The presentation of Dr Ina Porras, a researcher with IIED's Sustainable Markets Group, to the IIED-hosted Innovations for equity in smallholder PES: bridging research and practice conference. The presentation, made within the first session on strategies to promote the inclusion of smallholders and communities in PES schemes, focused on the lessons and experienced from a national-level scheme in Costa Rica. More information on Porras' work: http://www.iied.org/payments-for-ecosystem-services-costa-rica-s-recipe. The conference took place at the Royal Botanic Gardens in Edinburgh on 21 March. Further details of the conference and IIED's work with PES are available via http://www.iied.org/conference-innovations-for-equity-smallholder-pes-highlights, and can be found via the Shaping Sustainable Markets website: http://shapingsustainablemarkets.iied.org/.

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Author name
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Ina Porras, SMG
21/03/14
(Nearly) 20 years of PES in Costa
Rica
Presented by Ina Porras, IIED
Fair and green?
Innovations for equity in smallholder PES: bridging research and practice Conference.
Edinburgh 21 March 2014

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Context and people
have changed…

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PES not only about the
environment…
• By Law;
• For political buy
• For reputation;
• For mutual agreements;

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Group contracts
• Between 1997-2002
• One contract for group of
landowners. Reduced transaction
costs, easier to manage.
• Did not work - not enough capacity to
self-enforce.
• Evolved into group contract for
technical advice

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Indigenous groups
• Contracts only with legal association
• No power on internal distribution of
funding;
• Increasingly important in light of
REDD+ commitments
• Some grumbles, but overall highly
effective when they work

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Priority to areas with low
development (SDI)
• Relatively useful (easy, roughly
correlated with opportunity cost)
• But it is not measured against land
ownership
• Large landowners benefit the most:
over 1/3 have more than 100 ha, with
average value of nearly US$900k.
• Too rough – lets in many who don’t
need priority

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Priority for small
properties
• < 50 hectares
• Good because high fixed entry costs;
• Encourage small properties around
urban areas;
• “Small” ≠ poor or vulnerable: land
prices widely vary: 50 ha @ $3.5
million in St Domingo and @$125k in
Upala.

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Who is who?

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But over 50% of
contracts are now with
corporations…
Who is being left out?