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THE
GOVERNMENT
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SOCIALIST
REPUBLIC OF VIET NAM
Independence - Freedom – Happiness
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No.
99/2010/ND-CP
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Hanoi,
September 24, 2010
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DECREE
ON THE POLICY ON PAYMENT FOR FOREST ENVIRONMENT SERVICES
THE GOVERNMENT
Pursuant to the December 25,
2001 Law on Organization of the Government;
Pursuant to the December 3, 2004 Law on Forest Protection and Development;
Pursuant to the November 13, 2008 Law on Biodiversity;
At the proposal of the Minister of Agriculture and Rural Development,
DECREES:
Chapter I
GENERAL PROVISIONS
Article 1. Scope of regulation
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1. Types of
forest environment services which arc paid for by users to providers defined in
this Decree.
2. Providers
and users of forest environment services.
3. Management
and use of the payment for forest environment services.
4. Rights and
obligations of providers and users of forest environment services.
5. Responsibilities
of state management agencies at all levels and of all sectors for the payment
for forest environment services.
Article 2. Subjects of application
This Decree
applies to state agencies, organizations, households, individuals and village
communities in the country; overseas Vietnamese, foreign organizations and
individuals carrying out activities related to the provision and use of and
payment for forest environment services, and management of the payment for
these services.
Article 3. Interpretation of terms
In this
Decree, the terms below are construed as follows:
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2. Forest
environment service means the provision of use values of the forest environment
to meet the needs of the society and people's life, including types of services
specified in Clause 2. Article 4 of this Decree.
3. Payment
for forest environment services means a provision and payment relationship in
which users of forest environment services pay to providers of these services
under Article 6 of this Decree.
Article 4. Types of forests and forest environment services
for which charges must be paid
1. Forests
entitled to payment for forest environment services are forests that provide
one or more forest environment services defined in Clause 2 of this Article,
including protection forest, special-use forest and production forest.
2. Types of
forest environment services referred to in this Decree include:
a/ Soil
protection, restriction of erosion and sedimentation of reservoirs, rivers and
streams;
b/ Regulation
and maintenance of water sources for production and social life;
c/ Forest
carbon sequestration and retention, reduction of greenhouse gas emissions by
measures of preventing forest degeneration and forest area decrease and
developing forests in a sustainable manner;
d./
Protection of natural landscape and conservation of biodiversity of eco-systems
for tourism services:
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3. The
Ministry of Agriculture and Rural Development shall assume the prime
responsibility for, and coordinate with concerned ministries and branches in
submitting to the Prime Minister for promulgation regulations on payers, levels
of payment and method of payment for the service of forest carbon sequestration
and retention and the service of provision of spawning grounds, sources of
feeds and natural seeds, use of water from forests for aquaculture. for
implementation in accordance with this Decree.
Article 5. Principles of payment for forest environment
services
1.
Beneficiaries of forest environment services shall pay for these services to
owners of forests providing such services.
2. Payment
for forest environment services shall be made in cash by direct or indirect
payment method.
3. Payment
for forest environment services through forest protection and development funds
is the money users of forest environment services entrust the funds to pay to
forest owners providing these services.
4. Payment
for forest environment services constitutes an element in the cost of products
using forest environment services and does not replace royalty or other payable
amounts as required by law.
5. Assurance
of publicity, democracy, objectivity and fairness: compliance with the
Vietnamese legal system and treaties which Vietnam has signed or acceded to.
Article 6. Forms of payment for forest environment services
1. Direct
payment:
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b/ Direct
payment is applied when a user of forest environment services has ability and
conditions for making payment directly to the provider of these services
without having to go through an intermediary organization. Direct payment shall
be made on the basis of freewill contracts between users and providers of
forest environment services under this Decree under which the level of payment
must not be lower than that set by the State for the same type of forest
environment service.
2. Indirect
payment:
a/ Indirect
payment means that users of forest environment services pay to providers of
these services through the Vietnam forest protection and development fund or a
provincial-level forest protection and development fund or an agency or organization
performing the tasks of a provincial-level forest protection and development
fund as decided by the provincial-level People's Committee;
b/ Indirect
payment is applied when users of forest environment services have no ability
and conditions for paying directly to providers of such services but have to
make payment through an intermediary organization under Point a. Clause 2 of
this Article. Indirect payment is made with the intervention and support of the
State and with prices of forest environment services fixed by the State.
