**2. Regional development in Austrian municipalities: exploring the effects of Natura 2000 protected areas**

#### **2.1. Number and location of Natura 2000 municipalities**

The perspective that protected areas such as Natura 2000 are mostly located in peripheral regions is certainly supported by Austrian data. **Figure 1** presents a map of Austria that classifies Austrian municipalities according to the two variables mentioned earlier. Behind these two variables, a number of hypotheses should be tested by the differentiation between municipalities:


As can be seen from **Table 1**, most municipalities are rural communities (unweighted with respect to their size such as number of residents). About 10% of Austrian municipalities have a share of more than 50% of their land protected under the Natura 2000 framework. Another 36% of communities have some Natura 2000 areas within their boundaries. Given the number of municipalities, the distribution of Natura 2000 areas seems to be rather evenly distributed between these types of municipalities, with a slightly higher share of rural communities with larger Natura 2000 areas.

As mentioned earlier, **Figure 1** indicates that municipalities with Natura 2000 areas are especially located along the main ridge of the Central Alps in the federal provinces of Tyrol, Carinthia, Salzburg, Upper and Lower Austria. These areas are particularly mountainous areas with high-alpine and forest environments. Mostly, these areas are also peripheral areas

Source: Own calculations and computations based on data from the European Commission, Statistics Austria and the

**Table 1.** Classification of Austrian municipalities according to the share of Natura 2000 areas on their land and the degree

**Classification of the share of Natura 2000 areas**

**Figure 1.** Classification of Austrian municipalities: Share of Natura 2000 conservation areas and degree of urbanization.

**Degree of urbanization No. % No. % No. %** Urban 0 0.0% 6 0.7% 0 0.0% Intermediate 32 14.2% 145 17.1% 223 17.4% Rural 194 85.8% 695 82.2% 1059 82.6% Total **226 9.6% 846 35.9% 1282 54.5%**

**With Natura 2000 Little Natura 2000 No Natura 2000**

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In addition to the location of Natura 2000 areas, the map indicates that many nature conservation categories overlap. For instance, the Central Alps include three national parks (Hohe

with respect to their location and their economic development.

European Environment Agency.

of urbanization.

• Degree of urbanization of the municipality (urban/city, suburban/intermediate, and rural).

The following section first presents the broad classification of Austrian municipalities, and

The perspective that protected areas such as Natura 2000 are mostly located in peripheral regions is certainly supported by Austrian data. **Figure 1** presents a map of Austria that classifies Austrian municipalities according to the two variables mentioned earlier. Behind these two variables, a number of hypotheses should be tested by the differentiation between

**1.** The share of land devoted to conservation in Natura 2000 areas is operationalized by three attributes. According to this approach, municipalities are classified into municipalities "with Natura 2000" areas (more than 50% of land lies within a Natura 2000 area), "with little Natura 2000" (from 1 to 50%), and "without Natura 2000." The main hypothesis to be tested here is that municipalities with a large share of Natura 2000 are hindered in their economic, social, infrastructure, and spatial development; that is, owing to the restrictions on the use of land within these municipalities, commercial land use (e.g., forestry and agriculture) is largely banned. Of course, the smaller the share of conservation land, the more

**2.** The degree of urbanization is based on a standard classification of Austrian communities; larger cities and towns are classified as "predominantly urban"; municipalities outside the bigger cities and suburbs are classified as "intermediate," while rural municipalities are labeled accordingly. The main hypothesis behind this classification is that—independent of the share of conserved land within municipal boundaries—social and economic development in general might be entirely different between these types of communities. Potential differences or similarities between municipalities may, therefore, be attributed to differences in their economic, social, and spatial structure and location, rather than to conserva-

As can be seen from **Table 1**, most municipalities are rural communities (unweighted with respect to their size such as number of residents). About 10% of Austrian municipalities have a share of more than 50% of their land protected under the Natura 2000 framework. Another 36% of communities have some Natura 2000 areas within their boundaries. Given the number of municipalities, the distribution of Natura 2000 areas seems to be rather evenly distributed between these types of municipalities, with a slightly higher share of rural communities with

**2. Regional development in Austrian municipalities: exploring the** 

then discusses the regional development along the selected dimensions.

**effects of Natura 2000 protected areas**

16 National Parks - Management and Conservation

insignificant might this restricting effect be.

tion according to the Natura 2000 frameworks.

larger Natura 2000 areas.

municipalities:

**2.1. Number and location of Natura 2000 municipalities**

**Figure 1.** Classification of Austrian municipalities: Share of Natura 2000 conservation areas and degree of urbanization.


