Challenges Jerry Courvisanos Federation Business School Federation University Australia Ballarat VIC and Matias Boavida Department of Public Policy UNTL Dili TimorLeste ID: 801889
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Slide1
Sustainable Development Goals (SDGs) as Basis for an Alternative Viable Development Model in Timor-Leste: Planning and Challenges
Jerry Courvisanos Federation Business School, Federation University Australia, Ballarat, VIC.andMatias BoavidaDepartment of Public Policy, UNTL, Dili, Timor-Leste2017 UNTL/VU Biennial Conference, Institute of Diplomatic Studies, Wednesday 5th July 2017
Sustainable
Development (SD) “
The essence of sustainable development is to provide for the fundamental needs of humankind in an equitable way without doing violence to the natural systems of life on earth
.” (Kemp
and Martens, 2007, p. 5)
SDGs: Path
to SD is non-optimal and dynamic, with
business ventures (& new programs)
that
embrace:
productive union of mind and nature
linking economic (profit), social (people) and ecological (planet)
in business practice
support with
local/regional/national
community
Opportunity and choice about the
SD
path
Slide3SD in five developing countries?
Tunisia: R&D base, with bottom-up SD inputIndonesia: top-down non-SD,
with no input from
community/entrepreneurs
India
: strong role for private and social entrepreneurs,
as public policy fails to address
SD and cultural divides
China
: strong top-down SD, drive to bottom
Bangladesh
: women entrepreneurs strong, weak but improving government SD support
Slide4SD in Timor-Leste?
Late 2015: SDGs Resolution by both the TL Government and then ParliamentTL Government has a “roadmap” and the PM’s working group to implement itMedium-term Coordinating Ministry (MECAE) committed
to
creating SD through
private investment and developing non-oil exports in domestic agriculture, community forestry and coffee
exports
Many donor-sponsored NGOs across agriculture, education, health, and the physical environment
Slide5The Roadmap: 2017
Version
Slide6Review of the Roadmap
(TLSA Conference)SDGs are being ‘harmonised’
with the SDP in a linear
approach: On the surface there is “perfectly alignment”, but ignores complexity
Top-down
process: Lack of input from outside the implementation group, with “big development” SDP approach remaining unaltered
No observed transformation towards
a diversified
fossil fuel disinvestment
future
SDGs not embedded well into the ministries
Some achievements towards SDGs, but heavily constrained by a long series of limitations
Slide7Where to from here?
Theme: Finding Pathways to Achieve the SDGs
What
is needed are: “…alternative economic models, vital to the growing global push towards renewable energy, fossil fuel divestment and urgent action on climate change.” (Ramos-
Horta
and Mahar, 2016)
The 2015 SDGs Resolution
by TL Government: Opportunity
to build an adjustment mechanism into the SDP,
to address
growing
uncertainties,
also introduce stronger renewable energy planning into the SDP
.
OR
reject SDP by a critical
mass from civil society
with initiative to develop unique SDG economic model
Slide8Mechanisms to achieve this?
Investment in physical and human capital by… State: Align SDG priorities with State budget expenditure allocations
Businesses:
Move from “a land of kiosks” to a land of new sustainable innovations
Cooperatives:
I
ndigenous “
fulidaidai
”
movement building through community ownership
Local culture:
Connecting with strong socially and ecologically sustainable customary traditions
For SD, what is the right mix of all the above?
Slide9Crucial SD Issues
Participatory decentralisationEffective (formal and social) learning (for farmers,
cooperatives,
seasonal workers, nascent entrepreneurs
): local-based
Financial system that supports eco-innovations
Shift from subsistence to sustainable agriculture
Localising
food
production
Build value (supply) chain for ‘
eco-tourism’ economic
model
Slide10Crucial SD Issues
Build historical tourism for domestic and foreign links to memory of TL’s past (colonial, World War II, occupation resistance and atrocities)
Donors to create strong partnerships
with local
NGOs and local-based
small businesses
(with foreign experts only on demand of local NGOs)
L
ocal
S
tate
and private base push for sustainable manufacturing with FDI support building on the recently restructured
TradeInvest
support and strong EIS regulations
Slide11‘the new’
‘establishment’
more profit
less social wealth
less profit
more social wealth
Approach to
S
D
Where is the Timor-Leste economy?