Article 7. Payers and types of forest environment services
which must be charged
1. Hydropower
generation establishments shall pay for the services of soil protection,
restriction of erosion and sedimentation of reservoirs, rivers and streams and
regulation and maintenance of water sources for hydropower generation.
2. Clean
water production and supply establishments shall pay for the service of
regulation and maintenance of water sources for clean water production.
3. Industrial
manufacture establishment using water directly from water sources shall pay for
the service of regulation and maintenance of water sources for clean water
production.
4. Tourist
service providers that benefit from forest environment services shall pay for
the service of protection of natural landscapes and conservation of
biodiversity of forest eco-systems for tourism services.
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Article 8. Entities to enjoy payment for forest environment
services
1. Entities
to enjoy payment for forest environment services are owners of forests
providing such services, including:
a/ Forest
owners that are organizations with forests allocated or leased by the State for
stable and permanent use for forestry purposes and organizations that plant by
themselves forests on allocated forestry land areas certified by the
provincial-level People's Committee at the proposal of the provincial-level
Department of Agriculture and Rural Development;
b/ Forest
owners that are households or individuals with forests allocated or leased by
the Slate; village communities with forests allocated by the State for stable
and permanent use for forestry purposes; forest owners that are households and
individuals or village communities planting forests by themselves on
state-allocated forest land areas certified by the district-level People's
Committee at the request of a specialized forestry agency, certified by the
commune-level People's Committee.
2.
Organizations, households, individuals and village communities that have
concluded contracts on stable and permanent forest protection with forest
owners that are state organizations (below referred to as contracted
households); forest protection contracts shall be made and signed by the
contractual parties and certified by the commune-level People's Committee.
Chapter II
MANAGEMENET AND USE OF
PAYMENT FOR FOREST ENVIRONMENT SERVICES
Section 1. MANAGEMENT AND USE OF MONEY FROM DIRECT PAYMENT FOR
SERVICES
Article 9. Payment for forest environment services
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In case the
provider and user of forest environment services reach agreement by themselves
on types of services provided in this Decree, the levels of payment must not be
lower than those set in Article 11 of this Decree.
In case
levels of payment are not yet provided in this Decree, the provider and user of
forest environment services may reach agreement by themselves on the levels of
payment.
2. The State
encourages the application of direct payment to all cases if the providers and
users of forest environment services can reach agreement by themselves on the
levels of payment.
Article 10. Use of money paid for forest environment services
1. Providers
of forest environment services may decide on how to use money paid for forest
environment services after fulfilling financial obligations to the State as
provided by law.
2. In case
the provider of forest environment services is a state organization, it shall
account as a source of revenue money paid for forest environment services,
after subtracting reasonable expenses related to the implementation of the
policy on payment for forest environment services incurred by the organization,
including payments to households contracted to protect forests, and may spend
such money under financial regulations applicable to such organization.
Section 2. MANAGEMENT AND USE OF MONEY FROM INDIRECT PAYMENT
FOR SERVICES
Article 11. Levels of payment and determination of amounts of
payment for forest environment services
1. For
hydropower generation establishments
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b/
Determination of amounts of payment for forest environment services.
The amount of
payment (in VND) for forest environment services in a payment period equals the
electricity amount (kWh) in the payment period multiplied by the level of
payment per kWh (VND 20/kWh).
2. For clean
water production and supply establishments:
a/ The level
of payment for forest environment services applicable to clean water production
and supply establishments is VND 40 per m3 of commercial water. The water
volume used to calculate the amount of payment is that sold by a clean water
production and supply establishment to consumers;
b/
Determination of amounts of payment for forest environment services.
The amount of
payment (in VND) for forest environment services in a payment period equals the
commercial water volume (m3) in the payment period multiplied by the level of
payment per m3 of commercial water (VND 40/m3).
