Standards of payments for paddy ecosystem services:using Hani Terrace as case study

Agricultural land provides not only food and fiber (an important element of food security), but also serves as non-market commodity with characteristic externalities and public services. Payments for paddy ecosystem services promote farmers’ engagement in ecological or organic agricultural practices and agro-ecological/environmental supply. Standard of payments for ecosystem services is one key issue for establishing eco-compensation mechanisms in paddy fields. This paper established the items and calculation processes of standards of payments for ecosystem services of traditional paddy based on the farmers’ willingness and input-output analysis of compensation investments. Then using rice-fish symbiotic system in Hani Terrace as case study, farmer compensation willingness was calculated under designed dwindling application of chemical fertilizers, pesticides and other agro-chemicals. Standard of payments for paddy ecosystem services was attained based on policy effectiveness through evaluating paddy ecosystem services supply in designed conditions. Results showed that most farmers recognized the negative impacts of fertilizers and pesticides on agro-ecological environments. A significant relationship was noted between farmer compensation willingness and application restrictions of chemical fertilizers and pesticides under different designed conditions. Under different limits, farmer cash compensation willingness was in the range of 3 727~8 732 Yuan?hm^-2 and willingness to accept environment-friendly rice price rise was in the range of 1.25~2.45 Yuan?kg^-1. Through field investigations and follow-up calculations, ecosystem services value of rice-fish systems in paddy fields was 7 447 Yuan?hm?2, provided farmers reduced use of fertilizers to half dose and no pesticides. Thus government could pay farmers to encourage low use of fertilizers and pesticides for high ecological services. Government could initially pay 7 462 Yuan?hm^-2 for paddy ecosystem services output of 7 447 Yuan?hm^-2. However, for 1 Yuan?kg^-1 rice price increase under limited chemical fertilizer and pesticide use, government would paid 7 112 Yuan?hm^-2. The compensation investment profit at this rate was 335 Yuan?hm^-2.