Five Elements of Ston

Five
Elements
of
Development concept of Ston
A vision without a plan is just a dream.
A plan without a vision is just a drudgery.
But a vision with a plan can change the
world.
Old proverb
Table of Contents
Foreword .........................................................8
IntroductIon ................................................12
1. FIVe eLeMentS oF Ston ................................18
1.1 the walls ............................................................19
1.2 Vineyards ............................................................20
1.3 Salt ......................................................................21
1.4 oysters .............................................................. 22
1.5 Sea ..................................................................... 23
PArt I .................................................................24
1. Ston todAY .....................................................26
1.1 Physical and natural resources ........................28
1.2 Human resources ..............................................31
1.3 economy ............................................................ 33
1.3.1 Agriculture ........................................................ 33
1.3.2 Fishery and Marine Aquaculture ........................ 36
1.3.3 Small Scale Production and Processing ............ 36
1.3.4 construction ...................................................... 36
1.3.5 retail ...................................................................37
1.3.6 tourism ...............................................................37
1.3.7 catering ............................................................. 39
1.3.8 Services ............................................................. 39
1.4 Swot analysis................................................... 40
2. deVeLoPMent dIrectIon .............................42
2.1 development Mission and objectives Ston ...... 46
2.2 development of Ston economy......................... 48
2.2.1 Seaside Farming ................................................ 49
2.2.2 tourism .............................................................. 58
2.2.3 retail, Production, Service and energy ............. 64
PArt II ................................................................70
1. oVerVIew current SItuAtIon
MunIcIPALItY oF Ston ..................................72
1.1 evaluation of existing Spatial
Planning documents ..........................................78
1.2 Settlement Structure ..........................................79
1.3 nature and Landscape ....................................... 84
1.4 traffc ..................................................................87
1.5 Infrastructure ..................................................... 88
1.5.1 Public utilities .................................................... 88
1.5.2 disposal Facilities .............................................. 88
2. eVALuAtIon InItIAL SItuAtIon ................... 92
3. ForMuLAtIng tHe
deVeLoPMent goALS ................................... 98
3.1 Model for Ston ................................................... 99
3.2 general development objectives ....................100
3.3 objectives for Settlements ..............................102
3.4 objectives for nature and Landscape ..............103
3.5 transportation objectives .................................104
3.6 Infrastructure objectives ..................................105
4. MunIcIPAL deVeLoPMent concePt ........106
4.1 development Areas east and west ................ 110
4.2 urban development ......................................... 111
4.3 nature and Landscape development ............... 112
4.4 traffc development ........................................ 113
4.5 Infrastructure development ............................. 114
5. IdentIFIcAtIon oF
deVeLoPMent SegMentS .......................... 116
PArt III .............................................................126
1. IntroductIon ..............................................128
2. deVeLoPMent VISIon Ston: ......................130
3. FroM VISIon to reALIzAtIon: ...................134
3.1 the development Measures ............................135
3.2 organizational and Institutional Set up .............136
3.3 development Measure:
development of tourism .................................142
3.3.1 destination development and Management: .142
3.3.2 destination brand and marketing .....................146
3.3.3 conclusion tourism Sector development ........148
3.4 development Measure: Investment Program ..149
3.4.1 Ston Investment Program overview .............150
3.4.2 town of Ston Projects ......................................151
3.4.3 Mali Ston Projects ............................................163
3.4.4 Prapratno Bay Projects .....................................166
3.4.5 duba Stonska Projects .....................................172
3.4.6 Brijesta Projects ................................................180
3.4.7 uljana Projects ................................................185
3.4.8 South region Projects ......................................193
3.4.9 central Municipal Area Projects .......................196
3.4.10 Project feasibility frame ................................... 202
3.5 development Measure:
Business development.................................... 204
3.6 Benefts from realization ............................... 206
reSourceS ....................................................210
IMPreSSuM ....................................................212
8 Five elements of Ston - Development Concept of Ston
Municipality of Ston, under the guidance of mayor Vedran
Antunica and municipal council, decided to take initiatives in
starting a sustainable municipal development process. Inste-
ad of letting the development happen, they started to drive it
and direct it according the development desires of their inha-
bitants and local business.
Main focus of the development is to preserve the authenti-
city and resources of Ston today, whilst improving quality of
life and life opportunities, thus turning todays depopulation
process into the population growth by increasing tourism, in-
vestment, business and urban attractiveness of Ston region.
To realize sustainability, and to manage the development pro-
cess professionally, municipality initiated cooperation with
mep/mare group of internationally acknowledged regional
development experts. Particularly important aspect of the co-
operation is that the development program structured under
this cooperation umbrella, is not only written and published,
FOREWORD
but also initiated in a cooperation partnership between muni-
cipality and development experts.
Ston area, as part of Dubrovnik Neretva County, was already
subject to different studies, master plans, analysis, articles
and opinions, all of which inuenced nal structure.
Additionally, numerous international development publicati-
ons as well as various experts inuenced and participated in
the nal outcome.
The Development Concept Ston, as it is presented in this
book is foundation step on the development way of Ston. In
the years ahead signicant work has to be done, to ensure
the realization of the envisioned developments. One of the
most signicant steps is the foundation and implementation
of the municipal development unit, which would be the body
carrying out the development, under control and direction
of the municipality.
Martin Pietsch,
Director
Iris Juri,
Manager Regional Development
10 Five elements of Ston - Development Concept of Ston FOREWORD 11
Ston covers vast area of nearly 170 km
2
of beautiful natu-
ral landscape, only occasionally interrupted by rustic settle-
ments. Municipal area is mostly green area with simple bu-
ildings in traditional style. Tourism development, as well as
industrial development, of the 1970 and 1980 completely
bypassed Ston. Lack of development is evident in current
problems we face in Ston area, most signicant of which is
the depopulation. That is especially visible with our young ge-
nerations, which because of lack of life opportunities, after
completing higher education nd their future away from Ston,
in other cities of Croatia.
Ston has great potential, thanks to natural resources, clima-
te and position, as it is elaborated in this development con-
cept. It is our responsibility to realize the sustainable develo-
pment principles portrayed in these pages, and by doing so,
to secure better future for Ston, for our people, our heritage
and nature. It is our right and obligation to develop, but to do
it in a sustainable way, securing development resources also
for generations to come.
Vedran Antunica
Mayor
Reorganization of existing tourism and new quality orien-
ted developments the Adriatic coast are making rapid pro-
gress. The DEG support program initiated from 2001 on, has
boosted this development. The Tourism Master plan of Cro-
atia provided the basis for DEGs participation in dening the
Strategy for the development of Croatian tourism up to 2010
which laid the foundation for successful implementation of re-
gional tourism master plan for the Dubrovnik Neretva County
and Wildlife Park Lonjsko Polje (Posavina).
I am pleased that the strategy for high quality tourism through
the engagement of mep Projekte GmbH and their partners is
realized successfully. The Development Concept of Ston is
an important contribution to proactive development initiated
by the public sector. Not only it will have great importance for
future of the development of the municipality Ston, but it can
show the way to other public administrations.
I am convinced that the dened measures and envisioned
investments will make Ston a unique and recognized pla-
ce, and push Dubrovnik - Riviera and Islands even more
forward and make as a region even more attractive tourist
destination.
Volker Herrmann
Consultant Tourism Development (esp. South-East-Europe)
2001-2007: DEG Tourism Development Competence Centre Dubrovnik
Restructuring and Development of Tourism Sector in Croatia and Montenegro
Municipality of Ston covers clearly dened space of untou-
ched natural beauty enriched by the hand of man with urban
achievements of the renaissance.
Among many settlements most signicant place is held by
Ston and Mali Ston: planned urban structures from medie-
val times. Ston, second town of the Dubrovnik Republic, built
over centuries it grew into artwork of many generations, pro-
duct of cultural will and tradition of the self-conscious com-
munity, town of balanced measures, special beauty, surroun-
ded by the longest town-protective wall of Europe.
Ston area is primarily space where the rural meets urban,
where the nature is irrefutable ruler. Over the centuries natu-
re enabled prosperity of man by giving its treasures: salt, sh,
sea shells, olive oil, wine, etc. Treasures, rightly appreciated
by the dukes of Italy, royalty of Austrian monarchy and even
by the Turkish emperors.
Municipality of Ston, during twentieth century didnt experien-
ce strong development expansion. Vast tourism facilities we-
re built closer to Dubrovnik and airport in ilipi, thus leaving
Ston untouched. That is the reason that Ston today, with its
preserved space, has comparative advantages in the tourism
sense. Ston can offer highly exclusive product to the tourism
world, as long as the sensitivity is kept when interventions in
the spatial morphology are made.
In the development study diversity and advantages of Ston are
taken into consideration. Authenticity of nature is respected,
and the development is planned in such manner that it is in
accordance with tradition and that it measures up to urban
structures of the renaissance, whilst using authentic details,
forms and materials of the ancestors, hence continuing the
direction of past centuries. Corresponding to main postulates
of space conservation, preserving rudiment ambient and not
succumbing to the space usage maximization are main fea-
tures of the development projects.
Realization of the development projects within Ston munici-
pality requires further research, prudent planning, smart de-
sign and careful execution. It is also necessary to set and ho-
nor realistic deadlines, and to establish institution in charge of
organizing and coordinating project realization, from theoretic
to technical execution.
Development concept of Ston highlights sustainability as its
basic element, based on improvement and fulllment of all li-
fe functions: ecological, residential, social, cultural, business,
economical, touristic, which is spatially dispersed to the entire
municipal area, from Maruleti, Zamaslina and Prapratno, via
Ston, Mali Ston and Duba Stonska, to uljana and Brijesta.
Special attention is paid to traditional products of local populati-
on, revitalization of historical heritage, and ensuring highest level of
infrastructure, as well as to planning of the new facilities in accor-
dance with ambiance and enabling livelihood of local people.
Boo Letuni
Expert Advisor
PROJECT BACKGROUND
Municipality of Ston is a spacious area of 169,51 km
2
, which
occupies almost half of the Peljeac peninsula. It is a well
kept secret, which impresses guests with the combination
of island experience and mainland landscape. Diversity of lo-
cations, interesting places, historical stories and unique pro-
ducts is well hidden from the general public.
Municipality offers no appropriate hotel accommodation,
shell production is far from optimal, wine producers face
many challenges, tourism season is shorter than average in
Croatia, tourism products are virtually non-existing, depopu-
lation is signicantly increasing and infrastructure is limited.
Opportunities, built upon historical background, are nowa-
days lying in rich vineyards and secluded bays. These op-
portunities can bring bright future to the municipality and its
inhabitants. Municipal government, led by the mayor Vedran
Antunica, has clear guidelines how to develop the region in a
sustainable way.
Municipality has assigned an internationally experienced gro-
up of experts to prepare Development Concept of Ston as
a basic document which will initiate the procedure of the de-
velopment. Foundation for this cooperation is work prior con-
ducted by the German DEG under the cooperation of German
and Croatian government in the tourism development sector,
and documents created during the cooperation such as Nati-
onal tourism strategy and regional tourism master plan.
INTEGRATED DEVELOPMENT
Experiences from around the world have shown that it is of vi-
tal importance to practice integrated development, especially
in the coastal areas. This kind of process enables balanced
development of different segments in a way that they sup-
port and strengthen each other, at the same time sustainably
utilizing natural resources and ensuring their protection and
enhancement.
STRUCTURE OF THE STUDY
Study is composed of three parts.
Part one gives a picture of Ston today, focusing on resources,
qualities and special traits of Ston. Main characteristics of muni-
cipality are described and dened through different points. Ston
today gives a short, but concise overview of the main aspects
of what Ston represents today. Applied principles of integrated
coastal development dene the major segments of structural
progress in a way that all these integrated elements support and
strengthen each other.
Part two deals with urbanism, which is intended to function not
as a limiting, which often happens, but as a supportive element
of the development process. Town planning plays a signicant
role in this process, since it is the basis for all infrastructural pro-
jects. Sustainable development is not possible without a mo-
dern and progressive infrastructure.
Part three, the most signicant part of the study, deals with
three main aspects. It denes and describes the vision of deve-
lopment; it provides municipality with necessary management
tools and most of all it structures main developmental projects in
such manner that the realization probability is highly augmented.
INTRODUCTION
The time is always right to do what is right.
Martin Luther King, Jr
(right) Ston - view from walls
(rst spread) Brijesta Bay
(second spread) Peljeac vineyards
18 Five elements of Ston - Development Concept of Ston FIVE ELEMENTS OF STON 19
Ston area has been inhabited since prehistoric times, as it is
evident from the ndings in the cave Gudnja. Prosperity was
brought to region when the Republic of Dubrovnik got into a
possession of the Peljeac peninsula. Since that time, many
matters have changed, yet many have remained the same.
Abundance of natural resources is even today remarkable.
Among them there are ve key elements that make Ston
unique and recognizable and which can proudly represent
it worldwide.
FIVE ELEMENTS
OF STON
(left) Walls
(middle top) Vineyards
(middle) Oysters
(right) Sea
(bottom) Salt
The Walls
The Story of Time and Culture
The walls of Ston were built after 1333, when Ston became
part of the Republic of Dubrovnik. The walls supposed to pro-
tect the Republic and the peninsula Peljeac. With length of
5,5 km we are speaking about the second longest town walls
in Europe and the longest defensive town walls. Apart from
protecting the towns Ston and Mali Ston, the walls were ma-
inly built in order to preserve the valuable location of Saline.
The walls protect and frame a rich cultural, architectural, ar-
chaeological and historical heritage of Ston. Ston as a town
has additional value, as it is an example of planned town, built
on the model of Dubrovnik. The area of Ston municipality has
an amazing historical background, from prehistorical times
until today. The story of time and culture is visible in numerous
archaeological ndings, architecture, churches and chapels,
caves, stone piles and walls, remains of the Napoleon road,
monasteries. All these things make the story of time and cul-
ture of Ston the rst element.
(top) Ston aerial view
(right top) Ston view from sea
(middle) Walls - segment
(bottom) Ston view from walls
(right bottom) View from walls
to Mali Ston
Vineyards
Agriculture Against all Odds
On steep, south orientated hills, with the picturesque sight
of the streets of Ston, lay the vineyards. Grown in the scarce
land thanks to the hard work of the local pioneers the vineyar-
ds rise between the rocks. Award winning wines come as
result of harsh land, burning sun, scarce water and hard work
of people in love with their land.
In the fertile valleys, fruit and vegetables grown by diligent far-
mers also nd their place under the sun. An Olive tree stands
as a symbol of resilience, ghts against all odds, and result is
therefore pure olive oil of the highest quality. Bees, as diligent
as the local people, produce extraordinary honey, in a com-
pletely natural way and according to the traditional methods.
Herbs and plants that grow in the wilderness on top of the
hills are mixed in local grappa, which brings to life exquisite
liqueurs of unique taste.
Waterless land produces abundance, truly against all odds.
Grapes and vineyards
Salt
Sea, Sun and Man
Saline, which initiated the wealth of Dubrovnik hundreds of
years ago, still produces salt in a same way as than. The key
ingredients sea, sun and man should be combined in order
to produce extraordinary salt. Tradition and values from the
times of the Republic of Dubrovnik can still be experienced in
the authentic setting of the salt-works today.
(top) Old sketch of saline
(top right) One of the salt elds
(bottom) Harvesting slat
(middle) Saline - aerial view
Oysters
Treasures of the Sea
Ostrea Edulis is European oyster, the queen of all oysters. It
is a gift of nature to the Mali Ston bay. For years, people have
grown oysters in the bay to make a living. Hidden treasure of
Ston invites everybody to reveal, taste and experience it.
Sea fruit products are served in numerous restaurants in Ston
area.
(top & left) Oysters
(bottom) Oyster farms in Mali Ston
Sea
Seascapes and Landscapes
Divinely dented coastline, hidden secluded beaches, spec-
tacular views, deep green immersing into the blue, beautiful
landscapes, hills and valleys, enriched by vineyards on steep
hillsides, intertwined with lacy stonewalls this is what makes
the experience of Ston so indescribably unique.
(left) Koba
(middle) Vuina bay
(right) Putnikovii elds
(bottom) Aireal view of uljana region
PART I
Everything in life matters and
ultimately has a place, an impact,
and a meaning.
Laurens van der Post A Far-Off Place
STON TODAY
Sleeping beauty, hidden by the shrubs, protected by thorns,
waiting for the prince to wake her, to allow her to show the be-
auty and charm it posseses. Ston today is a place of excep-
tional natural beauties and stunning views, enhanced by
scattered villages and with abundance of natural resources,
rich vineyards and great wines. It is a place of an amazing
historical and cultural richness. Although the sea is full of life,
Ston suffers from the lack of inhabitants, stumbling economy,
almost empty schools, poor seamen. All these characteristics
intertwine and make Ston what it is today, but also what it
might become tomorrow!
(left) Natura Dalmatia, local product
(top) Ston Centre
(right) Example of traditional houses, island Bra
28 Five elements of Ston - Development Concept of Ston PART I: STON TODAY 29
Physical and Natural
Resources
Municipality of Ston has been founded
and established by the Act on county
areas, cities and municipalities in the
Republic of Croatia published in Nati-
onal Gazette (90/92, 29/94 and 10/97).
The Municipality has its seat in Ston.
Prior to this Act the area of Ston was
part of the municipality of Dubrovnik.
According to the above mentioned re-
gulation the municipality of Ston covers
area of 169,51 km and is located on
the south-eastern part of the Peljeac
peninsula and is composed of 18 set-
tlements (Boljenovii, Brijesta, Broce,
esvinica, Dananje, Duba Stonska,
Dubrava, Hodilje, Luka, Mali Ston, Me-
tohija, Putnikovii, Sparagovii, Ston,
Tomislavovac, Zabre, Zaton Doli and
uljana).
Municipality of Ston is a part of Dubrovnik Neretva County,
and is third largest within the 22 territorial units (municipalities
and cities) undertaking 9,57 % of county territory.
Municipality of Ston covers narrow strip of Peljeac and stret-
ches 30 km northwest-southeast. The seat of the municipality
is in the town that bears the same name as the municipality,
which is located 62 km away from the world famous fortied
city of Dubrovnik. There is a strong historical, social, economical
and trafc connection between Dubrovnik and the municipality
of Ston.
Territory of the municipality is dened as an area of special
state and national interest in geostrategic sense.
Municipal area has been inhabited for a very long period of
time. From prehistoric times there are visible remains, inclu-
ding cave ndings at Gudnja. There are also ndings from
Map Ston municipality with settlements
Roman times. Byzantine occupation followed, leaving its fo-
otprints, as well as Neretva people. However the most si-
gnicant remains originate from the period of the Republic of
Dubrovnik, when the peninsula (once called Ston Cape) was
bought by the Republic, after what the development actually
began (1333-1808).
During the period of the Austrian Monarchy, municipality of
Ston was formed as a part of Dubrovnik Kotar and the King-
dom of Dalmatia. Ston kept that position also after the 2
nd

World War when it was a part of Dubrovnik district and NR
Croatia. Ston has a long history of being administrative centre
of the surrounding area.
Natural traits of Ston are typical for Dubrovnik region, as well
as for Dalmatian region. It is a typical karst Dinaric region,
scarce in water and with pockets of fertile soil different in size.
Landscape is dominated by forest areas, partially destroyed
by res, scarce pastures and bare rocks. Those are true and
distinctively Croatian Mediterranean traits.
Dented Dalmatian style coast with numerous channels (Mali
Ston Channel, Mljet Channel, Ston Channel), gulfs, coves, little
bays with beaches (Brijesta, Bjejevica, Bistrina, Kuta, uljana,
Vuine, Prapratna, Smokvina, Prijeba, Maruleti, Prina and
many others), smaller islands (Gubavac, Maslinovac, Lovori-
kovac, Kokoar, Tajan, Puenjak, Veli kolj, Banja, Govanj, or
Otok ivota, Crkvica, Bisaci, krpun, Lirica and largest Olip),
capes (Blace, Nedelja, eljen, Ostrog, Prezdra, Vratnik and
other), and also steep cliffs and inaccessible coastline.
Tectonic structure of the area is quite unstable, under inuen-
ce of high seismic activity. Ston area is in earthquake danger
zone of intensity level IX according MSC scale, which has to
Spatial plan Dubrovnik Neretva County, Administration division
*

* Spatial Plan of Dubrovnik Neretva County, 2006
Old Postcard, Published by Matica Hrvatska, Ston Division
be especially considered when planning and constructing
buildings.
Lack of water is an important fact for the peninsula, because
apart from very few underground sources, it is completely
water dependant on mainland.
This area is almost completely surrounded by the sea. Avera-
ge summer temperatures are 22-26 C near the coast and it
has benecial inuence on the climate. Salinity is quite high at
about 38 %. Dark blue colour occasionally transfers to green
blue or turquoise at certain areas. Sea water is very clear with
visibility to 5 m depth. Tide is mild here and the difference is
rarely more than 50 cm.
Mediterranean climate, with long, hot, dry summers and rat-
her short, mild and wet winters, as well as warm, wet springs
and autumns, differs slightly from location to location on the
peninsula. Microclimate is such that the southern coastal part
of the municipality has higher number of sunny days and less
clouds and rain. Average yearly temperature is 15,6 C with
24,9 C average temperature in July and 7,3 C in January.
Average rainfall is 1414 mm and sun exposure is more than
2500 hours in a year.
Ston has true Mediterranean vegetation (Holm oak, Dalma-
tian black pine, macchia, short shrubs, natural healing and
aromatic herbs, man grown grapes, olive trees, tobacco,
fruits, vegetables and other). Forests have primarily an eco-
logical function (protective and anti-erosion effect), but also
have tourism-recreational value, and they can be economi-
cally exploited.
The advantages from physical and natural resources are so-
mething that Ston must further elaborate and realize the po-
ssibilities of their positive exploiting. These are numerous, to
mention just some of them:
~ Position and trafc connections (isolated, but close
to Dubrovnik and with highway connection to Split)
~ Pristine sea
~ Breathtaking landscape
~ Clean Environment
~ Rich heritage (natural, cultural, historical)
~ Salt production
~ Sea exploiting (shells, oysters, sh)
~ Agriculture
~ Sun and bio energy resources
(sun 2500 h/year, wind)
Vuina Bay, Ston municipality
Human Resources
Municipality of Ston is scar-
cely inhabited; with 2605 in-
habitants, it is one of the least
inhabited municipalities in the
County. According to the last
census from 2001 Ston popu-
lation density was 15,28 inhabitants per km
2
.
Demographic image of Ston is not good. Different cir-
cumstances, such as natural, geographical, economical,
political, infrastructural, trafc and some other as well are
what made Ston an area of signicant depopulation.
Back in the year 1900 Ston had 4.332 inhabitants and in
2001 it reached its lowest number. It shows the drop of
more than 1/3 of inhabitants in 90 years.
This was caused by different reasons. Great grape di-
sease in the end of the 19
th
century impacted this area.
The consequences of the World War I and the World
War II, Homeland war, earthquakes and the lack of
strong economy all these inuences contributed to
the decline in population.
Most of the employed people are men (62 %). The ma-
jority is employed by the third party, but there are also
different forms of self-employment that make almost
30 % (38 % of men, but only 22 % of women)
*
.
* People Census 2001
km
2
Inhabitants 2001
Density
inh/ km
2
2001.
Setlements
Average Size
Inhabitants 2001.
Ston 170.44 2605 15,28 18 145
Table 1: Data from DZS, people census 2001, Table 25.
Old Postcard, Published by Matica Hrvatska, Ston Division
In the Table 2 we can clearly see the main income sources of
the local population.
When we process the information we can conclude that the
main income source of the locals is in the agriculture sector,
and mostly in the form of self-employment. Second most im-
portant source of income is a public sector. When put toge-
ther, public authorities, education system, health protection
and public supply companies ensure working places for nearly
18 % of the employed. Service industry is the third greatest
employer, although currently completely underdeveloped.
In July 2009 Ston had 129 unemployed registered by the
Croatian Employment Institute, which is a signicant number
when referred to the total population. This is clearly a sign of
a difcult economic situation in the municipality, where there
is an urgent request for the development.
In order to achieve prosperity, Ston has to develop. It must
provide opportunities for its inhabitants and at the same time
attract new inhabitants. Primary focus should be to attract back
those that have moved away in search of work and secondary
to attract new population from the county as well as from the
whole country. To achieve that, municipality must provide:
~ Appropriate infrastructure
~ Affordable housing program / opportunity
~ Financial security (strong economy = attractive jobs)
Agriculture Fishery
Mining &
excavations
Processing
industry
Supply (energy,
gas, water)
Construction
Commerce (retail,
wholesale)
Total 183 40 17 35 23 23 55
M 136 37 16 26 22 22 21
W 47 3 1 9 1 1 34
Hotels &
restaurants
Transport
Financial
Services
Real estate &
services
Public
Authorities
Education Health Protection
Total 85 45 8 8 50 35 19
M 31 37 5 4 31 4 4
W 54 8 3 4 19 31 15
Other Services
Private household
with employees
Working abroad
Unknown
Business Activity
Total employed in Ston in 2001 = 710 people.
Total 14 6 42 22
M 7 - 30 14
W 7 6 12 8
Table 3: Data from DZS, people census 2001, Table 25
*
.
* People Census 2001
Total
Employed
(anywhere)
Self-employed
Individual
Farmers
Working under
part time
contract
Paid household
member at farm or
personal company
Other
710 454 69 149 8 24 6
M 447 256 56 117 6 8 4
W 263 198 13 32 2 16 2
Table 2: Data from DZS, people census 2001, Table 25.
Graph 1: Employed, according business sector; Source, DZS
Economy
Municipality of Ston is dened as the undeveloped area. Eco-
nomic activities in the area are:
~ Agriculture
~ Fishing and marine aquaculture
~ Small scale production and processing
~ Construction
~ Retail
~ Tourism
~ Catering
~ Services
AGRICULTURE
Development of agriculture is greatly impacted by the two facts:
~ Lack of fertile soil
~ Lack of water
This mostly resulted with development of vineyards, oli-
ve grows, scarce orchards and seldom with of vegetables,
crops and tobacco grows.
Seasonally local population has also been collecting aromatic
and healing herbs for drying. Vast pastures used to be inha-
bited by goats and sheep (almost completely disappeared).
Distincitive fertile areas are:
Brijesta eld is good for tangerine and citrus fruits, stone
fruits, vineyards and olives.
Ston eld covers an area of nearly 100 ha. It is very suitable
for citrus fruit, stone fruits, apples and similar fruit, vineyards,
vegetables, olives.
uljana Valley is a typical area suitable for grape growth. It
enables the production of quality red wine, but is also good
for citrus fruit.
Valleys Crna Gora and Ponikve are distinguished by sli-
ghtly harsher climate. These areas are very suitable for vi-
One of the inland villages in Ston
neyards (grape for quality white wine maretina), but also
for olives and growth of stone fruits.
According to the last Agricultural Census in Ston there are
478 households involved in the agricultural sector, using to-
tal of 3.619 plots, what makes 437,21 ha. When compared to
the agricultural land of 1.558,33 ha, conclusion is that there
is enough space for further development of the agriculture in
Ston. The biggest part of already used agricultural land is used
for vineyards and orchards. It is also rather signicant that the
biggest part of the rest of the land that is suitable for agricultu-
re is classied as forests.
Impact and importance of agriculture for Ston is even clearer
when the number of people directly involved (by being a mem-
ber of an agricultural household) in agriculture is examined.
478 households with 1.547 household members benet from
agriculture
*
.
* Agriculture Census 2003
Number of
households
Total
available size
of land
ha (3 + 7)
Used Agriculture land
Other Land,
ha
Number of
plots of used
agriculture
land
Total used
(4+5-6)
Owned
Taken
concession
Given
concession
1 2 3 4 5 6 7 8
Dubrovnik
Neretva
County
9.723 22.625,53 7.119,73 6.144,80 995,37 20,44 15.505,80 59.366
Ston 478 1.558,33 437,21 434,01 4,50 1,30 1.121,12 3.619
Table 4: Agriculture households according total available agriculture land, size of available land, size of used
land, size of other land and number of used plots (June 1
st
2003.); Source, 2003 Agriculture Census, DZS
Used Agriculture Land Other Land
Total
(2 + 3 + 4 +
5 + 6 + 8
+ 10)
Tilth and
gardens
Kitchen
garden
(used for
own needs)
Lawn Pastures
Orchards Vineyards
Total
Non
cultivated
Forest land
Total
Plantation
type
Total
Plantation
type
1 2 3 4 5 6 7 8 9 11 12 13
Dubrovnik
Neretva
County
7.119,73 771,63 134,8 400,21 879,39 3.170,00 1.526,45 1.757,60 941,73 15.505,80 3.792,80 10.650,13
Ston 437,21 28,91 6,01 17,16 15,87 136,18 104,55 233,08 92,97 1.121,12 262,43 784,05
Table 5: Size of used agriculture land and other land according categories
(June 1
st
2003.) ; Source, 2003 Agriculture Census, DZS
Total
households
Households
members
total
Number of households members
(info for rst 8 members only)
Number of household members according age
(info for rst 8 members only)
Total (4+5) Male Female 0 25 25 34 35 44 45 54 55 64 64+
1 2 3 4 5 6 7 8 9 10 11
Dubrovnik
Neretva
County
9.723 34.158 33.834 17.348 16.486 9.586 3.735 4.254 5.088 4.039 7.132
Ston 478 1.547 1.544 773 771 436 122 188 210 188 400
Table 6: Number of agriculture households, household members by sex and age
(June 2002 May 2003); Source, 2003 Agriculture Census, DZS
Out of these 478 households, more than half has registered an
income from agriculture. Number one income source are fruit
and grapes, and second position in income is sale of processed
goods such as wine, olive oil, grappa and similar products.
Signicant number of agricultural households (1/3) offers other
services and agriculture based products. They are also invol-
ved in some kind of marine aquaculture or in some other form
of non-agricultural activity.
Number of housholds with income from:
Total
households
with income
Vegetables
Fruits and
grapes
Wine, grappa,
olive oil,
and other
processed
goods
Milk and cow
meat
Sheep and
goat, and
sheep and
goat milk
Polutry and
eggs
Other
4 6 7 8 10 11 12
Dubrovnik
Neretva
County
3513 480 2.225 308 29 70 29 372
Ston 243 9 136 50 1 3 1 43
Table 7: Number of households according sale of agriculture products in 2002;
Source, 2003 Agriculture Census, DZS
Number of households
Total housholds with
other activities
Tourism,
accomodation and
other activities
related to free time
Proccessing of
agriculture products
Fish farming, other
sea organisms
farming
Other
1 3 5 8
Dubrovnik Neretva County 1076 584 288 24 180
Ston 118 53 37 23 5
Table 8: Number of agriculture households with other activities on premises (June
2002 May 2003); Source, 2003 Agriculture Census, DZS
Prunes Apples Peers Cheery
Sour
cherry
Peach Apricot Figs Citrus Walnut Olives Vineyards Bee
# of trees # of trees # of trees # of trees # of trees # of trees # of trees # of trees # of trees # of trees # of trees size in ha # of vines size in ha # of hives
Dubrovnik
Neretva
County
51.917 50.231 3.216 8.423 3.398 66.224 4.757 30.221 1.143.687 2.807 432.415 286,69 12.487.000 1.757,60 4.480
Ston 332 152 189 607 288 2.354 102 1.170 16.952 321 37.046 90,19 1.887.000 233,08 352
% of
county
0,64 % 0,30 % 5,88 % 7,21 % 8,48 % 3,55 % 2,14 % 3,87 % 1,48 % 11,44 % 8,57 % 31,46 % 15,11 % 13,26 % 7,86 %
Table 9: Numbers of different fruits and other grows in Ston municipal area;
Source, 2003 Agriculture Census, DZS
Brijesta
When examined which crops are mostly grown in the munici-
pality we can conclude that vineyards and olive grows are the
most signicant agricultural crops.
FISHERY AND MARINE
AQUACULTURE
Mali Ston bay, thanks to its natural characteristic, plays a
major role in the development of this segment. Sea farmers
mostly farm: oysters (Ostrea Edulis), mussels (Mytilus gallo-
provincialis), and lately have started with sh farming. There
are more than 20 legal entities registered in Ston area that
are active in shery or marine aquaculture, giving a signicant
contribution to the local economy. It is interesting though that
only 5 % of the employed people is working within this sector,
suggesting that it is still operating as a small activity witho-
ut organized market approach and large market presence.
It is also interesting that marine aquaculture is side activity of
companies from the catering sector.
SMALL SCALE PRODUCTION AND
PROCESSING
Thanks to agriculture, marine aquaculture, shery products,
herbs collecting and salt farms smaller scale production as
well as processing facilities have developed in Ston. Proce-
ssing facilities such as saline, wine cellars, oil production de-
veloped in the region.
In the area of Ston, within the economy zone esvinica there
are several storage, processing and production facilities: plastic
processing factory, metal processing factory, joinery facilities.
CONSTRUCTION
Construction sector consists of several smaller companies
that offer services from planning and engineering to building
raw constructions, ne works, and craft works. This segment
is not very developed as there are no major constructions go-
ing on in the municipality. Upon the completion of the Spatial
Plan and when private investors will be able to initiate new
building projects, this segment will further develop.
Municipal building, Ston
Oyster farms in Mali Ston Bay
RETAIL
In the municipal area there are several retail shops and many
different companies that are registered for this activity. Clearly
this sector has been developing in more specialized directi-
ons, offering more and more local products. In municipality
there are no bigger markets or shopping centres.
TOURISM
Mass tourism has never been developed in Ston. From the old
political system it has inherited only two camps. Most of the
accommodation facilities in Ston are private rooms, apartments
and houses. There is one working camp Prapratno with ca-
pacity of nearly 900 beds and some small family type hotels.
Initiatives to develop rural tourism do exist, especially in a way
that its combined with agriculture (vineyards, olive grows, etc).
Also ecological and folklore offer has been initiated. In Kontari
area there is also nautical offer with limited number of berths.
A signicant factor to mention is one day-visit tourism, where
guests come for a tour or lunch and than leave the municipality.
According to the experts study that was used as basis for
the changes and additions to the spatial plan of the county,
Ston is placed on the 4
th
position in the county, according to
diversity of the resources, upon which the tourist offer is built.
Tourist visits, and overnight stays show steady decrease from
2007 onwards, when compared for the rst 8 months period.
It is signicant that tourist arrivals in 2009 have fallen even
under the level of 2006, for more than 7 %. In comparison
between 2009 and 2007, which was the top year, this drop is
even more signicant, more than 14 %.
Overnights have dropped even more. There are 10 % less
overnights when compared to 2006, and more than 15 %
when compared to the record year of 2007.
Ston Municipality August, 2009 I-VIII, 2009 August 2008 I-VIII, 2008 August 2007 I-VIII, 2007 August 2006 I-VIII, 2006
Arrivals total 7.778 18.164 7.103 19.424 7.979 21.152 7.806 19.568
Arrivals domestic 333 1.182 356 1.415 376 1.332 395 1.247
Arrivals foreign 7.445 16.982 6.747 18.009 7.603 19.820 7.411 18.321
Overnights total 35.748 80.916 36.145 91.229 39.054 94.691 36.810 89.081
Overnights domestic 1.616 3.895 2.314 6.186 2.369 5.205 2.230 4.838
Overnights foreign 34.132 77.021 33.831 85.043 36.685 89.486 34.580 84.243
Ston Municipality August, 2009 I-VIII, 2009 August 2008 I-VIII, 2007 August 2007 I-VIII, 2007 August 2006 I-VIII, 2006
Average lenght 4,60 4,45 5,09 4,70 4,89 4,48 4,72 4,55
Average length dom 4,85 3,30 6,50 4,37 6,30 3,91 5,65 3,88
Average length for. 4,58 4,54 5,01 4,72 4,83 4,51 4,67 4,60
Table 11: Source, Announcements, DZS 2006, 2007, 2008, 2009
Graph 3: Tourist Overnights January to September; Source, DZS
Graph 2: Tourists Arrivals January to September; Source, DZS
Table 10: Source, Announcements, DZS 2006, 2007, 2008, 2009
*

