The biodiversity net gain (BNG) register in England will list another 16 sites from project developer Environment Bank on its website over the next month, following a partnership tipped to shift the dial on market supply, Carbon Pulse has learned.
The register will “shortly” add eight sites with more than 800 units generated from almost 200 hectares of land, Environment Bank said in a press release.
Next month, another eight sites will follow with approximately the same number of units, said Alexa Culver, general counsel at the company.
“It’s a crucial step on the supply side, giving confidence to developers that there are solutions they can rely on,” she said.
Developers have had to plan to improve nature by 10% under the BNG legislation since February, in schemes that can entail purchasing off-site biodiversity units to offset impacts on nature. Demand has been slow to take off, with 40 key challenges raised this month.
One unit represents the biodiversity value of habitat in an area dependent on its size, quality, location, and habitat type, according to the government’s BNG metric.
CONSERVATION AGREMEENT
Environment Bank’s listing of eight sites on the register follows moves from the company to secure conservation agreements with consultancy RSK Biocensus.
These contracts enable sites to list on the BNG register, which has only published details of 11 initiatives since the scheme went live. Some developers have struggled to find units to buy from nearby conservation schemes nearby as a result.
RSK was one of the the first private organisations to receive ‘responsible body’ designation, able to draw up the contracts alongside overstretched local planning authorities.
The introduction of responsible bodies is loosening the bottleneck of BNG supply by helping more sites to list on the register, Culver said.
“It’s a difficult process to become a responsible body. They’ve got to demonstrate they’ve got all the in-house ecological and legal resources to manage disputes successfully,” said Culver.
“THE FINAL STEP”
Environment Bank has 25 habitat banks generating over 4,000 off-site BNG units.
“Securing legal agreements for these sites is the final step in unlocking the supply of BNG units … this marks a significant milestone in the implementation phase,” said Catherine Spitzer, CEO of Environment Bank.
“Now with supply unlocked, we can meet growing demand,” said Spitzer. The company has sold units to over 50 customers following over £160 million worth of enquiries, she claimed.
Some market actors have voiced concerns about the long-term prospects for demand of BNG units.
“These market dynamics haven’t been given a chance to breathe. We’re confident that once there’s that chance to breathe, the sentiment will improve,” Culver said.
The eight BNG sites to shortly list on the register are:
- Minting Habitat Bank, Lincolnshire
- Heacham Habitat Bank, West Norfolk
- Martley Habitat Bank, Worcestershire
- Emberton Habitat Bank, Buckinghamshire
- Bolsterstone Habitat Bank, South Yorkshire
- Cornwell Habitat Bank, Oxfordshire
- Horwich Habitat Bank, Greater Manchester – site 1
- Horwich Habitat Bank, Greater Manchester – site 2
Last week, Culver said questionable exemptions were throttling demand for the BNG market.
Environment Bank has £240 mln in backing from asset manager Gresham House.
By Thomas Cox – t.cox@carbon-pulse.com
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