Presented by Ms. Dao Thi Linh Chi (CIFOR) and Mr. Le Manh Thang (Son La Forest Protection and Development Fund), at "National workshop: 12 years of PFES impacts in Vietnam" on 24 November 2020

1. The impact of PFES in Son La
Le Manh Thang, Pham Thu Thuy, Dao Thi Linh Chi, Dang Thuy Nga

2. Content
• Background PFES in Son La
• Environmental impact
• Social impact
• Economic impact
• Recommendation

3. Background PFES in Son La
Đơn vị Số tiền Lãi phát sinh Tổng cộng Đơn vị Số tiền
Đơn
vị
Số tiền
Đơn
vị
Số tiền Đơn vị Số tiền
Đơn
vị
Số tiền Đơn vị Số tiền
1.158.150.831 8.941.182 1.167.092.013 962.698.981 5.843.308 968.542.289 185.730.933 3.877.609 189.608.542
1 2009-2010 3 113.145.858 2.082.658 115.228.516 2 112.807.000 2 112.807.000 1 338.858 1 338.858
2 2011-2012 23 109.154.604 1.508.153 110.662.757 7 108.500.000 7 108.500.000 99,40 15 200.000 1 454.604 16 654.604 0,60
3 2013 24 96.889.030 1.320.372 98.209.402 3 96.000.000 3 96.000.000 99,08 20 522.443 1 366.587 21 889.030 0,92
4 2014 29 99.739.481 967.592 100.707.073 5 90.799.329 1 800.671 6 91.600.000 91,84 22 7.659.527 1 479.954 23 8.139.481 8,16
5 2015 34 131.901.440 847.549 132.748.989 6 88.839.696 1 1.160.304 7 90.000.000 68,23 26 41.499.414 1 402.026 27 41.901.440 31,77
6 2016 38 116.551.151 759.364 117.310.515 7 89.426.551 1 1.073.449 8 90.500.000 77,65 29 25.647.043 1 404.108 30 26.051.151 22,35
7 2017 44 144.414.915 963.890 145.378.805 7 108.898.149 1 1.301.851 8 110.200.000 76,31 35 33.711.751 1 503.164 36 34.214.915 23,69
8 2018 54 263.025.085 491.604 263.516.689 10 215.496.203 1 1.507.033 11 217.003.236 82,50 42 45.503.604 1 518.245 43 46.021.849 17,50
9 2019 55 83.329.267 83.329.267 9 51.932.053 9 51.932.053 62,32 43 30.987.151 1 410.063 45 31.397.214 38,00
TỔNG CỘNG
Thủy điện Nước Tổng
Tỷ lệ
Thủy điện Nước Tổng
Tỷ lệ
BIỂU TỔNG HỢP KẾT QUẢ THU TIỀN DVMTR GIAI ĐOẠN 2009-2019
Đơn vị tính: 1.000 đồng
STT Năm
Tổng cộng
Thu ủy thác từ Quỹ Bảo vệ và phát triển rừng Việt Nam Thu tiền DVMTR từ các đơn vị nội tỉnh

4. Background PFES in Son La
• Implemented since 2008, coordinated with many international
organizations (CIFOR, VFD, Oxfam) to invest, provide financial and
technical assistance in researching, promoting and completing the PFES
policy related to:
o Developed and tested the PFES M&E system with 32 indicators. Focus on four
factors: environmental, economic, social, policy/institution
o Apply technology in M&E forests providing PFES; PFES payments to forest
owners through non-cash electronic transactions; Develop regulations on
management and use of PFES money of the community; organize workshop to
share research results and communication activities
o M&E mechanism

5. Environmental impact
-The number of forest law
violations significantly reduced
the number and extent of
damages. In 2018, it decreased
by 976 cases compared to 2009
(in 2009 it was 1,434 cases,
down to 467 cases in 2019).
- Increase forest cover of
the whole province from 40% in
2005 to 44.5% in 2019.
- The villages have
established nearly 1,000 teams
of forest protection and
management