3. For
industrial production establishments using water directly from water sources
To assign the
Ministry of Agriculture and Rural Development to assume the prime
responsibility for, and coordinate with concerned ministries and branches in,
submitting to the Prime Minister for promulgation specific regulations on payers,
level of payment and methods of payment for this type of service.
4. For
tourist service providers benefiting from forest environment services
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b/
Determination of amounts of payment for forest environment services
The amount of
payment (in VND) for forest environment services in a payment period equals
turnover multiplied by the level of payment (from 1% to 2%).
c/ To assign
provincial-level People's Committees to specify payers including travel and
tourism accommodation business organizations and individuals located in their
respective provinces or centrally run cities. The levels of payment for forest
environment services applicable to these payers comply with Point a. Clause 4
of this Article.
Article 12. Entities eligible for exemption from and
reduction of payment for forest environment services
1. If meeting
with risks or force majeure events, organizations and individuals specified in
Article 7 of this Decree may be considered for exemption from or reduction of
payment for forest environment services under this Decree.
2. To assign
the Ministry of Agriculture and Rural Development to assume the prime
responsibility for, and coordinate with concerned ministries and branches in,
guiding the exemption from and reduction of payment for forest environment
services.
Article 13. Entrustment of payment for forest environment services
1. Forest
protection and development funds set up under the Government's Decree No.
05/2008/ND-CP of January 14. 2008. shall accept entrusted payment for forest
environment services. For localities lacking conditions for setting up a forest
protection and development fund, provincial-level People's Committees shall
decide on agencies or organizations to perform the tasks of a provincial-level
forest protection and development fund.
For provinces
with large forests and forest land areas, provincial-level People's Committees
shall consider giving permission for the establishment of district-level
branches of forest protection and development funds to make entrusted payment
for forest environment services to ensure convenience for people.
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3. In case
users of forest environment services from forests located within the
administrative territory of two or more provinces and/or centrally run city,
the entrusted payment lor forest environment services shall be transferred to
the Vietnam forest protection and development fund.
Article 14. Bases for regulating payment for forest
environment services from the Vietnam forest protection and development fund
1. The
Vietnam forest protection and development fund may regulate payment for forest
environment services to each province or centrally run city on the following
bases:
a/ The amount
of money collected from users of forest environment services;
b/ Forest
area of each province or centrally run city providing forest environment
services, certified by a competent agency under the guidance of the Ministry of
Agriculture and Rural Development.
2. For the
amount of money collected from users of forest environment services for which
recipients are unidentifiable or are not identified yet, the Vietnam forest
protection and development fund may divide such amount to provinces with the
average level of payment for forest environment services per hectare of forest
lower than the average national level in the year.
Article 15. Use of payment for forest environment services
1. Use of
entrusted payment for forest environment services at the Vietnam forest
protection and development fund:
a/ Maximum
0.5% of the total amount of money entrusted by payers for forest environment
services for the fund's operations related to the payment for these services,
including administrative expenses under the entrustment mechanism; expenses for
the receipt of money and other financial management activities.
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2. Use of
entrusted payment for forest environment services at provincial-level forest
protection and development funds:
The amount of
money received from the Vietnam forest protection and development fund and
directly from payers for forest environment services is regarded as 100% and
shall be used as follows:
a/ Maximum
10% for the following activities: administrative work under the entrustment
mechanism, receipt of payment, settlement, checking, supervision and audit;
support for activities of takeover test and assessment of forests; support for
technical activities of monitoring quality of forest environment services;
support for activities related to payment for forest environment services in
districts, communes and villages;
b/ Deduction
of not more than 5% of the total amount of entrusted payment transferred to
provincial-level forest protection and development funds plus other lawful
funds as provisions and support for households, individuals and village
communities with forests allocated or contracted for stable and permanent protection
in case of natural disaster and drought.
Provincial-level
People's Committees shall specify the use of funds stated at Points a and b
Clause 2 of this Article.
c/ The
remaining amount shall be paid to providers of forest environment services, which
is regarded as 100%. and shall be used in the following two cases:
Forest owners
that are households and individuals with forests allocated or leased by the
State; village communities with forests allocated by the State for stable and
permanent use for forestry purposes and forest owners that are households and
individuals and village communities planting forests by themselves on forest
land may enjoy the whole amount.
