Laws and Regulations Enabling Eco-Compensation and PES

Eco-compensation is a policy mechanism which aims to mitigate the negative environmental impacts of human activities by implementing measures to offset or compensate for ecological damage caused by those activities. Examples of eco-compensation include fiscal transfer, regional cooperation, and market incentives. 

Over the past two decades, eco-compensation has seen significant growth in the People’s Republic of China (PRC). Pilot projects established at the regional scale have demonstrated encouraging promise across the country. Although a national eco-compensation strategy has yet to be implemented, these pilot studies have provided the foundation for eco-compensation to be adopted and integrated into broader incentive mechanisms to achieve sustainability, supported by appropriate regulatory and legal basis. 

Since 2009, the Asian Development Bank (ADB) has supported the development of eco-compensation in the PRC. This has predominantly been through facilitating policy dialogue and technical cooperation with the National Development and Reform Commission (NDRC) on a range of projects and policy reform initiatives, including eco-compensation policy, legislation, market-based instruments, performance evaluation, and links with wider poverty reduction initiatives. 

After a three-year postponement because of the Covid-19 pandemic, this year’s conference is a regional flagship event led by the ADB’s Agriculture, Food, Nature and Rural Development Sector Group (AFNR) to promote collaboration among public, private, and civil sectors for sustainable conservation finance, discuss innovative financing methods and challenges, strengthen networks among eco-compensation and PES stakeholders, and facilitate knowledge sharing among countries including the PRC.

This year’s 9th International Conference on Eco-compensation and PES will review the progress of eco-compensation in the PRC and PES in other parts of the world and has a thematic focus on the legal framework for eco-compensation and PES which ADB has assisted since 2009 with a number of TAs including TA-7699 PRC and TA-6595 PRC.

Register via Zoom

Agenda

Excursion to Zhangye Wetlands

TimeProgram
9:00 – 10:20Opening Plenary and Keynote Speech
Chair: Wang Xintong, Deputy Director General, Regional Revitalization Department, National Development and Reform Commission (NDRC)
09:00 – 09:40Opening Remarks
TBD, Vice Chairman, National Development and Reform Commission (NDRC)
M. Teresa Kho, Director General, East Asia Department, Asian Development Bank (ADB)
Cheng Xiaobo, Vice Governor, Gansu Provincial Government
James George, Deputy Resident Representative, UNDP PRC
Lu Xiaoheng, General Secretary, Zhangye Municipal Committee of Communist Party of PRC
09:40 – 10:00Keynote Presentations: Advances in Policy and Legislation of Eco-compensation in the PRC
Tong Zhangshun, Director General, Regional Revitalization Department, National Development and Reform Commission (NDRC)
Legislation of Eco-compensation in the PRC
Zhang Yaobo, Deputy Director General, Legislation Bureau II, Ministry of Justice of PRC
Coffee/Tea Break
10:35 – 12:10Thematic Session 1: Advancement in Eco-Compensation and Payments for Ecosystem Services

Chair:Thomas Panella, Director, Natural Capital and Climate Team, ADB
10:35 – 10:50The PRC’s Innovation in Eco-compensation
Nan Zhibiao, Professor, Lanzhou University, and Academician of Chinese Academy of Engineering
10:50 – 11:05Eco-compensation Legislation in the PRC
Wang Jin, Law Professor, Law School, Peking University
11:05 – 11:20Payments for Ecosystem Services Revisited
Sven Wunder, Principal Economist, European Forest Institute
11:20 – 11:35Result Based Private Sector Participation in Environmental Protection
Timothy Male, Executive Director, Environmental Policy Innovation Center, USA
11:35 – 12:00Panel discussion and Q&A: Innovation, Legislation, and Replicability of the PRC’s Eco-compensation

Moderator: Chair
Panelists:
Wang Xintong, Deputy Director General, Regional Revitalization Department, National Development and Reform Commission (NDRC)
Nan Zhibiao, Professor, Lanzhou University, and Academician of Chinese Academy of Engineering
Wang Jin, Law Professor, Law School, Peking University
Sven Wunder, Principal Economist, European Forest Institute
Timothy Male, Executive Director, Environmental Policy Innovation Center, USA
Kabir Jurazoda, Director, CAREC Institute
12:00 – 13:30Lunch Break
13:30 – 15:25Thematic Session 2:Vertical Eco-compensation
Chair:Au Shion Yee, Principal Water Resources Specialist, ADB
13:30 – 13:45Forest and Grassland Eco-compensation in the PRC: Innovations and Prospects
Yan Zhen, Deputy Director General, National Forestry and Grassland Administration
13:45 – 14:00Gansu Eco-compensation Practice and Innovation
Ding Jusheng, Director General, Gansu Development and Reform Commission-
14:00 – 14:15The PRC’s Vertical Eco-compensation: Inception and Evolution
Jin Leshan, Executive Director, China Eco-compensation Policy Research Center
14:15 – 14:30Payments for Forest Ecosystem Services in Viet Nam: Institutional Framework
Pham Hong Luong, Chief of VNFOREST’s Office, Vietnam Administration of Forestry (VNFOREST)
14:30 – 14:45International Lessons Learned on Payment for Ecosystem Services and its Legality
James Salzman, Law Professor, University of California, Santa Barbara (virtual)
14:45 – 15:25Panel Discussion and Q&A: National level legislation and regulatory frameworks for Eco-compensation and PES: viability and necessity
Moderator: Dongmei Guo, Environment Specialist, ADB
Panelists:
Yan Zhen, Deputy Director General, National Forestry and Grassland Administration
Ding Jusheng, Director General, Gansu Provincial Development and Reform Commission
Lu Sidong, Secretary General, Sunan County, Gansu Province
Jin Leshan, Executive Director, China Eco-compensation Policy Research Center
Pham Hong Luong, Director General, Planning and Finance Department, Vietnam Administration of Forestry (VNFOREST)
15:25 – 15:40Coffee/Tea Break
15:40 – 18:00Thematic Session 3:Horizontal Eco-compensation
Chair: Mingyuan Fan, Principal Water Resources Specialist, ADB
15:40 – 15:55Horizontal Eco-compensation: Practices and Challenges
Gou Xiaohua, Professor and Vice President, Lanzhou University
15:55 – 16:10Watershed Eco-compensation between Upstream and Downstream: Progress in the PRC
Liu Guihuan, Research Professor and Chief Scientist, Chinese Academy of Environmental Planning (CAEP)
16:10 – 16:25Xin’an Watershed Eco-compensation Between Anhui and Zhejiang Provinces: A Model in Replication and A New Horizon for Innovation
Chen Jun, Director General, Anhui Provincial Development and Reform Commission
16:25 – 16:35Q&A
16:35 – 16:50Legal Frame for Eco-compensation in the PRC
Wang Qingjun, Professor of Law School, Huazhong Normal University
16:50 — 17:05Conservation Funding in the Developing Countries of Asia
Yixin Yao, Senior Research Fellow, ADBI
17:05 — 17:20Legal Frame for EU Incentive based Eco-schemes
Rowena Cantley-Smith, Law Professor, Law Faculty, University of Technology Sydney (UTS) (virtual)
17:20 – 18:00Panel Discussion and Q&A: Horizontal Eco-compensation