* Announcements, Trgovina, Ugostiteljstvo, Turizam, 2006, 2007, 2008, 2009
Average length of stay, thanks to the development of new of-
fers, was slowly increasing. In 2009, however, mostly beca-
use of the inuence of the World Financial Crisis, an average
length of stay has slightly decreased.
According to the last accommodation list from the August
2008, Ston had total capacity of 2500 beds. Most of these
are in private households (59,60 %), only 29 in hotels and they
are mostly located in Ston/Mali Ston area. Ston municipality
located on peninsula and with an astonishing coastline has
no beds ofcially registered in the nautical ports.
In Ston tourists mostly stay in private households (56,74 %). It
is interesting to notice that the length of stays in hotel accom-
modation is only 1,5 days, whilst in households it is 7,62 days.
This is a signicant difference and it is possible to assume
that hotel guests are not typical vacation guests, rather tran-
sit ones or business guests. When comparing overnights in
households with available accommodation we can conclude
that the average occupancy of household accommodation
is 5 weeks per year, which is rather low for professional and
protable tourism business.
Among foreign tourists spending their vacation in Ston top 3
nations with most overnight stays are:
1. Czechs (28,24 %)
2. Poles (13,87 %)
3. Germans (13,07 %)
Beds in
Total Hotels Camps Households Nautical ports Other facilities
Municipality Ston 2.500 29 960 1.490 0 21
Percentage 1,16 % 38,40 % 59,60 % 0,00 % 0,84 %
Brijesta 0 0 125 0 0 0
Broce 0 0 0 0 0 0
Hodilje 67 0 0 67 0 0
Mali Ston 105 29 0 55 0 21
Metohija 86 0 0 86 0 0
Putnikovii 391 0 0 391 0 0
Ston 1.023 0 960 63 0 0
uljana 685 0 0 685 0 0
Table 12: Accommodation capacity, by type of facilities in seaside towns and municipalities (31. August 2008); Source, DZS
Ston
Turnover of tourists total Out of total turnover in:
Total Domestic Foreign Hotels Camps Households Nautical ports Other
Arrivals 19.967 1.658 18.309 1.931 10.189 6.884 0 963
Overnights 92.456 6.811 85.645 3.015 35.375 52.457 0 1.609
Percentage participation in total overnights: 3,26 % 38,26 % 56,74 % 0,00 % 1,74 %
Average length 4,63 4,11 4,68 1,56 3,47 7,62 0 1,67
Table 13: Tourists turnover according accommodation type; Source, DZS
Camp Prapratno
Villa Bandur, Mali Ston private accommodation
Restaurant Mali Ston
Ston Austria Czech France Italy Hungary Netherlands Germany Poland Slovakia Slovenia UK Other Total
Arrivals 656 3.076 2.154 1.566 501 630 2.712 1.901 251 786 381 3.695 18.309
Overnights 2.784 24.190 5.673 4.091 2.890 2.853 11.198 11.877 1.834 3.487 932 13.836 85.645
Percentage
of overnights
3,25 % 28,24 % 6,62 % 4,78 % 3,37 % 3,33 % 13,07 % 13,87 % 2,14 % 4,07 % 1,09 % 16,16 % 100,00 %
Average
length of stay
4,24 7,86 2,63 2,61 5,77 4,53 4,13 6,25 7,31 4,44 2,45 3,74
Table 14: Foreign tourists turnover according country of origin; Source, DZS
Among foreign tourists spending their vacation in Ston lon-
gest stays have:
1. Czechs (7,86 days)
2. Slovaks (7,31 days)
3. Poles (6,21 days)
CATERING
This is a segment which is quite developed. Ston, Mali Ston
and other villages have several cafes, bars, restaurants, and
konobas. Over the time Ston has developed image of an
area with excellent gastronomic offer. This especially applies
to Mali Ston, where in such a small area there are several
excellent restaurants recognized nationwide for seafood deli-
cacies (Vila Koruna, Bota are, Kapetanova Kua).
Restaurants mostly offer seafood and local products. Howe-
ver, it must be noted that the offer is rather similar. It is difcult
to nd diversity in restaurants offer, or in cafes.
SERVICES
Alongside some other segments this sector develops thanks
to the companies that do bookkeeping, nancial consulting,
real estate, tourism services and personal services. There are
more than 30 people employed in these segments making it
nearly 5 % of totally employed. It is obvious that with further
development of the region this sector will surely prosper and
be able to carry the signicant employment wave as well as
to participate in economic development of the whole area.
(top) Local delicacy
(below) Cafes in Ston Centre
SWOT analysis
SWOT analysis is a strategic planning method used to eva-
luate strengths, weaknesses, opportunities and threats invol-
ved in project or in a business venture. It deals with specifying
the objectives of the business venture or the project and iden-
tifying the internal and external factors that are favourable and
unfavourable for the achievement of that objective.
This method was used to evaluate Ston as location and its
potential for development as destination.
Fountain in Ston Ston gardens
STRENGHTS
Position and trafc connection
Cultural and historical heritage
Preserved nature and landscape
Abundance in land suitable for new developments
Agriculture and aquaculture resources and tradition
Local entrepreneurial spirit and tradition
Gastronomy tradition
Coherent local authority dedicated to the prosperity of
the region
Public land available
Renewable energy resources (sun, wind, biomass, etc.)
WEAKNESSES
Poor maintenance, management, utilization and promo-
tion of cultural and historical heritage
Lack of promotion of the region
Lack of brand
Missing modern tourism offer
No clear strategy, direction and sector strengthening in
agriculture and aquaculture
Non-diverse services and products
Pass-by tourism
Non-diverse gastronomic offer
Lack of qualied workforce and depopulation
Limited public nancial sources
OPPORTUNITIES
New road access from the mainland the bridge
Sustainable development principles (ICMP)
Sustainable tourism and agriculture development
Public Private Cooperation model for managing the
development process
Developing different but coexistent economic activities
Attracting back the inhabitants by natural quality of life
and different programs (such as housing programs)
Out of one hand development with determined story
behind
International investment interest
THREATS
Destruction of cultural and historical heritage
Development skipping the municipality
Development of mass tourism, without sustainability
principles
Wasting space overdeveloping areas to satisfy
capital interest
Unreliable support of private partners to achieve public
interests
No further development of agriculture and aquaculture
Depopulation
Single developments without joint direction and large
market presence, competing with each other
No investments
(top & bottom) Main street Ston
42 Five elements of Ston - Development Concept of Ston PART I: DEVELOPMENT DIRECTION 43
DEVELOPMENT
DIRECTION
At the 1992 UN Conference on Environment and Develo-
pment held in Rio, governments made a commitment in
Agenda 21 to adopt national strategies for sustainable de-
velopment [which should] build upon and harmonize vario-
us sector, economic, social and environmental policies and
plans that are operating in the country. [] Its goals should
be to ensure socially responsible economic development for
the benet of the future generations.
*
Sustainable development is vital part of the European deve-
lopment direction, especially since 2001, when the rst EU
Sustainable Development Strategy was created. Sustaina-
ble development means that the needs of the present ge-
neration should be met without compromising the ability of
future generations to meet their own needs. An overarching
objective of the European Union is set out in the Treaty, go-
verning all the Unions policies and activities.
**
Key objectives of the Sustainable Development in Europe are:
~ Environmental Protection
~ Social Equity and Cohesion
~ Economic Prosperity
~ Meeting the International Responsibility
In 2005, under the guidance of UNEP and Mediterranean
Action Plan, Mediterranean Strategy for Sustainable Deve-
lopment was prepared and accepted by 21 Mediterranean
* Agenda 21
** Action for more Sustainable Tourism of Europe
countries. The strategy focuses on integrating environment
concerns into the key development sectors and at the same
time giving appropriate concern to the social and cultural
dimension. It has 7 main priority elds of action and 4 main
objectives:
Seven Priority Fields:
1. Improving integrated water resources and water
demand management
2. Ensuring sustainable management of energy and
mitigating of and adapting to the effects of climate
change
3. Ensuring sustainable mobility through the appropriate
management of transport
4. Promote sustainable tourism
5. Promoting sustainable agricultural and rural
development
6. Promoting sustainable urban development
7. Promoting sustainable management of the sea and
coastal zones and taking urgent action to put an end
to the degradation of coastal zones
Four Main Objectives:
1. Economic Development (enhance Mediterranean assets)
2. Reduce Social Disparities
3. Change unsustainable production and consumption
patterns
4. Improve governance
Realization of the four objectives through the seven priority
elds is shown in Table 15
***
.
On the EU level sustainability has great importance and is an
integral part of all development strategies, documents and di-
rections in the last couple of years. The Republic of Croatia,
on its way to the EU accession, and as one of the Mediterra-
nean countries has accepted and is applying the sustainability
principles through its laws, strategies and projects. Two main
documents regarding sustainable development in Croatia are:
~ Strategy of Sustainable Development of Croatia (Na-
tional Gazette, 30/09)
~ Mediterranean Strategy for Sustainable Development
(2005, the document was approved by the Parlia-
ment of the Republic of Croatia)
*** Mediterranean Strategy for Sustainable Development
Municipality of Ston, the municipal council and the mayor re-
presenting the voices of inhabitants have decided to follow
the lead of the EU development strategies. In order to pre-
serve the local values and provide the next generations with
same or even better resources Ston has decided to apply
Sustainable Development.
The idea of sustainable development grew from numerous
environmental movements in earlier decades and was de-
ned in 1987 by the World Commission on Environment and
Development (Brundtland Commission 1987) as:
Sustainable Development is the development that meets
the needs of the present without compromising the ability of
future generations to meet their own needs
****
.
It is challenging to come from general denitions to the clear
direction in managing sustainable development. In order to
make development process sustainable, many different and
sometimes contradictory aspects must be taken into consi-
deration. Sustainable development must consider all of the
following:
~ Land use planning, land development, building
approvals, and also monitoring realization of the
development projects
~ Strategic planning of development segments through
actions such as, Integrated Development Plans (inte-
grated coastal development approach)
~ Providing local population and newcomers with
adequate housing opportunities and appropriate
service delivery
~ Providing adequate public and private transport
**** Bruntland Report, Our Common Future
Environment
Social
Economic
Viable
Bearable Equitable
Sustainable
Ston Centre
Graph 4: Level of responsibility
~ Promotion of tourism
~ Conservation of cultural and historic heritage
~ Natural resource management and protection
~ Catchment and usage management (preventing over-
usage of particular resource)
~ Integrated waste and pollution management
~ Sufcient Energy
Development process in Ston will be managed in a way that
it strongly supports companies and initiatives which take into
account economic, environmental and social responsibili-
ties. At the same time signicant project developments will
be structured in a way that these responsibilities are precal-
culated. Level of responsibility of a business activity can be
determined according following criteria:
Four main objectives
Seven essential issues Seven essential issues
Implementation
Water
Energy and climate
change
Transport Tourism
Agriculture and rural
development
Urban development Sea and coastal zones
Economic development,
Enhance Mediterranean
Assets
increase agricultural added
value of cubic meter of
water. (2)
Enhance the potential of
Med. renewable energies:
(7 % of demand by 2015). (7)
Reduce energy dependency
Develop more competitive
and sustainable Euro
Mediterranean transport
systems. Reduce growing
congestion costs
Promote Sustainable
tourism. Enhance value
of Mediterranean assets
and diversity tourism (13).
Increase added value of
tourist economy for local
communities in developing
countries. (14)
Enhance Mediterranean
diversity and quality:
typical products, organic
agriculture, diet, landscapes,
etc. (18) Productive and
rational agriculture. Diversify
rural economy. (15)
Promote sustainable urban
economy. Create added
value from the cultural,
historical and landscape
heritage.
Develop activities (tourism,
aquaculture, etc.) integrating
natural fragilities. Protect
and promote the unique
value of coasts, sea
resources, landscapes
SOLIDARITY. COMMITMEMT AND FINANCING
Strengthen reciprocal commitment and nancial
support for MSSD goals/Med developing
countries.
Ofcial Development Aid: (27)
UE net public nancial ows (28)
Type 2 initiatives
Synergies EMP/MAP
Systems to fund productive and innovative
activities by SMEs (29)
Strengthen capacities of local authorities (30)
Reinforce territorial cohesion Financial tools (31)
HUMAN CAPITAL AND PARTICIPATION
Ensure primary education for all (32)
Gender equaIity. Eliminate gender disparities
in education (33)
Education in sustainable development
Increase public/private spending on research
and development (34)
Access to Information. Participatory
approach.
NATIONAL STRATEGIES
National and sectoral
Sustainable development strategies.
Institutional frameworks for sustainable
development.
Reduce social disparities Cut in half the population
(2015/1990) without access
to safe drinking water (4) and
sanitation (5).
Cut in half the population
without access to electricity
(2015/1900)
Reduce the growth of
transport costs in household
budgets
Develop tourism to help
promoting social cohesion
and cultural values
Reduce rural poverty and
social gaps with urban
population. Millennium
Development Goals (MDG)
Enhance social and territorial
cohesion
Reduce social inequalities,
integrate informal
settlements. Reduce the
share of slum housing. (20)
Preserve the social and
cultural added value of
traditional coastal activities
(shing, salt production,
agriculture, etc.)
Change unsustainable
production and consumption
patterns. Ensure the
Sustainable management of
natural resources.
Stabilize water demand
(reduce losses nad wasteful
use (1). Protect water
resources (quantity and
quality). (3) Prevent natural
risks
Rational use of energy
(energy efciency). (6)
Control, reduce or stabilize
GHG emissions. (8) Reduce
vulnerability of sensitive
areas to climate change
Stabilize or reduce road
trafc share. (11). Transfer
trafc from road to rail and
sea. Low polluting collective
urban transport systems.
(12) Decoupling economic
growth and motorised trafc
increase.
Reduce tourist pressures
in environmental hot spots.
Better temporal and spatial
management of tourist ows.
Reduce desertication,
and loss of arable land by
erosion, salinisation and
articialisation. (16) Protect
biodiversity and landscape.
prepare agriculture for
climate change.
Promote Mediterranean
model of mixed and compact
towns. Reduce air pollution
(22). Increase share of clean
fuels. Reduce growth of
municipal waste generation.
(21) increase recycling and
share of sanitary landlls
Avoid linear coastal
urbanization (23). Reduce
land-based pollution. (25)
Prevent pollution from
ships. Eliminate operational
pollution. (24) Stop/
reduce marine and coastal
biodiversity losses. Reduce
vulnerability to risks.
Improve governance Water demand policies,
global and sectoral targets
(agriculture, urban water,
industries). Integrated water
resource management.
Promote local participation
and partnerships.
RUE/RE policies. Economic
tools. Awareness campaigns.
Cooperation/Implementation
Kyoto Protocol exibility
mechanisms. (8)
Economic tools. Investment.
Euro-Med sustainable
transport network.
Regional cooperation,
ecotourism framework
programme, labelling. Local
governance. Economic tools.
Tourism pay-back formula.
Carrying capacities
Euro-Mediterranean
approach. Sustainable
agricultural and rural
development policies,
programmes, regional parks,
biosphere reserves (17).
Strenghten communities
governance, promote
women.
Articulate spatial and
transport planning.
Strengthen capacities of
local authorities. Promote
Local Agenda 21, urban
renewal programmers (19)
public-private partnerships.
Decentralized cooperation
networks.
Enforce and improve
regional and sub regional
cooperation: (Contention.
Strategies. SAP) Set up
Protocol, laws and local
governance for coastal
management. Plans
tor islands. Risk plans.
Protected areas network
(objective 10 %.) (26)
Increase international and
European support.
Table 15: Synergies between objectives and priority elds of action
Abandoned stone house, municipality of Ston
Economic
~ Investing in the area where business operates (part
of the prot going back to the local community to
help preserve and protect the area)
~ Contributing to the preservation of resources which
company uses
~ Hiring local staff (providing quality training for staff)
~ Sourcing supplies locally to support local community
Environmental
~ Taking responsibility for damage to the environment
by the business (e.g. use of water in a dry area, use
of energy efcient measures, etc).
~ Undertaking conservation/reduction measures for
water, waste and energy
~ Benchmarking against other companies
~ Offering incentives for staff to carpool or use public
transport
~ Providing staff with information, tips and training on
how to be more environmentally responsible
~ Applying the 3Rs (reduce, reuse, and recycle)
~ Having an environmental policy
Social
~ Promoting and using local products
~ Applying policies which prohibit purchasing products
made from endangered species
~ Supporting local projects (e.g. donating a percentage
of prots to wildlife protection or social causes)
~ Respecting cultural or religious issues
~ Making sure than none of company suppliers exploit
children or have broken human rights conduct
Development Mission
and Objectives Ston
Development Mission Statement for Ston
StonisrecognizedasMediterraneandestinationapplying
sustainabledevelopment principles.
It isdevelopedtourismdestinationwithpreservednature,
developedagricultureandaquaculture, providinghighquality
of lifefor itsinhabitantsandguests, aswell asprovidingequal
opportunitiesfor all, securingenvironment protectionbyhigh
level infrastructure
DEVELOPMENT OBJECTIVES FOR STON
In order to realize dened Development Mission Statement,
following development objectives must be reached.
1. Integrated coastal management
ICM can be dened as the process by which multiple use
of the coastal and marine environment is managed so that a
wide range of needs are catered for, including both biodiver-
sity protection and sustainable use, allowing all stakeholders
(including government, NGOs, different economic sectors,
and local communities) to participate and benet.
*
Enhanced
long-term economic development is the driving force of ICM.
Main aims are to:
~ to strengthen sector co-operation
~ to preserve and protect productivity and bio-diversity
of coastal eco-systems
* Integrated Coastal Management, Sheet A5
~ to promote rational development and sustainable
utilization of coastal resources
2. Implementation of National Strategies
Development should be structured in a sustainable way, but
according to the development strategies of higher level, such
as Mediterranean Strategy of Sustainable Development,
Millennium Development Strategy of Croatia, Sustainable
Development Strategy of Croatia, Strategy of Rural Develo-
pment of Croatia, Tourism Development Strategy of Croatia
until 2010, Tourism Development Strategy of Dubrovnik and
Neretva County, ROP of Dubrovnik Neretva County.
3. Quality of life and experience
Development and prosperity of the region must improve life qu-
ality of its inhabitants in a way that new opportunities, services
and activities are available to them, transforming Ston into a pla-
ce to live. The goal is to reverse the process of depopulation by
attracting people back, as well as, by attracting new inhabitants.
4. Feasibility & Realization
Development projects must be drafted, prepared and imple-
mented in a realizable and feasible way. These projects must
have an encouraging effect on the economy whilst generating
employment, at the same time protecting and enhancing na-
tural resources.
5. Five elements of Ston = strong brand
Ston region has to develop a strong brand. Brand can be
developed around 5 basic elements, and subsequently entire
marketing program can be based on the unique mixture of
attributes.
6. Strong SME sector
Ston will encourage and support development of small and
medium size companies as well as micro
companies and self-employment activities.
Ston wants to reach strong and stable SME
sector as a security for the stable economy.
7. Attractive for investments
Ston will become an area attractive to local,
national and international investors, provi-
ding clear planning regulations and inves-
tment conditions. It will become attractive
for young, dynamic population to live in and
invest in.
8. Diverse Business Sector
Ston will support and encourage develo-
pment of strong and diverse business se-
gments, which will evenly utilize the abun-
dance of resources.
9. Infrastructure
Developing and realizing state of the art infrastructure is of
crucial importance, as well as securing high quality for clients,
protecting nature and using resources sustainably (renewa-
ble energy sources, new technologies etc).
Objectives enlighten a clear way forward and set principles
and milestones that can uphold the development path. How
to obtain this and apply to the individual business segments
is the topic of the next section.
(top) Vineyards, Olive grows and Sea
(bottom) Growing economy
Development of Ston
Economy
Advanced and strong world economies base their success
on the strong, developed and diverse SMEs. When discu-
ssing sustainable economic growth, SMEs are again founda-
tion of it. Therefore we can conclude that encouraging and
strengthening SME sector means a long-term development
of successful economy.
In the prior analysis of existing economy in Ston region eight
types of economic activities was identied. Putting them all
together and combined with the mission and objectives we
have set, basically we come to Three Development Segments
which will push Ston forward.
These Segments have different busine-
ss activities within. Some will be exami-
ned in detail, while some will be gene-
rally dened as development frame.
Development segments of Ston are:
SEASIDE FARMING
Marine aquaculture
Agriculture
TOURISM
Accommodation
Travel and Services
Catering
RETAIL, PRODUCTION, SERVICE &
ENERGY
Production
2002 2003 2004 2005 2006
(million tonns)
Inland
Capture 8,7 9 8,9 9,7 10,1
Aquaculture 24 25,5 27,8 29,6 31,6
Total inland 32,7 34,4 36,7 39,3 41,7
Marine
Capture 84,5 81,5 85,7 84,5 81,9
Aquaculture 16,4 17,2 18,1 18,9 20,1
Total marine 100,9 98,7 103,8 103,4 102
Total capture 93,2 90,5 94,6 94,2 92
Total aquaculture 40,4 42,7 45,9 48,5 51,7
Total world sheries 133,6 133,2 140,5 142,7 143,6
Utilization
Human consumption 100,7 103,4 104,5 107,1 110,4
Non-food uses 32,9 29,8 36 35,6 33,3
Population (billions) 6,3 6,4 6,4 6,5 6,6
Per capita food sh supply (kg) 16 16,3 16,2 16,4 16,7
Table 16: World sheries and aquaculture production and utilization (excluding aquating plants);
Source: The State of World Fisheries and Acquaculture 2008
SEASIDE FARMING
Seaside farming refers to human activities utilizing natural
resources (land, water, sea) in order to produce food and
drinks, or other products for consumption. In Ston area this
especially refers to:
~ marine aquaculture
~ agriculture
SUSTAINABLE MARINE AQUACULTURE
Marine aquaculture is farming of aquatic plants and animals
in salt water.
*
Wider term is aquaculture, referring to both fre-
shwater and saltwater farming of aquatic plants and animals.
* Mariculture, Water Encyclopedia
When examining production and consumption gures at
the world level, marine aquaculture production is steadily
growing. There is also a steady growth in consumption, parti-
cularly in human consumption, as shown in table 16.
In the world there are many organizations and associations ena-
bling better market penetration of individual producers. In the
Table 17 there is a list with description of these organizations.
When checking average yearly growth of the aquacultu-
re sector, surprisingly, we witness a constant growth in all
continents and countries of the world! Especially signicant
growths have countries with low incomes and food-decit.
Aquaculture is clearly a growing sector at the world level. It
is only logical for Ston to capitalize on natural resources it
possesses, and to participate as the EU player in this sector.
Oysters and mussels farms Mali Ston Bay
Scheme type
Main market
orientation
Market access issues addressed
Food safety
Animal
health
Enviroment
Social /
ethical
Food quality
Codex Alimentarius S, C, G Global ?
World Organisation for Animal
Health (OIE)
S, C, G Global ?
GLOBALGAP S, CS Europe ?
Global Aquaculture Alliance and
Aquaculture Certication Council
CS,L USA
Naturland CS, L Europe ?
Soil Association C, G Global
Friend of the Sea C? USA
International Organization for
Standardization ISO 234
C, S? Japan ? ? ? ? ?
Seafood watch C, L USA
Alter Trade Japan C, L Japan ? ? ?
Federation Of European
Aquaculture Producers Code of
Conduct
? Europe
Bio Issue C, L Global
Safe Quality Food S, L Global ? ? ?
British Retail
Consortium,International Food
Standard, European Food Safety
Inspection Service
S, L Global ? ? ?
Quality Certication Services CS, L Global ? ? ?
Fairtrade ? Europe ?
Standardization ISO 22000
? ? ?
Standardization ISO 9001/14001
S Global ?
Marine Stewardship Council C, S UK, Europe
Norge Seafood, Norway S, L China
Qualite-Agriculture de France S, L China
Shrimp Seal of Quality, Bangladesh S, L Global
China Organic Food S, L China Organic
China Green Food S, L China
China Safe AgriFoods C, L China
ChinaGAP C, CS Global
Fishmeal and sh oil Code of
Responsible Practice
C, CS Global Sustainability
The Responsible Fishing Scheme C, CS UK
Responsible
shing
Safety of
shers
Fair Fish S, L France, Europe

