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Livelihood strategy approach to community-based planning andassessment:

A case study of Molas, Indonesia

Article in Impact Assessment and Project Appraisal · December 2001

DOI: 10.3152/147154601781766925

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Impact Assessment and Project Appraisal , volume 19, number 4, December 2001, pages 297–309, Beech Tree Publishing, 10 Watford Close, Guildford, Surrey GU1 2EP, UK

Livelihood strategy

Livelihood strategy approach to community-

based planning and assessment: a case study of
Molas, Indonesia

Jennifer Walker, Bruce Mitchell and Susan Wismer

I
A livelihood strategy is an organized set of life- N RURAL AREAS in many countries, local peo-
style choices, goals and values, and activities ple combine subsistence and income-generating
influenced by biophysical, political/legal, econo- activities in varied and, typically, shifting patterns
mic, social, cultural, and psychological compo- to meet basic needs (Kutsch, 1981; Wismer, 1996;
nents. The evolution of livelihood strategies was Leach et al, 1997; Margolius and Salafsky, 1998).
Livelihood decisions are strategic and dynamic,
examined in Molas, a coastal village in North
based on changing relationships among people, their
Sulawesi province, Indonesia, near the famous opportunities for access to, and control over, use of
coral reefs of Bunaken National Park. Molas local resources, and their capacity to make use of
was selected to assess how these strategies, espe- those opportunities for subsistence and/or income-
cially those of farmers and fishers, are affected generating purposes. This study involves a case
in the anticipation stage of tourism development. study, which uses livelihood strategy analysis as a
Study results indicate that documenting the means of developing recommendations for improved
historical evolution, and present and emerging decision making with respect to planned tourism
patterns, of livelihood strategies is an essential development in one small community in Sulawesi,
foundation for successful development and im- Indonesia (Figures 1 and 2).
plementation of community-based strategies for Our interest in livelihood strategies has emerged
environmental planning and management. in response to the shortcomings we have identified
in social impact processes regarding proposed tour-
ism development in Molas, Indonesia as a result of
Keywords: livelihood strategies; Indonesia; tourism development
lack of attention to: examination of impacts and their
effects during project anticipation, that is, during the
planning/policy development stage; and basic liveli-
Jennifer Walker is with the Delphi Group, 428 Gilmour Street, hood characteristics, processes and strategies during
Ottawa, Ontario K2P 0R8, Canada. Bruce Mitchell is in the the formal process of social impact assessment in
Department of Geography, and Susan Wismer (to whom corre- Indonesia (Walker et al, 2000).
spondence should be directed) is in the Department of Environ- Our concept of a livelihood strategy approach has
ment and Resource Studies, University of Waterloo, Waterloo, been developed with reference to the growing litera-
Ontario N2L 3G1, Canada; E-mail: skwismer@fes.uwaterloo.ca. ture on ‘sustainable livelihoods’ in which attention is
The authors are grateful for the financial support of the Asia
Pacific Foundation of Canada and the University Consortium on being directed toward the ways in which local peo-
the Environment (UCE).1 The authors would also like to ac- ple can seek to meet basic and ongoing needs for
knowledge the contribution of two anonymous referees, whose food and shelter, as well as for security and dignity,
comments were most helpful in improving the paper. through meaningful work, while simultaneously

Impact Assessment and Project Appraisal December 2001 1461-5517/01/040297-13 US$08.00  IAIA 2001 297
Livelihood strategy in community-based planning

Figure 1. Map of Indonesia

striving to minimize environmental degradation, ac- • biophysical (loss of access to resources, environ-
complish rehabilitation, and address concerns about mental change and constraints);
social justice. Strategies for sustainable livelihoods • political/legal (impacts of new laws, promotion of
normally strive to achieve diversity of opportunities, governmental ideals);
efficiency, and sufficiency related to food security • economic (increased perceived needs, changes in
and shelter, and also to realize social equity and opportunities);
sensitivity to environmental integrity (Li, 1991; • social (changes in interaction patterns, values or
Scoones, 1998; Li, 1999; Carney et al, 2000). well being);
The livelihood strategy approach used here is • cultural (changes in traditional practices and be-
based on the idea that changes in livelihood strategy liefs); and
are normally adaptive responses to changes in six • psychological (stress, future outlook).
key interacting components:
The main focus in this study was to examine the ex-
tent to which development or environmental pla n-
ning and management initiatives are experienced as
positive (opportunities), negative (threats) or neutral
with respect to any (or all) of the six components
identified above, depending primarily on how com-
munities perceive those initiatives. Past experiences,
the current climate in the community, and future
goals are fundamental elements influencing capacity
to identify, define and respond to opportunities and
threats from development or resource management
initiatives (Couch and Kroll-Smith, 1994; Westley,
1995; Burdge and Vanclay, 1996). Livelihood, then,
is a dynamic concept, which encompasses not only
current activities but also historical experience and
future aspirations.
We define livelihood strategy as:

an organized set of lifestyle choices, goals and

values, and activities influenced by biophysical,
political/legal, economic, social, cultural and
psychological components and designed to se-
cure an optimum quality of life for individuals
and their families or social groups.

