Making Greek islands green and equitable
The Greek islands, with all their natural and architectural beauty and diversity, are a national treasure. We have the choice of preserving them and using this resource wisely for all or squandering it for a minority to make a quick profit. The popular “towel movement” brought to focus some of these issues demonstrating that the use of this resource is neither equitable nor sustainable. Beaches, which are supposed to be public places, have been appropriated by businesses with or without licenses, offering services to affluent fee-paying clients, often building illegal structures, and generating pollution. Places of unique beauty have been covered by furniture, effectively becoming permanent structures that have no place there, while cars are often allowed right on to the beach. Superyachts the size of apartment blocks station themselves very close to beaches or off nearby rocky outlets that used to be the quiet refuge of many sea-loving holidaymakers. At the same time the islands are allowed to be flooded by cars, turning quiet and uniquely beautiful public spaces into traffic hotspots usually only seen in Athens at rush hour.
This is no way to manage tourism and natural resources: It is inequitable because it appropriates public spaces in favor of the affluent, it ignores the environmental stress on sensitive places of exceptional beauty, and forgoes the opportunity to generate badly needed revenues from those most able to pay and most responsible for the degradation.
The basic premise of this article is that the Greek islands are vulnerable environmental resources of exceptional beauty that need to be protected; that they are there to be enjoyed by all equitably; and that revenues are required to ensure appropriate infrastructure and sustainability. Here are some ideas on how this could be achieved equitably, based on economics and often drawing from international experience.
The government should create marine parks on most islands to protect the most vulnerable and beautiful coastal areas. Special regulations would apply, prohibiting beach bars, commercial beach furniture, mechanized water sports (skiing, jet skis etc) and fishing. Mooring in the marine parks will be regulated: Distance from the coast will depend on the size of the vessel and will be subject to fees that will increase substantially with the size of the vessel. This will lead to conservation of the natural beauty and the ecological balance, will preserve access to all without fees for loungers and will lead to the revival of sea life, which has been all but eliminated now.
Sports such as windsurfing or scuba diving in the marine park will be allowed, subject to a fee generating further revenue without threatening the environment. With careful design and regulation, marine parks will promote the natural regeneration of the environment, allow the enjoyment of the seaside and generate revenues required for their maintenance.
Sailing in the Greek seas is increasing in popularity. Yet, few amenities are offered and at the same time yachters are not charged, contributing minimally to the local communities. Each port should have a system of mooring buoys for use by yachts, which can be booked for a fee online. The crew will have peace of mind that a safe place is available for them upon arrival, and the fee would again be a source of revenue. The local authority can arrange for amenities (such as refuse collection) on a fee basis. Large yachts should also be charged substantial fees for docking in the marinas or for anchoring in the port area (similar to the marine parks).
It is noteworthy that yachts, which cost upward of 100,000 euros a week to charter, currently pay almost nothing to local communities. Hence those most able to pay and most responsible for pollution and emissions pay nothing – a huge opportunity lost and a major source of inequality. Marinas can be easily extended with minimal environmental damage by using floating pontoons as is done all around the world. They provide an amenity to all vessels, small and large. Docking and water provision should be properly charged to reflect scarcity. Even inflatables are a sign of affluence since they can cost as much as an expensive car. Offering facilities and charging for them is an obvious improvement for all concerned. In this way holidaymakers will enjoy better services and local authorities can generate substantial revenues.
Sailing in the Greek seas is increasing in popularity. Yet, few amenities are offered and at the same time yachters are not charged, contributing minimally to the local communities
There are many other issues that need to be tackled if the islands are to be protected. These include ensuring efficient waste management with proper recycling, sewage treatment plants that actually work and of course a clear and coherent zoning plan, balancing environmental concerns, the reasonable expectations of landowners, and the demand for summer houses and hotels. The lack of uniform rules and the ever-changing regulations is good for no one. The allowances made for hotels are often absurd and sometimes favor large and high-impact developments at a time when smaller boutique hotels are both preferred by many visitors and more consistent with the environment.
We also need to manage scarce resources in a more efficient way. For example, swimming pools are sometimes allowed with no conditions and sometimes they are completely banned without much justification. And where they are banned, they are allowed for hotels. A coherent policy would allow swimming pools but impose a substantial annual tax increasing exponentially with the pool size, on both hotels and residences, depending on the local scarcity of water. This would reduce the use of water and would raise funds to ensure better water management, again targeting those in a better position to pay.
And now for a radical proposal in a car-obsessed society: Restrict the use of cars to reduce emissions, protect the environment and allow all to enjoy these places of exceptional natural beauty without congestion. Only residents and homeowners will be allowed to operate a private car on the islands. Visitors will only be able to rent small electric cars or mopeds, as is currently done in Bermuda. Otherwise drastically improved public transport based on electric vehicles will provide transport. Of course, such a policy would need to be phased in over say five to six years to allow local rental car businesses to adapt and to amortize their investments. In the meantime, a congestion charge should be applied to all cars operated by non-permanent residents to generate revenues supporting the transition to a better environment.
The above proposals recognize that our natural environment is worth protecting for current and future generations and ensure funding from those best placed to pay without displacing the general population from the seaside that they have traditionally enjoyed.
Many will think these proposals impossible to implement because of resistance from vested interests or simple government inertia. Others will disagree with some aspects or find them incomplete, and they certainly are. And others will oppose them outright, preferring the free for all quick profit from mass tourism.
My intention is to shift the focus of the debate from mass tourism with an anarchic exploitation of the environment to the protection of one of our most valued resources, and to the use of appropriately targeted ways of generating the revenues required to do so, while at the same time ensuring equitable access to some of the most beautiful seaside areas in the world.
Costas Meghir is the Douglas A. Warner III Professor of Economics at Yale University and served as a member of the Pissarides commission.