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 10: PES Schemes’ Impacts on Livelihoods and Implications for REDD Activities

Luca Tacconi, Sango Mahanty and Helen Suich

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


Luca Tacconi, Sango Mahanty and Helen Suich INTRODUCTION The preceding chapters have discussed in detail the impacts of individual PES schemes on livelihoods and the implications for the design of PES schemes. This chapter aims to draw out the main findings from individual cases to answer the two research questions posed in the first chapter, namely: ● ● What have been the impacts of PES schemes on livelihoods? What are the implications for the design of incentive mechanisms for REDD at the local level? These research questions are addressed with respect to the critical factors, noted in Chapter 1, that influence the risks and opportunities for livelihoods in PES schemes (Landell Mills and Porras, 2003; Pagiola et al., 2005; Corbera et al., 2007a; Pagiola et al., 2008; and Wunder, 2008): ● ● ● ● ● the nature and location of the environmental service, for instance, the percentage of poor households tends to be higher in remote areas where forests are often located; whether people have the recognized and secure resource rights generally needed to enter into PES agreements; whether workable regulatory frameworks exist for a specific environmental service; how many PES participants are poor and their ability to participate; the size of the payment for the provision of the environmental service; 244 TACCONI BOOK final.indb 244 12/11/10 12:00:47 PES schemes’ impacts and implications for REDD activities ● ● ● ● 245 finance and credit availability for sellers to cover their up-front costs of participation; the skills, education, power and negotiating capacity of environmental service sellers; availability of good market...

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