International Federation of Organic
Agriculture
S, L UK, Europe
International Social and
Enviromental Accreditation and
Labelling Alliance
S, C, L Global
Scottish Salmon Producers
Organization Code of Good Practice
C, L Global
Peche responsable Carrefour,
France
C, L Global Sustainability
Tartan Quality Mark C, L Global
SIGES Salmon Chile CS, L Europe
Continued on the next page...
Stons highest potential is in oyster farming. When examined,
the growth of the world production, by the produced species,
molluscs (oysters are part of that species) have tremendous
growth in production.
Study conducted by FAO concluded that there are three
main constraint categories regarding aquaculture farming
development:
1. Microeconomic constraints (or access to capital
assets, recurrent inputs and markets)
2. Knowledge constraints (management and technical
expertise)
3. Social constraints (public policies and externalities)
After an overview of the current situation with the marine
aquaculture farming in Ston area, conclusion is that the local
aquaculture sector is suffering and not adequately develo-
ping because of exactly these constraints. To dene it more
specically:
1. Microeconomic constraints
access to capital
access to international market
cluster
lack of coordination within sector
2. Knowledge constraints
management (lack of internationally
experienced management)
expertise (lack of marketing and product experts)
3. Social constraints
spatial planning constraints
regulations and subvention programs
(illegal farming)
Scheme type
Main market
orientation
Market access issues addressed
Food safety
Animal
health
Enviroment
Social /
ethical
Food quality
Shrimp quality guarantee Brazilian
Shrimp, Farmer Association, Brazil
CS, C, L UK, Europe
Thai quality shrimp, GAP, Thailand S, L Europe
Code of Conduct certied Thai
Shrimp,Thailand
S, L Europe
Naturland S, L New Zealand ?
Soil Association S, L Europe
Agriculture Biologique S, L Europe Organic
Bioland, Germany CS, L Europe Organic
BioGro,New Zealand S, L Global Organic
Debio,Norway CS, L UK, Europe Organic
KRAV,Sweden C, L Europe Organic
Bio Suisse C, L France Organic
National Association for Suitainable
Agriculture Australia, Australia
C, L Europe Organic
Irish Quality Salmon and Trout C, L Europe Organic
Label Rouge, France C, L Global
La Truite, Charte Qualite C, L France, Europe
Norway Royal Salmon S, L China
Table 17: Standards and certication schemes used in sheries and aquaculture;
Sources: World Wide Fund for Nature. 2007. Benchmarking study. Certication programmes
for aquaculture. Enviromental impacts, social issues and animal welfare. Zurich,
Switzerland and Oslo, Norway. FAO. 2008. Ecolabels and marine capture sheries: current
practice and emerging issues. Globesh Research Programme. Volume 91. Rome. World
Trade Organization. 1994. Agreement on technical barriers to trade. Geneva
Oysters
S = standard
C = code
G = guidelines
L = label
CS = cercation scheme
Mali Ston Bay is made of porous lime-
stone substrate with ramied network
of underground freshwater springs. It is
a naturally eutrophic ecosystem abun-
dant with nutrients which constitute
excellent living conditions for oysters
and other ltrating organisms. Accor-
ding to the archaeological ndings in
Olje, it is speculated that the Bay of
Bistrina was well known for the oyster
culture since the Roman times. The rst
archive records indicate that oyster cul-
ture in this area was well established
in the 16
th
century and in hands of the
representatives of the Dubrovnik Repu-
blic in Ston. The rector in Ston was an
authority over the oyster cultivation and
he was giving the concessions to the
local oyster growers, they were obliged
to give him a substantial amount of their
catch in return. Tree branches without
leaves were submerged in shallow wa-
ter so they would sink when thrown into
appropriate areas where they served as
larvae receptors. In 18
th
century the of-
cials in Ston were abusing their power
to such an extent that the oyster culture
became almost extinct. As a result, in
1787, Dubrovnik Republic took oyster
culture under its jurisdiction and pro-
tected it by law. In the beginning of 20
th

