intermediaries, legal frameworks and property rights are often particularly
important (Neef and Thomas 2009).
We explore these prerequisites in the cases of Vietnam and Thailand in the
following subsections.
9.4.3 Emerging Payment Schemes for Ecosystem Services
in Vietnam
Vietnam still lacks a comprehensive national framework for PES schemes, but has
initiated various pilot projects in recent years that can be used as indicators for the
potential of such schemes to be introduced on a wider geographical scale.
9.4.3.1 Identification of PES Markets in Vietnam
In Vietnam, private sector demand for environmental services is still low, but the
government may soon impose obligatory fees for environmental service provision.
In 2008, the Vietnamese Ministry of Agriculture and Rural Development; for
instance, started charging hydroelectricity plants, irrigation projects, water supply
works and industrial estates for the provision of forest environmental services on a
trial basis in Lam Dong province in the Central Highlands and Son La province in
the northern mountainous area. In a pilot PES scheme run in Vietnam’s upland
province of Thua Thien Hue between 2004 and 2005, researchers gave annual
monetary rewards to villagers for them to study the potential adoption of a sustainable forest management regime, one that would contribute to protecting the
region’s watersheds. They found that by giving an average payment per household
of USD15, a high participation rate among villagers and positive environmental
impacts, as expressed by a reduction in erosion and forest product extraction rates,
could be achieved (The and Ngoc 2006; Glover 2010).
A major problem in developing markets for environmental services in Vietnam
has been the lack of understanding of the concept among policy-makers, the private
sector – as potential service buyers, and communities – as ecosystem service
providers (Pham et al. 2008). As a consequence, the interest in PES schemes has
been mainly concentrated among the international donor community.
9.4.3.2 PES Processes and Relationships
As discussed above, voluntariness is a key feature of PES markets, though some
scholars have expressed doubts as to whether the participation of farmers in a
broader PES scheme can be truly voluntary in a country like Vietnam, where the
9 Participatory Approaches to Research and Development in the Southeast. . .
345
important (Neef and Thomas 2009).
We explore these prerequisites in the cases of Vietnam and Thailand in the
following subsections.
9.4.3 Emerging Payment Schemes for Ecosystem Services
in Vietnam
Vietnam still lacks a comprehensive national framework for PES schemes, but has
initiated various pilot projects in recent years that can be used as indicators for the
potential of such schemes to be introduced on a wider geographical scale.
9.4.3.1 Identification of PES Markets in Vietnam
In Vietnam, private sector demand for environmental services is still low, but the
government may soon impose obligatory fees for environmental service provision.
In 2008, the Vietnamese Ministry of Agriculture and Rural Development; for
instance, started charging hydroelectricity plants, irrigation projects, water supply
works and industrial estates for the provision of forest environmental services on a
trial basis in Lam Dong province in the Central Highlands and Son La province in
the northern mountainous area. In a pilot PES scheme run in Vietnam’s upland
province of Thua Thien Hue between 2004 and 2005, researchers gave annual
monetary rewards to villagers for them to study the potential adoption of a sustainable forest management regime, one that would contribute to protecting the
region’s watersheds. They found that by giving an average payment per household
of USD15, a high participation rate among villagers and positive environmental
impacts, as expressed by a reduction in erosion and forest product extraction rates,
could be achieved (The and Ngoc 2006; Glover 2010).
A major problem in developing markets for environmental services in Vietnam
has been the lack of understanding of the concept among policy-makers, the private
sector – as potential service buyers, and communities – as ecosystem service
providers (Pham et al. 2008). As a consequence, the interest in PES schemes has
been mainly concentrated among the international donor community.
9.4.3.2 PES Processes and Relationships
As discussed above, voluntariness is a key feature of PES markets, though some
scholars have expressed doubts as to whether the participation of farmers in a
broader PES scheme can be truly voluntary in a country like Vietnam, where the
9 Participatory Approaches to Research and Development in the Southeast. . .
345
