LDC New Incentives Report | Page 80

Appendix C Incentive mechanisms

In this Appendix, the incentive mechanisms, as they fall under the categories of non-financial and financial are presented. Regulatory‘ incentives’ are not discussed as these are considered to be outside the scope of this research.
C. 1
C. 1.1
Non-financial incentives
Extension / suasion / social recognition
Extension / suasion is an incentive approach aimed at changing an individual or firm’ s perceptions and priorities about land management through information provision, education programs and social recognition and pressure schemes. This incentive approach has the benefit of better informing people about the implications of their actions and rewarding those that are doing the right thing in a way alternative to the provision of financial reward( social recognition). Information can act as an incentive in two ways. Firstly, private benefits to improved land management may be highlighted. Secondly, some landholders may wish to change their behaviour if negative public impacts are brought to their attention( this type of information is sometimes called“ moral suasion”). It is recognised that some landholders are intrinsically motivated to do the right thing. Whilst these landholders gain some form of private benefit( financial and nonfinancial) from good land management, their motivations can be enhanced through some form of social recognition. This may be in the form of status( Land for Wildlife sign on the gate or being a recognised‘ Reef Champion’ are examples of this. Other examples include award nights, demonstration sites and case studies) and can also be through activities such as providing access to exclusive training opportunities for high performers.
Suasive instruments are usually low cost to administer, and thus are a good option for a first choice incentive scheme. It is important that information and education campaigns provide practical and clear advice on changing behaviour. Social pressure schemes are more likely to succeed in instances where the scientific evidence for the undesirability of an act is widely accepted( Comerford & Binney, 2004).
Whilst extension / suasion / social recognition programs are an important component in the incentive mix they rarely achieve widespread NRM change when used in isolation. Instead, suasive measures are often used as an accompaniment to other incentive programs – for example a financial payment linked to engagement with an extension officer to produce a property management plan. This form of non-financial incentive can also be inhibited if applied in a start / stop nature as this can lead to frustration and dis-adoption.
78 | Landholders driving change: Exploring new incentives