Nghe An Provincial Forest Protection and Development Fund proactively approaches domestic carbon trading market – ETS

In addition to its positive impact on social security and ecological environment, the policy of payment for forest environmental services has greatly contributed to forest management and protection; raised awareness of forest protection, and provided annual funding for forest owners in the context of limited state budget resources. In particular, it has created livelihoods for forest owners who are people in remote and particularly disadvantaged areas, promoting the socialization of forestry.

Greenhouse Gas Emissions and Domestic Carbon Trading Market (ETS) Training Conference.

However, there is still a lot of room for forest environmental services provision, including carbon market transactions. Timely grasping the social trend in the context of climate change, the Forest Protection and Development Fund has proactively prepared resources to access the carbon trading market, including the "Domestic Carbon Trading Market - ETS".

Immediately after the Ministry of Agriculture and Rural Development and the International Bank for Reconstruction and Development (IBRD) signed the Emission Reduction Payment Agreement for the North Central Region (ERPA), the Forest Protection and Development Fund coordinated with expert delegations to advise on the implementation of the agreement in Nghe An and was highly appreciated by (IBRD). At the same time, the Fund also sent staff to participate in training courses on "Domestic Carbon Trading Market - ETS" organized by the Central VFBC Technical Assistance Project Management Board "Sustainable Forest Management and Biodiversity Conservation".

Through training courses, Fund staff updated basic knowledge on how to operate and trade emission quotas and carbon credits on the domestic carbon market trading floor as prescribed in Decree 06/2022/ND-CP issued on January 7, 2022 on regulations on greenhouse gas emission reduction and ozone layer protection; Knowledge on greenhouse gas emission reduction; Greenhouse gas inventory; Carbon prices and quotas in the domestic carbon market; Carbon trading floor simulation software (CarbonSim); Types of markets on the trading floor; account registration and selection for each account to conduct transactions, transaction methods; Carbon offset; Carbon standards; safety measures and experiences of countries operating carbon markets...

By proactively accessing the carbon market, including the domestic carbon trading market - ETS, it can be affirmed that the Nghe An Provincial Forest Protection and Development Fund is ready to access to increase the surplus value of forests from providing forest environmental services through the carbon market; effectively implementing the Government Decree on the transfer of emission reduction results and financial management of emission reduction payment agreements in the North Central region after its promulgation.