma, Chief Executive Officer, Ministry of Local Government, Housing,
Squatter Settlement and Environment
5. Mr. Peni Gavidi, Acting CEO/Deputy Secretary, Ministry of Local Government, Housing,
Squatter Settlement and Environment
6. Mr. Napolioni Masirewa, Chief Executive Officer, Ministry of Tourism
7. Ms. Emele Dutuituraga, Chief Executive Officer, Ministry of Women, Social Welfare &
Poverty Alleviation
8. Mr. Savenaca Kaunisela, Deputy Secretary, Ministry of Regional Development
9. Mr. Malakai Tadulala, Deputy Permanent Secretary, Office of the Prime Minister
10. Mr. Tomasi Tui, Chief Assistant Secretary, Office of the Prime Minister
11. Mr. Epeli Nasome, Director, Department of Environment
12. Mr. Manasa Sovaki, Principal Environment Officer, Department of Environment
13. Ms. Premila Kumar, Senior Environment Officer, Department of Environment
14. Mr. Luke Qiritabu, Legal Officer, Department of Environment
15. Ms. Sandeep Singh, Coordinator, International Waters Programme, Department of
Environment
16. Ms. Sulochna Singh, Community Specialist, International Waters Programme,
Department of Environment
17. Ms. llisapeci Neitoga, Climate Change Coordinator, Department of Environment
18. Mr. Josefa Sania, Principal Economic Planning Officer (PPED), Ministry of Finance &
National Planning
19. Mr. Joela Cama, Economic Planning Officer (PPED), Ministry of Finance & National
Planning
20. Mr. Tevita Dawai, Economic Planning Officer (Sectoral/Regional), Ministry of Finance &
National Planning
21. Mr. Ram Shandil, Director, Water and Sewerage, Public Works Department
22. Mr. Ifereimi Dau, Acting Director of Mines, Mineral Resource Department
23. Mr. Inoke Ratukalou, Director of Land Resettlement, Ministry of Agriculture, Sugar &
Land Resettlement
24. Ms. Makereta Sauturaga, Acting Director, Department of Energy
25. Mr. Saimone Tuilaucala, Acting Director, Fisheries Department
26. Ms. Talei Rokotuibau, Town Planner, Department of Town and Country Planning
27. Ms. Kelera Taloga, Environment Education Officer, Ministry of Education
28. Ms. Lois Katonivualiku, Office of the Prime Minister
29. Mr. Manoa Malani, Principal Tourism Officer- Sustainable Development, Ministry of
Tourism
30. Mr. Marika Kuilamu, Senior Tourism Officer-Sustainable Development, Ministry of
Tourism
31. Ms. Agnes Peter, Attaché – Sustainable Development Section, Ministry of Tourism
32. Mr. Jonetani Tagiveitaua, Tourism Officer, Sustainable Development, Ministry of
Tourism
33. Mr. Timothy Young, Senior Environmental Health Officer, Ministry of Health
34. Mr. Peni Sikivou, Chief Economist, Ministry of Commerce, Business Development &
Investment
 Appendix 3 59

35. Mr. Michael Mullins, Regulatory Reform Implementation Specialist, Ministry of

Commerce, Business Development & Investment
36. Mr. Rafaele Raboiliku, Forestry Officer, Forest Department
37. Mr. Ajay Gautam, Principal Engineer Sewerage, Public Works Department
38. Mr. John Tavo, Principal Engineer Water, Public Works Department

Indigenous Affairs

39. Mr. Alivereti Bogiva, Research & Development Officer, Fijian Affairs Board, Ministry of
Fijian Affairs, Culture and Heritage
40. Mr. Sefanaia Tabua, Manager, Research & Development, Native Land Trust Board
41. Mr. Samisoni Matasere, Senior Land Use Planner, Native Land Trust Board

Local Government

42. Mr. John K. Narayan, Health Inspector, Lami Town Council

43. Ms. Josefini Koroi, Health Inspector, Suva City Council

Business Groups and Private Sector

44. Mr. Jone Feresi, Environment Officer, Emperor Gold Mines (and Fiji Employers
Federation)
45. Mr. Ulaiasi Taoi, President, Fiji Indigenous Business Council
46. Mr. Jai Shree Gawander, Research Manager, Fiji Sugar Corporation
47. Ratu Osea Gavidi, President, Fiji Tourism Resource Owners Association
48. Ratu Aisea Katonivere, Roko Tui Macuata, Fiji Tourism Resource Owners Association
49. Mr. Joape Nalatu, Roko Tui Saravanua, Fiji Visitors’ Bureau
50. Ms. Helen Poulivaati, Policy and Project Analyst, South Pacific Tourism Council
51. Mr. Peter Johnston, Environmental and Energy Policy & Planning Specialist (Private
Consultant)

NGOs, Academia, Church Groups, Civil Society

52. Mr. Vilikesa Masibalavu, National Project Coordinator, Bird Life International
53. Dr. Christian Nielsen, Regional Director, Live and Learn Environmental Education
54. Ms. Makereta Takalaivuna, Community Education Officer, Live and Learn Environmental
Education
55. Mr. Neil Netaf, Assistant Director Environment, Pacific Concerns Resource Centre
(PCRC)
56. Mr. Tupou Vere, Assistant Director, Sustainable Human Development, Pacific Concerns
Resource Centre (PCRC)
57. Ms. Alisi Daurewa, Executive Director, Partners in Community Development
58. Mr. Floyd Robinson, Natural Resource Team Leader, Partners in Community
Development
59. Ms. Miri Cama , Member, Soqosoqo Vakamarama (indigenous women’s organization)
60. Ro Alipate Mataitini, Part-time Administrator/Member, South Pacific Action Committee
for Human Ecology & Environment (SPACHEE)
61. Dr. David Olson, Director, South Pacific Program, World Conservation Society (WCS)
62. Ms. Linda Farley, Marine Programme Coordinator, World Conservation Society (WCS)
63. Mr. Dale Withington, Representative, South Pacific Region, World Wide Fund for Nature
(WWF)
60 Appendix 2

64. Mr. Etika Rupeni, Fiji Country Director, World Wide Fund for Nature (WWF)
65. Ms. Kesaia Tabunakawai, Programme Director, World Wide Fund for Nature (WWF)
66. Ms. Diane McFadzien, Climate and Energy Officer, World Wide Fund for Nature (WWF)
67. Mr. Paulo Vanualailai, Fiji Country Program Tourism Officer, World Wide Fund for
Nature (WWF)
68. Fr. Apimeleki Qilio, President, Fiji Council of Churches
69. Ms. Winifereti Nainoca, Environmental Sciences Lecturer, Fiji Institute of Technology,
School of General Studies (Science)
70. Prof. Bill Aalbersberg, Director, Institute of Applied Sciences, University of the South
Pacific
71. Dr. Chris Morley, Biology Lecturer, University of the South Pacific
72. Ms. Batiri Thaman, Assistant Project Manager, University of the South Pacific

International Institutions and Agencies

73. Mr. Guido Carrara, Rural Development Advisor, European Commission for the Pacific
74. Ms. Marilyn Cornelius, Environment/GEF/Energy Associate, United Nations
Development Programme (UNDP)
75. Dr. Russell Howorth, Deputy Director, South Pacific Applied Geoscience Commission
(SOPAC)
76. Mr. Jonathan Mitchell, Research Assistant, South Pacific Applied Geoscience
Commission (SOPAC)
77. Mr. Christoph Muziol, Coordinator, German Forestry Project, GTZ/SPC
78. Ms. Eileen Cronin, US Peace Corps
 Appendix 4 61

Appendix 4: Fiji’s Environmental Setting

A. Area and Physical Characteristics

1. Fiji lies in the Pacific Ocean midway between the equator and the South Pole, and between
longitudes 175° and 178° east and latitudes 15° and 20° south. Fiji’s exclusive economic zone
contains approximately 330 islands of which about one-third are inhabited. It covers about 1.3
million square kilometers (Sq km) of the South Pacific Ocean (Figure 1).

Figure 4.1. Map of the Fiji Islands

2. Fiji’s total land area is 18,333 square kilometers. There are two major islands -Viti Levu,
which is 10,429 sq km, and Vanua Levu, which occupies 5,556 sq km. Together, they comprise
87 percent of the total land area. Other main islands are Taveuni (470 sq km), Kadavu (411 sq
km), Gau (140 sq km) and Koro (104 sq km). Eighty three percent of the land is owned by
indigenous Fiji islanders while nine percent is state land and eight percent is freehold land. The
islands are characterized by diverse ecosystems including significant areas of natural forest. A
variety of tropical coastal and marine ecosystems occur in Fiji, including extensive mangroves,
coral formations, and seagrass beds.

3. The islands of Fiji form part of a complex arc structure of volcanics, volcanic-derived
sediments and reef deposits dating from the early Cenozoic (40-50 million years ago) to the
present. This structure is located in a complex convergence plate boundary zone between the
Australian and Pacific Plates. In addition to a record of volcanic, sedimentary and reef rocks,
62 Appendix 3

uplift and erosion have exposed plutonic and low-grade regional metamorphic rocks of greater
age.

4. Fiji’s larger volcanic islands are dominated by steep, mountainous country deeply incised by
rivers and streams. The highest summit, Tomaniivi, is 1,323 m above sea level and there are 30
peaks over 1,000 m. On the four major islands, 67 percent of Viti Levu, 72 percent of Vanua
Levu, 49 percent of Taveuni and 78 percent of Kadavu are steep lands with slopes greater than
18 percent. The landforms of the major islands are diverse and often spectacular, marked by
sharp volcanic plugs, ruined calderas, deep gorges and ravines carved by mountain streams,
and wide, flat-bottomed valleys with impressive rivers terminating in extensive flood plains and
mangrove dominated deltas. Limestones of different ages commonly occur on Viti Levu and
some bedded deposits are massive, up to 300 m in height. Vanua Levu lacks limestone
formations.

5. Only a few of Fiji’s islands are classified as true atolls (Wailagilala, Qelelevu), but there are
many rings or loops of barrier reef with a more than superficial appearance to an atoll. While
Vulaga, Ogea and perhaps Kabara are believed to be elevated atolls because the limestone are
composed of raised reefs, the majority of Fiji's 'limestone' islands consist of bedded limestone
overlying volcanic rocks. Repeated cycles of past volcanic activity, subsidence and uplift have
exposed volcanic rocks to a greater or lesser extent on many of these islands.

6. Fiji enjoys a tropical maritime climate without great extremes of heat or cold. The
predominant winds over Fiji are the tradewinds from the east or southeast> Generally these are
light or moderate, the most persistent being in the period July to December; strong winds are
uncommon, and usually associated with occasional cyclones which usually occur in the period
of November to April. About 10-15 cyclones per decade directly affect Fiji, on the average about
two to four of these causing severe damage.

7. Although rainfall is highly variable, the average rainfall increases steadily inland from coastal
areas. In addition, the windward sides of the major islands intercept the easterly air stream and
experience far greater rainfall than the leeward sides, consequently providing a marked
distinction between wet and dry zones. Rainfall is usually plentiful from December to April,
especially over the larger islands, but from May to October it is often deficient in the dry zones.
While the dry zones of the larger islands receive an average annual rainfall of between 165-229
cm annually, the wet zones receive around 305-345 cm. Certain localities such as upland
Taveuni commonly receive over 1,000 cm of rainfall per year. While average rainfall figures
have been extensively documented and cited, there is great variability in rainfall patterns, and
such averages have little value as indicators of the actual rainfall regime

B. Socioeconomic Development

8. Political instability and insecurity have characterized Fiji’s recent history. This has severely
eroded the country’s image, particularly with the international community, causing major
disruptions in its economy. Remedial measures have been implemented to stabilize the
economy and return the country to normalcy. But despite this, the Government still needs
massive strengthening of its law and order institutions in order to lessen the incidence of illegal
activities. Similarly, good governance, public accountability, and transparency need to be
instituted. Bureaucratic “red tape” provides a potential conduit for corruption, and poses an
impediment to investment and economic advancement.
 Appendix 4 63

9. While Fiji’s overall Human Development Index1 compares favorably with that of other
countries, this indicator has worsened, from a ranking of 44th in 1995, to 81st in 2003.
Nonetheless, its health and education indicators are favorable compared with other countries in
the Medium Human Development category. Life expectancy stands at 69.8 years while the
Adult Literacy Rate is 93.2 percent. Fiji’s overall socioeconomic indicators are far better than its
neighboring countries in the Pacific. However, these summary data do not give a detailed look
at the real socioeconomic conditions in the country itself, where marked discrepancies in the
quality and level of health, education, and infrastructure facilities in rural and urban areas are
apparent. The rural areas, where about half of the population live, often suffer from irregularities
in transport of goods, inadequate water supply, poor condition of rural roads, and lack of
electricity and telecommunication facilities (Table 4.1).

Table 4.1. Key Human Development Indicators, Fiji Islands

Indicators 1995 2000 Most Recent
Social Indicators
Population (millions) 0.768 0.810 0.819 (2002)
Population Density (person/km2) 42 44 45 (2002)
Annual Growth Rate (percent) 1.2 0.5 0.7 (2002)
Urban Population (percent of total) 45.5 49.4 50.2 (2001)
Population under age 15 (percent of 32.8 (2001)
total)
Labor Force (in thousands) - 152.8
Employed (in thousands) - 111.5
Unemployment rate (percent) 5.4 12.1
Life Expectancy at Birth (year) 69.8 (2000-05)
Life Expectancy Index 0.74
Infant Mortality Rate (per 1,000 live 50 (1970) 18 (2001)
births)
Maternal Mortality Ratio (per 100,000 38 (1985-2001)
live births)
Adult Literacy Rate (percent of age 88.6 93.2 (2001)
15>) (1990)
Education Index 0.88
HDI Index 0.754 (2001)
Human Poverty Index (rank) 41
Economic Indicators
Gross Domestic Product (GDP) (US$ 1.7 (2001)
in billion)
GDP per capita (US$) 2,061 (2001)
GDP per capita annual growth rate 1.0 1.7 (1990-2001)
(percent) (1975-
2001)
GDP Index 0.65
Source: ADB Key Indicators 2002; UNDP Human Development Report 2003, ADB CSPU for Fiji Islands
(2004-2006)

1
UNDP’s Human Development Report 2003.
64 Appendix 3

10. The rural population is declining because of the high rate of migration to urban areas
(computed at about 2.6 percent per annum from 1986 to 1996). Population growth is occurring
mainly in the two existing urban centers of Suva (the capital) and Lautoka, both on Viti Levu.

11. The high rate of urban in-migration is being driven by perceived prospects of jobs, better
access to medical, health and other social services, and perception of better education
opportunities in urban areas. This has resulted in a deterioration of environmental conditions in
the urban centers, arising from the generation of large quantities of waste and pollution, and
problems in sanitation, water supply, and many more.

12. Only about one third of Fiji’s labor force is engaged in paid employment within the formal
cash sector. However, starting in 2000, a declining trend was observed, with only 111,500
employed compared to 114,100 in 1999. Government accounts for a large proportion of paid
employment, with about 33,000 personnel in 2001. One of the greatest challenges Government
faces now is how to provide decent jobs to 17,000 job-seekers every year, not to mention the
increasing rate of unemployment estimated at 12.1 percent of the total labor force in 2000.
Although available data are considered unreliable, poverty is estimated to exceed 25 percent of
the population in Fiji.

13. However, Fiji’s economy is recovering due to improvements in a number of sectors. The
most notable change in the economy during the last decade has been the emergence of the
garment industry as a major economic contributor. Also, the tourism industry has contributed
significantly to the economy and expects to provide about 26,500 new jobs in 2005. If all capital
projects and expenditure commitments for 2003 are implemented, GDP growth is expected to
be around 4.1 percent in 2004.

C. Natural Resources

14. Fiji’s environment is relatively fragile due to its smallness and geographic isolation. The
country is characterized by diverse ecosystems, including rainforest and dryland forest,
mangroves and other wetlands, coral reefs and offshore fisheries, all of which are richly
endowed with natural resources. Fiji’s biodiversity, while comprising a relatively small number of
species, is exceptionally significant because of the high degree of endemism (species found in
discrete geographic areas—sometimes limited to a single island—occurring nowhere else on
earth). Although Fiji faces numerous environmental problems, it is fortunate that the serious
demographic, economic, and industrial pressures that are the root causes for depletion of
natural resources in many other developing countries, are largely absent here.

15. Land Resources. Of the total land area of 18,333 sq km, about 45.3 percent is estimated to
be in use as farmland, while the remaining 54.7 percent is classified as non-agricultural land.
Some 453,603 hectares, or 63.4 percent of the non-agricultural land is natural forest; 196,967
hectares (27.6 percent) is non-agricultural land; and 64,624 hectares (9.0 percent) is planted
forest. The vast majority of land in Fiji, about 90 percent, is classified as native land owned by
indigenous Fijians in traditional land-owning units; the remaining land area consists of state land
(formerly crown land), and freehold land.

16. The increase in population over the past 40 years has resulted in increased demand for food
production and consequently has put a significant amount of pressure on arable land areas.
Intensive systems of farming, monocropping, reduced fallow periods, and the use of
environmentally-damaging inputs (i.e., pesticides and fertilizers), have left no room for farmland
soils to recover their natural fertility. This has resulted in increased land degradation, reduced
 Appendix 4 65

productivity, lower yields, reduced food security, and increases in poverty. Increasing in-
migration in urban areas has worsened the situation. Many prime arable lands have been taken
out of production for conversion into industrial and commercial areas and housing estates to
accommodate the burgeoning population.

17. As 50 percent of the population in Fiji still live in rural areas and outer Islands, there is a
need to develop sustainable economic activities in these areas in order to discourage further
migration to urban centers. At present, rural areas and outer islands are lacking in basic social,
economic and infrastructure services that constrain development of businesses and
commercialization of agriculture. Addressing these deficiencies will lessen the pressure on
urban areas, and at the same time will stimulate growth in rural/outer island areas.

