BIO-CULTURAL COMMUNITY PROTOCOLS IN THE CONTEXT OF PAYMENT FOR ECOSYSTEM SERVICES PART II / CHAPTER 6 There are also many different types of PES deals, ranging and can be flexible with respect to which land uses are and from hundreds of small and private site-specific schemes to are not allowed under its scheme, thus targeting its efforts larger government-regulated schemes 15 and multilateral environmental agreements such as the Clean Development towards local conser vation and socio - economic 16 development. Mechanism under the Kyoto Protocol. In spite of the promising basis of the PES concept, many PES schemes have the potential to be more cost-efficient PES experts urge caution against accepting it as a panacea, than regulatory and subsidized approaches to environmental arguing that the success of PES schemes are highly dependent conservation that rely heavily on public financial resources on a large set of circumstances and demand substantial to function. PES schemes usually have flexible and need-based groundwork before they can succeed. In addition to the structures that can support themselves in the long run. concern that PES systems only work in conditions with a Overall, PES schemes can be more adaptive and effective than clear market demand, they also seem to rely on well-organized a purely regulator y approach to conser vation. providers and users with clear and secure property rights. For example, PES schemes can be implemented when the Furthermore, transaction costs of a PES scheme must not creation of protected areas would be impossible due to socio- be too high to offset any potential gains for both the economic or political contexts. They are easy to administer user(s) and provider(s). 17 3. Community Engagement with PES Schemes The principle objective of PES schemes is to establish an important increase to net income in the community while economic incentive to foster more efficient and sustainable functioning as impetus for adopting a more sustainable 18 19 use of biological resources and ecosystems. Nevertheless, approach to land and ecosystem management. PES schemes can also contribute to poverty alleviation, However, it is not always the case that communities engage particularly among rural communities whose livelihoods are in unsustainable use of biological resources. Indeed, many highly dependent on the use of natural resources in examples exist in which local communities actively maintain surrounding areas. Population pressures or lack of economic and conserve the biodiversity on which their livelihoods opportunities based on anything other than short-term and bio-cultural heritage depend. It is often highlighted incentives can lead to unsustainable forest management how ILCs such as the Raika, discussed earlier in this book, or farming practices. PES schemes can mitigate this cycle contribute to and sometimes become leaders in the by offering longer-term incentives for the sustainable use conservation of local biodiversity through their sustainable of resources through opportunities for low-income land use practices. In such cases, PES schemes can offer a communities to gain additional employment or other reward for the maintenance of such services and an economically valuable benefits for their conservation acknowledgement of the contribution of their bio-cultural of ecosystems. Supporting livelihoods through small practices to conservation. economic incentives over many years may offer an 15. See for example the case of Costa Rica: “Payment for Environmental Services and Rural Communities: Lessons from the Americas” Herman Rosa, Susan Kandel, Leopoldo Dimas and Ernesto Mendez, PRISMA (Programa Salvadoreño de Investigación sobre Desarrollo y Medio Ambiente) 16. Supra note 10. 17. Ibid. 18. Supra note 6. 19. Ibid. 60

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