The community forestry program in Bhutan started sometimes in 1995 with the objective to empower rural communities (to) manage forests sustainably for socio-economic benefits, poverty reduction and to contribute to overall sustainable forest management at national level (Phuntsho et. al, 2011). However, the momentum of implementing the community forestry development has gained since 2007 after the decentralization of forestry activities to the Dzongkhag in 2000. Today, there are 746 community forestry groups across the country (Perscom. with SFED). While most of the CFs is catering the forest resources demand of community themselves, one CF each in Mongar, Paro and Chukha dzongkhags are providing environmental services and Payment for Environmental Services (PES) has been initiated.

Norzincholing Community Forest is one of the 24 Community Forestry Management Groups (CMFGs) in Zhemgang Dzongkhag. Established in 2004, this CF benefits 84 household residence of Sonamthang village in Panbang Drungkhag. At the time of establishment 34 household residence from Thinleygang village were secondary members to this CFMG as beneficiary of drinking water from the forest. However, in 2012, they have created separate group after withdrawing their membership from the initial group on condition that they will continue to receive drinking water benefits from the Norzincholing CF. In a way this was arrangement made by the Sonamthang and Thinleygang village residence to mutually share the environmental resources and services. Partly this can be considered as PES mechanism as the Thinleygang residence have given up their user rights of the CF. Moreover, there is potential for supply of drinking water from Norzincholing CF to Panbang?s town expansion in the near future.
The initial of the CF are
1. To protect available forest resources for future generations and to meet the goal of government policy by maintaining 60% of land cover under forest for all time to come.
2. To adopt better management systems via application of silvicultural treatments, plantation of trees in the open areas and retention of mother trees for regeneration.
3. To uplift the poor people in the village through increasing income generation from sales of product on sustainable basis and equity sharing of the forest resources among the member.
However, there is ample scope for CF to initiate PES mechanism with the rapid expansion of Panbang town. To enhance the PES scope, it is imperative for the CFMG members to initiate proper management of their forest and protect the water source. The proposed project will help CFMG to manage their forest and increase the water retention capacity. The project will be implemented by the Community Forest Management Member (CFMG) with administrative support from geog administration, Ngangla and technical support from department of Forests and Park Services.
Project Objectives and Expected Results
The primary objective of the project is to support Norzincholing Community Group in sustainable management of forest resources through capacity building (in resource assessment) and enhancement of Norzincholing Community Forest though plantation and conservation activities in its critical water sources.
The broad objectives of the project are:
? To assess the springshed through participatory approach
? To encourage CFMG members to invest in the protection of water resources
? To explore alternative income source of CFMG members using Payment for Ecosystem Services (PES) concept.
Expected results
Community members are equipped with basic knowledge on the management and protection of natural forests yet with the constant change of policy and rules of Bhutan, empowering community will help manage and protect natural forest resources. With proper resource management and understanding of water use by surrounding settlements, Norzincholing CFMG members can explore the opportunities associated with PES. NWFP such as Yula (Khengkha) and Pipla are also available in the community forest. Yula is usually sold to other stakeholders and corporative such as Bjoka Tsharzo Corporative as the people of Norzincholing CF do not depend solely on the yula products. Pipla is also available in the CF where people will have opportunity to increase their income via sustainable harvest of the product and linking markets. To strengthen the capacity, communities will be trained on springshed management. Community member will be trained to raise tree nursery and plantation for protection of water sources and critical areas.

Description of Project Activities
The priority activities identified to assess feasibility of Norzincholing CF for PES are given below:
Participatory resource assessment
Assessment and mapping of springsheds in Norzincholing CF
Norzincholing CF supplies drinking water to Sonamthang and Thinleygang villages. The water user rights are shared between members of the CFMG with the adjoining village on the ground of traditional rights. With the protection of vegetation within the springsheds, the water recharge can be sustained both in quality and quantity. This will offer better chance for CFMG members to initiate PES mechanism in the long run as adjoining areas are proposed for town planning and expected to expand rapidly.
To understand the water recharge capacity and quality of drinking water, we will assess the availability of water resources in two seasons (wet and dry season) and surrounding vegetations. This will enable CFMG members to map and delineate water conservation and protection zones. The outcome of this assessment will be springshed map with proposed zoning of water conservation and protection.
Support will be sought from the Watershed Management Division (WMD), Department of Forest and Park Services under Ministry of Agriculture and Forest. WMD have the capacity Integrated Water Resource Management (IWRM) and Payment for Ecosystem Services (PES).
Water user and demand assessment
Currently, the Norzincholing CF caters drinking water supply for Thinleygang and Sonamthang villages. However, the demand for water is expected to increase with the proposed town plan in Panbang. We will assess the numbers of households and their current water use pattern of the entire household downstream. This will offer great opportunity for CFMG to trade water and institutionalize PES mechanism in the near future.
Tree and bamboo plantation program
Norzincholing CFMG will carry out plantation in degraded areas by removing the unproductive species. Near the water source, they will plant trees species with high water retention capacity. This project will provide technical training on the tree plantation techniques and other tending processes. The project will also emphasize to maintain forest cover in line with the mandates of the country?s constitution through plantation of trees in identified degraded and barren land within the CF.