Compensation Payments for Downsides Generated by Protected Areas

Peter Pechacek, Guo Li, Junsheng Li, Wei Wang, Xiaopu Wu, Jing Xu

Protected areas are powerful instruments to tackle the biodiversity crises. However, local communities believe that protected areas generate downsides for which they should be compensated. We reviewed (1) problem evolution, (2) the idea of compensation schemes, and (3) practical considerations. We found that compensations for conservation-related losses are insufficiently considered when protected areas are established. Schemes include controversial resettlements of human populations, traditional reimbursements, and recently favored incentive payments to encourage local communities to conserve biodiversity on their lands. The compensation process is typically composed of the verification of losses/facts, estimation of costs, and delivery of payments. Compensation schemes promote tolerance and awareness, and responsibility of the broader society while minimizing confrontations. They have the power to mainstream concern about human welfare in protected area management, and are therefore a key to successful conservation. Verifying the impact of compensations on achievement of conservation goals remains, however, difficult to prove.