Overview of the Design Matrix
The DeMax comprises of a series of criteria to inform the design requirements of the implementation of an Economic Instrument, and the evaluation of its likely impact and sustainability under local conditions. These criteria address two aspects of implementation, namely (i) the potential impacts of the Economic Instrument on the local context, and (ii) the influence of the local context on the effectiveness of Economic Instrument. The DeMax criteria are classified into four categories:
a) Social – Criteria relating to influence from and impacts to the socio-economy and culture of the target groups/community who would implement the management intervention, and who may derive benefit from the incentive. These criteria also consider secondary impacts to surrounding groups or communities.
b) Ecological – Criteria exploring direct and secondary impacts (positive or negative) accruing from the incentives generated by the Economic Instrument. It also addresses the potential for unintended impacts to other natural resources or interventions in the target area, or neighbouring areas.
c) Market – Criteria concerning the influence of and impacts to markets and economic opportunities, both locally and in the broader economy.
d) Governance – Criteria addressing policy and the influence of governance structures, institutional arrangements and capacity in supporting or hindering the implementation of the Instrument.
A fifth category of ‘Other Issues’ includes criteria that aim to encourage retrospective consideration of overarching issues that could inform the implementation of the Instrument, but which do not affect the overall cumulative score or recommendation from the DeMax.