Factors and Paths Affecting Payment for Forest Ecosystem Service: Evidence from Voluntary Forest Carbon Market in South Korea

Abstract

This study aims to identify factors and paths affecting payment for forest ecosystem service based on evidence from the voluntary forest carbon market in South Korea. The study was built based on the theory of planned behavior and institutional theory. The survey was conducted to 24 private forest owners, 21 workers of local governments, 9 of public institutes, and 6 of private companies. Partial least squares structural equation model was applied to verify the hypothetical structural model displaying the effects among the constructs of subjects' recognition, intention, and behavior in participating in the forest carbon offset project. Results showed that raising awareness of forest carbon offset (FCO) is essential for revitalizing the forest carbon market. In addition, it was found that forest managers' expectations for FCO were practical operations. Moreover, with the presence of intent to participate in the FCO, the FCO market could be revitalized only by increasing the intention of use in the management aspect and by increasing the commitment of the owner and CEO to this project. The detailed theoretical and managerial implications based on the findings are discussed in the paper.