The livelihood strategy approach provides one lens

through which we can understand and examine so-
Figure 2. Map of land-use in Molas villages cial systems and how they operate at the community

298 Impact Assessment and Project Appraisal December 2001

 Livelihood strategy in community-based planning

level. A major criticism of development pla nning, livelihood approach, in this paper our intent is first
and its associated processes such as impact assess- to elaborate on the basic components of the ap-
ment, and of many resource management initiatives proach, and then explain how field work was con-
has been that public involvement that gives affected ducted in the village of Molas in North Sulawesi, to
groups power and a voice in decisions and recog- outline the historical context for development and
nizes the diversity within and among social groups planning decisions with significant implications for
at the local level, is typically very weak (Morse and the livelihood of the villagers, especially farmers
Berger, 1992; Biswas and Agarwala, 1992; Artini, and fishers, identify and assess the evolution of live-
1994; Smith and van der Wansem, 1995; Mitchell, lihood strategies in the context of development in i-
1997; Grenier, 1998). tiatives, and finally to consider the overall va lue of
Examining livelihood strategies places a focus on the livelihood strategy approach in environmental
the values and goals, choices, and activities which planning and management. We believe that the
matter to local people, and provides one means for lessons from the case study village have general
ensuring that local concerns are central to informa- implications, and thus deserve attention from those
tion gathering and analysis, thus contributing to bet- involved in understanding planning and develop-
ter planning and decision making (Finsterbusch, ment processes.
1995; Burdge and Vanclay, 1996). .
Documenting the historical evolution and present
and emerging patterns of livelihood strategies can Components of livelihood strategy approach
help to:
Figure 3 illustrates that historical change and the
• identify important historical changes or events, evolution of values, aspirations and livelihood
which have affected communities and various so- strategies in communities affect how people per-
cial groups within them; ceive and respond to current and anticipated changes
• reveal how a social group has responded or in the opportunities and circumstances embedded in
adapted to these changes or events; the mix of components from which they create their
• reveal the values and future orientation of livelihood strategies. A thorough understanding of
individuals and social groups, important for un- the impacts and effects of historical events provides
derstanding how they will perceive and respond to a strong foundation for anticipating how people are
development or resource management initiatives; likely to respond to future development and for cre-
• provide an indication of existing capacity to re- ating plans which effectively anticipate and account
spond adaptively to policies, plans, projects, or for a variety of frequently occurring dynamics, such
new legislative provisions that will affect access as: inequality in the distribution of benefits and costs
to and/or control over the use of local natural of development; impacts on community cohesion;
resources; changes to local and regional power structures with
• provide an essential foundation for successful consequent changes in patterns of access to and use
development and implementation of community- of local resources; disruption of family and individ-
based resource management strategies. ual ways of life; differential responses of diverse
cultural, religious or ethnic groups; and specific
The livelihood strategy approach allows us to take a gender-related impacts and effects.
focused look at how people interact with resources The literature review for this study identified the
and institutions to construct a way of life; in partic u- following key livelihood concerns associated with
lar, we consider patterns of change. A community each major component of our approach. Table 1
quality of life perspective would have allowed us to summarizes key attributes of the six components
do something similar (Wismer, 1999). In Indonesia, recognized in the literature as being significant
however, concepts of quality of life are affected by
national guidelines specifying that the result of dev-
elopment should be improvements in quality of life.
These have resulted in a relatively narrow (and con-
tested) view of what constitutes quality of life (Soer- Historical change and the evolution of
jani, 1999; Manning and van Diermen, 2000). values, aspirations and livelihood
For our purposes, the livelihood strategy approach
allowed us to: embrace key concerns consistent with strategies in communities affect how
a quality of life perspective; focus our analysis on people perceive changes in
patterns of change in the varied activities related to opportunities and circumstances
income generation, subsistence production and
community resource management, which constitute embedded in the mix of components
livelihood; and, within the local context, step outside from which they create their livelihood
of a debate that was not directly germane to our strategies
research.
Given the characteristics of a sustainable

Impact Assessment and Project Appraisal December 2001 299

Livelihood strategy in community-based planning

Livelihood strategy

Biophysical Political/legal Economic Social Cultural Psychological

- stability - Rules/regulations - opportunities - demographics - strength and - modernization

- productivity - decision -making - skills - social values & importance ideology
- orientation power - productivity norms - beliefs - aspirations
- stability of legal - competition - social
rights responsibilities
- education &
knowledge

Dynamic nature

Past Present Future

- historical - conditions - aspirations (for family, for
events - values children)
- obstacles - opportunities - goals (for family, for children)
- opportunities - obstacles
- barriers

Figure 3. Schematic representation of livelihood strategy approach

Source: J Walker, based on a review of the literature

regarding livelihood strategies during the project indigenous patterns of resource consumption, use
anticipation stage of development planning. and management, as well as influence current and
future values, aspirations and livelihood strategies
Biophysical component (Smith, 1995; Crawford et al, 1997).
Development often changes and challenges local
The manner in which a community values the bio- control over and access to use of resources (Olive,
physical environment is influenced by local and 1997), and can undermine existing resource needs
national attitudes to, and relationships with, the bio- and uses (Li, 1991). The manner in which proposed
physical environment and natural resources, and development consumes and changes natural re-
their ability to satisfy local needs and wants (Li, sources will affect how locals appraise proposed
1991; Bourke, 1994; Freudenburg and Frickel, 1994; development and its influence on biophysical health
Forsyth, 1994; Freudenburg, 1997; Olive, 1997). and safety (Malchis and Force, 1988; Krannich and
Historical events, activities and influences can alter Albrecht, 1995; Freudenburg, 1997). Competing
the biophysical resource base and orientation and resource use needs in the host community will also