Moderator: Yixin Yao, Senior Research Fellow, ADBI
Panelists:
Liu Guihuan, Research Professor and Chief Scientist, CAEP
Si Lijuan, Professor, Lanzhou University
Chen Jun, Director General, Anhui Provincial Development and Reform Commission
Wang Qingjun, Professor of Law School, Huazhong Normal University
Cheng Hongguang, Dean, College of Water Sciences, Beijing Normal University
Jiang Mao, President of the Board of Directors, Huangshan Xintou Group
18:00 – 20:00Dinner
TimeProgram
09:00 – 11:30Thematic Session 4: Market-based Eco-compensation
Chair: Xueliang Cai, Senior Water Resources Specialist, ADB
09:00 – 09:15Sustainable Biodiversity Financing: UNDP Experiences and Outlook
Leng Fei, National Coordinator of BIOFIN the PRC and Project Manager, UNDP PRC
09:15 – 09:30Natural Capital Investment: Sustainability Perspective
Carlos Manuel Rodríguez, CEO and Chairperson GEF
09:30 – 09:45Market Approach for Conservation Financing
Gui Hua, Deputy General Manager, Ecological Product Development Research Center, CECEP
09:45 – 10:00Incentives for Sustainable Agriculture: International Lessons Learned
Li He, Natural Resources Officer/Agriculture Officer, Regional Office for Asia and the Pacific (Bangkok), Food and Agriculture Organization of the United Nations (FAO)
10:00 – 10:15ADB’s Natural Capital Lab Initiative for Ecosystem Protection
Silvia Cardascia, Water Resources Specialist, ADB
10:15 – 10:30Q&A
10:30 – 10:45Two-Mountain Banking Initiative for Ecosystem Protection
Du Xuliang, Director General, Zhejiang Provincial Development and Reform Commission
10:45 – 11:00Crowdfunding for Ecosystem Protection
Chen Peng, Secretary General, The PRC Green Foundation
11:00 – 11:15Ecosystem Restoration by Private Sectors: ADB Pilots
Niu Zhiming, Senior Officer, ADB PRCM
11:10 – 11:30Q&A
11:30 – 11:50Closing Session
Chair:Song Yuanyuan, Director, Regional Revitalization Department, NDRC

ADB, TBD
Wang Xintong, Deputy Director General, Regional Revitalization Department, National Development and Reform Commission (NDRC)

11:50 – 13:30Lunch and Conference Closed
13:30 – 17:45Internal Meeting by invitation only
Participants:NDRC, ADB, Consultants, invited representatives
13:30 – 15:30Interim Review Workshop for TA-6945 PRC: Eco-compensation Mechanism for Protected Areas with a Focus on National Parks Project
15:30 – 15:45Tea Break
15:45 – 17:45Final Review Workshop for TA-6595 PRC: Support for National Ecological Compensation Regulation of the PRC
18:00 – 19:30Dinner

How Eco-Compensation Better Work With Poverty Alleviation

Incentive-based natural resource and environmental management is increasingly gaining attention from governments and civil societies around the world. The PRC is developing “eco-compensation” as a mechanism to incentivize the protection of public commons such as catchments and watersheds, conservation of forests, and restoration of degraded grasslands. As policy incentives such as eco-compensation are emerging rapidly in various sectors and regions in the PRC, and payments for ecosystem services (PES) also gaining momentum in ADB’s developing member countries, policymakers, researchers, and practitioners of eco-compensation and PES are eager to learn from experiences in the PRC and other developing countries. This year’s conference is the 8th of a series of annual international conferences focused on eco-compensation and PES, providing a platform for participants to share experiences and lessons on the latest initiatives, ideas, and policies regarding watershed eco-compensation, eco-compensation and poverty alleviation, and private sector engagement.

