ImpactAlpha, September 26 — Global conservationists and policymakers are working to develop an economically-viable market for biodiversity credits, also known as biocredits, to attract private-sector capital to finance the preservation or restoration of Planet Earth’s ecosystems.
Environment Bank in the UK unveiled a new set of biodiversity credits to entice corporations to invest in high-impact nature restoration projects that generate biodiversity credits and offset their impact on the environment. Environment Bank has committed $300 million to fully finance the projects and lower risks for investors.
Nearly $1 trillion is needed each year by 2030 to manage biodiversity and maintain the integrity of ecosystems, according to BloombergNEF.
“Scalable and impactful delivery of nature restoration projects will be key to tackling climate change, and the private sector has a huge role to play,” said Environment Bank’s James Cross. “We do not get to net zero without nature, and it’s time to put repairing the planet first on the agenda.”
Environment Bank says it is on track to deliver 6,000 acres of habitat creation in the UK this year, with hundreds of additional projects in its pipeline. The projects, co-designed with local partners, aim to rebuild ecosystems, including grasslands, woodlands, wetlands and wood meadows.
By 2025, Environment Bank is seeking to restore an area equivalent to the size of Manhattan.