Watershed protection schemes growing, China takes lead

Investments in initiatives that offer compensation for protecting and restoring water-rich ecosystems have doubled worldwide between 2008 and 2011, according to the report “State of Watershed Payments 2012” by Forest Trends.

"The idea of providing cash and other incentives for maintaining the functions of natural water systems - such as providing drinking water, controlling floods and recharging groundwater - is gaining ground because it is often cheaper than building costly infrastructure. Payment in-kind could include the provision of farming inputs, technical training or security of land tenure," Genevieve Bennett, lead author of the report and a research analyst with Ecosystem Marketplace told Alertnet.