Nature First Resilience in Phuentsholing

Phuentsholing Thromde, Bhutan’s southern gateway city, is demonstrating how nature-based solutions (NbS) can anchor climate resilience in rapidly urbanising, hazard-prone environments. Building on the country’s constitutional mandate to preserve over 60% forest cover, the city integrates environmental governance, topography-aligned planning, community stewardship and green-grey infrastructure to reduce flood, landslide and erosion risks. Through 12 Local Area Plans (LAPs), strict development regulations, upstream-downstream water protection schemes and community forests, Phuentsholing is shaping a resilience model rooted in ecological integrity and citizen ownership.

Phuentsholing’s implementation approach is structured, evidence-based and grounded in the principle that natural systems must guide urban development. The city embeds NbS into every stage:

1. Planning informed by science and terrain
The process begins with detailed topographic surveys, slope mapping and geotechnical investigations that assess soil stability, natural drainage behaviour, and landslide or flood exposure. This scientific foundation makes the city’s suitability analysis possible, categorising land into unsuitable areas, E4 hazard zones and safe development pockets. By allowing the land to dictate the development logic, Phuentsholing reduces long-term risk and preserves ecological functions.

2. Land pooling to secure NbS at scale
Across the 12 Local Area Plans (LAPs), the city implements 15–30% land pooling to secure green corridors, riparian setbacks, open spaces and drainage channels. This mechanism distributes costs and benefits among landowners, minimises disputes and ensures that space for NbS is integrated from the outset rather than added retroactively.

3. Strong Development Control Regulation (DCR)
Phuentsholing enforces pre-construction approvals, on-site monitoring and post-construction occupancy certification. These controls ensure all buildings respect natural slopes, avoid flood and landslide buffers, and maintain ecological corridors. DCR enforcement is one of the city’s most powerful resilience tools, preventing incremental erosion of natural systems.

4. Integrated green–grey infrastructure
Riverbank reinforcement paired with riparian vegetation, slope-aligned drainage, and terrain-following storm-water systems blend engineering with ecological processes. This reduces erosion, stabilises river edges and protects built areas while maintaining natural hydrological flows.

5. Community co-ownership and interdependence
Each LAP includes four consultation rounds that clarify expectations, resolve land issues and build broad support. The Payment for Environmental Services (PES) scheme, where urban residents contribute 5% of their water tariff to upstream communities, reinforces shared stewardship and ensures watershed protection.

6. Technical partnerships and capacity support
Given limited municipal staff, Phuentsholing hires specialised consultants for hazard studies, topographic analysis and DPR preparation, while coordinating closely with national agencies and development partners.

Resilience in Phuentsholing is driven by multi-level collaboration between communities, local government and national institutions.

• Phuentsholing Thromde (lead implementation)
• Ministry of Infrastructure & Transport (MoIT) and National Land Commission (NLC) for LAP endorsement
• Upstream rural communities through Payment for Environmental Services (PES) agreements
• Consultants for geotechnical studies, hazard mapping and DPRs
• Development partners: ADB, GCF, central government block grants.

Citizen participation is treated as a cornerstone of resilience, not an accessory:

• Four community consultations for every LAP strengthen ownership and reduce land conflict.
• Environmental education programmes embedded in local initiatives.
• Public communication emphasising ecosystem stewardship and hazard awareness.
• Strong messaging on nature as a shared responsibility.

Phuentsholing leverages limited resources strategically to sustain NbS at scale:

• Central government block grants supporting structural and green-space investments.
• External financing (ADB, GCF) underwriting hazard studies, riverbank protections, geotechnical work and integrated green-grey designs.
• Payment for Environmental Services (PES): 5% of water tariff revenues paid by urban users into a community-managed fund for watershed protection.
• Estimated investment: USD 15–25 million 

Although ongoing, the city already demonstrates measurable and systemic shifts toward resilience:

Environmental and spatial outcomes

• Protection of unsuitable/hazardous lands preserving natural slopes and drainage.
• More than one-third of land directed to E4 or low-impact development categories.
• Improved riverbank stability and erosion control through green-grey systems.

Governance and planning improvements

• LAPs with scientific basis now guide all development decisions.
• Enforcement of DCRs safeguards long-term ecological integrity.

Social outcomes

• Upstream communities gain sustainable income through PES.
• Stronger stewardship culture through community forests and local engagement.

Progress has been steady despite structural and resource constraints.

• Limited technical staff leads to reliance on external consultants.
• Difficult terrain and high hazard exposure complicate infrastructure planning.
• Financial constraints slow the pace of LAP implementation.
• Enforcement requires continuous monitoring and political will.
• Rapid urbanisation pressure challenges long-term ecological buffers.

Phuentsholing’s experience offers a practical, transferable model for cities facing land scarcity, hazard exposure, and resource constraints:

• Topography-first planning can be adapted to any city grappling with slopes, erosion or informal expansion in high-risk zones.
• Land pooling demonstrates how to secure green areas and hydrological buffers without requiring large public budgets or forced land acquisition.
• Strict DCR enforcement shows that regulatory discipline is essential for long-term resilience, especially in contexts of rapid growth.
• Payment for Environmental Services (PES) provides a low-cost mechanism to support upstream communities while stabilising downstream water security.
• Green–grey integration is replicable in small and medium cities unable to finance heavy engineering solutions.
• Community-driven planning cycles (four consultations per LAP) illustrate how procedural participation can reduce conflict, increase compliance and strengthen conservation culture.

Phuentsholing demonstrates that climate resilience is built not by concrete alone, but through governance, ecological wisdom and community stewardship. By aligning planning with nature, empowering local people, and integrating scientific assessments into city development, it sets a powerful example for small and medium-sized cities facing increasing climate risks.

• Phuentsholing Thromde – Urban Planning website
• ADB Bhutan urban resilience portfolio
• GCF Bhutan adaptation programmes

Honorable Mayor Uttar Kumar Rai
Phuentsholing Thromde
ukrai@phuenthrom.bt