Table 1. Attributes of key components of livelihood approach during project anticipation

Component affected Aspects of component that can be changed during project anticipation

Biophysical Anticipated construction; anticipated lack of maintenance and decay of existing structures and facilities;
anticipated degradation or improvement of human and/or biophysical health; unknowns regarding size and extent
of development growth
Political/legal Potential changes in local or other political structures; litigation to stop, regulate or win compensation from
project; heightened political claims -making; political activities in favor of/opposed to planned development
Economic Anticipated alteration of economic system; anticipated distribution of benefits and burdens from development;
decline or increase in property values; speculation and investment; ‘goodness of fit’ between development and
community
Social Potential increase or decrease in social opportunities; anticipated maintenance or decay of social cohesion and
patterns of interaction; differential construction of opportunities and threats; investment of time, money or energy
for support or resistance of project; organizational changes; changes in social stability
Cultural Perceived potential of development to destroy or preserve culture; anticipated new values needed for altered
livelihood; perceived impacts of initial and long-term contact with new development
Psychological Changes in mental health; increases/decreases to stress, anxiety, anger (through ability to benefit/lose);
increases/decreases in perceived efficacy; speed of change and ability to cope; degree of
participation/uncertainty regarding development; pressure to conform to dominant attitude regarding the
development

Source: After Gramling and Freudenburg (1992, page 218)

300 Impact Assessment and Project Appraisal December 2001

 Livelihood strategy in community-based planning

help to form opinions regarding opportunities and power of the anticipated development to change so-
threats from a proposed development (Freudenburg cial well being, and the rate and scale of those
and Frickel, 1994). changes are important factors affecting social stabil-
ity and the way in which a community will respond
Political/legal component to development (Malchis and Force, 1988; Rickson
et al, 1995).
The political ideology of a country with respect to
resource use, resource orientation and national de- Cultural component
velopment priorities contributes to how a host com-
munity evaluates the opportunities and threats Where culture is strong and important to the local
associated with a development (Freudenburg and community, project proposals not culturally appro-
Frickel, 1994). National priorities can be encouraged priate or suitable will be viewed negatively. Culture
through directed funding or enforced through trans- is also important to how a society views and man-
fer of power from the local to the national level. ages natural resources. A strong culture will be less
Both of these can decrease the stability or certainty open to new or drastically different land and re-
of local legal rights to land or resources (Li, 1991; source uses, and may be quite strongly tied to locally
Peluso, 1995; Rocheleau and Ross, 1995; Olive, available resources (Morse and Berger, 1992). A
1997). Legal security and trust in the deci- community in which historical events and activities
sion-making powers responsible for the proposed have undermined culture and local patterns of re-
development project can shape how opportunities source consumption, use, need and management
and threats are perceived (Li, 1991; Krannich and may be more open to new land uses (Smith, 1995).
Albrecht, 1995; Rickson et al, 1995).
Psychological component
Economic component
Commonly identified psychological components of
In locations in which residents perceive the local livelihood strategy change include uncertainty re-
economy to be poor and in need of improvement, garding development plans and activities, and fear,
and particularly where alternative economic options anger or stress associated with decisions and activ i-
are few, local people are more likely to be favorable ties occurring during project anticipation. Psycho-
about development and to identify positive eco- logical reactions to development can be the most
nomic opportunities in proposed development pro- significant factor in determining how a community
jects (Freudenburg, 1992; Bourke, 1994; will adapt to development over the long term (Gram-
Freudenburg and Frickel, 1994; Krannich and ling and Freudenburg, 1992; Bourke, 1994; Couch
Albrecht, 1995; Forsyth, 1994). However, this link is and Kroll-Smith, 1994; Freudenburg and Frickel,
not a simple one (Freudenburg and Gramling, 1993). 1994; Krannich and Albrecht, 1995; Rickson, et al,
The historical evolution of the socio-economic sig- 1995; Burdge and Vanclay, 1996).
nificance of natural resources, peoples’ perception of
their capacity to take advantage of changed circum-
stances, and the economic circumstances that influ- Case study
ence changes in resource use and valuation
determine how community members evaluate oppor- Research approach
tunities and threats associated with a development
proposal. In some circumstances, this results in a Research applying the livelihood strategy approach
situation in which, despite apparent economic need, to a case study community was conducted from late
communities strongly resist planned development or September to early December 1997 in Molas, a
resource management initiatives (Freudenburg and coastal village in the North Sulawesi province of
Frickel, 1994; Rickson et al, 1995). Indonesia, close to the famous coral reefs of Bu-
naken National Park (Figures 1 and 2). Fieldwork in
Social component Molas was carried out in co-operation with Envi-
ronmental Studies Center (ESC) staff at Sam Ratu-
The social valuation of the environment and of de- langi University (UNSRAT) in Manado, the capital
velopment or resource management proposals is im- of North Sulawesi. ESCs provide consulting services
portant in influencing how a community identifies for Indonesia’s AMDAL (environmental impact as-
opportunities and threats from anticipated develop- sessment) process for proposed projects in their
ment (Freudenburg and Frickel, 1994; Freudenburg, province. Results from the field research were meant
1997). Social values can depend on the historical to contribute to capacity building and enhancement
development of the area, ideology, education, and in environmental planning and assessment for the
the productivity and security of natural resources ESC.
(Li, 1991; Freudenburg, 1997; Olive, 1997). Extensive plans for resort-based tourism devel-
The strength of a social group to manage social opment in Molas and surrounding villages have been
changes inherent in development, the perceived created by the provincial and national governments,

