R-Package of Lao PDR REDD+ Readiness Self-Assessment. FCPF PC25 Meeting Washington, USA 26 th 28 th March 2018

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R-Package of Lao PDR REDD+ Readiness Self-Assessment FCPF PC25 Meeting Washington, USA 26 th 28 th March 2018

Lao PDR s international commitments Lao PDR joined: UNFCCC in 1995; and Signed the Paris Convention in April 2016. In 2008, Lao PDR joined the REDD+ efforts as one of the first countries to join the Forest Carbon Partnership Facility (FCPF). Lao PDR acknowledges the importance of forestry sector on addressing climate change issues in its Nationally Determined Contribution (NDC). 2

REDD+ process in Lao PDR Phase I Readiness Phase II Demonstration activities Phase III National REDD+ Strategy implementation FCPF Readiness Carbon Fund 2011 R-PP assessment Early ideas May 2015 2015 Readiness Grant ER Program Idea Note (ER-PIN) Sept. 2015 Accepted 2016 Mid-term Progress (AF) ER Program Doc (ERPD) 2017-2018 TAP Review ERPA 2018 NRS (Drafted) 2018/19 (IF) Negotiation R-Package Assessment ER Payment Agreement (ERPA) 2019-24(IF) 3

REDD+ status in Lao PDR I. Readiness II. Implementation III Results-based payment 2010 2014 2018 2020 2025+ 4 key REDD+ elements National REDD+ Strategy country vision, actions and stakeholders NFMS system to monitor and report REDD+ activities Measurement (M) Reporting (R) Verification (V) tco2e GHG-I FREL/FRL benchmark for assessing performance SIS to inform how SGs are ensured Safeguard through out the stages Avoid doublepayment (carbon registry) Non-carbon benefits national development objectives Results-based payment Benefit Sharing - Effective, Efficient and Equitable 4

R-Package Self-Assessment Process Lao PDR Core REDD+ Team (Government staff and technical advisors) (Workshop) Six REDD+ Technical Working Groups (Workshop) Development partners, civil society and private sector representatives consulted and provided comments and feedback (Workshop) Validation by NRTF (Meeting) Finalization (Readiness Assessment)

Overall Rating of Lao REDD+ Readiness Self-assessment by Lao PDR Component Sub Component Summary scores Readiness organization and consultation REDD+ Strategy preparation Reference Emission Level/Reference Level 1a. National REDD+ Management Arrangements 1b. Consultation, participation and outreach 2a. Assessment of Land Use, Land-Use Change Drivers, Forest Law, Policy and Governance 2b. REDD+ Strategy Options 2c. Implementation Framework 2d. Social and Environmental Impacts 3a. Reference Emissions Level/Reference Levels Monitoring system for forests and safeguards 4a. National Forest Monitoring 4b. Information System for Multiple Benefits, other Impacts, Governance, and Safeguards Significant progress Progress well, further development required Further development required Not yet demonstrating progress

Component 1: READINESS ORGANIZATION AND CONSULTATION Sub-Component 1A: National (and sub-national) REDD+ Management Arrangement REDD+ institutions are set-up: NRTF, TWGs, PRTF; Prov. REDD+ Offices Vice-minister chairs NRTF Forestry under MAF since 2017 REDD+ Division has a coordination function and serves as secretariat to the NRTF On-going capacity building at all levels Remaining tasks: further technical capacity building required, especially at subnational levels; strengthen cross-sectoral coordination and all levels

Component 1: READINESS ORGANIZATION AND CONSULTATION Sub-Component 1B: Consultation, Participation, and Outreach Main drivers of deforestation and forest degradation being identified: Expansion of agriculture land into the forests. Conversion of forest land for infrastructure development and mining (including resettlement, mining, hydropower, urban expansion). Forest degradation from unsustainable timber harvesting and NTFP collection. Shifting cultivation and forest fires. Conversion of natural forest to commercial tree plantation areas. Remaining tasks: further consultations on ER-PD including Benefit-Sharing Arrangements and Safeguards at national and sub-national levels; further development is required to improve engagement of the stakeholders. government recognizes the need to create the enabling environment for private sector participation; Transparent and broad information-sharing mechanisms still need to be established

