Payment of Ecosystem Services of the PES schemes as they are called involves payment made to land managers or for other natural resources owners in order to make an exchange for the provisions in specified ecosystem services. It is usually done with respect to exchange of actions that are related to delivery of services in the absence of a payment maybe. Payments are usually made by an individual in question, or it could be cleared by a business community, a corporation and the government etc based on the stakeholders that are involved in such a pay category.
Payments may be made by the beneficiaries of services. They could be in the name of individuals or communities or businesses, governments etc. Usually such an agreement is something beneficiaries get into on their own accord and usually PES agreements are therefore on voluntary basis. They certainly don’t have any obligation to satisfy here.
Simply defined, ecosystem services are hence defined as the benefits that a person would be likely to derive from specific environments. These include, for example, the provision of food, water and timber etc, and include the regulation of air quality, climate and flood risk, opportunities for recreation, tourism and cultural development and more. The purpose is the maintenance and enhancement of ecosystem services and restoring them from a degradation that they have been exposed to. This is necessary for sustainable economic growth.