18. In addition to the deleterious farming practices cited above, other activities, including steep-
slope agriculture, clear-cutting of forests, drainage of wetlands, and other alterations of natural
ecosystems, have had damaging environmental effects on lands. One of the greatest ongoing
impacts is the loss of large quantities of fertile soil from major watersheds; an estimated 21
million tons of soil is lost annually within four watershed areas alone (Table 4.2). As a party to
the United Nations Convention to Combat Desertification (UNCCD), Fiji has already engaged in
several land management projects intended to combat land degradation.2

Table 4.2 Soil Loss in Four Major Watersheds, Viti Levu Island
Soil Loss Total soil loss
Watershed Soil loss (mm/yr)
(tons/ha/yr) (million tons/yr)
Rewa 32.2 2.2 9.3
Ba 69.0 4.6 6.4
Sigatoka 76.9 5.1 1.1
Nadi 81.4 5.4 4.2
TOTAL 21.0
Source: Leslie and Ratukalou 2002. Review of Rural Land Use in Fiji.

19. Agriculture. Of the total land area, about 16 percent of Fiji’s landmass is suitable for
agriculture, and is found mainly along the coastal plains, river deltas, and valleys. Sugar is the
main agricultural crop, and has been the backbone of Fiji’s economy for most of the past
century. (A more detailed discussion of the sugar industry is found in Appendix 5). With regard
to non-sugar products, including other crops and livestock, they contribute about 8 percent to
the GDP and around 11 percent to agricultural exports. This sector, which benefits
approximately 50 percent of the population, consists of traditional food crops (dalo, cassava,
ginger, and yaqona), tropical fruits (pineapple, pawpaw, and mango), vegetables, spices, cocoa,
and coconut products. Beef, dairy, pork, poultry, sheep, goat, and honey make up the livestock
sub-sector.

20. Performance within the agricultural sector over the last decade has been mixed. Only the
production and exportation of dalo and vegetables have gradually increased, while other crops

2
As a party to UNCCD, Fiji Islands has implemented several scientific and technical projects as follows: Watershed
Management and Flood Control Program; Soil Surveys and Soil Correlation Program; Soil and Crop Evaluation
Project; Establishment of the Ministry of Agriculture Fisheries and Forest Geographical Information Systems;
Participatory District / Tikina Based Land Use Planning Program; Integrated Agriculture Development Program; Soil
Loss Research and Development of Sustainable Land; Management Technologies Project; Pacific Regional
Agriculture Program; Awareness and Training on Sustainable Land Management Program; Transfer of Sustainable
Land Management Technologies (SLMT) Program; Drought Mitigation Project; Land Use Options in the Fiji Islands
Sugar Industry Project; Farming Assistance Scheme and Land Resettlement Program; and Land Capability
Classification Program
66 Appendix 3

like copra and cocoa have stagnated and declined. Lack of necessary infrastructure facilities
constrains the growth of this sector, especially in rural areas where there is high potential for
traditional food crops and specialty products such as fruits, nuts, cutflowers, spices, herbs, and
medicinal plants.

21. Forest Resources. Forest resources in Fiji cover an area of approximately 870,000
hectares or about 47 percent of the total land area. Rainforests exist on the windward sides of
the mountainous islands, while the leeward sides have grassy plains. Cultivated plantation
forests, mainly pine and mahogany, account for 13 percent of the total forest area. The forestry
sector contributed approximately 1 percent to the country’s GDP and 3.4 percent of the total
export earnings in 2001. Fiji suffers from a 0.21 percent (1990-2000) annual rate of
deforestation. The loss of trees has resulted in soil erosion and silt that washes into the ocean.

22. Fiji Pine Limited, a state-owned corporation, manages pine plantations on the two major
islands. In spite of its FJD40 million earnings every year from export of pine timber and chips,
the company is experiencing financial losses due to poor management. Mahogany plantations
are managed by a second state-owned forestry company, the Fiji Hardwood Corporation.3 Great
potential is seen for mahogany as a dollar earner, hence, its sustainable management is
encouraged.

23. Indigenous forests, which comprise about 300,000 hectares of the total forest area, also
offer great potential for production of a range of value-added products including veneer,
plywood, and quality hardwood furniture. However, native forest areas are being subjected to
massive denudation, with the result that their biodiversity resources are now severely
threatened.

24. Some attempts have been made to curb forest destruction. A project on sustainable forestry
management and agroforestry farming systems was implemented through the German bilateral
program from 1987 to 1994 and later pursued through SPC/GTZ funding. Surveys on traditional
agroforestry practices, and pilot testing of the use of Erythrina subumbrans (Drala) and
Calliandra leguminous trees for soil fertility improvement were undertaken in selected upland
areas. Opportunities also exist for the sustainable production of non-timber forest products.
These projects offer some potential to generate sustainable technologies to meet the
conservation and economic needs of the local people.

25. Fisheries and Coastal Resources. Fisheries is the third largest export industry in Fiji. With
an EEZ covering 1.3 million square miles of ocean, Fiji has a rich resource for commercial
exploitation and to supply the subsistence needs of 90 percent of villages located along the
coast. The sector accounts for 1.7 percent of GDP or FJD36.5 million. However, in a study
conducted by ADB, a much higher contribution to GDP was estimated at 2.4 percent or about
FJD 84.6 million.4 The same study reported that about 6,246 jobs or about 2.2 percent of the
total number of employed individuals in Fiji Islands, were employed by the fishing industry.
Around 37,337 metric tons of fish is produced every year with an estimated value of
US$66,102,000. About 44.0 percent of this value or US$29.1 million is exported. The tuna
industry dominates the fisheries sector. Present markets are the United Kingdom, Japan, and
the United States.

3
A bill was introduced into Parliament in 2003 for the privatization of the Fiji Hardwood Corporation.
4
Robert Gillet and Chris Lightfoot 2001. The contribution of fisheries to the economies of Pacific Island Countries.
ADB Manila. December 2001.
 Appendix 4 67

26. Coastal areas are of vital importance to Fiji for social and economic development. Most of
the urban centers and vast majority of villages are located along the shore. Population
concentration and rapid development have been accompanied by inappropriate solid waste
management, mismanagement of chemical wastes, pollution of air and waterways, and land
degradation. Siltation, sewage dumping, and overfishing threaten Fiji’s coral reefs in particular
and the coastal ecosystem in general, causing the loss of habitat, as well as depletion of the
biologically significant species themselves. Furthermore, unsustainable practices within the
artisanal fishery5 are also contributing to resource depletion and ecological imbalance.

27. Freshwater Resources. Freshwater wetlands occupy only about 0.3 percent of Fiji’s land
area. On the main island of Viti Levu, approximately 70 percent of the land area is drained by
three large river systems (Nadi, Sigatoka and Ba rivers). A total of 10 rivers on Viti Levu have
lengths ranging from 21 miles to 73 miles.

28. Two major dams have been constructed in Fiji Islands. The smaller Vaturu Dam (168
hectares) provides water to the dry western division of Viti Levu, and the larger Monasavu dam
(670 hectares) provides hydro-electricity. A third, smaller dam (80 hectares) has been built at
the Wainikavika Creek to provide water for rice irrigation.

29. On the main islands, which are all volcanic in origin, there is no shortage of groundwater
and surface water to supply domestic needs. These islands are characterized by steep, deeply
incised mountainous terrain, a relative abundance of annual rainfall, the presence of perennial
rivers, good surface drainage, and numerous springs. However, on the low-lying, smaller, and
outer islands, rivers and streams are non-existent, and groundwater may be lacking or brackish.
Shortages in freshwater supply are a common occurrence in these islands. Despite the fact that
rainfall provides a reasonably adequate and readily-available source of raw potable water on
these islands, deficiencies in water catchment and storage systems are the reason for the
chronic shortages.

30. Biodiversity Resources. The Fiji Islands Biodiversity Strategy and Action Plan (FBSAP),
developed in 1999 and approved in 2003, presents the state of the country’s biodiversity and
outlines approaches to conservation. The FBSAP reports that much of Fiji’s biodiversity is
unique and can be found nowhere else in the world (i.e., is endemic to Fiji). Highlights of Fiji’s
biodiversity are as follows:

• Fifty percent or more of its plants and birds are endemic

• all 24 of its reported palms are endemic
• 72 of the 76 species of the plant genus Psychotria (Rubiaceae, coffee family) are endemic
• of 26 reported species of reptiles, 9 (35 percent) are endemic, including the “flagship” Fijian
crested iguana
• over 90 percent of some insect groups such as cicadas and marine insects are endemic
• of 61 species of freshwater mollusks and crustaceans, 11 percent are endemic
• there are 96 recorded species of indigenous freshwater and brackish water fishes
• the total number of vascular plants known is approximately 2,600, of which approximately
1600 are native
• the total number of native insect species is in excess of 3,500
• the only indigenous mammals are bats, of which there are six known species;
• there are two rare endemic species of frogs (genus Platymantis)

5
This includes indiscriminate harvesting of mangroves and catching of undersized fish and crustaceans.
68 Appendix 3

31. In an economic valuation study carried out for four major ecosystems in Fiji ([i] open sea; [ii]
coral reefs, lagoons and beaches; [iii] mangrove forests and estuaries, and [iv] tropical moist
forest) eleven ecosystem-related processes were identified as benefits. These included: (i)
climate regulation; (ii) disturbance regulation; (iii) water regulation and supply; (iv) erosion
control and soil formation; (v) nutrient cycling; (vi) waste treatment; (vii) biodiversity
preservation; (viii) food production; (ix) provision of raw materials; (x) recreational opportunities;
and (xi) cultural values. The total economic value of these services was computed at FJD973
million per year, which represents over 42 percent of the 1994 national GDP.6 The high value
ascribed to these ecosystem services clearly highlights their importance for Fiji’s continuing
economic growth. Any form of unsustainable development that causes imbalances in these
ecosystem functions will diminish or destroy the value of the environmental services which
these natural systems provide, with accompanying social and economic losses.

32. Mineral and Groundwater Resources. Fiji is endowed with mineral deposits of gold,
copper, lead and zinc. Gold has been exported from the country since 1932 and continues to be
a major foreign exchange earner. Emperor Gold Mining Company Limited is the largest mining
operation in the country, with an annual production of 4,430 kg of gold (1999) and a workforce
of over 2,000 people. The company’s Vatukoula mine is situated on the margin of the Tavua
Caldera in northern Viti Levu. Mt. Kasi mine in the Yanawai Goldfield of southern Vanua Levu is
the other major gold mine in the country. The discovery of large copper deposits at Namosi in
east-central Viti Levu could increase Fiji’s output in the mining sector. However,
environmentalists have argued that tailings disposal from the proposed mining operation poses
threats to environmental quality that could impact one or more sensitive areas, including the
Navua watershed, Waisoi Valley, Sovi Basin, Coral Coast, and Beqa Lagoon. Other ventures
being investigated are for commercial exploitation of bauxite, marble, and oil. In 2001, mining
operations contributed about 2.5 percent to the GDP.

33. Mineral water for the bottled water market has also shown the potential to be one of Fiji’s
leading foreign exchange earners. In 2003, export earnings from bottled mineral water were
estimated at FJD45.5 million, up from FJD5.9 million in 1999, during the early stages of
development of the industry. Currently, “Fiji Islands Water” enjoys a commendable second
largest market share for imported bottled water in the US. Efforts are underway to also
penetrate Australasia and the European markets.

D. Other Key Sectors

34. Tourism. Fiji is the main center for tourism in the South Pacific region, with tourist arrivals
having peaked at 410,000 in 1999.7 Visits have grown by an annual average of 9 percent since
1961 and 5 percent since 1990. The contribution to Fiji’s employment is estimated at 20 percent
of the total employment figure for 2001, with around 40,000 jobs and a contribution to the GDP
of about 17 percent, which is more than any other single industry. In addition, tourism receipts
have helped to reduce negative economic impacts of trade deficits, contributing to the positive
current account positions and general stability of the local currency.

6
FBSAP 1999.
7
Arrivals in 2000 were 294,000, in 2001 about 348,000 and in 2002 around 398,000 (WTO 2002, http://www.world-
tourism.org and South Pacific Tourism Organization [SPTO], May 2003) reflecting the impact of the coup in 2000.
In 2001, 85percent of arrivals were tourists, 5percent business and official visits, and the balance of visits related to
educational and family reasons.
 Appendix 4 69

35. The Government has recently adopted8 concepts such as sustainable tourism9 and the
promotion of ecotourism10. These steps have been perceived as a timely move toward more
sustainable natural resource management; enabling economic development, while at the same
time, preserving cultural integrity, essential ecological processes, biological diversity, and life
support systems. The earliest ecotourism initiatives started around 1972, with the establishment
of several designated sites and protected areas.11 In the last decade, activities in this area have
been stepped up and local communities are now increasingly involved in tourism and
ecotourism. Some local residents may be employed as hotel workers,12 while others may
provide local accommodation or other related services. Based on a recent survey, there are now
about 22 licensed “ecotourism” operators in Fiji, with the majority of them based on the western
side of Viti Levu, while others operate in Vanua Levu, Taveuni, and in Vanua Balavu, Lau.13

36. NZAID has been assisting ecotourism development in Viti Levu (at the Koroyanitu National
Heritage Park) and Taveuni (at the Vanua Bouma National Heritage Park) since 1989. These
parks are considered among the best models of sustainable park management in the Pacific
and have good visitor numbers and activities/attractions, including well-maintained trails and
nature interpretation centers, and most importantly, a local village-based management structure.
However, as summarized in a recent review prepared by NZAID, the way forward toward a self-
managed and sustainable ecotourism system still presents various challenges and requires
additional focused external support.

37. With respect to impact management and quality control for sustainable tourism, an important
recent initiative is certification of tourism-related companies through “Green Globe 21”.14 Other
initiatives that advocate sustainable tourism development are: (i) national commitment towards
the Global Code of Ethics for Tourism; (ii) empowering various tourism trade associations; (iii)
institutional strengthening and capacity building in human resources, and community
development; and (iv) cost-effective target marketing through the Fiji Islands Visitors Bureau
and the tourism industry to achieve a sustainable balance between demand and supply.

38. Energy. At the end of 2002, electricity accounted for 3.7 percent of the country’s GDP.
Around 60 percent of electricity requirements are met by hydropower, with most of the balance
coming from imported petroleum products. The proportion of Fiji’s total population currently
having direct access to power supplied by the Fiji Islands Electricity Authority (FEA) is 60
percent, compared to 54 percent in 1990.

8
Through the Ecotourism and Village-Based Tourism Policy and Strategy approved in February 1999.
9
Sustainable tourism is defined as “tourism and associated infrastructure that: both now and in the future operate
within natural capacities for the regeneration and future productivity of natural resources; recognize the contribution
that people and communities, customs and lifestyles, make to the tourism experience; accept that these people
must have an equitable share in the economic benefits of the local people and the communities in the host areas.”
(Eber. 1992 as mentioned by Butler, R.W. 1999. Sustainable Tourism: A State-of-the-Art Review. Tourism
Geographies 1 (1), 1999, 7-25)
10
Ecotourism is defined as “a form of nature-based tourism which involves responsible travel to relatively
undeveloped areas to foster an appreciation of nature and local cultures, while conserving the physical and social
environment, respecting the aspirations and traditions of those who are visited, and improving the welfare of local
communities” (Harrison, with Malani and Sawailau. 1999).
11
Some of these areas are: Colo I Suva Forest Trail; Iguana Sanctuary on the Island of Yadua Taba; Levuka Historic
Town; Vaisali Forest Park; Waikatakata Forest Trail; Sagatoka Sand Dunes National park; and the Tavuni Hill Fort
(Harrison, D. and Brand,J. 2002. Ecotourism in Fiji Islands. In: Harrison, D. (ed.), Pacific Islands Tourism,
Cognizant, New York).
12
which is normally a condition for leasing lands …
13
Strategic Development Plan 2003-2005.
14
Being implemented through a strategic partnership among the Fiji National Training Council, the Ministry of
Tourism, Fiji Visitors Bureau, and Green Globe Asia Pacific.
70 Appendix 3

39. The level of electricity generated by FEA in 2002 was approximately 555 gigawatt-hours
(GWh), increased from 449 GWh in 1997. The total number of consumer accounts using
electricity services from the FEA grid has also increased from 99,676 to 120,000 over the same
period, and was forecast to increase by 5 percent per annum in the next three years.

40. Since the inception of the Rural Electrification Scheme in 1975, a total of 569 schemes have
been installed under a cost sharing arrangement between Government and the rural service
applicants. About 85,000 people of the total rural population have benefited from this scheme.

41. Non-conventional sources of energy are being increasingly tapped in Fiji to bridge the
growing energy gap. A notable example is the Fiji Sugar Corporation’s use of bagasse for most
of its energy requirements. The Fiji Industries, Ltd cement factory fires its kilns with electrical
energy derived from imported coal, but the steel rolling and fabrication industry meets part of its
requirements through waste oil. Several isolated power projects use coconut oil, biogas and
biomass as alternative fuels. A 10-KV photovoltaic installation has been set up at Lautoka, but
the high cost of the photovoltaic cells utilized would constrain introduction of similar solar power
schemes in other parts of the country. Household photovoltaics have been utilized for rural
electrification, and as of mid-2004, there are an estimated 400 households utilizing solar
photovoltaics.

42. Wind resources are being monitored by Department of Energy and Rural Electrification, for
proposed wind farms totaling about 25 MW of production capacity; around 5-15 MW of wind
power generation systems may be commissioned by 2007. Considerable potential also exists
for production of geothermal energy from steam sources in Lambasa, and at several other sites
on Viti Levu and Vanua Levu; there is an estimated total generation potential of perhaps 5-15
MW from geothermal. Efficiency in production, transmission and consumption is essential to
optimize available energy sources while new and more environmentally benign avenues are
being explored.

43. Water and Sewerage Services. The proportion of Fiji’s population with access to piped
water is about 70 percent, compared to 60 percent in the mid 1980s, but those with access to
an improved water source is only 47 percent.15 The proportion of population having access to
improved sanitation facilities is approximately 43 percent, while only about 15 percent have
access to treated sewerage facilities.16 The overall level of services provided by this sector
needs major strengthening, and to realize this, there is a need for substantial investment to
upgrade and expand existing water and sewerage facilities. The sector is plagued by low cost
recovery due to low fees charged for delivery of water and sewerage services, as well as
inefficient operations. Water supply master plan and sewerage system projects were initiated to
address this problem. But considerable amount of funding assistance is necessary to carry out
plans and projects.

