Payments For Environmental Services Research Articles

Mechanisms similar to Payment for Environmental Services (PES) to promote socio-environmental development: An analysis based on the case of Alpargatas S/A

The objective of this work is to analyze the mechanisms of actions inspired by the approach of Payments for Environmental Services (PES) as a promotion for socio-environmental development by the private sector based on a case study of Alpargatas S/A. The research was carried out in the bibliographic and documentary modality. The document analysis of the data was for the years 2021 and 2022, when the company began to publish the Annual Sustainability Report as a transparency and governance strategy. For documental analysis of the management instruments, it was carried out in search of evidence of mechanisms similar to those of PES. Thus, under the lens of analysis from the social perspective, the company acts in the promotion of education, inclusion and income generation, considered by the organization as structural aspects of society. Under the lens of environmental analysis, it invests in the use of resources through reverse logistics, and in suppliers that are in accordance with the socio-environmental criteria of Alpargatas S/A, in the greenhouse gas emissions (GHGs), and energy reduction. The company's challenges consist of carbon retention or capture, seeking to offset emissions through the process of reverse logistics, carbon neutrality and carbon offsetting from reforestation in the Amazon. As far as water sources are concerned, there is no surface water abstraction. There is no water withdrawal in an area of water stress.

Is the national policy for payment of environmental services willing to prevent disasters?

Eventos climáticos extremos e registros de desastres têm aumentado no Brasil e ainda é recente a criação de políticas públicas consolidadas para a gestão do risco de desastres. A história de ocupação e desenvolvimento econômico do país levou a retirada da cobertura vegetal original e um possível desequilíbrio nos ecossistemas e seus serviços que contribuem com soluções sustentáveis para a redução do risco de desastres (RRD), adaptação às mudanças climáticas e desenvolvimento sustentável. Os programas de pagamentos por serviços ambientais (PSA) podem servir como instrumentos de políticas ambientais de transferência de recursos financeiros para quem presta serviços ambientais. O Brasil regulamentou recentemente a Política Nacional de Pagamento por Serviços Ambientais (PNPSA) – Lei no 14.119/2021 – e este estudo objetivou verificar a inclusão dos serviços ecossistêmicos de regulação que contribuem para a RRD nesta legislação. Utilizou a análise de diagnóstico de problemas apresentada pelo Guia de Políticas Públicas (Casa Civil da Presidência da República, 2018) organizado em etapas com metodologia mista. Essa pesquisa contribui com as investigações científicas para o PSA e discute as contribuições da PNPSA na área de redução do risco de desastres que possam trazer ganhos socioambientais diante do contexto de crise ambiental global.

Self-Financing Strategy for Water Conservation Through Payment of Environmental Services for Domestic Water Users in the Upper Areas of Renggung Watershed

Self-Financing Strategy for Water Conservation Through Payment of Environmental Services for Domestic Water Users in the Upper Areas of Renggung Watershed

Payments for environmental services and economic growth: A theoretical model

Given the global climate emergency and the complex financing problems facing developing countries, some economists are advocating the introduction of payments for environmental services. The question is whether payments for environmental services will enable developing countries to make the ecological transition compatible with the economic growth they need to develop. This study presents a theoretical analysis of the economic and ecological efficiency of such a mechanism, and aims to determine whether it has any recessionary or disincentive effects. In other words, it determines whether, from a theoretical point of view, the environmental services provided by developing countries are compatible with continued growth. The study introduces a “payments for environmental services” procedure into a general equilibrium model (with involuntary unemployment) composed of multinational firms in developed and developing economies. This theoretical model yields the following results. Firstly, higher ecological taxes can directly increase environmental services without any recessionary effect. The system of payments for environmental services means that green investment is not necessarily incompatible with growth and development in developing countries. On the other hand, services in return for environmental payments can lead to a rebound effect from polluting activities, which is why such programs need to be accompanied by more radical environmental policies. In conclusion, while payments for environmental services can promote both ecological transition and growth in developing countries, it is necessary to control the rebound effect arising from the development of economic activity.

