Case Studies:

Honduras - El Escondido Watershed


This was a proposal for a scheme of direct payments to landowners on land crucial to watershed protection around lake Yojoa. Negotiations were suspended due to changes in the staff of the institutions involved, but it is expected to be revitalized with the appointment of the new national director of The Nature Conservancy (TNC).

Maturity of the initiative

Pilot project since 2001, implementation process stopped in 2005. Current status is unclear


The Nature Conservancy and local partner AMUPROLAGO, an association of local municipalities, began working to safeguard threatened private lands in order to protect the water resources being used for hydroelectric power , grazing, agriculture, fisheries and human consumption.



80 ha of land crucial to watershed protection. Owned by 14 families (monthly income of $34 - $134); eight local landowners have agreed to limit development of their land in exchange for financial benefits from the local municipalities.


Water users in Santa Bárbara, second largest city in AMUPROLAGO area.


The Nature Conservancy (TNC) and local partner AMUPROLAGO, an association of 21 local municipalities created to protect the lake Yojoa

Market design


Water quantity (the water level in the lake has been decreasing rapidly over the last years).


Probably improved management practices, see above in supplyPayment mechanismNo information.

Type of Payment

No information.

Funds involved

No information

Analysis of costs and benefits


No information.


No information.


No information.

Legislation Issues

Since 2001,Honduras has had a National Committee for Environmental goods and services (CONABISAH).


No information.

Main Constraints

The development of this initiative was stopped in 2005 but is expected to be revitalized with the arrival of the new national director of TNC, Julio Cárcamo. However the current status of the project is unclear.

Main policy lessons

No information.

Other information

No information.


Tulio Monterroso, AMUPROLOAGO:; ;


Cohen, S. 28-2-2002. Pro-poor Markets for Environmental Services Carbon Sequestration and Watershed Protection. Nature Conservancy. http://biodiversityeconom

Links (secretaria de recursos naturales y de ambiente)

back to top












back to top












back to top


Link to main IIED website