Source: Own calculations and computations based on data from the European Commission, Statistics Austria and the European Environment Agency.

**Table 1.** Classification of Austrian municipalities according to the share of Natura 2000 areas on their land and the degree of urbanization.

As mentioned earlier, **Figure 1** indicates that municipalities with Natura 2000 areas are especially located along the main ridge of the Central Alps in the federal provinces of Tyrol, Carinthia, Salzburg, Upper and Lower Austria. These areas are particularly mountainous areas with high-alpine and forest environments. Mostly, these areas are also peripheral areas with respect to their location and their economic development.

In addition to the location of Natura 2000 areas, the map indicates that many nature conservation categories overlap. For instance, the Central Alps include three national parks (Hohe Tauern, Gesäuse, and Kalkalpen); furthermore, around Vienna and the federal province of Burgenland, the Donau-Auen, and Neusiedler See national parks are located (and overlapping with Natura 2000 areas). In and around Austria's capital of Vienna, there is also the Wienerwald Biosphere Reserve which also includes a number of Natura 2000 sites.

trend. Municipalities with Natura 2000 both significantly grew faster, and somewhat slower, than communities without Natura 2000. Therefore, demographic development certainly was influenced by many other factors (e.g., location, economic structure, proximity to labor mar-

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It can therefore be safely concluded that Natura 2000 areas in a municipality on average cannot influence the demographic development which is influenced and determined by other decisive factors which are differentiated according to the degree of urbanization. However, this does not mean, of course, that there might not be single communities where Natura 2000 indeed played a vital role for either emigration or immigration. One the one hand, Natura 2000 may lead to restricted development options, for example, in terms of land use for residential purposes, and might therefore limit the spatial development of a community. On the other hand, Natura 2000 areas may attract new residents since these areas, especially around

With respect to the labor market, two indicators were chosen to explore whether there is a recognizable effect of Natura 2000 on the labor market. First, we ascertain potential differences between communities based on the unemployment rate. Second, the number of jobs created

**Figure 3** presents the results for the unemployment rate (measured by the European Union's standard computation). For rural and intermediate municipalities, the unemployment rate lies between 4 and 5% on average. For the large cities (especially Vienna), unemployment rates are higher with approximately 6–7%. As can be clearly seen, the different classes of municipalities differ marginally regarding the level of unemployment; however, the development of the

larger urban areas, are established in ecological and green regions and landscapes.

in Austrian municipalities between 1991 and 2011 is explored.

**Figure 3.** Unemployment rates in Austrian municipalities (1991–2011).

kets, and immigration).

#### **2.2. Social development: demography and labor market**

Taking up the hypotheses presented in Section 2.1, one may assume that Natura 2000 areas might to some extent hinder economic development and thus lead to migration to urban areas. Rural areas, therefore, might suffer from population loss.

**Figure 2** presents an empirical picture on the development of the population in the aforementioned categories of Austrian municipalities. Austria's total population grew very slowly from 1990 until about 2000 (at an annual rate of approximately 0.2%). Growth was much higher in the following decade with an annual growth rate of about 0.5% p.a.

As can be seen, population growth was very different between the types of municipalities. The lower dashed line basically mirrors population development in the larger cities, in particular Vienna, which experienced a rapid growth since about 2000. Population grew fastest in intermediate municipalities (between urban and rural); surprisingly, in municipalities with large Natura 2000 areas, population increased by over 15% over the last two decades. This picture is slightly reversed in rural municipalities which saw a slower population growth, or even a slight downward trend.

Regarding the existence of Natura 2000 areas as decisive factors for demographic development, it seems that this conservation framework did not contribute any specifically different

**Figure 2.** Demographic change: population development in Austrian municipalities (1990–2010).

trend. Municipalities with Natura 2000 both significantly grew faster, and somewhat slower, than communities without Natura 2000. Therefore, demographic development certainly was influenced by many other factors (e.g., location, economic structure, proximity to labor markets, and immigration).