44. Government is continuing to implement the Suva/ Nausori Regional Water Supply Master
Plan improvement and expansion program, which was revised and updated in 2000. The ADB-
funded loan for upgrading Suva-Nausori water and wastewater facilities is a significant
contribution that will help bring about much needed improvement in this sector. Additional steps
are being taken to meet demand in the greater Suva area, by the extension of the treatment
facility at Kinoya. Work on the Kinoya Outfall, which commenced in 2001, is continuing with EU
funding.

15
UNDP Human Development Index 2003
16
UNDP Human Development Index 2003
 Appendix 4 71

45. Government is also providing water supplies to rural communities under the Self-Help Rural
Water Supply Scheme and the Borehole Subsidy Scheme. The Self Help Rural Water Supply
Scheme is mainly designed for rural communities, villages and schools and operates on a one-
third to two-third costs sharing basis between the beneficiary communities and Government.
Under the Borehole subsidy scheme, Government subsidizes up to one thousand dollars per
borehole for individuals or a collection of farmers living in scattered rural areas. The cost of
drilling and developing a borehole as the water source is fully funded by Government, and the
community is only levied a one third contribution for the development and reticulation costs from
the completed borehole.
72 Appendix 5

Appendix 5: Fiji’s Sugar Industry1

A. Current Issues

1. Since its introduction in 1880, the sugar industry has dominated Fiji's commercial
agricultural sector. While dependence on the sugar industry has declined substantially during
the past 2 decades (Prasad and Narayan, 2003), currently it still accounts for 7 percent of the
GDP, 25 percent of employment and approximately 22 percent of annual export revenue (Fiji
Sugar Commission, 2002). About 90 percent of Fiji's raw sugar is exported to international
markets, mostly at premium prices under the ACP/EU Sugar Protocol and other preferential
arrangements.

2. The sugar industry provides direct and indirect employment to some 41,000 people; these
consist of 21,000 growers, 3,000 Fiji Sugar Corporation (FSC) employees, and 17,000 cutters
and drivers. In addition, unlike tourism, in which there is a high rate of earnings “leakage” to
investors overseas, sugar income remains largely within Fiji, circulating throughout the economy
and yielding trickle-down economic benefits. However, the future of sugar exports, and the
sugar sector as a whole, is uncertain. The current industry structure is not viable, and
restructuring is essential to address the industry’s problems such as: (i) declining productivity,
both in the field and the factory; (ii) declining sugar quality; (iii) poor industrial relations; (iv) poor
supply of cane to mills; (v) transportation issues; (vi) mill inefficiencies (vii) rising production
costs; (viii) shortage of skilled manpower; (ix) ineffective management; (x) fluctuations in world
free market prices and phasing out of the long-term market in the European Union; and (xi)
inequitable access to sugar lands as stipulated under the Agricultural Landlord and Tenant Act
(ALTA), and expiration of sugar leases that is causing displacement of skilled sugar workers

3. Of all these ills, perhaps the most serious are the difficulties that exist in land leasing
arrangements between primarily Indo-Fijian tenant farmers and traditional indigenous Fijian
landowners. The ALTA is the main legislation that directs the procedures in utilization and
leasing of lands in Fiji. Many studies have already pointed out the need to revise its provisions
in light of expiring leases and the threats that this brings. The inability to address this pressing
issue has been one of the key aspects contributing to Fiji’s recent political instability.

4. These problems have negative impacts not only to the sugar industry itself, but also to the
ecological integrity of upland/forest areas. If leases granted to sugar farmers for suitable sugar
croplands are not extended, the tendency is for farmers to utilize instead more marginal,
erosion-prone upland areas to continue their farming activities. Such practices will not only
damage the sugar industry, but through the impacts of erosion, soil loss, siltation, and impaired
water quality, will cause declines in other agriculture, fisheries, and tourism.

5. The FSC is 68 percent owned by the Government of Fiji, with 17 percent of shares held by
the Fiji National Provident Fund (FNPF). The International Monetary Fund (IMF), based on
information from FSC, has projected increasingly heavy FSC losses, reaching over FJD33
million by 2008, if no action is taken very soon (Table 5-1).

6. Since this analysis was carried out, the World Trade Organization (WTO) has issued a ruling
against internal EU sugar subsidies. This will affect the EU agreement with Asia-Caribbean-
Pacific countries (the ACP group) providing for subsidized sugar exports from the ACP to the

1
Sources: FSC Annual Report 2002-2003; PIREP October 2004. Pacific Regional Energy Assessment 2004. Fiji
National Report; Mr. Jai Gawander, Research Manager, Sugar Cane Research Centre, FSC.
 Appendix 5 73

EU. This decision, if upheld as expected, would reportedly (Fiji Times, 2004) cost Fiji about
FJD7 million annually in lost export revenue, based upon expected declines in sugar prices,
from current levels of around FJD50/ton, to around FJD30/ton by 2007. According to the FSC
chair (reported by Radio Australia, 2004), the impact on Fiji could be ‘catastrophic.’

Table 5-1 FSC’s Estimated Profits and Losses in FJD (millions)

Year 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008
Profit (-loss) -1.2 -3.0 2.0 -3.3 -20.8 -19.0 -11.0 -16.1 -18.7 -21.9 -32.0 -33.5
Source: Fiji Selected Issues and Statistical Annex (IMF, 2003)

B. Restructuring and Strengthening of the Industry

7. Government is well aware of the need to restructure the sugar industry. Given the large
impact that the sugar industry has historically had on Fiji’s economy, and noting that the
percentage of Fijian households living in poverty grew from an estimated 15 percent in 1983 to
nearly 26 percent in 1996 (worsening further following the 2000 political crisis according to ADB,
2003), the need to find solutions for the current crisis in the sugar industry is growing ever more
urgent.

8. Many options for restructuring have been considered. As part of a Sugar Sector Reform
Study conducted by a technical team from India, it was recommended that total sugar-growing
area be increased by 25 percent. This would be accompanied by measures to: (i) improve
value-adding, by looking at alternative uses for the sugarcane crop; (ii) rehabilitate marginal
growing areas through crop diversification and intercropping; (iii) change existing milling
equipment for greater efficiency; and (iv) put measures in place to reduce transportation costs.
Outcomes of ADB’s TA for Alternative Livelihood Development, which also focuses on reform
and restructuring within the sugar industry, have made quite different recommendations, based
mainly on the reality that sugar prices cannot be maintained at past or current levels. The TA
recommended that (i) sugar planting area be reduced; (ii) areas previously used for sugar crops
be replanted with other crops; and (iii) these changes be accompanied by training to place
former sugar workers into new livelihoods, especially a variety of non-farm small and medium-
size enterprises (SMEs).

9. An important overall guiding principle in looking at proposals for revitalization of the sugar
industry is to consider diversification from sugar, but not from sugar cane—in other words,
continue producing the cane crop, but use it for products other than sugar. The advantages of
this approach are that (i) there is an existing knowledgeable and skilled workforce who would
not need new training that would be required for growing new crops; (ii) the technology and
facilities for cultivation would be the same (e.g., no need for providing irrigation etc.); and (iii)
potentially, cane of inferior quality (inferior for sugar production purposes) might be acceptable
to use for other products. This means that sugarcane could possibly be grown profitably in
areas that are marginal for growing cane for sugar production (e.g., Suva environs—the mill in
Nausori was closed due to the fact that cane was inferior for sugar production, due to higher
rainfall).

10. Some of the main areas of opportunity for diversified utilization of sugarcane to generate
rervenue are for (i) biomass (bagasse) fuel production for power generation; (ii) production of
specialty high-value chemicals (e.g., isocosinol, a sugar-derived substance used to lower blood
cholesterol); (iii) ethanol production, for food or fuel use; and (iv) carbon trading under the global
Clean Development Mechanism (CDM).
74 Appendix 5

11. There are potential spin-off environmental benefits to be gained through such diversification
as well. Many of these are tied to benefits recognized under the CDM, and relate to reductions
in GHGs. These are as follows:

• replacement of fossil fuel with biomass (i.e., bagasse, the cane by-product from the sugar
harvest) for energy production, which decreases Fiji’s energy dependency, and sale of
excess energy derived from bagasse, to the electricity grid. At present, sugar mills burn
bagasse to run their own generators, with some excess electricity being generated. It is
estimated that each of the four sugar mills in Fiji could potentially generate up to 5 MW of
electricity, which could be sold to the main power grid. There have been discussions
between FSC and FEA regarding proposed investments that could substantially increase
the amount of electricity provided by FSC to FEA.2

• production of ethanol from sugarcane as an alternative fuel source. Ethanol is a clean and
renewable fuel that could be a potential substitute for traditional fossil fuels. Ethanol from
sugarcane is already commercially viable in other countries (e.g., Brazil) where sugar is
considered a by-product of ethanol production.

• expansion of sugarcane-growing lands to increase absorption of atmospheric carbon. The

added sugarcane production would be utilized for biomass, ethanol, and specialty chemical
production as described above. At the same time, because sugar is a so-called C4 plant, its
photosynthetic processes result in very rapid uptake of atmospheric carbon (carbon dioxide,
or CO2). As a result, sugar potentially could act as an effective carbon sink, helping to
sequester carbon and reduce the amount of greenhouse GHGs in the atmosphere.3

12. In addition to the diversification proposals mentioned, other opportunities exist for making
improvements in the sugar industry. For example, improving sugar yields could improve Fiji’s
competitiveness within the world sugar market. At present, annual yields stand at around 5 tons
of sugar per hectare; however, it has been estimated that with improved culture techniques,
yields could be increased to as much as 10 tons per hectare. Among the ways in which
productivity and yield could be improved are: (i) control of erosion and runoff on sloped lands by
planting hedgerows of Vetiver grass4; (ii) providing irrigation for cane lands5; (iii) minimizing
tillage; intercropping with legumes for soil enrichment; (iv) minimizing burning in canefields, to
reduce loss of organic matter; and (v) utilizing recycled filter mud/ash/bagasse mixture to
replace costly synthetic fertilizers.

2
This has further implications for possible reduction of emissions and benefits under the global Clean Development
Mechanism (CDM). The impacts of burning bagasse, in terms of production of GHGs, needs to be examined and a
balance sheet set up to determine the net loss or gain in carbon dioxide emissions. Similarly, if ethanol production
was taken up, generators could be run on the ethanol residue, and similar calculations would need to be made.
3
However, because of relatively short crop turnover, the permanence of the sequestration needs to be further
investigated (e.g., once sugarcane is cut and processed, and residual cane is re-tilled into fields, is the majority of
carbon quickly released to the atmosphere, or is it retained as organic matter in soil?). Assuming that carbon
retention could be deminstrated, there may be potential for revenue generation through carbon trading as provided
for under the CDM.
4
Another advantage is that, in addition to their effectiveness for erosion control, Vetiver plants are a source for high-
value aromatic oils that have reputed therapeutic properties. Since occasional thinning of Vetiver hedgerows is
required, this offers the opportunity to harvest the grass as a secondary crop for essential oil production.
5
Surveys have shown adequate groundwater resources for irrigation in cane-growing areas.
 Appendix 6 75

Appendix 6: Fiji’s Protected Areas and Sites of National Significance

A. Protected Areas

Protected Area Year Area Administered

Location Type Of Feature Tenure
/Status Established (ha) by
I. National Parks
Sigatoka Sand 1988 South Sand Dunes, State, Native 240 National Trust
Dunes West Beach Forest, and Freehold of Fiji (State
National Park Coast Viti Archaeological only)
Levu Site
II. Nature Reserves
Ravilevu 1959 Taveuni Rainforest Government 4020 Ministry of
Island Forestry
Naqarabuluti 1958 Viti Levu Rainforest Government 279 Ministry of
Forestry
Draunibota 1959 Suva Recreation Government 2.16 Ministry of
and Labiko Harbour Forestry
Islands Viti Levu
Nadarivatu 1956 Viti Levu Dakua Forest Government 93 Ministry of
Forestry
Tomaniivi 1958 Viti Levu Rainforest Government 1322 Ministry of
Forestry
Vuo Islands 1960 Suva Coastal Islet 1.2 Ministry of
Harbour Forestry
Viti Levu
J H Garrick 1986 Southern Forest Freehold 428 National Trust
Memorial Viti Levu of Fiji
Forest
Reserve
Namenalala 1984 South of Sea bird Colony, Native 43 NLTB
Island Nature Vanua Barrier reefs (Lessee)
Reserve Levu
Taveuni
Forest
Reserve
Sovi Basin
Monosavu-
Nadrua
Plateau
Koroyanitu
Vunivia
Waisali
III. Forest, Park and Amenity Areas
Colo-I-Suva 1952 Suva, Viti Forest/Stream Native 91 Ministry of
Levu Forestry
Lololo Early 1970’s Western Forest/Stream Native 0.5 Fiji Pine
Viti Levu Commission
Tavakubu Early 1970’s Western Pine/ Forest/ Native 1 Fiji Pine
 76 Appendix 6

Protected Area Year Area Administered

Location Type Of Feature Tenure
/Status Established (ha) by
Viti Levu Stream Commission
Bouma Forest 1991 North Waterfalls/ Native Landowners
Park Taveuni Rainforest with Ministry
of Forestry/
NLTB
Waikatakata (in process) South Viti Rainforest/ Native Landowners
Forest Park Levu Archaeology with Ministry
of Tourism/
NLTB
Tavuni Hill (in process) South Viti Archaeology Native 20 Landowners
Fort Levu with Ministry
of Forestry/
NLTB
Saweni Beach Early 1970’s Western Beach Native 0.5 Ministry of
Viti Levu Forestry
Lomolomo Early 1970’s Western Beach Native 0.5 Ministry of
Viti Levu Forestry
Nukulau Early 1970’s Off Suva, Island and reef Government Department of
Island Viti Levu Lands
IV. Wildlife Sanctuaries
Yadua Taba 1981 Western Island Sanctuary Native 0.5 National Trust
Island Crested Coast of for Crested of Fiji
Iguana Viti Levu Iguanas
Reserve
Tunuloa
Silktail
Reserve
V. Marine Sanctuaries
Kadavu Great Astrolabe
Lagoon
Nadi Bay Tai Is., Levuka Is.,
Vomo Sewa Is. –
fringing and
offshore reef
areas
Namenalala Fringing and
Barrier Reefs
Yadua Taba Fringing Reef and
surrounding
waters
Lau Group
VI. Mangrove Areas
Ba delta Nawaqarua -
Natutu
Rewa delta Muanicaka –
Nasoata R.
Labasa delta Labasa R,;
Labasa Delta
 Appendix 6 77

Protected Area Year Area Administered

Location Type Of Feature Tenure
/Status Established (ha) by
Mouth
VII. Historical/Cultural Sites
Wasavalu Near Cultural Site National Trust
Labasa, of Fiji and/or
Vanua Fiji Museum
Levu
Source: National State of the Environment Report (1992); FBSAP (1999).

B. Preliminary Register of Sites of National Significance

The register consists solely of ‘natural’ sites, which includes those of biological, ecological,
geological, and geomorphologic and landscape interest. It also includes some sites currently
used for recreation. Cultural and archaeological sites are not included. This register is by no
means complete.

Site
Site Division Significance
No.
1 CUVU BEACH Western Coastal ecosystem, recreation
2 NATADOLA Western Coastal ecosystem, recreation
3 SIGATOKA SAND DUNES Western National park, sand dune system
4 SAUTABU CAVE Western Limestone cave
5 NAQALIMARE LIMESTONE Western Limestone ecosystem
6 TATUBA CAVE Western Limestone cave system
7 WAILOTUA LIMESTONE Central Limestone ecosystem and cave
8 NAUSORI HIGHLANDS Western Dry zone mountain forest
9 NAQALI Central Neovetchi storkii Palm habitat
10 CORAL COAST REEFS Western Marine ecosystem, recreation
11 WAINISAVULEVU FALLS Western Waterfall
12 RAIRAIMATUKU PLATEAU Western Mountain rainforest
13 MONSAVU Western Dam, hydro catchment protection, rainforest
14 NAKOROTUBU V/ THICKET Western Unique tropical vine thicket community
15 NAKAUVADRA RANGE Western Dry zone rainforest
16 MALAMALA ISLAND Western Marine ecosystem
17 VATIA VINE THICKET Western Unique tropical vine thicket community
18 WABU CREEK Western Intact Fiji dakua mountain range
19 DREKETI INLET Western Coastal environment, mangrove
20 Mt EVANS RANGE Western Intact dry zone mountain forest
21 WHITE ROCK Western Seabird nesting colony
22 MACUATA ISLAND Western Crested Iguana habitat
23 NADI BAY REEFS Western Reefs, recreation
24 VATURU DAM Western Catchment protection, dry zone rainforest
CATCHMENT
25 KADOMO ISLAND Western Shear water nesting colony
26 MAMANUCA GROUP Western Coastal/marine ecosystem, recreation
27 VOMOSEWA Western Flying fox camp, island vegetation
28 MONURIKI ISLAND Western Iguana habitat, seabird nesting colony,
vegetation
29 MONASAVU SWAMP Western Rare mountain swamp community
78 Appendix 6