Forest owners
that are state organizations contracting out forests for protection may use 10%
of this amount for checking, supervising, testing and evaluating the quality
and quantity of forests to make annual payment for forest environment services.
The remainder (90%) shall be paid to households contracted for forest
protection.
For the remaining
forest area not yet contracted out for protection, the amount of payment for
forest environment services for such forest area shall be managed and used by
forest owners under financial regulations applicable to each type of
organization.
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1. Payment to
forest owners.
a/ The amount
of payment for a type of service to a forest owner shall be determined
by-multiplying the forest area of the forest owner providing such service by
the average payment for 1 hectare of forest and by the payment coefficient (K)
corresponding to such forest owner. A forest that provides many forest
environment services is entitled to all payments for these services:
b/ The
average payment for 1 hectare of forest shall be determined by the amount of
payment collected from payers for a specific type of forest environment
service, after deducting administrative expenses and financial provisions
mentioned at Points a and b, Clause 2, Article 15 of this Decree, divided by
the aggregate of forest areas of each type of forest owners jointly providing
such service and multiplied by coefficient K corresponding to the area of
forest of each type of forest owners entitled to such payment.
The Ministry
of Agriculture and Rural Development shall assume the prime responsibility for,
and coordinate with the Ministry of Finance and concerned ministries and
branches in, guiding the method of calculating the average payment for 1
hectare of forest mentioned at Point b. Clause 1 of this Article.
2. Payment to
households contracted for forest protection
a/ The amount
of payment for forest environment services that a household contracted for
forest protection receives shall be determined by multiplying the average
payment for 1 hectare of forest by the area of forest (ha) entitled to payment
and by coefficient K;
b/ The
average payment for 1 hectare of forest (VND/ha) shall be determined by dividing
the total remaining amount mentioned at Point c, Clause 2. Article 15 of this
Decree by the aggregate of areas of forests of each type entitled lo payment at
the lime of checking and certification by a responsible agency, which is then
multiplied by coefficient K corresponding to the area of forest of each type
entitled to payment.
3.
Coefficient K shall be determined based on the following factors:
a/ Forest
status (ability to provide forest environment services);
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c/ Origin of
forest (natural forest, planted forest);
d/
Unfavorable and favorable conditions for forest protection (social and
geographical factors).
For forest
owners, provincial-level People's Committees shall prescribe coefficients K
based on specific conditions of their localities.
For
households contracted for forest protection, the principals and contractors
shall calculate coefficients K under regulations of competent agencies and
write such coefficients in their contracts.
Article 17. Tasks of provincial-level forest protection and
development funds
1. To
collaborate with users of forest environment services (that are liable to
entrust payment to the funds) in determining the amounts to be paid by each
user in each payment period in the local areas.
2. To
represent providers of forest environment services in signing contracts with
users of these services liable to entrust payment to provincial-level forest
protection and development funds, defining responsibilities of each party to
make and use payments for forest environment services as a basis for
supervising, checking and identifying responsibilities of each part}' in the
making and use of payment for forest environment services.
3. To receive
money entrusted by users of forest environment services transferred by the
Vietnam forest protection and development fund and money directly paid by users
of forest environment services to provincial-level forest protection and
development funds.
4. To make
payment for forest environment services to forest owners on the basis of the
quantity and quality of their forests certified by the provincial-level
Departments of Agriculture and Rural Development (for forest owners being
organizations) or certified by a district-level specialized forestry agency
designated by the district-level People's Committee (for forest owners being
households, individuals and village communities) and to households contracted
for forest protection on the basis of requests of forest owners certified by
commune-level People's Committees.
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6. To
annually report to provincial-level People's Committees and the Vietnam forest
protection and development fund on the collection and spending of payment for
forest environment services in localities.
7. For
provinces and centrally run cities which have not yet set up forest protection
and development funds for lacking conditions, agencies or organizations
performing tasks of a provincial-level forest protection and development fund
shall perform the tasks defined in this Article.
Article 18. Tasks of the Vietnam forest protection and
development fund
1. To
collaborate with provincial-level People's Committees in identifying payers of
forest environment services that are liable to entrust payment to the fund as
prescribed in Clause 3. Article 13 of this Decree: and determining the amount
to be paid by each service user in each payment period.
