Palau’s Solution to Improve Collaboration for Better Protection of Natural ResourcesÂ

What is the innovation?
The Pacific Island nations, particularly Palau, are acutely vulnerable to climate change, facing intensifying challenges such as rising sea levels, ocean acidification, and rapidly declining biodiversity. In these ever-increasing challenging times, Palauans – the people, government, NGOs and the private sector – must work together to find more innovative and creative ways to ensure that their limited natural resources remain intact and functional. In light of limited human, capital and technical resources, Palauans have continued the cultural practice of collaboration and reciprocity.
In Palau, one example of how this happened is the Protected Areas Network (PAN) which was initiated in 2003. Created by Republic of Palau Public Law No 6-39, known as the Protected Areas Network (PAN). At the initiative of State governments, traditional leaders, and individuals have independently protected areas within their boundaries that have environmental or ecological significance.Â
The national government of Palau supports the States’ efforts to protect their lands and waters and encourages sustainable development of state lands. These efforts are aligned with the Micronesian Challenge, a commitment made by the Chief Executives of the Republic of Palau, the Republic of the Marshall Islands, the Federated States of Micronesia, the Territory of Guam and the Commonwealth of the Northern Mariana Islands and endorsed by The Republic of Palau’s National Congress called the Olbiil Era Kelulau in House Joint Resolution No 7-60-10. All sites that join the PAN are eligible to apply for PAN funds, which will be used by each PAN site to manage its own resources in accordance with system wide goals and objectives for conservation and sustainable development. Sites that join the PAN shall not be controlled by the National Government, the state governments will continue to have ownership and governance of the PAN sites within their boundaries.
The PAN is known locally through bul, a traditional practice that places a moratorium on actions that have a negative impact on the community. Fusing tradition with innovation, the Palauan nation has shown their dedication when it comes to protecting marine life for future generations.
Palau’s practical experience with the ecosystem approach extends back thousands of years. The traditional practice of bul is an important example. Bul involves the Council of Chiefs placing reef areas off limits to fishing during known fish spawning and feeding periods. This respects vulnerabilities in the ecosystem while ensuring that there will be robust fish to catch during other times of the year.
This traditional bul system has become the basis for Palau’s network of protected areas and its new Protected Area Network (PAN) law. Micronesia is home to most of the world’s coral biodiversity — Palau alone has 1300 species of fish and 700 species of corals across its islands.Â

Protected Areas Network (PAN) Partners:Â
National Partners:
Executive Branch
National Congress (Senate & HOD)
Ministry of Natural Resources, Environment & Tourism now known as Ministry of Agriculture, Fisheries & Environment
Office of the Public Auditor
Local State Offices:
Protected Areas Network (PAN) has local state offices on each of the16 States of the Republic of Palau as well as protected areas (Conservation sites) throughout the 16 States of Palau.
Local Partners:
Palau Conservation Society
Belau Tourism Association
Environmental Quality Protection Board
Palau Visitors Authority
Palau International Coral Reef Center
Council of ChiefsÂ
Belau National Museum
International Partners:
Micronesian Conservation TrustÂ
Conservation International
Natural Resource Conservation Service
The Nature ConservancyÂ
Birdlife
APAFS
NOAA
The David & Lucile Packard Foundation
Micronesia Challenge
APIPA
UNDP
The GEF Small Grants Program
Global Environment Facility
 CSF
IUCN
Embassies:
U.S. EmbassyÂ
Japan Embassy
 German Embassy
Taiwan Embassy
The Republic of Palau created an independent nonprofit organization to serve as a financial trustee of the monies obtained to support the PAN to manage the funds from donations and arrival fees. This nonprofit organization is called the PAN Fund.
The PAN Fund is mandated to do the following:
Seek outside funding sources for States’ conservation and sustainable development efforts
Leverage sources of outside funding through mechanisms such as the Micronesian Conservation Trust
Ensure that outside funding is used for the purposes established by and required by outside donors.
Sustainable financing – PAN Fund
An environmental protection fee (“Green Fee”) enables the PAN Office through a PAN Fund to provide funds to sites within its network for environmental protection and for sustainable development. This arrival fee does not prevent states from levying separate fees for tourists’ visits to sites within state boundaries regardless of whether the site has joined PAN.
The green fee in Palau is $30 per person and is collected in addition to a $20 departure tax, for a total of $50 per person. The green fee is collected at the airport on the second floor, before immigration.Â
The green fee is part of the Pristine Paradise Environmental Fee (PPEF), which was implemented in 2018. The PPEF also includes a $100 fee for all visitors. Half of the green fee goes to the PAN Fund, which provides funds to sites within the PAN network for environmental protection and sustainable development. The other half of the green fee goes to fund other environmental priorities, such as water and sewer.Â
Visitors to Palau must also sign the Palau Pledge, which is stamped into their passports upon arrival.
The Palau Pledge
What is the Palau Pledge?
The Palau Pledge is a passport-like declaration that every visitor to our beloved island must sign upon arrival. It’s more than just a document; it’s a commitment. By signing the pledge, tourists promise to respect our ecological and cultural heritage during their stay. They commit to preserving the land, not taking what isn’t freely given, and refraining from causing harm without self-defence. The Pledge emphasizes leaving only footprints that will be washed away by the ocean – a commitment that ensures the preservation of Palau’s beauty for future generations. To make it even more special, local children played a significant role in drafting the declaration.