Impact Assessment and Project Appraisal December 2001 301

Livelihood strategy in community-based planning

covering about 70% (638 ha) of the village area

and including a golf course, one five-star and one
three-star hotel, a diving center and a housing devel- A mix of methods was used: formal
opment. In 1997, when our first field visits took and informal interviews with village
place, visible tourism development was limited to residents; key informant interviews
two dive centers, which had been in existence for
some time. Less visibly, speculative land sales were with experts inside and outside the
proceeding, in anticipation of future developments. community; systematic observation,
Return visits in 1998 and March 1999 indicated that and mapping historical and current
the anticipated development had not begun. The vil-
lage, thus, was a suitable site for investigating the land use and ownership
evolution of livelihood strategies and the nature of
changes to them during the project anticipation
phase of development planning.
The research addressed a variety of issues con- of a seasonal calendar of subsistence activities, and
cerning how and why village residents were making other observations helped to document major events,
livelihood strategy decisions, and how these were and the attitudes and actions of respondents.
affected by their anticipation of significant tourism To put the results in context, it is worth noting
development in their area. Data gathering methods that Molas may be a best-case scenario for social
drew on participatory rural appraisal (PRA) and change and adaptation in the region, because of its
rapid rural appraisal (RRA) methods, as they facili- proximity to Manado city (the provincial capital),
tate cost-effective and timely data acquisition in a Bunaken National Park and the economic and social
flexible and participatory manner (Scoones and opportunities there. Using Molas as a case study
McCracken, 1989; Chambers, 1994a; Chambers, demonstrates how one village in North Sulawesi is
1994b; Mitlin and Thompson, 1994; Beebe, 1995; coping with the social impacts introduced by tourism
Grenier, 1998). anticipation. It may identify some of the issues that
The PRA/RRA techniques used in this research could occur in other villages, but may not represent
allowed for the rapid development of research ques- the forms of coping and adaptation adopted by more
tions regarding the six components related to sus- isolated villages.
tainable livelihood strategies, including how the
social system was being changed and affected during Historical context
tourism anticipation, and how development-related
opportunities and threats were being identified and Minahasan people trace their roots back to Lumi-
defined by the host community. They also provided muut and Toar, the two children of a woman who
enough flexibility to be used in both an opportunistic rose out of the coral and became impregnated by the
and a purposive manner, permitted follow-up on is- wind. These two married and the fifth generation of
sues which emerged, and facilitated a relaxed, in- their offspring produced nine children, seven of
formal and non-intrusive way to discuss topics whom became the seven sub-tribes of Minahasa. As
which could be quite sensitive and highly political the sub-tribes grew in size, the elders met and di-
(McCracken et al, 1988; Neuman, 1997). vided the land, which they occupied, assigning each
PRA and RRA methods do have limitations for sub-tribe to an area of North Sulawesi. The Bantik
this type of research. They are best at producing pre- sub-tribe was given the coastal area from Tujung
liminary data, which should then, ideally, be accom- Mandolong to Tujung Pulison to settle but were
panied or followed by more detailed surveys and scattered through a series of intertribal wars into
lengthier periods of observation (McKracken et al, nine different villages, one of which was Molas.
1988; Chambers, 1994b). PRA/RRA techniques tend Today’s Molas village infrastructure includes
to be most effective with the more vocal and self- government offices, churches and a mosque, one
confident members of communities and can leave elementary and one junior school, several cemete r-
out community residents who are unaccustomed to ies, a recreation field, electrical power, a fairly well
outsiders, or who are unused to voicing their opin- paved main road and a second newly constructed
ions. As a result, women, children and people be- road linking the village to Sam Ratulangi airport,
longing to marginalized ethnic or cultural groups can which serves the provincial capital of Manado and
be left out or under-represented. the surrounding region. In 1997, the total population
A mix of methods was used, including formal and of Molas was 1,879, with an employed population of
informal interviews with village residents, key in- 698. There were three dusun (administrative units in
formant interviews with identified experts inside and Indonesian villages).
outside the community, systematic observation, and Although considerable mixing has occurred,
mapping of historical and current land use and land dusun 1, the original one of the village, is largely
ownership. Additional information obtained through populated with people of Bantik ethnicity. Dusun 2
compilation of an historical time line, short includes a mix of Bantik and Sangihe peoples, but
economic survey of shops in the village, preparation has also received a large number of immigrants from

