Chapter 2 Tourism in Bali at the Interface of Resource Conflicts, Water Crisis and Security Threats

Bali’s tourism sector has seen a dramatic expansion over the past two decades, despite temporary security concerns following the 2002 and 2005 terrorist attacks. The growing influx of foreign and domestic tourists has put increasing strain on the island’s natural resources, including its freshwater sources and marine environment. This review chapter addresses conflicts within the tourism–environment–security nexus as a consequence of the increasing resource scarcity associated with the unfettered growth of tourism. This involves a fundamental conflict between economic growth and environmental preservation and – more specifically – between the promotion of the tourism industry and the protection of traditional wet-rice agriculture and cultural heritage. The ongoing transformations of Bali’s communal water management (subak) system and the threat to coastal and marine environments by the controversial Benoa Bay Reclamation Project are particularly highlighted. The authors explore conflicting views over the value of natural resources through a discussion of different approaches to achieving a balance between economic, ecological and socio-cultural goals. This includes investigation of rights-based and polycentric approaches to resource governance as well as attempts to foster qualitative growth through the promotion of ecotourism and other niche markets.