Component 2: REDD+ STRATEGY PREPARATION Sub-Components 2A and 2B: Assessment of Land Use, Land Use Change Drivers, Forest Law, Policy and Governance and REDD+ strategic options 1. Comprehensive analysis and assessment of drivers of DD through; Land use change analysis from land use maps for 2005, 2010 and 2015 Time series analysis of hot spots of DD Stump survey for estimate of emissions from logging (forest degradation) Stakeholder consultations from national to province, district and village levels 2. Prioritization of strategic interventions into 5 groups and detailed actions 3. Law, policy and governance Implementation of PMO 15 for strengthening of forest governance On-going negotiations on VPA/FLEGT On-going revision of Laws on Land and Forest for clearer resource tenure, institutionalization of PMO 15 and TLAS, etc. Strategic Interventions in NRS 1. Development of sustainable agriculture in coordination with forest protection. 2. Infrastructure (including resettlement and urban expansion) and mining development in coordination with forest protection. 3. Sustainable timber harvesting (wood and forest products) and forest management 4. Turning pioneering shifting cultivation to sedentary cultivation, controlling forest fires and forest restoration (carbon stock enhancement). 5. Development of sustainable commercial tree plantation. Remaining tasks: Completion of law revision, feasibility assessment of interventions/actions, implementation plan of strategic interventions and actions

Component 2: REDD+ STRATEGY PREPARATION Sub-Component 2C: Implementation Framework REDD+ institutional framework in place (NRTF; REDD+ Division; 6 TWGs; Prov RTF; Prov REDD+ Offices New Party Resolution on Land (2017); Land Law and Forest Law under revision (submission to NA Oct 2018) Forest and Forest Resource Development Fund (FFRDF) revised includes articles pertaining to REDD+ 6 Provincial REDD+ Action Plans being developed (guidelines available) Registry initiated Remaining tasks: Determining the implications of the NRS on sector policies, laws and regulations and strategic ways to mainstream REDD+ Determining the interface between the NRS and Forestry Strategy Agreeing upon suitable benefit sharing mechanisms for REDD+ Preparation of implementation guidelines and monitoring system for REDD+ activities

Component 2: REDD+ STRATEGY PREPARATION Sub-Component 2D: Social and Environmental Impacts Lao PDR has existing policies, laws, regulations, and institutions that address environmental and social safeguards in forestry operations and development activities DOF has drafted the national SESA (2018) Policies, Laws and Regulations and the UNFCCC Cancun Safeguards: Frameworks and Gaps in the Lao PDR (Report 2015) FPIC Guidelines developed and piloted at sub-national level The ESMF (draft version) and Community Engagement Framework (CEF), will serve as a basis for addressing and mitigating potential environment and social risks and impacts associated with REDD+ implementation Remaining tasks: Finalizing the draft ESMF including relevant consultations Develop Safeguards Information System (SIS)

Component 3: REFERENCE EMISSIONS LEVEL/REFERENCE LEVEL National REL submitted to UNFCCC in Jan. 2018, and currently under technical assessment. In parallel, REL for the ER-Program under development, and currently under TAP review. Consistency between the two RELs has been and will be pursued to the extent possible (e.g. same dataset, methodologies, reference period). REL/MRV TWG in full operation to lead the process. Remaining tasks: Complete the National REL and ER-Program REL Further technical improvement and capacity building to prepare for MRVs.

Component 4: MONITORING SYSTEMS FOR FORESTS AND SAFEGUARDS Sub-Component 4A: National Forest Monitoring System Elements related to NFMS Satellite-based forest monitoring for Activity Data. National Forest Inventory for Emission/Removal Factors + emissions from selective logging. Public access to information for transparency http://nfms.maf.gov.la:4242/nfms/ Forest monitoring (near-real time monitoring of drivers) Data management system for National REDD+ registry (Criteria 22) Safeguards Information System Status In place In place In place Being developed stepwise To be developed stepwise Need further conceptualization and development 1 st National MRV scheduled in 2019 (to be supported by JICA) Consistency, transparency, stepwise improvement Conduct, review and endorse under the same institutional arrangement. Close coordination with GHG Inventory and other climate change initiatives. Propose to GCF Results-based payment pilot program (tbc)? Remaining tasks: Prepare for the 1 st MRV and results-based payment options. Further develop forest monitoring and REDD+ registry Further capacity building on the above.

