Evaluating the ecological and social targeting of a compensation scheme in Bangladesh

Conservation payments are increasingly advocated as a way to meet both social and ecological objectives, particularly in developing countries, but these payments often fail to reach the ‘right’ individuals. The Government of Bangladesh runs a food compensation scheme that aims to contribute to hilsa (Tenualosa ilisha) conservation by improving the socioeconomic situation of households affected by hilsa sanctuary fishing bans. Analysing data from a household survey of compensation recipients and non-recipients, we identify the current correlates of compensation distribution and explore perceptions of fairness in this distribution. We find that distribution is largely spatial rather than based on the household characteristics that are supposed to determine eligibility for compensation, indicating political influence in the distribution process. We also find the compensation scheme is widely perceived to be unfair, which could be undermining its potential to compensate vulnerable fishers while improving compliance with fishing bans. The spatial distribution of compensation would shift substantially under alternative targeting scenarios that are likely to improve the cost-effectiveness of the scheme, such as targeting those who are most dependent on fishing for their livelihood. This study highlights a challenge for conservation payment schemes that aim to achieve the dual objectives of poverty reduction and ecological sustainability, particularly large-scale public schemes, and suggests that more effective targeting and transparency about the basis of payment distribution are prerequisites for schemes to be both cost-effective and socially acceptable.