While Africa is bordered by two oceans and two seas, African-owned ships account for a tiny fraction – just over 1 percent - of the world’s shipping. Much of Sierra Leone’s indigenous fishing continues to be carried out by traditional methods and, aside from boats’ engines, remains unmechanised and labour intensive. Credit: Travis Lupick/IPS

By Ambassador Macharia Kamau
NAIROBI, Nov 15 2018 (IPS)

For many years now, the economic potential of the African continent has been discussed, promoted and hailed by everyone from economists to policymakers to world leaders – and with very good reason. After all, Africa is a vast, populous, developing continent with enormous natural and human resource riches and a raft of rapidly developing economies which are helping create prosperity and raise living standards and social opportunities through economic growth.

But those discussions and promotions have often focused heavily, if not exclusively, on the land-based economies of the continent, and little has been said about the equally vast potential of Africa’s blue economy.

The Sustainable Blue Economy Conference in Nairobi from 26 to 28 Nov., is helping to bring this potential into focus – and not just for Africa, but for the entire global community – by highlighting the economic opportunities the world’s oceans, seas and rivers offer.

The global blue economy, by some estimates, generates up to USD 6 trillion for the global economy and, if it were a country, would be the seventh-largest economy is the world. It helps drive economic growth and provides jobs for hundreds of millions around the world, often to those in the poorest communities, in industries as diverse as fishing, transport, tourism, off-shore mining and others.

Ambassador Macharia Kamau, Principal Secretary, at Kenya’s Ministry of Foreign Affairs, and the coordinating Ministry of the Sustainable Blue Economy Conference, says more could be done by African nations to develop the continent’s blue economies.

But its potential is, so far, being underexploited in the countries which it could help most. This is no better exemplified than in Africa where almost three quarters of countries have a coastline or are islands, where the continent’s total coastline is over 47,000 km and with 13 million km2 of collective exclusive economic zones (EEZs).

Yet despite this, maritime trade among African countries makes up only just over 10 percent of total trade by volume. And while Africa is bordered by two oceans and two seas, African-owned ships account for a tiny fraction – just over 1 percent – of the world’s shipping. The International Energy Agency says ocean renewable energy can potentially supply more than four times current global energy demand. Africa could provide a significant share of that, but many renewable energy projects on the continent have so far focused on wind and solar or other renewable energy sources.

By any standards, Africa is at least underusing, possibly even drastically wasting, its blue economy potential. This must be rectified. By some estimates, the African maritime industry is already worth USD 1 trillion annually. But, with the right economic policies implemented, it could triple in just two years.

The good news is that Kenya, and other countries in Africa, are on the way to taking advantage of the blue economy’s potential and diversifying their economies to include a greater ‘blue’ share.

For instance, the Seychelles has established a Ministry of Finance, Trade and the Blue Economy while the African Union has put the blue economy at the heart of its 2063 development agenda. In South Africa, a national development plan includes a key focus on the blue economy which is projected to add USD 13 billion to the nation’s economy and create a million new jobs by 2030.

This is all very encouraging, but more could, and should, be done by African nations to develop the continent’s blue economies.

Kenya, as co-host of this conference, is looking to lead the way in developing the blue economy’s potential, not just for itself, but for the rest of Africa and the entire global community.

But we can only do this with other countries. Thankfully, the Sustainable Blue Economy Conference provides an excellent opportunity for other countries, such as co-hosts Canada and Japan. Canada are further along with their integration of the blue economy into their wider economies – from the breadth and size of their shipping and fishing industry to innovative recycling projects that help clean the ocean as well as providing work in coastal communities – to exchange ideas and experiences, as well as technical advances, with states who are just beginning the expansion of their blue economy activities.

The conference will also provide a timely and much-needed opportunity for countries to look together at how both the private and public sector can help finance initiatives and projects in various blue economy sectors to achieve the best effect.

Indeed, the private sector’s contribution to the development of the blue economy, especially in poorer nations with more limited means to diversify their economies, is crucial. In some states, the public sector would be unable to shoulder such a financial burden on its own and innovative methods of finance will be necessary.

This, of course, is not to play down the importance of the kind of bold initiatives like the ‘blue bonds’ issued by the Seychelles to support its efforts in the blue economy.

The Sustainable Blue Economy Conference will provide an excellent opportunity to hear about and discuss projects around the world which are both exploiting the economic potential of oceans, seas, lakes and rivers, but at the same time helping protect and conserve them. Credit: Nalisha Adams/IPS

But while the economic potential of the blue economy is clear, and the Sustainable Blue Economy Conference will help underline it, we must not forget the most important part of this economy – that it is sustainable. And it must remain so.

For all the economic opportunity it offers, the blue economy will deliver nothing if it is seen simply as an economic resource to be plundered for monetary gain.

Yes, like any economy, it can help to drive greater prosperity and raise living standards, creating jobs and wealth. But those jobs and the industries that support them, must be fostered and developed on the basis of long-term environmental sustainability.

This conference will provide an excellent opportunity to hear about and discuss projects around the world which are both exploiting the economic potential of oceans, seas, lakes and rivers, but at the same time helping protect and conserve them and discuss the best ways to put similar projects into practice, and to provide guidelines and draw up regulations to help ensure that economic growth, jobs and wealth are not being created at the expense of the environment.

This first Sustainable Blue Economy Conference  is a chance to set a course for an environmentally sustainable, prosperous and inclusive future for Kenya, other African states and nations around the world. Kenya is proud that it will be at the helm as this journey starts in Nairobi.

