IUCN-PAN-CP partnership on forest restoration: Piloting the possibility to enter tradable carbon credit market

Lang Sen Wetland Nature Reserve in Tan Hung District, Long An Province was established in 2004. The nature reserve covers 1,971 hectares and includes some of the last natural wetlands in the Plain of Reeds with a mix of marshes, seasonally flooded grasslands, and melaleuca forest.

However, according to the results of a 2021 survey, the total area of Special-Use Forest (SUF) has decreased by 139 hectares since 2014. In response, in September 2021, the PPC approved for Lang Sen Wetland NR a plan to reforest 30 hectares by the end of 2022.

In December 2022, in support of the PPC’s plan, IUCN entered into a partnership with PAN and CP Group to implement a 2-year project to restore melaleuca forest, which is an important habitat for water birds and many freshwater species.

To introduce the project, IUCN and the management board organised a consultation in the nature reserve on 22 December 2022. This yielded useful recommendations on planting density and timing, suitable planting areas, planting techniques, etc.

Experts suggested calculating the carbon capture of the new forest. Viet Nam will pilot a carbon trading market in 2025 and aims to establish an operational market in 2028 that connects domestic and international buyers^[1]. This is one of the measures to achieve Viet Nam’s COP26 commitment to achieve net zero emissions by 2050.

Decision No. 1/QD-TTg of January 2022^{[2 ]} lists the sectors for which a greenhouse gas emissions inventory in mandatory. These are: energy, transportation, construction, industrial, agro-forestry and land use, and waste treatment. About 1,900 businesses in six of these sectors will have to complete their inventory by March 31, 2023 and conduct emission inventories twice per year starting in 2024 [3].  

To achieve the net zero, business participation is essential. While awaiting detailed regulations, partnerships such as the one between IUCN, PAN and CP Group can test technical approaches with the potential to be scaled up.

[1] https://congthuong.vn/gan-1200-doanh-nghiep-phai-cung-cap-thong-tin-phuc-vu-kiem-ke-khi-nha-kinh-235698.html

[2] https://english.luatvietnam.vn/decision-no-01-2022-qd-ttg-dated-january-18-2022-of-the-prime-minister-on-promulgating-the-list-of-sectors-greenhouse-gas-emitting-establishments-s-216078-doc1.html

[3] https://www.vietnamplus.vn/hon-1900-doanh-nghiep-xay-dung-bao-cao-kiem-ke-khi-nha-kinh-tu-2024/835759.vnp