Payment schemes for forest ecosystem services in China: policy, practices and performance

Faced with intensified ecological crisis, the Chinese government has sought policy interventions to reverse its forest degradation. Among the policy instruments is the Payment for Ecosystem Services (PES) that aims to transform the pattern of traditional forest management and protection and to encourage forest sustainable use by financial incentive. This thesis provides a policy evaluation on the payment schemes for forest ecosystem services in China. It examines PES schemes with respect to ecological effectiveness, economic and livelihood impacts, participation of local people, and the interlinkages with forest tenure reform. The evaluation is based on different cases across China’s main forested regions. The implementation of payment schemes in China shows improvements in forest management and protection and an incentive-based governance method is employed instead of ‘command and control’. New forest use practices are also created to couple local livelihood requirements with ecological conservation. In addition, local farmers are more and more involved in the implementation of payment schemes.