Abstract:
This research aims to provide an analysis of the private sector’s potential contribution to the
maintenance of ecosystem services in South Africa. While there is widespread support for
payment for ecosystem services and goods (PES), the development of markets and the making of
payments are heavily constrained by a number of factors. This constraint is because there are
barriers to entry and the need to facilitate the market-making process. This process could be
supported by, among others, the establishment of a PES stimulation fund. It is unlikely that the
PES potential would be realised without such high-level intervention and support. The fund has
a very important role to play in assisting the development of the PES industry in South Africa.
Its development enjoys overwhelming support, and the role of a financial intermediary is central
to the success of PES.