Tauern, Gesäuse, and Kalkalpen); furthermore, around Vienna and the federal province of Burgenland, the Donau-Auen, and Neusiedler See national parks are located (and overlapping with Natura 2000 areas). In and around Austria's capital of Vienna, there is also the

Taking up the hypotheses presented in Section 2.1, one may assume that Natura 2000 areas might to some extent hinder economic development and thus lead to migration to urban

**Figure 2** presents an empirical picture on the development of the population in the aforementioned categories of Austrian municipalities. Austria's total population grew very slowly from 1990 until about 2000 (at an annual rate of approximately 0.2%). Growth was much higher in

As can be seen, population growth was very different between the types of municipalities. The lower dashed line basically mirrors population development in the larger cities, in particular Vienna, which experienced a rapid growth since about 2000. Population grew fastest in intermediate municipalities (between urban and rural); surprisingly, in municipalities with large Natura 2000 areas, population increased by over 15% over the last two decades. This picture is slightly reversed in rural municipalities which saw a slower population growth, or

Regarding the existence of Natura 2000 areas as decisive factors for demographic development, it seems that this conservation framework did not contribute any specifically different

**Figure 2.** Demographic change: population development in Austrian municipalities (1990–2010).

Wienerwald Biosphere Reserve which also includes a number of Natura 2000 sites.

**2.2. Social development: demography and labor market**

even a slight downward trend.

18 National Parks - Management and Conservation

areas. Rural areas, therefore, might suffer from population loss.

the following decade with an annual growth rate of about 0.5% p.a.

It can therefore be safely concluded that Natura 2000 areas in a municipality on average cannot influence the demographic development which is influenced and determined by other decisive factors which are differentiated according to the degree of urbanization. However, this does not mean, of course, that there might not be single communities where Natura 2000 indeed played a vital role for either emigration or immigration. One the one hand, Natura 2000 may lead to restricted development options, for example, in terms of land use for residential purposes, and might therefore limit the spatial development of a community. On the other hand, Natura 2000 areas may attract new residents since these areas, especially around larger urban areas, are established in ecological and green regions and landscapes.

With respect to the labor market, two indicators were chosen to explore whether there is a recognizable effect of Natura 2000 on the labor market. First, we ascertain potential differences between communities based on the unemployment rate. Second, the number of jobs created in Austrian municipalities between 1991 and 2011 is explored.

**Figure 3** presents the results for the unemployment rate (measured by the European Union's standard computation). For rural and intermediate municipalities, the unemployment rate lies between 4 and 5% on average. For the large cities (especially Vienna), unemployment rates are higher with approximately 6–7%. As can be clearly seen, the different classes of municipalities differ marginally regarding the level of unemployment; however, the development of the

**Figure 3.** Unemployment rates in Austrian municipalities (1991–2011).

unemployment rate over time is broadly equal, with a peak around 2000, and a reduction in the last decade of the observation period.<sup>1</sup>

Job creation, therefore, does not seem to depend on the existence of Natura 2000 areas per se. Some rural areas, of course, also face significant job creation in the tourism sectors—but this

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There certainly is a long-ranging debate on the effects of biodiversity conservation on the regional economy, and more specifically on tourism. The existing empirical studies might be

• Regional development may certainly be enhanced just by the inflow of money to a region originating from national or international funding sources. As protected areas are located in peripheral regions, the local municipalities often do not have sufficient funds to provide for the establishment and management of park. In most cases, this money inflow per se increases demand for park-related goods and services, and creates (some) local jobs.

• If conservation leads to a change of land use in terms of a total loss of production (e.g., in agriculture, forestry, fishing, and hunting), management plans of national parks, Natura 2000 areas, and nature protection areas provide for a sufficient compensation amounting to the loss of property value. In other words, this means that potential production losses are compensated; income of property owners or rights holders, therefore, may stay the same. (Very often, a significant share of a park's budget is devoted to compensation, and alterna-

• Some new regional products might be developed such as new handicraft, certain uses of local resources (e.g., joint marketing of natural and/or ecological products such as organic farming or game meat). In terms of the size of the local economy, the value added is rela-

• Finally, the most important potential benefit of establishing and operating protected areas is the tourism sector. As protected areas conserve biodiversity and provide experiences for visitors based on the natural environments, it is safe to assume that protected areas usually

From a methodological point of view, there are some uncertainties that have to be taken into account when the effect of tourism is to be ascertained. First of all, many categories of protected areas such as national parks or even more, Natura 2000 sites, do not emphasize a priori the development of tourism. While national parks at the core provide education and information to visitors, Natura 2000 areas often do not include references to regional tourism. Only when it comes to conserve biodiversity, management plans may provide temporal or spatial

However, the experiences within a prominent conservation area such as a national park are designed and marketed by the park's management, as well as by tourism boards and the tourism industries. While visitors come to certain areas because of their beauty and pristine natural environments, the label and the management of the park provide for additional attractions. In other words, without marketing and additional efforts, establishing a protected

tively small, though important for building companies and stakeholder networks.

can hardly be attributed solely to the existence of Natura 2000.

