Communities living in the Uluguru Mountains are heavily dependent on the forests for their livelihoods. In addition, while expanding agriculture up the slopes has led to forest loss, these farms are now important producers of fruit and vegetables, and so vitally important for the welfare of the mountain communities as well as the people of Dar es Salaam. The WWF-CARE-IIED project aims to help mountain communities stabilize and improve the productivity of their farms as well as prevent further forest loss. The water authorities of Dar es Salaam and Morogoro will be approached as buyers for the environmental services being provided by the mountain communities. The project will help promote the PES concept in Tanzania, as well as influence relevant policy and create an enabling environment for PES to function in the country.