Desarrollando Developing - CEDAF

What incentives can be usedin order to promote thecreation of PPAs?In order to increase the number of PPAs created to significant levels,it is necessary to develop and implement a system of public and privateincentives that attract a greater number of landowners. The most frequentoptions for economic, legal and marketing incentives used in this field aredescribed below.Paymentsfor Environmental Services(PES)It is a payment to landowners who are conserving their propertiesand thus providing environmental services to the society through theirconservation actions. There are many types of environmental services, suchas:Carbon fixationWater: potable, hydroelectric and agricultural usesScenic beautySpecies maintenance: for pharmaceutical, medicinal, food orcosmetic uses, among othersDisaster preventionErosion and sedimentation preventionIn order to understand how a PES system works, one mustunderstand that there are “users” of these services. These “users” areindividuals, communities, national or foreign companies and government, allusing water, scenic beauty, etc. in their daily activities and therefore, are theones who should pay for the use of such environmental services in theiractivities. On the other hand, there are those who “generate” theenvironmental services, which are usually the owners of those propertiesbeing conserved. In this type of system an “administrative body” is generallyneeded to charge and receive the payments from the users (all of us) andensure that these payments get to the “producers” (landowners). Asummarized version of a PES system is graphically described below.15