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Assessing Socio-Economic Factors Affecting the Implementation of Payment for Ecosystem Services (PES) Mechanism

Author

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  • Beeju Poudyal

    (Institute of Forestry Pokhara Campus, Pokhara 33700, Nepal
    Himalayan Conservation and Research Institute, Dolpa 21400, Nepal)

  • Suraj Upadhaya

    (Himalayan Conservation and Research Institute, Dolpa 21400, Nepal
    Department of Natural Resource Ecology and Management, Iowa State University, Ames, IA 50011, USA)

  • Suman Acharya

    (Himalayan Conservation and Research Institute, Dolpa 21400, Nepal
    Department of Anthropology, University of Maine, Orono, ME 04469, USA
    Climate Change Institute, University of Maine, Orono, ME 04469, USA)

  • Bir Bahadur Khanal Chhetri

    (Institute of Forestry Pokhara Campus, Pokhara 33700, Nepal)

Abstract

The Payment for Ecosystem Services (PES) mechanism has been pursued as a means to provide incentives for achieving conservation goals while also promoting rural development by alleviating poverty. However, the degree to which these goals are met depends on the implementation of the programs, which depends on the desirability and accessibility of programs targeting rural communities. Understanding the factors motivating or dissuading PES is vital for successful implementation. This paper evaluated the determinants of locals’ preference for PES implementation in the Begnas Lake Watershed. We interviewed 180 residents representing upstream and downstream. Factors such as income, the distance between house and lake, knowledge about PES, education, and duration of living in the area significantly determined locals’ attitude towards PES implementation. Their decision to take a stake in the PES program, if implemented, was influenced by income, family size, the distance between house and lake, education, and knowledge about PES. The majority of the household prefer community forestry as an institution and indirect payment as a compensation mechanism. The study suggests that the implementation of PES can contribute to uplifting the livelihood of local communities and conservation of Begnas lake watershed. The study further recommends the involvement of multi-stakeholders for ground-level awareness.

Suggested Citation

  • Beeju Poudyal & Suraj Upadhaya & Suman Acharya & Bir Bahadur Khanal Chhetri, 2021. "Assessing Socio-Economic Factors Affecting the Implementation of Payment for Ecosystem Services (PES) Mechanism," World, MDPI, vol. 2(1), pages 1-11, February.
    • Handle: RePEc:gam:jworld:v:2:y:2021:i:1:p:6-91:d:493767
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    References listed on IDEAS

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    1. Stefano Bruzzese & Iva Tolić Mandić & Sanja Tišma & Simone Blanc & Filippo Brun & Dijana Vuletić, 2023. "A Framework Proposal for the Ex Post Evaluation of a Solution-Driven PES Scheme: The Case of Medvednica Nature Park," Sustainability, MDPI, vol. 15(10), pages 1-22, May.
    2. Saara Ranabhat & Suman Acharya & Suraj Upadhaya & Bikash Adhikari & Ram Thapa & Sadhana Ranabhat & Dev Raj Gautam, 2023. "Climate change impacts and adaptation strategies in watershed areas in mid-hills of Nepal," Journal of Environmental Studies and Sciences, Springer;Association of Environmental Studies and Sciences, vol. 13(2), pages 240-252, June.

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