The paper evaluates the potential impacts of the EVSL program for the environmental goods and services sector and discusses the actions developed as a response to the proposed program. It argued that the program has several potential benefits in terms of improved environmental protection and management and better economic performance both at the sectoral and national levels. The program, however, has potential costs also and these should be mitigated by forceful measures designed to help disadvantaged sectors, especially the local environmental goods and services industry. The paper explained further that based on multi-sectoral consultations, a cautiously supportive response to the EVSL program is preferred, due mainly to the hesitance of affected sectors to make broader decisions based on inadequate data and information.