The incremental cost principle and the conservation of globally important habitats: A critical examination

This paper examines the application of the Incremental Cost (IC) principle for the conservation of globally important habitats. It first describes the characteristics of the IC and how it became an important financial modality in multilateral conservation efforts. The application of the IC is then examined taking into account characteristics of successful collaboration efforts for the global environment. The paper finds that as currently applied, the IC fails to be a robust financial mechanism for protection of globally important habitats. It also heavily skews the bulk of conservation costs from developed to developing countries. The paper concludes with a description of suggested changes to make the IC an effective tool in global conservation efforts.