“ICMS ecolí³gico” is a tax-revenue
proportioning scheme in Brazil designed to
effectively protect land for the purpose of
improving water quality and biodiversity.
The project seeks to compensate counties and municipalities for their active stewardship in abstaining from unsustainable exploitation of protected areas. Historically, local communities had been reluctant to set aside these lands or effectively comply with restrictions on their use because it limited possibilities for revenue generation and economic growth.