The conference is co-sponsored by the ADB and the Regional Revitalization Department of the National Development and Reform Commission of the PRC, and supported by the Chinese Academy of Environment Planning of the Ministry of Ecology and Environment, ADB-PRC Regional Knowledge Sharing Initiative, Sichuan Provincial Development and Reform Commission, and Chengdu Municipal Government, and organized by the China Eco-compensation Policy Research Center.

Agenda

TimeProgram
08:00 – 08:30Registration
09:00 – 10:20Opening Plenary
Chair: Wang Xintong, Deputy Director General, Regional Revitalization Department, NDRC
09:00 – 09:50Welcome Remarks and Keynote Speeches

  • Tong Zhangshun, Director General, Regional Revitalization Department, National Development and Reform Commission (NDRC)

  • Amy Leung, Director General, East Asia Department (EARD), ADB

  • He Jun, Vice President, Chinese Academy of Environmental Planning,Vice Mayor, Chengde City, Hebei Province

  • Fan Bo, Director General, Sichuan Provincial Development and Reform Commission

  • TBD, Vice Mayor, Chengdu Municipal Government


09:50 – 10:20Keynote Presentations: Mainstreaming Eco-Compensation into Development: ADB Vision
Qingfeng Zhang, Director, EARD, ADB
10:20 – 10:30Coffee / Tea Break
10:30 – 12:00Session 1: Advancement in Eco-Compensation and Payments for Ecosystem Services
Chair: Au Shion Yee, Senior Water Resources Specialist, ADB
10:30 – 10:50Eco-Compensation at the Crossroads
Jin Leshan, Executive Director, China Eco-compensation Policy Research Center
10:50 – 11:10From Payments for Environmental Services (PES) to Conservation Financing: Progress and Challenges
Michael Bennett, Senior Environmental Economist
11:10 – 12:00Panel Discussion and Q&A
Panelists:

  • He Jun, Vice President; Chinese Academy of Environmental Planning, Vice Mayor, Chengde City, Hebei Province

  • Michael T. Bennett, Environmental Economist (Consultant)

  • Jin Leshan, Executive Director, China Eco-compensation Policy Research Center


12:00 – 13:30Lunch Break
13:30 – 15:25Session 2: Watershed Management and Eco-Compensation
Chair: Mingyuan Fan, Principal Water Resources Specialist, ADB
13:30 – 13:45Eco-Compensation in the Yangtze River Basin: Opportunities and Challenges
Liu Guihuan, Research Professor, Chinese Academy of Environmental Planning
13:45 – 14:00Management of Transboundary Rivers: Incentives and Institutions
Yannick Pochon, senior expert on River Basin Management and Ecological Restoration, International Office of Water
14:00 – 14:15Sichuan Watershed Eco-Compensation Mechanism: from an Infant to a Youngster
Li Yuedong, Deputy Director General, Sichuan Department of Ecology and Environment
14:15 – 14:30Water Rights Trading in the PRC: Innovation and Lessons Learned
Chen Xiangdong, Deputy Manager, China Water Rights Exchange
14:30 – 14:45Table Discussion: How Best Can Eco-Compensation and PES Serve to Improve Transboundary Watershed Management and Protection?
14:45 – 15:25Panel Discussion and Q & A
Panelists:

  • Liu Guihuan, Research Professor, Chinese Academy of Environmental Planning

  • Yannick Pochon, senior expert on River Basin Management and Ecological Restoration, International Office of Water

  • Li Yuedong, Deputy Director General, Sichuan Department of Ecology and Environment

  • Chen Xiangdong, Deputy Manager, China Water Rights Exchange


15:25 – 15:40Coffee / Tea Break
15:40 – 18:00 Session 3: Eco-Compensation and PES with Poverty Alleviation – How to Make It Possible?
Chair: Rabindra Osti, Senior Water Resources Specialist, ADB
15:40 – 15:55How to Make Eco-compensation Work in the Poverty Belt around Beijing?
Liu Yang, Governor, Shuangluan District, Chengde City, Hebei Province
15:55 – 16:10PES Programs Design in a Developing Cambodia: Challenges for Scaling-Up

  • Sony Oum, Policy Specialist and BESD Project Manager, UNDP Cambodia

  • Sao Sopheap, Secretary, National Council for Sustainable Development, Cambodia


16:10 – 16:25Eco-compensation Demonstration in Northwest Sichuan Province: An Outlook

  • Liu Xinmin, Research Professor, Sichuan Academy of Environmental Sciences

  • Yu Qiannan, Southwest Jiaotong University


16:25 – 16:40Poverty Alleviation with Carbon Trading in the PRC: Experiences and Challenges
Meng Bingzhan, Manager, SinoCarbon Innovation & Investment Co. Ltd.
16:40 – 17:10Table Discussion: What opportunities and challenges exist in combining poverty alleviation and environmental targets in eco-compensation and PES schemes?
17:10 – 18:00Panel Discussion and Q&A: Practical Experiences in Jointly Targeting and Developing Performance Metrics for Poverty Alleviation and Conservation.
Panelists:

  • Liu Yang, Governor, Shuangluan District, Chengde City, Hebei Province

  • Sony Oum, Policy Specialist and BESD Project Manager, UNDP Cambodia

  • Liu Xinmin, Research Professor, Sichuan Academy of Environmental Sciences

  • Meng Bingzhan, Manager, SinoCarbon Innovation & Investment Co. Ltd.


