China’s grassland ecological compensation policy achieves win-win goals in Inner Mongolia

Abstract Approximately 10% of China’s grasslands are severely degraded and 90% them overgrazed. To protect ecosystems boost human well-being, payments for ecosystem services programs have been implemented to generate win-win outcomes pastoralists the grasslands. Taking a payment program in Damao County, Inner Mongolia as an example, our study evaluated ecological effects Grassland Ecological Compensation Policy (GECP) based on historical trends at pixel, parcel, county levels. We also socioeconomic GECP using both objective subjective well-being household level. Our results show that: (1) pixel level, percentages additionally increased Normalized Difference Vegetation Index (NDVI) Net Primary Production (NPP) were 93.4% 93.3% after implementation, corresponding average additional 0.08 58.99 g C/m 2 , respectively. At parcel NDVI between 0.02–0.17 (average 0.08) NPP 28.36–115.15 60.30) grassland by 0.07 (∼3.4% annually) 53.63 (∼4.5% from 2008 2020, respectively; (2) implementation significantly improved pastoralists’ ( P < 0.01) while indices mixed. that differ households with large rangeland those small rangeland. further discussed experience, challenges, opportunities GECP. The long-term sustainability GECP, particularly sustainability, still remains challenging relies guiding find alternative livelihoods. For future research policy improvement, we call establishment better compensation mechanism jointly considers effectiveness, economic efficiency, social equity.