Caracterización acústica de fincas bajo pago por servicios ambientales en la Reserva Forestal Golfo Dulce, Costa Rica

[Introduction]: In Latin America, the sensitive tropical biodiversity found outside of protected wilderness areas is under threat. In Costa Rica, the payment for environmental services (PSA) represents a mechanism to protect forests on private farms, but it lacks specific indicators on the state of biodiversity and forest conservation. [Objective]: To analyze the use of acoustic monitoring for ecosystem assessment at 11 sites in the Osa Peninsula, nine on private farms, and two sites within Corcovado National Park. [Methods]: Soundscapes were recorded from May 25 to June 1, 2021, using acoustic recorders. It was analyzed the behavior of six acoustic indices at each sampling site and applied an automated detection analysis of vocalizations of two representative bird species of the area. [Results]: It was found that the most fragmented sites presented higher activity, energy, and acoustic diversity, possibly due to edge effects and ecotones present, as well as a high forest component in the surrounding matrix. Automated vocalization detection indicated that the species Hylopezus perspicillatus turned out to be more sensitive to differences in the landscape than Trogon bairdii. [Conclusions]: The use of acoustic indices, although it associates features of the degree of conservation, was not a differentiating element of the quality of the ecosystem in the evaluated farms. The monitoring ofspecies through the detection of their vocalizations was promising. A careful and rigorous sampling design, with moresampling points per site, is recommended to achieve accurate measurements and avoid bias in the analysis.

How do organizations in Chinese agriculture perceive sustainability certification schemes? An exploratory analysis

AbstractMotivationInitiatives to promote sustainable practices in agriculture in China have been little documented in the literature. Preliminary investigations suggested that the way agricultural certification schemes worked in China differed considerably from such schemes in Europe and the United States.PurposeWe investigated how sustainability certification schemes (SCSs) were perceived by farmers, processors, government staff, and other stakeholders in Chinese agriculture.We examine three types of certification: sustainability standards for agricultural exports; organic labelling for the domestic market; and certification of ecological practices.Methods and approachWe interviewed 16 stakeholders in 2013–2014 about their experiences and perceptions of certification. The interviews were transcribed and coded to derive themes and interpretations.FindingsCertification was rigorous for agricultural exports because importers, mainly in high‐income countries, demanded high standards—and were prepared to pay a premium for those standards. It was in the best interests of Chinese exporters to certify their produce. Some farming companies had specific farms that were run to make sure the standards were upheld, whereas their farms producing for the domestic market operated differently.Organic certification of produce was less systematic, with proliferation of labels used to try to convince domestic consumers that the food so labelled was safe. No single standard was used. Farmers were concerned that organic production was costly but that they would not get a price to reflect those costs. Most actors expected the state to set standards and police them.A public scheme intended as payment for environmental services also certified land managers; but the scheme as applied operated to pay farmers on low incomes often in marginal lands an income supplement—payments were not necessarily linked to environmental objectives.Policy implicationsIn China, the perception of stakeholders was that the central government should establish and monitor standards. Certification was not seen as something that private enterprise could or even should establish. This appreciation translated into dependence on central government to co‐ordinate and regulate all collective action for pursuing social and environmental sustainability, leaving little space for market‐led initiatives to flourish.

Project evaluation models in payment for environmental services: a literature review

Worldwide, Payment for Environmental Services (PES) programs have become a popular economic incentive strategy for environmental conservation. As they are considered recently new policies, the evaluation models of these programs are still incipient and require research in the area. Simultaneously, this study sought to understand, through a systematic review of the literature, how the literature has reported the methods of evaluating projects in PES in the light of the Theory of Change (ToC). Based on the analysis of 22 scientific documents, it was identified that the reports related to the theme are still recent in the literature and very concentrated in the rural area. It was also clear the diversity of PES objectives that go beyond the issue of environmental conservation and encompass the social sphere. The survey also identified many studies that permeate developing countries, where PES schemes contribute to socioeconomic development. Regarding ToC, it was noticed that this theory is closely linked to sustainable development and is strongly linked to the issue of measuring the efficiency of projects. Still, the existing PES project evaluation models are disparate and diverse and very much based on qualitative analysis, suggesting the need to quantify measurement data for such schemes to detect the possible impacts of the adoption of a scheme and its counterfactual impact in the socio-environmental environment.

Payments for environmental services with ecological thresholds: farmers’ preferences for a sponsorship bonus

Designing incentives for agri-environmental public good provision with threshold effects calls for payment mechanisms favouring critical mass participation and continuity of commitments at the landscape scale. We conducted a choice experiment to test the acceptability of a bonus in a scheme for improving river water quality in France. We introduce a sponsorship bonus each time the farmer convinces a peer into entering the scheme, which can be combined with a collective result bonus per hectare if the river reaches a higher step on the water quality scale. We consider the involvement of local financers could increase the willingness to pay beyond opportunity costs and income foregone and propose higher levels of payment than agri-environmental schemes. Results suggest a sponsorship bonus on its own is cost-effective. We characterize respondents’ heterogeneity and identify three groups based on choice patterns: (i) “pro-environment individualists”, (ii) “management change averse” farmers, and (iii) “pro-incentive” farmers.

