Offsite biodiversity gains and climate contributions

Formal offsite biodiversity units This part of the QUDM covers both large-scale and small-scale biodiversity units, calculated via the Defra Statutory Biodiversity Metric (or subsequent updates) in England, for developments requiring formal planning permissions and consenting. This would include supporting the delivery of Nationally Significant Infrastructure Projects (NSIP) requiring Development Consent Orders (DCO) and delivery of developments requiring planning permission under the Town and County Planning Act 1990 (as amended). The delivery of biodiversity gains on our projects presents a significant opportunity to invest in nature restoration. National Grid will seek to deliver high quality outcomes for the landscapes, habitats and communities that we work in by funding schemes that seek to deliver nature recovery and deliver the best outcomes for nature from consumer-funds in a way that provides wider environmental and societal benefits, including environmental education, learning and skills (EELS). Nature-based solutions This part of the QUDM will also cover fundable projects, outside of the formal BNG market, that can deliver positive measurable outcomes for biodiversity alongside wider environmental and societal benefits. These projects would include delivery of biodiversity interventions to support mitigation, compensation and enhancement activities for infrastructure projects, where onsite mitigation and compensation cannot be fully met on-site. This may include funding for local biodiversity initiatives, research and development of innovative solutions, and investments aimed at enhancing climate adaptation and long-term ecological benefits in the wider community. National Grid Ventures (NGV) and some of NGET's Joint Venture projects operate in Scotland, and there may be a future requirement for biodiversity gains in Scotland, although we anticipate most of this service being supplied in England and Wales. In Wales, projects are currently subject to National Planning Policy Wales requirements to deliver Net Benefit for Biodiversity (NBB) which does not specify a percentage net gain uplift.  As part of NGET's T3 commitments agreed by OFGEM, National Grid will invest in projects in Wales requiring formal planning consent and net benefit for biodiversity, and facilitate complimentary actions to meet an equivalent of 10% BNG with wider environmental and societal benefits, so that there is a consistent approach and equal investment outcomes for biodiversity across England and Wales.

This part of the QUDM will largely be for major infrastructure projects in NGET which have an offshore element (see further information below under The Great Grid Upgrade). NGET is exploring potential opportunities to deliver marine restoration away from the cable corridor, and for enhancement opportunities along the cable route, should funding be made available. This may include intertidal (outside of formal BNG requirements1) or subtidal restoration projects, such as seagrass, native oyster, mussel and kelp restoration activities and enhancement of artificial substrates/structures (including for coastal and sea birds) to deliver marine restoration for internal commitments, habitat compensation requirements or other future obligations (i.e. Marine Net Gain in England or equivalent) in waters off England, Wales or Scotland (in collaboration with NGET's Joint Venture partners), and potentially off Northern Ireland and the Isle of Man. The driver for marine restoration will be specified for each tender. National Grid's approach is to deliver marine restoration projects that also provide wider environmental (including carbon) and social benefits.

National Grid intends to make voluntary climate contributions to support climate mitigation, beyond its value chain. These contributions are undertaken in addition to, and not as a substitute for, ambitious emissions reductions within National Grid's own operations and value chain. National Grid will seek to invest in voluntary, high integrity, UK-based, carbon credits and pending issuance units that deliver demonstrable environmental and/or social co‑benefits. National Grid intends to purchase externally verified/validated carbon credits and pending issuance units, issued under recognised schemes.