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Concession Management in                             1. Legal context for concessions
               Madagascar                               • Law: „Code des Aires Protégées“ (Protected
                                                          Area Law);
                                Michaela Pawliczek      • Concession project defined as „zone de
                              Maputo, 20th March 2012     service“ (service zone);
                                                        • Legal base for concession development:
                                                          „Lettre de politique“ (2008):
                                                        • Land in National Parks
                                                          belongs to State;




        2. Content of Policy Letter                     …
                                                        • Procedures:
• Context of Concession policy: Madagascar Action           – Categorised under public-private partnership law;
  Plan;                                                     – Request for proposal;
• Objectifs of ecotourism concession development;           – Mise en comptabilité des Investissement avec Environnement
                                                              (MECIE) & EIA;
• Orientation & strategy:
                                                        • National Procurement procedures: no obligation to use;
   – Revision of investment stategy and creation of
                                                        • Definition of documents to deliver from investor for
     favorable investment climate;                        manifestation of interest;
   – Support of tourism development strategy;           • Public bidding, short-list procedure possible;
   – No privatisation or desengagement of Government;   • Transfer of concession contract under some conditions;
• Political aspects:                                    • All infrastructure constructed during concession time
   – High value/low impact ecotourism development;        become property of State;
   – Definition of actors in the process;               • Concession contract no longer than 30 years, renewable;




   3. Actors in charge/ Commission                                         4. Some details
• Ministry of Environment: decision agency;             • Contract signed by:
• Ministry of Tourism: role unclear;                        – Ministry of Environment;
                                                            – EDBM;
• Economic Development Board of Madagascar:
                                                            – MNP;
  overlooking process, promoting sites;
                                                            – Private investor;
• ANGAP/Madagascar National Parks: manager;                 – Ministry of Tourism???;
• Local community: unclear, no experiences;             • Royalty fees: not yet specified; only stated that
• Technical support staff;                                one part should „systematically transferred to
                                                          comunities and surroudining communities“;
5. Content of Contract                                           6. Recent concession projects
• Nature and type of construction;                           A) Min Env/MNP/KfW: NP Ankarafantsika:
• Services provided;                                         • Inside park Ankarafantsika;
• Exclusivity;                                               • Extension of existing bungalow complexe (15 bungalows);
• Rights and obligations of concession holder;               • 18 years concession previewed;
• Property rights and further obligations of both parties;   • Short-list procedure for Malagasy Nationals;
• Renumeration and redevance to pay to authority;            • Concession fees: Bed nights and percentage of annual
• Right of authority to follow construction/ services;          revenue;
• Administrative standard of reports/information of          • Royalty fee sharing: 5% Min Env/15% loc pop/ 80% MNP
  activity;                                                     (not park directly);
                                                             • concession contract between private investor/MNP/
• Right of authority to examine and approve principle           Ministry of Environment;
  contracts of concession holder following request for
  proposal;                                                  • Interrupted by political crisis;
• Procedures in case of failing of project;




…                                                                 7. Current situation Madagascar
B) Min Env/MNP/IFC:                                          •   Ongoing crisis;
• Site selection (parks and concession
   sites);                                                   •   Downturn of economy (loss of US$ 600 Mio);
• Support of update of legal framework                       •   Loss of investors and no new interest;
   (investment law, request for proposals,
   example contract);                                        •   Social problems and corruption increasing;
• concession contract between private
   investor/MNP/ Ministry of                                 •   Tourism development 2012 regaining;
   Environment; overlooked by EDBM;
• Investment promotion and marketing
   of sites;
• Interrupted by political crisis;




    8. What is necessary on the way forward?                 Thank you very much!
• Elections approved by int. community;
• Stable political climate;
• What is ecotourism?                                                            Questions?
• Concessions: do we want it – or not?
• Review and reform of legal context including public-
  private partnership law, investment code, tourism
  code;
• Clarification of roles and responsabilities of actors
  (Minstry level, MNP, EDBM, communities);
• Streamlined investment promotion;

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Madagascar concessions Michaela Pawliczek

  • 1. Concession Management in 1. Legal context for concessions Madagascar • Law: „Code des Aires Protégées“ (Protected Area Law); Michaela Pawliczek • Concession project defined as „zone de Maputo, 20th March 2012 service“ (service zone); • Legal base for concession development: „Lettre de politique“ (2008): • Land in National Parks belongs to State; 2. Content of Policy Letter … • Procedures: • Context of Concession policy: Madagascar Action – Categorised under public-private partnership law; Plan; – Request for proposal; • Objectifs of ecotourism concession development; – Mise en comptabilité des Investissement avec Environnement (MECIE) & EIA; • Orientation & strategy: • National Procurement procedures: no obligation to use; – Revision of investment stategy and creation of • Definition of documents to deliver from investor for favorable investment climate; manifestation of interest; – Support of tourism development strategy; • Public bidding, short-list procedure possible; – No privatisation or desengagement of Government; • Transfer of concession contract under some conditions; • Political aspects: • All infrastructure constructed during concession time – High value/low impact ecotourism development; become property of State; – Definition of actors in the process; • Concession contract no longer than 30 years, renewable; 3. Actors in charge/ Commission 4. Some details • Ministry of Environment: decision agency; • Contract signed by: • Ministry of Tourism: role unclear; – Ministry of Environment; – EDBM; • Economic Development Board of Madagascar: – MNP; overlooking process, promoting sites; – Private investor; • ANGAP/Madagascar National Parks: manager; – Ministry of Tourism???; • Local community: unclear, no experiences; • Royalty fees: not yet specified; only stated that • Technical support staff; one part should „systematically transferred to comunities and surroudining communities“;
  • 2. 5. Content of Contract 6. Recent concession projects • Nature and type of construction; A) Min Env/MNP/KfW: NP Ankarafantsika: • Services provided; • Inside park Ankarafantsika; • Exclusivity; • Extension of existing bungalow complexe (15 bungalows); • Rights and obligations of concession holder; • 18 years concession previewed; • Property rights and further obligations of both parties; • Short-list procedure for Malagasy Nationals; • Renumeration and redevance to pay to authority; • Concession fees: Bed nights and percentage of annual • Right of authority to follow construction/ services; revenue; • Administrative standard of reports/information of • Royalty fee sharing: 5% Min Env/15% loc pop/ 80% MNP activity; (not park directly); • concession contract between private investor/MNP/ • Right of authority to examine and approve principle Ministry of Environment; contracts of concession holder following request for proposal; • Interrupted by political crisis; • Procedures in case of failing of project; … 7. Current situation Madagascar B) Min Env/MNP/IFC: • Ongoing crisis; • Site selection (parks and concession sites); • Downturn of economy (loss of US$ 600 Mio); • Support of update of legal framework • Loss of investors and no new interest; (investment law, request for proposals, example contract); • Social problems and corruption increasing; • concession contract between private investor/MNP/ Ministry of • Tourism development 2012 regaining; Environment; overlooked by EDBM; • Investment promotion and marketing of sites; • Interrupted by political crisis; 8. What is necessary on the way forward? Thank you very much! • Elections approved by int. community; • Stable political climate; • What is ecotourism? Questions? • Concessions: do we want it – or not? • Review and reform of legal context including public- private partnership law, investment code, tourism code; • Clarification of roles and responsabilities of actors (Minstry level, MNP, EDBM, communities); • Streamlined investment promotion;