18:00 – 20:00Dinner
TimeProgram
08:45 – 10:50 Session 4: Comprehensive Eco-Compensation and Private Sector Role in PES
Chair: Annabelle Giorgetti, Environmental Economist, ADB
08:45 – 09:05Incentive Package for Landscape Restoration: FAO Perspective
Mathilde Iweins, Asia Pacific Coordinator for the Forest and Landscape Restoration Mechanism, FAO
09:05 – 09:20Market Based Eco-compensation Fund in Huangshan: Lessons Learned from ADB Project
Mingyuan Fan, Principal Water Resources Specialist, ADB
09:20 – 09:25Q&A
09:25 – 09:40Exploration of Comprehensive Eco-compensation: A Framework
Dong Zhanfeng, Research Professor, Chinese Academy of Environmental Protection
09:40 – 09:55Innovative Financing for Watershed Protection: FI Role in Chishui
Wang Qi, Professor, Deputy Dean, College of Environmental Sciences and Engineering, Peking University
09:55 – 10:10Eco-compensation: Innovation and Initiative in Chengdu
TBD, Sichuan Province
10:10 – 10:50Panel Discussion: Opportunities and Challenges in Engaging the Private Sector and Civil Society to Catalyze Green Finance

  • Mathilde Iweins, Asia Pacific Coordinator for the Forest and Landscape Restoration Mechanism, FAO

  • Mingyuan Fan, Principal Water Resources Specialist, ADB

  • Dong Zhanfeng, Research Professor, Chinese Academy of Environmental Protection

  • Wang Qi, Professor, Deputy Dean, College of Environmental Sciences and Engineering, Peking University

  • TBD, Sichuan Province

10:50 – 11:05Tea Break
11:05 – 12:00Concluding Session
Chair: Dongmei Guo, Environment Specialist, ADB
11:05 – 12:00Concluding Remarks
Wang Xintong, Deputy Director General, Regional Revitalization Department, NDRC
Qingfeng Zhang, Director, EARD, ADB
12:00 – 13:30 Lunch
13:30 – 15:30 Internal Meeting (by invitation)
Participants:
KSTA-9653(PRC) ADB team, NDRC, KSTA CAU team, Sichuan DRC, Hubei DRC, Jiangxi DRC.

Government, Civil Society and Businesses’ Solutions for Sustainable Conservation Financing

Eco-compensation broadly refers to a range of potential policy directions and approaches to environmental management, with the goal of improving outcomes by accounting for the costs and benefits of environmental goods and services in economic activities. In 2016, the PRC’s National Development and Reform Commission (NDRC), tasked with developing a national eco-compensation regulatory framework, described eco-compensation as:

  • Rewards for protecting ecosystems and natural resources
  • Compensation for environmental damage
  • Fees charged to those who pollute the environment

The key objectives of this year’s international conference on eco-compensation and payments for ecosystem services (PES) are to: 

  • Facilitate information exchange on innovations and progress in eco-compensation across the PRC to interested parties within the PRC and other developing countries
  • Help key stakeholders in the PRC and other developing countries understand current progress of international experiences in PES and other innovative financing mechanisms for environmental management
  • Better understand and strengthen the linkages between eco-compensation, PES and poverty reduction
  • Strengthen the global network amongst eco-compensation and PES practitioners

ADB supports the PRC’s eco-compensation agenda through technical assistance projects, pilot programs at provincial and sub-provincial levels, and knowledge support for the national eco-compensation legislative framework and technical guidelines. 

Agenda:

TimeProgram
08:00 – 08:30Registration
9:00 – 10:20 Opening Plenary
Chair: Jin Leshan, Executive Director, China Eco-compensation Policy Research Center
09:00 – 09:50Welcome Remarks and Keynote Speeches:

  • Guo Xujie, Deputy Director General, Western Region Development Department, NDRC

  • Teresa Kho, Deputy Director General, East Asia Department, ADB

  • He Jun, Vice President, Chinese Academy of Environmental Planning, Ministry of Ecology and Environment

  • Kong Xiaohong, Mayor, Huangshan Municipal Government

09:50 – 10:20 Keynote Presentations:

Mainstreaming Eco-Compensation into Development: ADB 10 Years Retrospective
Pavit Ramachandran, Principal Environment Specialist, EAER, EARD, Asian Development Bank

In Focus: Discussion Paper
Developing Gross Ecosystem Product Accounting for Eco-Compensation: Lessons Learned from Pilot Projects in the PRC
10:20 – 10:30Coffee / Tea Break
10:30 – 12:00Session 1: What’s New in Eco-Compensation and Payments for Ecosystem Services?
Chair: Pavit Ramachandran, Principal Environment Specialist, EAER, EARD, Asian Development Bank
10:30 – 10:50 Eco-Compensation in the New Era of the PRC
Wang Jinnan, President, Chinese Academy of Environmental Planning
Liu Guihuan, Research Professor, Chinese Academy of Environmental Planning
10:50 – 11:10Opportunities and Challenges for Payments for Environmental Services: International Perspective
Stefano Pagiola, Senior Environmental Economist, Environment and Natural Resources Global Practice, World Bank
11:10 – 12:00Panel Discussion and Q&A

  • He Jun, Vice President, Chinese Academy of Environmental Planning

  • Stefano Pagiola, Senior Environmental Economist, Environment and Natural Resources Global Practice, World Bank

  • Michael T. Bennett, Environmental Economist (Consultant)