Public environmental actions and urban land use planning in the Central-west Region of Brazil

The purpose of this study was to assess the dissemination of information on environmental actions carried out by public agents in municipalities in the Central-West region of Brazil. A Municipal Index of Public Environmental Actions (IMAPA) was created for this purpose, and the municipalities with the best results in terms of including ecosystem services in their planning were verified. Data from the 2017 Municipal Basic Information Survey provided by the Brazilian Institute of Geography and Statistics were also used. Statistical analyses were conducted using factorial and cluster analyses. The municipalities with the best results in terms of public environmental policies were identified, and their respective master plans were analyzed on their institutional websites (the master plan in Brazil is the instrument used to organize the development and urban expansion of municipalities). Furthermore, elements related to ecosystem services were identified using a script to collect information and analyze the content. According to the IMAPA findings, 20 municipalities in the Central-West region have the best indicators or information dissemination in the region for: 1) Environmental legislation on land use, 2) Local payment for environmental services, and 3) Specific environmental legislation to basic sanitation. Based on the script used, content analysis revealed that there are elements inserted in the master plans regarding ecosystem services, with the potential to expand this content in the documents.

Forest Tales? Unravelling Divergent Land Use and Land Cover Change (LULCC) Maps and State Narratives in Vietnam’s Northern Uplands

The Vietnamese state has advocated for the sedentarization and market integration of upland northern farmers over the past thirty years, leading to both agrarian and forest transitions. This article presents a comprehensive land use and land cover change (LULCC) analysis of two adjacent upland borderland districts, Phong Thổ and Bát Xát, in northern Vietnam, spanning two neighboring inland provinces, Lai Châu and Lào Cai. These districts are primarily home to ethnic minority farmers who are encouraged by Vietnamese state officials to not only protect forests but to also transition toward cash crop cultivation from less intensive semi-subsistence agriculture. Our LULCC maps, covering the period from 1990 to 2020, revealed a reduction in the speed by which closed-canopy forests were disappearing. During interviews, state officials were confident that this was due to a range of state policies and state-sponsored initiatives, including the promotion of tree crops and payments for forest environmental services. Our own fieldwork in the region suggests other factors are also supporting this decline in deforestation rates, rooted in ethnic minority farmer livelihood decision making. Some state officials were also able to point to factors hindering a more positive result regarding forest cover, including population pressure and new infrastructure. Interestingly, despite our positive findings on Land use and land cover change (LULCC) related to forest cover, one-third of state officials, upon reviewing our LULCC maps, firmly maintained that errors had occurred. Some even proposed that there was an actual rise in forest cover. Our study shows that these discrepancies raise compelling questions about officials’ political motivations and ongoing pressures to uphold the central state’s reforestation and agrarian transition discourses.

Can REDD+ succeed? Occurrence and influence of various combinations of interventions in subnational initiatives

The institutional predecessor of REDD+ is the integrated conservation and development project (ICDP) that combines restrictions on forest access and conversion (negative interventions) withnon-conditionaldirect benefits (positive interventions) to compensate local stakeholders for income losses from those restrictions. The idea of REDD+ was to improve on the ICDP model with a different kind of positive intervention:conditional direct benefits, often known as payments for environmental services or PES. How has this idea played out in reality? In a sample of 17 (out of 377) active REDD+ initiatives across the global South, we identified the combinations of interventions actually deployed and elicited household assessments of how those interventions affected their land use decisions with respect to forests. We found that 71 % of the households in our sample had participated in some number of forest interventions ranging from one to ten. About a quarter of those households were offered conditional direct benefits, most often in combination with non-conditional direct benefits. Nearly half of the households had received only non-conditional direct benefits. Many of those households were also subject to restrictions of various kinds. Thus, rather than abandoning the well-established ICDP approach in favor of the conditional incentives that conceptually define REDD+, most initiative proponents opted to deploy multiple interventions. Their approach is validated by our finding that the likelihood a household reports that the interventions caused them to adopt land use changes that could be classified as reducing carbon emissions is positively and significantly related to the number of interventions that they experienced, but not affected by whether any of those interventions are conditional. We also find that restrictions play an important role: 37 % of the households were subject to at least one negative intervention, and those households were significantly more likely to report that the interventions had induced land use changes that could be classified as reducing carbon emissions.

