1. Jostein Nygard, Marija Kuzmanovic
Poverty-Environment Nexus in the Lower Mekong Sub-region Cambodia, Lao PDR and Vietnam PEN Conference in Vientiane June 21-22, 2006
Jostein Nygard, Marija Kuzmanovic

2. Outline Conference Objectives and Participants Conference Agenda
Why focus a PEN study on this region?
- The lower Mekong Sub-regional context
- Unique & shared poverty – environment features
Objectives of the study
Measuring Poverty and Environment
Main challenges the study faced
Sector selection, identified study areas
Finalization, next steps

3. PEN Conference in Vientiane
Objectives:
Present findings from the PEN study (conference edition published)
Share knowledge and experience on PEN issues in the greater Mekong sub-region;
Participants
National and local governments (5 countries)
National and international research institutes;
International and bilateral donors;
Non-governmental organizations;
the media.

4. Conference Agenda
Follow the structure of the conference edition report
Introduction
Chapter 1 – Introduction
Chapter 2 – PEN findings in Cambodia
Chapter 3 – PEN findings in Lao PDR
Chapter 4 – PEN findings in Vietnam
Add PEN experiences in China and Thailand
Chapter 5 - (Sub)-regional Findings (common, specific)
Possible areas for collaboration (information sharing, inter-boarder subjects)

5. The Lower Mekong Sub-regional Context
one of poorest regions in East Asia (IDA eligible countries)
Rapidly growing economies and significant poverty reduction, particularly in Vietnam
long legacy of conflict (wars)
Lao PDR & Vietnam –transition economies; Cambodia - mostly a market economy

6. Unique and Shared Features of Environment and Poverty in Sub-Region
Specific to Vietnam
Shared by Laos and Vietnam
Specific to Lao PDR
Absolute number of poor concentrated in lowlands.
Upland poverty: Indochina Cordillera
Rural-to-rural migration at core of Government policy
Strong government institutions
Poverty reduction policy targeting the uplands
Widely diversified economy reflecting many sectors with PEN features.
Mainly planned economy in transition
Shared by Vietnam & Cambodia
Specific to Cambodia
Shared by Lao PDR and Cambodia
Urban poverty
Post-war migration
Weak institutional & legal capacity
Flood regime in the central region
Mainly market economy
Shared by the three countries
Access to natural resources critical to the poorest’s basic livelihood conditions
Disproportionately low access to clean water and sanitation by the poor.
Rural poverty traps in environmentally-fragile uplands and marginal areas
Growing urban poverty with environmental health issues
Migration

7. Objectives of the Study (p.4)
Based upon a combination of national analyses and agreed case studies in each of the three countries:
(i) identify and elaborate upon poverty and environment linkages;
(ii) review policy implications vis-à-vis these identified PENs (integration in poverty-reduction work);
(iii) If possible, establish relevant links to ongoing PEN project initiatives in the sub-region (p. 7)

8. Measuring poverty
One definition: poverty is inability to meet one’s basic consumption needs (food, clothes, housing etc).
Defined as such, poverty be measured through determining someone’s income or consumption expenditure
Also significant:
non-monetary poverty
relative poverty i.e. level of inequality
Poverty Indicators:
Depth of poverty –measures how far below the poverty line people are;
Poverty density - measures how many poor people live in particular area; shows where most poor people live

9. Poverty: From Provincial to local perspectives (Example from Cambodia)

10. Environmental Indicators
Sustainable land use indicators
Forest cover
Land gradient
Access to water and sanitation
Industrial pollution
Indoor air pollution
Outdoor air pollution
Health impacts
Natural disasters

11. Environmental indicators (continued)
Access to Water
Access to Sanitation

12. Data Analysis
Combination of national analysis and case study work at more local levels; as such, studies complement each other and provide comprehensive scope of analysis
“Micro-level” analysis includes province, district, commune, village and household level
Modes of analysis:
- Correlation analysis; - Mapping
- Regressions; - Ranking

13. Combining Data to Identify Linkages
Diarrhea
High-Low
High-High
Luangprabang
Huaphanh
Champasack
Savannakhet
Low-Low
Xaysomboon SR
Sekong
Borikhamxay
Low-High
Poverty
Access to Water and Sanitation and the
Prevalence of Diarrhea in Lao PDR (‘97/’98)
Luangprabang
Huaphanh
Champasack
Savannakhet
National
average
Average # cases
916
926
1585
1920
629
Households with piped/ well water
37%
23%
58%
66%
44%
Households with sanitation
25%
36%
14%
11%
26%
Rural households with safe water
48%
62%
76%
77%
54%
Rural households with sanitation
28%
18%
32%
31%
ρpoor x diarrhea = 0.75

