Payment schemes for environmental services in watersheds in Ecuador

Abstract

Payment schemes for environmental services in watersheds (PES) comprise a payment or direct compensation, by the users of the service, for the maintenance of an environmental service related to water supply, availability and/or quality. The logic of this approach is the idea that healthy ecosystems such as forest and highlands (páramos) provide hydrological services. This paper describes the main payment schemes for watershed services developed in Ecuador. It presents their objective and scope, as their main results and impacts. Therefore presents common elements to all experiences like lessons learned and future perspectives. The available information does not allow to quantify the impact of the payments or compensations, either in terms of the hydrological services provision or the service providers well being. Nevertheless, the stakeholders perceptions given through interviews, show that there is a positive impact in the providers welfare and in the ecosystems health.