Policy: RUPES-II will aim to have a significant impact on policy in at least six countries: China, India, Indonesia, the Philippines, Nepal, and Vietnam in collaboration with international and national partners at each country. National studies and regional workshops will support the exchange and comparison of policies and experiences, with the aim of integrating environmental services schemes into national economic development and conservation priorities.

 

Government: National, provincial and local governments will be supported in developing rewards for environmental services schemes. Institutional constraints, such as conflicting regulatory jurisdictions, will be examined.

 

Investment: Innovative institutional arrangements for international investment will be tested for carbon sequestration schemes, to encourage partnerships with forest-based communities.

 

Buyers and sellers: Opportunities will be promoted for buyers to participate in reward schemes and provide technical assistance to sellers to develop their business cases and draw up contracts.

 

Best practice: Documentation of ‘good practice’ in negotiations will support emerging concepts and global standards for environmental services schemes. The Phase 1 action research sites will become learning centres to assist buyers, sellers and intermediaries, spread exemplary practices across Asia and ensure the sustainability of existing schemes.

 

New rewards: New options will be tested, continuing the scoping for financial and nonfinancial reward mechanisms at community and household levels. New in-kind rewards and their mechanisms will also be tested, such as bio-rights schemes, micro-hydro projects and market access for organic products from well-managed landscapes.

 

New in-kind rewards and their mechanisms will also be tested, such as bio-rights schemes, micro-hydro projects and market access for organic products from well-managed landscapes.

New environmental service opportunities: Bundling local benefits from watershed protection and global carbon payments should now be feasible, after the UNFCCC COP13 in Bali in December 2007 resolved that ‘demonstration activities’ were needed on ‘reducing emissions from deforestation in developing countries’.

Although the call is for ‘voluntary’ experiments at this stage, there is a real opportunity that this will revitalize the multi-billion USD carbon market for engaging with local communities to reduce poverty and greenhouse gas emissions.

RUPES-II will also seek opportunities to facilitate and promote markets for eco-labelled products planted in agroforests and biodiversity-rich areas. These could be bundled with watershed functions and reducing carbon emissions, as described above.

To this end, the project will strengthen partnerships with private companies and RUPES-II partners with ample experience in testing this mechanism.