Abstract

Payments for Environmental Services (PES) are seen as an effort to preserve and used environmentally sustainable manner. The program is believed to bridge two different interests, such as the people who inhabit in the upstream watershed who are generally poor farmers with land holding less than one hectare with urban communities. The purpose of this paper is to describe the implementation of PES in Cidanau watershed. The field data were processed using descriptive qualitative method. The results showed that PES in Cidanau watershed started in 2003 and has entered phase two (the second 5 years), followed by 15 farmer groups to target land area of 520 hectares. The value of contracts signed through a memorandum of agreement with PT. KTI as a buyer to a group of farmer-members (sellers) through Communication Forum of Cidanau watershed (FKDC) as organizational managers is IDR 4 billion for 2019. For farmer groups of an initial contract for five years was paid IDR 1.2 million per hectare per year will increase to 1.75 million per hectare per year for five-years contract. The implementation of PES in Cidanau watershed relatively was well proved by increasing number of farmers who are interested in becoming participants of PES. The implications of PES program for environment are increased forest cover and maintained water discharge. In addition, teh program has increased income for farmers in upstream watershed.

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