Technical Assistance Consultant’s Report Project Number: 44140 Date: March 2013 TA 7566-REG: Strengthening and Use of Country Safeguard Systems Subproject: Capacity Development for the Implementation of the New Environment Decree (Viet Nam) FINAL REPORT Prepared by ADB Consultant Team This consultant’s report does not necessarily reflect the views of ADB or the Government concerned, and ADB and the Government cannot be held liable for its contents. TA7566-REG: Strengthening and Use of Country Safeguards Systems FINAL REPORT CAPACITY DEVELOPMENT FOR THE IMPLEMENTATION OF THE NEW ENVIRONMENT DECREE Prepared by Dr. Phung Chi Sy, Mr. Ngo Huy Toan, Mr.Nguyen Van Duyen, Dr. David Annandale Hanoi, March, 2013 1 TABLE OF C O N T E N T S Glossary and Acronyms ....................................................................................................... 4 Abstract ................................................................................................................................ 6 Executive Summary ............................................................................................................. 7 I. INTRODUCTION AND BACKGROUND ..................................................................... 11 II.1. Introduction to the Sub-Project ................................................................................ 11 II.2. Outline of the Sub-Project Final Report ................................................................... 11 II.3. Recent History of Country Safeguard Systems (CSS) Work in Vietnam ................. 11 II. PROJECT ACTIVITIES ............................................................................................ 14 II.1. Phase I .................................................................................................................... 14 II.2. Phase II ................................................................................................................... 14 II.3. Additional Work Undertaken .................................................................................... 15 III. MAIN OUTPUTS OF THE PROJECT ........................................................................... 17 III.1. Summary of the Project Outputs ............................................................................ 17 III.2. Equivalence Analysis ............................................................................................. 18 III.2.1. Introduction ...................................................................................................... 18 III.2.2. Outcomes of the Equivalence Analysis ............................................................ 18 III.2.3. Conclusions ..................................................................................................... 20 III.3. Capacity Needs Assessment and Country Safeguard System Capacity Action Plan (CAP) ............................................................................................................................. 21 III.3.1. Introduction ...................................................................................................... 21 III.3.2. Needs Assessment .......................................................................................... 21 III.3.3. Capacity Development Needs (Needs Assessment Survey and Input from November 2011 Workshops) ...................................................................................... 36 III.3.4. Capacity Development Objectives and Proposed Project Categories (2012- 2015) (Input From the April 2012 Workshops) ........................................................... 42 III.3.5. Capacity Development Objectives and Proposed Projects (2012-2015) (Input From the April 2012 Workshops) ................................................................................ 37 III.4. Capacity Building Support to Target Provinces ................................................. 40 III.4.1. Introduction ...................................................................................................... 40 III.4.2. Approach to the Task ....................................................................................... 41 III.4.3. Outcomes of Support Provided ........................................................................ 42 III.4.4. Proposed Additional Capacity Development Activities ..................................... 44 III.4.5. Conclusions ..................................................................................................... 46 III.5. Recommendations for Amendments to the Law on Environmental Protection 2005 relating to SEA, EIA, and EPC .............................................................................. 47 III.5.1. Background ...................................................................................................... 47 III.5.2. Shortcomings of the Existing Law on Environmental Protection 2005 ............. 47 III.5.3. Conclusions and Recommendations ............................................................... 51 IV. OVERALL CONCLUSIONS AND RECOMMENDATIONS ........................................... 52 2 IV.1. Lessons Learned and Remaining Challenges ................................................... 52 IV.1.1. Lessons learned from equivalence assessment .............................................. 52 IV.1.2. Lessons learned from development of the Capacity Action Plan ..................... 52 IV.1.3. Lessons learned from capacity building support to target Provinces ............... 53 IV.2. Recommendations............................................................................................. 54 IV.2.1. Recommendations for Government policy-makers .......................................... 54 IV.2.2. Recommendations for donors ......................................................................... 54 IV.2.3. Recommendations for proponents .................................................................. 55 V. APPENDICES ............................................................................................................... 56 APPENDIX A: Equivalence Anaylsis ................................................................................. 57 APPENDIX B (1): Questionnaire for Line Ministries ........................................................... 73 APPENDIX B (2): Questionnaire for Provinces and Districts ............................................. 77 APPENDIX C (1): Vinh Phuc ............................................................................................ 82 APPENDIX C (2): Hau giang ............................................................................................. 90 APPENDIX C (3): Khanh Hoa ............................................................................................ 98 APPENDIX C (4): Binh Thuan ......................................................................................... 106 APPENDIX C (5): Dak Nong ............................................................................................ 112 APPENDIX C (6): Yen Bai ............................................................................................... 118 APPENDIX C (7): Bac Giang ........................................................................................... 127 APPENDIX C (8): Thanh Hoa .......................................................................................... 138 APPENDIX D: Draft of Section 1, Chapter III on SEA ...................................................... 151 3 GLOSSARY AND ACRONYMS ADB - Asian Development Bank CAP - Country Safeguard System Capacity Action Plan CPC - Commune Peoples’ Committee CSS - Country Safeguard Systems DANIDA - Danish International Development Agency - Development Cooperation in Environment DEIAA - Department of Environmental Impact Assessment and Appraisal DoNRE - Department of Natural Resources and Environment DPI - Department of Planning and Investment DPC - District Peoples‘ Committee EA - Executing Agency EIA - Environmental Impact Assessment EMP - Environmental Management Plan EP - Environmental Police EPA - Environmental Protection Administration EPC - Environmental Protection Commitment EPZs - Export Processing Zones FGD - Focus Group Discussion GOV - Government of Vietnam HSC - Hanoi Core Statement IEE - Initial Environmental Examination IPs - Industrial Parks IZs - Industrial Zones JICA - Japan International Cooperation Agency LEP - Law on Environmental Protection 2005 Localities - A combination of provinces and districts; separate and formally defined political districts at provincial, district, and commune levels. NGO - Non-Governmental Organization MOC - Ministry of Construction MOCST - Ministry of Culture, Sports and Tourism MOH - Ministry of Health MOIT - Ministry of Industry and Trade MOIC - Ministry of Information and Communications MOLISA - Ministry of Labor-Invalids and Social Affairs MOPS - Ministry of Public Security MOT - Ministry of Transport MoNRE - Ministry of Natural Resources and Environment MPI - Ministry of Planning and Investment PAHs - Polycyclic aromatic hydrocarbons PEPA - Provincial Environmental Protection Administrations PCB - Polychlorinated biphenyl PPC - Provincial Peoples’ Committee ODA - Overseas Development Assistance SEA - Strategic Environmental Assessment SIA - Social Impact Assessment SPP - Strategies, Planning, and Plans SPS - Safeguard Policy Statement SWOT - Strengths, Weaknesses, Opportunities, Threats 4 TWG - Thematic Working Group for the Environment TSG - Technical Sector Guideline for EIA VEA - Vietnam Environment