Dong Thap, February 21, 2025 - The United Nations Development Programme (UNDP) in Viet Nam, in collaboration with Tram Chim National Park, Dong Thap Province, the Institute of Strategy and Policy on Natural Resources and Environment (ISPONRE), and the Research Institute for Forest Ecology and Environment (RIFEE), is developing and piloting the "Payment for Wetland ecosystem services scheme" at Tram Chim National Park. The initiative aims to establish a sustainable financing mechanism for wetland conservation and local community livelihoods. A stakeholder consultation workshop is being held today to refine and optimize the scheme's content.

The workshop convenes representatives from government agencies, local communities, businesses, conservation institutes, and development partners to discuss and finalize mechanisms for implementing ecosystem services payments at Tram Chim.

Located in Tam Nong district, Dong Thap province, Tram Chim National Park spans over 7,300 hectares of Melaleuca forests and wetlands and is one of the last remaining wetland areas of the Plain of Reeds. The park is home to a diverse array of flora and fauna, including the vulnerable Sarus Crane (Grus antigone), a symbolic park species.

In recent years, Tram Chim National Park has faced significant challenges such as habitat degradation and overexploitation of resources, leading to a notable decline in endemic species and migratory birds like the Sarus Crane. In response, the Dong Thap Provincial People's Committee approved the plan to “Restore and Conserve the Sarus Crane population in Tram Chim" from 2022 – 2032 to restore their population and improve their habitats.

Despite ongoing efforts, biodiversity conservation in Viet Nam and globally continues to face a substantial funding shortfall, falling markedly below the levels necessary to meet conservation needs. International reports estimate the global biodiversity finance gap to be hundreds of billions of USD annually, with existing resources covering only a fraction. In Viet Nam, according to studies by ISPONRE, despite investments from the state budget and international aid, funding for conservation programs is still inadequate to support sustainable ecosystem management and endangered species protection. The main reasons include low fiscal prioritization, limited financing mechanisms, and insufficient private sector involvement. To address this gap, innovative financial strategies, such as payments for ecosystem services (PES), green investments, and enhanced public-private partnerships, are essential to secure sustainable funding for biodiversity conservation.

The Payment for Forest Ecosystem Services (PFES) policy in Viet Nam has yielded numerous positive outcomes over the past decade, significantly contributing to forest  protection and sustainable development. Each year, trillions of VND are mobilized from forest ecosystem services users, such as hydropower plants, clean water providers, and ecotourism businesses. These funds have helped improve the livelihoods of hundreds of thousands of households, particularly ethnic minority communities who depend on and are stewards of the forests. The 2020 Law on Environmental Protection and Decree 08/2022/ND-CP has also expanded the payment mechanism to include other critical ecosystems, such as wetlands and marine ecosystems.

Since 2014, Tram Chim National Park has applied PFES for its melaleuca forests, generating funds for forest protection and development across 2,500 hectares. However, the large remaining area of the park comprising wetlands governed by the Law on Environmental Protection 2020 and Decree 08/2022/ND-CP, is not eligible for PFES funds. To bridge this gap and bolster financial resources for the park's wetlands, UNDP Viet Nam, through the "Biodiversity and Ecosystem Services Network Phase II" (BET-Net II) project, is funding the development of the Payment for Wetland ecosystem services scheme for Tram Chim National Park, to be submitted to the Dong Thap Provincial People’s Committee for approval.

The scheme identifies key ecosystem services  Tram Chim provides, including water purification, flood regulation, carbon sequestration, and cultural services such as ecotourism and recreation. Under the proposed model, organizations and individuals benefiting from these services—such as tourism businesses and aquaculture farms—will financially contribute to conservation efforts. During the workshop, most of the participants from the local departments, communities, cooperatives and experts expressed their support to the implementation of the Scheme, expecting that it would take into consideration the nature and level of ecosystem uses by different stakeholders to propose a fair mechanism for financial contribution to the protection of the ecosystems.

Mr. Bui Thanh Phong, Deputy Director of Tram Chim National Park, emphasized, “Tram Chim National Park welcomes this Payment for Wetland ecosystem services scheme in Tram Chim, the first of its kind to be implemented in Vietnam. While challenges remain, this initiative is highly hoped to contribute toward establishing a sustainable financial mechanism for conservation in the park.”

Ms. Hoang Thu Thuy, Natural Resources and Biodiversity Programme Analyst at UNDP Viet Nam, noted, “The pilot at Tram Chim represents Viet Nam's first operational wetland ecosystem services payment model under Decree 08/2022, setting the stage for national replication. This scheme is a pivotal step in wetland conservation, balancing environmental protection with sustainable economic development. However, the success of the scheme hinges on consensus and active stakeholder engagement. We will try our best to incorporate as many as possible the inputs from local communities, government authorities, local businesses, and technical experts to ensure transparency, fairness, and effectiveness in its implementation”

The final draft of the PES Scheme is expected to be available soon to set the ground for provincial approval and implementation.

For any media inquiries, please contact:   
Phan Huong Giang   
UNDP Media and Communication Analyst, Climate Change and Environment   
Email: phan.huong.giang@undp.org