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Scope for introducing payments for ecosystem services as a strategy to reduce deforestation in the Kilombero wetlands catchment area

  • Mombo, Felister
  • Lusambo, Leopold
  • Speelman, Stijn
  • Buysse, Jeroen
  • Munishi, Pantaleo
  • van Huylenbroeck, Guido
Registered author(s):

    Payment for Environmental or Ecosystem Services (PES) is among the tools for managing degraded ecosystems and their associated ecological and economic services. Wetlands are an important type of ecosystem, which are highly degradable and accordingly PES become relevant for the sustainable management of wetlands. In Tanzania deforestation in catchment forests has affected many wetlands so much that they cannot adequately contribute to quantity and quality supply of water throughout the year. This study uses consumption surveys and choice modelling to examine the values attached by communities in and around Kilombero Valley to the conservation of catchment trees as compared to the market price value of wood used for timber products in the wetlands. Results show that although conservation preference is generally positive among both rural and urban communities for the trees, the Willingness to Pay (WTP) for the rural dwellers is in proportion to approximately less than 1% of what they receive from the market. Again, the WTP for the rural communities is three times lower than that of the urban communities. These findings are important to policy makers and conservationists in making informed economic decisions on how PES schemes can be used to enhance sustainable management of wetlands.

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    Article provided by Elsevier in its journal Forest Policy and Economics.

    Volume (Year): 38 (2014)
    Issue (Month): C ()
    Pages: 81-89

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    Handle: RePEc:eee:forpol:v:38:y:2014:i:c:p:81-89
    Contact details of provider: Web page: http://www.elsevier.com/locate/forpol

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    1. R. Turner & G. Daily, 2008. "The Ecosystem Services Framework and Natural Capital Conservation," Environmental & Resource Economics, European Association of Environmental and Resource Economists, vol. 39(1), pages 25-35, January.
    2. Vanja Westerberg & Robert Lifran & Soren Boye Olsen, 2010. "To restore or not? A valuation of social and ecological functions of the Marais des Baux wetland in Southern France," Working Papers 39687, Institut National de la Recherche Agronomique, France.
    3. Leopoldo Dimas & Susan Kandel & Deborah Barry & Herman Rosa, 2004. "Compensation for Environmental Services and Rural Communities: Lessons from the Americas," Working Papers wp96, Political Economy Research Institute, University of Massachusetts at Amherst.
    4. Hanley, Nick & Mourato, Susana & Wright, Robert E, 2001. " Choice Modelling Approaches: A Superior Alternative for Environmental Valuation?," Journal of Economic Surveys, Wiley Blackwell, vol. 15(3), pages 435-62, July.
    5. Kosoy, Nicolas & Martinez-Tuna, Miguel & Muradian, Roldan & Martinez-Alier, Joan, 2007. "Payments for environmental services in watersheds: Insights from a comparative study of three cases in Central America," Ecological Economics, Elsevier, vol. 61(2-3), pages 446-455, March.
    6. Sierra, Rodrigo & Russman, Eric, 2006. "On the efficiency of environmental service payments: A forest conservation assessment in the Osa Peninsula, Costa Rica," Ecological Economics, Elsevier, vol. 59(1), pages 131-141, August.
    7. 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.
    8. Campos, Pablo & Caparros, Alejandro, 2006. "Social and private total Hicksian incomes of multiple use forests in Spain," Ecological Economics, Elsevier, vol. 57(4), pages 545-557, June.
    9. Milon, J. Walter & Scrogin, David, 2006. "Latent preferences and valuation of wetland ecosystem restoration," Ecological Economics, Elsevier, vol. 56(2), pages 162-175, February.
    10. Adamowicz W. & Louviere J. & Williams M., 1994. "Combining Revealed and Stated Preference Methods for Valuing Environmental Amenities," Journal of Environmental Economics and Management, Elsevier, vol. 26(3), pages 271-292, May.
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