Economic Impact of Implementation of Permanent Preservation Areas in the Alegre River Watershed, Municipality of Alegre, Espírito Santo State

ABSTRACT

This GIS-based study analyzed the economic impact resulting from law enforcement of the Brazilian Forestry Code in relation to demarcation and implementation of permanent preservation areas (PPA’s) in the Alegre river watershed, Alegre - ES. Using the Faustmann formula, the total annual net revenue resulting from productive activities for these areas was found to be approximately R$ 1 million. This figures led to the conclusion that the monthly net contribution of each hectare of deforested PPA’s is only R$ 11. Thus, the implementation of policies as incentives for environmental preservation is not only feasible but necessary.

Keywords:
permanent preservation areas; Alegre River Watershed; geography information system; environmental policies; short properties.