Estimating the opportunity costs of environmental conservation in the Feijão River watershed (São Carlos-SP, Brazil).

The objective of this study was to infer the opportunity cost of land use of the Feijão River watershed (São Carlos-SP, Brazil), in order to estimate the financial resources necessary to compensate landowners willing to convert their production areas into areas of environmental preservation. Net values were estimated by calculating the Annual Value and the Net Present Value of each activity. The area used for agricultural production was estimated using the Land Cover Map of the watershed. The study involved four production areas: forestry, livestock, sugarcane and orange, accounting for 66% of the watershed area of 22,300 hectares. Considering a scenario of total consent from landowners, the 2011 net annual values were estimated at R$ 13.4 million: R$ 2.2 million (eucalyptus), R$ 1.9 million (livestock), R$ 1.1 million (sugarcane) and R$ 8.2 million (orange). This amount would be used as payment for ecosystem services.

Estimating the opportunity costs of environmental conservation in the Feijão River watershed (São Carlos-SP, Brazil) / Estimativa dos custos de oportunidade para a conservação ambiental na bacia hidrográfica do Ribeirão do Feijão (São Carlos - SP, Brazil)

Abstract The objective of this study was to infer the opportunity cost of land use of the Feijão River watershed (São Carlos-SP, Brazil), in order to estimate the financial resources necessary to compensate landowners willing to convert their production areas into areas of environmental preservation. Net values were estimated by calculating the Annual Value and the Net Present Value of each activity. The area used for agricultural production was estimated using the Land Cover Map of the watershed. The study involved four production areas: forestry, livestock, sugarcane and orange, accounting for 66% of the watershed area of 22,300 hectares. Considering a scenario of total consent from landowners, the 2011 net annual values were estimated at R$ 13.4 million: R$ 2.2 million (eucalyptus), R$ 1.9 million (livestock), R$ 1.1 million (sugarcane) and R$ 8.2 million (orange). This amount would be used as payment for ecosystem services.

Resumo O objetivo deste estudo foi inferir o custo de oportunidade do uso do solo da bacia hidrográfica do manancial do Ribeirão do Feijão, São Carlos – SP, a fim de estimar o valor necessário para ressarcir os proprietários de terras dispostos a converter suas áreas produtivas para áreas de proteção ambiental. Os valores líquidos foram estimados pelo cálculo do Valor Anual e o Valor Presente Líquido de cada tipo de atividade. A área ocupada foi estimada utilizando o mapa de cobertura de solo. Foram analisadas quatro áreas produtivas, das quais: reflorestamento, pecuária, cana-de-açúcar e laranja, que juntas representam 66% da área total da bacia, que totaliza 223 km2. Os valores líquidos anuais, referentes ao ano de 2011 e considerando um cenário de total adesão dos proprietários, foram estimados em R$ 13,4 milhões: R$ 2,2 milhões (eucalipto), R$ 1,9 milhão (pecuária), R$ 1,1 milhão (cana-de-açúcar) e R$ 8,2 milhões (laranja). Este montante seria o valor necessário estimado para fins de ressarcimento pela prestação dos serviços ambientais da bacia.

Economic assessment of urban watersheds: developing mechanisms for environmental protection of the Feijão river, São Carlos--SP, Brazil.

In order to determine the willingness of the population of São Carlos (a city in the state of São Paulo, Brazil) to pay for the environmental protection (WTP) of the Feijão River's watershed, the Contingent Valuation Method (CVM), as well as the bidding-games technique, were used. In October 2010, 280 questionnaires were applied to a probabilistic sample of the population. A multivariate logistic regression model was built, creating five scenarios adjusted to the age and probability to pay according to the significant variables found. Concerning the WTP, 56% of the interviewees showed willingness to pay a monthly amount using the water bill as a vehicle for this. The WTP average was 1.94 US Dollar (USD), with a standard deviation of 1.91 USD. The total annual amount for the scenario that considers the whole population over 18 years old was of USD 3,930,616.80. The main argument for the negative WTP was that the interviewees could not afford it (14%).