IDEAS home Printed from https://ideas.repec.org/a/eee/ecoser/v39y2019ics2212041619302207.html
   My bibliography  Save this article

Addressing knowledge gaps between stakeholders in payments for watershed services: Case of Koto Panjang hydropower plant catchment area, Sumatra, Indonesia

Author

Listed:
  • Yonariza,
  • Andini, Bevi Astika
  • Mahdi,
  • Maynard, Simone

Abstract

This study assesses the knowledge and perceptions of potential participants in a payment for watershed services (PWS) scheme in a watershed containing a reservoir and hydropower plant in Indonesia. Information was collected by interviewing watershed service providers such as upland farmers and downstream beneficiaries of services i.e. fishers, rest area operators, tourists, and the power plant manager. The study found some challenges if relying on stated preference values as a basis for a workable PWS scheme, specifically asymmetric information among stakeholders. Upland farmers did not realize their location within the upland of a watershed whose activities affect the quality of watershed services. Watershed users similarly do not know what activities their counterparts do in the upland. The study reveals market forces are a driver of livelihoods in the watershed. It concludes that prior to introducing a PWS scheme it is: 1/important to address any asymmetric information across stakeholders (e.g. through farmer extension services); and 2/consideration should be given to fluctuating commodity price subsidies so to sustain farmers’ livelihoods and ensure they maintain sustainable management practices for the uninterrupted and long term supply of watershed services. This study provides important lessons for other regions struggling with the same issues.

Suggested Citation

  • Yonariza, & Andini, Bevi Astika & Mahdi, & Maynard, Simone, 2019. "Addressing knowledge gaps between stakeholders in payments for watershed services: Case of Koto Panjang hydropower plant catchment area, Sumatra, Indonesia," Ecosystem Services, Elsevier, vol. 39(C).
  • Handle: RePEc:eee:ecoser:v:39:y:2019:i:c:s2212041619302207
    DOI: 10.1016/j.ecoser.2019.100995
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S2212041619302207
    Download Restriction: Full text for ScienceDirect subscribers only