30 SAVURA CREEK Central Catchment protection, rainforest

31 SOVI GORGE Central River gorge of high scenic value
32 Mt KOROBABA Central Rainforest, 5 endemic plant species,
recreation
33 NAULU LOKIA SWAMP Central White browed rail habitat
34 NASINU CAVE Central Cave system
35 VAT-I-RA Western Sea bird nesting colony
36 VATU-I-LAMI Central Seabird nesting colony
37 MUBULAU Central Seabird nesting colony
38 SUVA REEF Central Marine habitat and recreational area
39 BATIWAI FOREST Central Gulubia microcarpa palm habitat; forest
reserve
40 SOVI BASIN Central Rainforest, wilderness area, high scenic area
41 KOROBASABASAGA Central High scenic value
RANGE
42 LOWER NAVUA GORGE Central High scenic value
43 UPPER NAVUA GORGE Central Spectacular scenery, geological formation
44 QARANIBULUTI NAT. RES. Western Rainforest, forest reserve
45 MAKALUVA ISLAND Central Sand cay and reef system; recreation
46 MATAGI ISLAND Northern Beach forest, flooded volcanic caldera
47 WAISALI Northern Dakua rainforest, amenity reserve
48 ROKOSALASE Northern Buabua forest (Fragraea gracipilles)
49 KIOA ISLAND Northern Island environment
50 NASELESELE FALLS Northern Waterfall system
51 SALT LAKE Northern Unique formation
52 VUNIVIA CATHCMENT Northern Lowland dry zone forest
53 VUNIVIA MANGROVES Northern Intact mangrove system
54 RAVILEVU NATURE Northern Wet rainforest habitat, mongoose free
RESERVE
55 COBIA ISLAND Northern Beach forest, geological formation
56 TAVEUNI ISLAND Northern Potential World Heritage nominee
57 QELELEVU ATOLL Northern Atoll habitat
58 NAMENA BARRIER REEF Northern Barrier reef, marine ecosystem
59 NAMENALALA ISLAND Northern Seabird nesting colony, beach forest
60 GREAT SEA REEF Northern Barrier reef, marine ecosystem
61 TUNULOA FOREST Northern Rainforest, Vanua Levu Silktail Habitat
62 DUFF REEF Eastern Turtle nesting site
63 RAINBOW REEF Northern Patch reef, marine ecosystem
64 CAKAULEKALEKA REEF Eastern Marine ecosystem
65 YABU ISLAND Eastern Seabird nesting colony
66 FULAGA BAY OF ISLANDS Eastern Spectacular lagoon, geological formations
67 NANUKU ISLAND Eastern Turtle nesting area
68 SOVU ISLAND Eastern Seabird nesting colony
69 NUKUTOLU ISLAND Eastern Turtle nesting area
70 OGEA LEVU Eastern Makatea forest, Ogea flycatcher habitat
71 TUBOU CAVE Eastern Island cave system
72 GAU Eastern Endangered Fiji petrel nesting habitat
73 QILAQILA BAY OF ISLANDS Eastern Coastal formations/ marine ecosystem
74 MASOMO BAY Eastern Coastal environment
 Appendix 6 79

75 WAILAGILALA ATOLL Eastern Atoll, seabird nesting colony, marine

ecosystem
76 GARRICK PARK Central Rainforest
77 TAQUA ISLAND Eastern Seabird nesting colony
78 Mt WASHINGTON Eastern Petrel breeding site, unique landscape
79 NADARIVATU NAT. RES Western Dakua dominated rainforest
80 GREAT ASTROLABE REEF Eastern Marine lagoon ecosystem
81 NORTH ASTROLABE REEF Eastern Marine lagoon ecosystem
82 JOSKES THUMB Eastern Landscape; geological feature
83 MAKOGAI ISLAND Eastern Beach forest, cycad dominated, coastal/
marine ecosystem
84 CAKAU MOMO REEF Eastern Marine ecosystem
85 WAKAYA ISLAND Eastern Coastal marine ecosystem
86 SAWENI SAND FLATS Western Feeding site for migratory waders
87 SUVA POINT Eastern Feeding site for migratory waders
88 GUSUNIQARA PT. Western Geological site – marine notch
89 VATULELE CAVE Western Limestone cave system
90 RED PRAWN POOL Western Anchialine habitat, red prawn pool
91 NASINUNAQERE Northern Geological site – marine notch
92 URABUTA PT Northern Anchialine habitat – red prawn pool
93 KOROKUNE Western Veitchia johannis palm forest
94 LAVENA Northern Geological site – sea stack
95 WAIDAWARA Central Geological site – river process
96 VANUALEVU ISLAND Western Geological site – rock type
97 KUCUVE PT. Western Geological site – rock type
98 MOTOKURO PT. Western Geological site – rock type
99 KOROMASOLI PT. Western Geological site – rock type
100 DIGIO ISLAND Western Geological site – rock type
101 NAMTAYA BAY Western Geological site – rock type
102 NAROSALIA ISLAND Western Geological site – rock type
103 VATULACA ISLAND Western Geological site – rock type
104 YALEWA KALOU Western Geological site – rock type
105 VUTUA Eastern Geological site – rock type
106 WAINIVUDI R. Central Geological site – rock type
107 YADUA QUARRY Western Geological site – rock type
108 SEALARK HILL, SUVA Central Geological site – rock type
109 YACIWA ISLAND Eastern Geological site – rock type
110 SAVASI Northern Geological site – rock type
111 MAKASIKO Western Geological site – rock type
112 BAKABAKA ISLAND Northern Geological site – rock type
113 VIWA ISLAND Western Geological site – rock type
114 NANUCA Northern Geological site – rock type
115 CIKOBIA ISLAND Northern Seabird nesting colony
116 VETAUA Eastern Seabird nesting colony
117 NUKUBASAGA Eastern Seabird nesting colony
118 NUKUPURETI Eastern Seabird nesting colony
119 NUKUSIMANU Eastern Seabird nesting colony
120 NANUYA-I-RA Western Seabird nesting colony
121 NAIABO Eastern Seabird nesting colony
80 Appendix 6

122 VANUAMASI Eastern Seabird nesting colony

123 REID REEF Eastern Seabird nesting colony
124 LATEIVITI Eastern Seabird nesting colony
125 KIBOBO ISLETS Eastern Seabird nesting colony
126 VUNIVADRA ISLAND Western Seabird nesting colony
127 YANUYA ISLAND, ONO Eastern Habitat of endemic Leilopisma alazon skink
128 ROTUMA Northern Unique island, geological feature
129 HOFLIUA ISLAND Northern Seabird nesting colony
130 HATANA ISLAND Northern Seabird nesting colony
131 UEA ISLAND Northern Geological features, beach forest
132 VUNIMOLI NAT. RES. Northern Rainforest, forestry reserve
133 TOMANIVI NAT. RES. Western Rainforest, forestry reserve
134 DRAUNIBOTA NAT. RES. Central Bay of islands, forestry reserve
135 LABIKI NAT. RES. Central Bay of islands, recreation, forestry reserve
136 VUO NAT. RES. Central Bay of islands, recreation, forestry reserve
137 NUKU, CIKOBIA Eastern Turtle nesting areas, seabird nesting area
138 VEKAI ISLAND Eastern Seabird nesting area
139 NUKU SOGE Eastern Seabird nesting colony and turtle nesting area
140 YAGASA LEVU ISLAND Eastern Seabird nesting colony
Source: National State of the Environment Report (1992)
 Appendix 7 81

Appendix 7: Government Agencies, Legislation, and Strategies Relating to Environmental Management

Sector/Key Government Coordinating Legislation and Strategy, Policy, Plans, Remarks
Concern Body Regulations and Programs
Environmental • Department of • Relevant legislations and • Relevant plans and • Apparently, several
Governance Environment (of the regulations like Forest programs like mangrove legislation, regulations,
Ministry of Local Act, Fishery Act, Litter management plan, forest policies, plans and
Government, Housing, Decree, etc. are already and fishery strategies, programs, etc. are
Squatter Settlement and cited in other sectors mineral policy, etc. are scattered and performed
Environment) already cited in other by other sectroal
sectors. agencies. This is viewed
• The approval of the as one of the factors why
Sustainable enforcement of
Development Bill is environmental-related
expected to chart a new legislation and
direction on regulations is weak.
environmental • As can be viewed below,
management in Fiji conflicting and
Islands. duplicatory
functions/mandates are
noted.

Land and • Department of Land • Agricultural Landlord and • MAFF’s Corporate Plan Other statutory bodies
Agriculture Resources Planning and Tenant Act Cap 270 (1997-2000) performing related functions:
Development Unit (of the (ALTA) • Watershed Management • Land Conservation
Ministry of Agriculture, • Land Conservation and Master Plan Board
Sugar and Land Improvement Act • Environmental Policy • The Native Land Trust
Resettlement) • Native Land Trust Act Paper Board
• Department of Lands (1940) • Integrated Pest • The Native Lands and
and Survey (of the • Crown Acquisition of Management Fisheries Commission
Ministry of Lands and Lands Act Cap 135 • Land Reclamation also performs role
Mineral Resources) • Drainage Act Cap 143 Programs relative to ascertaining
• Fijian Affairs Act Cap • Construction of Irrigation and determining lands
120 Facilities which are rightful and
• Land Development Act • IBSRAM Project on Soil hereditary property of
Cap 142 Erosion Fijians in accordance
• Land Transfer Act Cap • Soil and Crop Evaluation with Native Land Act
131 Project
• Crown (State) Lands Act • National Land Use Plan
Cap 132 • Land Claims Tribunal
82 Appendix 6

Sector/Key Government Coordinating Legislation and Strategy, Policy, Plans, Remarks

Concern Body Regulations and Programs
• Subdivision of Land Act • Rural Land Use Policy
Cap 140
• Town Planning Act Cap
139
• Property Law Act Cap
130
•
Sugar • The Ministry of • Sugar Industry Act • • Structure of the sugar
Agriculture, Sugar and (1984) industry is complex
Land Resettlement • • Sugar Industry Tribunal,
• Fiji Sugar Corporation Fiji Sugar Marketing
Company, Sugar Cane
Growers Fund Authority,
Native Land Trust Board,
and Sugarcane Lorry
Transport Association
have, in one way or
another, play roles in the
overall operations of the
sugar industry.
• The Prime Minister is
responsible for the
reform of the Sugar
Industry.

Forest Resources • Department of Forestry • National Code of • Forestry Sector Policy • Fiji Pine Limited (99.8%
(of the Ministry of Logging Practice (1990) and Strategy (2002- government-owned
Fisheries and Forests) • Forest Act 2004) company) operates the
• Agroforestry Policy pine plantation areas.
Paper
• National Forestry Action
Plan (1989)
• Sustainable Forest
Management System
• Operationalization of
Timber Industry Training
Center
 Appendix 7 83

Sector/Key Government Coordinating Legislation and Strategy, Policy, Plans, Remarks

Concern Body Regulations and Programs
• Green Certification
Fisheries, Coastal • Department of Fisheries • UN Convention on the • Fisheries Sector Policy
and Marine (of the Ministry of Law of the Sea (1982) and Strategy (2002-
Resources Fisheries and Forests) • Wellington Convention 2004)
(1994) • Review of TAC and
• Fisheries Act Cap 158 Licensing
• Marine Species Act Cap • Implementation of Tuna
158A Development and
Management Plan

Freshwater • Land and Water • National Water • National Water Policy • Need to have only one
Resources Management Legislation drafted in • National Water guiding legislation
Division (of the Ministry 1975 Management Strategy
of Agriculture, Sugar and • River and Stream Act • The administration and
Land Resettlement) • conservation policies and
activities involving
freshwater resources are
handled by a variety of
Government agencies:
• Department of Public
Works
• Department Mineral
Resources
• Department of Forestry
(in charge of declaring
water catchment)

Biodiversity • Department of • Birds and Game • National Environmental • Specific legislation on

Conservation and Environment (of the Protection Act (1923) Strategy (1993) protected area
Protected Area Ministry of Local • Endangered and • Biodiversity Strategy and establishment is lacking.
Management Government, Housing, Protected Species Act Action Plan • Departments of
Squatter Settlement and (2002) • Mangrove Management Environment, Fisheries
Environment) • Convention on Biological Plan and Forestry, the
• Department of Forestry Diversity • Policies on intellectual National Trust for Fiji
and the Department of • Convention on property rights, Islands, and other
Fisheries (both of the International Trade in bioprospecting and concerned agencies all
Ministry of Fisheries and Endangered Species of biosafety having some legislative
84 Appendix 6

Sector/Key Government Coordinating Legislation and Strategy, Policy, Plans, Remarks

Concern Body Regulations and Programs
Forests) Wild Fauna and Flora responsibilities
• Important bills need
approval are:
Sustainable
Development Bill and
Marine Pollution
Prevention Bill

Mineral • Department of Mineral • Petroleum (Exploration • Mineral Policy (1997) • Dependent on other
Resources (of the and Exploitation Act) agencies like Public
Ministry of Lands, Mining • Mining Act Works, Rural
and Energy) • Quarries Act Development or Primary
• Explosives and Industries for funding
Continental Shelf Act

Disaster • National Disaster • National Disaster • National Disaster Other agencies perform
Mitigation Management Office of Management Act (1998) Management Plan related functions, such as:
the Ministry of Regional • Local Government Act (1995) • Ministry of Home Affairs
Development (management of man-
made disasters)
• Department of Mineral
Resources (monitoring
information on geo-
related hazards)
• Meteorology Department
(predicting the
occurrences of cyclones
and droughts and
forewarning the
population)

Tourism • Ministry of Tourism • Hotels Aid Act (1964) • National Tourism • Sections of 1983 Income
Development • Short Life Investment Development Plan Tax Act support
Package (1996) and Half (1998-2005) construction of hotel
Short Life Investment • Ecotourism and Village- rooms, building of cruise
Project in 1999 Based Tourism Policy ships, and development
• and Strategy (1999) of visitor attractions.
 Appendix 7 85

Sector/Key Government Coordinating Legislation and Strategy, Policy, Plans, Remarks

Concern Body Regulations and Programs
Foreign Investment Act
(1999) and Hotel
Licensing Act have
provisions inadequate
for small-scale and
village-based tourism
Energy • Department of Energy • Pacific Islands Energy
Development (of the Ministry of Works Policy and Plan
and Energy) • Rural Electrification
• Fiji Islands Electricity Programme
Authority • Promotion of RESCOS,
• Rural Electrification Unit renewable energy
resources and
renewable energy
service companies
• exploration and
exploitation of
indigenous energy
resources
• installations of solar
home systems

Water and • Multi-agency • Basel Convention on the • National Waste Agencies involved are:
Sewage responsibility Control of Minimization and • Ministry of Health
Management Transboundary Pollution Control • Ministry of Local
Movements of Strategy Government, Housing,
Hazardous Wastes and Squatter Settlement and
their Disposal Environment
• Public Health Act • Department Public
• Local Government Act Works (of the Ministry of
• Litter Decree (1997) Works and Energy)
• Drainage Act Cap 143

Climate Change • Department of • Montreal Protocol • Pacific Islands Climate

and Atmosphere Environment (of the • London Amendment Change Assistance
Ministry of Local • UNFCCC Project (PICCAP) helps
Government, Housing, • Kyoto Protocol Pacific Countries in
86 Appendix 6

Sector/Key Government Coordinating Legislation and Strategy, Policy, Plans, Remarks

Concern Body Regulations and Programs
Squatter Settlement and preparing reports to
Environment) UNFCCC and conduct of
vulnerability
assessments
 Appendix 8 87

Appendix 8: History of the Development of the Environment Management Bill1

A. Background

1. The National Environment Strategy (NES), which was endorsed by Cabinet on 20 April 1993
identified environmental management capability being poorly developed and regarded this as
the nation’s most critical environmental issue. The environmental management capability was
weak in policies, laws, and institution and administration.

2. Some 80 different laws have been reviewed by the Department of Environment as having an
important role on environmental/resource management. These are administered by some 20
different ministries, statutory bodies or other agencies. Most of the laws are outdated, and
ineffective in a modern environmental management context, or suffer from a lack of
enforcement through inadequate staffing, lack of technical resources and funding, or through
administrative failures.

3. On 31 January 1995, Cabinet approved the drafting of a new comprehensive and integrated
environmental legislation as an urgent priority. The intention was to develop an
administrative/management strategy and an enabling legislation for the Department of
Environment, enforced by a suitable legal framework that will address both the sources of
environmental problems and their effects. The idea was to also establish a natural resource
management system that will ensure the conservation and sustainable usage of the resources.

4. In 1995, the Asian Development Bank initiated the Environmental Awareness, Legislation
and Database Technical Assistance project in Fiji. The environmental legislation component of
the project was intended to assist Government to implement selected recommendations and
projects identified in the NES.

5. The Government began the process of producing a single coherent piece of legislation that
would draw together and update laws intended to protect the environment and to manage
natural resources. The objective was to develop an integrated and consolidated Environmental
and Resource Management Legislation.

6. The new legislation was to establish a legal framework that would enhance and improve the
powers of existing resource management ministries, departments and agencies, while creating
suitable co-ordination and enforcement mechanisms. The legal framework was to be
established for:

(i) environmental impact assessment;

(ii) pollution and waste management;
(iii) integrated coastal, water and land management;
(iv) wildlife conservation and protected areas management

7. The approach taken called for wide consultation and participation by many stakeholders.
They were involved in the review of existing environmental and resource management-related
legislations, the evaluation of current institutional capacity within various government ministries
and agencies, and the identification of outstanding issues and resolutions. The stakeholders
were from government departments, the private sector, NGOs, and the public.