Component 4: MONITORING SYSTEMS FOR FORESTS AND SAFEGUARDS Sub-Component 4B: Information System for Multiple Benefits, Other Impacts, Governance, and Safeguards The issues are analyzed through SESA, etc., and incorporated into the National REDD+ Strategy and ER-Program. Initial concept of ESMF prepared. This will be further developed to enable effective monitoring of the multiple benefits, governance and other impacts. Accordingly, Safeguards Information System also needs further development. All above will be done through collaboration among the six TWGs and stakeholders concerned. Remaining tasks: Further develop ESMF to enable monitoring of multiple-benefits, governance and other impacts; Further develop design and arrangement of Safeguard Information System; Collaboration among stakeholders to be promoted through national REDD+ coordination mechanism (led by DOF)

Component 4: MONITORING SYSTEMS FOR FORESTS AND SAFEGUARDS Feedback and Grievance Redress Mechanism (FGRM) To be based on existing mechanisms. 15

FCPF Carbon Fund: Emission Reduction Program Summary Promoting REDD+ through Governance, Forest Landscapes & Livelihoods in Northern Lao PDR Program Document (ERPD) submitted to FCPF CF in Feb. 2018 and currently under technical assessment Program area: 6 Northern provinces (BKO, HPN, LNT, LPB, ODX, SAY) Duration: 2019 (or 2020) to 2025 (ERPA: 5 or 6 years till 2024) Funding: $136M with 1/3 GCF funds (proposed), 1/3 RBP from CF, 1/3 on-going and other donor projects in ERP area Institutional arrangement: NRTF, REDD+ Division/DOF, PRTF, PROs Objectives: to reduce emissions from deforestation and forest degradation, and to enhance removals through SFM, Land use planning, Village forestry, Forest and landscape management, Improved monitoring, Improved governance, Promotion of deforestation-free investments, forest plantations etc. 16

ER-Program - Scale and Location 6 Northern provinces Oudomxay Luang Namtha Luang Prabang Bokeo Houaphan Xayabouly Justification: Covers approx. 35% of national territory; Poorest region, with high rate of shifting cultivation; Accounted for 40% of all deforestation & degradation (in area terms) in 2005-2015; Includes provinces with early actions towards results; REDD+ will be rolled out nationally into the future.

ER-Program - Consultations PRAP consultations held in: 6 provinces, 50 Districts, 50 Kumbans Provincial REDD+ Action Plans 6 PRAPs 6 PRAPs ERPD interventions Component 1: Enabling conditions Component 2: Agriculture Component 3: Forestry + National level actions (mainly in Component 1)

ER-Program - Interventions and theory of change Agriculture expansion Shifting cultivation Logging Infrastructure development Enabling conditions for REDD+ Policy and legal framework FLEGT Land Use Planning Land tenure security PES decree DoL DoF DoFI DoP Forestry interventions Sustainable Forest Management Village forest management Forest landscape restoration Tree plantations DoF DoFI Agriculture interventions Climate smart agriculture models Agro-technological investments FFS & extension Alternative livelihoods DoA DTAEP

Additional Grant Key Tasks for REDD+ up to 2020 READINESS PROCESS MANAGEMENT AND STAKEHOLDER CONSULTATION Technical support and capacity building for Provincial offices for implementation of PRAPs and ER-PD interventions National Stakeholder Consultations on National REDD+ Strategy and Intervention Options (across all relevant sectors as identified in the drivers analysis) Technical support, capacity building/training workshops for NRTF, Cross-sector collaboration REDD+ STRATEGY DEVELOPMENT Economic Analysis and Prioritization of NRS Interventions National and sub-national cross sector knowledge sharing, consultation awareness raising and dissemination of REDD+ Strategy Intervention Development of national monitoring system, design SIS and Benefit Sharing Framework REFERENCE EMISSION LEVEL AND MONITORING SYSTEMS Support and capacity building for the National Forest Monitoring System, updating of REL, and design of national MRV system Procurement of hardware and software including relevant training in spatial systems, data collection, updating and management in line IPPC and FCPF requirements

Conclusions Refine the Lao PDR REDD+ Roadmap REDD+ is a continuously evolving mechanism Need of refined roadmap for REDD+ Readiness > Implementation > Results-based payment (RBP) - Particularly: Implementation of NRS Alignment of NRS and Forestry Law revision, FS2020 revision. Some REDD+ instruments need further work: SIS, BSM, etc. Enhance coordinated actions For REDD+ to be truly successful in Lao PDR, inter-sectorial coordination becomes more important: With other sectors (agriculture, infrastructure, industry), issues (law enforcement, land-use planning, socio-economic development) and partners (private investments, NGOs) on REDD+ implementation With DCC-MONRE on REDD+ on climate change related issues, including receiving and use of RBP

Thank you 22