Turning Conservation into Compensation – A Game-Changer for Sustainability

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Turning Conservation into Compensation – A Game-Changer for Sustainability

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In a bold and visionary move, the Cabinet of Ministers has approved Ethiopia’s first-ever Proclamation on Payment for Ecosystem Services (PES) — a transformative legal framework that places real value on the ecosystems that sustain our lives and livelihoods.

From lush forests to fertile watersheds, Ethiopia’s natural ecosystems are the quiet engines of its economy and resilience. Yet, unsustainable use has pushed many to the brink. This proclamation flips the script: those who preserve and restore nature will now be recognized—and rewarded.

What Makes This Proclamation a Milestone:

Empowering Guardians of Nature: Communities, businesses, and institutions that actively protect ecosystems will be financially compensated for their efforts.

Federal-Regional Synergy: Creates a coordinated mechanism for national and local governments, NGOs, and the private sector to tailor PES schemes to local contexts.

Green Growth Catalyst: By investing in natural capital, Ethiopia is securing clean water, fertile soils, and climate resilience—while unlocking economic potential for generations to come.

This is more than policy—it’s a paradigm shift.

Ethiopia is sending a powerful message: environmental stewardship is not just noble—it’s valuable.