century, Capt. Stijepo Bjelovui bro-
ught in new technological innovations
into existing cultivation method, which
was than reected in greater production
and recognition of Ston-oyster on the
European market. Since WW II, despite
technological advancement, oyster pro-
duction in Mali Ston Bay did not grow signicantly and the
market has diminished to become of local character. Today,
there are approximately 50 legal concessionaires and just as
many illegal oyster growers.
*
* Sanja Tomi, dr. sc. Josip Lovri, Historical overview of oyster culture in Mali
Ston Bay
Selected groups an countries
Production Annual change
1985 1995 2005 1985-1995 1995-2005
(Millions tonnes) (Percentage)
Africa
1
0,05 0,11 0,65 7,5 19,4
Sub-Saharan Africa 0,01 0,03 0,1 12,1 11,4
North Africa 0,04 0,08 0,55 5,9 21,9
Latin America and the Caribbean 0,08 0,44 1,4 19,3 12,3
Latin America 0,07 0,41 1,37 19,4 12,8
Caribbean 0,01 0,03 0,03 17 0,5
Near East 0,03 0,06 0,28 8 16,1
Asia and the Pacic 6,21 21,69 43,34 13,3 7,2
South Asia 0,77 2 3,95 10,1 7
East and Southeast Asia 5,42 19,59 39,24 13,7 7,2
China 3,15 15,86 32,42 17,5 7,4
Japan 0,66 0,82 0,75 2,2 -0,9
Other East and Southeast Asia 1,61 2,92 6,08 6,1 7,6
Oceania 0,02 0,09 0,15 15,9 4,7
Australia and New Zealand 0,02 0,09 0,15 15,8 4,7
Other Oceania 0 0 0 20 6,5
Europe (+ Cyprus and Israel) 1,03 1,6 2,17 4,5 3,1
EU(27) 0,97 1,18 1,28 2 0,8
Non EU countries 0,06 0,42 0,9 21,1 7,9
North America 0,33 0,48 0,65 3,7 3,1
United States of America 0,32 0,41 0,49 2,5 1,8
Canada 0,01 0,07 0,15 22,2 9
Other countries in North America _ _ _ _ _
Other (=USSR until 1991.
+ others NEI)
0,29 _ _ _ _
World 8,02 24,38 48,49 11,8 7,1
Low-incomefood-decitcountries 4,66 19,21 39,09 15,2 7,4
Table 18: Avereage yearly growth in aquaculture production by groups of countries;
Source: FAO Fisheries and Aquaculture Department
Note: NEI= not elsewhere included /
1
Egypt,Libyan Arab Jamahirlya and Sudan are
also included in Near East.
Facts on the marine aquaculture production in Ston:
~ Ston location is one of the few in the world producing
the most esteemed oyster Ostrea edulis, which is
of supreme quality and especially appreciated on
the French market (biggest producer and importer of
Ostrea edulis)
~ Production quantities should be extended.
~ Available area for oyster farming (10 % of Mali Ston
bay) is 6.779 km
2
~ Used area is about 1,3 % (846.389 m
2
)
~ Based on IES, the capacity allowed until 2010 (50 %
of possible) is 8.520 t of shells and 1.280 t of sh.
~ After 2010 possible sustainable quantity of produced
shells per year is estimated at 28.215 t.
~ 2,13 t of oysters and shells produced in Mali Ston
bay, according ofcial sources, is exceptionally small
quantity in relation to natural resources
Mali Ston oyster
Oyster farming, other shellsh farming (such as mussels) can
produce strong economic backbone for this area. It can es-
pecially serve as a start up business for families and become
a source of SME sector growth.
Problems which must be solved in order to bring this sector
to a strong, yet sustainable position are:
~ illegal farming (estimated 50 %)
~ legal farmers not registering produced quantities
(black economy)
~ dispersed, old-fashioned production practices (no
processing sales directly from sea)
~ lack of facilities for storing, packaging, distributing
products
~ lack of innovative products (pre-opened packaged
oysters, smoked oysters, smoked mussels, etc.)
~ unorganized producers (lack of cooperation, joint
market strategy and penetration)
~ workforce problems
~ bureaucracy dealing with administration
Production Annual change
1985 1995 2005 1985-1995 1995-2005
(Million tonnas) (Percentage)
Freshwater shes 4,35 12,94 26,05 11,5 7,2
Diadromous shes 0,67 1,52 2,88 8,5 6,6
Marine shes 0,22 0,53 1,65 9 11,9
Crustaceans 0,26 1,1 4 15,6 13,8
Molluscs 2,49 8,23 13,47 12,7 5,1
Aquatic animals NEI 0,03 0,06 0,44 7,1 22,9
Table 19: Average yearly growth rates in aquaculture production by decade by groups of species;
Source: FAO Fisheries and Aquaculture Department
Note: NEI= not elsewhere included
How to go forward:
~ strong local government approach to uphold laws
and regulation
~ bringing existing oyster farmers together under
one roof clustering! (solving personal issues by
externals)
~ structuring and deciding development direction and
pace (with sustainability at mind)
~ creating diverse production (farming other shellsh,
growing seaweed, etc.)
~ quality certied oysters and shellsh (reaching better
market prices)
~ ecologically produced oysters and shells
~ creating oyster brand eco grown Ston oyster
~ establishing modern joint venture facility for ma-
nipulation, storage, packaging and distribution of
products
~ bringing marine aquaculture to higher professional
level
~ organizing marketing strategy and market penetration
plan
(top) Oyster and mussel farms Mali Ston Bay; (right) Grilled oysters
~ cooperation with tourism sector capita-
lizing oyster production from the Roman
times oyster museum, oyster farms tours,
oyster festival
Sea shellsh farming, such as oyster farming or mu-
ssels farming can be protable investment with a
short ROI period. Calculation examples for xed and
oating farms used for rearing of oysters and mu-
ssels are in tables 20, 21, 22, 23. Although mussels
appear to be more protable, one can argue that
future potentials for oyster rearing and sales, especi-
ally if accompanied with a strong brand and market
penetration strategy, are even greater.
Mussels farming
In the Republic of Croatia there are on average
2.500 t of mussels grown per year. Mussels are
more fertile and less sensitive than oysters, therefo-
re naturally reared mussels can be found along the
entire Croatian coast of the Adriatic Sea. Especially
favourable habitats are Novigrad Sea, ibenik Cha-
nnel, Mali Ston Bay and Pula bay.
Fixed Parks Mussels farming
Investment volume (depending from size) 42.000 kn to 124.000 kn
Calculated price: 6kn/kg
Subvention not included in income 0,80kn/kg
Production mussels 50.000 kg 225.000 kg 423.000 kg
Needed full time employees: 1-2 3-4 5-6
Income 300.000 kn 1.350.000 kn 2.538.000 kn
Production cost 115.000 kn 285.000 kn 470.000 kn
Material 15.000 kn 75.000 kn 150.000 kn
Own work/employees 100.000 kn 210.000 kn 320.000 kn
Concession 6.000 kn 15.000 kn 37.000 kn
Amortisation 4.212 kn 7.668 kn 15.300 kn
Maintenance investment 1.500 kn 23.000 kn 60.000 kn
Other Cost 1.000 kn 20.000 kn 40.000 kn
Total Cost 127.712 kn 350.668 kn 622.300 kn
PBT 172.288 kn 999.332 kn 1.915.700 kn
Prot tax (20 %) 34.458 kn 199.866 kn 383.140 kn
Prot 137.830 kn 799.466 kn 1.532.560 kn
Table 20: Fixed Parks Mussels farming
Source data for example calculations: PUR Starigrad razvojni projekti, EKOFARM
Floating Parks Mussels farming
Calculated price: 6kn/kg
Subvention not included in income 0,80kn/kg
Production mussels 50.000 kg 225.000 kg 423.000 kg
Employes: 1-2 3-4 5-6
Income 300.000 kn 1.350.000 kn 2.538.000 kn
Material 15.000 kn 75.000 kn 150.000 kn
PBT 193.594 kn 1.020.067 kn 1.936.895 kn
Tax 38.719 kn 204.013 kn 387.379 kn
Prot 154.875 kn 816.054 kn 1.549.516 kn
Table 21: Floating Parks Mussels farming
Farming technology is rather simple and well known
in the area, resulting in good and stable production
at well selected positions. Mussels farming is sim-
pler and cheaper than oyster farming (about 50 %
cheaper).
Mussel farming is ecologically acceptable activity
which does not pollute environment. Financially it is
very interesting and can bring substantial returns to
the private initiator as well as signicant employment
and economic stimulus for the entire region (cost of
workers was calculated for the full time employees
with an average net salary of 4.000 kn).
Calculation examples in table 20 and 21 show pro-
tability, income and cost relations of investments in
xed and oating farms for mussels.
Financial returns are clearly interesting. It is reco-
mmended that municipality initiates activities to in-
form, motivate and encourage inhabitants to start
professional farming business, since it could beco-
me a signicant income generator in the region.
Mussels
Main conclusions are:
~ business scope is environment friendly and
sustainable
~ experiences and natural resources clear-
ly conrm that the region is adequate for
mussels farming
~ farming business model is socially bene-
cial, because it increases employment and
provides extended source of income for the
community
~ market launch of high quality natural
products
~ entrepreneurs will surely make prot and ac-
hieve fast return on their investments (ROI)
~ local people are not strangers to this
activity
~ better organized market approach will ena-
ble more people to participate in this activity
Oyster farming
Croatia is one of the rare areas where European
Oyster (Ostrea Edulis) survived the great diseases
which wiped it out from the rest of Europe. Ostrea
Edulis is extremely nutritious food rich in proteins,
carbohydrates and vitamins (A, B1, B2, C and D). It
tastes best in winter.
Fixed Parks Oyster farming
Calculated price: 2kn/piece
Subvention not included in income 0,50kn/piece
Production oyster pieces 130.000 kn 270.000 kn 610.000 kn
Needed full time employees: 1-2 3 5-6
Income 260.000 kn 540.000 kn 1.220.000 kn
Material 20.000 kn 55.000 kn 130.000 kn
PBT 76.536 kn 213.180 kn 540.300 kn
Prot tax (20 %) 15.307 kn 42.636 kn 108.060 kn
Prot 61.229 kn 170.544 kn 432.240 kn
Table 22: Fixed Parks Oyster farming
Floating Parks Oyster farming
Calculated price: 2kn/piece
Subvention not included in income 0,50kn/piece
Production oyster pieces 130.000 kn 270.000 kn 610.000 kn
Employes: 1-2 3-4 5-6
Income 260.000 kn 540.000 kn 1.220.000 kn
Material 15.000 kn 45.000 kn 115.000 kn
PBT 83.116 kn 227.932 kn 559.767 kn
Tax 16.623 kn 45.586 kn 111.953 kn
Prot 66.493 kn 182.346 kn 447.814 kn
Table 23: Floating Parks Oyster farming
For centuries Mali Ston has been known for the
oyster cultivation (ie.Ostrea edulis). This shellsh is
renowned in the market as a delicacy and is today
one of the main sources of income for the local in-
habitants. Geographical origin, originality, respect of
tradition and the seal are possible means of product
protection in the market, which will also enable gre-
ater prot for the producers
*
.
The Republic of Croatia and the Dubrovnik-Neretva
County have invested great deal of money in the re-
search facility Bistrina, located near Ston and en-
gaged in oyster and shellsh research. Researchers
have successfully attained spawning in controlled
laboratory conditions, which is the main requirement
for the future access to the unlimited quantities of
oyster seed. Since the lack of oyster seed is one of
the major limiting factors of production, the future
* Possible Means of Protection and Indentication of Mali Ston
Old postcard, Oysters from Bistrina
of oyster farming in this area looks much brighter. The main
advantage of Ston region for further oyster farming develo-
pment, besides its natural resources, is also a vicinity of Bi-
strina. Experts from the University of Dubrovnik have direct
access to Bistrina, which enables strong scientic support of
the farming process.
In the Tables 22 and 23 there are calculations showing nan-
cial benets of a starting oyster farm. When considered that in
Ston area an oyster needs approximately 18 months to reach
its consumption size, we can roughly estimate that the initial
investment will be 450.000 kn. Full returns of this investment
is expected within 10 years.
SUSTAINABLE AGRICULTURE
Sustainable agriculture is a way of growing food which is
healthy for both consumers and animals. It is a procedure
which does no harm to the environment, is humane for wor-
kers, respects animals, provides fair wages to the farmers,
supports and enhances rural communities..
*
To reach sustainability farmers and agriculture based busine-
sses must apply following ve principles:
1. Know Your Markets, Protect Your Prots, and Add
Value to Your Products
2. Build Soil Structure and Fertility
3. Protect Water Quality on and Beyond the Farm
4. Manage Pests Ecologically; Use Minimal Pesticides
5. Maximize Biodiversity on the Farm
Sustainable agriculture, which is a goal rather than a distinct
set of practices, is a system of food and ber production that
~ improves the underlying productivity of natural resour-
ces and cropping systems so that farmers can meet
increasing levels of demand;
~ produces food that is safe, wholesome, and nutritious
and that promotes human well-being;
~ ensures an adequate net farm income to support an
acceptable standard of living for farmers while also
underwriting the annual investments needed to im-
prove progressively the productivity of soil, water, and
other resources; and complies with community norms
and meets social expectations.
Agricultural crops and products convenient for the commer-
cial purposes in Ston area are listed in Table 24.
As previously shown, agricultural production is a signicant
source of income in Ston municipality. However that could
also be improved, with bringing agriculture to a more professi-
onal level and by organizing market access for the producers.
* Introduction to sustainability
Agriculture is one of the main employers in Ston, but
this should be even further developed. In the next pages
Raw produce Products (food)
Grapes Wine, grape seed oil
Olives Olive oil, soaps,
Figs Marmalade, spreads
Garlic
Tangerines Marmalade
Oranges Marmalade, arancini (sugared orange peel)
Lemons Marmalade, arancini (sugared lemon peel)
Almonds Sugared almonds
Herbs Healing products, grappas
Honey
Vegetables Dried vegetables (sun dried tomatoes, etc.)
Table 24: Agriculture crops to commercially grow
agricultural investments are briey assessed in order to reach
the conclusion about development feasibility in the area.
Olive Tree Plantation
Along the Adriatic coastline olive orchards are recently be-
ing reused or re-cultivated. Reason for that is a very high
nutritious value of olives which primarily ensure oil of great
quality. In todays agriculture olive orchards are evaluated
as very protable. Positive stimulus comes also from the
Initial non bearing years cost kn/ha
Soil Preparation 16.000 kn
Planning 16.500 kn
Work in the crops in I year 21.000 kn
Work in the crops in II year 8.000 kn
Work in the crops in III year 8.500 kn
Work in the crops in IV year 9.000 kn
Total Cost of work 79.000 kn
IV year concession 4.000 kn
Interest rate 9.600 kn
Amortization for 4 years 6.400 kn
Other Costs for 4 years 4.000 kn
Total Cost 103.000 kn
Extra income (subventions) 27.000 kn
Real Investment rst four years: 76.000 kn
Table 25: Olive orchard, per h; Source data for example calculations: PUR
Starigrad razvojni projekti, EKOFARM
state which along with good production stimulation also
has enabled reasonable concession models for developing
olive orchards on public land. First ve years from planting
is the period where the tree is not producing fruit and this
must be taken into consideration prior to the investment in
this eld. On the other hand the average fruit bearing peri-
od for olive is 50 years, where we consider the peak to be
between the 7
th
and the 30
th
year.
Total investment, until the rst harvest comes, is approx.
75.000 kn/ha. Further elaborated costs and incomes are
estimated in the Table 26:
Conclusions derived are following:
~ Investment can be repaid in reasonable time
~ Small investment in basic mechanization
~ Lasting crops harvesting for 50 years and more
~ With appropriate size of crops, it can be very intere-
sting investment opportunity, especially if connecting
the activities with tourism offer and maximizing income
Fig Orchard
World production of gs is 1.500.000 t, and more than 80 % is
produced in the Mediterranean region. In the Dalmatian area,
after olive, g is the second most spread fruit. Fig fruit has
nutritious and dietetic value. It can be consumed raw, dried
or processed (marmalade, jam, compote, jelly or juice). Fig is
also used to produce exquisite grappa.
Initial non bearing years cost kn/ha
Pre Planting Year 27.652,00 kn
First Year 17.210,00 kn
Second Year 16.610,00 kn
Third Year 3.130,00 kn
Total 64.602,00 kn
Yearly cost of g orchard 35.000,00 kn
Income per year 65.000,00 kn
PBT 30.000,00 kn
Taxes 6.000,00 kn
Prot 24.000,00 kn
Table 27: Fig orchard * Calculation based on 200 trees per hectare on
own land; Source data for example calculations: PUR Starigrad razvojni
projekti, EKOFARM
Income
Product
quantity
Price Amount
Olive oil vergine (per litre) 1200 60 kn 72.000 kn
Subventions (per tree) 200 35 kn 7.000 kn
Total income 79.000 kn
Costs
Fertilizers 1.500 kn
Manure 1.500 kn
Plants protection uids 400 kn
Work (soil, cutting, harvesting) 20.000 kn
Plastic bags 250 kn
Olives processing
(in kg, and kn/kg)
7.000 0,90 6.300 kn
Other costs 1.500 kn
Total cost 31.450 kn
Linear amortization (2 %
yearly, crops lasting 50 years.)
1.600 kn
Interest rate (HBOR loans) 3 % 3.090 kn
Total cost 36.140 kn
Brutto prot 42.860 kn
Table 26: Olive orchard, per h; Source data for example calculations: PUR
Starigrad razvojni projekti, EKOFARM
Fig bears fruit in the third year. Full bearing capacity of g
orchards appears in the fth or seventh year. Fig is long li-
ving fruit, expected to bear fruits for at least 50 years. A brief
calculation showing investment requirements and potential
returns is given below. Workforce costs are not included in
the total costs sum.
Olives
Figs
TOURISM
Tourism development in coastal areas manifests in positive
and negative impacts on the environment. These impacts are
result of activities implemented by the tourism participants
(both on supply and demand side). Tourism development, wi-
thout doubt, changes coastal environment, however, solution
is not to avoid this change, but to realize the positive effects
of it. As Frank Loyd Wright said:
A good building is not the one that hurts the landscape, but the
one which makes the landscape more beautiful than it was before
the building was built
We can similarly state that good tourism development is
not the one that hurts and destroys coastal area, but the
tourism which makes that coastal area better and more
beautiful than it was before.
This approach can be translated to sustainable tourism, or
even better to high value-low volume tourism.
Sustainable tourism is a tourism developed in such manner
that it avoids any damage of the environment, economy and
cultural heritage of the location where it takes place. The aim
of sustainable tourism is to ensure that development is a po-
sitive experience for local people, tourist companies and to-
urists themselves.
*
* Sustainable Tourism, Tim Forsyth
According to the World Tourism Organization, sustainable
tourism is a tourism that leads to the management of all
resources in such a way that economic, social and aesthe-
tic needs can be fullled while maintaining cultural integrity,
essential ecological processes, biological diversity and life
support systems.
We have not inherited the Earth from our parents; we have
borrowed it from our children.
**
Sustainable Tourism Development is properly planned, de-
veloped and managed tourism, which minimizes impacts on
the environment (it even brings benets to the environment)
and reconciles protection of natural resources with economic
growth of the region.
This concept was rst time introduced at the UN Stockholm
conference in 1972. Twenty years later, in 1992 in Rio, during
the Earth Summit all of the UN member countries agreed on
Agenda 21 global sustainable development plan for the
21
st
century. In the 21
st
century sustainability awareness has
grown. All sectors started applying sustainability principles.
Concern for the environment and our impact on it is growing
day after day. New, renewable energy sources are used more
and more. All of this has an effect on the tourism, and has
inuenced the creation of some new tourist products and
brands that have been developed by ecologically responsi-
ble, environment friendly and socially aware tourist.
** World Conservation Strategy, 1980
Ston view from the walls
AIMS FOR SUSTAINABLE TOURISM
(UNWTO/UNEP)
***
ECONOMIC VIABILITY
To ensure the viability and competitiveness of tourist desti-
nations and enterprises, so that they are able to continue to
prosper and deliver benets in a long-term.
LOCAL PROSPERITY
To maximize contribution of tourism to the prosperity of the
host destination, including the proportion of the visitors
spending that is locally retained.
EMPLOYMENT QUALITY
To rise the quantity and quality of local jobs created and sup-
ported by tourism, considering the height of salaries, service
conditions and availability to all without discrimination by gen-
der, race, disability or other.
SOCIAL EQUITY
To seek a widespread distribution of economic and social
benets from tourism throughout the recipient community, in-
cluding improvement of opportunities, incomes and services
available to the poor.
VISITOR FULFILMENT
To provide safe, satisfying and fullling experience for the vi-
sitors, available to all without discrimination by gender, race,
disability or other.
*** Making Tourism More Sustainable,
A guide for policy makers UNWTO/UNEP, 2005
LOCAL CONTROL
To engage and empower local communities in planning and
decision making connected to the management and future
tourist perspectives of their area, consulting also other stake-
holders on this topic.
COMMUNITY WELLBEING
To maintain and strengthen the quality of life in local commu-
nities, including social structures and access to resources,
amenities and life support systems, avoiding any form of so-
cial degradation or exploitation.
CULTURAL RICHNESS
To resrespect and enhance the historic heritage, authentic
culture, tradition and distinctiveness of host communities.
PHYSICAL INTEGRITY
To maintain and enhance the quality of landscapes, both ur-
ban and rural, and avoid any physical or visual degradation of
the environment.
BIOLOGICAL DIVERSITY
To support conservation of natural areas, habitats and wildli-
fe, as well as to minimize any possible damage of those.
RESOURCE EFFICIENCY
To minimize the use of scarce and non-renewable resour-
ces in the development and operation of tourist facilities and
services.
ENVIRONMENTAL PURITY
To minimize the pollution of air, water and land, as well as the
amount of waste generated by touristic enterprises and visitors.
Monterey Bay Shores, Ecoresort, Wellness Spa and Residences development which restores destroyed dunes habitat, using earth, water, air, light and
energy as the main consideration in design elements.
Sustainable tourism should:
1. Make optimal use of environmental resources that
constitute a key element in tourism development, ma-
intaining essential ecological processes and helping
to conserve natural heritage and biodiversity.
2. Respect socio-cultural authenticity of the host com-
munities, by preserving their material and non-mate-
rial cultural heritage and traditional values, and con-
tribute to inter-cultural understanding and tolerance.
3. Ensure viable, long-term economic operations, provi-
ding socio-economic benets to all stakeholders that
are fairly distributed, including stable employment and
income-earning opportunities and social services to
the host communities, and contributing to poverty
alleviation.
Along the lines of sustainable tourism there is another specic
concept developed in certain destinations of the world. This
concept is called high value-low volume tourism. There are
examples throughout the world of small destinations (King-
dom of Bhutan, tropical island Lakshadweep, Anguilla etc.)
practicing this kind of tourism. Very similar is also the ecoto-
urism which is based on the same way of thinking.
During the development process it is important to keep in
mind the following aspects:
(top & right) Post Ranch Inn, Big Sur California, third among top
ten greenest accommodations in the world
(left) Hoopoe Yurt Hotel, located in olive groves in Andaluca, Spain. Afghani
Yurt, used as authentic accommodation unit; (right) inside view
~ Impacts on the physical environment (ensuring that
these impacts are positive)
~ Impacts on ecological environment (ensuring neutral
or positive impacts)
~ Impacts on human use values (ensuring that develo-
pment does not obstruct usage to local and tourist
population)
~ Impacts on life quality (ensuring that life quality
improves)
Tourism development in Ston must be sustainable. It must
satisfy and full all of the criteria mentioned above, and bear
positive effects in terms of all development aspects. To ac-
hieve an appropriate speed and rhythm of the development
we must ensure that the level, pace and shape of that proce-
ss reect and respect the character, resources and needs of
Ston as community and as destination. In order to reach this
the following practices must be upheld:
~ Involving all the stakeholders sustainable approach
requires widespread and committed participation in
decision making and practical implementation by all
those implicated in the outcome (county government,
municipal government, inhabitants, local business, in-
vestors etc.)
~ Using the best available knowledge policies and ac-
tions should be based on the best latest knowledge
available including market trends and impacts, skills
and experiences.
~ Minimizing and managing risk when there is uncerta-
inty about the possible outcome, a full evaluation and
preventive action should be taken to avoid any dama-
ge to the environment or society.
~ Reecting impacts in costs prices should reect the
real costs to the society of consumption and produc-
tion activities.
~ Setting and respecting limits carrying capacity of
individual sites and wider areas must be recognized,
with willingness and ability to limit the amount of touri-
stic development and the rate of tourist ows.
~ Undertaking continuous monitoring sustainability is
all about understanding impacts and being constantly
alert to them, so that necessary changes and impro-
vements can be regulary done.
Key challenges for the sustainability of the tourism:
~ Reducing seasonality
~ Impact of the tourism transport
~ Improving quality of tourism jobs
~ Maintaining and enhancing community prosperity
and quality of life
~ Minimizing resource use and production of waste
~ Conserving and giving value to natural and cultural
heritage
Ston tourism vision statement
Tourism is a sustainable activity, incorporating different str-
engths and unique resources of the region. Ston is interna-
tionally recognized name representing unique quality desti-
nation famous for its oysters and shells, wine, salt, culture,
history, events, preserved nature and landscapes, authentic
atmosphere, diverse activities, exquisite gastronomy and
excellent service.
Ston will extend home feeling hospitality and welcome all the
guests.
(top) Castel Monastero, Italy
(right) Tsw Alu Kalahari, South Africas largest privately owned luxury game
reserve. Sustainable principles applied, all accommodation in traditional style
Ston tourism goals and development directions
~ Sustainable development
~ Ecological awareness and orientation
~ 12 months season
~ Strong, recognizable brand
~ Smaller, scattered, specialized developments aiming
at specic client groups (market niches)
~ Attracting international investments in pre-develo-
pment concepts according to the local vision and
development directions
~ Horizontal and vertical cooperation and integration
~ Strong joint promotion of Ston
~ STON The Destination
~ Unique and authentic products and offers
Tourism development comprises activities and projects which:
~ Improve the quality of life;
~ Conserve and enhance environmental heritage;
~ Recover hidden treasures and cultural spaces;
~ Spur tourism demand.
Ston tourism development is focused on developing following
segments within the tourism sector:
~ Accommodation
~ Travel and Services
~ Catering
Tourism Accommodation
Ston has a goal to develop 3 basic types of accommodation:
~ Private accommodation (rooms, apartments within
household)
~ Hotels and other professional acommodation
~ Rural tourism accommodation (tourist accommodati-
on within agricultural or marine aquacultural farms)
Necessary methods to bring these three accommodation se-
gments on the level desired by municipality (in terms of quali-
ty, quantity and availability):
~ To organize assistance for existing private accommo-
dation in order to upgrade and improve quality
~ To enable (by public planning documents) further de-
velopment of high-quality private accommodation (in
a sustainable manner)
~ To dene (through the experts study) Tourism
Carrying Capacity for the municipality in general and
for the certain locations, or to make TCC requirement
for further development of new tourism areas
~ Support and encourage energy efciency program-
mes in the municipality, especially in accommodation
facilities (cooperation with FZOEU)
~ Waste management and recycling programme (on in-
dividual and municipal level)
~ Support private hotel development initiatives
~ Initiate one light house project which will lead the
way and attract interest in the region (such as resort
developed around ve elements of Ston)
~ Organize support and help to the local agriculture/
marine aquaculture sector in order to develop acco-
mmodation capacities within the farms and to extend
their business activity on tourism
Tourism Travel and Service
Travel and service segment can be divided in two main aspects.
~ Services provided to tourists while spending their
time in Ston and bringing them to Ston (receptive)
~ Services provided to the local population (emissive)
Economic activities within this segment are today mostly de-
veloping regarding to the rst point and an income is produ-
ced by providing services for tourists who spend their time in
Ston, or by bringing guests to Ston. In future however, espe-
cially with the growth of population caused by development,
second point will also gain economic importance.
The tourist board Ston is the main player in this segment
today and an important link between tourists and accommo-
dation providers. With the development of tourism the busi-
ness of travel agencies will also develop in Ston municipality.
Other services being provided exclusively to tourists (diving,
tours, biking, etc.) are in the early stage of development, and
the diversication of the high-quality tourist offer will denitely
be of great importance for the further development of Ston.
Measures to encourage development:
~ Educational activities (organizing lectures, presenta-
tion, business start-up seminars in cooperation with
tourist board, tourism institute, ministry, etc.)
~ Assistance in quality, security and legality improve-
ments of the offered itineraries
~ Building the network of local entrepreneurs, so that they
can jointly reach out to the outside travel intermediaries
~ Promoting local business as a part of destination
promotion (Ston website, brand promotion, destinati-
on promotion)
(top left) Forte Village Resort, Sardinia, Italy
(top right) Arenas Del Mar Beach and Nature Resort, luxury sustainable
beach hotel in Costa Rica
(left) Chalalan Ecolodge in Madidi Park, Bolivia. Lodge is owned and
operated by local San Jose de Chupiamonds community. Overnight rates for
full board start at USD 255 per person per night.
Tourism catering
Ston is already nationally recognized as a gastronomy centre.
It is appreciated for its oysters and seafood, Peljeac wine
and grappas, as well as for the special local sweets. This se-
gment is, one could say, the most developed. To improve the
existing situation following measures are suggested:
~ Gastronomy branding
~ Further development of the existing restaurants in
order to bring them to a higher international level
~ Support to the alternative style of restaurants
~ Protection and promotion of authentic food
~ Motivate and help restaurant owners to increase di-
versity in their offer, to change menus seasonally and
include specials which will change regularly
~ Encourage, promote and support the usage of locally
produced ingredients in the kitchen
RETAIL, PRODUCTION,
SERVICE AND ENERGY
The second mechanism for delivering more sustainable eco-
nomy involves inuencing businesses to embrace sustaina-
bility in their operations. Some priorities and actions aimed
at business will emerge from destination management plans,
but policies and actions can be established and applied to
businesses at a range of other levels and through a variety of
processes. Business associations play particularly important
role by inuencing the actions of their members.
Sustainability agenda, however, seeks to inuence busine-
sses further, encouraging them to take a long term view and
to deliver wider economic, social and environmental benets,
ensuring viability and competitiveness at the same time.
The key challenges of delivering quality jobs, minimizing the
exploitation of resources, supporting communities, promo-
ting sustainable transport and improving accessibility are all
partly depending on reaction from the business sector.
Retail
This sector in the municipal area is limited to small grocery
shops, souvenir shops, bakeries, newspaper stands and
Sea sports
Old shing sailboat
Eco-labelling is a voluntary met-
hod of environment-friendly certi-
cation and labelling that is practiced
all around the world. An eco-label
is a label which identies an overall
environment-friendly preference of a
product or service within a specic
category based on life cycle con-
siderations. In contrast to green
symbols or claim statements deve-
loped by manufacturers or service
providers, an eco-label is awarded
by an impartial third-party, which is completely independent
in determining those products or services that meet the crite-
ria of environment-friendly excellence.
similar. When the location (accessibility), catchment area, and
regional development potential (Peljeac, islands and nearby
mainland municipalities) are taken into a consideration it is
highly likely that further development of retail sector should
be encouraged.
One of the models, which could be the most protable for the
potential investors and for the municipality, is the development
of the shopping centre formed around the hypermarket with
additional attractive tenants (such as department store clot-
hing brands, branded shoe shops, household supply shops
etc.) and general entertainment facilities (sports centre, cine-
ma, wellness-spa centre, kids oriented facilities, etc).
Development of such centre would impact positively:
~ Local population
~ Neighbourhood population
~ Tourism offer
~ Average daily tourist spending
Retail is an important segment which supports tourism deve-
lopment, since the tourists of today also need diverse sho-
pping opportunities in addition to the usual tourist activities.
Apart from the local authentic product range, tourists would
also like to have recognizable international brands offered to
them in attractive and relaxed Mediterranean atmosphere.
Production
Encouraging production and attracting production companies
to the area is a goal of many municipalities along the coastli-
ne. Ecological and sustainable orientation of the municipality of
Ston does not mean that production industry is not welcome.
It means that Ston welcomes clean production as well as all
companies willing to apply and uphold sustainability principles
in all three areas: environmental, nancial and social.
Service
The development of other business sectors, population
growth and increase in tourist numbers, will create market for
variety of services, to business and private sector. Local pe-
ople should be prepared and aware of the new opportunities
and ready to realize them.
Todays market is rather limited in the service segment and
there will be enough space for diverse business concepts to
be developed. Just to mention some of them: bookkeeping,
tax advising, real-estate agency, beauty & wellness, sports,
health services, maintenance, cleaning, property manage-
ment, etc.
Energy
Renewable energy is the energy generated from natural re-
sources such as sunlight, wind, rain, tides, and geothermal
heat which are renewable (naturally replenished). There are
several forms of RE, such as:
Wind power is the conversion of wind energy into a useful
form of energy, such as electricity.
Hydropower is energy of water. There are many different
ways of transforming different kinds of water energy into elec-
tric energy.
Inside pool example
Odysseum Shoping Center, Montpellier, France
Selected global indicators 2006. 2007. 2008.
Investment in new renewable capacity
(annual)
63 104 120 billion USD
Existing renewables power capacity,
including large-scale hydro
1,02 1,07 1,140 GWe
Existing renewables power capacity,
excluding large hydro
207 240 280 GWe
Wind power capacity (existing) 74 94 121 GWe
Biomass heating -250 GWth
Solar hot water/ Space heating 145 GWth
Geothermal heating -50 GWth
Ethanol production (annual) 39 50 67 billion liters
Countries with policy targets
for renewable energy use
66 73
Table 28: Growth of renewables: Selected renewable energy indicators
Year Biomass Water energy
Geotermal
Energy
Wind Energy Sun Energy Total
Water Energy
excl.
1998 3,80 5,87 9,67 3,80
1999 4,00 6,80 10,80 4,00
2000 4,59 6,22 10,81 4,59
2001 3,53 6,83 10,36 3,53
2002 3,43 5,42 8,85 3,43
2003 4,46 4,97 9,43 4,46
2004 4,30 6,88 11,18 4,30
2005 3,96 6,22 0,03 0,01 10,22 4,00
2006 4,08 5,88 0,02 0,02 10,00 4,12
2007 3,46 4,06 0,04 0,03 0,01 7,60 3,54
Table 29: Participation of renewable energy resources in total consumed energy 1998 2007
Solar energy is energy collected from the sunlight. It can be
utilized and applied in numerous ways.
Bio-fuel, bio gas and bio mass are biomaterials used in in-
ternal combustion engines to produce energy. This eld is
actively developed and researched.
Geothermal power is energy obtained by tapping into the
heat of the earth itself.
Usage and production of renewable
energy is growing rapidly in the world.
Under more and more environment
concern of the great world nations (es-
pecially with CO2) the eld will grow
even more. Growth of renewable ener-
gies is shown in the Table 28.
Croatia has been following the lead of
EU in this eld and has undertaken cer-
tain obligations in terms of renewable
energy. National Strategies imply that
RE sector in Croatia will reach following
targets:
Share of RES in total energy
~ Until 2010.
5.8 % of the overall electricity consumption from
RES (large hydro power plants excluded)
5.75 % of biofuel in the overall consumption of
motor fuels
~ Until 2020.
20 % of the overall energy consumption from RES
10 % of biofuel in the overall consumption of
motor fuels
35 % of the overall electricity consumption from
RES (large hydro power plants included)
In order to reach these goals signicant RE investments are
needed. The share of RE in totally consumed EE is shown in
the Table 29:
Proximity Hotel - has large sun collector eld on roof,
produces subtstantial amount of consumed energy on its own.
Windmill
Example sun collectors on roof hotel
It is clear that the average share of RE today is far below
5,85 %,without energy produced by hidro power plants, as gu-
res show to be planned for 2010, or 20 % as planned for 2020.
Why Renewable energy in Ston:
~ Public opinion and support
Raising concern about climate change, pollution,
sustainability, etc.
Overall increase of living standard
~ European experiences and trends
Croatian accession to the EU
Examples from Austria, Slovenia, and other
countries
~ Growing level of knowledge, expertise and participa-
tion people and institutions
From enthusiasm to professionalism
Existing EE and RES legal framework:
~ Energy Sector Development Strategy of the Republic
of Croatia (2002, 2009)
~ National Energy Programs (launched in 1997)
~ Energy Act and other acts concerning energy activiti-
es (2001-2008)
~ National Energy Efciency Program 2008-2016
~ 1
st
National Energy Efciency Action Plan 2008-2010
~ Act on Efcient End-use of Energy (2008)
~ RES and CHP electricity secondary legislation (2007)
~ Bio-fuels Act (2009)
~ Bio-fuels secondary legislation biodiesel norm,
quality standards, indicative targets for 2010, plans of
placing bio-fuels on domestic market (2003-2009)
EE and RES legal framework in preparation:
~ RES heat secondary legislation
~ Efcient End-use of Energy secondary legislation
Expected Installed Capacity
~ 1,545 MW new installed power from RS by 2020
(large hydro power plant not included)
~ The goals for individual sectors:
1,200 MW in wind farms (2000 MW by 2030)
140 MW in biomass power plants (420 MW by
2030)
40 MW in MSW power plants (60 MW by 2030)
20 MW in geothermal power plants (30 MW by
2030)
45 MW in solar power plants (250 MW by 2030)
100 MW in small-scale hydro power plants
(140 MW by 2030)
*
Financial Sources for RES Projects in Croatia
~ State, regional and local self-government budgets
~ Environmental Protection and Energy Efciency Fund
~ Feed-in tariff system for RES and CHP electricity
(2007)
~ Incentives state aid for the RES equipment
producers;
~ Grants and international aid programs (GEF/IBRD,
UN UNDP, UNIDO, FAO)
~ Croatian Bank for Reconstruction and Development
Loan Program, Bank guarantees program
~ Commercial banks
~ EU programs FP7, IEE, IPA, etc.
~ Other energy services (ESCO), TPF (third party
nancing), PPP (pubic private partnership), etc.
As sustainability is development orientation of municipality of
Ston, renewable energy is a logical step. In terms of RE, Ston
should not only encourage development of larger scale RE
projects, but also implement the RE technologies in private
households, public spaces, private business sector, and es-
pecially in projects which encourage tourism development.
* MINGORP
Plant type/RES < 1MW >1MW
(Kn/kWh)
Solar PV < 10 kW 3,4 -
Solar PV 10 - 30 kW 3 -
Solar PV > 30 kW 2,1 -
Small Hydro (up to 10MW) 0,42 - 0,69
Wind - 0,65
Biomass from:
Agriculture and Forestry 1,2 1,04
Wood-processing industry 0,95 0,83
Geotermal 1,26 1,26
El. Energy - Biogass
Argicultural and
other organic waste
1,2 1,04
Liquid Biofuel 0,95 0,83
Gas from waste
and waste water residue
0,36 0,36
Other (sea waves,
tidal energy, etc.)
0,6 0,5
Table 30: RES Tarifs in Croatia in 2009
Making Business More Sustainable
Sustainability is not a term reserved only for the tourism sec-
tor. The goal for Ston is that sustainability becomes a lea-
ding principle in all business sectors and activities in the mu-
nicipality. In order to promote and manage sustainability in
the private sector, public sector must reach into the private
management and implement sustainability. Following these
steps could lead to the successful integration of sustainable
practices in the existing and new businesses:
~ Knowledge gathering and research more informati-
on is needed on business perceptions of the sustaina-
bility agenda and the barriers they face in adapting to
it. At the same time, further research of market trends
and perceptions, and of the nancial gains that can
be made from environmental management, would be
helpful in both stimulating and guiding businesses.
~ Rising awareness excellent communication is nee-
ded to encourage businesses to respond. Key oppor-
tunity is to work through existing associations at all le-
vels (national, regional and local) seeking commitment
and stimulating peer pressure between businesses in
the membership. For example, promoting practical
success stories is an excellent approach.
~ Education and capacity building much can be achi-
eved through delivery of targeted advice and training.
This could include:
production and distribution checklists and guides,
possibly linked to the self-assessment processes,
implementation of sustainability issues in all edu-
cational curricula, providing specic courses which
are short, focused and easily accessible to the exi-
sting businesses and employees,
providing direct professional advice for businesses
on sustainability and facilitating business-to-busi-
ness contact,
creating a sustainability-focused knowledge
network and website,
facilitating benchmarking between businesses and
promoting good practice,
communicating and promoting simple initiatives or
innovative ideas.
~ Financial incentives and assistance economic in-
struments can be used as incentive ones, whereby all
nancial support offered should include, where appro-
priate, a requirement to meet sustainability criteria.
~ Performance criteria, identication and reward EU
research on CSR has shown that businesses tend to
seek recognition for the steps that they have taken to
embrace sustainability. Certication of enterprises in
accordance with agreed performance criteria can be
a valuable tool that is motivating for businesses and
informative for consumers.
Business promotion
Development of the SME sector represents an important
economic agenda since the viable and dynamic SME sector
is essential for the promotion of domestic-led growth and str-
engthening of the economy resilience.
SMEs play a major role in the economy eld in terms of eco-
nomic diversication, the creation of sustainable rural em-
ployment, and strong market development.
Public entities that are promoting business and encouraging
new SME initiatives, particularly in production, service and
sales sector, have the following objectives and goals:
~ To promote investment opportunities for local and
foreign investors.
~ To compile, document and spread information about
available investment opportunities and advise the
investors on legal, nancial and other requirements
for investing in the municipality
~ To provide, on request, information on potential joint
venture partners for local and foreign investors
~ To provide local producers with advisory and support
services in order to enable the export of their goods
and services
~ To assist in the establishment and ensure smooth
operations of investment projects.
~ To facilitate business development and export of
products
~ To promote light-industry and opportunities for the
commercial development
~ To connect production, retail and service sectors
with agriculture, aquaculture and tourism
~ To carry out activities designed to support and enco-
urage investments by local entrepreneurs, including
training, and provision for business advisory services
~ To assist local start-ups
~ To provide information and services connected to
nances or applying for grants for SMEs
Castel Monastero, Tuscany, Italy
(left & top) Example of diferent outside spaces
PART II
He who loves practice without
theory is like the sailor who boards
ship without a rudder and compass
and never knows where he may cast
Leonardo da Vinci
OVERVIEW
CURRENT SITUATION
MUNICIPALITY OF
STON
Ston is located in the central Dalmatia, on the coast of Adria-
tic Sea. It is connected to the E-road network by the national
highway A 1 built to the exit Rava south of Split (opened on
December 22
nd
2008). Further extension, direction south, to
Ploe is planned to be completed in 2010 (see Map 1).
Croatian A1 highway is part of several E-road lines, thus
connecting Ston region to the EU countries. European highway
E 73, when completed, will be 710 km long way to Budapest
via Metkovi, Zenica, and Osijek. Highway E 65 is 3800 km
long highway line from Malmo, Sweden to Chania, Greece. E71
is 970 km long and it connects Koice to Split, via Budapest
and Zagreb. Ston is a destination with good car access for
national guests, but also for guests from central and south-
eastern Europe, thanks to good highway and road network.
Municipality of Ston covers eastern part of the peninsula Pe-
ljeac. It is a part of Dubrovnik-Neretva County (see Maps 2
and 3).
Municipality of Ston is:
~ located 65 km north of Dubrovnik
~ 85 km north of Dubrovnik airport, (1.5 hours by car)
~ connected by coastal road D 8 to Split and Dubrovnik
~ connected by ferry line to the island of Mljet, which
lays 10 km south-western of Ston. The national park
on Mljet is an important tourist attraction.
~ on the south-eastern end of the peninsula facing the ar-
chipelago of Elati islands with the main island of ipan.
~ near to the city of Korula, located on the island of the
same name. The island is just opposite of the northern
part of the peninsula. Korula is a well-known tourist
destination due to its medieval heritage.
Croatian coast, along the corridor D8, direction north-east is
interrupted by approx. 10 km wide strip of Bosnia and Her-
zegovina territory. Trafc on the road D8 is controlled at two
boarder passes.
The Municipality of Ston consists of the following settlements:
(right) Ston wall - section
~ Ston / Mali Ston
~ Brijesta
~ uljana
~ Drae
~ Hodilje
~ Metohija
~ Zaton Doli
~ Dubrava
~ Sparagovii
~ Tomislavovac
~ Putnikovii
~ Broce
~ Boljenovii
~ Duba Stonska
~ Zabre
~ Ponikve
National street
Highway
Highway in planning / Construction stage
Europe street designation
Highway designation
E65
A1
Location in coastal area of Croatia 1
E65
A1
Middle Europe
Croatia
Split
E73
E65
Montenegro
Albania
Greece
Bratislava
Budapest
Belgrade
Sarajevo
Bosnia and
Herzegovina
Ston
Dubrovnik
Ston municipal area
Regional map 2
Croatia
Ston
Croatia
Bosnia and
Herzegovina
78 Five elements of Ston - Development Concept of Ston PART II: OVERVIEW CURRENT SITUATION MUNICIPALITY OF STON 79
Evaluation of Existing
Spatial Planning
Documents
peninsula of Peljeac as an extension to new bridge being built
between mainland and Peljeac. Even though the bridge con-
struction has already started, at the time this document was
drafted, the nal corridor for the street was still unknown, and
the realization period was not clearly dened. Since the road
represents the most important planning scheme to determine
the future development of Peljeac, it carries great importance,
especially for the development of the Municipality of Ston.
The planning activities are similar to an urban planning ca-
dastre that can be utilized as a basis for further plans; the
functional statements of signicance for the Municipality of
Ston are selectively summarized in an overview.
The activity plan has the character of a spatial cadastre that
can serve as a basis for further planning. Therefore, primarily
technical statements, together with the signicance elements
for the area of Ston, are put together as an overview.
Spatial plan of Dubrovnik-Neretva County (Prostorni plan
Dubrovako-neretvanske upanije)
The contents of the plan with various texts and maps can be
accessed via internet at: http://www.edubrovnik.org/mapa_
pp_uvjeta_uredenja_i_zastitex.php.
In 2009, the process of changes and additions to the county
spatial plan has been initiated. At the time of computing of
these gures, the nal version of the plan has not yet been
approved. For the purpose of the study some of the graphic
and textual parts suggesting certain changes and additions
to the county spatial plan have been used.
Spatial plan of Dubovnik-Neretva County is regional plan. It
implements Strategy and Program of Spatial Arrangement of
Croatia, national laws and development strategies, regional
development strategy into the spatial situation in the county,
whilst aiming to full development desires of individual munici-
palities. It particularly denes restriction areas, heritage protec-
tion areas, landscape and nature protection areas, which is all
of extreme importance. However, the compliance of realization
processes is not clearly dened.
Graphic displays in this document are not nal and do not
bear liability, as they depend on other documents. See fo-
llowing example:
To avoid passing through national territory of Bosnia and Her-
zegovina, new stretch of national road D8 is planned across the uljana sea
Settlement Structure
The Municipality of Ston (see Map 3) consists of the main
town Ston, connected with Mali Ston, and several settlement
areas (villages or homesteads) with very low population den-
sity. Municipal area stretches 30 km in length and 6 km in
width. It is crossed by the national road D 414, as well as by
the network of county and municipal roads. View to Vuina Bay
National street
Local street
Planned highway
Town
Village / Settlement
Urban structure / Road network 3
O
r
e
b
i
K
o
r
u
l
a
D
4
1
4
D
4
1
4
Bosnia and Herzegovina
D
u
b
r
o
v
n
i
k
Mali Ston
Ston
M
a
k
a
r
s
k
a
S
p
lit
F
e
r
r
y