1
Based on a synopsis prepared by Ms. Premila Kumar, Department of Environment.
88 Appendix 7

B. Sustainable Development Bill

8. In 1996, the Department of Environment completed the legal drafting of Fiji’s new
Sustainable Development Bill (SDB). The result was a draft Bill that contained 19 Parts and 22
Schedules. The provisions within the draft Bill was as follows:

• Preamble: outlined the scope of the Bill

• Preliminary: outlined the date of commencement etc.
• Administration: established the National Council for Sustainable Development,
environmental management units, environmental registry, environmental trust fund, tribunal,
powers and functions of the Department of Environment, powers and functions of the
inspectors, regular assurance audits.
• Environment Impact Assessment: established the Environmental Impact Assessment Unit,
its provided its powers and duties.
• Climate Change and Ozone Depletion: established the Climate Change and Ozone
Depletion Unit, and defined its powers, duties and responsibilities.
• Pollution and Waste Management: proposed the establishment of a National Waste
Management Committee, and policies on integrated waste management
• Management of Wastes: prohibited the unauthorized disposal of waste, established
procedure for the issuing of waste management licenses for collection, transport and
disposal of waste, and provided for the procedures for the disposal of derelict motor
vehicles.
• Marine Pollution: provided for the organizational structure to respond to oil spill, the
implementation of national oil pollution contingency plan, and prohibited dumping of wastes
from ships and aircrafts.
• Management of Hazardous Substances: regulated the import, export, transportation,
storage, selling or disposal of any hazardous substances or wastes.
• Water Quality Management: contained the framework for the policies and procedures for
Water Quality Management and water quality criteria.
• Air Quality Management: outlined procedures for the formulation and implementation of a
policy on air Quality Management, and established air pollution standard for motor vehicles.
• Environmental Management: required any industrial or commercial facility to negotiate an
appropriate Code of Environmental Practice based on ISO14000.
• Resource Management: established a unit responsible for Resource Management, and
provided for the formulation and implementation of natural resource management plan.
• Integrated Coastal Resource Management: established Coastal Resource Management
Committee, and provided for its functions and duties.
• Fisheries Conservation and Management: empowered the minister responsible for fisheries
to effectively manage fisheries in terms of conservation and utilization.
• Sustainable Forestry Management: required the Department of Forestry to establish forestry
resource inventory, and resource management plan.
• Energy Conservation: Established Energy Conservation Unit within the Department of
Energy to formulate and implement government strategy and Action plan with regard to
conservation of energy.
• Biodiversity, Conservation and National Parks Management: established a conservation and
National Parks Authority within the Department of Environment, and provided for the
implementation of international agreements in the areas of biodiversity protection,
conservation and habitat management.
 Appendix 8 89

• Penalties and Enforcement: Established a variety of offences under the Act, and defined the
penalties to be imposed.
• Repeals and Savings: Listed the provisions and sections within existing legislation that were
to be repealed, replaced or amended.

C. Rejection of 1996-SDB

9. The initial draft of the SDB was structured in such a way that it integrated a number of
statutes resting with other Ministries and agencies. Whilst the integrated approach was
considered ideal, it was realised that it was fraught with practical problems and difficulties in the
administration and enforcement of the Bill. The first draft of the SDB was considered to be
complex in format as it included both the substantive and procedural provisions, and the areas
of coverage were wider than the existing environmental responsibilities of the Department of
Environment. As procedures and regulatory measures do change over time, it was felt that the
procedural and regulatory measures be developed through other instruments such as
regulations and that the Bill should essentially be a framework Bill which establishes
environmental principles, power and authority and those functions which fall squarely within the
responsibilities of the Department. Where provisions overlapped with the responsibilities of
other Departments, they were to be excluded from the draft Bill.

10. The government then found the draft Bill to be too cumbersome and too ambitious in scope.
It was never introduced in the Parliament. Instead, a smaller Bill was drafted with the blessing of
the Government in 1998. The Department of Environment reviewed the above-mentioned
sections of the initial draft and provided the drafting instructions for the First Parliamentary
Counsel.

11. Following consultations between the Department of Environment and the First Parliamentary
Counsel, revisions to the Bill began. The revised SDB was drafted by the Solicitor-General
which retained the following parts from the initial draft:

• Part I – Preliminary;
• Part II – Administration;
• Part III – Environmental Impact Assessment: Some changes were made to Part 111 to make
it relevant to Fiji’s situation. Devolution of powers to process EIA was given to the existing
Approving Authority. EIA also applied to government projects.
• Part IV – Codes of Environmental Practice: The content from initial draft on Environmental
Management was retained with a name change.
• Part V – National Resource Management; and
• Part VI – Offences and Penalties.

12. A revised version of SDB was approved by the new Government in 1999; Cabinet approved
the revised Bill on 28 September 1999. This Bill was tabled in the Parliament at its October
sitting for the First Reading. Comments on the SDB from Members of Parliament varied. Some
members thought the Bill would hinder development with too many controls. Some members
thought the Bill was being rushed and needed more time for awareness and consultations.
Some members saw the need for such a legislation to control pollution and protect Fiji’s natural
environment.

13. The SDB was eventually referred to a Joint Sector Standing Committee on Natural
Resources and Economic Services on 16 February, 2000 for its consideration. Taking into
account the oral and written submissions received, the site inspections of selected problem
90 Appendix 7

areas and its own deliberations, the Committee made recommendations and amendments to
the SDB.

14. The Committee was to have tabled its report at the next sitting of Parliament commencing
15 May 2000, but could not do so due to the events of 19 May 2000. The Bill lapsed.

D. Post-Coup Developments

15. Since 2001, when Parliament was again held after an election, the Bill went through further
revisions. The new post –2001 government wanted a more streamlined Bill.

16. The Bill was referred to the Ministry of Fijian Affairs under section 11 of the Fijian Affairs Act.
More consultations took place. The outcome was that further amendments and additions were
proposed.

17. On 4 April 2003, Cabinet approved that the 1999 SDB become the basis of a new SDB, and
accepted certain amendments proposed to the SDB-1999 based on the comments received
from stakeholders. As a result of the recommendations, the Sustainable Development Bill is
now renamed the Environment Management Bill-2004. The Ministry of National Planning took
over the responsibility for the economic and social components of sustainable development.
The Department of Environment was to be responsible for the natural environment management
component of sustainable development.

E. Environment Management Bill – 2004

18. The EMB contains only 7 parts and 3 Schedules. It does not seek to repeal or amend any
existing law, but it provides for inspectors appointed under this Act (if enacted) with the power to
enforce certain other Acts which relate to environmental matters. Other parts of the original Bill
can be added to in due course, or enacted separately as required.

19. The Structure of the Environment Management Bill-2004 is as follows:

• Part 1 – Preliminary:
• Part II – Administration: This Part contains the duties and responsibilities of the Department,
Environment Units, Approving authorities, Environment Management Committees and a
Resource Management Unit. This also follows a grouping approach.
• Part III – Environmental Reports and Plans: This part provides for all reports that are
required under the Bill. Thus the Natural Resource Inventory, National State of the
Environment Report, National Environment Strategy and the National Resource
Management Plan is contained in this part. This is a logical approach in terms of groupings.
• Part IV – Environmental Impact Assessment: same
• Part V – Pollution Control and Waste Management: This has a permit and conditions
systems that replaces the Codes of Environment Practice.
• Part VI – Offences and Penalties; and
• Part VII - Miscellaneous

20. Further amendments and additions to the SDB 1999 include:

• The creation of the National Environment Council that shall be the advisory body to Cabinet
on Resource Management Policy. This replaces the National Council for Sustainable
 Appendix 8 91

Development. The Council will coordinate the formulation of environment management

policies.
• The requirement that the provisions on environment impact assessment be binding on the
State as well.
• The Codes of Environment Practice, which imposes an international recognised system of
environmental management, the ISO 14000 series of environment management system, will
be replaced with declarations, enforcement orders, stop work notices that will ensure
environmental compliance according to the laws. This was done in light of the finding that in
developing countries, environment legislations do not impose any internationally recognised
environmental management system.
• Amendments to the Natural Resource Management Plan to address concerns raised by
landowners that the Plan would over-ride their rights to decide on the use of their resources.
The EM Bill proposes that the Plan is to provide guidance on sustainable use of their natural
resources.
• A new part to the Bill to address pollution and waste management, in particular solid waste
and chemical waste.

21. The Environment Management Bill is scheduled to be tabled in the Parliament during 2004.
92 Appendix 8

Appendix 9: Fiji’s International Environmental Agreements and Conventions

Fiji is party to the following international and regional environmental agreements and
conventions:

CONVENTION OR AGREEMENT DATE

1. International Plant Protection Agreement 1956

2. Convention on the High Seas 1970

3. Convention on the Continental Shelf 1970

4. Plant Protection Agreement of South East Asia 1971

5. Convention on Fishing and Conservation of the Living Resources of1971

the High Seas

6. Convention on Wetlands (Ramsar Convention) 1971

(observer
state, country
ratification
pending)

7. Treaty Banning Nuclear Tests in the Atmosphere, Outer Space and1972

Underwater

8. Treaty on Non – proliferation of Nuclear Weapons 1972

9. International Convention for the Pollution of the Sea by Oil 1972

10. Convention on the prohibition of the Development, Production, and1973

Stockpiling of bacteriological and toxic Weapons and their Destruction

11. International Atomic Energy Agency 1973

12. International Convention Relating to the Intervention in the High Seas1975

in Cases of Oil Pollution Casualties

13. International Convention on Civil Liability for Oil Pollution Damage 1975

14. South Pacific Forum Fisheries Agency Convention 1979

15. United Nations Convention on the Law of the Sea 1982

16. International Convention on the Establishment of an International1975

Fund for Compensation for Oil Pollution Damage

17. South Pacific Nuclear Free Treaty and Protocol 1985

18. Vienna Convention and Montreal Protocol on Substances that Deplete1989

the Ozone Layer
 Appendix 9 93

19. Convention on the Conservation of Nature in the South Pacific (Apia1989

Convention)

20. Convention for the Protection of Natural Resource and Environment of1989
the South Pacific and their Related Protocols (SPREP Conventions)

21. Convention Concerning the Protection of the World Cultural and1990

Natural Heritage

22. Rio Declaration (Agenda 21) 1992

23. United Nations Framework Convention on Climate Change 1992

24. Convention on Biological Diversity 9 Oct

1992(signed);
25 Feb 1993
(ratified)

25. International Tropical Timber Agreement 1994

(supercedes
1983
agreement)

26. Transboundary Movement of Hazardous Waste in the South Pacific1996

Region (Waigani Convention)

27. Convention on International Trade in Endangered Species on WildDec 1997

Fauna and Flora

28. Kyoto Protocol (Climate Change Convention) 1998

29. Pacific Tuna Convention 2000

30. Cartagena Protocol on Biosafety 2001

Stockholm Convention on Persistent Organic Pollutants (POPS) June 2001

Source: UNEP, others

94 Appendix 9

Appendix 10: Coordination Matrix for Key External Assistance

Other Development
Sector/Thematic Area ADB Strategy/Activities
Partners' Strategy/Activities
A. Agriculture and Natural Ongoing • Forage Based Dairy Project,
Resources • Review the Fisheries $0.4 m (FAO)
Development - ADTA • Cyclone Ami Rehabilitation
• Alternative Livelihoods - PPTA Program, $0.2 m (FAO)
• Intermediation in Sugar Sector - • Small Rural Community
ADTA Development, $1.6 m (JICA)
Programmed • Adolescents Development
• Outer Island Agriculture Program on Life Skills addressing
Development - PPTA employment as part of 2003–2007
• Montreal Protocol Ozone yrs program $22 m
Depleting Substance, (UNICEF)
$.03 m (UNEP) • Landowner Educational Training
• Management of Persistent (ITTO), $0.17 m
Organic Pollutants,
$0.3 m (GEF/UNEP)
• International Waters
Programme, $0.1 m (GEF)
• Capacity Building for the
Development of Adaption
Measures in PDMCs, $0.15 m
(Canada Fund)

B. Energy Ongoing
• Rural Electrification - PPTA

C. Law, Economic Management Ongoing • Strengthening parliament

And Public Policy • Strengthening Governance (UNDP)
including the Financial • Human Rights Commission,
Management Act – ADTA $0.1 m (NZAid)
• Implementation of ICT Strategy • Legal Aid commission (NZAid)
[e-government] • Public Awareness Program, $0.3
(AusAID) m, (EU)
• Supporting Econ. Mgmt • Regional support to USP
Development Policies - (NZAid)
ADTA • USP ICT 3 specialists (JICA)
• Public Sector Banking and Cash • Pacific Technical Advisory
Management - Facility,
ADTA $0.2 m (AusAID)
Programmed • Institutional Strengthening of Fiji
• Implementation of an Efficient Inland Revenue and Customs
Audit System - Authority, $0.3 m (AusAID)
ADTA

D. Transportation and Ongoing • Rewa Bridge, $7.4 m (EU)

Communication • Civil Aviation and Airports • Kinoya Sewerage Outfall
Improvement Project – Development $2.3 m (EU)
PPTA • Nawusu Bridge $1.1 m (China)
• FRUP III - Loan • Nadi Water Supply $16.0 m
• Ports Development Project – (Japan)
Loan • Bua and Noroi Renewable
Programmed Energy $0.4 m (UN)
• Road Upgrading (FRUP IV) - • USP New Information Center,
PPTA $1.71 m (Japan)
• Urban Sector Development – • Naboro Landfill Project, $0.5 m
PPTA (EU)
 Appendix 10 95

Other Development
Sector/Thematic Area ADB Strategy/Activities
Partners' Strategy/Activities
• Rural and Outer Islands
Development - PPTA
• Civil Aviation and Airports
Improvement Project -
PPTA

E. Water Supply, Sanitation and Ongoing • Naboro Landfill Project, $10.8 m

Waste Management • Suva-Nausori Water Supply and (EU)
Sanitation - Loan
• Capacity Building in Water
Supply & Sewerage
(p/b) - ADTA

ADB = Asian Development Bank, ADTA = advisory technical assistance, AusAID = Australian Agency for
International Development, EU = European Union, FAO = Food and Agriculture Organization, FRUP = fourth
road upgrading project, GEF = Global Environment Facility, ICT = information and communications technology,
ITTO = International Tropical Timber Organization, JICA = Japan International Cooperation Agency, NZAid =
New Zealand Agency for International Development, PDMC = Pacific developing member country, PPTA =
project preparatory technical assistance, UN = United Nations, UNDP = United Nations Development
Programme, UNEP = United Nations Environment Programme, UNICEF = United Nations Children's Fund, USP
= University of the South Pacific.

(Source: ADB. 2004. ADB Country Strategy and Program Update 2005 – 2007. Republic of the Fiji Islands. ADB.
Manila.)
96 Appendix 10

Appendix 11: Environmental NGOs Working in Fiji

The following listing of environmental NGOs working in Fiji is obtained from sources believed to be reliable, and is
provided for general reference purposes. Neither ADB nor its consultant are responsible for any errors or omissions
in the list.

1. Bird Life International

11 Ma’afu St., G.P.O. Box 18332, Suva
Tel: 3313 492
Fax: 3317 198
E-mail: [email protected]
Contact: Mr. Vilikesa Masibalavu, National Project Coordinator

Focus: International conservation and protection of avifauna

2. Foundation of the Peoples of the South Pacific International (FSPI)

PO Box 18006, Suva
Tel: 331 2250
Fax: 331 2298
E-mail: [email protected]
Contact: Mr. Rex Horoi

Focus: secretariat for regional NGO network; Fiji affiliate is Partners in

Community Development Fiji (PCDF) see below

Additional Note: FSPI has been involved in the implementation of the “Coral
Gardens” project, which promotes community-based conservation, management
and restoration of coral reef areas in Cuvu Tikina. The project has been
recognized by the International Coral Reef Action Network (ICRAN) as a global
“Model Site for Coral Reef Conservation.” The Wai Bulabula project integrates
watershed management with wastewater treatment and coral ecosystem
rehabilitation. The centerpiece of this pilot program, a first for the Fiji Islands and
perhaps the South Pacific, is the “constructed wetlands” treatment system at
Shangri-La’s Fijian Resort that uses aquatic plants for biological treatment to
remove additional organic contaminants after initial wastewater treatment.
Additional activities have included public education on soil and water
conservation and reforestation programs. Several of these initiatives are now
being implemented by FSPI’s Fiji affiliate, PCDF (see below).

3. Greenpeace International
Victoria Parade, Private Mail Bag, Suva
Tel: 3312 861
Fax: 3312 784
E-mail:[email protected]
Contact: Ms. Shirley Atatagi, Political Officer

Focus: international environmental advocacy

4. Live and Learn Environmental Education

2 Denison Road, Private Mail Bag, Suva
 Appendix 11 97

Tel: 3315 868

Fax: 3305 868
E-mail: [email protected]
Contact: Dr. Christian Nielsen, Regional Director

Focus: environmental education and awareness

Additional Note: Live and Learn has been instrumental in funding the position of
Environmental Coordinator within the Ministry of Education, and responsible for
helping to develop an environmental education curriculum for schools

5. Pacific Concerns Resource Centre (PCRC)

83 Amy St., Private Mail Bag, Suva
Tel: 3304 649
Fax: 3304 755
E-mail: [email protected]
Contact: Mr. Neil Netaf, Assistant Director, Environment

Focus: persistent organic pollutants, renewable energy, nuclear non-

proliferation, information dissemination

6. Partners in Community Development Fiji (PCDF)

8 Denison Road, P.O. Box 14447, Suva
Tel: 3300 392/3314 160
Fax: 304 315
E-mail: [email protected]
Contact: Ms. Alisi Daurewa, Executive Director

Focus: environmental projects include sustainable livelihoods, sustainable

forestry, wetlands management, community-based marine management — ‘coral
gardens’ project (see also detailed notes under FSPI, above); disaster
preparedness and management

7. South Pacific Action Committee for Human Ecology & Environment (SPACHEE)
P.O. Box 3136, Lami, Suva
Tel: 3300 690
Fax: 3305 774
E-mail: [email protected]
Contact: Ms. Leba Mataitini, President

Focus: sustainable livelihood and development in the environmental context

8. WAINIMATE
Private Mail Bag, Suva
Contact: Ms. Litiana Kuridrani

Focus: women’s issues, health, medicinal plants

9. Wetlands International
P.O. Box S6, Superfresh, Tamavua
Tel: 3212 963
98 Appendix 10

E-mail: [email protected]
Contact: Mr. Aaron Jenkins, Senior Programme Officer, Oceania

Focus: international protection and preservation of wetlands flora and fauna

10. World Conservation Society (WCS)

11 Ma’afu Street, Suva
Tel: 3315 174
E-mail: [email protected]
Contact: Dr. David Olson, Director

Focus: international marine and terrestrial biodiversity conservation

Additional Note: WCS has been developing innovative conservation concepts in

the marine environment, through a proposed large-scale heritage seascape in
the Vatu-I-Ra/Lomaiviti passage between Viti Levu and Vanua Levu islands. In
the terrestrial environment, WCS is developing mechanisms for forest
conservation utilizing forestry certification procedures and establishing forestry
conservation areas.

