Hayleys Plantations has joined hands with with UNDP BIOFIN to advance Payment for Ecosystem Services (PES) initiatives across its plantation landscapes through Talawakelle Tea Estates PLC, Horana Plantations PLC and Kelani Valley Plantations PLC
Payment for Ecosystem Services (PES) is a nature-financing mechanism that rewards individuals, communities and organisations for protecting ecosystem services such as water resources, biodiversity, carbon storage and soil conservation. By recognising the economic value of these environmental benefits, PES encourages long-term investment in ecosystem protection.At Bambarakelly Estate in Nuwara Eliya, Horana Plantations PLC has formalised a watershed conservation initiative focused on protecting critical water catchments, enhancing biodiversity, strengthening renewable energy integration and improving climate resilience for surrounding communities and downstream users.
“Healthy ecosystems are fundamental to the long-term success of our plantations. Through Payment for Ecosystem Services, we are investing in conservation approaches that protect biodiversity, strengthen climate resilience and create shared value for communities and businesses alike. These projects reflect our commitment to integrating sustainability into the way we manage our landscapes for future generations.” Stated Dr. Roshan Rajadurai, Managing Director, Hayleys Plantations Group.
Commenting on the initiative, Ms. Azusa Kubota, Resident Representative, UNDP in Sri Lanka highlighted, “Nature underpins Sri Lanka’s economy, livelihoods and resilience, but conserving it requires innovative and sustainable financing approaches. Through the UNDP BIOFIN initiative, we are working with partners across the country to demonstrate how ‘Payment for Ecosystem Services’ can unlock new investments in biodiversity by recognising the value of the ecosystem services that healthy landscapes provide. We are pleased to partner with Hayleys Plantations in pioneering these efforts, showcasing how businesses can integrate nature into their long-term investment decisions while creating lasting environmental and social benefits. These initiatives represent an important step towards building a nature-positive economy where conservation and sustainable development go hand in hand.”
Two PES projects are currently underway at Talawakelle Tea Estates PLC. Great Western Estate focuses on watershed conservation to improve long-term water security, while Wattagoda Estate integrates biodiversity restoration with sustainable tourism through a partnership with the Pekoe Trail Organisation.“Our partnership with Talawakelle Tea Estates demonstrates how tourism can support biodiversity conservation while creating meaningful benefits for local communities. As Sri Lanka’s first tourism-led Payment for Ecosystem Services initiative, it recognises the value of protecting natural landscapes that underpin visitor experiences and provides a practical model for financing conservation through sustainable tourism.” stated Pramudith Thenabadu, Executive Director of the Pekoe Trail Organisation.
Furthermore, Kelani Valley Plantations PLC is evaluating a proposed PES model at Halgolla Estate, building on ongoing biodiversity assessments, regenerative agriculture and landscape restoration. The initiative aims to develop a replicable framework for identifying, valuing and financing ecosystem services within commercial plantation landscapes.
Together, these initiatives demonstrate Hayleys Plantations’ commitment to integrating nature-based solutions into commercial plantation management. By combining scientific research, measurable environmental outcomes and collaborative partnerships, the company is helping establish scalable models for sustainable plantation management that strengthen both ecological resilience and long-term economic value.
Hayleys Plantations, Managing Director, Dr. Roshan Rajadurai, UNDP in Sri Lanka, Resident Representative, Azusa Kubota and Hayleys PLC, General Manager – Group ESG, Prashani Illangasekera with the top management and other officials
Hayleys Plantations, Managing Director, Dr. Roshan Rajadurai, UNDP in Sri Lanka, Resident Representative, Azusa Kubota, Hayleys PLC, General Manager – Group ESG, Prashani Illangasekera and The Pekoe Trail Organisation, Executive Director, Pramudith Thenabadu, with officials