M
l
j
e
t
A1
D
8
D
4
1
4
D
4
1
4
Mountains
Rocks
Mountains
Rocks
Forest
Valuable landscape area
Agriculture priority areas
Erosion threatened areas
Windpark allocated areas
Nature and landscape 4
Nature and Landscape
The forest is of high-signicance for the stabilization of the soil
in the carst landscape, especially to protect from soil erosion,
water retaining and climate disbalance.
Approx. 1,900 ha of the forest areas of the Municipality of
Ston are under increased protection, as dened by the coun-
ty PPU. Even though the borders of these areas are graphi-
cally not clearly displayed, it is undisputable that these areas
must be preserved and protected.
NATURAL LANDSCAPE AND COASTAL WATERS
Blue sea water cuts into the peninsula on the northern (Mali
Ston Channel Malo More) and eastern side (Ston Channel)
creating a fjord-like landscape. Sea water quality is of particular
importance especially for oyster, shell and sh farming. One of
(see Map 4)
LOCAL IMPRESSIONS OF
SUBSPACES VALUES:
FORESTS
There are only few original (old) forests (see Map 4). Current
forests occupy a signicant area of the peninsula, especially
hillsides and steep lee sides of rocky ridges.
The forests are mainly of Aleppo Pine (Pinus Halepensis)
and Maritime Pine (Pinus Pinaster), intertwined with Macchia
shrubs. The amount of Macchia is noticeable. It can be seen
as a degradation form of the original forests, with shrubs re-
aching height of two to four meters. Higher trees are seldom.
South Peljeac seaside Aerial view
the reasons why an extremely high level of water protection is
required is a very low rate of water exchange in the bays.
The coastal and the seaside areas are very valuable parts of
the landscape, worth of high protection. That is why there
might be some disagreements on exploiting and protecting
these areas.
BEACHES, COAST
Sea water and beach areas in the South Dalmatia as well
as in Ston area are of high quality. Although it has very high
attraction potential, it is only possible to access it at relatively
few locations at the moment (lack of roads and paths).
Large parts of untouched landscape in the eastern area of
the Municipality and wide northern coastal strip are dened
as valuable landscape.
There are also protected underwater areas that are very
attractive for diving (e. g. coastal area outside of uljana)
HIGH QUALITY AGRICULTURE SOIL
Highly quality agricultural soil is mainly located in lower valleys
and is cultivated with eld crops, vegetables, wine, olive trees
and other crops.
In the area of Ston agricultural soil takes up approx. 1,300 ha.
These areas are used by local people for their own food pro-
duction or direct sale activities at the local fresh markets.
Vineyards and olive groves reach partially onto the hillsides,
where the soil mixed with stone provides unique growing
conditions for distinctive grape sorts.
EROSION AND FLOOD DANGER AREAS
The only marked ood endangered area is the watercourse
starting at the source above esvinica and going downwards
into the Ston Channel. Lowland areas have an increased risk
of erosion.
GREEN ELEMENTS WITHIN URBAN AREAS
Green areas within urban structures are mostly used as ve-
getable gardens (for growing fruits and vegetables). There
are very few arranged green areas, and even those are mostly
planted with high plants and trees, and very seldom with co-
lourful owers. Trees within urban areas are usually old and
very high, inuencing greatly impression of streets and public
spaces.
Sea views
Vineyards
Prapratno Bay
Cemetery
SPECIAL CONDITIONS OF USE: NATURAL
AREAS
Fully working saline is covering area of nearly 50 ha. It inclu-
des warehouses, administration buildings and ponds. It sho-
uld be protected and preserved for several reasons:
~ High quality salt, with extra bright white crystals, is
harvested every year in substantial quantities.
~ Special value lies in the fact that only few traditional
Salinas exist and are still working, some even dating
from the Roman times.
~ Saline is strongly tied to the local community. It is
also inuenced by factors such as water quality and
sun heat, since it is located in natural wetland.
Saline is important habitat for many valuable halophytic species.
LANDSCAPE, MORPHOLOGY
Peljeac landscape is characterized by diverse elevation, with
dominant ridges in the northern and southern parts of penin-
sula. While driving small local roads that connect the towns,
you can see many natural areas which transmit the scenic
values of the region divided into many small sections. Middle
part of the peninsula is a at fertile valley, covered with vi-
neyards, olive groves and eld crops.
Settlement structures, small villages and farmsteads are subor-
dinated in scale to high landscape around. Road network and
connective pathways play signicant role in experiencing that.
Maruleti Bay
Saline and Ston from Air Salt harvest
Trafc
Trafc in Ston region means individual trafc (cars) and public
transportation (buses). Railroad does not exist on the penin-
sula of Peljeac. Maritime trafc in Ston municipality is regular
ferry connection to the island Mljet (Prapatno Sobra), and
additional unorganized trafc through public ports (Brijesta,
Broce, Hodilje, Luka, Praparatno, Ston, Mali Ston, uljana).
The road network (see Map 3) follows the peninsulas rid-
ges from the north-west to the south-east and is developed
according current trafc load.
Roads are divided in 3 hierocratic categories:
~ state road D 414 connecting peninsula to the ma-
inland road D 8, and D 416 connecting Prapratno
to D 414
~ county roads, -6231 (Luka-Hodilje-Ston), -6226
(uljana-Dubrava)
~ local and access roads, (L-69030, L-69038, L-69056,
L-69039, L-69066)
Stationary trafc is locally organized in form of public parking
areas, parking regulations, and mandatory provision for par-
king within private plots.
Access road to ferry port Prapratno New bridge construction site
Infrastructure
DISPOSAL FACILITIES
The Municipality of Ston is responsible for the collection of
communal and household waste. Waste is collected by the
municipal vehicles and currently has a decentred disposal.
Waste recycling and re-use of potential recyclables is not
organized.
In the agreement with the state of Bosnia and Herzegovina,
waste water from the mainland (untreated or partially treated)
is fed into local pipes and disposed together with the local
waste water. Thus, pumping station and feeding pipes in the
area of Prapratno and the western municipal area lead the
untreated waste water into the sea.
(see Map 5)
PUBLIC UTILITIES
Municipal area is centrally supplied with electric energy pro-
vided by the regional electric energy company. High voltage
electrical open lines (110 kV) come from the mainland via two
routes and connect into a junction (transformer) located nor-
th-west of Ston. Electricity is than transformed into medium
voltage (35 / 20 kV) and via underground cables or overhead
lines delivered to the end-user.
Gas network is not developed. Household liquid gas is distri-
buted in liquid gas containers via road network.
Water supply system is centralized and managed by the re-
gional water company. The potable water gained and treated
supra-regionally is fed into a set of (underground) water tanks.
From there on it reaches the smaller local nets and distribution
systems via pumping stations. Currently the water supply with
a supply rate of approx. 6 l/s and a demand of approx. 15 l/s is
affected by the fact that various portable water reservoirs are
unserviceable due to their insufcient constructional condition.
Fire ghting water system is not developed. In case of the
large-scale res the water for this purpose is than extracted
from the sea.
Telecommunication and postal network is fully constructed
and ensures appropriate service for the inhabitants.
(top) Sewer nozzle into the sea
(right) Ston fort
Water main
Sewer main
Electricity main
Transformer station
Planned waste landll
Infrastructure 5
3
5
k
V
1
0
0
k
V
10
0
k
V
3
5
k
V
3
5

k
V
3
5
k
V
110 kV
1
1
0
k
V
1
1
0
k
V
1
1
0

k
V
92 Five elements of Ston - Development Concept of Ston PART II: EVALUATION INITIAL SITUATION 93
EVALUATION INITIAL
SITUATION
~ Almost all villages in Ston municipality have sea
access, which is a great opportunity for developing
water sports. The basic offer for some of those already
exists in certain locations
~ A new dimension of accessing and experiencing
Ston via new stretch of the national road D 8
Analysis of Potentials and Challenges
POTENTIALS
(see Map 6)
~ Attractive contrasts between the Great Valley and 2
distinctive rocky mountain ranges
~ Scenic vicinity of the island Mljet, separated from the
peninsula by a narrow sea belt
~ Walking paths that lead into the landscape and to
remote beaches with views of ridges and sea
~ Rest in the seclusion of idyllic landscape, enhanced
by preserved old settlements and sea views
~ Very long coastline, due to the geographical location
on the peninsula with many channels and bays, and
two very different watersides (southern and northern)
~ Wine
~ Oysters
~ Medieval town Ston
~ Unique city fortications Ston/Mali Ston
~ Fortress
~ Saline
~ Napoleon Street as a historical heritage
~ The division of the municipality into small urban secti-
ons, which represents high potential for creating local,
unique offer and organized sale of authentic products
~ Orientation to sustainable and green tourism, as a
strategy, better promotion and support of private
sector initiatives View west from uljana village
CHALLENGES
(see Map 7)
~ Two mountain ranges separate larger part of munici-
pality from the sea
~ Long coastline, but sea access very difcult and scarce
~ Lack of perception of Ston
~ Transit character of the municipality on the way to
Orebi and Korula, which inuences perception of
Ston as a destination
~ In Ston there is a lack of tourist facilities attracting
guest to stay. Existing facilities are not visible enough
or are inadequately presented to the travellers.
~ Insufcient use of potentials such as on site experience
of local products, vineyards, authentic accommodati-
on, scenic points, prolongation of the tourist season
~ Not preserved forest area, with limited functions, not
providing shade and not conserving water and soil
~ Waste disposal is problematic, lack of waste mana-
gement system
~ Complete lack of biological waste water treatment
CONCLUSION
~ Insufcient tourism promotion and awareness
~ Ston is lagging behind, realizing only the minimum of
its potentials
~ Missing brand
~ Landscape potential is partially degraded by human
impact, and it can be used only partially
~ There is a danger that development opportunities
which should accompany the planned big road could
not be utilized for Ston; i.e. there is a risk that the
peninsula of Peljeac could be reduced to a mere
coulisse for the road
Ston centre
Saline
Ston wall
Coast line
Planned national street
Napoleon Road
Potentials 6 Distance
view Mljet
Vineyards
Oysters
West Gate
Saline
Oysters
Historical
City
East Gate
Mountain ranges
Only sea access areas
Without sea access
Restrictions 7
98 Five elements of Ston - Development Concept of Ston PART II: FORMULATING THE DEVELOPMENT GOALS 99
FORMULATING THE
DEVELOPMENT
GOALS
Based on the analysis of potentials and challenges of Ston,
it can be stated that tourism development should play the
central role in the overall development of Ston. All other goals
depend on or are initiated by this. General development stra-
tegy, as well as single development goals, can be created as
a result of this analysis.
Wall of Ston Hodilje port
Model for Ston
~ Economic future of the municipality through tourism
development, based on historical, cultural, scenic,
agricultural and marine resources.
~ Utilization of the potentials of the new road:
The future road will be a dening project regarding
the development of Ston.
Direct development of municipal area from the
east to the west
Management of the coastal trafc through the
municipal area
Presentation of the qualities of Ston as a location
~ Proper urban development of all sectors, assuring
that conicts between different use requirements are
avoided
Aerial view
General Development
Objectives
Strengthening the Tourism Development
~ At least one big hotel (resort), concentrated on one
tourist area
~ Several small hotels, larger area for soft tourism
development
~ Prolongation of the tourist season
~ Wellness
~ Culture, concerts
~ Walking
~ Hiking
~ Excursions to Dubrovnik (by bus/ship)
~ Marinas
~ Promotion & support of private initiatives
Transmitting local values
~ Landscape, vineyards, olive groves
~ Adriatic Sea coast
~ Oysters and other seafood
~ Water sports
~ Architectural and cultural heritage
Mali Ston uljana Vuina bay
Focus on Target Groups
~ Individual guests (car, camping, caravans)
~ Charter guests (4 stars)
~ Day guests
~ Active holiday guests (especially water sport)
Development of Tourist Marketing
~ Local
~ National
~ International
~ Destination marketing local (such as signs)
~ Printed Materials
~ Digital promotion
Protection of Nature and Landscape
~ Concentration of spatial interventions on limited area
~ Analysis of impact and interaction of different
measures
~ Careful use of Ston valley (Ston, Roman name is
Stagnum = wet land)
View to the mainland
Ston Church
Objectives for
Settlements
~ Priority to locally initiated developments within settle-
ments, increasing building density within structures
and allowing the extensions of building zones.
~ Maintenance of current landscape inuenced by
urban structures without extensive building.
~ Dominant, new structures should be restricted to few
areas clearly separated from the existing settlements.
~ Limiting large projects locations, and placing them
distantly from the traditional settlements.
Ston with Saline from the wall
Objectives for Nature
and Landscape
~ Preserving existing nature and tourism highlights and
developing new ones
~ Conveying the landscapes values
~ Recreation in nature, experiencing the landscape
~ Safeguarding and developing the countryside as well
as architecture and cultural heritage
~ Enriching the landscape by developing larger forest
areas
~ Interventions in nature must be compensated by
balancing measures
~ Using compensation measures to create wide
forest and green belts around tourist and other deve-
lopment locations, for visual integration and shielding
~ Wind energy facilities must be implemented carefully
to avoid deterioration of visual identity of the island
morphology
~ Limiting the number of oors in the buildings, so that
new structures can t into the landscape
~ Development of comprehensive approach to green
buildings
Aerial view
Transportation
Objectives
Development goal for Ston is to adapt/renew the existing
road network, to actualize planned highway connections and
to be able to make a prot from the future trafc ows.
~ Concentration of transit trafc on the highway, so that
target trafc (Ston guests) can be carefully directed
by the network of local roads to different areas of
Peljeac.
~ Reduction of interventions in landscape and envi-
ronmental impacts to the bare minimum necessary
for the realization of the highway
~ Development of the rural landscape through network
of walking and cycling routs
~ Setting up local bus trafc, according to the seasonal
requirements (also to include bicycle transport).
~ Controlled and planned parking area development
Dubrava Bay
Infrastructure Objectives
The infrastructural development of the municipal area occurs
as a technical prerequisite for development of all sectors.
Infrastructure facilities must develop signicantly. Develo-
pment of infrastructure must be controlled and carried out in
such way that it doesnt allow overdevelopment, degradation
of landscape, or creative development of single plots.
Therefore smaller, decentralized infrastructure facilities, which
can be tailor-made to full specic characteristics and usage
requirements (tourism facilities, business areas, commercial
facilities, etc.), are recommended.
The innovative concepts for resource protection should also
be applied and integrated in the marketing strategy (green
tourism).
It is essential to conduct an intensive research in order to de-
ne an appropriate location for biological waste-water trea-
tment plant. Together with builders yards, recycling sites and
storage areas, they should be located in remote areas with
low visibility but with appropriate access to the general trafc
directions.
The summit areas and the plateaus north from Dubrava and
Sparagovii are dened in the PPU as priority areas for the
utilization of wind energy. In order not to impair the visual qu-
ality of the island morphology, careful insertion of equipment
is required.
Ston centre
106 Five elements of Ston - Development Concept of Ston PART II: MUNICIPAL DEVELOPMENT CONCEPT 107
MUNICIPAL
DEVELOPMENT
CONCEPT
All individual projects and activities will be integrated into a
(tourism focused) general concept. The brand of Ston, which
will contain its concise characteristics, will be developed.
Brand will be supplemented with a concise logo, in which one
can recognize signicant Ston features.
Suggestion:
The pentagon (= symbol of the city walls) as the basic form
for the logo design done by a graphic designer.
The frame for the municipal deve-
lopment plan will be based on the
existing landscape and small urban
structures embedded into the lan-
dscape. Eastern (= Ston) and we-
stern (= Brijesta) development are-
as are both connected to the Big
Valley. These three development
areas have the following characteristics and potentials, as
shown in the Table 31.
Ston and Saline Ston, aerial view
Brijesta The Big Valley Ston
(development area west) (middle) (development area east)
Sea swimming Wine Medieval
Water sports Olives Culture
Oyster farming Landscape Ramparts
Fish farming Viewpoints Fortress
Islands Napoleon Street Church
Franciscan
Riva
Marina
Small Hotels Largeer Hotels
Gastronomy Gastronomy Gastronomy
Coastal walks Hiking trails Ston and coastal walks
Table 31: Characteristics and potentials of 3 development areas
Ston and saline, aerial view
Development areas
Development spots
Planned access streets

~
W
in
e
~
O
liv
e
s
Development concept 8
~ Hotel
~ Catering
~ Riva
~ Boat tours
~ Marine
aquaculture
Development area
West
The West gate
Brijesta
~ Image of the town
~ Town wall
~ Saline
~ Riva
~ Marina
~ Events
~ Resorts

~
L
a
n
d
s
c
a
p
e

~
W
a
lk
in
g
a
n
d
h
ik
in
g
Development area
East
The East gate
Ston
Development Areas
East and West
The local points of development will be development area
east and west. Ston is the East Gate, and Brijesta is the
West Gate(see Map 8). Between the two development po-
les, Ston and Brijesta, a positive tension (force of attrac-
tion) will develop. Ston will develop as tourist centre and will
keep central tasks. Brijesta region will develop as quality to-
urism destination. Along the way, between these endpoints,
there is the Big Valley, which will develop independent sce-
nic and tourism qualities, attractive for the guests who are
either staying or just passing through.
Thus, all areas of the Municipality of Ston will be able to pre-
sent themselves, to be part of the tourism concept, and reach
their market.
Brijesta Fort Ston
Urban Development
RESIDENTIAL DEVELOPMENT
It is safe to assume that urban structures will go through self-
generated development, and that signicant growth is not
to be expected. As a consequence of future tourism deve-
lopment of Ston and Brijesta areas, there will be higher de-
mand for workforce. Municipality must provide appropriate
residential locations for new inhabitants. The residential de-
velopment initiated in Ston, lying east of the city centre and
further south-east along the Ston Channel is estimated to be
positive and that it should continue. Maximal extension of the
residential zone direction south-east should be determined in
the PPU and in DPUs.
If there will be an increased demand for residential locations,
it will be necessary to extend the existing allocated residential
areas, undergoing the procedure of changes and additions to
the PPU, and subsequently develop UPUs and DPUs.
COMMERCIAL DEVELOPMENT
Commercial development in a sense of establishing new bu-
sinesses is not expected until the overall development of the
area is initiated. Strengthening of the existing industrial struc-
tures can take place at the existing locations.
For the future development, areas should be determined and
allocated according to the directions dened in the general con-
cept of development. Therefore, it is recommended to concen-
trate the trade businesses in one area which is well-connected
and has an adequate location. Location should be dened in the
eastern part of municipality due to the proximity of D 8, D 414
and a new stretch that goes through Ston. This location would
also be easy to connect to the future highway A 1 Rijeka Split
Dubrovnik. The benet of concentrating businesses on only one
site is the protection of nature and landscape.
DEVELOPMENT OF LOCAL RETAIL
(BASIC SUPPLY)
Small, local shopping facilities, located within existing urban
structures, are preferred. Larger site for developing a bit big-
ger shopping facility should also be dened in Ston.
DEVELOPMENT OF PUBLIC
SERVICES & FACILITIES
Required public services and facilities should be concentrated
in Ston. Good public transportation with good connections to
some smaller settlements in the municipality is of great necessity.
Ston centre
Nature and Landscape
Development
~ Nature and landscape preservation must be taken
into consideration when dening spatial and structu-
ral regulations. Promoting nature and landscape to be
used for relaxation and perceived as the amenities of
tourism development.
~ Location advantages for development projects
~ Resource protection as location factor (coast, water,
biotopes, natural resources, primary production)
~ Development of forest areas in connection with nature
recreation areas, creation of rest points with shade,
improvement of the ground water balance
~ Proposals for development of small paths and tracks
based on terrain characteristics
~ Protection and development of viewpoints on routes,
signs and maps, path expansion (walking, cycling and
hiking paths) with tourism signicance
~ Integration of existing greenery, newly-planned infra-
structure facilities should be permanently hidden from
view by planting wide green stripes and trees.
Dubrava Bay
Trafc Development
The concept of trafc development is mostly predetermined
by the existing road network planned as well as by the pla-
nned highway connection to the mainland. Regional and tran-
sit trafc should mainly concentrate on this stretch.
Regarding the specic route denition and design of the road
and installations, it is recommended that the municipality of
Ston formulates and vigorously represents its interests to the
road building authorities at an early stage.
Number of access roads to the highway must be dened. That
has to be based on research and indications shown by trafc
data. Furthermore, the research should function as a base for
dening models on how to initiate driving into the area.
Local public transportation (bus lines) should adapt to the
size of settlements (geographical destinations) and, in additi-
on, offer express connections to Dubrovnik.
Apart from the road network, a hiking path network for wal-
kers and cyclists (mountain bikers) should also be created
and stepwise extended.
Integrated area management system indicates need for or-
ganized parking concepts with auxiliary facilities (such as re-
strooms, information and recreation facilities) and rest areas
along the highway.
Ston wall
Infrastructure
Development
According to the development goals, infrastructure facili-
ties should be designed as decentralized and individually
optimized. Energy saving methods should be used to bring
advantages.
Sustainable energy resources, which can be used, are wind
energy (wind wheels, wind parks in adequate areas) and sun
energy (thermal solar installations, photovoltaic installations),
and if applicable waste to energy methods. Additional energy
costs, when compared to non-sustainable resources, must
be separately evaluated, primarily as a long term benet for
the municipality and as a strategic marketing element.
It is recommended to consider alternative energies in an early
stage of planning, so that any additional investments could be
reduced to minimum:
~ Waste disposal, waste separation, composting and
recycling of organic fractions, thermal treatment of
high calorie ingredients (synthetics among others)
and usage of produced energy (applies only to cen-
tral systems). The PPU has already dened location
for such facility lying west of the Prapatno Bay.
~ Complete biological waste water treatment, size-
adapted treatment plants, usage of grey water for
irrigation, sludge disposal to agricultural areas. Any
disposal to the sea should be avoided.
~ Collection and storage of rain water in order to use as
service water.
~ Collection and storage of rain water in order to use as
service water.
~ Central power supply concept, if possible via under-
ground lines, with an option of inserting own produ-
ced energy into the grid.
~ Explore possibilities of central or decentralized su-
pply of natural/liquid gas.
(bottom) Aerial view; (right) Ston centre and walls
116 Five elements of Ston - Development Concept of Ston PART II: IDENTIFICATION OF DEVELOPMENT SEGMENTS 117
IDENTIFICATION
OF DEVELOPMENT
SEGMENTS
In this chapter we have identied a general planning fra-
mework; specic projects and their implementation (see Map
9). They are all part of the Lisbon strategy, which strengthens
local perception and conveyance of the Brand Ston. In this
context, activity elds for development measures without di-
rect relation to spatial planning will also be mentioned:
~ Identify values
~ Develop and maintain their values
~ Transmit values = PR-Concept
Local information (signs and info boards)
Flyers and brochures
Internet presence
Cooperation with agencies
Cooperation with Dubrovnik = a trip to Ston be-
comes obligatory in order to understand the em-
bedding of Dubrovnik into the scenic and econo-
mic surrounding for which Ston is of extraordinary
signicance.
Experts exploring municipality
~ Development of tourist services in smaller facilities,
respecting sustainable capacity, promotion and sup-
port of private initiatives
~ Control and support of already existing and other
local initiatives
~ Improvement of sea access and water sports offer
~ Boat trips to the islands and oyster farm viewpoints
~ Creating oyster facilities on the coast (mussel and
sh processing, tasting stations)
~ Connection to the national road
~ Good infrastructure:
Road wide enough and with good connections
Infrastructure (water, ELT, telecommunication) in
the street connected to the nearest hub
Waste water treatment directly at the site of accu-
mulation, local usage of grey water (sludge remo-
val and utilization according to local conditions)
Waste separation and partial treatment (crushing,
compacting, possibly composting) on site, remo-
val for treatment and deposit via road
~ Estimated size of the development
Site preparation, site of approx. 50,000 m
30,000 m for road construction and road
extension
Water supply from the nearest main line, pipes,
adequate water supply provided, L = 3,000 m,
diameter 150 mm, one pumping station
Electrical supply from the nearest main line (main
stretch form West to East, new construction in
connection with the highway construction), l =
8,000 m, 1 transformer
2 waste water treatment installations 100 m/d each
RESORT(S) STON ............................... 1.1. TO 1.4
~ Alternative location for one large resort, 800 to 1,000
beds (in the East Development Area)
~ Location along the coast
~ Not shaded by the hills (west, south-west orientation)
Waste water treatment directly at the site, local
usage of grey water (sludge removal and utilizati-
on according to the local conditions)
~ Integration of walking and hiking paths
~ Shuttle connection to Ston: bus and boat
~ Wellness offer
~ Prolongation of the season by special offers
(such as wellness, sports, seminars, congresses,
competitions)
~ Integration of the season by special offers (such as
wellness, sports, seminars, congresses, competitions
~ Respecting the principle of development use
structured limitation of use
BRIJESTA .......................................................... 2
~ Urban development of the village by creating proper
waterfront and other functional segments
Seaside potential beach
Planned national street
Walking / hiking paths
Boat tours
Napoleon Road
View points
Projects and measures 9
13 Oyster
17 D8 route
18 View points
11 Boat tours
16 View points
3 Dubrava
4 uljana
Brijesta 2
13 Oyster
21 Commercial /
business area
19 Exit A1 Ston
5
Ston
10
17
D8 route
1.1 Resort location
1.2 Resort location
1.3 Resort
location
18 View points
11 Boat tours
Walking / 15
hiking paths
Wine - Olives 14
15 Walking /
hiking paths
Holiday homes 20 Boat tours 11
Resort location 1.4
PRAPRATNO ....................................................20
~ An area for holiday resort above the bay
~ Small hotel
~ Planning suitable connection to the coastline and the
sea, whereas generally the use of sea and access to
it represent a big challenge.
the streets and connected to the nearest hub
mulation, local usage of grey water (sludge removal
and utilization according to the local conditions)
Site preparation, site of approx. 80,000 m
10,000 m for road construction and road
extension
Water supply from the main pipe (Ston) providing
sufcient water supply, L = 4,000 m, diameter
150 mm, one pumping station
Electrical supply from the closest main line (Ston),
l = 4,000 m, 1 transformer (line already planned
up to the pier)
2 installations for the waste water treatment,
80 m/d each
DUBRAVA /LUKA .............................................. 3
~ Soft, small scale tourism development
~ Development of small areas, small family hotels,
small restaurants
~ Development of beach area with limited amount
of camping places connected to the existing olive
groves. The target is to offer high quality without ha-
ving too much impact on the dimensions of existing
settlement structures.
~ Development of high quality tourist attractions
Road wide enough, with good connections
mulation, local use of grey water (sludge removal
and utilization according to local conditions)
Site preparation approx. 20,000 m
10,000 m of road construction and road extension
Water supply from the closest main pipe, provi-
ding sufcient water supply, L = 2,000 m, diame-
ter 100 mm, one pumping station
Electrical supply from the closest main line, l =
2 installations for the waste water treatment 50
m/d each
Ferry Port Prapratno
ULJANA .......................................................... 4
~ Careful development of tourist offer, preserving all
existing small scale structures
~ Development concept with smaller facilities no lar-
ge scale extension to the hinterland; walking distance
to the seaside
~ Fundamental rearrangement of the settlement with
an emphasis on marginal and trafc areas
~ Offer development for diving
~ Complete rearrangement of street system with focus
on still trafc
Direct access from the county street to the city
centre using wide branching-off road
mulation, local usage of grey water (sludge remo-
val and utilization according to local conditions)
Site preparation approx. 50,000 m
25,000 m of road construction and road extension
Water supply from the closest main pipe, provi-
ding sufcient water supply, L = 3,000 m, diame-
ter 150 mm, one pumping station
Electrical supply from the closest main line, l =
2 installations for the waste water treatment waste
water treatment 80 m/d each
~ Improving the development
~ Solution for stil trafc (parking)
STON AND MALI STON ..................................... 5
~ An offer to experience the city architecture and history
~ To establish info centre with info boards and info
materials
~ To display historical buildings
~ Riva, the main promenade, is supposed to integrate
the square, the fortication, the Marina, the saline,
the church (subsequent use) and the town hall into a
complete concept (see Map 10)
MARINA STON .................................................. 6
~ Expansion and development of the existing area
~ Connection to the city of Ston
~ Development of the Marina along the new Riva
CITY WALLS ..................................................... 7
~ Entrance fee for the purpose of fund maintenance
~ Install cashier ofce with info boards and info materials
~ Create a booklet about the fortications that will give
an insight into their historical background, function
and development
~ Chairlift to the highest point of the fortications
View to Mljet
Ston central area 10
M. 1 : 2.500
0 50 100 m
Town wall
Monastery Church
Townscape Fortress
Saline Tourist info
Marina
Seaside
promenade
Fortress
Tourist
info
Saline
Grocery
shop
Marketplace
Sport harbor
R
e
s
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d
e
n
t
i
a
l

d
e
v
e
l
o
p
m
e
n
t
FORTRESS ........................................................ 8
~ Develop the concept for use and different purposes
of the fortress
~ Organizing cultural events
~ Develop a restaurant with view of the saline and sea
~ Integration of Riva and Marina
TOURISM INFO CENTRE .................................. 9
~ In the centre of Ston, on the road, with immediate
visibility, e. g. in the fortress
SALINE ............................................................10
~ Establish the info centre Saline, with tourist orienta-
ted events, guided tours and demonstrations of the
traditional crafts
~ Create the booklet about the history and functioning
of the saline
~ Put signs for the Salinas
BOAT TRIPS ..................................................... 11
~ To the south coast and Ston Channel
~ Transfer from the hotels to Ston
~ Oyster Farms
~ Speed boat through the Elates and to Dubrovnik
ACCESS TO THE ADRIATIC SEA .....................12
~ Reduce and eliminate the insufcient number of
accesses to beaches/waterfront
~ Improve water access at steep and rocky shores
providing high quality, diversity and children friendly
environment
OYSTERS .........................................................13
~ Creation of a visitor information centre Oysters
~ Elaboration and distribution of info document Oyster
farming
~ Design of signage and info system Oysters
~ Organization of boats and sightseeing tours based
on Oysters and other activities such as swimming,
snorkelling or diving; presentations, explanations,
tastings, test events
~ Connecting industrial progress, processing and mar-
keting with tourism-oriented presentation installations
WINE AND OLIVES ...........................................14
~ Create wine and olives info centre
~ Open wine inns and improve offer and promotion of
rural food
~ Elaborate the prospect Wine and olives
~ Signpost the locations with wine and olives offer
Ston, outside the wall
HIKING PATHS .................................................15
~ Creating hiking paths towards the mountain ran-
ges (goat paths) and peaks to experience the
landscape
~ Create connective system of bus lines
~ Elaborate a booklet Hiking paths
~ Signpost the hiking paths
~ Integrate the Napoleon road through Peljeac
VIEWPOINTS TO MLJET ..................................16
~ Set up viewpoints to Mljet and the ridge in the moun-
tain range of Zagorje
Gastronomy
~ Target within the network of hiking paths
Chairlift
NEW STRETCH OF THE D 8 / D 414 ................17
~ Within the framework of the participation procedure,
but also prior to that on a political level, it is important
to introduce the interests of the Municipality of Ston:
Inuential trafc route through the Municipal area
~ Good Inuential trafc route through the Municipal area
~ Good connections to the Municipality roads at least
in the areas of Brijesta and Ston
~ Determine the height of the bridge across the Ston
Channel to make it possible for the sailing yachts up
to min. 20 m height to pass through
VIEWPOINTS NATIONAL ROAD .......................18
~ Set up viewpoints/rest areas along the new section
of national road D 8:
~ With view to Ston
~ With view to Brijesta
~ Construct signs for the viewpoints
CONSTRUCTION OF THE HIGHWAY A 1 .........19
~ Within the framework of the participation procedure:
strong inuence to create exit Ston, its location and
clear signposting
COMMERCIAL AREA .......................................21
~ Good connection to the current and future D 8 road
~ Location in the development area East
~ Avoid constructional dominance by means of distan-
ce to settlement areas and intensive integration of
greenery
View to the wall of Ston
PART III
You see things and you say, Why? But
I dream things that never were and I say
Why not?
George Bernard Shaw
Part I deals with the key elements of Ston and precisely
introduces the current situation in the municipality, denes
strengths, weaknesses, opportunities and threats, as well as
developmental direction of the region, with strong emphasis
on the sustainable development as the main objective.
Part II was prepared by urbanism experts, town developers
and engineers. Basically they have applied developmental di-
rections to the spatial situation in the municipality, compared
INTRODUCTION
it with existing planning documentation and dened general
areas for specic developments to happen. In order to de-
ne feasible development locations, the main difculty was to
bring together different aspects which had to be considered,
such as: physical attributes, requirements for developmental
direction (especially sustainability), spatial planning and terri-
torial allocations, land ownership (public land as development
priority), access, infrastructure, etc.
Part I and Part II are general, theoreti-
cal parts of this study. Part III, however
will deal more with realization of develo-
pment. In the beginning the vision has to
be dened and than split into development
projects, which, when realized, will turn the
vision into reality. Elaborated realization pro-
gramme denes the general approach that
the public authority should adopt in order
to realize the development. (How to start?;
How to manage the projects?; How to -
nance them?; In which timeline?; How fast?;
How to involve private sector? etc.)
Graph 5: Study concept
(right) Centre of Ston
P
A
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I
I
I
P
A
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T