302 Impact Assessment and Project Appraisal December 2001

 Livelihood strategy in community-based planning

Siau Island after the eruption of Karangetan volcano shellfish and firewood for personal consumption,
in 1974. Most of dusun 3 residents are of Sangihe odd jobs assisting neighbors or the village, and mak-
ethnicity and arrived in the 1960s. As dusun 3 is ing and selling tolu (traditional hats made by
fairly close to Manado City, many city workers have women).
settled there more recently and commute to work. Families are changing their livelihood strategies
Five ethnic groups are present in Molas, each speak- to multiple job holdings, in part because of land
ing a different tribal language and having specific fragmentation. As increases in population put more
customs and traditions. and more pressure on remaining land in Molas,
Several community welfare programs exist. Fish- ownership of land has changed from the traditional
ers’ and farmers’ co-operatives assist with finances, clan- and community-based structure (called hukum
equipment and training. Andel, a small-scale, adat) to individual ownership. Under the system of
government-sponsored loan program for farmers private ownership, a family’s plot of land is equally
needing financial support to address a sickness or divided among all children, which in more recent
death in the family, to replant crops destroyed by years often does not leave anyone with a suitably
some natural phenomena, or to live off until the next sized plot of land. Many are like the villager who
harvest season, started in 1947. PKK (Family Wel- reported owning land in five different locations: two
fare Movement) is a national program, which deals plots on mainland Sulawesi and three on different
primarily with family health and welfare and pro- outlying islands.
vides family planning and parenting education and Population growth has meant that the majority of
support. landholders in Molas only own 1 to 2 hectares of
land. Residents do not consider this to be enough to
Livelihood context support a family, nor is it enough to pass on to chil-
dren as an inheritance. A representative from the
The research in Molas mainly focused on the evolu- Department of Agriculture agreed that at least 2 hec-
tion of livelihood strategy by farmers and fishers. tares are needed to support a family through agricul-
Farming and fishing are the two original occupations ture without engaging in additional work. In
in the village. Decisions with regard to land and re- addition, the majority of children in Molas are not
sources by farmers and fishers have shaped many of interested in traditional agriculture. As a result, par-
the changes in the village. Almost all residents have ents have considered selling their land and investing
been involved in farming or fishing at some time, in their children’s education, Placing a high priority
either for personal consumption or for profit. Local on investment in education is a common trend
natural resources associated with the land or the sea throughout other parts of Indonesia as well, but par-
are still central to the livelihood of about 60% of the ticularly prominent in the Minahasa region (Clauss,
population. Farmers and fishers are also being the 1982; McKean, 1982; Volkman, 1983; Bucholt and
most dramatically affected of all villagers by exist- Mai, 1994; Sondakh, 1994).
ing and proposed tourism development. In many ways, the pull of modernization is usher-
Although farming and fishing continue to be of ing in a transitional generation, which is moving
great importance to the village, the number of people away from land-based occupations and towards
who report this as their primary activity is decreas- wage-based ones. For the majority of villages such
ing. Thirty-five per cent (n=247) of employed vil- as Molas, land-owning parents feel that their chil-
lagers are officially identified as farmers. An dren are uninterested in adopting the backbreaking,
additional 22% of the employed population (n=154) ‘dirty’ occupation of a traditional farmer. The Cen-
is classed as working on someone else’s land, either tral Government has also placed a strong emphasis
employed by, or borrowing land from, other farmers. on education and has designed a financial support
Only 15 families (2%) engage in fishing as their program (GNOTA) to assist families that normally
primary source of income. By comparison, 20% could not finance their children’s primary school
(n=142) are identified as public servants or private education.
company employees and 15% are classified as con- Access to education became easier for village
struction workers. These figures do not take into residents in 1993 when a junior high school was
account non-income-generating subsistence activi- built in the neighboring village of Tuminting and
ties, which remain important, especially for women transportation improvements opened up the opportu-
(Profil Desa/Kelurahan Molas, 1996). nity for access to higher-level education in Manado.
In terms of secondary work, construction was Before, children had to walk into Manado (a dis-
most commonly reported, either in the city, for vil- tance of 10 km) for education beyond the elementary
lage infrastructure, or around the homes of other level. Investing in children’s education was consid-
villagers. Some reported working on others’ fields ered a priority by all parents interviewed, and well-
during coconut harvests. Other part-time or seasonal off and poor families alike worried about financing
productive activities included raising chickens or their children’s education to an acceptable level. For
pigs for personal consumption or sale, renting out many, selling their land provided an opportunity to
cows and carts during harvest seasons, opening acquire the finances to do so.
small stores attached to the home, collecting This emphasis on schooling is creating a more

