Adaptation Solutions to Help Tourism thrive in SIDS
The risk environment for tourism in SIDS is intensifying due to the increased frequency and severity of dangerous climate change-induced weather patterns and their impacts on tourism.
In 2023, tourism contributed 12.6% of GDP on average in SIDS, more or less triple that of developed economies and more than double the average for developing economies. Employment in tourism-related goods and services – such as accommodation, restaurants and bars, and transport – shows a similar proportion of economic dependency. Informal jobs in tourism, such as small-scale tourism services, informal guides, and local artisans, as well as indirect linkages to tourism supply chains, increases these levels of dependency.
The impact of rapid-onset disasters
Rapid-onset disasters like tropical storms, floods, and storm surges cause direct impacts to SIDS, such as damage to infrastructure, buildings, and nature. Governments also lose revenue from tourism taxes and other inflows that affect national budgets.
Indirect costs associated with business income lost from interruptions and reputational damage can be much higher than the direct damages. Furthermore, the response and recovery costs (for insurance, evacuations, interim water, and energy backup systems) add to the overall financial impacts on SIDS.
The World Travel and Tourism Council analyzed nearly two dozen natural disasters and found that the recovery of the tourism sector averaged 16 months but with a wide range from as little as one month to as much as 93 months.
The World Trade Organization, in a 2019 study of the impacts of disasters on trade in six countries, found that tourism sector recovery was generally slowed by continued power outages, insufficient access to credit, and slow insurance payouts.
Slow-onset disaster impacts
Slow-onset climate impacts are equally important for the tourism sector. Sea level rise, more frequent and stronger heatwaves, ocean acidification, coral bleaching, biodiversity loss, and desertification are some examples of particular relevance to tourism in SIDS. Water salinization, coastal erosion, unpredictable seasonal weather patterns, and changing health risks are also important.
A study analyzing the impacts in the Caribbean of a 1 m sea level rise found that this would partially or fully inundate 29% of 900 coastal resorts in 19 countries. Furthermore, up to 60% of resorts would be vulnerable to associated coastal erosion.
What can be done?
Enhance infrastructure resilience
Governments can play a unique regulatory role in climate-resilient construction by implementing building codes and standards that require tourism infrastructure to be designed to withstand extreme weather events. For example, in coastal areas prone to flooding, the Seychelles has constructed elevated boardwalks to maintain access to tourist areas. These raised pathways reduce the impact of storm surges and allow for the natural water flow during high tides and heavy rains.
Conserve and restore natural ecosystems
Governments can play a leadership role in coral reef, mangrove, and wetland conservation, protection, and restoration. For example, Barbados has initiated coral restoration projects, including the creation of coral nurseries which grow coral fragments in controlled environments before transplanting them onto degraded reefs.
Improve disaster risk management
Governments must develop and implement early warning systems and disaster reduction plans for extreme weather events. For example, Dominica has implemented the Disaster Vulnerability Reduction Project with support from the World Bank. The project aims to reduce vulnerability to natural hazards, including protecting tourism infrastructure through retrofitting and the construction of resilient facilities.
Integrate climate adaptation into tourism planning
Governments should conduct regular climate risk assessments for the tourism sector to identify vulnerabilities and prioritize adaptation measures, and then use the results to inform tourism development decisions. For example, in Saint Lucia, the government has invested in climate risk assessments specifically for tourism, funded by the Green Climate Fund. These assessments guide infrastructure development and help prioritize areas for intervention.
Diversify tourism products
There are numerous opportunities for governments to promote inland tourism activities, such as cultural heritage tourism, agro-tourism, and adventure tourism, to reduce dependency on coastal and marine environments. For example, Jamaica has successfully promoted heritage and cultural tourism. Attractions like the Bob Marley Museum and reggae festivals draw tourists interested in Jamaica’s rich cultural heritage. This diversification reduces dependence on beach tourism and improves the overall resilience of tourism.
Improve water and energy management
Implementing water-saving technologies and practices in tourism facilities to reduce water consumption and encouraging the use of climate-resilient renewable energy technologies in tourism establishments can help them become more resilient. For example, the Maldives has invested in water conservation projects for resorts, including rainwater harvesting systems. These projects are often supported by private sector investments and international funding.
Secure financial resources for adaptation
To mobilize additional resources for adaptation, governments can access global climate funds and implement public-private partnerships. For example, Tuvalu has accessed financing from the Green Climate Fund for projects that include tourism-related adaptation measures.
Build capacity and raise awareness
SIDS’ governments can provide training and capacity-building programs for tourism operators and stakeholders on climate change risks and adaptation measures. For example, Fiji has invested in training programs for tourism operators which focus on best practices for sustainable tourism and climate adaptation.
Monitor and evaluate climate impacts
Governments should establish systems to monitor and evaluate the impacts of climate change on the tourism sector. For example, the government of Saint Kitts and Nevis has invested in establishing monitoring and evaluation frameworks to track the effectiveness of adaptation measures, with support from regional organizations and international donors.
Build resilience in the SME tourism sector
The resilience of tourism SMEs to disasters is critical to that of the industry. Governments should support tourism firms with policies and incentives to support risk assessments, emergency preparedness and response plans, business continuity planning, and finance and insurance schemes needed by vulnerable groups for preparation and recovery.
Based on chapter ‘Tourism’ by Shaun Mann (WB)
The ideas presented in this article aim to inspire adaptation action – they are the views of the author and do not necessarily reflect those of the Global Center on Adaptation.