I
I
P
A
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T

I
Development
Potentials of a region
Development Frame and Goals
(Municipal Development Plan)
Realization Program
Destination Marketing
and Brand
Investment Projects
Organization and
Financing
Destination Development and Management
Development Vision
Strengths
Weaknesses
Opportunities
Threats
130 Five elements of Ston - Development Concept of Ston Development Concept of Ston 131
DEVELOPMENT
VISION STON:
The development vision of Ston is created out of:
~ strengths and potentials of the region,
~ dened development goals,
~ local opinions
~ feasible orientation
When formulating the development programme, it is essen-
tial to integrate the real market needs (developments which
have high realization chances) and combine them with local
development goals and desires. These two aspects, private
interest and public interest, can sometimes be completely
contradictorily. In order to achieve sustainability objectives it
is also necessary to include environmental interest into the
equation, which is likely to make it even more difcult to reach
consensus. That consensus precisely is the foundation of the
sustainable development. For the development to be reali-
zed, at the same time satisfying public interests, protecting
natural resources and bringing returns to the private sector,
the municipality must have professional management unit of
development experts.
While formulating the vision of development, it is essential to
focus on traits which make the region different, more speci-
al and unique. The target market (especially market niches)
must be clearly dened, while organizing particular develo-
pment segments or individual development projects. This is
especially important for tourist, service and retail business,
but also for the production and sales of local products.
Based on:
~ development potentials and goals dened in Part I & II,
~ unique traits and resources
~ implementing above described approaches,
~ discussion sessions with local authorities, entrepre-
neurs and people,
(top) Figs; (right) Ston walls
Ston, with its historical and cultural places, stunning
Mediterranean scenery, preserved nature and unique lo-
cal products and hospitality, will be a destination which
inspires to visit, to return to and to live in.
place, offering great variety of local products. Simple style
bars, cafes and restaurants will be the place where local pe-
ople will intertwine with their guests enjoying together the
small town life. Renewed buildings inside the towns, home
to boutique hotels and quality private accommodation, will
offer authentic comfort to those enchanted by the romantic
old town atmosphere.
New development projects, both commercial and residential,
will bring the deciding impulse for the local economy, ena-
bling local people to pursue diverse new opportunities for
work and life in the region, as well as attract back some old
and new Ston people.
A new state-street passing through the municipality will bring
Ston closer to West and make it just a stone throw away
from Dubrovnik. Viewpoints along the street will offer those
driving through spectacular views of cultural and natural be-
auty of Ston, inviting them to stay and explore 5 elements of
Ston.
Development of modern infrastructure, state of the art, waste
and water management systems, energy produced from re-
newable sources, involvement of local government and eco-
nomy, dedication to preservation of environment, care for and
involvement of local population, public support to the private
sector, social responsibility of the private sector, all that toge-
ther will make Ston the destination which lives and breathes
sustainability.
Europes longest city fortication wall, Roman Salinas and
the town of Ston, founded by the Republic of Dubrovnik and
built on same 1272 dened statutes like Dubrovnik, make the
Ston municipality a signicant place of culture, which in fu-
ture, once again, will be recognized, thanks to the historical
importance it bears. Valuable cultural and historical sites will
emphasize international reputation of Ston as historical and
cultural destination.
Furthermore, Ston will become a destination famous for its
valuable and diverse nature, spectacular landscapes and pic-
turesque views, wild hills and cliffs emerging from vineyards
and olive groves, deep blue sea, hidden secluded bays with
spectacular beaches. Nature paths together with the old Na-
poleon road are welcoming those in love with experiencing
nature, culture and history by foot, bike or horse.
Authentic organic sea and agriculture products, produced at
local farms according to ecological principles, with its special
taste, which Ston visitors will never forget.
Events, programs and products celebrating 5 elements of
Ston will build international reputation of Ston as an authentic
destination, dedicated to the guests with high quality expec-
tations and individual approach.
Restructured and renewed villages burst with lively Dalma-
tian atmosphere, which motivates guests to explore narrow
streets, framed with merchants, leading to central market
(top) View to the Ston walls; (right) View from the other fort
134 Five elements of Ston - Development Concept of Ston PART III: FROM VISION TO REALIZATION 135
As vision is set, one knows where one wants to be. How to
get there is the key ingredient of next pages. Clear vision me-
ans clear direction, which allows us to pave the way of the
development. The start is to dene the development measu-
res required to realize the vision of Ston. The following step
is to dene each measures and to structure the development
projects within each of them. Out of that the action and im-
plementation plan is structured, which step by step leads to
desired goals.
FROM VISION TO
REALIZATION:
(top & right) Mali Ston sights
Ston municipality vision is a backbone in esta-
blishing the program which will enable Ston to
reach its goals. One can divide required develo-
pment process in three main measures. The de-
velopment of these measures is a deciding factor
in reaching the targets.
Development measures:
A1. Development of tourism as the engi-
ne of further development
a. Destination development (brand, mar-
keting, sales, projects, services, etc.)
b. Destination management
A2. Initiation of Investment projects:
a. Upgrade of existing tourism, service and infrastruc-
ture facilities public private
b. Supplement urban structures with new facilities
c. Infrastructure development according to develo-
pment needs
d. Partial reorganization of the urban structure of
Ston and other villages
e. Development of new zones with new facilities
(commercial, tourist, residential)
A3. Development of Private Business Sector (produc-
tion, trade and services)
a. Development of new products (agriculture based,
arts, handcraft souvenirs, etc.)
b. Development of the supply sector, especially to
meet the needs of upgraded, extended and newly
created tourist facilities
c. Development of services aimed at the local popu-
lation, local entrepreneurs, and especially at the
new demand, as a result of tourism development
Activities denoting measures A1 and A2 are directly connec-
ted in certain instances, while the measure A3 can be perce-
ived more independently. Production, trade and service acti-
vities must be carried out actively and initiated by the private
business entities; however it is signicantly stimulated and
supported by the activities from measures A1 and A2. Increa-
sing demand, as a result of tourism development and realized
investments, has to be synchronized with simultaneous busi-
ness development program in order to accelerate successful
municipal development.
The Development
Measures
A1
Ston Tourism Ston
Investment
Ston Business
Development
A2 A3
Graph 6: Ston Development Measures
Preparation and management of the publicly initiated deve-
lopment and investment program should be responsibility of
the central experts unit. This unit will be directly connected
with municipal authority and the council, which are controlled
and inuenced by the municipal government. Nevertheless,
the development unit should be operationally independent, in
order to establish efcient management, fully applying private
business principles.
Primarily the actions such as:
~ branding,
~ marketing and
~ coordination of nancial programs
~ administrative support
are typical measures of strengthening and promoting local
business sector under guidance and management of the mu-
nicipal development unit.
Organizational and
Institutional Set up
(Municipal Development Unit MDU)
Private business should keep the initiative in terms of new
start-ups and further development within production, trade
and service sectors. To encourage private initiatives and im-
prove conditions for the private investments, support pro-
grams for private sector should become an integral part of
public actions, managed by the MDU.
Ston Centre
Workshop during study interim report, Ston, Vila Koruna
This kind of support to the private sector is a signicant tool,
which will help to reach simultaneous development of all three
segments. Succesfull development can happen in two in-
stances. Firstly if private sector efciently capitalizes and de-
velops on account of public initiative, and secondly if public
sector responds properly to the private sector development
pressure. Simultaneous development within all three measu-
res is optimal; however this can only be achieved as the result
of professional development management.
The Ston Municipal Development Unit (MDU) has to be
established with a clear structure of tasks and with a team of
professionals working on the deciding development measures.
MDU is the driving unit which prepares and manages fur-
ther processes and subsequently realizes them on behalf of
municipality and private entities.
Ston Business
Development
A3
Ston Investment
A2
Ston Tourism
STON
Municipal Development
Unit (MDU)
Financial Support
Business Funding
Program
Administrational
Support
Branding and
Marketing
A1
Ston
Tourism
Ston
Investment
Ston Business
Development
MUNICIPAL DEVELOPMENT UNIT (MDU)
~ develops and realizes tourism
development strategy
~ is in charge of the Destination
Development
~ develops programs for encouraging
and helping private sector to develop
tourism
~ cooperates and helps public and
private tourism entities
~ prepares, develops, realizes
infrastructure
~ coordinates reconstruction, renovation,
restructuring of public spaces
~ coordinates public bodies involved
in important segments (water, waste,
sewage, energy, etc.)
~ cooperates with public and private
entities
~ prepares, develops, realizes business
promotion, support, subvention programs
~ coordinates and cooperates with regional
and national agencies and banks
~ supports the private sector
~ helps private initiative realization
~ provides link to international /national
bodies
Ston Tourism Board
Hotels, private accomodation, camps
Rural Tourism Facilities
Travel industry (agencies, organizers, etc.)
Restaurants, bars, etc.
Sport and Recreation
HZZZ and other employment agencies
HBOR, EU fund management bodies
Foundations, Clusters, Associations,
Business Groups
Regional and National
Development Agencies
Ston Communal Company
Regional Water Company, Hrvatske Vode,
County department, Ministry
Energy Company (HEP), private energy
companies, Fund for energy efciency
county, ministries,
Graph 7: MDU - tasks and public sector partners
Graph 8: MDU - segments
This organization should be separated from daily public ad-
ministration and tasks. It should not depend solely on public
budget nancing.
MDU is a crucial tool needed to initiate dynamic develo-
pment and induce investment initiatives. It will create pro-
grams, steer realization of public projects, manage the pro-
cesses and be in charge of bringing public and private sector
to the same speed in the fast lane of development.
MDU will have following objectives and goals:
~ to transform municipal potentials into concrete reali-
zable project opportunities
~ destination development and management, marke-
ting, brand
~ to attract investments and ensure nancing in order
to realize projects and business set-ups
~ to supplement funds and grants
~ implementing experts under guidance and control of
the MDU
~ MDU under public control and general guidance
~ municipality has big land assets this can be used
as security for nancing funds
From these rather general objectives, more detailed work
program is elaborated. Purpose of the work program is to
emphasize and highlight the potentials of the region, and to
transform them into investment opportunities. Promotion of
the region together with investment opportunities will attract
investors and nancial support programs, which will enable
transformation of these potentials into successfully realized
actions, bringing benets to all stakeholders.
From the rst impulses, to the preparation and realization of
larger projects, a detailed work program will be formulated
as a part of the MDU establishing process. General outline
of this program is divided in two parts (short term and long
term elements). Based on international experience in similar
programs it should resemble propositions in Graph 7.
Ston Brand
~ products
~ services
~ tourism
offers
~ region
~ culture /
historic
values
Organization
Modern
Tourism
Packages
e.g.
cultural &
historical
hiking week
Initiating
Events
e.g.
vine & oyster
weekend
festival
5 elements of
Ston
event week
Initiating
Initial
Projects
draft horse
projects
~ tourism
~ commercial
~ residential
National and
International
Marketing
~ projects
~ tourism
~ packages
~ events
Upgrade
Support
~ planning
~ nancing
~ management
Implementing
Missing
Local
Components
according
analysis
Public
Support
~ land
development
~ infrastructure
~ EU nancing
~ investment
management
Investor
Support
Local
Business
Support
~ promotion
~ nancial
~ etc.
S
H
O
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T

T
E
R
M
M
I
D

T
E
R
M
Graph 9: MDU Long term and Mid term goals
In order to set up MDU and have it as an operational work
unit, the rst phase budget must be secured (1-2 years). Mu-
nicipality of Ston is in a difcult position regarding its public
budget resources. Therefore it is strongly recommended for
the municipality to try to provide the required nances from
the following resources:
~ local and regional private sector
~ interested investors
~ grant programs county level
~ grant programs national level
~ grants and donations international level
Roughly estimated budget for the MDU set-up:
Prior to the actual start up, it is necessary to go through a
pilot phase during which the development expert team will
work on the basis of cost coverage for a short period of time.
This initial phase would have two main goals:
1. organizing and securing start-up budget
2. dening MDU content as per list below
Destination development and management program:
(branding, marketing, initial destination development)
100.000
Initiating investment projects (see project plan) 100.000
Public support to local business 50.000
Operational MDU (rent, travel, equipment, etc.) 50.000
Start up budget (rst 1-2 years) for MDU 300.000
Table 32: Estimated budget detailed calculation is to be derived in cooperation
with public authorities in pilot phase of detailed business plan development
Pilot phase to set up business plan (10 %) 30.000
Table 33: Estimated cost coverage for the pilot phase
Estimated cost coverage for the pilot phase:
Main tasks/contents of MDU pilot phase (3-6 months):
~ Dening MDU ofce location
~ Dening clear organizational and legal structure
~ Cost estimation to set up business (equipment, ma-
terials, staff, etc.)
~ Forming the team (one to two employees and regio-
nal development manager)
~ Setting detailed program for tourism development
measures
~ Preparing initial investment program preparati-
on documents for the initial nancing (PPP, private
investment)
~ Dening the activities for the private business promo-
tion (active dialog with local business)
~ Acquisition of appropriate experts for the above
mentioned activities
~ Detailed business plan incl. required nancial analysis
~ Acquisition of budget from different sources
Required experts for the pilot phase:
~ regional development expert (team leader for the
pilot phase)
~ destination development expert (experience, opinion,
recommendation)
Grapes Oranges
~ local coordination team member
~ nancial expert (elaboration business plan)
~ lawyer (legal background and structure of MDU)
~ graphic designer to support and elaborate the pre-
sentation of business plan
Possible sources of nancing for MDU activities:
1. municipal budget allocation
2. bank loan for MDU business set up (public land as
security)
3. raising private fund from investments of the local
entrepreneurs, as a loan to MDU (repaid later with
attractive interest out of the project returns)
4. bank loan for the nancing line of the project-start
up in order to set up one signicant PPP project (e.g.
municipal port and waterfront zone or uljana T-zone,
Brijesta commercial zone)
5. public grant / funds
Sources for re-nancing of committed MDU budgets:
~ Use of the municipal land: sales, rent, concession, op-
tion contract fees
~ Communal fees (investment preparation for the zone
development will be calculated in public project costs
together with infrastructure and also has to be calcu-
lated into public communal fee structure)
~ Incorporating investment costs for PPP project as a
project cost which will be refunded by the winning
PPP-partner
~ Implementation of a tourist investment fee (e.g. related
to tourism turnover/nights as a contribution to the mu-
nicipal development program)
~ Increase of public tax and fee income (land transfer
taxes, income tax, communal fees, tourism tax, etc.)
on a similar project, direct nancial return from the pu-
blic project is approx. 4 % one-off from total project
investment amount and annually ca. 20 % from the
turnover of new business!
Graph 10: Model for Starting and Financing a Competitive
Dialogue for PPP Projects by a PPP Procurement Fund
View from Ston walls
Loan Properties
Shares
Equity
Shares
Compensation
PPP Procurement Agreement
Securities
Initial PPP
Procurement Costs
Refunding of PPP
Procurement Costs if
Public Side blockades the
Competitive Dialogue due
to Political Reasons
Insurance Fee Political Risk to Stop the PPP Procurement
Refunding of Procurement Costs
Bank
PPP
Procurement
Fund
Private Properties
Private Equity
PPP Procurement Team
Local Authority
Insurance
PPP
Procurement
according
Master PPP
Plan Business
Model
Program Possible Users Allocations Purpose of allocation
Fund for Regional
Development
Municipalities, Counties n/a
Realizing communal infrastructure, economy infrastructure, rural
development
IPA CBC Monte
Negro
Non-prot NGOs, or public
entities
1.620.000 (2009)
Environment protection, natural and historical heritage
protection, creating tourism products, cooperation between
institutions and organizations
IPA CBC BiH
entities
3.600.000 (2009)
Creation of joint economic space, improved quality and social
cohesion
IPA CBC ADRIATIC
entities, or SMEs
25.000.000 (2009) Priority 1 economic, social and institutional cooperation
IPA CBC ADRIATIC
entities, or SMEs
25.000.000 (2009) Priority 2 natural and cultural resources and risk prevention
IPA CBC ADRIATIC
entities, or SMEs
25.000.000 (2009) Priority 3 accessibility and networks
IPA IIIB environment
protection
State administration, local and
regional government, SMEs,
agencies, associations
53.500.000 (2007 2009)
Waste management facilities, water supply network and
and water treatments facilities, construction or renewal of
wastewater network,
IPA IIIC regional
development
entities, or SMEs
18.440.000 (2007-2009)
Improvement of investment climate, technical assistance
(measure 3.2 development of sector studies, preparation of
programing documents and project ideas)
IPA V rural
development
Agriculture companies and
associations, local and regional
government, crafts
76.900.000 (2007-2009)
Investment and restructuring of agriculture entities, investment
in processing agri and mari products, improvement of
landscape and environment, improvement and development
of rural infrastructure, development and diversication of rural
economic activities
CIP entrepreheurship
and innovation
SMEs, institutions, local and
regional government, etc.
2.17 billion (2007-2013)
Easier access to nancing for start-ups and new businesses,
creating environment suitable for business cooperation,
promoting innovations, support to eco-innovations, support to
policies encouraging entrepreneurship and innovations
CIP inteligent energy
Europe
SMEs, institutions, local and
regional government
Improving market conditions, encourage renovable energy
usage
Fund for environment
protection and energy
efciency
Public and private entities n/a
Programs and activities according national strategy for
environment protection
Culture
Research centers, local and
regional government, SMEs,
universities government
administration
400.000.000 (2007-2013)
Multianual projects 3 to 5 years, cooperation of institutions in
culture, analysis and spreading cultural cooperation
EUROSTARS
SMEs, big companies,
research centers
400.000.000 (2007-2013)
Encouraging and strenghtening research activities of SMEs,
development of new product, service, process, etc.
EUREKA
Companies, SMEs, research
institutes, universities
n/a
Improve competitivness of EU companies, developing inovative
products, processes and services. Activities from agriculture
and sea resources, enironment and people protection
Table 34: Financial sources EU funds and Programs
Mali Ston
board, or if a new entity should be formed. Further in this text,
according to the international experience and considering the
human resources of the Ston area, most of these tasks will be
added to the list of the MDUs duties, since the access to the
full time available experts is quite difcult and unlikely.
The main task of the entity for destination development and
management is to awake the potentials of the region!
WHAT IS A DESTINATION?
A destination is a place worth leaving home for a country,
city, museum, theatre, arena, retail centre, restaurant, resort,
beauty spot, or a mix of all of these. Those are places that pe-
ople want to invest in, to work in, to learn in, to shop in, to play
in, to relax in, to be entertained in, to live in or to retire in.
*
Background of destination development in Ston:
~ Ston is unknown in most segments of tourism market
~ Ston is lagging behind its possibilities, using mini-
mum of its potentials
~ Missing brand and marketing
~ Landscape potentials are partially degraded by previ-
ous impacts, so only parts of the landscapes values
can be used.
~ Risk, that the possible advantage of the new road, will
be not capitalized, while there is a potential threat for
Peljeac to simply be reduced to a coulisse for the road.
* Brand Strategy for destination development - LoccumConsulting, United Kingdom
Tourism sector, even so undeveloped as it is today, is still the
third job provider in the municipality. Tourism should play an
important role in the future development of Ston, as it has
enough potential to be the driving factor. In order to realize
these potentials, a detailed program for tourism development
must be constituted with a particular stress on dening the
target markets as the basis of development. One of the rst
and basic actions, as dened by the evolution of tourism de-
velopment is the Destination Development and Management.
DESTINATION DEVELOPMENT AND
MANAGEMENT:
The topic of Destination Development and Management is
currently being discussed at top levels of national tourist
expert bodies (Ministry of tourism, Tourism Boards Asso-
ciation, Institute for tourism). However, the nal conclusion
which body should undertake the duties of the destination
development has not been reached yet. Main discussion is
about whether it should become a task of the local tourist
Development Measure:
Development of Tourism
Awaking potentials
Key question of destination development:
How does a town or a region recognize its attractiveness as
a tourist destination and rally its resources to make the most
of its business opportunities? It is a complex question, which
involves infrastructure, tourist services and attractions as
well as marketing and the development of human capital.
Not less important is the issue of the viewpoint from which
the destination development is undertaken.
**