6. Environmental Impact - Forest cover is lost
before and after PFES
Annual forest cover
loss (ha / year)
Total forest cover loss
(ha)
Annual forest cover
loss (ha / year)
Total forest cover loss
(ha)
Before PFES (2001-
2008)
Before PFES (2001-
2008)
After PFES (2009-
2016)
After PFES (2009-2016)
5,629.7 45,037.8 6,934.3 55,474.5
Source: Hansen et al. 2016
Forest cover loss in the period 2001 - 2016 at all levels (province, district and commune)

7. Forest quality

8. Environmental impact
• 10% who only received PFES 1
year later are no longer received
more because the area or quality
of the forest is not guaranteed
• 13% received PFES due to annual
increase in forest area
• 27% of the forest area that
received PFES decreased over time
• 45% of households have unevenly
increased and decreased forest
area over years
• 63% - 83% of households have
reduced forest area but still
receive increased PFES money

9. Economic impact
• From 2009 to 2019, 1,167 billion
VND was mobilized to pay for
nearly 43,000 forest owners
• Create a stable and stable
financial source every year from
200 to 250 billion VND / year)
• Creating jobs and livelihoods for
over 30,000 households and
contributing to develop “Nông
thôn mới” with 7,345 works with
a total investment support
amount of 173.99 billion VND
• The money from PFES could be 4-
20 times higher than the state
budget for the forestry sector

10. Contribution of PFES and household income
In villages with PFES:
- 3-45% have annual income from PFES
- PFES contributes 1% of total revenues of rich and Kinh households, but
contributes up to 13% of the total income of the poor ethnic minorities.
Non-PFES PFES
Higher income since PFES (% interviewed) 10,0 16,667
Lower income since PFES (% interviewed) 3,333 1,667
The highest income (million / year) 8 10
Average income from forestry, including PFES
(million / year)
1,25 0,54
Average income from PFES
0,95

11. Social Impact
Non-PFES (%) PFES (%)
Local people have a better understanding and awareness
of forest protection and development
46,667 60,833
Percentage said that life has improved since 2009 26,667 35, 833
Other ethnic people (%) Kinh (%)
People have better understanding and
awareness 40,42 13,33
Better forest 48,33 12,50
Worse forest 0,83 0.00
Better income 10,83 2,50
Worse income 1,67 0,83
Improve life 25,00 6,25
There is no clear impact on PFES and gender, but there is a clear difference in impacts on
ethnic minorities.

12. Social Impact
Synthesize the welfare projects invested and supported from PFES for the period
2009 - 2019 (Unit: thousand VND)
Number Amount (VND)
Making inter-village roads 1050 51,224,661
Repairing community house 641 12,927,480
Repairing class 468 5,385,279
Repairing irrigation canals 145 4,067,451
Build a soccer field 97 2,987,379
Build a bridge 93 662,413
Build electric road lighting, forest watch
houses and rural clean water works,
purchase communication equipment,
produce seedlings 5354 105,494,745
Total 7848 182,749,408

13. Recommendation for implementation of PFES in the
next years
Focusing resources and human
resources on issues that still
have many questions, improving
communication mechanisms,
strengthening grievance
handling systems, improving
staff capacity.
Instead of spreading resources
and human resources for M&E
across all areas, only focusing on
areas with many complaints, a
marked decrease in forest area
and quality.

14. Recommendation for implementation of PFES in the
next years
- Focus on completing and putting into operation the monitoring
and evaluation system to directly serve the effective direction,
administration and reporting.
- Promote the payment of non-cash PFES through electronic
payment transactions and other transactions to ensure publicity,
transparency and efficiency.
- Promote the application of technology, remote sensing
technology in determining the forest area that provides PFES.
- Increase mobilization of revenue sources and Supplement new
revenue sources to increase revenue sources for the province,
associated with strengthening management and efficient use of
revenue sources in accordance with the provisions of law.

15. cifor.org
blog.cifor.org
ForestsTreesAgroforestry.org
THANK YOU FOR YOUR
ATTENTION