are an approach where farmers and land managers are paid for delivering environmental outcomes, for example for enhancing the presence of important grassland species. In these schemes, farmers determine the management required to achieve the desired result, rather than following prescribed management actions. The advantage of this approach over a practice-based approach is the increased flexibility of farmers regarding management decisions. The self-interest and intrinsic motivation of farmers to perform well are likely to raise effectiveness and possibly efficiency.

Synonym: Result-based approach; outcome-based approach; payment-by-result

See also: Practice-based approach