Segments of Destination Development
~ Destination Brand (building effective, recognizable
and attractive brand)
~ Destination Marketing (joint, targeted, effective desti-
nation marketing)
~ Services and Events (assisting and initiating the esta-
blishment of new services and events)
~ Investment Program (combining projects and inves-
tments into one program, thus making them more
attractive for the investors)
Stages of destination development lifecycle:
There are ve stages of destination development lifecycle.
Currently is Ston at the earliest stage, i.e. at the beginning of
the exploration stage.
** N. Johns, J. Mattsson / Tourism Management 26 (2005) 605616
Aerial view
Wildower
~ Exploration:
the earliest stage, characterized by very few tourist
arrivals and very little impact associated with tourism
the natural and social economic environment of
the destination has not experienced any changes
due to travel activities
~ Involvement:
second natural and social economic environment
of the destination has not experienced any chan-
ges due to travel activities
the natural and social economic environment of
the destination has not experienced signicant
changes due to travel industry
~ Development:
the third stage, at which a huge tour market has
already been established, drawing great quantities
of foreign investment
the number of tourists continues to soar
transportation conditions, local facilities etc. are
tremendously improved
the advertisement promotes sales
modern and large-scale facilities have already
changed the image of the destination
the travel industry develops quickly and the
destination becomes partially dependent on the
foreign labour force and assistance facilities
in this stage the destination should prevent
excessive abuse of the facilities; programming by
national or regional entities is of great importance
in order to achieve objectivity
~ Consolidation:
the fourth stage is characterized by decline in the
growth rate of visitors and other tourism-related
activities, although the actual amount of activity
continues to increase
the local population starts having bad attitude
towards tourist arrivals; the facilities of the past
decline to the second class facilities, especially if
not renovated or rebranded on time
~ Decline, Stagnation or Rejuvenation: which direc-
tion the destination will take is strongly inuenced by
the quality, professionalism and experience of the de-
stination management and measures taken by them
Graph 11: The destination life-cycle: Six stages - descriptors and indicators; Source: Butler, R. (1980)
Beach
Number of
Visitors
Time
CONSOLIDATION
~ slower visitor growth
with new market
development
~ seasonality focus
STAGNATION
~ peak visitor numbers
~ limited carrying
capacity
~ occupancy declines
~ business turnovers
decline
REJUVENATION
~ new/expanded/
upgraded attractions
and facilities built
~ new resources
developed
DECLINE
~ declining visitors
~ rundown infrastructure
EXPLORATION
~ few visitors
~ minimal tourism
infrastructure
INVOLVEMENT
~ visitors increase
~ some local tourism
investments
DEVELOPMENT
~ rapid visitor growth
due to promotion
~ more built attractions
~ some external
investments
Destination Development Plan and Realization
Destination development is based on the plan which has to
be elaborated according to the local needs and international
requests. Equally important part of the plan is to evaluate de-
stination resources as well as to have the vision and dene
the target market.
Example of contents of the destination development plan:
Source: Destination Development Plan
*
- Contents
Development planning:
Source: Statement on Destination Development
**
* Contents, Destination Development Plan, Southhampten, 2005
** Statement on Destination Development Loccum Consulting, United
Kingdom
Delivery or realization
Source: Statement on Destination Development
***
Private Sector as initiator of destination development
In most cases, public sector is the prime-mover of destina-
tion development. In case when organizational and institutio-
nal set-up is performed in accordance with market conditions
and requirements, the vision of development has good reali-
zation chances.
In several cases, private initiative or projects can lead to
successful development of a region or at least initiate destina-
tion development actions and growth of services and product
demand. Private sector can bring necessary dynamic to a de-
stination, especially by creating fast realized feasible projects
and strong sales organization.
*** Statement on Destination Development Loccum Consulting, United
Kingdom
(top) Anchovies
(bottom) Arranged beach - example
For Ston, it means that public sector, driven by MDUs activi-
ties, should actively encourage and support private initiative
and investment requests or even set a model where private
sector can realize business presented by the public side.
~ private tourist/event agency (to sell regional tourist
products, events and services)
~ missing services in Ston (setting conditions like e.g.
funded rent spaces, tendering operators)
~ PPP model for realizing the investments (e.g. in-
vestment program for sport areas, port and central
waterfront in Ston)
~ tendering of public locations according to the pre-
developed concept to the private investors
~ transferring know-how about setting up private
investment projects (refurbishment, upgrade, new
projects) help by connecting to signicant people
and institutions supporting approval process
This kind of approach will bring substantial boost to the eco-
nomic life of Ston, and at the same time enable creation of new
products and services suitable for the international market.
DESTINATION BRAND AND
MARKETING
Destination branding: Creating a lasting impression
Today, destination branding is one of the hottest topics
among both, place marketing professionals and politicians.
Many destinations from individual cities to entire countries
are adopting branding strategies similar to those of the lea-
ding product brands in order to differentiate and emotionally
connect with the potential tourists.
WHAT IS A DESTINATION BRAND?
A destination brand is more than a logo or a mark or a strap
line. It is an expression of the planned offer of value and expe-
rience that a place provides to consumers investors, busi-
nesses, institutions, residents, learners and visitors.
A destination brand provides a key to what the place is about,
to what its offer is and to the experience it provides. A succe-
ssful destination brand is a promise delivered and the uniting
bond between the experience on offer in the destination and
all of the people, who live, learn, work, operate, invest in or
visit there.
*
Main questions when creating the brand and marketing con-
cept are:
~ What is the product?
~ Where is it located?
~ What is it called?
* Statement on Destination Development Loccum Consulting, United
Kingdom
Sailing
Branding
~ Why is it different?
~ Who will buy it?
~ What is its pricing?
~ How will it be launched?
Ston brand and marketing
start up actions:
~ Creation of Ston international
brand and marketing guide-
book and program
Title suggestion: The Five Elements of Ston
also reected in the ve corners of the Ston wall
~ Analysis and preparation of organizational set-up
for marketing and sales of existing products and
services (local products, tourist offers, services)
Historical and cultural attractions and monuments
Coast / sea / bays
Products (oysters and other sea products, organic
fruits, vegetables, wine etc.)
Villages
Existing quality accommodation, tourism and
service offers
~ Production of the rst tourist products and start
of the marketing campaign
e.g.: 5 elements of Ston experience Ston in 5
days (organized program including different activi-
ties, accommodation, food etc.)
~ Organization of one main event that will bring
Ston in the international and national media! e.g.:
5 elements of Ston 2 days festival
Run and climb wall festival (wall to wall triathlon
Ston to Dubrovnik)
Culinary event (vine, oysters, music etc.)
~ Elaboration and targeted distribution of mar-
keting materials (website, brochures, professional
magazines, press info and others)
Especially highlighting already existing as well
as new offers / events, products, values and
attractions
Targeted distribution and preparation of marketing
materials
Building the network of sales partners
~ Travel and event agencies, local and abroad
~ Sales agents for niche markets
Developing destination Ston website, structured
in an inviting way and easy to navigate, offering
complete information
Signs towards and in the destination
~ Improvement and upgrade program
aimed at the existing facilities, to help bring them
to the higher quality level
to extend to new markets and reach further target
groups
~ to create new products, projects and services
Five Elements of Ston
CONCLUSION TOURISM SECTOR
DEVELOPMENT
The background mentioned above clearly conrms that the
development, branding and structured marketing of a desti-
nation such as Ston is activity which is worth the investment
and must be executed from beginning with high professiona-
lism and based on real market request.
In order to realize tourism development of wider area, which:
~ ts into the region,
~ is sustainable and,
~ improves the general life conditions,
it is necessary to develop it integrally, as a common destina-
tion, to market it jointly and to enforce strong sustainability
regulation from public side.
Destination development, management and marketing pro-
cess must involve external expert(s) to manage MDUs ac-
tivities with proven experience and success. It is vital that
the development of tourism is based on the joint story of the
destination, and that all components of the tourism are wor-
king in the same direction and are based on the same quality
principles.
Example, nature paths (National Park Paklenica, Croatia)
(top) Pool example; (right) Terrace restaurant example
Investment Program
The only way to realize the envisioned development is by
creating concrete projects and investment opportunities, re-
alization of which will bring the desired results.
During the process of creating and dening Ston develo-
pment projects, the investment program was formulated. In
terms of this program there are two kind of project initiatives.
Public and private investment initiatives are clearly distin-
guished, but must follow the same direction, especially the
public side that must be aware of the importance of the pri-
vate initiatives.
PUBLIC INVESTMENT INITIATIVES
Public initiatives are all those dealing with public locations or ha-
ving general public benet. Common determination for most of
the public initiatives is that they have following characteristics:
~ complex,
~ involving many different aspects,
~ barely feasible or even non-feasible,
~ bringing intangible benets,
~ impact prot augmentation of private sector, and
then subsequently benet from it,
~ improving life quality of the local population
~ improving opportunities for the local people
Public investment initiative in Ston region
Some of dened project initiatives are:
~ reorganization and improvement of urban structures
(Ston and villages) different projects
~ rehabilitation of historical and cultural monuments
and attractions
~ development of new zones (residential/commercial/
tourist)
~ rehabilitation of old settlements (public initiative and
support needed to clear up the ownership structures)
~ infrastructure investment (water, sewage, energy,
telecommunication, waste disposal)
~ walk, hike, bike paths and tracks discovering the
region program
~ green zone improvement/development
Coat of Arms Ston
PRIVATE INVESTMENT INITIATIVES
Investment initiatives from the private sector push forward the
development. While the public sets the stage for develo-
pment to happen, the private sector is actually realizing it.
Private investment initiatives are mostly:
~ smaller scale investments
~ not too complicated
~ motivated by individual gain and benet
~ protable
~ in most cases not too concerned with social and
ecological benets
~ positively impacting the public budgets
~ increasing employment opportunities of local
inhabitants
Private investment initiatives possible in Ston area (some of
dened project opportunities):
~ upgrade of tourist and service facilities (hotels, pri-
vate accommodation capacities, restaurants, cafes,
shops, etc.)
~ integration of missing facilities into existing urban
structures
~ lling the new development zones with facilities and
internal infrastructure (commercial, residential, tourist)
~ additional investment in attractions, services,
products renewable energy projects (wind, solar,
biomass, etc.)
For the successful development to happen it is important that
the relation between public and private sector is fair and tru-
stful. Public sector should initiate the rst development steps
in order to attract private investments. They should operate
in symbiosis, supporting and strengthening each other. For
that to happen, both sectors must nd a way to overcome the
main difference between them:
~ Public sector must accept the prot driven private
sector, and enable prot realization
~ Private sector must accept the public good, and
give up portion of the prot for common good
When that happens, both sides win, and the biggest winner
is the region and its people.
STON INVESTMENT PROGRAM
OVERVIEW
Ston Investment Program is structured and prepared accor-
ding to the development projects derived from the develo-
pment vision of Ston. These projects are balanced between
different economic segments. Locations are dened in accor-
dance with the thorough research (Part II of the Study).
Dened projects in the frame of Investment Program are divi-
ded into following segments:
~ Projects within urban and residential structures
~ Marina/port projects
Accommodation unit terrace example
~ Commercial projects
~ Tourism projects
~ Agriculture/tourism projects
~ Renewable energy projects
Locations of these projects can be seen in the map on pages
150/151.
Projects are further divided into eight groups according to
their locations. Within each location there are publicly and
privately initiated projects; some of the development projects
even have segments in which public and private interests
overlap. Project groups are:
~ Town of Ston Projects
~ Mali Ston Projects (entrance to Ston)
~ Prapratno Bay Projects
~ Duba Stonska Projects
~ Brijesta Projects
~ uljana Projects
~ South Region Projects
~ Central Municipal Area Projects
TOWN OF STON PROJECTS
Town of Ston is historical, administrational, cultural, event, to-
urist and residential centre of the municipality. It has a huge
potential to develop into a destination recognized worldwide.
In order to realize that potentials there are at least 8 project
groups that need to be initiated and realized, either by public
or by private sector.
(top) Church Ston
(bottom) Dandelion
Investment program focuse
10 year program
Visualization Ston
Centre
PROJECT GROUP 1
In this group the projects are put together in order to bring
Ston to the sea and enrich it with vivid and attractive seaside
life. Ston is already at the sea, but unfortunately, because of
the poor trafc solutions, misplaced soccer eld and parking
issues the fortress is not clearly visible. The access and visi-
bility of Salinas is also not optimal.
Projects within this group deal with new trafc solutions, cre-
ating the Riva a promenade along the coastline supple-
mented with commercial/catering/sports facilities, building
communal port with few commercial berths (enabling nauti-
cal guests to visit Stons historical core directly from their bo-
ats), and renewing todays ruins of the fort located in the very
heart of Ston. Most of these are projects which will enable
private initiatives to form and give value to tourism business
as well as to extend the offer of the area and dramatically
improve the life quality of local population.
Salina Ston represents one of the most important cultural and
historical treasures of the region. In order to regain the reputa-
tion it deserves, there is a program of making the Salina attrac-
tive for the visitors and in same time economically functional.
The goal of Salina investment program is to preserve the tra-
ditional production of pure healthy salt and to organize the vi-
sitors centre and guided tours. As comparison (learning from
the best) Mallorca (Salinas de Levant) has made its sea salt
production very famous and economically successful.
(top) Saline
(bottom) Fort Ston
PROJECT GROUP 2
Group two are projects concerning further refurbishment of
the Ston Walls and offer extension connected to it. Particular-
ly interesting is the project of Bartolomeo Wall and Mountain
Centre bringing completely different approach to the histo-
rical experience of the wall, and for the rst time including
spectacular view from the old fort Bartolomeo. This project
brings new adventurous offer in symbiosis with historical
and cultural experience. Climbing, hiking, mountain biking or
using a small cable car those are all the ways for visitors to
get to the Walls and enjoy the spectacular 360 view of Ston,
Mali Ston and the channels. This is an excellent project op-
portunity for the public-private cooperation which can bring
desired results to both sides.
(top & right) Ston Walls
Start / Info / Equipment
Cable Car
Top / View / Cafe
Biking Tracks
Climbing
Walking / Hiking
Tree Climbing
Ston Bartolomeo
Mountain Center
Vision
PROJECT GROUP 3
Ston centre projects are combination of public and private
initiative. Public authorities must get involved and clearly de-
ne the appropriate function of the public ownership. Howe-
ver, most of the buildings located in Ston centre are privately
owned. Therefore a strong public campaign or subvention
program should be developed to motivate people to make
the centre of Ston top class destination offering all services
and products required by its guests.
(top & bottom) Ston Centre
(bottom right) Napoleon road
PROJECT GROUPS 4,5,6,
These groups consist of individual projects dealing with ove-
rall improvement and development of Ston as destination.
These are the projects of refurbishment of historical buildin-
gs, further development of the municipal tourist board and
tourist facilities, as well as of the network of outdoor paths
and tracks for biking and walking. All these are both publicly
and privately initiated projects which signicantly extend the
regional offer and augment business activities.
Particularly interesting is the Napoleon Road Project initi-
ated by the local association called Peljeac Wine Roads.
This project envisions the restoration (appropriate for wal-
king/biking) of the original, 50 km long Napoleon Road
which would connect vineyards, agricultural tourist facilities,
traditional konobas, old deserted settlements and chapels,
and provide unique experience for the guests. Since it is lo-
cated quite high in the hills, it offers the most amazing view
of the entire area. This project is not limited only to the muni-
cipality of Ston, but as the entrance to Peljeac it should lead
the way!
(top) Ston municipal building
(bottom) Boutique hotel Vestibul, Split Example of succesful
re-use of historical building
No. Project Name Furhter Details
Urban Planning
Background
Project Approach Financing Approach
Conn.
proj.
St Ston village
St 1a
Marina / Port
Ston
Sport port Ston (marina) with further
service facilities appearing like
mediteranean marina
Included in county plan
as port Ston
Public initiated
private nanced and
operated
PPP, project nancing,
concession, etc.
St 1b
Riva Ston &
waterfront
Several Riva elements (service, leisure,
catering, entertainment, etc.)
Within urban structure
county plan changes
not necessary
Public initiated
private nanced
concession, etc.
Improvement and enlargement residential
area
Within existing urban
structure
Rennovation houses by
incentive programm to
owners new buildings
by structuring space in
a UPU/DPU
Private nanced, public
nancial incentives
St 1c Fortress Ston
Rehabilitation fortress with: info center,
music-culture-events, exibitions, shop
with local high quality products, quality
event restaurant and bar&lounge, club,
etc.
Under protection of
historical monuments
and buildings
Public initiated, public
controlled realization,
partially private
operated
concession, rent spaces
integration grants, funds
St 1d
Revitalization
Salina
Info center, tours, 3-D visualization
movie, shop
Under protection of
and buildings
Private with public
support and funding
Project nancing in frame
with further Ston projects?
grants, funds
St 2a
Further
refurbishment
wall
Further refurbishment, walkway and
viewpoints along whole wall
Under protection of
and buildings
Public project
Grants, funds, partially
private funding out of
connected projects
St 2b
Bartolomeo
wall and
mountain
center
Cable car to the top-point of the
wallmountain
Public intiated
private realization and
operation?
PPP model, project
nancing
Infoboards and materials
Walking / climbing the wall center and
tracks (hiking / biking)
Coffee/viewpoint top of mountain
St 3a
Reorganization
Ston middle
center
Replacing hypermarkets
Within urban existing
structure
Public initiated
private realized
Private nancing for
commercial projects
Establishing new nice service buildings
and forming center to mediterranean
place
structure
Public initiated
private realized
Private nancing for
commercial projects
St 3b
Ston private
service and
accomodation
projects
Upgrade existing and implementation
new facilities for service and
accomodation (e.g. small boutique hotel
in Ston center)
strucutre
Private initiated with
public support and
initial initiatives
Private investment
nancing
St 4
Refurbishment
further
historical and
culture spots
Under protection of
and buildings
Public
connected projects
St 5
Tourism
infocenter and
infoboards
Public
connected projects
St 6a
Ston walkways
and biking
paths
Public initiated
Public nanced, grants,
funds
St 6b
Peljeac wine
road
Revitalization of Napoleon Street as
unique attraction connecting past with
future, directly inuencing to cultural and
economical development of Peljaac.
Existing street, already
registered in most part
as public land, mostly
itss located outside
urban structures
Public project
(coordination between
several municipalities)
Public nanced
(development funds)
Table 35: Detailed list and description of Ston city projects
MALI STON PROJECTS
Mali Ston and especially the area of Zamaslina represent a
kind of municipality entrance.
They give the rst impression and the last goodbye. In the
future new developments (bridge/street) will slightly change
the position of this area, but it will not lose its importance.
The settlement of Mali Ston is a historical end point of the
Ston Wall. This traditional village of shermen and farmers
has developed into an exquisite gastronomy centre of this
area. It is located on the shore of the well protected Mali Ston
Bay, therefore having certain developmental limits (delicacy
of ecological balance in this bay for the purpose of oyster
growth). Projects listed for this area deal mostly with recon-
struction and improvement of the existing facilities and deve-
lopment of additional services.
Zamaslina location is not inuenced by the development li-
mitations (like Mali Ston) and is selected as the optimal loca-
tion for the development of commercial zone. The reason for
that is the new road corridor, vicinity to the settlements of Mali
Ston, Ston, Prapratno and the entire southern side of the mu-
nicipality, as well as the fact that it is close to the neighbouring
municipalities of Dubrovnik Coastal Region and Mljet. When
the 60 km radius is taken into consideration, one can see
that it covers the entire peninsula (and further, via Orebi, the
island Korula), as well as the area of Neum and Dubrovnik
(which still does not have a proper shopping centre). That
is adequate catchment area, especially when we consider
the tourism inuenced augmentation of population during the
period of 4 to 6 months in the year. In these terms a smaller
shopping centre denitely makes sense. It can also be ar-
gued that the shopping centre targets Dubrovnik population,
(which is used to driving in order to buy groceries Neum
area phenomena) espetially as it is likely that extremely high
land prices in Dubrovnik area and the narrow coastal strip
in the closest area will probably discourage shopping centre
development.
Development of the shopping centre to t the region would be
a combination of locally and tourist oriented facilities as well
as facilities oriented to the wider region.
Mali Ston
Ston catchment area
Offering the missing components to improve life quality of the
local people and make it more affordable and convenient to
live in Ston
Locally Oriented Facilities
~ hypermarket focus on the hypermarket food prices
~ cafes, bars new centre for the winter/bad weather
times
~ multifunctional movie theatre suitable for concerts,
lectures, etc.
~ gym supplemented with basic sauna/spa offer
~ retail brand stores offering middle class brands at
affordable prices
~ services beauty services, travel agency, post, bank
Offering the missing components to improve the experience,
attraction on its own enabling prolonged stay and out of
season activities and bringing neighbour staying guests to
spend their time and money in Ston
Tourist oriented facilities
~ hypermarket offering international shopping style
and brands
~ cafes, bars indoor centre for rainy days, internet
cafe
~ movie theatre with tourist oriented programs in
addition to movies
~ gym opportunity for daily workout, sauna/spa
usage, etc.
~ retail brand stores also offering local brands and
authentic products
~ services beauty services, travel services (short
trips), post, bank
Possible placement of shopping centre
(bottom & right) Examples of shopping centre developments
Offering missing components, attracting them to drive to
Ston; additional benets through catering business and one-
day visit activities as a supplementation to the shopping
experience
Region Oriented Facilities
~ hypermarket focus on hypermarket food prices,
affordability!
~ cafes, bars shopping break!
~ movie theatre Dubrovnik still doesnt have a mo-
dern movie theatre
~ gym experts and programs to attract
~ retail brand stores affordable prices, mid class
brands that lack in the area
~ services beauty services, travel agency, post, bank
The project, located on the public land, would enable attracti-
ve land investment model for potential investors, awakening
their interest for its realization in the municipality of Ston.
Project name Furhter details
Urban planning
background
Project approach Financing approach
Mali Ston
Revitalization urban
structure village
Small port Public Public
Center Public Public
Upgrade and supplementation
tourism and service facilities
Private Private
Boat start point oyster farm
tours
Private with public initiative Private
Table 36: Mali Ston projects
Stonecreek village Shopping Centre example
(top) Mali Ston inner streets
(bottom) Exterior arrangement example
PRAPRATNO BAY PROJECTS
Prapratno bay is an exceptional, natural bay, with a sandy
beach in the bottom of the bay and rocky coastline on both
sides. Development in the past has left the bay more or less
preserved, meaning that there are only scarce private houses
on both sides, a camp in the heart of the bay and a ferry port
on the left side.
The bay has a potential for further development, however
there are several limiting factors which must be taken into
consideration:
~ Privately owned campsite (difcult cooperation)
~ Public street (access to the right side of the bay is
passing over the beach!)
~ Steep bay banks (difcult for construction immedia-
tely next to the see line)
~ Private land unclear ownership (unclear titles, mul-
tiple owners)
In this area there is a combination of publicly and privately
initiated projects. The most signicant project would be the
Residential Development Zone, which is highly relevant for
the further development of Ston.
The reasons for placing an organized residential zone, inclu-
ding also a small hotel (80 beds) and the central area, at this
location are:
~ Vicinity to Ston
~ Non-steep location, facing west, with a spectacular
view
~ Public Land
~ Easy access to infrastructure (street, water, sewage,
etc.)
~ Already included in spatial documentation as a resi-
dential zone
~ High potential for realization of pilot project
Urban planning
background
Prapratno bay
Changing bay to
attractive quality
tourism spot
Upgrade camping or
changing to small T2 zone
T2 and T3 zone included
in proposal county plan
03/2009
Public initative private
realization
Private investment nancing
Changing bay to
attractive quality
tourism spot
Upgrade existing buildings
Public incentives to house
owners to refurbish
Private public funding
Residential zone
Prapratno
Mixed residential zone with
small hotel, central place and
key service facilities
Plot development as investor
model municipality
tendering best solution
Investor nancing model: option
contract for 2 years to realize landbuy
and start realization based on small
investor competition / or PPP model?
Table 37: Projects in the Prapratno bay
Prapratno Bay view from above
With all this in mind and considering the new street corridor
passing by, the experts have determined and sketched the
possible solution of this development project.
New street corridor will not have a lot of inuence on dened
location; thanks to distance and elevation difference (howe-
ver it is recommended that noise inuence study is made at
later stage).
Envisioned solution is an integral solution for the left bank,
and should be the basis for further UPU/DPU elaboration.
However in the further calculations, estimates are based on
the size of the public land only (area above the existing street).
View to location of the Prapratno Residential Zone
(above left) Prapratno plot ownership analysis; (above right) graphic excerpt
from PPUO Ston; nal draft, Prapratno Bay
Residential belt street corridor inuence Visual example of possible residential zone development
Residential zone Prapratno should consist of:
~ villas/apartments (for local and residential market)
~ small hotel (boutique hotel up to 80 beds)
~ restaurant, cafe, bar
~ central square plaza (where meetings and events
could take place)
~ small commercial spaces (daily shop, bakery, aut-
hentic products, etc.)
~ wellness/spa/sport (depending on the interest of
investors/private sector/ inhabitants)
Since the larger part of the project, here presented, is publicly
owned (land registered as the Ston municipality ownership) it
is strongly recommended for this to be the starting project for
Ston development. This can be realized through several mo-
dels, and it was already mentioned that it should be a job for
the municipal development company to structure and further
develop such project.
(left) Example of hotel exterior; (right) Infrastructure access lines
View to Prapratno Bay
a) Calculation municipality First stage development:
External development of the plot:
(only municipal part in rst phase)
30.000 sqm (only municipal part)
Land sales income municipality: 50 /sqm 1.500.000
External plot development:
Street access to the zone 100 m -40.000
External infrastructure access to the zone 400 m -80.000
Connection to sewage system 250 m -25.000
Costs for compensation land owners (infrastructure access) -50.000
Planning, UPU, DPU -180.000
Concept, marketing, management, investor competition -150.000
Beach and seaboard improvement -300.000
Remaining income municipality 675.000
+ Landbuy taxes (sale of plot + sale of realestate to end buyers)
+ Change of land purpose tax
+ Annual tax and fees to municipality
b) Calculation investor:
Landbuy price incl. land buy tax and extra costs: 7 % 1.605.000
Internal infrastructure and zone development, incl. green spaces 50 /sqm 1.500.000
Extra costs (planning, management, marketing, contingencies): 500.000
Total costs (rst rough estimation) 3.605.000
Use of spaces
Gross zone size: (gross built land) 30.000 sqm
Netto use of spaces for residential purposes: 70 % (net built land) 21.000 sqm
Small hotel and service area 5.000 sqm
Remaining size for residential buildings (villas) 16.000 sqm
Average plot size: 400 sqm
> No of residential plots: about: 40
residential building plots
Zone development costs on total zone size: 30.000 sqm 120 /sqm
Zone development costs on netto use zone size: 21.000 sqm 172 /sqm
Minimum risk/prot margine investor: 30 %
End sales prices building plots: 21.000 sqm 223 /sqm
Table 38: Prapratno Residential zone (example calculation all gures are rst assumptions, details must be elaborated out of rst project analysis)
The initial project calculation is given below and is based on
the municipal land ownership. It is initial assumption calcula-
tion showing what kind of income municipality could expect
from such development, but also roughly showing ROI for the
investor. The model that lies behind enables all sides to pro-
t and excludes land speculation and overdevelopment.
Prapratno Bay Village Residential Zone
DUBA STONSKA PROJECTS
Bay of Bjejevica as part of the Mali Ston Channel is valu-
able and ecologically sensitive area. Closed sea and coa-
stal area of Mali Ston Channel is specic natural environment
having large economic value because of being suitable and
used for marine aquaculture, especially for oysters and mu-
ssels farming.
For this reason, the area was originally protected by the Act
on nature protection as a strict reservation and is today dec-
lared as area with high protection as a special reservation
Mali Ston Bay (the sea area).
EMAC Capital group (with its managed investment funds) in-
vested in larger scale land acquisition with intention to deve-
lop high quality tourism project focused to nature and rural
tourism, supplementing the traditional sea farming and Medi-
terranean agriculture of the Duba Stonska region with much
needed professional accommodation.
The tourism and recreation zones development is planned
stepwise, starting with an initial T1 (hotel) and R- (recreatio-
nal) zone project, than later extended with further tourism and
recreation developments. Investment objective declared by
EMAC Capital group is based on Study of spatial possibilities
for tourism development for Duba Stonska area and coastal
area of Uvala Bjejevica, carried out by IGH in 2007.
Project name Furhter details Urban planning background Project approach Financing approach
Duba Stonska Tourism Development
T1 Zone and
R-Zone (Rusan /
Zjat North)
Initial Ston tourism lighthouse project - T1
zone (hotel resort with 4-5 stars) on up to 10
ha with up to 400 beds - Recreational zone
accompanying T1 zone on up to 15ha - T-/R
zone project is essential project for Ston to
create a development push for the region (Ston
destination development)
Integration T-/ R- zones - application
for current process of county spatial
plan amendments
Private initiated
(EMAC group) -
public supported
locally (required
public support
from higher level
authorities)
Financed by EMAC
capital managed
funds
supplementing
T and R-zones
(stepwise after
Rusan / Zjat
North)
Duba Stonska, Uvala Bjejevica, Zjat West
and Zjat East - additional T- and R-zone
locations - up to further 1.600 beds capacity -
thorougly integrated by a comprehensive urban
development concept of Duba Stonska bay and
surrounding area, based on realization of initial
project and market request
Integration T-/ R- zones - application
for current process of county spatial
plan amendments - stepwise integration
of the zones then in municipal PPU/UPU
when project location Rusan/Zjat North
is in successful development phase and
accepted/supported by local, regional
and state authorities
Private initiated
(EMAC group) -
public supported
locally (required
public support
from higher level
authorities)
Financed by EMAC
capital managed
funds
Table 39: Duba Stonska Tourism Development
Visualization Sea access environment friendly solution
Tourism and Recreation zones Development plan for Duba
Stonska and Bjejevica can be summarized to following gene-
ral components:
~ T1 zone development as initial key project with short
term planning and realization focus (Rusan / Zjat-Nor-
th). Hotel resort (up to 400 beds) is envisaged to have
special focus on tourism with vocational- and spa-
re-time educational background as well as nature-,
adventure- and rural tourism offers. (culture of living
and working in extensive agriculture, shing and sea
farming)
~ Additional, second stage T2 type zone developments
in form of traditional villages in Hinterland (up to 1.600
beds in mid-, and long term development frame) with
additional activation of agriculture activities (traditio-
nal Mediterranean agriculture to produce healthy food
with consequent ecological agriculture methods).
Morphological village structure is planned to be based
on traditional spatial-functional construction patterns
(etno-village) and use of agriculture (rural tourism) as a
specic form of tourist activities.
~ R-zones recreational areas as day-time centers in
coastal area.
Ston municipality needs initial, start-up project in the
tourism sense in the east gate area. Urban experts have
dened several possible locations for that in their analysis in
the second part of this document. However, among sugge-
sted locations, only this one has potential to be fast realized.
On other locations it is not possible to realize development
fast because of different reasons (army/navy interest indu-
cing planning constraints, unresolved ownership, lack of inte-
rest from owners to develop their land, etc.)
EMAC capital investment initiative and development need of
the municipality of Ston are compatible and EMAC initiative
represents very positive impulse for Ston which can bring the
development to the fast lane. Land acquisition strategy of
EMAC shows that concept is not focused on buy change
land purpose sell, as only a small part of the area bought by
Duba Stonska/Bjejevica possible development locations (phase one and two)
Rusan/Zjat visualization of possible solution
Rusan/Zjat possible solution
Rusan/Zjat hotel visualization
example how to t in landscape
EMAC Capital is planned to be transferred in T- and R-zone
areas. Thus, only projects realized in an appropriate timeline
and working, can bring required nancial benet for the in-
vestors and in doing so bringing Ston economy and public
administration forward. Development direction is to develop
the Duba Stonska / Bjejevica region out of one concept, with
the advantage to keep region under one development frame.
By doing so, misleading developments can be avoided within
this area, and development of high quality nature/rural touri-
sm in symbiosis with existing urbanisations, agriculture and
marine aquaculture can be assured.
Development in Duba Stonska should be considered as ge-
neral development of the wider area, even though it will be
stepwise realized. Ston municipality should enable further,
comprehensive development of Duba Stonska / Bjejevica
Projects by the appropriate planning procedures. When the
development is managed in that way following is possible:
~ to elaborate detailed sustainable development con-
cept for the entire area;
~ to prepare comprehensive impact to the environment
study for entire development in relation to natu-
re protection and inuences to traditional marine
aquaculture business,
~ to plan, nance, realize and renance the required
infrastructure for the development of the entire Duba
Stonska region
~ to create and integrate resort with wide range of
accommodation types, attractions and offer recre-
ation and leisure activities in order to make project
recognizable at target markets
~ to create a light house project, which is required to
realize Ston destination development push
Special regards must be given to environment protection and
for the development of high quality, reliable infrastructure. Fo-
llowing must be achieved:
~ complete prevention of sewage inltration into Bje-
jevica and Mali Ston Channel (closed water cycles,
quality sewage pre-treatment and partially recycling,
safe transport of remaining sewage and sludge out of
bay area, no waste water into the sea),
~ consequent modern waste recycling and manage-
ment system,
Bjejevica layout possible solution
~ very careful and partially restricted use of the
coastline and sea for recreational purposes (to dene
in further development concept stages and impact to
the environment study),
~ extensive use of natural building and operation
materials,
~ appropriate architecture designs to achieve authen-
tic, non disturbing appearance of the projects, gently
embedded in area topography and morphology,
~ noise and dust emission reducing measures during
construction phase,
~ project concept, realization
and operation according Ston
municipality commitment for
sustainable development.
Tourism zone Rusan developement
should be typical T1 zone development,
with majority of accomodation in hotel
facility, supplemented with additio-
nal (maximum 30%) broken structure,
smaller villa type units, managed by
the central hotel. Entire development in
this area must be structured, master-
planned, planned, realized upholding
sustainability principles. Location of
the potential hotel plot is south-west
oriented allowing for optimal sun ex-
posure, especially in the late autumn/
winter times. Location is wind protec-
ted and that aditionaly is aspect to be
taken into account in later stages and
further planning. Buildings should be in-
tegrated in the environment, especially
in landscape sense, and view from sea
and existing village Duba Stonska to the
area should be improved by the deve-
lopment. In the design stages usage of
traditional materials should be accom-
panied by modern elements and mo-
dern materials, making fusion of the
past and future. In the planning stage
special emphasis must be put on: ener-
gy efciency, integration of renewable
energy sources, waste water treatment,
water usage/re-usage management,
environment friendly business appro-
ach, green area preservation and en-
hancement, coastal line protection and
enhancement, integration and usage of
authentic plants and wildlife, etc.
Displayed idea designs are just rst,
non-binding drafts, visually showing
how prior described development could
be materialized in dened space.
Municipal Development Unit (MDU) should be the binding link
between Ston council / administration and project initiators
/ investors by supporting municipal administration with the
required urban and infrastructure development measures as
well as assisting project initiators in developing and realizing
project according public dened direction.
All measures carried out for the project development and re-
alization will have to be based on municipal council decisions,
and public administration control and guidance.
Rusan/Zjat layout concept
Rusan/Zjat view from pool terrace visualization
BRIJESTA PROJECTS
Brijesta today is a small, sleepy village, which enjoys its tra-
nquillity and comes to life in the summer time. People of Bri-
jesta live from marine aquaculture, agriculture and tourism.
Thanks to the new bridge entering Peljeac exactly above
Brijesta, this village will come to life, and it would be wise
that the people and municipality take advantage of that.
The main development in Brijesta should happen in the
following sectors:
~ Tourism development (development of new tourist
projects and refurbishment/extension of private sec-
tor accommodation)
~ Retail development (viewpoint located near the new
street, with retail centre for guests and local people)
~ Marine Culture (development of storage/distribution
centre on the coast for sea farms)
New tourism project is envisioned on the left bank of the bay
and it covers approximately 5 ha.
~ T1 = 70 % hotel accommodation, 30 % villa accom-
modation (max. 500 beds)
~ Resort hotel village with oysters/wine theme
~ External resort areas should be arranged in the aut-
hentic style (vineyards, olive trees etc.)
~ Semi-detached villas & apartments as accommoda-
tion option
Urban planning
background
Brijesta
Retail Zone
1,5 ha retail, commercial
access from new main road
viewpoint to Brijesta, zone
for shopping, resting, maybe
even small accomodation
facility for travellers
Still to integrate in county
plan request made
Public initative private
investment modell
Tourism Zone
Public land 5ha max. 500
beds
proposal from 03-2009
Public initiated private
realized or in PPPmodel
Changing and
improving urban
structure
Implementing services
and small village center
improving picture of village
structure
Public initiated service
private realized
Public and private nancing
components
Table 40: Brijesta projects
Brijesta bay
Brijesta bay at sunset
Brijesta Bay
~ All buildings should t into the environment an by
vegetation shielded from direct view from sea
~ Central facilities such as sports, entertainment, leisu-
re, service, etc.
~ Eco-friendly beach solution
~ Connected to the existing village by a walking path
along the sea (street access by existing street)
Retail Development is planned on the right side of village, on
peninsula where the bridge enters the peninsula. It is envisio-
ned as a combination of view point, shopping and rest place.
Simple shopping centre with: restaurant, open air caf with
view to Brijesta, retail, small hypermarket, entertainment,
local products specialized market. Target clients are: local
population from Brijesta and southern part of Peljeac, inha-
bitants of Neum, passing through population, tourists from
Brijesta and southern region of Peljeac.
Central facilities:
~ pool, bars, restaurants, shops
~ main building and reception area
~ boutique hotel and wellness
Beach, sports, entertainment, F&B:
~ managed beach with eco solutions
~ entertainment, bars, restaurants
~ promenade along sea and beach
~ sport areas
Villa accommodation:
~ small individual buildings
~ preserved natural green
~ tting to the area and local style
Brijesta - Tourism Development
Additional commercial project is to be located in Brijesta re-
gion near the coastline (and also in Duba Stonska). Exact
location will depend on desires of local entrepreneurs and
municipal opinion. Since the region of Ston already has a si-
gnicant production of sea products (although natural resour-
ces enable even greater) it is necessary to take a step forward
in terms of development of this branch (especially in order to
follow the accomplishments of the research centre Bistrina
with oyster seed production). Necessary infrastructure in the
Urban planning
background
Marine Aquaculture Centers
Marine Aquaculture
Center Duba Stonska
Packing, logistic, transport,
etc.
proposal 03/2009
Pivrate initiated with public
initative and support
Private nanced
Marine Aquaculture
Center Brijesta
Packing, logistic, transport,
etc.
proposal 03/2009
Pivrate initiated with public
initative and support
Pivrate organized with public support
Table 41: Marine Aquaculture Centers Projects
further development of marine culture as well as modern faci-
lities for harvesting, processing, packaging and distribution of
sea products (especially oysters) are of great importance. As
a part of this facility, municipality should plan to develop oy-
ster museum (as it is a fact that oysters have been harvested
in Ston region since the Roman times). Additional activities
such as visits to the farms, harvest your own oysters, educa-
tional tours about oyster farming and similar projects should
be developed in coordination with the tourism sector.
(left & above) Commercial zone examples
(top) Possible location commercial zone Brijesta
ULJANA PROJECTS
uljana development projects focus mostly on the tourism
development. According to the last version of the Additions
and Changes of the County Plan the development of nautical
marina and tourist zone is planned on this location. This area
Project name Further details
Urban planning
background
uljana
Marina uljana Up to 200 berths
proposal from 03-2009,
also existing in current
valid county plan
Public initiated-private
realized and operated as
concession model or PPP
project with public risk
and prot involvement to
combine with tourism zone
development uljana
Private nanced or PPP
Tourism Zone
10 ha T2 zone (250 beds) maybe
extending to 500? Small boutique hotel
and small target group quality village
resort
proposal from 03-2009
realized, either in PPP or
tendering land in investor
competition. Solution for
infrastructure deciding
Private nanced or PPP
Changing and
improving urban
structure of uljana
Solution village street (dead-end
street behind uljana to T-zone)
implementing services and small
center improving picture of village
implementation of a small village
pension/hotel
structure (street behind
uljana, extending
existing paths)
realized
Public and private nancing
components
Table 42: uljana Projects
has an exceptional beauty, so in the development process a
special attention must be given to the preservation and en-
hancement of natural beauties.
uljana
uljana - Tourism Development
Marina development should take place in the bay where the
village already exists, and the structures of the marina must
ensure:
~ Enhanced (not disrupted) view from the village
~ Protection of sea water quality
~ Constriction that does not interfere with natural sea
currents
~ Ecological practices (highest level)
~ Attractiveness for the guests
~ Yearly round visits
Development of T zone in Vuina bay beside uljana village
should be a special project. Land planned as a T zone is the
municipal land. Therefore the municipality has a full responsi-
bility to describe the development that occurs there worldwi-
de as an example of sustainable tourist development.
T zone in uljana should be developed in following manner:
~ Clear infrastructure concept, (this should be clearly
dened and planned before the tourism development
can start, especially trafc access must be redened)
~ 10 ha zone with maximum capacity of 250 beds
(should be extended to 500)
~ Virgin Nature Resort, central boutique hotel, resort
villas
~ Central Plaza with commercial/retail/entertainment/
dining/activities
~ Sports and activity centre (biking, hiking, kayaking,
diving etc.)
~ Network of walking/biking paths leading to uljana
and into the nature (along the vineyards and olive
groves)
(top & botom) Four Seasons Hotel, Seychelles
(top & botom) Marina examples
(top) Possible development T-zone uljana (below) Examples of development; (below) Sea and sailing
uljana - Tourism Development
As the zone is planned on municipal land, this project is very
suitable for public-private cooperation and development. The
calculation of expected costs and income from this project is
given below. It would be wise to assign MDU unit to further
develop, structure and dene the project.
a) Municipality First stage development:
External development of the plot: 100.000 sqm
Land sales income municipality: 50 /sqm 5.000.000
(Recommended minimum price for a tender)
External plot development:
Street access to the zone 1.000 m -400.000
External infrastructure access to the zone 1.000 m -200.000
Connection to sewage plant in uljana 1.000 m -100.000
Costs for compensation land owners (infrastructure access) -300.000
Planning, UPU, DPU -300.000
Concept, marketing, management, investor competition -300.000
Beach and seaboard improvement, green planning and development,
landscaping, walking tracks, etc.
-1.200.000
Remaining income municipality 2.200.000
+ Landbuy taxes (sale of plot)
+ Change of land purpose tax
+ Annual tax and fees to municipality
b) Investor:
Landbuy price incl. Land buy tax and extra costs: 7 % 5.350.000
Internal infrastructure and zone development, incl. Green spaces 50 /sqm 5.000.000
Extra costs (planning, management, marketing, contingencies): 1.500.000
Total costs (rst rough extimation) 11.850.000
Use of spaces
Gross zone size: (gross built land) 100.000 sqm
Built up coecient: 0,2 (built up land) 20.000 sqm
Zone development costs on total zone size: 100.000 sqm 119 /sqm
Minium risk and marging prot investor: 30 %
Total land costs related on total zone size 154 /sqm
Table 43: uljana T-Zone Development (example calculation all gures are rst assumptions, details must be elaborated out of rst project analysis)
SOUTH REGION PROJECTS
Southern region of the municipality refers to development lo-
cations of Koba and Smokvina bay.
Koba is a small place with several houses, few restaurants
and some berths. Its the pristine seawater and the exquisite
gastronomy of the restaurants that make this place a secret
among the nautical tourists of the Mediterranean.
Kobas / Tourism zone Smokvina / Rukavac cape
Small Marina Kobas Marina max. 50 berth
Included in county plan proposal from
03-2009
Private public
concession
Private nanced
Small T-zone Kobas
Small boutique hotel on 5.000sqm
(0,5ha) with up to 50 beds
Included in county plan proposal from
03-2009
Private public support Private nanced
Tourism zone / Resort
Smokvina/Rukavac
Longterm tourism development
project - T-zone development
about 15ha
Starting process when Ston
has alreday reached a name on
international tourism market and
further development potential of the
region is recognized and requested
from municipality and Ston citizens
realized
Private investment
modell or PPP model
if possible realized on public land
Table 44: South region projects
Planning directions for the development of Koba:
~ Planning of small exclusive marina with approx. 50
berths (max. 100 legally possible)
~ Small, romantic sailors hotel within the marina
~ The street access should be carefully planned and
constructed (in order to avoid the overpopulation of
the area)
~ Planning for water/sewage/electricity
Koba must keep its special atmosphere it has today. This
must be the basis for a small, but smart development. (high
value low volume approach)
(top) Aerial view of south region
(bottom) Old steering wheel
The tourism development in Smokvina would have absolutely
superb location, with breathtaking view.
The location of Smokvina has a potential to become the touri-
sm lighthouse project of Ston and in that way play an impor-
tant role for the regional development. (A lighthouse project
is the leading project in a region, pushing forward the entire
region and jump-starting further development)
Tourist project within this tourist zone must be developed by
taking into consideration the following:
~ Street access via Broce following the existing re
road (not over Koba, to prevent exposing a small
bay to too much trafc)
~ Water supply, sewage, electricity solution (sustainable
applying renewable energy, energy saving, re-use, etc.)
Light green marked is municipal land
Location analysis for T-zone development
~ The land where development is suggested is public
owned land.
~ 15 ha zone
~ 4 to 5 stars resort, with central hotel facilities (T2 zone)
~ Combination of hotel accommodation and high quality
villas managed by the hotel (private residence concept)
~ Ca. 150-200 bedroom hotel + 100 villas
~ Central plaza with entertainment, dining, retail,
services, etc.
~ Large wellness and spa area as a part of the resort,
but open to outside guests as well (especially to
Koba marina, hotel and private accommodation
guests)
~ Sport facilities (gym, tennis courts, running paths,
walking paths, biking, hiking, water sports)
~ Zone communicating and supplementing the
development of Koba
Koba berths Koba restaurant
View to Marculeti bay
CENTRAL MUNICIPAL AREA
PROJECTS
TOURISM AND VINEYARDS
Central belt of the municipality is suitable for different aspects
of development. It is naturally predetermined for the growth of
exquisite grapes, while winds blowing among the high peaks
produce wind energy. Additionally, within small settlements
and near vineyards it is possible to develop authentic type of
tourism associated with agriculture.
There are worldwide examples that this sector is growing
strongly. Tuscany region in Italy, Mosel in Germany, South
France, California, all these areas are strongly developing
wine tourism. Ston area is also rich in olive-groves and oy-
ster farms and therefore can offer a unique experience for
this market segment (usually afuent, older people, spending
signicant number of days and money on vacation).
Urban planning
background
Tourism vinery projects
Several locations esp.
In main vinegrowing
areas
Combining vinery and tourism small
wine-hotels in authentic style, with quality
offers (wellness, culinaric, activities), good
expamles in Toscana, France, Germany
Depending from location
Private organized public
support and initiating
programm to implement new
facilities
Private nanced public
support
Table 45: Tourism vinery projects
(top) Example of wine tourism development
(bottom) Vineyards along the main road Ston Orebi
Re-activation and rehabilitation old villages
Several locations
Main obstacle is ownership
structure and to bring s.th.
attractive to the village
Counting as existing urban
structures partially maybe
under protection
Public initiative needed to solve
ownership structure elaboration of
concepts to attract investors early
stage agreements with owners needed
to be successful
Private investment model
public initiated
Table 46: Re-activation and rehabilitation old villages
REHABILITATION OF OLD VILLAGES
In this region there are many small abandoned settlements
which should be brought back to life, either as living area,
tourist accommodation area, or cultural and activity centres.
Complex ownership issues, strict conservation regulations,
neighbour disagreements are just some of the difculties whi-
ch stop the spontaneous development. One of the tasks of
the MDU should be to nd smart solutions on how to achieve
the revitalization of old villages.
(top) Old house
(bottom) Small places with natural peace
WALKING, HIKING, BIKING
Ston municipality has spectacular landscape: Many hills, pe-
aks and unique ridges along the coastline (from Prapratno to
uljana, and further towards south, with some of the most
spectacular views). These amazing locations must be intro-
duced to guests, but at the same time protected and preser-
ved. The project of Peljeac wine roads along the Napoleon
Road is an excellent approach to bring the wine region closer
to people. Also other areas should be further explored and
marked with paths (mountaineer style paths, following natural
terrain and conditions). Cooperation with Croatian Mounta-
ineering Association or with the local mountaineering clubs
can assure the realization of such project with acceptable
costs, immediately enriching the tourist offer and experience.
Urban planning
background
Ston walking, hiking, biking paths
Paths
Along best view points, better access
to sea and bays, access to historical
and cultural heritages
Concept for walking, hiking
paths must be carried out
Public grants, funds, co-
nanced by other projects
Peljeac wine road
Revitalization of Napoleon Street as
unique attraction connecting past with
future, directly inuencing cultural and
economical development of Peljaac.
Existing street, already
registered in most part
as public land, mostly its
located outside urban
structures
Public project (coordination
between several
municipalities)
Public nanced (development
funds)
Table 47: Ston walking, hiking, biking paths
(top) Hiking
(bottom) Wild ower
Urban planning
background
Renewable energy projects
Several possible
locations
Wind energy park
Depending from energy
form
Public initial initative, private
organized and realized
nding professional parterns
for renewable energies
Private investment nancing based
on law and regulations for refunding
energy from renewable sources
Solar energy park
Biomass powerplants
Using bio-waste from
agriculture, esp. olives
Table 48: Renewable energy projects
RENEWABLE ENERGY
The municipality of Ston, with its dened sustainable develo-
pment approach, should put special focus on energy efciency
(avoid and reduce) and clean energy production to meet future
energy demands, especially regarding the realization of seve-
ral new zone developments and accompanying growth of local
economy and subsequently the growth of energy consumption.
Additionally as a contribution to the protection of natural re-
sources, renewable energy projects can signicantly deliver
further positive aspects to Ston:
~ concession fees for the land use (preferable on
public land)
~ regional investment (tax income sources)
~ positive image of Ston as a destination sustainable
in practice (PR and marketing aspects)
~ income source for local economy (e.g. use of locally
produced bio waste, service and installation work for
the local companies)
~ direct and indirect employment effects
Further described investments in renewable energy are ba-
sed on the Croatian laws and tariff system for the electricity
produced from renewable energy sources and cogeneration.
(see current tariffs in Part I tables).
Graph 12: System of incentives for eligible producers; source www.hrote.hr
C
A
S
H

