IDEAS home Printed from https://ideas.repec.org/p/rff/dpaper/dp-08-24-efd.html
   My bibliography  Save this paper

Deforestation Impacts of Environmental Services Payments: Costa Rica’s PSA Program 2000–2005

Author

Listed:
  • Robalino, Juan
  • Pfaff, Alexander
  • Sanchez-Azofefia, G. Arturo
  • Alpizar, Francisco
  • Leon, Carlos
  • Rodriguez, Carlos Manuel

Abstract

Costa Rica’s environmental services payments program (Pagos por Servicios Ambientales, or PSA) started in 1997 and was the true pioneer in this area. It is broadly cited and has led to numerous calls for emulating its approach in various ways. It has itself evolved over time, with acknowledged shifts in focus. To measure the impacts of changed implementation, following earlier work on the 1997–2000 payments (Sánchez-Azofeifa et al. 2007; Pfaff et al. 2007), we evaluated the impact of the PSA forest protection contracts during 2000 and 2005. We found that less than 1 in 100 (about 0.4 percent) of the parcels enrolled in the program would have been deforested annually without payments, i.e., due to the net impact of the land returns in agriculture versus in ecotourism, as well as the effects of other conservation policies. This low return on investment is, to first order, the same as was seen for 1997–2000. However, we found that shifts in implementation have eliminated the bias in PSA location toward places where PSA’s impact on deforestation was even lower than on average plots. Thus, we showed that the impact increased due to changes in how program parcels were chosen. However, significant potential gains can be realized by increased targeting of areas with some deforestation pressure, including with payments that differ over space.

Suggested Citation

  • Robalino, Juan & Pfaff, Alexander & Sanchez-Azofefia, G. Arturo & Alpizar, Francisco & Leon, Carlos & Rodriguez, Carlos Manuel, 2008. "Deforestation Impacts of Environmental Services Payments: Costa Rica’s PSA Program 2000–2005," Discussion Papers dp-08-24-efd, Resources For the Future.
  • Handle: RePEc:rff:dpaper:dp-08-24-efd
    as

    Download full text from publisher

    File URL: http://www.rff.org/RFF/documents/EfD-DP-08-24.pdf
    Download Restriction: no

    References listed on IDEAS

    as
    1. 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.
    2. Pfaff, Alexander S. P. & Sanchez-Azofeifa, G. Arturo, 2004. "Deforestation pressure and biological reserve planning: a conceptual approach and an illustrative application for Costa Rica," Resource and Energy Economics, Elsevier, vol. 26(2), pages 237-254, June.
    3. Robalino, Juan A. & Pfaff, Alexander, 2012. "Contagious development: Neighbor interactions in deforestation," Journal of Development Economics, Elsevier, vol. 97(2), pages 427-436.
    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. Salas, Paula Cordero & Roe, Brian E. & Sohngen, Brent, 2012. "Addressing Additionality in REDD Contracts when Formal Enforcement is Absent," 2012 Annual Meeting, August 12-14, 2012, Seattle, Washington 124505, Agricultural and Applied Economics Association.
    2. repec:eee:jeeman:v:86:y:2017:i:c:p:8-28 is not listed on IDEAS
    3. van Benthem, Arthur & Kerr, Suzi, 2013. "Scale and transfers in international emissions offset programs," Journal of Public Economics, Elsevier, vol. 107(C), pages 31-46.
    4. Alix-Garcia, Jennifer M. & Shapiro, Elizabeth N. & Sims, Katharine R. E., 2010. "Forest Conservation and Slippage: Evidence from Mexico's National Payments for Ecosystem Services Program," Staff Paper Series 548, University of Wisconsin, Agricultural and Applied Economics.
    5. Jennifer M. Alix-Garcia & Elizabeth N. Shapiro & Katharine R. E. Sims, 2012. "Forest Conservation and Slippage: Evidence from Mexico’s National Payments for Ecosystem Services Program," Land Economics, University of Wisconsin Press, vol. 88(4), pages 613-638.
    6. Blackman, Allen & Woodward, Richard T., 2010. "User financing in a national payments for environmental services program: Costa Rican hydropower," Ecological Economics, Elsevier, vol. 69(8), pages 1626-1638, June.
    7. Martin Persson, U. & Alpízar, Francisco, 2013. "Conditional Cash Transfers and Payments for Environmental Services—A Conceptual Framework for Explaining and Judging Differences in Outcomes," World Development, Elsevier, vol. 43(C), pages 124-137.
    8. Rodrigo A. Arriagada, & Paul J. Ferraro & Erin O. Sills & Subhrendu K. Pattanayak & Silvia Cordero-Sancho, 2012. "Do Payments for Environmental Services Affect Forest Cover? A Farm-Level Evaluation from Costa Rica," Land Economics, University of Wisconsin Press, vol. 88(2), pages 382-399.
    9. Zanella, Matheus A. & Schleyer, Christian & Speelman, Stijn, 2014. "Why do farmers join Payments for Ecosystem Services (PES) schemes? An Assessment of PES water scheme participation in Brazil," Ecological Economics, Elsevier, vol. 105(C), pages 166-176.

    More about this item

    Keywords

    Forest; land; payment for environmental services; policy evaluation; conservation policies matching;

    JEL classification:

    • Q24 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Renewable Resources and Conservation - - - Land
    • Q22 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Renewable Resources and Conservation - - - Fishery
    • Q28 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Renewable Resources and Conservation - - - Government Policy
    • C21 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - Cross-Sectional Models; Spatial Models; Treatment Effect Models

    Statistics

    Access and download statistics

    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:rff:dpaper:dp-08-24-efd. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Webmaster). General contact details of provider: http://edirc.repec.org/data/degraus.html .

    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 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.

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

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.