Public Environmental Conservation Policies Based on the Economic Instrument of Payment for Environmental Services: A Pioneer Experience in Mato Grosso Evaluated by its Actors

Objective: To understand how the public policy for payment for environmental services in Tangará da Serra, Mato Grosso, Brazil, is evaluated by its actors in the period 2014-2019. Theoretical framework: The contribution brought by economic instruments to improving social well-being made them popular among successful environmental public policies by reducing the distortion between the economic and social values attributed to natural resources. Method: Study characterized as theoretical-empirical, descriptive, which uses a qualitative approach in the application of semi-structured interviews during the first quarter of 2019 followed by case study procedures of interpretative analysis. Results and conclusion: Indicate the existence of difficulties common to other national initiatives, operational advantage and institutional limitations. There is exploratory potential for the growth and development of public policy, however, due to the lack of specific federal legislation regarding environmental services and local technical limitations, its institutional arrangement needs improvement. Implications of the research: It presents the common difficulties of implementing public environmental policies using the economic instrument of payments for environmental services in Brazil. Originality/value: Given the global need for the State to provide water supply through the conservation of natural resources, this study collaborates with the Public Administration by understanding the difficulties experienced by the municipal public administration in the face of the unprecedented experience in the state of Mato Grosso, Brazil .

Multifunctional Forest Restoration in Brazil: A Critical Analysis of the Trends and Knowledge Gaps in the Scientific Literature

The global demand for forest products will increase in the coming decades due to population growth and increasing environmental awareness. Therefore, the production of forest products through multifunctional forest restoration could be a meaningful opportunity for large-scale restoration while promoting sustainability and vegetation recovery. We conducted a comprehensive literature review to explore how forest restoration in Brazil can meet the growing global demand for forest products, thereby promoting the widespread adoption of restoration practices. The number of forest restoration publications addressing forest product supply has increased, but remains limited. Notably, only studies on payments for environmental services have increased significantly over the years, while studies on non-timber forest products and timber have not increased significantly. Similar patterns and trends were found in earlier studies. Many studies do not provide insights into the socioeconomic outcomes of multifunctional forest restoration, which is consistent with other research findings. The studies cited 108 native species of commercial value. According to the literature, these species can provide multiple forest products, making their management economically attractive. Multifunctional restoration in Brazil has the potential for meeting global demand for forest products and supporting large-scale restoration. However, advancing scientific and technological knowledge in this area is needed to make this feasible.

Payment for Environmental Services and the Financial Viability of Agroforestry Systems: An Integrated Analysis of Socio-Environmental Projects in the Descoberto Basin—Federal District

The policy of payments for environmental services is implemented in public policies in Brazil, and there are many efforts to increase projects that subsidize rural producers, combining payments with incentives for good agricultural practices that promote these services. Thinking about ways to add these values in projects to restore degraded areas is an opportunity to generate monetary benefits for producers and attractiveness for stakeholders, aiming to increase investments in projects of this nature and gain scale in the restoration of these areas. In this way, this study evaluated the financial viability of a project to implement 16.9 hectares of agroforestry systems in agrarian reform settlements located in the Descoberto HydrographicBasin near Brasília, Federal District, and the proposition of a scenario of payment for environmental services associated with adoption of this agricultural practice by producers. The results were promising for both investors and farmers, as demonstrated by the financial analysis criteria (NPV: USD 63,097.49, IRR: 71%, simple payback: 3 years). The PES scenario was even more attractive, proving to be an encouraging increase for the adoption of this practice by producers.

Payments for environmental services in Mangrove Forests: A review and recommendations

Mangrove forests play a vital role in climate change mitigation and the provision of environmental services. The aim of this study is to compile and analyze the most recent research on the willingness to pay for mangrove forest environmental services. The overview focuses on three key aspects: (i) general payment activities related to mangrove forest environmental services, (ii) the factors influencing participation in payment for these services, and (iii) the methods used to estimate the willingness to pay for such services. The analysis reveals that the majority of current studies are oriented toward conserving and promoting sustainable forest management. Additionally, psychological, behavioral, economic, and social factors all contribute to decisions regarding payment for environmental services. Furthermore, the contingent valuation method is commonly employed to estimate the willingness to pay for mangrove forest environmental services. Based on these overview findings, this study suggests several directions for future studies.