  • Jin Leshan, Executive Director, China Eco-compensation Policy Research Center

  • Jessica Coria, Associate Professor, University of Gothenburg

12:00 – 13:30Lunch Break
13:30 – 15:25Session 2: Transboundary Watershed Management and Eco-Compensation
Chair: Au Shion Yee, Water Resources Specialist, EAER, EARD, ADB
13:30 – 13:45Trans-Provincial Eco-Compensation Schemes in the PRC: Xin’an Model and Beyond
Wang Dong, Research Professor, Chinese Academy of Environmental Planning
13:45 – 14:00Eco-compensation: Lessons from US and Canada River Basins
Arthur Hanson, International Chief Advisor, China Council for International Cooperation on Environment and Development
14:00 – 14:15Yunnan, Guizhou, Sichuan Eco-Compensation Mechanism in the Chishui River Basin
Jiang Jianqiang, Director, Guizhou Environmental Protection Department
14:15 – 14:45Table Discussion: How best can eco-compensation and PES serve to improve transboundary watershed management and protection?
14:45 – 15:25Panel Discussion and Q&A

  • Wang Dong, Research Professor, Chinese Academy of Environmental Planning

  • Arthur Hanson, International Chief Advisor, China Council for International Cooperation on Environment and Development

  • Liu Guihuan, Research Professor, Chinese Academy of Environmental Planning

  • Jiang Jianqiang, Director, Guizhou Environmental Protection Department

  • Wang Debao, Director, Director of Huangshan Finance Bureau

15:25 – 15:40Coffee / Tea Break
15:40 – 18:00Session 3: Eco-Compensation and PES – Linking and Assessing Environmental and Poverty Alleviation Targets
Chair: Stefano Pagiola, Senior Environmental Economist, Environment and Natural Resources Global Practice, World Bank
15:40 – 15:55Gross Ecosystem Product Accounting: Pilot and Potential for Policy Application
Ouyang Zhiyun, Director, Research Center for Eco-Environmental Sciences, Chinese Academy of Sciences
15:55 – 16:10Poverty Reduction with Eco-Compensation: the PRC’s Experiences and Challenges
Huang Yongjia, Chairman, Chinese Poverty Alleviation Services Co. Ltd.
16:10 – 16:25Environment and Poverty Nexus and Decoupling: Lessons Learned from Cambodia
Khieu Borin, Director General, Directorate of Local Community, Ministry of Environment, Cambodia
16:25 – 16:40Payment for Ecosystem Services: Practices and Perspectives in the Himalayas
Laxmi Dutt Bhatta, Senior Ecosystem and Livelihoods Specialist, International Center for Integrated Mountain Development, Nepal
16:40 – 17:10Table Discussion: What opportunities and challenges exist in combining poverty alleviation and environmental targets in eco-compensation and PES schemes?
17:10 – 18:00Panel Discussion and Q&A: Practical Experiences in Jointly Targeting and Developing Performance Metrics for Poverty Alleviation and Conservation

  • Ouyang Zhiyun, Director, Research Center for Eco-Environmental Sciences, Chinese Academy of Sciences

  • Huang Yongjia, Chairman, Chinese Poverty Alleviation Services Co. Ltd.

  • Kong Deshuai, Vice Governor, Hanyin County, Shaanxi Province

  • Khieu Borin, Director General, Directorate of Local Community, Ministry of Environment, Cambodia

  • Laxmi Dutt Bhatta, Senior Ecosystem and Livelihoods Specialist, International Center for Integrated Mountain Development, Nepal

18:00 – 20:00Dinner
TimeProgram
08:45 – 10:45 Session 4: Private Sector and Civil Society Involvement in Eco-Compensation and PES
Chair: Bruce Dunn, Director, Environment and Safeguards Division, Sustainable Development and Climate Change Department, ADB
08:45 – 09:05Green Finance Market With a Case Study in Connecting Markets to Conservation in Southeast Asia
Bikram Chaudhury, Founding Partner of GreenArc Capital Pte Ltd
09:05 – 09:20Water Fund for Conservation in the PRC: Lessons Learned in Zhejiang Province
Li Danning, Director of Fresh Water Program, The Nature Conservancy, the PRC
09:20 – 09:25Q&A
09:25 – 09:40Mitigation Banking in the United States: Practice and Conditions
Mark Laska, President and CEO of Great Ecology and Marlene Lisa Tyner, Associate Ecologist, Great Ecology
09:40 – 09:55Pay for Success Approach to Private Sector Engagement
Timothy Male, Executive Director, Environmental Policy Innovation Center
09:55 – 10:10Business Managed Eco-Compensation in the Yongding Watershed
Du Guozhi, Deputy General Manager, Yongding River Investment Co Ltd
10:10 – 10:50Panel Discussion: Opportunities and Challenges in Engaging the Private Sector and Civil Society to Catalyze Green Finance

  • Bikram Chaudhury, Founding Partner of GreenArc Capital Pte Ltd

  • Li Danning, Director of Fresh Water Program, The Nature Conservancy, the PRC

  • Marlene Lisa Tyner, Project Manager, Great Ecology

  • Timothy Male, Executive Director, Environmental Policy Innovation Center

  • Du Guozhi, Deputy General Manager, Yongding River Investment Co. Ltd.

10:50 – 11:05Tea Break
11:05 – 12:00Concluding Session
Chair: Pavit Ramachandran, Principal Environment Specialist, EAER, EARD, Asian Development Bank
11:05 – 12:00Concluding Remarks

  • Ding Shili, Director General, Huangshan Municipal DRC

  • Pavit Ramachandran, Principal Environment Specialist, EAER, EARD, Asian Development Bank

  • Liu Tong, Deputy Director, Western Region Development Department, NDRC

12:00 – 13:30Lunch
13:30 – 17:30 Focus group discussion (by invitation) with a tea break at 15:30
Venue: Room 206, Second Floor

Moderator: Michael T Bennett, Environmental Economist, Consultant
Participants: International experts, Chinese officials. Up to 15 persons.
Topic: What lessons could the PRC learn from international experiences in engaging private sector and civil society in ecosystem conservation?
Output: Policy brief outline and key points

Linking Growth, Conservation and Rural Welfare via Natural Capital

Eco-compensation broadly refers to a range of potential policy directions and approaches to environmental management, with the goal of improving outcomes by accounting for the costs and benefits of environmental goods and services in economic activities. In 2016, the PRC’s National Development and Reform Commission, tasked with developing a national eco-compensation regulatory framework, described eco-compensation as:

  • Rewards for protecting ecosystems and natural resources;
  • Compensation for environmental damage; and
  • Fees charged to those who pollute the environment.