**2.3. Tourism development: the effect of Natura 2000**

broadly summarized as follows:

tive management of the land.)

attract visitors.

bans of access to certain areas.

Regarding the differences with respect to the share of Natura 2000 areas in municipalities, there is merely no conclusive result to be detected. Again, it seems that the economic structure, the location, and the generally higher unemployment rates in urban areas are one of the driving factors—at least much more important for the determination of the unemployment rate than the existence of more or less nature conservation.

**Figure 4** details the picture of the labor market more precisely by considering the number of jobs created over time. It can be clearly seen that the highest concentration of jobs is in urban areas. The growth of jobs in the urban municipalities amounts to about 17% over a decade, however, starting at a much higher level than in other intermediate or rural municipalities.

Growth in Natura 2000 municipalities is certainly comparable to growth in urban areas: municipalities with large Natura 2000 areas exhibit a job growth of 19% (intermediate municipalities) and 25% (rural municipalities).

Employment in municipalities with some Natura 2000 areas grew by about 17% (intermediate) and 37% (one of the largest average increases of jobs). Finally, looking at municipalities without Natura 2000 areas, the figures are comparable with a job growth of 20% in intermediate and 36% in rural municipalities.

**Figure 4.** Number of jobs created in Austrian municipalities (2001–2011).

<sup>1</sup> We do not have actual unemployment figures at the municipal level for the most recent years; however, it can be expected that the development between classes of municipalities is largely parallel, but the level of unemployment is certainly higher owing to the financial crisis after 2008.

Job creation, therefore, does not seem to depend on the existence of Natura 2000 areas per se. Some rural areas, of course, also face significant job creation in the tourism sectors—but this can hardly be attributed solely to the existence of Natura 2000.

#### **2.3. Tourism development: the effect of Natura 2000**

unemployment rate over time is broadly equal, with a peak around 2000, and a reduction in

Regarding the differences with respect to the share of Natura 2000 areas in municipalities, there is merely no conclusive result to be detected. Again, it seems that the economic structure, the location, and the generally higher unemployment rates in urban areas are one of the driving factors—at least much more important for the determination of the unemployment

**Figure 4** details the picture of the labor market more precisely by considering the number of jobs created over time. It can be clearly seen that the highest concentration of jobs is in urban areas. The growth of jobs in the urban municipalities amounts to about 17% over a decade, however, starting at a much higher level than in other intermediate or rural municipalities.

Growth in Natura 2000 municipalities is certainly comparable to growth in urban areas: municipalities with large Natura 2000 areas exhibit a job growth of 19% (intermediate munici-

Employment in municipalities with some Natura 2000 areas grew by about 17% (intermediate) and 37% (one of the largest average increases of jobs). Finally, looking at municipalities without Natura 2000 areas, the figures are comparable with a job growth of 20% in intermedi-

We do not have actual unemployment figures at the municipal level for the most recent years; however, it can be expected that the development between classes of municipalities is largely parallel, but the level of unemployment is

the last decade of the observation period.<sup>1</sup>

20 National Parks - Management and Conservation

palities) and 25% (rural municipalities).

ate and 36% in rural municipalities.

certainly higher owing to the financial crisis after 2008.

**Figure 4.** Number of jobs created in Austrian municipalities (2001–2011).

1

rate than the existence of more or less nature conservation.

There certainly is a long-ranging debate on the effects of biodiversity conservation on the regional economy, and more specifically on tourism. The existing empirical studies might be broadly summarized as follows:


From a methodological point of view, there are some uncertainties that have to be taken into account when the effect of tourism is to be ascertained. First of all, many categories of protected areas such as national parks or even more, Natura 2000 sites, do not emphasize a priori the development of tourism. While national parks at the core provide education and information to visitors, Natura 2000 areas often do not include references to regional tourism. Only when it comes to conserve biodiversity, management plans may provide temporal or spatial bans of access to certain areas.