Impact Assessment and Project Appraisal December 2001 303

Livelihood strategy in community-based planning

highly educated generation, which is not tied to of individuals in the village, leaving each person
farming traditions. One parent jokingly said of her with the opportunity to decide how to respond. Other
children’s disinterest in working the land: “I do not studies have found that, even without the anticipa-
have traditional children”. Weber (1994) also indi- tion of tourism development, ‘modernization’ forces
cated that generational and family divisions can be are leading many people in rural villages of Indone-
created through education, as older and younger sia to move toward income-based rather than subsis-
generations become spatially and cognitively tence-oriented activities, when they can find such
segregated. work (see for example, Robinson, 1998).
Tribal elders in Molas feel the competition be- The presence of multiple interacting forces pre-
tween modern and traditional ways. They want to sents a dilemma, since it is not possible to isolate
teach the younger generation about their culture, clearly the effect of any one factor (in this case, an-
traditions, how their ancestors lived, and particularly ticipated tourism development) relative to the other
about ethnic unity and ‘brotherhood’. They also drivers (education, modernization), which are also
want to teach traditional farming methods and the influencing livelihood decisions. Therefore, in the
uses of traditional plants for medicinal purposes. following sections, the emphasis is on identifying
However, increasingly le ss land and fewer re- patterns of attitudes, decisions and behavior in order
sources are available for them to teach with. In the to infer the relative importance of anticipated tour-
schools, modern subjects and practices, including ism development for decisions about livelihood.
those for agriculture, are replacing traditional ones
(such as how to make traditional farming equip- Changing livelihood strategies in Molas
ment), and children want to learn modern ways. Par-
ents who still work the land also feel that they are Table 2 provides some of the key elements of the
losing ground, as it is increasingly difficult to get changing livelihood strategies documented during
children to help them on their land. the fieldwork. The main changes to components and
In the past, children and young people (under the impacts relevant to live lihood strategies of proposed
age of 16) played important economic roles in the tourism development in Molas are summarized in
family. They sold hats (tolu) made by their mothers Table 3.
to other villagers, climbed coconut trees to collect Village leaders in Molas are aware that the human
the fruit and made coconut oil for cooking, worked environment has already undergone significant
alongside parents in the fields, or did other small change since the village was targeted for tourism.
jobs for the family. Respondents, who noted the de- They saw benefit in this study, and also in docu-
cline in young people’s participation in the eco- menting the changes that were taking place in the
nomic activities of their parents, have labeled this village, in order to alert other villages about the op-
new generation as lazy, saying that today’s children portunities and consequences involved in this type of
did not want to work hard. Indeed, very few young development.
children were observed to be engaged in economi- Leaders in the neighboring village of Meras, who
cally productive activities. also were interviewed during this study, had just
Most people commented that one of the major started discussing the impacts from anticipated tour-
problems in the village was the difficulty young ism development and how they should address them.
people were having in finding employment. Unem- As Meras is also part of the Kotamadya Manado, the
ployment for young people is also a problem in In- provincial government has placed it on the same
donesia as a whole (Editorial Staff for Travel and
Tourism Intelligence, 1996). Village leaders stated Table 2. Key elements of new livelihood strategies of Molas
that it was a lack of initiative and ability to look for villagers
jobs, but others suggested that too many people
were seeking a limited number of employment
Actors Activities or actions
opportunities, and that this would continue to cause
unemployment to be a problem for at least another National and - Designation and promotion of location as
decade (Sondakh, 1994). provincial a tourist destination
With the increased emphasis on education as a governments - Incorporation of Kecamatan Molas into
Kotamadya Manado, infrastructure
means of avoiding a life of manual labor, the development
younger generation’s general disdain towards farm - Preparation of Bunaken National Park
work, and the decreasing amount of available farm- management plan
- Designation of protected forest and
ing work, unemployed young people, mainly young regulations for its use
men, have begun to ‘hang out’ together in the vil-
Local government - Assisted land speculators and developers
lage, and to smoke and drink. to find residents willing to sell their land
Diverse forces influence livelihood decisions in
Land speculators - Actively purchasing land
Molas village. Some are external to the village, and and developers - Coercing land-holders to sell their land
even external to Sulawesi, such as decisions by the
Land brokers - Pairing land-holders with speculators
Central Government based in Jakarta. Others, such - Coercing land-holders to sell their land
as ‘modernization’, are, at least in part, in the hands

304 Impact Assessment and Project Appraisal December 2001

 Livelihood strategy in community-based planning

Table 3. Summary of impacts by component during tourism anticipation in Molas

Component Main aspects changed Impact to human environment

affected

Biophysical - Altered access to resources Difficulty accessing resources dependent on, altered livelihood patterns
- Anticipated change to land cover and roles, some fear of environmental decline or loss of livelihood through
tourism
Political/legal - Transfer of decision-making power Enforced new land uses and economic activities, no decision-making
- Promotion of a favorable attitude power, decreased legal rights to the land, pushed to view tourism
toward tourism positively
Economic - Land speculation Provided cash to finance needs/wants, new livelihoods, education, ability
- Altered economic orientation of the to borrow land temporarily, occupational change, potential threat to other
village occupations (fishing), new jobs on speculators/developers’ land, happy for
new economic orientation but anticipate limited and unequal distribution of
economic benefits, particularly to unskilled or older residents
Social - Incorporation into the Kotamadya Urban mindset, altered social values, norms, aspirations, livelihood
Manado strategies, socio-economic differences, social unrest, theft, changed family
- Alterations to social cohesion, dynamics, anticipate increased social decline through contact with tourists
patterns of interaction, and stability
- Anticipated social decline with
tourism
Cultural - Incorporation into the Kotamadya Modern values replacing traditional ones, adat less important, loss of
Manado traditional knowledge and skills in young, anticipate increased cultural
- Altered cultural environment decline through tourism development
Psychological - Pressures to conform to the Convinced to view tourism positively, or at least not to oppose it,
dominant attitude towards tourism uncertainty and fear concerning ability to benefit economically from tourism
- Fear, anxiety and uncertainty jobs has discounted tourism from livelihood strategies

