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The Impact of PFES in Son La

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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

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The Impact of PFES in Son La

  1. 1. The impact of PFES in Son La Le Manh Thang, Pham Thu Thuy, Dao Thi Linh Chi, Dang Thuy Nga
  2. 2. Content • Background PFES in Son La • Environmental impact • Social impact • Economic impact • Recommendation
  3. 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. 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. 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. 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. 7. Forest quality
  8. 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. 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. 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. 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. 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. 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. 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. 15. cifor.org blog.cifor.org ForestsTreesAgroforestry.org THANK YOU FOR YOUR ATTENTION

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