However, the experiences within a prominent conservation area such as a national park are designed and marketed by the park's management, as well as by tourism boards and the tourism industries. While visitors come to certain areas because of their beauty and pristine natural environments, the label and the management of the park provide for additional attractions. In other words, without marketing and additional efforts, establishing a protected area by itself may not attract more visitors. Only if concerted actions and strategies are put in place, the destination can be marketed accordingly to raise the number of visitors.

It can therefore be concluded that Natura 2000 areas somewhat support tourism development and in certain municipalities may also provide additional attractions in terms of thematic hiking trails, nature trails and educational signposts, or exhibitions dealing with various aspects

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This chapter has briefly highlighted and summarized the potential differences between Austrian municipalities where Natura 2000 areas have been established. The causal linkages between the mere existence of a Natura 2000 area and the regional or local effects are not as strong as it might seem in the first place. Regional and local development is certainly determined by a huge variety of factors such as territorial capital, location and accessibility, available infrastructure, and proximity to markets (factors of production; goods and services). In addition, regions with protected areas are often peripheral regions without much potential for endogenous regional development. Furthermore, many categories of protected areas (such as national parks, biosphere reserves, and nature and landscape conservation areas) overlap with the establishment of Natura 2000 areas. In fact, the Austrian national parks are

To put it mildly, our study has revealed that Natura 2000 areas do not pose a threat to regional and local development; mostly, demographic, social, economic, and spatial developments are driven by the factors described earlier. This is certainly indicated for the fields of population growth, employment and unemployment, and the number of jobs. One exception can be seen in the tourism development. Data indicate that the establishment and operation of Natura 2000 areas might indeed attract more visitors (in addition to the vast majority who would visit the area even without a protected area on the basis of natural beauty and pristine ecosystems). However, the regional economic impact of protected areas in general may not lead to sufficient private funding or a substantial contribution to the financing of protected areas (cf. [12]). Regarding management options, the results of this study are mixed. As Natura 2000 does neither harm nor substantially improve regional development, the leeway of management options is very limited. Park management may certainly create visitor experiences based on ecological systems such as nature trails, exhibitions, excursions, and other events. Such options are more feasible in national parks with their aim to educate and inform visitors, while the Natura 2000 framework is first and foremost oriented toward the conservation of species and habitats, and to prevent the further degradation of ecosystems. These objectives may certainly provide the basis for regional development, for example, in terms of increasing visitor numbers, the conservation work has to be complemented by local and regional development strategies. Such strategies may include destination marketing, development of local products based on natural resources, building up networks of local and regional stakeholders, and joint efforts and cooperation between the municipalities and the provincial authorities. Otherwise, it is safe to assume that there is no clear-cut direction of the regional effects of the establishment of protected areas, certainly no "automatism" which may lead to a positive development by merely establishing an area without any further measures or policies

of conservation.

**3. Summary and conclusions**

directed toward regional development.

all managed also according to the Natura 2000 frameworks.

For instance, Getzner [11] provided evidence that the long-term effect of a national park on the number of tourist might lie in the range of 3–5% of annual growth in addition to already existing trends, even with the case of prominent and large national parks.

This chapter presents some evidence that Natura 2000 sites, indeed, lead to an increase in the number of tourists in a region. **Figure 5** presents an index of tourism development over time between 1990 and 2015 for the summer season. Generally speaking, the first decade until about 2000 saw a constant decline in the number of tourists in the summer season; a prominent exception is city tourism, again with Vienna as one prominent destination with a 60% increase in tourism numbers over the last 20 years. Inspecting the graph in more detail reveals that municipalities of all degrees of urbanization, and both with larger or smaller Natura 2000 areas, exhibit higher growth rates than municipalities without Natura 2000 sites.

In other words, nature conservation based on Natura 2000 does not lead to a decrease or stagnation in tourism during the summer season, but rather increases tourism above the Austrian average.

The causal linkages at this level of aggregation are, however, hard to detect. On the one hand, as said earlier, Natura 2000 sites are certainly established in areas of natural beauty, or where other conservation areas are overlapping, such as national parks.

On the other hand, most municipalities without Natura 2000 areas are either rural areas without tourist attractions or are industrial areas and centers.

**Figure 5.** Overnight stays in Austrian municipalities (1990–2016).

It can therefore be concluded that Natura 2000 areas somewhat support tourism development and in certain municipalities may also provide additional attractions in terms of thematic hiking trails, nature trails and educational signposts, or exhibitions dealing with various aspects of conservation.