11. World Wide Fund for Nature (WWF), South Pacific Program
Ma’afu Street, Private Mail Bag, Suva
Tel: 3315 533
Fax: 3315 410
E-mail: [email protected]
Contact: Mr. Dale Withington, Representative, South Pacific Region

Focus: international marine and terrestrial biodiversity conservation

Additional Note: WWF-SPP, together with University of the South Pacific (USP),
FSPI, and other partners, has played a key role in implementation of the Fiji
Locally Managed Marine Area (FLMMA) Network, an initiative for the
establishment of marine protected areas. WWF has also conducted the Strategic
Environmental Assessment (SEA) of the Fiji Tourism Development Plan, the Fiji
country case study in ADB’s Pacific Region Environmental Strategy (PRES), and
has collaborated with ADB in the drafting of an application to the Global
Environment Facility (GEF) for marine biodiversity conservation under the
(former) proposed Sustainable Tourism, Biodiversity Conservation, and Outer
Islands Infrastructure Development project.
 Appendix 12 99

Appendix 12: Current ADB Operations Summary for Fiji1

I. ONGOING PORTFOLIO

TA TITLE AMOUNT (US$) APPROVAL

2680 Capital Market Development 600,000 11/5/96

2850 Road Sector reform and Safety Improv. 1,400,000 8/26/97

3170 Implementation of 146,500 3/15/99

Corporatization of WSS

3199 Port Asset Management Imprvement 250,000 5/31/99

3242 Urban Sector Strategy 670,000 8/18/99

3360 Women’s Plan of Action 500,000 12/22/99

3887 Alternative Livelihood 650.000 6/24/02

3888 Implementation of Sugar 660,000 6/24/02

Sector Restructuring

3960 Supporting Econ. Management 250,000 10/31/02

3961 Rural Electrification 400,000 10/30/02

4099 Civil Aviation and Airports 710,000 4/28/03

Improvement

4100 Implementation of ICT Strategy 150,000 4/28/03

4157 Strengthening Public Sector 460,000 8/8/03

Financial Governance

4270 Capacity Building in Water 783,000 12/18/03

and Sewerage

LOAN TITLE AMT (US$) APPROVAL EFFECTIVE COMPLETION

1530 FRUP III 40 million 8/26/97 1/15/98 6/30/04—12/31/05

1902 Fiji Ports 16.8 million 3/5/02 9/3/02 6/30/06

2055 Suva Nausori Water Supply 47 million 12/18/03 - 6/30/09

1
as of 10 November 2004
100 Appendix 11

II. INDICATIVE PROGRAM

TA TITLE AMT (US$) YEAR

Road Upgrading (FRUP IV) 600,000 2004 (final processing)

Strengthening Commercial Agriculture Development 600,000 2004 (piggy-backed to ALP)
Fisheries Sector Review 150,000 2004 (approved)
Implementation of Environment Bill 150,000 2004 (dropped)
Strengthening Public Sector Banking & Cash Management 145,000 2004 (approved)
Rural and Outer Islands Development (Standby) 500,000 2004 (mission leader
assigned, processing
for early 2005
consideration)
Rural and Outer Islands Development (Firm) 500,000 2005
Urban Sector Development 500,000 2005
Women Action Plan II 150,000 2005
Strengthening Development Planning & Implementation 300,000 2005
Strengthening Fiji’s Stock Exchange 150,000 2005
Implementation of An Efficient Audit System 250,000 2005
Leadership Enhancement and Advancement Project (LEAP) 150,000 2005 (dropped; to be pursued
under RETA)
Strengthening Aviation Sector Performance (Standby) 300,000 2005
Rural and Outer Islands Development 500,000 2006
Implementation of Public Enterprise Reforms 300,000 2006
Strengthening Local Government Systems 400,000 2006
Strengthening Aviation Sector Performance 300,000 2006
Fisheries Development 550,000 2007
Support for Private Sector Development 450,000 2007

LOAN TITLE AMT (US$) YEAR

Alternative Livelihoods and Development 25.0 million 2004

Rural Electrification (standby) 10.0 million 2004 (reformulated to Power Sector Development
Program in 2005)
Power Sector Development Program ?? million 2005
Road Upgrading (FRUP IV) 26.0 million 2005
Airport Rehabilitation and Upgrading 32.0 million 2005
Urban Sector Development 22.0 million 2006
Rural and Outer Islands Development (standby) 26.0 million 2006
Rural and Outer Islands Development (firm) 26.0 million 2007
 Appendix 13 101

Appendix 13: Proposed Revision of Summary Statement of Strategy for Fiji CSP

(Proposed additions/modifications shown in red italics)

Long-Term Goal: Raise living standards, especially among the poor

Objectives To support increased public investments in To strengthen the associated policy, institutional To support increased private sector
productive physical infrastructure development in and regulatory frameworks, set appropriate tariffs participation and competition in key sectors by
key sectors for stimulating sustainable and revenue collections to instill good governance creating enabling conditions for private sector,
economic growth and poverty reduction and accountability, and promote mainstreaming and public-private partnership for sustainable
to preserve critical environmental assets and development
economically-important natural resources
Strategic • Improve the quality of public infrastructure • Support structural reforms • Support improved business environment in
Focus through greater private sector participation in • Support capacity building in central and local areas of taxation, regulations and licensing,
construction, operation, and maintenance agencies for implementing associated policies, including strengthening of financial
• Rehabilitate the major infrastructure system in improve basic service delivery quality including infrastructure, etc.
the main and outer islands utilities • Remove constraints related to land, credit,
• Help raise productivity of small enterprises • Improve financial accountability in key ministries communication, and other factors
through improved technology, access to • Promote greater environmental awareness • Promote public-private partnership
medium- and long-term credit, and information • Create a well-integrated legal and participation for infrastructure and
on markets institutional framework to support improved agricultural development
• Improve participation of poor, female, and environmental governance • Support diversification to high value added
disadvantaged groups in economic activities • Promote mechanisms for sustainable crops/products, expanding competitive niche
financing for environmental management industries
and conservation, by developing appropriate
resource rents, user fees, and revenue
generation through environment-friendly
enterprises
Ongoing or • Third Road Upgrading (1997) • Third Road Upgrading (1997) • Fiji Ports Development (2002)
Proposed • Fiji Ports Development (2002) • Fiji Ports Development (2002) • Suva-Nausori Water Supply and Sewerage
Loan • Suva Nausori Water Supply and Sewerage • Suva-Nausori Water Supply and Sewerage (2003)
(2003) (2003) • Alternative Livelihoods (2004)
• Alternative Livelihoods (2004) • Fourth Road Upgrading (2005) • Airports Rehabilitation and Upgrading (2005)
• Rural Electrification (2005) • Urban Sector Development (2006) • Fourth Road Upgrading (2005)
• Fourth Road Upgrading (2005) • Urban Sector Development (2006)
• Airports Rehabilitation and Upgrading (2005)
• Urban Sector Development (2006)
• Rural and Outer Islands Development (2007)
• Urban Sector Development (2006)
• Rural and Outer Islands Development
(2007)
• Suva Nausori Water Supply and Sewerage
(2003)
• Rural Electrification (2005)
102 Appendix 12

Ongoing or • Rural Electrification (2002)-PPTA • Intermediation of Sugar Sector Rest'ing (2002) • Urban Sector Strategy (1999)
Proposed • Civil Aviation and Airports Improvement • Supporting Econ. Mgmt. and Devt Policies • Port Asset Management Improvement
TAs (2003)-PPTA (2002) (2002)
• Fourth Road Upgrading (2004) -PPTA • Capacity Building in Water & Sewerage Service • Implementation of ICT Strategy (2003)
• Urban Sector Development (2005)-PPTA (2003) • Strengthening Public Sector Banking and
• Rural and Outer Islands Development (2006)- • Strengthening Public Sector Financial Cash Management (2004)
PPTA Governance (2003) • Commercial and Agricultural Development
• Fisheries Development (2007)-PPTA • Public Sector Banking and Cash Management (2004)
(2004) • Fisheries Sector Review (2004)
• Women's Plan of Action-Phase II (2005) • Strengthening Fiji's Stock Exchange (2005)
• Development Planning & Implementation (2005) • Leadership Enhancement & Advancement
• Impl. of an Efficient Audit System (2005) Project (2005)
Other • Prep. of Nat'l Poverty Reduction Strategies in • Private Sector Devt Strategy for the Pacific • Preparing a Pro-poor Subregional E-
Assistance PDMCs (2002) (2002) Government Project for the Pacific (2003)
(RETAs • Strengthening Poverty Analysis and Strategies • Pacific Financial Technical Assistance Centre • Civil Society Participation in Budget
ongoing) in the Pacific (2003) (2004) Formulation in the Pacific (2003)
• Making Resource Allocation Pro-Poor and • Pacific Region Environmental Strategy-
Participatory in the Pacific (2004) Mainstreaming Environmental
Considerations in Economic and
Development Planning Processes-RETA
• Climate Change Adaptation (CLIMAP)-RETA
Target • Improved power supply in rural areas • Efficient and accountable central and local • Poverty assessment prepared in 2003
Outcomes • Improved road and outer island Infrastructure agencies • Increased economic activities in alternative
• Better airports to accelerate tourism and inter- • Efficient civil service capable of providing quality non- sugar high-valued enterprises and
island development service livelihoods
• Increased income and employment • Efficient water supply and sewerage agency • Enhanced participation of the poor in
opportunities in agriculture, tourism, • Corporatized and privatized government-owned development, thus creating employment and
manufacturing, and ICT. enterprises income
• Improved environmental conditions and • Restructured sugar industry • Development of sustainable tourism and
quality of life in urban and rural areas • Improved capacity of Department of other environment-friendly enterprises
• Improved preparedness to adapt to climate- Environment, and natural resources
related environmental change ministries to implement environmental
regulations
• Maintenance of biodiversity and sustainable
use of natural resources
• Improved preparedness to adapt to climate-
related environmental change
 Appendix 14 103

Appendix 14: Opportunities for Environmental Strengthening of

Projects Within the Existing ADB Country Program for Fiji

Name: Capacity Building in Water and Type, Cost: ADTA, $783,000

Sewerage

Summary of Proposed Activities:

• Develop a trade waste management program
• Review health and safety procedures of WSD/WSC
• Conduct community education and awareness program
• Review existing and proposed environmental legislation and regulations
• Conduct tariff study
• Improve capacity of PWD, WSD, DOE, MOH for relevant responsibilities in water
wastewater and environmental management

Environmental issues identified in Assessment:

CSPU: • no major environmental risks/concerns
• Classified as Environmental • significant environmental improvements
Category B expected as a result of improvements in
water supply and sewerage services for
Fiji’s major urban center

Opportunity to Strengthen Project Measures to Reduce Environmental

Risks:
• consider climate-proofing aspects in • while some recommendations may result
new infrastructure development and from review of environmental legislation
improvement activities under the project, additional assistance
will be required for effective
strengthening and capacity building of
relevant agencies relating to
implementation of environmental
regulations

Name: Fiji Road Upgrading Project III Type, Cost: Project Loan, $40 million

Summary of Proposed Activities:

• upgrading of about 100 km of gravel roads
• strengthening about 80 km of seal pavements
• road safety improvements
• provision of maintenance and labortatory equipment
• strengthening of technical capabilities within PWD

Environmental issues identified in Assessment:

CSPU: • no major environmental concern
• Classified as Environmental • road resurfacing has some human
Category B health benefits through reductions in
roadside dust
104 Appendix 13

• improved farm to market access can

result in reduced transport time,
improved freshness and quality of food,
thereby yielding human health benefit

Opportunity to Strengthen Project Measures to Reduce Environmental

Risks:
• consider climate-proofing aspects in • none
any new road improvement activities

Name: Fiji Ports Type, Cost: Project Loan, $16.8 million

Summary of Proposed Activities:

• arrest deterioration of ports in Lautoka and Suva
• strengthen portions of King’s Wharf, Suva
• improve King’s Wharf capacity
• increase berthage space at Lautoka port
• increase container storage at Lautoka port

Environmental issues identified in Assessment:

CSPU: • Reduced adverse environmental impacts
• Classified as Environmental through less heavy container traffic on
Category B main road system
• Improvements in handling perishables in
ports areas results in improved product
quality delivered to consumers

Opportunity to Strengthen Project Measures to Reduce Environmental

Risks:
• Consider climate-proofing aspects in • none
any new port construction activities

Name: Suva Nausori Water Supply Type, Cost: Project Loan, $47 million

Summary of Proposed Activities:

• rehabilitation and augmentation of water supply networks, water treatment and
water storage facilities
• rehabilitation and augmentation of sewerage networks and sewerage treatment
facilities
• development of new source for water supply
• establishment of stronger environmental management procedures
• develop proposed Water Supply Department/Water Supply Corporation, especially
for management, accounting, financial operations, O&M of facilities, environmental
management, and customer relations
 Appendix 14 105

Environmental issues identified in Assessment:

CSPU: • no major environmental concern
• Assessed as Environmental • improved water supply and sanitation
Category B, with secondary facilities, and improved quality of
classification as Environmental sewage effluent, are expected to
Protection project produce significant benefits in human
health and environmental quality

Opportunity to Strengthen Project Measures to Reduce Environmental

Risks:
• Consider climate-proofing aspects in • none
any new water and sewerage system
construction activities
• Consider increased water storage
capacity to mitigate water constraints
during drought conditions

Name: Fisheries Sector Review Type, Cost: ADTA, $150,000

Summary of Proposed Activities:

• compare fisheries sector with other economic growth sectors (e.g., tourism and
forestry), for decision making as to what extent this sector should be prioritized
• compare Fiji’s fisheries sector with other countries in the region
• examine the legislative framework which governs Fisheries Department’s mandate
and activities, followed by a similar exercise on its policy framework
• assess Fisheries Department management structure, evaluate skills and
capabilities of staff
• make recommendations to strengthen the effectiveness of Fisheries Department
and to improve the policy framework to accelerate private sector investment
• propose complementary public sector investments

Environmental issues identified in Assessment:

CSPU: • no major environmental concern
•
Opportunity to Strengthen Project Measures to Reduce Environmental
Risks:
• consider environmental dimensions of • none
the fisheries sector, including
requirements for preservation of
pelagic fisheries stocks
• evaluate appropriateness of licensing
arrangements for FFVs
• determine where other conservation
measures such as marine protected
areas may be needed, and how these
should be implemented
• look at potential impacts of climate
change on fisheries activities
106 Appendix 13

Name: Rural and Outer Islands Type, Cost: PPTA, US$0.5 million
Development

Summary of Proposed Activities:

• poverty reduction and community-based income generation linked to sustainable
tourism
• small scale ecotourism private sector development
• priority infrastructure in relevant areas, including upgrading of raods, bridge4s,
wharves, hjetties, airports, and storage facilities
• environmental protection—EIA, biodiversity conservation, protected area
management, and cultural heritage preservation

Environmental issues identified in Assessment:

CSPU: • no major environmental concern
• Classified as Environmental • environmental benefits expected through
Category B improvement of environmental
sustainability of tourism-related
livelihoods

Opportunity to Strengthen Project Measures to Reduce Environmental

Risks:
• seek GEF grant funding to support • comply with EIA process in planning and
marine biodiversity conservation and implementing infrastructure
link to sustainable ecotourism improvements
• place emphasis on infrastructure
developments that support
environmental sustainability (e.g.,
develop water and wastewater
systems with adequate capacity to
handle tourism demand)
• conduct carrying capacity studies for
tourism development
 Appendix 14 107

Name: Women Action Plan II Type, Cost: ADTA, US150,000

Summary of Proposed Activities:

• promote gender equity through developing and strengthening government
processes, programs and activities to be gender-responsive
• assist government with implementation of Women’s Action Plan
• mainstream gender concerns into sectoral policies and programs
• implement gender audit recommendations of WAP I

Environmental issues identified in Assessment:

CSPU: • no major environmental concern
• unclassified

Opportunity to Strengthen Project Measures to Reduce Environmental

Risks:
• identify areas of possibly synergy • none
between environment and gender
issues; utilize women as “entry point”
to promote greater environmental
awareness

Name: Alternative Livelihoods and Type, Cost: Project Loan, US$25 million
Development

Summary of Proposed Activities:

• strengthen capacities of beneficiaries to secure alternative livelihoods in diversified
agriculture, off-farm employment, micro-enterprises
• improve access to financial services
• develop and strengthen public-private partnerships
• provide critical farm access infrastructure

Environmental issues identified in Assessment:

CSPU: • no major environmental concern
• Classified as Environmental • creation of sustainable alternative
Category B livelihoods should minimize adverse
impacts of existing damaging
agricultural practices

Opportunity to Strengthen Project Measures to Reduce Environmental

Risks:
• consider not only development of • none
alternative livelihoods outside of, but
also within the sugarcane industry,
through diversification of sugarcane-
based products and activities
108 Appendix 13

Name: Power Sector Development Type, Cost: Sector Loan, amount to be

Program determined

Summary of Proposed Activities: (to be confirmed)

• develop power sector master plan
• conduct pre-feasibility study for geothermal power generation
• construct base load and peak load power stations
• renovate, upgrade and extend urban and rural grids
• extend home solar system distribution and other off-grid rural electrification

Environmental issues identified in Assessment:

CSPU: • project places appropriate emphasis on
• unclassified renewable sources of energy, which
would have significant benefits in terms
of environmental preservation and
energy security

Opportunity to Strengthen Project Measures to Reduce Environmental

Risks:
• consider climate-proofing aspects in • none
project design

Name: Road Upgrading (FRUP IV) Type, Cost: PPTA, US$600,000; Sector
Loan, US$26 million

Summary of Proposed Activities:

• prepare freasibility study for the sector investment program
• upgrade approx. 100 km total of sections of priority national and rural roads on Viti
Levu, Vanua Levu, and Taveuni
• create appropriate institutional arrangements for sustainable management of road
subsector
• advise government on appropriate policy environment for public-private
partnerships

Environmental issues identified in Assessment:

CSPU: • no major environmental concern
• unclassified • road resurfacing has some human
health benefits through reductions in
roadside dust
• improved farm to market access can
result in improved freshness and quality
of food, thereby yielding human health
benefit
 Appendix 14 109

Opportunity to Strengthen Project Measures to Reduce Environmental

Risks:
• incorporate climate adaptation • none
considerations (climate-proofing) in
road planning and design
• design improvements to maximize
other environmental benefits (e.g.,
reductions in atmospheric dust,
improved traffic flow to minimize
emissions, etc.)