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Cranes used to offload containers from cargo ships at the Port of Mombasa. Kenya signed anagreement with the Government of Japan for the construction of extra berths at the port. Credit: KEVIN ODIT | NATION MEDIA GROUP

By Ambassador Macharia Kamau and Siddharth Chatterjee
NAIROBI, Kenya, May 29 2018 (IPS)

In April 2018, Commonwealth leaders met in a retreat at a royal residence in the English county of Berkshire and agreed on strategies to deepen trade in their 53-member organisation, improve security, tackle climate change, and work together for the betterment of the lives of the people of the Commonwealth.

During the Commonwealth Summit, Kenya received support for its plan to host a High Level Sustainable Blue Economy Conference scheduled to take place from 26-28th November 2018 in Nairobi. Under the theme Blue Economy and the 2030 Agenda for Sustainable Development, the conference presents an opportune moment for advancing global conversation on both the productive and sustainable side of the blue economy.The conference will lay the case for a sustainable exploitation of the oceans, seas, rivers and lakes for the economic empowerment of all communities.

Canada stepped forward as a co-host during bilateral talks between President Uhuru Kenyatta and Canadian Prime Minister Justin Trudeau at Lancaster House, London, on the margins of the Commonwealth Heads of Government (CHOGM) meeting. “Our meeting gives us an opportunity to speak about the great relationship between Kenya and Canada. Canada is pleased with the excellent conference on the blue economy you are hosting and is ready to partner with you,” said Prime Minister Justin Trudeau.

Kenya welcomes other countries to join this important initiative as co-hosts. Kenya also welcomes partnerships from governments, academia, private sector, international organizations, political and thought leaders from around the world to share ideas, experience and knowledge on how countries can implement Blue Economy action plans in their countries.

Africa’s economies have continued to post remarkable growth rates, largely driven by the richness of its land-based natural resources. Yet even though 38 of the continent’s 54 states are coastal and 90% of its trade is sea-borne, Africa’s blue potential remains largely untapped. The African Great Lakes constitute the largest proportion of surface freshwater in the world and it is easy to see why the African Union refers to the Blue Economy as the “New Frontier of African Renaissance”.

Ambassador Macharia Kamau

The potential of the blue economy in Africa is largely unexploited due to uneven focus on land as the most important factor of production. While Africa is endowed with large water bodies, the communities living in close proximity to such lakes, seas and oceans in the continent are among the poorest in the region. The realization of the limitations presented by land as a factor of production in the continent, especially in view of climate change, has necessitated governments and other stakeholders to focus on the immense potential for growth presented by the water resources.

A good illustration of Africa’s maritime resources potential is the island nation of Mauritius, one of the smallest countries in the world, which has territorial waters the size of South Africa but has one of the strongest blue economies in Africa, ranking 3rd in per capita income in 2015.

Ironically, the narrative on the continent’s maritime space has for long veered towards the bad news on illegal harvesting, degradation, depletion and maritime insecurity. This narrative is changing gradually, with recent initiatives indicating that countries are looking at full exploitation and management of Africa’s Blue Economy as a potential source of wealth for the continent’s growing population. With forecasts placing the value of maritime-related activities at 2.5 trillion euros per year by 2020, the continent’s hidden treasure could catapult its fortunes.

Kenya is one of several African countries that are formulating strategies to mainstream the Blue Economy in national development plans. Broadly the sub-sectors of the blue economy in Kenya include fisheries & aquaculture, maritime transport & logistics services, extractive industries which include offshore mining of gas & oil, titanium, rare earth (niobium), and culture, tourism and leisure & lifestyle. In the past the country has largely focused on fisheries both for domestic and export markets – a sector that accounts for only about 0.5 per cent of GDP – yet Kenya has a maritime territory of 230,000 square kilometres and 200 nautical miles offshore.

Siddharth Chatterjee

The groundwork for regulatory and policy changes has started, with the Fisheries Management and Development Act 2016 and establishment of the Blue Economy Implementation Committee indicating the government’s intention to utilize its marine resources for economic growth while conserving the same for future generations. The government ban on single use plastic bags is another demonstration of commitment to ensuring plastic waste does not continue to threaten the environment, including marine life. There has also been a move to protect the coral reef, home to one of the world’s most diverse marine eco-systems.

As Africa enjoins itself to the a paradigm shift to the blue economy, and looks for pathways towards being at the centre of global trade based on the Blue Economy, rather than just the supplier of unprocessed raw materials, among the greatest hurdles will be responsible management, so that the wealth generation is inclusive and ecologically sound.

To achieve this, countries must importantly work on current conflicts that are driven by lack of demarcation of maritime and aquatic boundaries.This has been a constant source of tensions between neighbouring countries, not only threating any long-term investment considerations, but also leading to irresponsible use of resources.

With the potential gains from the Blue Economy, states have no option but to fast-track resolution of disputes and strengthen their maritime and riparian cooperation mechanisms. This will provide grounds for working on interstate economies of scale and develop strategies for bridging technical and infrastructure gaps among States.

In line with SDG 14, development of this sector must also promote social inclusion while ensuring environmental sustainability. In this respect, the continent owes special consideration to people living along the shores of oceans, lakes and rivers, essentially youth and women. The question of how this“new frontier” can address poverty reduction and hunger when leaving no one behind must be a central consideration.

Sadly,Global citizens have already demonstrated considerable recklessness in managing land-based resources. The relatively untouched frontier of Blue Economy must be handled with the highest environmental stewardship and social responsibility.

Kenya and Canada are committed to this and the United Nations family is fully in support of this important initiative which could leapfrog Kenya’s and indeed the world’s economic growth.

We therefore invite the world to Nairobi on 26th to 28th November 2018, to participate in a global conversation and showcase technology and innovation on the most appropriate strategies for productive, sustainable and inclusive use ofthe numerous resources in the seas, oceans, rivers and lakes.

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