Based on an ongoing qualitative case study in Costa Rica, this article presents the participatory work that the Instituto Costarricense de Electricidad (ICE) is doing with farmers to protect watersheds from erosion and contamination. Specifically, it includes a description of ICE's Watershed Management Agricultural Programme and how farmers participate in it and a qualitative analysis of the kind of learning that participants are experiencing. ICE uses collaborative and hands-on activities to raise awareness and promote alternative environmentally sustainable farming practices and technologies. These activities result in instrumental and communicative learning as found in transformative learning theory. The instrumental learning that occurs includes acquiring skills and information, determining cause-effect relationships, and task-oriented problem solving. The communicative learning that occurs includes understanding values, concepts, and others' points of view. In conclusion, the learning that occurred resulted in transformations in the conditions of life that promoted sustainability. (Contains 6 notes.)