Name: Urban Sector Development Type, Cost: PPTA, US$670,000

Summary of Proposed Activities:

• review urbanization trends, especially economic, employment, and demographic
patterns
• assess institutional capacities for improved service delivery in urban areas
• evaluate low-income settlement and housing programs
• review land ownership and tenure in urban areas
• make recommendations for financing and management of urban infrastructure and
services

Environmental issues identified in Assessment:

CSPU: •
• Classified as Environmental
Category B
Opportunity to Strengthen Project Measures to Reduce Environmental
Risks:
• as urban areas have the greatest • none
population concentrations, they also
produce the most solid waste and
wastewater discharges per capita,
and are the areas where the
environment is most obviously
affected in terms of air quality, water
quality, loss of natural ecological
values, and aesthetics—the analysis
should be broadened to include more
detailed consideration of the
environmental impacts of urbanization
and how to effectively address them
110 Appendix 14

Appendix 15: Concept Papers: Potential New Projects

for Inclusion in ADB’s Country Program for Fiji

15-A: Environmental Institutions, Capacity Building,

and Management Concept Paper
1. Type/modality of assistance

† Lending
† Project loan
† Program loan
† Sector loan
† Sector development program loan
† Other
5 Non-lending
† Project preparatory
5 Other than project preparatory
† Economic, thematic and sectoral work
† Other

2 Assistance Focus

a. If assistance focuses on a particular sector or sub-sector specify the sector:

b. For project preparatory and lending, classification:

† Core poverty interventions
† Poverty intervention

c. Key thematic area

† Economic growth † Human
† Gender and development 5 Good governance
5 Environmental protection † Private sector development
† Regional cooperation † Social protection
† Other

3. Coverage

5 Country † Sub-regional † Interregional

4. Responsible division/Department: PARD

5. Responsible ADB officer: to be determined

 Appendix XX 111

6. Description of assistance

(a) Background/linkage to country/ regional strategy:

Despite the identification of environment as one of three key sector focal areas in the
CSP/CSPU, no stand-alone environmental projects are included in ADB’s country
program for Fiji at present. Furthermore, an urgent need for environmental institutional
strengthening within the country has been identified. Therefore, it is proposed that a
project be developed for improving institutional capacity for environmental management.
The ADB has in the past contributed to supporting the Government of Fiji in
strengthening its capabilities and capacities for environmental management and
mainstreaming. Given an expected need for greater capacity to administer, execute and
enforce new environmental legislation, it is appropriate that ADB continue to provide
assistance in this area.

(b) Goal and purpose

The goal of the project would be to strengthen capabilities and capacity within Fiji’s
environmental institutions for improved environmental management. The purpose is to
develop stronger institutional and legal frameworks, and to equip personnel with the
necessary knowledge and skills to achieve that goal.

Fiji’s rich natural endowments, especially its forestry and agricultural resources, oceanic
fish stocks and coastal resources, and attractions for nature-based recreation and
tourism, collectively form the foundation for most of the country’s economic activity and
growth and development potential. Protection of these resources is therefore critical to
ensuring sustainability. The passage of the Environment Management Bill into law,
expected in 2005, will create the initial framework for necessary protective measures.
However, additional strengthening of institutions will be needed to ensure effective
implementation of the law. The project will help to facilitate the following
actions/interventions:

• support of the Environment Management Bill, once passed into law, through the
drafting of associated enabling regulations. This would include, for example,
regulations to require establishment of Environmental Management Units within
all relevant line ministries to coordinate with the Department of Environment;
authorization of agencies and personnel to issue licenses and undertake
environmental enforcement measures; and regulations to enable the
Environmental Impact Assessment (EIA) process as a mechanism for ensuring
sustainability of future development projects.

• training and other capacity-building activities for staff of the Department of

Environment, as well as key staff within other relevant agencies and ministries.
Training would include coverage of legal areas to ensure clear understanding of
lines of authority and responsibility within various agencies; compliance issues;
and technical subjects such as environmental baseline surveying, monitoring,
and testing methods. Phasing-in of new hirees, from trainee to full-time
permanent status, would also be undertaken.

• a broad-reaching environmental awareness and education campaign, targeting a

wide spectrum of stakeholders. This effort would utilize a two-pronged approach,
112 Appendix 14

through both non-formal (community-based) and formal (school-based)

channels. The community-based campaign would focus on reaching a large
population of stakeholders, many of whom are the direct users and consumers of
resources. This campaign would seek to promote environment-friendly practices
(e.g., agroforestry, sustainable agriculture), and would discourage damaging
practices (e.g., overharvesting, dynamite fishing, illegal logging). In the school-
based campaign, a curriculum would be developed to promote a strong
environmental ethic among schoolchildren. School based activities would also
include such elements as special events and environmental scholarship
programs.

• continuing policy and institutional analysis aimed at further strengthening of

institutional and legal structures for improved environmental management in the
country. Weaknesses in the environmental management law could be addressed
through amendment or other legal instruments. The possibility of institutionally
elevating or segregating the Department of Environment, presently within a
ministry having very diverse responsibilities, would be evaluated. An
“environmental roadmap” would be developed to monitor progress in
mainstreaming environmental considerations into national economic planning
and policy-making.

(c) Expected results and deliverables

1. series of enabling regulations for Environment Management Law drafted and

adopted

2. all DOE staff, and selected staff from other relevant agencies, receive training
pertaining to the new environmental law, that reflects the legal ramifications for
new responsibilities and authority

3. new staff (number to be determined) are added to DOE roster; trainee positions
converted to full time professional staff positions over 5-year period

4. nationwide awareness campaign conducted, school curriculum for environment

developed

5. Institutional/policy study completed, incorporating development of an

“environmental roadmap”

6. Performance of DOE and other agencies in carrying out responsibilities under

the EML is monitored and evaluated

(d) Social or environmental issues or concerns

The proposed project, being specifically an intervention designed to strengthen

environmental institutions, would be very beneficial environmentally, and would help to
engender long-term improvements in environmental management, environmental
awareness, and political will. Social risks are judged to be minimal, though some social
conflicts could arise with groups who are engaged in illegal or environmentally
 Appendix XX 113

damaging practices, who might be forced to modify these activities.

(e) Plans for disseminating results/deliverables:

To be determined

7. Proposed executing/implementing agencies

Department of Environment, Ministry of Education, Environmental Management Units

within other ministries
8. Natural/extent of government beneficiary involvement in identifying or
conceptualizing the assistance

based on consultations made during CEA; continuing dialogue with DOE and other key
agencies will be required
9. Timetable for assistance design, processing and implementation

10. Financing Plan

† For lending

Ordinary capital resources:

† Asian Development Fund:

† Other-:

If cofinancing is required indicate sources, and amount sought:

If known, provide cost estimates and financing arrangements, (e.g., total cost, ADB
financing, other financing, and government financing):

5 For Nonlending

† No resources required, other than ADB staff

† ADB’s administrative budget: $
5 Grant TA funds: $1 million
† Other

If cofinancing is required indicate sources, and amount sought:

If known, provide cost estimates and financing arrangements (e.g., total cost, ADB
financing, other financing, and government financing):
114 Appendix 14
 Appendix XX 115

15-B: Integrated Land Management Concept Paper

1. Type/modality of assistance

5 Lending
5 Project loan
† Program loan
† Sector loan
† Sector development program loan
† Other
5 Non-lending
5 Project preparatory
† Other than project preparatory
† Economic, thematic and sectoral work
† Other

2 Assistance Focus

a. If assistance focuses on a particular sector or sub-sector specify the sector:

forestry, agriculture, land use planning

b. For project preparatory and lending, classification:

† Core poverty interventions
5 Poverty intervention

c. Key thematic area

5 Economic growth 5 Human
† Gender and development 5 Good governance
5 Environmental protection † Private sector development
† Regional cooperation 5 Social protection
† Other

3. Coverage

5 Country † Sub-regional † Interregional

4. Responsible division/Department: PARD

5. Responsible ADB officer: to be determined

6. Description of assistance

(a) Background/linkage to country/ regional strategy:

Fiji’s land-based natural resources are under significant threat due to varied pressures
and inappropriate uses. Collectively, these actions have caused unnecessary and
116 Appendix 14

avoidable adverse environmental impacts to the environment, representing not only the
loss of forest area in upper watersheds, but also soil loss and erosion, which are
causing problems in downstream ecosystems. These losses potentially have much
wider-reaching impacts, including land degradation, lost capacity for carbon
sequestration, and loss of globally-important biodiversity.

(b) Goal and purpose

The goal of the project is to preserve and protect important ecological values and to
enable development to proceed in a sustainable manner. The purpose is curtail
inappropriate or damaging land use practices, and to replace these with sustainable
ones.

To be dealt with effectively, land management problems in Fiji need to be addressed in

an integrated way. Therefore, an Integrated Land Management Project is proposed. The
main components of such a project would be:

• land use studies in the most important and sensitive watershed areas, including
upper watersheds and downstream areas that are affected. Reference should be
made to past studies (e.g., Rewa/Ba Watershed Management Study, Forestry
Sector Study, Integrated Catchment Management, Soil Resource studies), but
evaluating critically why many land-use problems have persisted over many
years.

• development of community-based land-use mapping and integrated watershed

management plans. This approach will require training and awareness-building
among community participants. Local stakeholders will play a key role in
identifying main issues and problems, mapping land use patterns, and
suggesting potential solutions for problems or conflicts. Stakeholders from
downstream communities will contribute their insights, especially for identifying
impacts that are resulting in these areas due to damaging or inappropriate
upstream activities.

• protection of the most sensitive ecosystems and watershed areas. Within the
selected project area(s), sites will be identified that are of key ecological and
environmental significance, especially for such functions as rainwater capture,
groundwater retention, prevention of soil erosion, and maintenance of unique
biodiversity resources. Partnerships for management will be organized, giving a
major role to local indigenous landowners for on-the-ground management, but
also including government agency representatives who will help to formalize
protection of designated reserve areas, will act as technical advisors, and will
monitor community-based management activities.

• identification of additional targeted on-the-ground interventions to be

implemented to improve sustainable land management practices and develop
sustainable livelihoods, especially in agriculture and forestry (e.g., promotion of
environment-friendly practices including agroforestry, utilization of non-timber
forest products, appropriate sloping agricultural land technology, implementation
of certification programs, and value-adding [among others]). Technical training
and market guidance would be required to provide community stakeholders with
the skills and knowledge needed to ensure the long-term viability of these
 Appendix XX 117

livelihood activities.

(c) Expected results and deliverables

1. comprehensive watershed land use study

2. conduct of community awareness campaign and training

3. community-based maps and land use plans for each watershed covered under
the project; land use plans formally adopted

4. establishment of a network of formally-declared and well-managed watershed

parks and preserves

5. establishment of a range of innovative livelihoods for communities in agricultural

and forest land areas

6. establishment of a functional certification program for forestry products

7. tangible improvements made in ongoing agricultural and forestry activities

(d) Social or environmental issues or concerns

The proposed project would be environmentally very beneficial as it would promote

environmental friendly activities; curtail environmentally-damaging activities; and
establish protection areas in critical watersheds. The project would produce significant
social benefits in terms of a range of new sustainable livelihood opportunities.

(e) Plans for disseminating results/deliverables:

To be determined

7. Proposed executing/implementing agencies

Minstry of Lands and Mineral Resources, Ministry of Fisheries and Forests, Ministry of
Agriculture, Sugar and Land Resettlement, Department of Environment

8. Natural/extent of government beneficiary involvement in identifying or

conceptualizing the assistance

National Governments, Local Community groups representing beneficiaries, NGOs

specializing in forestry, agriculture, and ecosystem-related projects

9. Timetable for assistance design, processing and implementation

10. Financing Plan

5 For lending

Ordinary capital resources:

5 Asian Development Fund: $35M
118 Appendix 14

† Other-:

If cofinancing is required indicate sources, and amount sought:

If known, provide cost estimates and financing arrangements, (e.g., total cost, ADB
financing, other financing, and government financing):

5 For Nonlending

† No resources required, other than ADB staff

† ADB’s administrative budget: $
5 Grant TA funds: 1 million
5 Other: US$10 million

If cofinancing is required indicate sources, and amount sought:

GEF grant funding for sustainable land management (OP #15)—funds of US$ 10 million
to be sought

If known, provide cost estimates and financing arrangements (e.g., total cost, ADB
financing, other financing, and government financing):
 Appendix XX 119

15-C: Environmental Data Center Concept Paper

1. Type/modality of assistance

5 Lending
5 Project loan
† Program loan
† Sector loan
† Sector development program loan
† Other
5 Non-lending
5 Project preparatory
† Other than project preparatory
† Economic, thematic and sectoral work
† Other

2 Assistance Focus

a. If assistance focuses on a particular sector or sub-sector specify the sector:

b. For project preparatory and lending, classification:

† Core poverty interventions
5 Poverty intervention

c. Key thematic area

5 Economic growth † Human
† Gender and development 5 Good governance
5 Environmental protection † Private sector development
5 Regional cooperation † Social protection
† Other

3. Coverage

5 Country † Sub-regional † Interregional

4. Responsible division/Department: PARD

5. Responsible ADB officer: to be determined

120 Appendix 14

6. Description of assistance

(a) Background/linkage to country/ regional strategy:

During the course of the Country Environmental Analysis, significant deficiencies in

availability of data for decision-making in the natural resources and environmental
sectors were consistently and repeatedly noted. Available data are often inaccurate,
incomplete, or out of date, and it is typically difficult to draw meaningful data
comparisons over time, due to inherent inconsistencies. Planning, policy formulation and
decision-making based on flawed data can potentially lead to adverse environmental
consequences. To address this problem, it is proposed that a national Environmental
Data Center be established.
 Appendix XX 121

(b) Goal and purpose

The goal of the project is to improve the quality and accessibility of data needed for
natural resources- and environment-related policy formulation and decision-making. The
purpose of the project is to establish an Environmental Data Center that would be a
repository and clearinghouse for such information. The principal objectives of the project
would be to:

• establish an Environmental Data Center that would serve as a clearinghouse for

collection, storage, interpretation, dissemination, and exchange of data for the
natural resources and environmental sectors. The center would have the human
and capital resources needed to effectively collect, store, manage, interpret, and
disseminate information needed for environmental decision-making. The Center
would consist of new physical facilities dedicated for this purpose, which would
house offices for staff, a library and research center, and computers and other
equipment needed for data management. To facilitate greater accessibility to
information for government environmental professionals, and to accommodate
the expected growing need for office space, the Center could be planned so as
to also house the offices of Department of Environment staff.
• Develop an environmental learning and awareness center for public education in
the environmental sciences. This facility would include library, media center,
museum, and would also host an environmental website. Learning center staff
would continuously develop new programs aimed at improving public awareness
and understanding of key environmental issues and environmental management
principles. Outreach activities would be conducted from the Center, to bring
special programs to communities throughout the country.
• Form a coordinating body to harmonize and standardize the types of data
gathered for environmental decision-making. The standardization process would
be developed through consultation with knowledgeable scientists and
researchers. Data would be standardized to facilitate comparability in long-term
time series for monitoring purposes, and also to ensure ease of exchange of
information with other regional databases and information centers.
• establish an advisory body which would provide guidance based on sound
environmental information, to government officials charged with decision-making,
planning, and policy formulation.

(c) Expected results and deliverables

1. Construction of new facilities for an Environmental Data Center, consisting of

offices and library; furnishing of facilities, including data storage and processing
equipment

2. establishment of environmental learning center for public education and

awareness, including development of awareness and outreach programming

3. standardization of data for long-term monitoring purposes, and to facilitate

information exchange with other centers
122 Appendix 14

4. data advisory body set up to guide decision-makers

(d) Social or environmental issues or concerns

The proposed project would yield tangible environmental benefits. Because planning
and policy making decisions would be based on more reliable data, better decisions
would be expected, resulting in fewer adverse environmental impacts. Social benefits
are also expected, as general public awareness of environmental issues would be
improved.

(e) Plans for disseminating results/deliverables:

To be determined

7. Proposed executing/implementing agencies

DOE

8. Natural/extent of government beneficiary involvement in identifying or

conceptualizing the assistance

DOE, Ministry of Finance and National Planning, Ministry of Education

9. Timetable for assistance design, processing and implementation

10. Financing Plan

5 For lending

Ordinary capital resources:

5 Asian Development Fund: $25M
† Other-:

If cofinancing is required indicate sources, and amount sought:

If known, provide cost estimates and financing arrangements, (e.g., total cost, ADB
financing, other financing, and government financing):

5 For Nonlending

† No resources required, other than ADB staff

† ADB’s administrative budget: $
5 Grant TA funds: 1 million
† Other:

If cofinancing is required indicate sources, and amount sought:

If known, provide cost estimates and financing arrangements (e.g., total cost, ADB
financing, other financing, and government financing):financing, other financing, and
government financing):
Appendix XX 123
124 Appendix 14

15-D: Sustainable Ecotourism and Biodiversity

Conservation Concept Paper
1. Type/modality of assistance

5 Lending
5 Project loan
† Program loan
† Sector loan
† Sector development program loan
† Other
5 Non-lending
5 Project preparatory
† Other than project preparatory
† Economic, thematic and sectoral work
† Other

2 Assistance Focus

a. If assistance focuses on a particular sector or sub-sector specify the sector:

tourism, infrastructure

b. For project preparatory and lending, classification:

† Core poverty interventions
5 Poverty intervention

c. Key thematic area

5 Economic growth 5 Human
† Gender and development 5 Good governance
5 Environmental protection † Private sector development
† Regional cooperation † Social protection
† Other

3. Coverage

5 Country † Sub-regional † Interregional

4. Responsible division/Department:
PARD
5. Responsible ADB officer: to be determined
 Appendix XX 125

6. Description of assistance

(a) Background/linkage to country/ regional strategy:

With several very large tourism developments already built, in progress or planned for
the main tourism center of Nadi (including Denarau and a new large-scale cultural
center), there is concern that the infrastructure in the Nadi area will soon reach full
capacity, and will not be able to support any further expansion. The government has
projected a doubling of tourist visitor arrivals, from around 400,000 at present to
1,000,000 within a decade. So the question arises: what areas are to be developed to
accommodate the projected expansion, and how should such development proceed? At
the same time, development in outer islands and rural communities in general has
lagged behind the more urban areas. There is a need to offer greater and more diverse
economic opportunities to these communities. One option for sustainable development
in these areas is in ecotourism and related livelihood activities. A project to develop
such livelihoods would be consistent with ADB’s country and regional policies, which
place importance on sustainability and on private sector development.

b) Goal and purpose

The goal of the project is to ensure long-term growth with sustainability and
maintenance of environmental quality in the tourism sector. The purpose of the project is
to assess existing conditions, make recommendations for sustainable growth, and
integrate tourism development with biodiversity conservation objectives.