    File URL: https://libkey.io/10.1016/j.ecoser.2019.100995?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Surroop, Dinesh & Raghoo, Pravesh & Bundhoo, Zumar M.A., 2018. "Comparison of energy systems in Small Island Developing States," Utilities Policy, Elsevier, vol. 54(C), pages 46-54.
    2. Suhardiman, Diana & Wichelns, Dennis & Lestrelin, Guillaume & Thai Hoanh, Chu, 2013. "Payments for ecosystem services in Vietnam: Market-based incentives or state control of resources?," Ecosystem Services, Elsevier, vol. 5(C), pages 94-101.
    3. Laura O. Taylor & Ronald G. Cummings, 1999. "Unbiased Value Estimates for Environmental Goods: A Cheap Talk Design for the Contingent Valuation Method," American Economic Review, American Economic Association, vol. 89(3), pages 649-665, June.
    4. Richard Carson & Nicholas Flores & Norman Meade, 2001. "Contingent Valuation: Controversies and Evidence," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 19(2), pages 173-210, June.
    5. Chaurey, Akanksha & Ranganathan, Malini & Mohanty, Parimita, 2004. "Electricity access for geographically disadvantaged rural communities--technology and policy insights," Energy Policy, Elsevier, vol. 32(15), pages 1693-1705, October.
    6. Pagiola, Stefano & Arcenas, Agustin & Platais, Gunars, 2005. "Can Payments for Environmental Services Help Reduce Poverty? An Exploration of the Issues and the Evidence to Date from Latin America," World Development, Elsevier, vol. 33(2), pages 237-253, February.
    7. Musa, Mirko & Hill, Craig & Guala, Michele, 2019. "Interaction between hydrokinetic turbine wakes and sediment dynamics: array performance and geomorphic effects under different siting strategies and sediment transport conditions," Renewable Energy, Elsevier, vol. 138(C), pages 738-753.
    8. Pagiola, Stefano, 2008. "Payments for environmental services in Costa Rica," Ecological Economics, Elsevier, vol. 65(4), pages 712-724, May.
    9. Pirard, Romain, 2012. "Payments for Environmental Services (PES) in the public policy landscape: “Mandatory” spices in the Indonesian recipe," Forest Policy and Economics, Elsevier, vol. 18(C), pages 23-29.
    10. Ferraro, Paul J., 2008. "Asymmetric information and contract design for payments for environmental services," Ecological Economics, Elsevier, vol. 65(4), pages 810-821, May.
    11. Bösch, Matthias & Elsasser, Peter & Wunder, Sven, 2019. "Why do payments for watershed services emerge? A cross-country analysis of adoption contexts," World Development, Elsevier, vol. 119(C), pages 111-119.
    12. Ranjan, Ram, 2019. "A forestry-based PES mechanism for enhancing the sustainability of Chilika Lake through reduced siltation loading," Forest Policy and Economics, Elsevier, vol. 106(C), pages 1-1.
    13. Takasaki, Yoshito, 2011. "Do the Commons Help Augment Mutual Insurance Among the Poor?," World Development, Elsevier, vol. 39(3), pages 429-438, March.
    14. Sheng, Jichuan & Webber, Michael, 2017. "Incentive-compatible payments for watershed services along the Eastern Route of China’s South-North Water Transfer Project," Ecosystem Services, Elsevier, vol. 25(C), pages 213-226.
    15. Engel, Stefanie & Pagiola, Stefano & Wunder, Sven, 2008. "Designing payments for environmental services in theory and practice: An overview of the issues," Ecological Economics, Elsevier, vol. 65(4), pages 663-674, May.
    16. Hackett Steven & Schlager Edella & Walker James, 1994. "The Role of Communication in Resolving Commons Dilemmas: Experimental Evidence with Heterogeneous Appropriators," Journal of Environmental Economics and Management, Elsevier, vol. 27(2), pages 99-126, September.
    17. Murphy, James J. & Stevens, Thomas H., 2004. "Contingent Valuation, Hypothetical Bias, and Experimental Economics," Agricultural and Resource Economics Review, Cambridge University Press, vol. 33(2), pages 182-192, October.
    18. Börner, Jan & Baylis, Kathy & Corbera, Esteve & Ezzine-de-Blas, Driss & Honey-Rosés, Jordi & Persson, U. Martin & Wunder, Sven, 2017. "The Effectiveness of Payments for Environmental Services," World Development, Elsevier, vol. 96(C), pages 359-374.
    19. Hayes, Tanya & Murtinho, Felipe & Wolff, Hendrik, 2017. "The Impact of Payments for Environmental Services on Communal Lands: An Analysis of the Factors Driving Household Land-Use Behavior in Ecuador," World Development, Elsevier, vol. 93(C), pages 427-446.
    20. Leimona, Beria & van Noordwijk, Meine & de Groot, Rudolf & Leemans, Rik, 2015. "Fairly efficient, efficiently fair: Lessons from designing and testing payment schemes for ecosystem services in Asia," Ecosystem Services, Elsevier, vol. 12(C), pages 16-28.
    21. Suhardiman, Diana & Wichelns, Dennis & Lestrelin, Guillaume & Hoanh, Chu Thai, 2013. "Payments for ecosystem services in Vietnam: market-based incentives or state control of resources?," Ecosystem Services, Elsevier, vol. 6(C), pages 64-71.
    22. Hasan, M.H. & Mahlia, T.M.I. & Nur, Hadi, 2012. "A review on energy scenario and sustainable energy in Indonesia," Renewable and Sustainable Energy Reviews, Elsevier, vol. 16(4), pages 2316-2328.
    23. Siciliano, Giuseppina & Urban, Frauke & Kim, Sour & Dara Lonn, Pich, 2015. "Hydropower, social priorities and the rural–urban development divide: The case of large dams in Cambodia," Energy Policy, Elsevier, vol. 86(C), pages 273-285.
    24. Andrew L. Fanning, 2016. "Contrasting values in the sustainability debate: limitations of economic valuations and their role in decision-making," International Journal of Sustainable Development, Inderscience Enterprises Ltd, vol. 19(2), pages 185-200.
    25. Stephan Rist & Farid Dahdouh-Guebas, 2006. "Ethnosciences––A step towards the integration of scientific and indigenous forms of knowledge in the management of natural resources for the future," Environment, Development and Sustainability: A Multidisciplinary Approach to the Theory and Practice of Sustainable Development, Springer, vol. 8(4), pages 467-493, November.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Yan Yu & Ya Wu & Pan Wang & Yili Zhang & Liang Emlyn Yang & Xian Cheng & Jianzhong Yan, 2021. "Grassland Subsidies Increase the Number of Livestock on the Tibetan Plateau: Why Does the “Payment for Ecosystem Services” Policy Have the Opposite Outcome?," Sustainability, MDPI, vol. 13(11), pages 1-20, May.
