In order to maintenance and provide a sustainable ecosystem services, Payment for Ecosystem Services (PES) is used as a kind of market instruments to compensate and encourage farmers or landowners to improve land management practices . It has been defined as “a transparent system for the additional provision of environmental services through conditional payments to voluntary providers” . From 1990s to the present, hundreds of PES programs have been implemented around the world with varying levels of success.
Even in early 2005, the PES was being implemented globally as was seen in the 2005 Millennium Ecosystem Assessment. However, they were not achieving the needed results as observed in the same reports. For instance, the Millennium assessment was able to establish the following.
Firstly, on a global scale, whilst some ecosystem services such as food production had increased, the majority of ecosystem services had been degraded. A latter UK National Ecosystem Assessment (NEA) that was published in 2011 emphasized that the range of services as was observed in the case of eight broad terrestrial and aquatic habitat types in the United Kingdom were not performing up to mark. It was established in the report that around 30 percent were in decline. Many of the natural ecosystems were in a reduced or degraded state, often as a consequence of long-term declines in habitat extent or condition.