2. To
represent providers of forest environment services in signing contracts with
users of these services, liable to entrust payment to the Vietnam forest
protection and development fund, defining responsibilities of each party to
make and use payment for forest environment services as a basis for
supervising, examining and identifying responsibilities of each party in the
making and use of payment for forest environment services.
3. To receive
payment of users of forest environment services for transferring to
provincial-level forest protection and development funds.
4. To
regulate and allocate money collected from users of forest environment services
to provincial-level forest protection and development funds.
5. To act as
the focal point in assisting the Directorate of Forestry in examining the
payment by users of forest environment services to the fund and the use of
amounts of payment transferred by the fund to provincial-level forest
protection and development funds for proper purposes and to proper
beneficiaries.
6. To
annually review and report to the Ministry of Agriculture and Rural Development
on the situation of collection and spending of payment for forest environment
services nationwide.
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RIGHTS AND OBLIGATIONS
OF USERS AND PROVIDERS OF FOREST ENVIRONMENT SERVICES
Article 19. Rights and obligations of users of forest
environment services
1. Rights:
a/ To be
notified by competent state agencies in charge of forestry of the situation of
protection and development of forests providing forest environment services and
on the quantity and quality of these forests:
b/ To be
notified by forest protection and development funds of results of payment for
forest environment services to forest owners;
c/ To
participate in the examination and supervision by state agencies of the
protection and development of forests providing forest environment services;
d/ To request
competent state agencies to consider and adjust payment for forest environment
services in case providers of these services fail to ensure proper forest areas
or cause degradation of forest quality for which adequate payment has been
paid.
2. Obligations:
a/ To declare
by themselves the amounts of money they have lo entrust to the forest
protection and development fund;
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c/ To be
handled under law for violations of Points a and b. Clause 2 of this Article,
depending on the nature and seriousness of these violations.
Article 20. Rights and obligations of providers of forest
environment services
1. Rights:
a/ To request
users of forest environment services (in case of direct payment) or
provincial-level forest protection and development funds (in case of indirect
payment) to make payment for forest environment services under this Decree:
b/ To be
provided with information on the values of forest environment services;
c/ To
participate in the examination and supervision by state agencies of the payment
for forest environment services.
2.
Obligations:
a/ Forest
owners shall ensure that the areas of forests providing forest environment
services be protected and developed properly in line with forest protection and
development plans approved by competent state agencies;
b/ Households
contracted for stable and permanent forest protection shall ensure that the
areas of forests providing forest environment services be protected and
developed in accordance with contracts signed with forest owners:
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d/ Not to
deforest or change the use purpose of forests without permission;
e/ To be
handled under law for violations of Points a, b. c and d, Clause 2 of this
Article, depending on the nature and seriousness of these violations.
Chapter IV
ORGANIZATION OF
IMPLEMENTATION
Article 21. Responsibilities of concerned ministries and
branches
1. The
Ministry of Agriculture and Rural Development shall assume the prime
responsibility for, and. coordinate with the Ministry of Natural Resources and
Environment, the Ministry of Finance and related ministries and branches in,
performing the following tasks:
a/ To submit
to the Prime Minister for approval a plan for implementing the Government Decree
on the policy on payment for forest environment services;
b/ To
coordinate with provincial-level People's Committees in identifying areas of
forests providing forest environment services located within two or more
provinces and/or centrally run city, and approving these areas for organizing
the implementation of this Decree;
c/ To
annually notify provincial-level People's Committees of areas of forests
providing forest environment services located within two or more provinces,
classified by area of forest in each province entitled to payment for forest
environment services:
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e/ To assume
the prime responsibility for, and coordinate with the Ministry of Finance and
concerned ministries and branches in. submitting to the Prime Minister for
promulgation levels of payment for forest environment services applicable to
hydropower plants with energy storage systems.
2. The
Ministry of Natural Resources and Environment shall assume the prime
responsibility for, and coordinate with the Ministry of Natural Resources and
Environment the Ministry of Finance and related ministries and branches in,
promoting the implementation of the policy on payment for forest environment
services.
