Market-based payments for ecosystem services: current status, challenges and the way forward.
2010
Yamasaki, S. H. | Guillon, B. M. C. | Brand, D. | Patil, A. M.
Human society relies on a vast array of services provided by ecosystems, such as climate stabilization (i.e. carbon sequestration), the benefits of biological diversity (e.g. pollination, waste and nutrient cycling, soil formation and chemical discoveries including pharmaceuticals) and the provision of safe drinking water. Payments for ecosystem services (PES) are schemes through which land managers are rewarded for conserving or enhancing the level of ecosystem services (ES) for the benefit of users of these ES. Markets for ES, which facilitate transactions between producers and buyers of ES, have been steadily developing for a range of ES. In this review, we seek to establish the case that market-based PES will slow the rate of ecosystem degradation and loss. We present various market mechanisms for PES, describe alternatives to market-based PES and suggest ways to identify the most appropriate approach within a given context. We then present what we currently perceive as the greatest challenges to the implementation of PES, and conclude, with suggestions, on ways to move forward with the development of market-based PES.
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