Transaction Cost in Establishing Small Scale Marine Sanctuary in Saponda Island - South East Sulawesi
Subhan (a*), Sjamsu Alam Lawelle (b), Risfandi (b)

1 Marine Science Department, Faculty of Fisheries and Marine Science, Universitas Halu Oleo
2Departemen Fisheries Agro-business Department, Faculty of Fisheries and Marine Science, Universitas Halu Oleo

Abstract

In the late 2010, a local NGO facilitated a village^s local community on Saponda Island in establishing a small-scale marine protected area (MPA) to preserve the village^s territorial waters from destructive fishing activities. The MPA^s establishment process imposed negotiation costs, called transaction costs, which included collecting information about the resources, reaching agreements, making rules, and enforcing the reached agreements. This paper reviews some of the estimated results of the transaction costs in the small-scale MPA management starting from planning, organizing, actuating and controlling it up to the current state. It is important to estimate transaction costs because this can provide useful economic information in managing MPAs.

Keywords: Transaction Cost, MPA, Saponda

Topic: Business, Economic and Management