Payments for hydrological ecosystem services as a tool for Integrated Water and Resource Management and Development (IWRDM)

The implementation of incentive-based payment schemes to support sustainable natural resource management and conservation in Latin America has considerably increased recently (Wunder, 2001). While natural resource conservation and sometimes, of secondary order, poverty alleviation are the prevailing reason for their implementation, the potential of the development of Payments for Ecosystem Services (PES) is possibly greater. Similar to the development of watershed management plans the development of payment schemes requires an integrated assessment of natural resources, actions to form an effective framework of policies, legislation and financing structures, furthermore the establishment of capable institutions and the enhancement of specific management instruments (UNECE, 2007). Since in many Latin American countries the establishment of efficient water management plans, especially regional and local ones, is still not satisfactory thus synergies between the development of management plans and PES could be used to implement PES as a tool within management plans in a methodological manner. Sustainability prospects in terms of improved land use, participatory stakeholder involvement and efficient financing mechanisms might improve