Designing payments for ecosystem services schemes: some considerations
2013
This paper reviews recent literature on Payments for Ecosystem Services (PES) to understand the conditions influencing the successful implementation of PES schemes and their associated outcomes over time. It highlights a number of important considerations in designing PES schemes such as household characteristics, land tenure arrangements, incentive structure, equity and gender issues, and the challenges involved in balancing environmental, economic and poverty reduction goals. In general, the literature shows that program effectiveness cannot be measured solely in terms of economic efficiency or ecosystem performance. Considerations around socio-economic, political and institutional contexts are just as relevant.
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