14. Combining Data To Identify Linkages
Poverty quartiles (% poor)
0 – 25%
25 – 41%
41 – 64%
64 – 96%
Country
% HH without access to piped, protected well/ bore hole (“safe water”)
71.1
89.0
88.0
95.0
84.2
Ranked Number of Poor and Ranked
No Access to Piped Water/ Well
ρpoor x safe water = 0.85

15. Hilly & Mixed districts
Map overlays
Lowland/Upland Factor
In Vietnam:
Poverty rates increase
with elevation, but
numbers of poor are
highest in low elevations
District category 1/
Lowland
Hilly & Mixed districts
Mountainous
Number of districts
282
195
134
Mean elevation (m) 45
441
925
Number of poor (M people, 1999)
12.4
10.5 5
% poor 28 43 62
Rural density (inhab/km²)
418
185
% ethnic minority people 4 15 61
% agricultural land 65 24 12
Paddy per rural capita (m²)
958
471
549
% of area with slope < 8° 98 59 32
% of area with slope > 30° 3 8
Forest land area (M ha)
1.6
4.4
5.6
% forest land in land area 22 38 37

16. Elevation Poverty

18. Main Challenges Complex data requirements
Responding to challenging questions from client countries
Some Examples:
- In Cambodia, what are the effect on poor from land/forest concessions, vs. community management vs. national park management?
- In Vietnam, (i) what are the effects on poor vs. noon poor by the land law? (ii) what are the effects on poor vs noon poor from polluting craft villages (local industrial) in neighboring villages?
- In Lao PDR, what are the impact on the poor in small towns from water & sanitation deficiencies (compared to rural areas).
Complex data requirements
Need data at different administrative levels (national, provincial, county, commune, villages, households) – and particularly local levels - to be able to respond to the questions.
Need data from different sectors (health, environment, social/poverty, rural development) to be able to respond.

19. Poverty & environment linkage areas with impact on highest number of people
Environment & Health indicator:
Cambodia
Lao PDR
Vietnam
Estimated Number of People Affected
% of non-poor population
% of poor population
Decline in Forest resources*
66 percent
70 percent
More data needed
Use of fragile land
< 20percent
< 45 percent
Fuelwood/indoor air pollution
90 percent
99 percent
95 percent
98 percent
80 percent
> 90 percent
Lack of water supply**
16 percent
22 percent
20 percent
30 percent
15-20 percent
25-30 percent
Lack of sanitation
60 percent
40 percent
10-12 percent
30-35 percent
Households always boiling drinking water
35 percent
Drought***
12 percent
0.2 percent
1.7 percent
Flooding***
24 percent
23 percent
5 percent
1 percent
1.3 percent
1.1 percent
UXO/Minefield contamination****
19 percent
28 percent

21. Policy-orientation & Dialogue
Strong emphasis on country ownership
Significant weight given to government priorities in poverty reduction
National government involvement in the study:
Indicators
Relevant actions
Cambodia
Lao PDR
Vietnam
National/government involvement
Identification of PEN subjects,
Data provision
Data provision and analysis;
Direct involvement in study location selection.
Direct involvement in study location selection
Number of government departments involved
 Two (MOE and MoP)
(Consultations)
 Five (STEA, MPI, MTCTP, MOA, MoH)
 Three (MONRE, MPI, MOH)
Workshops, conferences (size, diversity of participants)[1]
 One consultation workshop in December 2005
Four consultation workshops hosted by provincial governments
 One national consultation workshop in June2005. Introduction workshop in December 2002
One national consultation workshop in August 2005
Expressed commitment from government officials and institutions
TBD
Prime minister's office written statement for inter-ministerial coope-ration under PEN study
Vice Ministers of MONRE and MPI written support for PEN
Initiated follow-up activities after PEN
 Follow-up on the Poverty Assessment with PEN findings. Could identify e.g.WSS activities
 Elaboration of PEN findings in PE context. Identify WSS-poverty activities
Possible lending program focusing on PEN findings. (River Basin pollution control etc)

22. Finalization Process (next days & weeks):
Obtained comments from several reviewers.
… however, need to obtain feedback from you at this conference and incorporate your relevant comments into the report
Two levels:
Country specific findings
Sub-regional findings