Sustainable financing mechanism

The Coral Triangle Center developed an entrance fee system formalized by District Regulation based on a ‘willingness to pay’ survey. The survey indicated that tourists visiting Nusa Penida would pay between USD5 – USD10 per entry. However, the District Government only approved to collect USD1 per visit to avoid decreasing numbers of tourists. In the first year, the collected fee sums up to USD140.000. The 20-year business plan for the MPA, however, indicates the need USD600.000 per year (minimum scenario) and USD800.000 per year (maximum scenario). Thus, currently the entrance fee is covering about 25% of the cost of the MPA management (minimum scenario). The District Government will increase the free gradually to USD5 in 10 years. Assuming 200.000 visitors per year, the entrance fee will reach USD1 million per year, even higher than the maximum scenario costs. Another source of income to cover 20% of the management cost comes from Government budget, souvenirs and merchandise, education trips and collaboration with NGOs and other donors. In addition to rising management costs, the current challenge includes the transfer of authority and tasks such as collecting the entrance fees from the District Government to the Bali Provincial Government due to changed national law.

  • An important tourism industry or potential for tourism
  • Pre-existing community benefits from marine eco-tourism prior to establishment of MPA
  • Cooperation from private enterprises and marine and coastal tour operators
  • Need accountable and transparent system on entrance fee collection and clear spending system to directly support the services and management of the MPA. This is to ensure credibility of the MPA management as well as trust of tourists who pay the fee.
  • Adaptive management needed to adjust to changing or unpredictable situations such as new law and authority transfer