Most tourism activities in Fiji depend upon the islands’ natural beauty, and this is
especially evident in the marine and coastal environment. Because of the linkages
between dive tourism and the maintenance of the health of coral reefs, it is appropriate
to connect these two elements in a project that promotes sustainable ecotourism for
economic development, through the conservation of the unique coral reef biodiversity
resources that are found in Fiji. It is suggested to reinstate the previous proposal for
Sustainable Tourism and Biodiversity Conservation, and either link it to, or incorporate it
with, the current Rural and Outer Islands Development Project. Based on the CEA
consultations, there is keen interest among most stakeholders in the tourism sector to
firmly establish this linkage. Important features that may be appropriate for inclusion into
the project design are as follows:

• a detailed assessment of tourism carrying capacity in the Nadi tourism zone will
be conducted. The carrying capacity assessment will look especially at
infrastructure loading (for roads, water, sewerage, power), and potential for
adverse impacts upon the coastal environment with increased numbers of
visitors.

• rural and outer island areas will be evaluated to identify those that offer the
greatest possibility for expansion of tourism. The areas to be considered should
include not only outer islands sites per se, but also rural areas on the main
islands of Vanua Levu and Taveuni.

• potential impacts to coastal areas that may result from land-based activities will
be evaluated. Thus it will be important to consider activities that take place in
upper watershed areas, and to determine their impacts in the coastal zone.
Linkages should be established for an integrated land use management system
126 Appendix 14

that includes both upper watershed areas, and the coastal areas that lie
downstream.

• infrastructure systems will be designed and constructed for support of further

tourism development. Depending on the outcome of the preparatory analysis,
infrastructure improvements may include: (i) extension and upgrading of existing
infrastructure in the Nadi area, and development of new support infrastructure in
rural outer islands areas. Infrastructure to be developed will be limited to
“environmental” infrastructure such as water, sanitation, and solid waste
management systems. Such infrastructure, in addition to providing much needed
services for tourism development, can also be justified on the basis of furthering
biodiversity conservation objectives, since it can help to maintain good water
quality, ecosystem balance, and aesthetic values in nearshore environments.

• Livelihood development activities will be conducted. These may include training

and skills development for stakeholders in the tourism industry who will offer new
tourism and ecotourism activities. A credit facility will be established to provide
small-scale credit for start-up of new sustainable tourism enterprises.

• Biodiversity conservation activities will be undertaken. These will include

baseline surveys and follow-up monitoring of coral reef areas; the establishment
of a network of marine protected areas; initiation of education programs aimed
especially at tourist visitors, scuba divers, and local residents; carrying capacity
studies specifically for dive tourism and ocean recreational activities; and
strengthened enforcement to curtail illegal and damaging fishing and other
practices in the coastal environment. An application will be made to GEF for grat
financing to support marine biodiversity conservation (under GEF OP#2) as part
of the project. The overall goals of the project for alleviating poverty, creating
sustainable employment opportunities for disadvantaged rural communities,
replacing environmentally-damaging practices with environment-friendly ones,
would be consistent with, complementary to, and supportive of the biodiversity
conservation objective.

(c) Expected results and deliverables

1. Production of a carrying capacity assessment for the Nadi area

2. production of a tourism development assessment for rural and outer isnald areas

3. environmental improvements and increased carrying capacity through the

upgrading or installation of state-of-the-art environmental infrastructure systems

4. Poverty reduction for rural communities through the introduction of sustainable

tourism livelihoods

5. establishment of marine protected areas as part of an integrated program of

marine biodiversity conservation that is tied to sustainable tourism development.
A portion of revenues generated through tourism activities would be utilized to
cover the costs of long-term environmental and marine biodiversity management
and preservation.
 Appendix XX 127

(d) Social or environmental issues or concerns

The proposed project would yield significant environmental and social benefits through
promotion of biodiversity protection, and development of new sustainable livelihood
activities, However, steps would need to be taken to ensure that potential user conflicts
in targeted coastal areas (e.g., between tourism operators and fishermen) would be
minimized.
(e) Plans for disseminating results/deliverables:

To be determined

7. Proposed executing/implementing agencies

Ministry of Tourism, Department of Public Works, private sector, district and village
bodies, community based organizations of the area
8. Natural/extent of government beneficiary involvement in identifying or
conceptualizing the assistance

National Government agencies, concerned stakeholders in from the private sector,

Local Community groups representing beneficiaries, NGOs specializing in ecotourism
and ecosystem management

9. Timetable for assistance design, processing and implementation

10. Financing Plan

5 For lending

Ordinary capital resources:

5 Asian Development Fund: $45M
† Other-:

If cofinancing is required indicate sources, and amount sought:

If known, provide cost estimates and financing arrangements, (e.g., total cost, ADB
financing, other financing, and government financing):

5 For Nonlending

† No resources required, other than ADB staff

† ADB’s administrative budget: $
5 Grant TA funds: 1 million
5 Other: US$10 million

If cofinancing is required indicate sources, and amount sought:

GEF grant funding for marine biodiversity conservation (OP #2)—funds of US$10 million
to be sought

If known, provide cost estimates and financing arrangements (e.g., total cost, ADB
128 Appendix 14

financing, other financing, and government financing):financing, other financing, and

government financing):
 Appendix XX 129

15-E: Support for Fiji’s Sugar Industry through the Clean Development
Mechanism (CDM) Concept Paper
1. Type/modality of assistance

† Lending
† Project loan
† Program loan
† Sector loan
† Sector development program loan
† Other
5 Non-lending
† Project preparatory
5 Other than project preparatory
5 Economic, thematic and sectoral work
† Other

2 Assistance Focus

a. If assistance focuses on a particular sector or sub-sector specify the sector:

agriculture

b. For project preparatory and lending, classification:

† Core poverty interventions
5 Poverty intervention

c. Key thematic area

5 Economic growth 5 Human
† Gender and development † Good governance
5 Environmental protection † Private sector development
† Regional cooperation 5 Social protection
† Other

3. Coverage

5 Country † Sub-regional † Interregional

4. Responsible division/Department:
PARD
5. Responsible ADB officer: to be determined

6. Description of assistance

(a) Background/linkage to country/ regional strategy:

Fiji’s sugar industry is in crisis, due primarily to imminent declines in sugar prices with
the scheduled removal of EU price supports in 2008, and continuing displacement of
large numbers of long-time sugarcane workers due to expiry of land leases under the
130 Appendix 14

ALTA. The Clean Development Mechanism (CDM), an internationally-supported market-

based financing mechanism, could be utilized to help promote diversification within the
sugarcane-growing industry, bringing about significant environmental improvements,
and generally revitalizing the industry.

Such a project would be consistent with country and regional strategies. The project
would promote improvements in the quality of life of sugarcane workers, a group who
have been marginalized and facing loss of livelihood and increasing poverty. In keeping
with on eof the key thrusts of the Pacific regional strategy, the project would also
promote new opportunities for the private sector to become involved in development of
new products and industries.

(b) Goal and purpose

The goal of the project would be to revitalize the sugar industry in Fiji, to alleviate
poverty among sugar workers and prevent livelihood displacement. The purpose of the
project is to investigate and develop alternative sugarcane products that use cane as
the raw material, and build new industries and markets around these. Financing through
the CDM could potentially contribute to seed funding for pilot testing of new activities.

An important overall guiding principle in looking at proposals for revitalization of the

sugar industry is to consider diversification from sugar, but not from sugar cane—in
other words, continue producing the cane crop, but use it for products other than sugar.
The advantages of this approach are that (i) there is an existing knowledgeable and
skilled workforce who would not need new training that would be required for growing
new crops; (ii) the technology and facilities for cultivation would be the same (e.g., no
need for providing irrigation etc.); and (iii) potentially cane of inferior quality (inferior for
sugar production purposes) might be acceptable to use for other products. This means
that sugarcane could possibly be grown profitably in areas that are marginal for growing
cane for sugar production (e.g., Suva environs—the mill in Nausori was closed due to
the fact that cane was inferior for sugar production, due to higher rainfall).

An initial feasibility study would investigate opportunities for several diverse activities
within the sugar industry, to ascertain their eligibility for CDM financing, among them: (i)
replacement of fossil fuel with biomass (i.e., bagasse, the cane by-product from the
sugar harvest) for energy production; (ii) sale of excess energy from sugar mills to the
electricity grid; (iii) production of ethanol from sugarcane as an alternative fuel source;
and (iv) expansion of sugarcane-growing lands to increase absorption of atmospheric
carbon. Following the initial feasibility study, pilot projects would be developed in
cooperation with the Fiji Sugar Corporation and private sector, to test the most
promising of these opportunities.

The potential eligibility for CDM financing could be based on one or more of the
following factors:

• Because sugar is a so-called C4 plant, its photosynthetic processes result in rapid

uptake of atmospheric carbon (carbon dioxide or CO2). As a result sugar potentially
could act as an effective carbon sink, helping to sequester carbon and reduce the
amount of greenhouse gas (GHG) in the atmosphere. Because of relatively short
duration of crop turnover, the permanence of the sequestration needs to be further
investigated (e.g., once sugarcane is cut and processed, and residual cane is re-
 Appendix XX 131

tilled into fields, is the majority of carbon quickly released to the atmosphere, or is it
retained as organic matter in soil?). Assuming that carbon retention could be
demonstrated, there may be potential for revenue generation through carbon trading
as provided for under the CDM

• Additional credits for carbon trading under the CDM could be earned through
development of commercial operations for producing fuel ethanol from cane, which
would serve as a substitute for traditional fossil fuels. This is already commercially
viable in other countries (e.g., Brazil) where sugar is considered a by-product of
ethanol production. Ethanol is a clean and renewable fuel and thus ethanol fuel
production may be eligible for consideration for credit under the CDM.

• At present, sugar mills burn bagasse to run their own generators, with some excess
electricity being generated. It is estimated that each of the four sugar mills in Fiji
could potentially generate up to 5 MW of electricity, which could be sold to the main
power grid. This has further implications for possible reduction of emissions and
benefits under the CDM. The impacts of burning bagasse, in terms of production of
GHGs, needs to be examined and a balance sheet set up to determine the net loss
or gain in carbon dioxide emissions. Similarly, if ethanol production was taken up,
generators could be run on the ethanol residue, and similar calculations would need
to be made.

Once the feasibility of these various concepts is evaluated, and eligibility for CDM
financing is determined, pilot projects to further test the most promising concepts could
be initiated.

(c) Expected results and deliverables

1. Eligibility study conducted

2. pilot projects designed and initiated

3. long-term reduction in GHGs

4. improvement of social and economic conditions for marginalized workers in the

sugarcane industry

(d) Social or environmental issues or concerns

The proposed project would produce significant social and environmental benefits if
alternative products from sugarcane could be successfully developed. This result would
lead to reductions in loss of livelihood among sugarcane workers, thus decreasing
pressure to practice inappropriate cultivation methods on marginal steep-slope lands,
and reducing soil loss, erosion, and runoff. Increasing the total area of land under
sugarcane cultivation could result in increased absorption and sequestration of GHGs.
Production of fuel ethanol, and direct burning of bagasse, are two possible ways in
which use of traditional fossil fuels could be reduced.
132 Appendix 14

(e) Plans for disseminating results/deliverables:

To be determined

7. Proposed executing/implementing agencies

Ministry of Agriculture, Fiji Sugar Corporation, private sector

8. Natural/extent of government beneficiary involvement in identifying or

conceptualizing the assistance

National Government agencies, private sector, Local Community groups representing

beneficiaries, NGOs

9. Timetable for assistance design, processing and implementation

to be determined

10. Financing Plan

† For lending

Ordinary capital resources:

† Asian Development Fund:
† Other-:

If cofinancing is required indicate sources, and amount sought:

If known, provide cost estimates and financing arrangements, (e.g., total cost, ADB
financing, other financing, and government financing):

5 For Nonlending

† No resources required, other than ADB staff

† ADB’s administrative budget: $
5 Grant TA funds: 1 million
5 Other: to be determined

If cofinancing is required indicate sources, and amount sought:

CDM support to be sought for pilot-testing of alternative technologies to lead to reduced

GHG production and increased carbon sequestration—amount of funding to be
determined

If known, provide cost estimates and financing arrangements (e.g., total cost, ADB
financing, other financing, and government financing):financing, other financing, and
government financing):
 Appendix XX 133

15-F: Mainstreaming Climate Change into Planning and

Economic Development Concept Paper
1. Type/modality of assistance

† Lending
† Project loan
† Program loan
† Sector loan
† Sector development program loan
† Other
5 Non-lending
† Project preparatory
5 Other than project preparatory
† Economic, thematic and sectoral work
† Other

2 Assistance Focus

a. If assistance focuses on a particular sector or sub-sector specify the sector:

b. For project preparatory and lending, classification:

† Core poverty interventions
† Poverty intervention

c. Key thematic area

† Economic growth 5 Human
† Gender and development † Good governance
5 Environmental protection † Private sector development
5 Regional cooperation † Social protection
† Other

3. Coverage

5 Country † Sub-regional † Interregional

4. Responsible division/Department:
PARD
5. Responsible ADB officer: to be determined

6. Description of assistance

(a) Background/linkage to country/ regional strategy:

In keeping with ADB’s PRES, which identifies climate change as one of the key
environmental issues of concern for PDMCs, ADB has undertaken a regional climate
adaptation analysis. Following on the initial work undertaken as part of this regional
CLIMAP study, a more in-depth project to develop a framework for Fiji’s climate
134 Appendix 14

adaptation and mitigation activities will be conducted.

(b) Goal and purpose

The goal of the project would be to strengthen mainstreaming of climate change

considerations into Fiji’s national development planning framework. The purpose of the
project would be to assess current areas of weakness, and make specific
recommendations for climate adaptation and mitigation.

While drafting of a national climate change policy is in process, climate change has not
yet been adequately taken up as a key element of Fiji’s national planning framework. In
order to facilitate mainstreaming of climate change issues into national economic
development, planning, and policy-making, this project would:

• draft appropriate sections for the national Strategic Development Plan and other
government planning and policy documents, highlighting climate change as a
significant cross-cutting issue.

• maintain and regularly update data relevant to monitoring and mitigating climate
change.

For adaptation measures, the project would:

• take steps to develop capabilities for climate change forecasting and early
warning. This would most probably be carried out more efficiently and cost-
effectively on a regional basis.

• evaluate the vulnerabilities of existing and future proposed infrastructure to

climate-related impacts, and propose any necessary design modifications to
climate-proof these facilities. For example, locations and elevations of existing
roads, utilities structures, especially in coastal areas, should be evaluated for
vulnerability to sea-level rise, tsunami waves, and storm surge.

• evaluate productive sectors such as fisheries, forestry, and agriculture, as well

as tourism, and make recommendations for adaptive steps to be taken to
minimize climate-related risks and vulnerabilities. In the agricultural sector, for
instance, farmland and crops would be evaluated as to their resiliency to drought
and flooding; in fisheries, impacts of changing weather patterns on migratory fish
stocks would be evaluated; and in the tourism sector, impacts of climate change
on coastal infrastructure would be examined.

• maintain or improve natural features of ecosystems that provide resiliency to

climate-related impacts (e.g., maintaining coral reefs and mangroves are natural
buffers for absorbing the energy of storm waves, minimizing flooding, and other
coastal impacts).

• advocate for appropriate budget support by government to implement the

needed adaptive modifications.

For climate change mitigation, the project would also seek to:
 Appendix XX 135

• support reduction of vehicle and factory emissions, and develop alternative fuels,
in order to reduce the production of GHGs

• promote reforestation and other activities that improve capacity for absorption of
atmospheric carbon.

(c) Expected results and deliverables

1. Goals and objectives for climate change adaptation and mitigation clearly
articulated within national planning and policy documents.

2. comprehensive assessment completed of climate change vulnerabilities, with

recommendations for adaptation and mitigation measures

3. steps taken toward approving budget support for necessary climate change-
related interventions.

(d) Social or environmental issues or concerns

The proposed project would lead to significant socioeconomic benefits in terms of

helping to protect human life and valuable infrastructure. The project would also help to
support such environmental improvements as reduced GHG emissions, increased
carbon storage capacity, and protection ofr coastal environments.

(e) Plans for disseminating results/deliverables:

To be determined

7. Proposed executing/implementing agencies

DOE, NDMO

8. Natural/extent of government beneficiary involvement in identifying or

conceptualizing the assistance

National Government agencies, private sector stakeholders, Local Community groups

especially from coastal areas, NGOs

9. Timetable for assistance design, processing and implementation

to be determined
10. Financing Plan

† For lending

Ordinary capital resources:

† Asian Development Fund:
† Other-:

If cofinancing is required indicate sources, and amount sought:

136 Appendix 14

If known, provide cost estimates and financing arrangements, (e.g., total cost, ADB
financing, other financing, and government financing):

5 For Nonlending

† No resources required, other than ADB staff

† ADB’s administrative budget: $
5 Grant TA funds: 1 million
† Other:

If cofinancing is required indicate sources, and amount sought:

If known, provide cost estimates and financing arrangements (e.g., total cost, ADB
financing, other financing, and government financing):financing, other financing, and
government financing):