Payments for Environmental Services, Forest Conservation and Climate Change

Payments for Environmental Services, Forest Conservation and Climate Change

Livelihoods in the REDD?

Edited by Luca Tacconi, Sango Mahanty and Helen Suich

This resourceful book draws on several case studies to derive implications for the design of Payment for Environmental Services (PES) schemes that are very relevant to current climate change negotiations and the implementation of Reduced Emissions from Deforestation and forest Degradation (REDD) schemes at the national level. With its focus on livelihoods, the book also provides important lessons that are relevant to the design of PES schemes focusing on environmental services other than carbon conservation.

Chapter 6: The ‘No-Fire Bonus’ Scheme in Mountain Province, Cordillera Administrative Region, Philippines

Rowena Soriaga and Dallay Annawi

Subjects: business and management, management and sustainability, development studies, development studies, economics and finance, environmental economics, environment, climate change, environmental economics, environmental management

Extract

Rowena Soriaga and Dallay Annawi INTRODUCTION The incidence and scale of forest fires are increasing in Southeast Asia. Apart from the contribution to climate change that occurs when forests turn from carbon sinks into carbon sources, forest fire also has significant social and economic impacts (FAO 2007). Although fire has a legitimate place in traditional agriculture and has been an important factor in the development of terrestrial ecosystems, concerns about its social and environmental impacts are growing (Walpole et al. 1993, 1994; Karki 2002; FAO 2006). As climate change is predicted to increase the frequency, persistence and magnitude of drought in the region’s tropical forests, the significance of fire management in attempts to reduce emissions from forestry can only increase. This case study from the Philippines reviews key design factors and impacts in a payment scheme to reduce fire incidence through local engagement. In 1996, the ‘No-Fire Bonus’ (NFB) scheme was launched in the fire-prone pine forests of Mountain Province, part of the Cordillera Administrative Region in northern Philippines and the ancestral domain of several indigenous groups. While the scheme involved payments for fire protection, it was not developed with attention to PES principles, where a clearly defined environmental service is conditionally traded between providers and buyers, as PES is largely a nascent concept in the Philippines. Nevertheless, the case provides important lessons about the operation and impacts of incentive payments for fire protection that are transferable to REDD schemes. In particular, it highlights the role of secure tenure in...

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