‘establishment’
What should be the development path
for Timor-Leste
?
‘the new’
Slide12The N
ew: Innovation Path with SDGsInnovation path based on two economics traditions:‘Creative destruction’ based on a technological driver (in past for TL: Oil), now with Sustainable Development Goals (SDGs), does it shift
to
eco-sustainable
technologies
and solutions (renewable
energy, reuse,
recycle with equity)?
Severe crisis
(as in TL)
the trigger for
paradigm shift
.
‘Adaptation
mechanism’
–
capital
investment
(infrastructure) and
effective demand
(build market demand) with effective
learning
for
eco-innovation
adaptation;
allows for new private sector market
power (new entrepreneurs in TL)
Slide13SD for TL
TL has many SD advantages it can use for innovation:
Pristine clean agricultural system (no chemicals, no pesticides, etc..)
Breathtaking natural landscape (land and sea)
Survival and resistance to foreign intrusion
Strong
self-efficacy, autonomy and
endurance
against strong forces
Foreign direct investment (FDI) and diaspora return funds can be easily accessed
Goodwill from donors for SD is very deep and sustained
Slide14How to build SD markets in TL?
Identify SD markets that build on the advantages in the previous slide:
Turn these advantages into competitive
strengths
Focus on developing markets where existing skills can be utilised and new skills developed (e.g. coffee, eco-tourism, market gardens, candlenut oil, cassava,
sandlewood
), all in eco-sustainable ways
Value add processing on markets developed, even if very simple tasks (e.g. tractor hire)
Collaborate with other producers and coordinate in the supply chain (e.g. transport, marketing)
Slide15What is needed to support this strategy?Absorptive capacity – ability of individual or group/ organisation to absorb innovation stimuli (ideas) by…
acquiring external information
assimilate this information in the firm, and
exploit it for
commercial
ends
Well-educated
young
– from pre-primary to tertiary to be able to function in entrepreneurial environment with ongoing learning for all in the organisation
Sustainable development priority
– to build cultural acceptance of the SDGs that drive a niche
SD-based economy which is ‘bottom-up’
Slide16Government support for SD in TL
Government to support SD (commercial and social) entrepreneurship through:
cultural change to SD
i
nfrastructure for small business
training and social learning experiences
finance support (from microfinance to investment in SD growth)
To succeed, SD requires commitment by all
Local participation by nominating SDG targets and local administration (from municipality to
suku
): Listen, and local communities will embrace SDGs
Slide17Space for small-size ventures in TL
Public sector crucial in creating this space and not crowded out by ‘top-down’ high risk big projects
Foreign NGOs to give way to endogenous NGOs who create space for social entrepreneurship
(e.g.
Raebia
took over from USC-Canada to support sustainable farming businesses with local champions)
Vocational education with good skills practice and then add creativity in business (e.g. Centre of Excellence in Entrepreneurship) as a profession
Slide18Space created by facilitation
Following are critical facilitation roles:
Business enterprise/cooperative
support providing mentor, advice, idea identification, network contacts and incubation facilities to start-up
ventures
Financial
support
to fund
entrepreneurs to
set up and invest
in
identified innovations with competitive strength and meets SDGs
Clear regulation on business and land tenure rulings to remove institutional uncertainty
Build local clusters (systems) with supply chain connections & value added processing…next slide
Slide19Education
Tourism
Hospitality
Wine Industry
Building
Clusters
c
ollaborate for strong RIS
RIS
: Regional Innovation System (e.g. municipality or sub-municipality
)
Slide20Clusters and their actors
Sölvell (2009, p. 16)
Slide21Conclusion
What unites the country – from bottom to top, west to east, female and male – is a “
common civic identity
”
“…voluntary public identification with and cohesion around a national identity
”:
integration & participation
Ongoing
revolution begun by the older generation in terms of “the fight to free the country” and
must continue
by the younger generation in terms of “
the fight to free the people
” with the SDGs
SDG economic model
emerges
from
public
policies
combined
with niche private sector and cooperative investments to develop
new
sustainable
sectors
Slide22Thank you
for your attentionFor more: Full report available by request at email address:
j.courvisanos@federation.edu.au