The key objectives of this year’s international conference on eco-compensation and payment for ecosystem services (PES) are to: 

  • Facilitate information exchange on innovations and progress in eco-compensation across the PRC to interested parties within the PRC and other developing countries;
  • Help key stakeholders in the PRC and other developing countries understand current progress of international experiences in PES and other innovative financing mechanisms for environmental management;
  • Better understand and strengthen the linkages between eco-compensation, PES and poverty reduction; and
  • Strengthen the global network amongst eco-compensation and PES practitioners.

ADB supports the PRC’s eco-compensation agenda through technical assistance projects, pilot programs at provincial and sub-provincial levels, and knowledge support for the national eco-compensation legislative framework and technical guidelines.

Organizers:
  • Department of Western Region Development of National Development and Reform Commission
  • Chongqing Development and Reform Commission
  • China Eco-Compensation Policy Research Center
  • Chinese Academy of Environmental Planning (CAEP)
  • Chinese Academy of Sciences
Agenda:

Arrival of Participants in Chongqing and Early Registration

Registration/Collection of Conference Materials at Hyatt Regency Chongqing Hotel

TimeProgram
08:00 – 08:30 Registration
08:30 – 10:00Opening Plenary: Setting the Stage
Chair: Wang Zhiqiang, Deputy Director General, Chongqing DRC
08:30 – 09:15Welcome Remarks and Keynote Speeches

  • Ou Xiaoli, Director General, Western Region Development Department, NDRC

  • Indu Bhushan, Director General, East Asia Department, ADB

  • He Jun, Deputy Director General, Chinese Academy of Environmental Planning, MEP

  • Shen Xiaozhong, Director General, Chongqing Development and Reform Commission

09:15 – 09:30Keynote Presentations:
Mainstreaming Eco-Compensation into Development: The ADB Vision
Qingfeng Zhang, Director, Environment, Natural Resources and Agriculture Division, ADB

In Focus: Book Launch
Gross Ecosystem Production Accounting for Eco-compensation (Chinese version)
09:30 – 10:00Group Photo and Coffee / Tea Break
Session 1: What’s New in Eco-compensation and Payments for Ecosystem Services?
Chair: Qingfeng Zhang, Director, Environment, Natural Resources and Agriculture Division, ADB
10:00 – 10:15Opportunities and Challenges of Eco-compensation in the PRC
Jin Leshan, Executive Director, China Eco-compensation Policy Research Center
10:15 – 10:30Opportunities and Challenges with Payments for Ecosystems in Brazil
Virgilio Viana, Director General, Sustainable Amazon Foundation, Brazil
10:30 – 10:45Eco-Compensation and Agriculture: Lessons from the US, questions for the PRC
Jim Harkness, former president of Institute for Agriculture and Trade Policy
10:45 – 11:15Table Discussion: Which of these innovations will apply in your context of eco-compensation?
11:15 – 12:15Panel Discussion and Q&A
Panelists:

  • Michael Bennett, Senior Advisor, Forest Trends; Adjunct Research Fellow, CEPRC

  • Chen Shang, Research Professor, The First Institute of Oceanography, State of Ocean Administration (SOA)

12:15 – 13:30 Lunch Break
Session 2: Transboundary Watershed Management and Protection and EcoCompensation
Chair: Alvin Lopez, Senior Natural Resources and Agriculture Specialist,
Environment, Natural Resources and Agriculture Division, ADB
13:30 – 13:45Trans-Provincial Eco-compensation Schemes in the PRC: Experiences and Challenges
Liu Guihuan, Research Professor, Chinese Academy of Environmental Planning
13:45 – 14.00 US Transboundary Watershed Management: Experiences and Lessons
Hu Tao, Director of China Program, WWF US
14.00 – 14.15Trans-Provincial Eco-compensation Schemes in the Chishui River Basin
Jiang Ping, Deputy Director General, Guizhou Environmental Protection Department
14:15 – 14:45Table discussions: What are the opportunities and challenges of financing transboundary watershed management and protection?
14:45 – 15:25Panel Discussion and Q&A
Panelists:

  • Liu Tong, Deputy Director, Western Region Development Department of NDRC

  • Ye Zhendong, Deputy Director, Department of Foreign Capital Utilization and Overseas Investment, NDRC

  • Ren Wenwei, WWF China Water Practice Leader

  • Wang Xiqin, Professor, Renmin University

15:25 – 15:40Coffee / Tea Break
Session 3: Natural Capital Accounting and Eco-Compensation Performance Evaluation
Chair: Zhu Chunquan, Country Representative, IUCN China Office
15:40 – 15:55GEP Accounting: Methodology and Pilot in Qinghai, Yunnan and Guizhou Provinces
Ouyang Zhiyun, Deputy Director of RCEE, Chinese Academy of Sciences
15:55 – 16.10Policy Implication of Natural Capital Accounting
Stephen Polasky, Prof. University of Minnesot
16.10 – 16:25 Indicators of Eco-Compensation for Agricultural Structural Adjustment Based on Nloss-control
Luo Liangguo, Prof. Institute of Environment and Sustainable Development, CAAS
16.25 – 16.55Table discussions: From your experience, how should eco-compensation performance be measured?
16.55 – 17.55 Panel Discussion
Panelists:

  • Meng Han, The PRC Representative, UNEP-WCMC

  • Ina Porras, Senior Economist, IIED

19:00 – 21:00Internal meeting on Environment and Poverty Partnership – by invitation only
TimeProgram
Session 4: Ecosystems Investments for Poverty Reduction: Why Should We Do It and How?
Chair: Paul Steele, Chief Economist, International Institute for Environment and Development (IIED)
08.45 – 09:00Synergy of Poverty Reduction and Environmental Protection: UN Case Studies and Lessons Learned
Zheng Haixia, Senior Advisor to International Poverty Reduction Center in China (IRPCC), and Prof. Agricultural Information Institute, CAAS
09:00 – 09:15Conditional Transfers, Ecosystem Services, and Poverty Alleviation
Ina Porras, Senior Economist, IIED
09:15 – 09:45Table discussions: How can eco-compensation reduce poverty?
09:45 – 10:30Panel Discussion and Q&A : Practical Experiences in Combining Poverty and Environment at National Level
Bangladesh
Syed Arif Azad, Director General, Department of Fisheries, Bangladesh
Viet Nam
Nguyen Manh Hiep, Forestry Administration, Viet Nam
Brazil
Virgilio Viana, Director General, Sustainable Amazon Foundation, Brazil
10:30 – 10:55Tea Break
10:55 – 12:15Concluding Session
Chair: Liu Tong Deputy Director, NDRC

Concluding Remarks

  • Wang Zhiqiang, Deputy Director General, Chongqing DRC

  • Alvin Lopez, Senior Natural Resources and Agriculture Specialist, ADB

  • Liu Tong Deputy Director, Western Region Development Department, NDRC

12:15 – 13:30 Lunch

The 5th International Conference on Eco-Compensation and Payments for Ecosystem Services (PES)

ADB Vice President Stephen Groff highlighted the long-term partnership with the National Development and Reform Commission (NDRC) on developing the PRC’s eco-compensation agenda in a recorded welcome message shown at the 5th International Conference on Eco-Compensation and Payments for Ecosystem Services on 24 November in Kunming. NDRC Deputy Director General Xiao Weiming, and ADB East Asia Department Director General Ayumi Konishi opened the event and also launched the “Toward a National Eco-Compensation Regulation in the PRC” publication. Over 150 representatives from ADB developing member countries, international organizations, private sector, and academia discussed innovations, developments, and lessons in implementing eco-compensation and payment for eco-system services in the PRC and other countries.  

Agenda:

Arrival of Participants in Kunming and Early Registration

Registration/Collection of Conference Materials

TimeProgram
08:00 – 08:30Registration
Opening Plenary: Setting the Stage
Chair: Chen Shijing, Deputy Director General, NDRC
08:30 – 09:00Welcome Remarks

  • Xiao Weiming, Deputy Director General, NDRC

  • Ayumi Konishi, Director General, East Asia Department, ADB

  • Deng Zhigeng, Deputy Secretary, CAEP, Ministry of Environment Protection

  • Liu Deqiang, Director General of the Yunnan Provincial Development Reform Commission

09:00 – 09:30Keynote Presentations:

Advances in the PRC’s Eco-Compensation Program and Policy Framework
Chen Shijing, Deputy Director General, NDRC

Mainstreaming Eco-Compensation into Development: The ADB Vision
Alvin Lopez, Senior Natural Resources and Agriculture Specialist, East Asia Department, ADB

In Focus: Book Launch
Toward a National Eco-Compensation Regulation in the People’s Republic of China; and Eco-Compensation Status Report (Chinese version)
09:30 – 10:00Group Photo and Coffee / Tea Break
Session 1: Recent Developments and Innovations in Payments for Ecosystem Services and Other Ecosystem Financing Instruments
Chair: Qingfeng Zhang, Director, Environment, Natural Resources and Agriculture Division, ADB
10:00 – 10:10Eco-Compensation Legislation Development in the PRC – Progress, Challenges and Next Steps
Prof. Wang Jin, Peking University Law School
10:10 – 10:20An International Overview of Innovative Financing Instruments for Ecosystem Management, and Implications for the PRC
Michael Bennett, Senior Advisor, Forest Trends; Adjunct Research Fellow, CEPRC
10:20 – 10:30Progress in Payments for Forest Ecosystem Services in Viet Nam
Pham Hong Luong. Director, Department of Planning and Finance (DPF), Viet Nam Administration of Forestry (VNFOREST)
10:30 – 10:40 An Overview of Valuation of Ecosystem Services and PES in Central Asia-Progress, Challenges and Opportunities
Oleg Guchgeldiyev, Independent Development Consultant, Turkmenistan
10:40 – 10:50Current Status and Developments in REDD+ Globally
Jonah Busch, Senior Fellow, Center for Global Development
10:50 – 12:00Panel Discussion
Moderated by: Qingfeng Zhang, Director, East Asia Department, ADB

Panelists:

  • Ina Porras, IIED Senior economist

  • Jin Leshan, CEPRC executive director

12:00 – 13:30Lunch Break
Session 2: Eco-Compensation And Poverty Reduction
Chair: Paul Steele, International Institute for Environment and Development (IIED)
13:30 – 13:40Setting the Social and Environmental Agenda in the PRC: Why is it Important?
Zuo Ting, Senior Advisor, China Poverty Alleviation and Development Center
13:40 – 13:50Enabling Conditions to Foster Success in National Programmes: Messages from Cambridge International Workshop
Ina Porras, Senior Economist, IIED
13:50 – 14:00Q&A
14:00 – 15:00Panel: Practical Experiences in Combining Poverty and Environment at National Level

Eco-Compensation and Poverty Reduction in the PRC: Current Progress and Future Directions (10 Min)
Leshan Jin, Executive Director, China Eco-compensation Policy Research Center (CEPRC)

The Experience of South Africa (10 min)
Luvuyo Mlilo, Chief Director, Environmental Protection and Infrastructure Programmes, South Africa

The National Greening Programme (10 min)
Marites Aquino, Forest Management Bureau, Philippines
15:00 – 15:30Coffee / Tea Break
15:30 – 17:10Session 3: Monitoring Ecosystem Services and Impacts of Eco-Compensation and PES Programs
Chair: Ren Hongyan, Environment Specialist, ADB

Measuring and Monitoring Ecosystem Services and PES Impacts
Meng Han, UNEP World Conservation Monitoring Centre China Representative

Accounting Gross Ecosystem Product (GEP)
Ouyang Zhiyun, Deputy Director of RCEE, Chinese Academy of Sciences

Grassland Eco-Compensation in the PRC: What can and what cannot be monitored?
Hu Zhentong, China Institute for Rural Studies, Tsinghua University

Development of Feasible Indicators for Restoration of Watershed Services
Mark Kieser, Senior Scientist and Principal at Kieser & Associates, LLC

Panel Discussion
Moderated by: Alvin Lopez, ADB
Panelists:

  • Palmer Hough, USEPA

  • Oleg Guchgeldiyev, Consultant, Turkmenistan

15:30 – 17:10Session 4: Watershed and Trans-Provincial PES and Eco-Compensation
Chair: Zhun Chunquan, IUCN China Country Director

Horizontal Eco-Compensation in the PRC Trans-Provincial Watershed Management
Wang Qi, Director, Ministry of Environmental Protection

On PromotingTrans-Provincial Eco-Compensation Schemes
Liu Guihuan, Research Fellow, Chinese Academy of Environmental Planning

Eco-Compensation in the Dongjiang River between Jiangxi and Guangdong
Kong Fanbin, Vice President, Jiangxi Academy of Social Sciences

Water Funds in the PRC
Mu Quan, Project manager, The Nature Conservancy (TNC)

Panel Discussion
Moderated by: Michael Bennett, Senior Advisor, Forest Trends
Panelists:

  • Fabien Quetier, BIOTOPE

  • Song Jianjun, Macroeconomics Institute

18:00 – 20:00Conference Dinner
TimeProgram
09:00 – 10:45Session 5: Market-Based Eco-Compensation Mechanisms and the Role of the Private Sector
Chair: Ouyang Zhiyun, Deputy Director of RCEE, Chinese Academy of Sciences

Wetland Mitigation Banking: Approaches to Credit Determination
Palmer Hough, US Environmental Protection Agency

Trust Funds as a Tool to Protect the Water Source Areas: A Case Study in Longwu, Zhejiang Province
Chu Qingxin, Researcher, Wangxiang Trust Research Center

Implementing Biodiversity Offsets – Challenges and Opportunities: Lessons Learned from the French Experiences
Fabien Quetier, BIOTOPE Senior Consultant

Market Based Eco-Compensation Mechanism for Forest Carbon Sink
Qi Jiuhong, Director of Research Department, China Beijing Environmental Exchange

Carbon Trading Mechanism and Potentials in the PRC
Wei Zhihong, Tsinghua University Professor

Panel Discussion
Moderated by: Fei Yu, Senior Economist, ADB
Panelists:

  • Liu Jixin, FECO Project Manager of GEF Chishui PWS Project

  • Sun Yiting, Director, WWF China Sustainable Finance

09:00 – 10:45Session 6: The Yangtze River Economic Belt (YREB) – Mainstreaming Eco-Compensation into Potential Ecosystem Restoration Projects in the YREB Region
Chair: Li Yuan, Director, Yunnan Development and Reform Commission

Eco-compensation in Yunnan Province: experiences and future priorities
Li Yuan, Director, Yunnan DRC

Eco-compensation in Qinghai Province: experiences and future priorities
Hou Baojian, Director, Qinghai DRC

Eco-compensation in Sichuan Province: experiences and future prioritiess
Yu Hua, Director, Sichuan DRC

Eco-compensation in Chongqing Municipality: experiences and future priorities
Ye Chengli, Deputy Director, Chongqing DRC

Rehabilitation of the Dianchi Lake
Chen Zhiqiang, Deputy Director, Dianchi Lake Management Bureau

Panel Discussion
Moderated by: Qingfeng Zhang, Director, ADB
Panelists:

  • Ge Chazhong, Director, CAEP of MEP

  • Jiang Yong, WWF China Senior Manager of Yangtze Program

10:45 – 11:00Coffee / Tea Break
11:00 – 12:00Concluding Session
Chair: Pan Xingliang Deputy Director, NDRC
Review and Adoption of the 2016 Conference Statement
Venue: Ball Room at the 3rd floor, Wanda Vista

Concluding Remarks

  • Li Yuan, Director, Yunnan DRC

  • Qingfeng Zhang, Director, East Asia Department, ADB

  • Pan Xingliang Deputy Director, NDRC

12:00 – 13:30Lunch
Video:

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