F
L
O
W
INCENTIVE
PRICE
Eligible producer HROTE Suppliers Customers
Price for consumed
electricity including
incentive fee and all
other fees regulated
by law
Price for purchased
RESCO electricity
including incentive
fee
EXAMPLE 1: BIO ENERGY PROJECT
Performance (output) size between 50 kW and 1 MW of pro-
duced electrical power.
The concept of combined power-heat plants must be de-
veloped in order to produce electrical power and heat. Heat
can be further converted to the cooling supply, depending
from the local demand. Heat is usually priced in a range of
3-4 ct/kWh.
An optimal source of biomass in Ston area can be remaining
material from the olive oil production. The average energy va-
lue of the olive pressing residue is about 18 MJ, which can be
compared with the energy value of wood pellets and is so far
about twice as high as that of lignite.
The biomass plants are housed and thus do not produce a di-
sturbing noise emission. The plants can be realized in vicinity
of buildings with the advantage to supply buildings with hea-
ting or cooling system, parallel to the electrical power supply.
Space demand for the plant is between 100 and 1.000 m
2
, de-
pending on the required storage capacity of the input material.
Main condition for realization of bio-power plant is a long term
procurement contract with biomass suppliers (olive oil produ-
cers).Plants should be placed near electrical power grid lines
and locations where heat/cool is needed.
EXAMPLE 2: SOLAR ENERGY
(PHOTOVOLTAIC) PROJECT
Beside private and commercial use of photovoltaic energy
(with e.g. south oriented roof installations) smaller photovoltaic
parks could be suitable projects for the reduction of conventi-
onal energy consumption. Mediterranean Solar Plan denes
that the region will produce 20 GW of new renewable capaci-
ties by 2020. Phase I lasting from 2009 to 2010 is reserved for
the pilot phases, whereas from 2011 a real large-scale deve-
lopment should happen. With appropriate planning measures
Ston could take advantage of nancial support which will be
provided through Med Union and Med Solar Plan.
Required plot size
(example):
ca. 15.000 m
2
at plot, or slightly sloped
southern orientation plot
Required grid insert
point:
Minimum a 20 kV power supply line
Possible plot
concession fee:
ca. 20.000 p.a.
Table 49: Solar energy project example conditions
Further analysis will show if suitable plots are available with fo-
cus to public land (physical planning, landscape protection).
Portfolio of possible locations could be compiled in a small
investment brochure for the national and international stake-
holders in the solar energy market.
Preparations:
Denitions of the
objectives and
organisation of
the MSP process
Pilots:
Development of
economic and
technological pilots.
Elaborate mainstream
procedures for the
MSP
Large Scale Development:
MSP large scale
development based on the
experience of Phase 1
Phase 0 Phase 1 Phase 2
Graph 13:Phases of the MSP
(top) Olives
(bottom) Sun collectors
EXAMPLE 3: WIND ENERGY PARK
Wind Park with e.g. 10 to 20 wind turbines needs a minimum
110 kV power supply line as energetic insertion point.
E.g. installation of 25 Mewl with 2,5 MW wind turbines requi-
res an area of about 100 ha (10 turbines * 10 ha).
Depending from wind energy potential on selected area, an
annual plot concession/lease is usually in a range between 3
to 5 % of the produced energy income (turnover).
In county spatial plan, an area is already pre-dened where
wind energy plants can be installed after thorough investiga-
tions. The inuence on natural and topographic appearance
will have to be especially considered.
(top) Wind turbines
(bottom) RES wind energy location in Ston
PROJECT FEASIBILITY FRAME
All projects described before, are roughly evaluated concer-
ning the realization points such as:
~ project location topography and morphology
~ general access to infrastructure
~ land ownership conditions (areas with public land
priority)
~ physical planning background
~ project integration in surrounding area (landscape,
nature, urban structures)
~ market needs (does the project approach generally
meet market request)
~ general nancial feasibility
All projects should be investigated in more detail, especially in
the rst planning phase with focus on the following:
~ legal aspects (ownership conditions, rights, claims)
~ physical planning frame regarding limiting conditions
~ feasibility related to landscape and nature preservati-
on and protection
~ pre-assessment of infrastructure connections
~ market needs before offering project to investors/
operators project should be structured as highly
interesting for the market (market research and
pre-negotiations with market participants should be
carried out in this phase)
~ administrational investigation and concept (how to
set up project organization)
~ nancial feasibility (create a model with nancial key
frames which make project nancially interesting for
all project-stakeholders)
public sector
local private business integration in project,
added value chain
investors
operators
That means especially that land prices and communal fees
should be structured from the beginning in such manner that
the investment is nancially feasible (top-down calculation).
Example calculation for the development of new residential
area had to form an acceptable market price:
~ market price which an end-buyer of a residential plot
is willing to pay for building a residential house/villa
reduction factor for land that can not be sold
(street, public places, green areas)
costs for zone-preparation (terrain, clearing plots, etc.)
costs for internal infrastructure installation, green
areas and joint facilities
project development, planning and marketing costs
margin for risk and prot
= maximum sales price of land which can be offe-
red to the public or private land seller
Mosa Trajectum, Spain, Ecological golf course within UNESCO protected
area. The development of the golfcourse and accompanying residential,
commercial and public areas was possible because of low price asked by
municipality for land (1 /m
2
, in addition to realize sewage for entire nearby
municipal central city). Mosa Trajectum today has one of the most modern
biological treatment stations, elaborated water re-use and water protection
concepts and municipality with its development has prospered signicantly
Examples open spaces
Only the process, in which market prices for land and
plots are set and calculated according to the earning
rates, will create a market which is attractive for deve-
lopers to start sustainable initiatives. Financial interest
must be stimulated in order to start with the investments.
Market prices created by personal desires of sellers
encourage overdevelopment, diminish quality and stie
serious development.
Business Development
Business development in region can happen on its own, or it
can be stirred and spurred by the public side. With support
from the county and the responsible ministries, the municipality
can develop a business program which should make it easier to
start a business. Very important tool is a public unit which can
professionally support private sector in specic aspects such
as grant applications, product development and investment
planning. This would also be the task of MDU, which would be
in charge of shaping and realizing Business Support Programs.
It would be wise that public authority applies the same prin-
ciples in business development that private companies apply
when increasing their activities. Business development invol-
ves evaluating business and then realizing its full potential by
using tools such as:
~ Marketing
~ Information management
~ Customer service
Municipal goal is to have strong and vibrant SME sector.
However, local people from the region lack business deve-
lopment skills. Therefore, in order to strengthen this sector
(which is very important for strong and stable economy) pu-
blic must provide appropriate support services which will
enable an access to knowledge for entrepreneurs and small
business start ups. By doing so, chances for successful busi-
ness development will increase, and local people will be more
willing to start business knowing that they have experts avai-
lable to assist them in building their business up. Wild owers
When analyzed, even just briey, it is clear that there are many
missing components in Ston region, in terms of products and
services. The checklist of missing components in the Ston
municipality and components which need improvement is
drafted below:
~ Improvement and extension of local economy
Supply (shopping, retail, delivery, etc.)
Own production of building material
Oyster products!
~ Within residential zones
Upgrade of quality (planning, supply of materials,
furniture, construction work, etc.)
New offer within villages (small specialized shops,
galleries, etc.)
New build up projects
~ Sport and leisure
Wellness and spa
Sport and recreation facilities
Sport shop
Entertainment events
~ Missing services
Health center
Vine bar
Rental service (cars, motors, bikes, etc.)
Oyster bar
Beauty salon (hair dresser, massage and other
treatments)
Diving/sailing schools
Library
Clothes shop
Shoe shop
~ Culture and History
Guide books
Guided tours
Admission payment in certain places
Active public management can signicantly speed up business
development, especially if the public administration has an ava-
ilable access to the international knowledge and experience.
Snow in Ston
Benets from
Realization
When development happens and investments get realized,
the positive impacts on both public administration and people
are signicant. In order to emphasize the importance of fast,
but responsible development process, in terms of projects
here presented, there are some public sector benets which
appear on account of private sector investments:
~ Strengthening and growth of local economy
~ New business opportunities
~ Creation of new jobs
~ Growth of economic power of local population
~ Development of the community (further infrastructure
development, both soft and hard infrastructure)
~ Better positioning of Ston within the Mediterranean
region (increased recognition)
~ Increase of public budget by tax and other dues
One-off taxes (real-estate tax, land purpose chan-
ge tax, infrastructure fees)
Monthly, quarterly, yearly dues (taxes, salary fees and
contributions, non scal dues, concessions, etc.)
~ Export increase
~ Improvement of the investment image
~ Clear guideline and example for future sustainable
development in the region
~ Example for environment protection and preservation
From project calculations and past experience, usual rates of
direct nancial benets from tourism development is roughly
5 % of the total investment as one-off taxes, and 20 % of
turnover on yearly basis. Terrace with view
Using the project uljana as an example to do the calculation,
a public sector return as one-off fees would be slightly higher
because of the selling price for the land and would come to
approximately 9.000.000 . Regular yearly tax and other pu-
blic dues, (not only to municipality) when calculated for touri-
sm project with 250 beds, 80 as an average room rate, 50
employees and occupancy of 60 %, would be approximately
3.000.000 .
Initial project in Duba Stonska region can bring huge benets
to municipality, its inhabitants and local economy by:
~ direct and indirect income sources by one-off and
regular taxes, fees and contributions to public sector
III. Financial returns public sector: Estimation public nancial benets only direct from the project!
A) One off:
Land sales income: 5.000.000
A Realestate tax: 250.000 1.825.000 kn
B Land purpose transfer tax: 1.000.000 7.300.000 kn
C Infrastructure connection fees: 3.000.000 21.900.000 kn
Total one off taxes: 4.250.000 31.025.000 kn
Total one off income: 9.250.000 52.925.000 kn
B) Annual nancial benets:
VAT & Operation Taxes:
VAT from accomodation: 438.000 3.197.400 kn
VAT from Marina and other turnover 1.656.390 12.091.644 kn
Consumption tax: 16.425 119.903 kn
Company Prot Tax: 547.043 3.993.416 kn
Total VAT & Operation Taxes: 2.657.858 19.402.363 kn
Taxes and contributions on salaries: local tax 2.881 21.033 kn
tax 28.812 210.326 kn
contributions 134.745 983.642 kn
Total taxes and contributions on salaries: 166.438 1.215.000 kn
Fees, contribution and memberships:
Communal Fees: 32.877 240.000 kn
Forest fees: 9.573 69.885 kn
Chamber of commerce membership (category III/monthly) 9.041 66.000 kn
Chamber of commerce contribution: ( % on turnover) 1.026 7.488 kn
Tourism Board Membership: 34.190 249.589 kn
Tourist Taxes: 45.000 328.500 kn
Total fees, contribution and membership: 131.707 961.461 kn
Concession fees taxes:
Marina Concession Fees: 250.000 1.825.000 kn
Public area usage tax (10 % of concession fees) 25.000 182.500 kn
Total concession fees and taxes: 275.000 2.007.500 kn
Total annual taxes and fees: 3.231.003 23.586.324 kn
Table 50: Financial returns public sector
~ creation of attractive work places (household income,
education, stabilization and growth of population)
~ boost the local economy (huge potential for extensi-
on and foundation of supply, service and production
business)
~ infrastructure development
~ positioning Ston with a light house project on inter-
national tourism market
~ participation of the project initiators in general Ston
destination development and management process
(nancial and non-nancial support)
Ston municipality with its great development potentials is fa-
ced with vast challenges to realize the development vision
respecting its citizens, environment and market.
Slim and efcient organization outsourced to a Municipal
Development Unit, with creative and professional working
staff (employees and external experts) will have to develop
and manage projects under guidance and control of muni-
cipal council to realize a stepwise program in tourist, inves-
tment and business sector.
Immediately after the set up, nancing, and development
phase is over (approx. 2-3 years), the municipality will signi-
cantly benet from the tangible and intangible returns as
a result of the development process. Incorporation of Ston
inhabitants, local businesses and public authorities in all
steps of development will lead to the high acceptance of all
development phases, which will be attractive to the private
investment capital. Since the projects in coastal Croatia ge-
nerally have quite negative PR, the structure of these projects
should be focused on all three sustainability elds from the
very beginning: nancial feasibility, environment sensibility
and social awareness. This will bring necessary impulses to
the region as well as reputation and respect to a development
tailored to the region and to its inhabitants.
Graph 14: Summary starting the development process
Foundation local development fund public loan regional development grants
PPP-start up nancing fund public budget
~ 30 T
Development
study
Business plan
Municipal
Development
Unit
Foundation
MDU
~ 300 T
~ 2 months ~ 6 months ~ 1-2 years
TOURISM
~ brand
~ marketing & sales
~ development
~ management
INVESTMENT
~ preparation
~ nancing
~ management
R
E
F
I
N
A
N
C
I
N
G

&

P
R
O
F
I
T
PRIVATE SECTOR
~ support
~ marketing
Pool example
The voyage of discovery is not in seeking new
landscapes but in having new eyes.
Marcel Proust
210 Five elements of Ston - Development Concept of Ston RESOURCES 211
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Arhing Trade d.o.o., December 2007
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The development concept was prepared by:
mep Projekte GmbH
Strae der Nationen 5
30659 Hannover, Germany
mare Projekti d.o.o.,
Marmontova 5/III,
21 000 Split, Croatia
Proofread by: Katja Grci
With expertise, experience and work of:
IRECON InfraRegioConsult,
Knigsstrae 52,
30173 Hannover,
Germany
Storch and Ehlers,
Adelheidstrae 18,
30171 Hannover,
Germany
Ingenieurgesellschaft Nordwest mbH,
Frieslandstrae 2,
26125 Oldenburg,
Germany
Graphic design by:
lukavido
Development Concept of Ston presents vision and develo-
pment directions set by the mayor, the municipal council of
Ston and the local people. According to the international de-
velopment practice the experts have transformed the vision
into a document which will be an underlying element for the
further development of the region.
Martin Pietsch was responsible for the general concept and
practical application as well as the realization of development
projects in part III. Iris Juri was in charge of research and
analysis of current situation in part I as well as overall text
editing and co-writing. Michael Koch, Bernt Kramer and Jorg
Dominich prepared an overview of urban development in
part II, including graphics and spatial analysis. Walther Ehlers
and Reinhard W. Klaus enabled visual presentation of deve-
lopment vision for tourism development in uljana, southern
area of Smokvina, Duba Stonska Bjejevica, as well as vision
of the future development in Prapratno.
Boo Letuni made it possible for all the aspects to come
together, enabling access to the required documents and ge-
nerously giving his opinion and recommendations. That way
he signicantly improved the quality of prepared materials.
His experience and remarks provided a key direction in seve-
ral important development issues.
Many thanks to Volker Herrmann, who together with the DEG
expert team, laid foundation for this development concept.
Their work on Tourism Master Plan of Dubrovnik Neretva Co-
unty had a great inuence.
Special recognition and thanks to Luka Vido. Thanks to his
dedication, long hours and perfectionism, this study is clearly
visualizing the development ideas for the future of Ston.
Finally, very important inputs and key directions came from
the local people, who are all very committed to bring better
future for Ston. Great thanks to: Vedran Antunica, Ivica Baro-
vi, Fani Slade, Frano Milo, Sveto Peji, Darko Draeta, Al-
berto ile, Ante Pinevi, Berislav Glavor, Nika Roko, Zdrav-
ko Milo, Veseljko Mravi, Slobodan Vukoti, Dragan Lopin,
Dragan Herceg, ani Mati, Romano Vukas, Slobodan Vuko-
ti. Photographs are courtesy of Sveto Peji, Frano Milo, TZ
Ston, Michael Koch, Martin Pietsch and Iris Juri.
IMPRESSUM

Five Elements of Ston

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