3. The
Ministry of Information and Communications shall guide and direct news and
press agencies in raising awareness and sense of responsibility of agencies,
organizations and people in forest protection and development and
implementation of the policy on payment for forest environment services.
4. Other
concerned ministries and branches shall, depending on their respective
functions and tasks of state management, proactively coordinate with the
Ministry of Agriculture and Rural Development in implementing this Decree.
Article 22. Responsibilities of provincial-level People's
Committees
1. To
organize the dissemination and popularization of the policy on payment for
forest environment services.
2. To direct
provincial-level Departments of Agriculture and Rural Developments to assume
the prime responsibility for, and coordinate with concerned provincial-level
departments and branches in, formulating and submitting to provincial-level
People's Committees for approval projects related to the implementation
of the policy on payment for forest environment services, including those on:
a/
Scrutinizing the allocation of land and forests;
b/ Allocating
new land areas and forests;
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d/ Investigating,
classifying and making statistics on providers and users of forest environment
services:
e/ Mechanism
of management and use of payment for forest environment services.
3. To set up
steering committees for the implementation of the policy on payment for forest
environment services to be headed by chairpersons of provincial-level People's
Committees.
4. To assume
the prime responsibility for. and coordinate with the Vietnam forest protection
and development fund in directing provincial-level Departments of Agriculture
and Rural Developments and functional agencies in identifying payers for forest
environment services in each province liable to entrust payment for forest
environment services to the Vietnam forest protection and development fund, as
provided in Clause 3. Article 13 of this Decree. To notify the list to these
payers and report it to the Ministry of Agriculture and Rural Development for
monitoring and urging the implementation of the Decree.
5. To
coordinate with concerned ministries and branches in directing and examining
the payment for forest environment services by organizations and individuals in
their localities under this Decree.
6. To approve
and ensure stable areas and functions of forests providing forest environment
services in land use plans and forest protection and development plans.
7. To certify
the list of forest owners being organizations providing forest environment
services to a specific user of forest environment services at the request of
the provincial-level Departments of Agriculture and Rural Development.
8. To assign
provincial-level Departments of Agriculture and Rural Developments to act as
focal points in conducting takeover tests and assessment of the quantity and
quality of forests and give certification to forest owners being organizations
as a basis for making payment for forest environment services; to examine and
supervise forest owners being organizations in the exercise of powers and
performance of obligations provided in Article 20 of this Decree.
9. To direct
district-level People's Committees in performing the following tasks:
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b/ To certify
the list of forest owners being households, individuals and village communities
as providers of forest environment services for a specific user of these
services at the request of the same-level specialized forestry agency certified
by the commune-level People's Committee;
c/ To assign
specialized forestry agencies to act as focal points in conducting takeover
tests and assessment of the quantity and quality of forests and give
certification to forest owners being households, individuals and village
communities as a basis for periodical payment for forest environment services.
To examine
and supervise forest owners being households, individuals and village
communities in the exercise of powers and performance of obligations provided
in Article 20 of this Decree.
d/ To
participate in the examination and supervision of the implementation of the
policy on payment for forest environment services in localities:
e/ To direct
chairpersons of commune-level People's Committees to implement the provisions
of this Decree and certify lists of households signing forest protection
contracts with forest owners being state organizations for receiving payment
for forest environment services.
Article 23. Funds
Funds for the
implementation of this Decree include:
1. Funds for
agencies, organizations and units responsible for implementing projects related
to the payment for forest environment services shall be assured by the state
budget according to current budget decentralization regulations.
2. Financial
assistance and aid of organizations and individuals at home and abroad.
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Chapter V
IMPLEMENTATION
PROVISIONS
Article 24. Effect
1. This
Decree takes effect on January 1, 2011.
2. The
provinces of Lam Dong and Son La and entities currently implementing the policy
on payment for forest environment services on a pilot basis under the Prime
Minister's Decision No. 380/QD-TTg of December 31, 2010, shall continue the
pilot implementation through December 31, 2010, then shift to implementation of
this Decree.
Article 25. Implementation responsibility
The Minister
of Agriculture and Rural Development, concerned ministries and branches, and
chairpersons of provincial-level People's Committees shall implement this
Decree.-
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