Synergistic Mechanisms of Ecological Compensation and Targeted Poverty Alleviation in Functional Zones: Theoretical Expansion and Practical Implications

Mingjie Yang, Xiaodong Zhang, Rui Guo, Yaolong Li and Fanglei Zhong ()
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Mingjie Yang: Information and Communication Company of State Grid Gansu Electric Power Company, Lanzhou 730050, China
Xiaodong Zhang: Information and Communication Company of State Grid Gansu Electric Power Company, Lanzhou 730050, China
Rui Guo: Information and Communication Company of State Grid Gansu Electric Power Company, Lanzhou 730050, China
Yaolong Li: School of Economics, Minzu University of China, Beijing 100081, China
Fanglei Zhong: School of Economics, Minzu University of China, Beijing 100081, China

Sustainability, 2025, vol. 17, issue 14, 1-19

Abstract: Against the backdrop of ecological civilization construction and regional coordinated development strategies, functional zone (MFOZ) planning guides national spatial development through differentiated policies. However, a prominent conflict exists between the ecological protection responsibilities and regional development rights in restricted and prohibited development zones, leading to a vicious cycle of “ecological protection → restricted development → poverty exacerbation”. This paper focuses on the synergistic mechanisms between ecological compensation and targeted poverty alleviation. Based on the capability approach and sustainable development goals (SDGs), it analyzes the dialectical relationship between the two in terms of goal coupling, institutional design, and practical pathways. The study finds that ecological compensation can break the “ecological poverty trap” through the internalization of externalities and the enhancement of livelihood capabilities. Nevertheless, challenges remain, including low compensation standards, unbalanced benefit distribution, and insufficient legalization. Through case studies of the compensation reform in the water source area of Southern Shaanxi, China, and the Common Agricultural Policy (CAP) of the European Union, this paper proposes the construction of a long-term mechanism integrating differentiated compensation standards, market-based fund integration, legal guarantees, and capability enhancement. The research emphasizes the need for institutional innovation to balance ecological protection and livelihood improvement, promoting a transition from “blood transfusion” compensation to “hematopoietic” development, thereby offering a Chinese solution for global sustainable development.

Keywords: functional zones (MFOZs); ecological compensation; targeted poverty alleviation; synergistic mechanism; capability approach; sustainable development (search for similar items in EconPapers)
JEL-codes: O13 Q Q0 Q2 Q3 Q5 Q56 (search for similar items in EconPapers)
Date: 2025
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