type of development path as Molas. Meras leaders from tourism, seem to be the most signif icant factors
reported that they want to take measures to slow or causing other residents to discount tourism as a fea-
halt the changes that have begun to take place. They sible long-term economic opportunity.
are hoping to use the community- and clan-based The evolution of livelihood strategies in Molas is
land-use traditions of hukum adat, which are still occurring in response to changes in valued compo-
relatively strong in their community, to forestall or nents such as: altered orientation toward, and stabil-
reverse economic changes in Meras, which are simi- ity and productivity of, the biophysical environment;
lar to those taking place in Molas, to avoid negative decreased economic security and increased multiple
changes in all the other components. job holdings; transfers of political power and promo-
For many parents and young people, moderniza- tion of ideology; decline of cultural strength and
tion ideals changed their relationship and aspirations significance; increased emphasis on education and
towards the traditional economic orientation and social change in the younger generation; and, the
biophysical land uses of the village, causing them to adoption of values, goals and aspirations based on
view favorably speculation activities, and the modernization.
changes that they would bring. New values, or a per- For farmers, these changes have generated new
ceived need for change, coupled with the limitations livelihood strategies based mainly on off-farm work,
imposed by political regulations and plans, appear to which are aimed at establishing more economic sta-
have prepared some villagers, especially younger bility, decreasing manual- or agriculture-based labor,
men, to view tourism favorably. Psychological im- permitting parents to invest in children’s education,
pacts, most notably the fear that many villagers will and providing opportunities for women to become
be unable to benefit economically in the long term secondary wage earners. Livelihood strategies for
fishers were also focusing on achieving more eco-
nomic opportunity and stability, but fishers are
seeking to do this through adoption of modern
For many parents and young people, methods of fishing, rather than adding new types of
modernization ideals changed their livelihood activities as farmers have done. Neverthe-
less, they too are seeking to invest in their children’s
relationship and aspirations towards education to enable them to have more livelihood
the traditional economic orientation options in the future.
and biophysical land uses, causing The form of tourism development being intro-
duced to Molas requires large amounts of land to be
them to view speculation activities purchased and converted from agricultural use. Land
favorably and natural resources remain central to the liveli-
hood for 60% of the population whose main occupa-
tion depends on them. Much of the remaining 40%

Impact Assessment and Project Appraisal December 2001 305

Livelihood strategy in community-based planning

of the village population depends substantially on

local natural resources for subsistence activities,
gathering wood for cooking, local plants for food The most significant impacts on
and medicine, and drawing on the resources of the livelihood strategies have come from
land and sea for a variety of other non-income- villagers’ responses to land
generating economic activities. As such, people in
Molas recognize that impacts on individual and speculation, which has had
collective economic well being are inevitable. implications for various aspects of
The tight linkages among land and natural re- biophysical, economic, social, cultural
sources, livelihood, culture and social roles and pat-
terns of interaction have caused the recent land sales and psychological components
to have far-reaching effects on villagers. Resource
management policies associated with the protection
and conservation of natural resources in the area
around Bunaken Park have begun to be implemented side or main income, and increased limits placed on
and enforced in anticipation of tourism develop- their access to fishing grounds in and around the
ment; this too is having an impact on key livelihood growing tourism and conservation areas of Bunaken
activities including fishing, wood gathering, and Park.
coral and sand mining. On the other hand, fishers are more likely than
Altered access to resources and anticipated farmers to be able to extract some income from the
change to land cover have changed the biophysical tourist trade in the longer term through sales of their
component. Transfer of decision-making power and catch. At the time of this study, however, many fish-
promotion of a favorable attitude towards tourism ers felt that the changes taking place as a result of
have altered the political/legal component. Land tourism planning, such as a coastal reclamation pro-
speculation and the altered economic orientation of ject, signaled the end of their livelihood in the area.
the village have changed the economic component. This research found the most significant impacts
Incorporation into the Kotamadya Manado, altera- on livelihood strategies to have come from villagers’
tions to social cohesion, patterns of interaction and responses to land speculation, which has had impli-
stability, and the anticipated social decline and al- cations for various aspects of biophysical, economic,
tered cultural environment associated with tourism social, cultural and psychological components. It
development are altering the social and cultural was evident from the research that many people
components. Finally, pressures to conform to the were making livelihood strategy and long-term ad-
dominant attitude towards tourism, and fear, anxiety aptation decisions regarding tourism development
and uncertainty, have altered the psychological during the project anticipation stage, long before any
component as villagers seek to cope and adjust. AMDAL (EIA) assessment had taken place.
Orientation toward, and valuation of, the bio-
physical environment, the local economy and culture
are significant in shaping how villagers identify Tool in environmental planning/management
short- and long-term opportunities from the antic i-
pated tourism development. The villagers identified Our study demonstrates how the livelihood strategy
short-term personal economic opportunities through approach can lend insight and direction to environ-
selling their land to speculators and developers, but mental planning and management. Its specific rele-
identified few potential long-term personal eco- vance to social impact assessment has been
nomic benefits from tourism development. addressed elsewhere (Walker et al, 2000). In this
Psychologically, villagers felt fear and uncertainty article, we place emphasis on the role of livelihood
regarding the ability of the village to benefit eco- strategies in effectively defining and ‘weighing’ the
nomically, culturally and socially from tourism in positive, negative and neutral importance of those
the longer term. This fear, doubt and uncertainty are impacts, relative to how they are perceived by local
encouraging residents (particularly farmers) to con- communities.
struct future livelihood strategies that exclude occu- For example, this case study demonstrates that the
pations in tourism. Younger people, however, are relative negative ‘weight’ of changes to the bio-
considered to be more able to access jobs resulting physical and economic components through loss of
from the tourism developments, creating an age land (by tourism development) and, therefore, the
differentiation between those who do and do not loss of traditional economic activities associated
believe they will benefit from development. with the land, is not as strongly negative as might be
The different orientations of fishers and farmers perceived initially. Our research indicates that the
caused them to identify different positive and nega- current generation of farmers is increasingly unable
tive impacts from tourism. Farmers saw shorter-term to meet its needs through a livelihood strategy fo-
advantages associated with the sale of their land. For cused only on agriculture. Agricultural land is in-
fishers, increased tourism meant increased competi- creasingly fragmented and the agricultural livelihood
tion for fish, as more people engaged in fishing for increasingly insecure.