The Urgency of Regulating Payment for Environmental Services as an Environmental Economic Instrument at The Regional Level in Central Sulawesi

The Urgency of Regulating Payment for Environmental Services as an Environmental Economic Instrument at The Regional Level in Central Sulawesi

Correction to: Non-monetary incentives to increase enrollment in payments for environmental services

Correction to: Non-monetary incentives to increase enrollment in payments for environmental services

Payment for environmental services: Forest conservation and poverty alleviation in a tropical region of Mexico

Payment for environmental services (PES) is a scheme that seeks to reduce human pressure on forest ecosystems by financially rewarding forest landowners for conserving their forests. However, in Mexico, the program is questioned because it prioritizes communities in the poorest regions over areas with a high risk of deforestation. This study evaluates the effectiveness of the PES program for forest cover conservation and poverty alleviation in a tropical region of Mexico. Deforestation and forest cover maintenance was determined by land use/cover change analysis using GIS. Effect on poverty alleviation was analyzed qualitatively in two communities. In the study area, 4738 ha of tropical and temperate forests were deforested during 2007–2017. The deforestation rate is similar in ejidos and private properties with and without PES. Most ejidos where deforestation occurred correspond to areas with higher economic development. Deforestation and the percentage of the population living in poverty are negatively correlated. Compared to other subsidies, the PES represents very low income, nevertheless, the social perception of the program is positive. Based on the lower percentage of deforestation avoided in the poorest areas and the minimal impact on livelihoods, the current PES approach is not highly effective.

Application of a system dynamics model to evaluate the implementation of payment for environmental services as a reconversion mechanism in high mountain farming

In Colombia, livestock farming has been developed in highlands areas, with influence on these ecosystems and their ecosystem services. Reason why, in 2017, the Colombian issued legal regulations (Decree Law 870), which establishes the payment for environmental services (PES) as a key instrument in the conservation of strategic areas to achieve comprehensive rural development. The objective of this study was to evaluate the response of two type of highlands livestock agroecosystems to the implementation of a mechanism such as the PES, through scenario simulation based on the System Dynamics methodology. It should contribute to the understanding of this activity and to the formulation of policies for land management, use and conservation. Data and information used in this study came from farms located in La Nevera, municipality of Palmira, Department of Valle del Cauca. Gathered information were used to develop qualitative models (i.e. causal loop diagrams) and quantitative models (stock and flow diagrams) in order to built a mechanistic model aimed to improve understanding of the multiple interactions and synergies that constitute the local agro-ecosystems. It includes the livestock and landscape components and their interaction influencing the ecosystem. The developed model evaluated three alternative scenarios of management with eventual economic incentives to farmers: i) business as usual; ii) incentive for areas destined to preservation; iii) areas released for restoration and future conservation. The main results showed that the proposed PES are a viable strategy for obtaining additional income for the land owners and they would also contribute to the maintenance of the typical natural coverage of the territory. However only considering economic balances, the opportunity cost of reducing livestock farming to preserve land is lower than cost of expected preservation. It might impair the choice of modifying the preferences of land use within the farms. The novelty of the study was the use of a system dynamic model to evaluate future sustainable patterns of PES to prevent side effects on the Colombian mountain area from a social and environmental point of view.

Who wants to pay for Pantanal? Experiences of payment for environmental services in the preservation of a single biome

Environmental conservation standards in Brazil are insufficient and must be completed by economic instruments, such as Payments for Environmental Services (PESs). These instruments are at initial implementation stage in Pantanal, which is one of the world’s greatest extensions of flooded areas. This biome undergoes increasing pressures for the exploitation of its natural resources. Thus, the objectives of the current research are to investigate PESs in Pantanal and to analyze their potential to be used for environmental protection purposes. Interviews were conducted with political authorities, NGO representatives and professional association members. Four PESs were identified. All counties in Pantanal region receive the Ecological ICMS, which is a percentage of a tax on commerce and services received by the State and redistributed to counties hosting Conservation Units. Another PES, called Private Natural Heritage Reserve (RPPN), enables the exemption of Territorial Tax. Despite protecting 250,000 ha, RPPNs only reach 1.7% of preserved areas in Pantanal. In addition to these PESs, which count on State participation, it was possible to find two mechanisms based on consumers’ participation, organic meat and organic honey production. However, only two producers were certified to produce organic meat and one to produce organic honey. Although PESs are important mechanisms, they play limited role in Pantanal region. PESs between producers and consumers depend on incentive policies and on information about environmental benefits provided to consumers. Ecological ICMS should be subjected to rigorous selection process in choosing who can receive the benefits. Although RPPNs are often used as PESs, their incentives are insufficient and should be improved.