    2. Sandra Ricart & Antonio M. Rico-Amorós, 2022. "Can agriculture and conservation be compatible in a coastal wetland? Balancing stakeholders’ narratives and interactions in the management of El Hondo Natural Park, Spain," Agriculture and Human Values, Springer;The Agriculture, Food, & Human Values Society (AFHVS), vol. 39(2), pages 589-604, June.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Diswandi, Diswandi, 2017. "A hybrid Coasean and Pigouvian approach to Payment for Ecosystem Services Program in West Lombok: Does it contribute to poverty alleviation?," Ecosystem Services, Elsevier, vol. 23(C), pages 138-145.
    2. Liu, Zhaoyang & Kontoleon, Andreas, 2018. "Meta-Analysis of Livelihood Impacts of Payments for Environmental Services Programmes in Developing Countries," Ecological Economics, Elsevier, vol. 149(C), pages 48-61.
    3. Sattler, Claudia & Matzdorf, Bettina, 2013. "PES in a nutshell: From definitions and origins to PES in practice—Approaches, design process and innovative aspects," Ecosystem Services, Elsevier, vol. 6(C), pages 2-11.
    4. Kim-Bakkegaard, Riyong & Jacobsen, Jette Bredahl & Wunder, Sven & Thorsen, Bo Jellesmark, 2017. "Comparing tools to predict REDD+ conservation costs to Amazon smallholders," Resource and Energy Economics, Elsevier, vol. 49(C), pages 48-61.
    5. Izquierdo-Tort, Santiago & Ortiz-Rosas, Fiorella & Vázquez-Cisneros, Paola Angélica, 2019. "‘Partial’ participation in Payments for Environmental Services (PES): Land enrolment and forest loss in the Mexican Lacandona Rainforest," Land Use Policy, Elsevier, vol. 87(C).
    6. Cisneros, Elías & Börner, Jan & Pagiola, Stefano & Wunder, Sven, 2022. "Impacts of conservation incentives in protected areas: The case of Bolsa Floresta, Brazil," Journal of Environmental Economics and Management, Elsevier, vol. 111(C).
    7. Hao Wang & Sander Meijerink & Erwin van der Krabben, 2020. "Institutional Design and Performance of Markets for Watershed Ecosystem Services: A Systematic Literature Review," Sustainability, MDPI, vol. 12(16), pages 1-26, August.
    8. Neitzel, K. Christoph & Caro-Borrero, Angela Piedad & Revollo-Fernandez, Daniel & Aguilar-Ibarra, Alonso & Ramos, Alya & Almeida-Leñero, Lucia, 2014. "Paying for environmental services: Determining recognized participation under common property in a peri-urban context," Forest Policy and Economics, Elsevier, vol. 38(C), pages 46-55.
    9. Colman, David & Pascual, Unai & Hodge, Ian, 2010. "Evolution of Land Conservation Policy," 14th ICABR Conference, June 16-18, 2010, Ravello, Italy 188082, International Consortium on Applied Bioeconomy Research (ICABR).
    10. Lliso, Bosco & Pascual, Unai & Engel, Stefanie, 2021. "On the role of social equity in payments for ecosystem services in Latin America: A practitioner perspective," Ecological Economics, Elsevier, vol. 182(C).
    11. Wunder, Sven & Engel, Stefanie & Pagiola, Stefano, 2008. "Taking stock: A comparative analysis of payments for environmental services programs in developed and developing countries," Ecological Economics, Elsevier, vol. 65(4), pages 834-852, May.
    12. Rodríguez-Robayo, Karla Juliana & Merino-Perez, Leticia, 2017. "Contextualizing context in the analysis of payment for ecosystem services," Ecosystem Services, Elsevier, vol. 23(C), pages 259-267.
    13. Jones, Kelly W. & Muñoz Brenes, Carlos L. & Shinbrot, Xoco A. & López-Báez, Walter & Rivera-Castañeda, Andrómeda, 2018. "The influence of cash and technical assistance on household-level outcomes in payments for hydrological services programs in Chiapas, Mexico," Ecosystem Services, Elsevier, vol. 31(PA), pages 208-218.
    14. Vignola, Raffaele & McDaniels, Tim L. & Scholz, Roland W., 2012. "Negotiation analysis for mechanisms to deliver ecosystem services: The case of soil conservation in Costa Rica," Ecological Economics, Elsevier, vol. 75(C), pages 22-31.
    15. Haile, Kaleab K. & Tirivayi, Nyasha & Tesfaye, Wondimagegn, 2019. "Farmers’ willingness to accept payments for ecosystem services on agricultural land: The case of climate-smart agroforestry in Ethiopia," Ecosystem Services, Elsevier, vol. 39(C).
    16. Brownson, Katherine & Fowler, Laurie, 2020. "Evaluating how we evaluate success: Monitoring, evaluation and adaptive management in Payments for Watershed Services programs," Land Use Policy, Elsevier, vol. 94(C).
    17. Benra, F. & Nahuelhual, L. & Felipe-Lucia, M. & Jaramillo, A. & Jullian, C. & Bonn, A., 2022. "Balancing ecological and social goals in PES design – Single objective strategies are not sufficient," Ecosystem Services, Elsevier, vol. 53(C).
    18. Schomers, Sarah & Matzdorf, Bettina, 2013. "Payments for ecosystem services: A review and comparison of developing and industrialized countries," Ecosystem Services, Elsevier, vol. 6(C), pages 16-30.
    19. Pascual, Unai & Muradian, Roldan & Rodríguez, Luis C. & Duraiappah, Anantha, 2010. "Exploring the links between equity and efficiency in payments for environmental services: A conceptual approach," Ecological Economics, Elsevier, vol. 69(6), pages 1237-1244, April.
    20. Tran, Thi Thu Huong & Zeller, Manfred & Suhardiman, Diana, 2016. "Payments for ecosystem services in Hoa Binh province, Vietnam: An institutional analysis," Ecosystem Services, Elsevier, vol. 22(PA), pages 83-93.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eee:ecoser:v:39:y:2019:i:c:s2212041619302207. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Catherine Liu (email available below). General contact details of provider: https://www.journals.elsevier.com/ecosystem-services .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.