306 Impact Assessment and Project Appraisal December 2001

 Livelihood strategy in community-based planning

In addition, the younger generation is increasingly was gradual, allowing for experimentation and trial-
unfavorable toward pursuing agriculture as a liveli- and-error learning as people adapted to changing
hood, causing the older generation to discount conditions. If the proposed changes come as quickly
further its role in livelihood strategies for the future. as planners suggest, the requirements in terms of
This perspective, however should be tempered by new learning and creative response will be more
the observation that those who stand to lose the most challenging, not only because of a lack of connec-
in terms of livelihood security through the sale of tion to historically traditional pursuits, but also be-
land also have the least chance of securing employ- cause of accelerated time frames.
ment through the new economic orientation of the The research strongly supports the idea that host
village. communities should be involved in planning and
In general, it is important not to assume homoge- decision making for projects, both to enhance the
neity of response or of benefits and costs for all local potential for success of the projects and to provide
people with respect to planned tourism development, maximum opportunity for local people to anticipate,
even within one small village. Different groups adapt and realize whatever potential there might be
within Molas village (based on livelihood orienta- to develop altered or new livelihood strategies
tion, age bracket, social status, degree of access to and/or to find ways to maintain existing strategies.
various resources, degree of innovation and entre- However, environmental assessment and public con-
preneurship and so on) are responding to new envi- sultation processes associated with land-use devel-
ronmental planning and management initiatives in opment in developing countries typically do not
different ways. begin until plans have been confirmed and construc-
Their varied responses provide guidance regard- tion is imminent.
ing types of intervention measures which could Livelihood strategy analysis offers one tool for
minimize negative social and environmental impacts tracking local responses to planned development
and enhance adaptation to the proposed changes for during the earliest stages, for involving local people
different groups within the village. In particular, in in discussion about the development, and for provid-
our research, a split in impact between the older and ing useful input into the planning process. In this
younger generations is strongly evident. Changes to study, the livelihood strategy approach enabled the
the social and cultural components were viewed as identification of how the biophysical, political/legal,
negative by the older generation, but positive by the economic, social, cultural and psychological compo-
younger generation which is less interested in tradi- nents of livelihood are changing during project an-
tional values and less inclined toward traditional ticipation and how these changes are affecting the
livelihood strategies. perceived quality of life of local residents.
Our research suggests that, despite a recent (1999) Further research and application of the livelihood
Indonesia n national commitment to decentralization strategy approach at other stages in the development
of decision-making, village residents may become process, and in other locations, is needed to test the
increasingly disempowered in decisions regarding wider usefulness of the approach. In this study, a
land use and economic activities in the village. This longer research period would have allowed more
potential disempowerment, coupled with changes in: emphasis on factors that may contribute more indi-
access to land and resources; the relative security of rectly, rather than directly, to livelihood strategies,
‘ownership’ of land and influence over decisions such as the role of voluntary organizations, which
regarding its use; the economic orientation of house- are widely understood to be central to the strength of
holds and the village; and the associated effects on community life, but which did not figure strongly in
social and cultural norms, cohesion, interaction and this study’s data sets for Molas.
stability will all affect capacity to adapt at the indi- Our experience with this case study and with con-
vidual level. tinued research making use of the livelihood strategy
Data generated through the interviews suggest approach suggests that the importance of livelihood
that, in the past, evolution of livelihood strategies should not be underestimated. Tools for analyzing
the historical, current and potential livelihood strat-
egies of local people are essential for achieving an
understanding of how to carry out effective devel-
Host communities should be involved opment planning and environmental management.
in planning and decision making, to
enhance opportunity for success and
allow local people to anticipate, adapt Note
and realize whatever potential there
1. UCE is a collaborative project involving the Faculties of Envi-
might be to develop altered or new ronmental Studies at the University of Waterloo and York
livelihood strategies University in Canada, and seven Environmental Study Centers
in Sulawesi and Java, Indonesia with the aim to enhance envi-
ronmental management in general, and environmental impact
assessment (AMDAL in Indonesian), ecosystem management,

Impact Assessment and Project Appraisal December 2001 307

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