The Department for Environment, Food and Rural Affairs (Defra), together with the Environment Agency, has launched a £10 million grant scheme for nature projects to accelerate green investment.
Businesses and organisations can apply for up £100,000 towards schemes that benefit the natural world and to develop projects to a point that they could attract private sector investment.
To apply for the natural environment investment readiness fund (NIERF) projects must help achieve one or more natural environmental outcomes from the 25 year environment plan, have the ability to produce revenue from ecosystem services to attract and repay investment and produce an investment model that can be scaled up and reproduced.
Eligible projects could include the restoration of river catchments to improve water quality and reduce flooding, which Defra said would encourage water companies to invest further in projects because they reduce water treatment costs.
Defra specified projects should be replicable and scalable with applicants urged to share learnings with other organisations wanting to secure investment for similar schemes.
Other projects could involve creation of woodlands and restoring peatland that provide carbon sequestration and habitats for wildlife, or creation of coastal wetlands to benefit wildlife and reduce tidal flooding – which could offer revenue through ecotourism.
Rebecca Pow, environment minister, said: “Investors are rightly recognising environmental factors as key drivers of value. As we look to build back greener from the pandemic, I would encourage any interested businesses, local authorities, eNGOs or other organisations to bid for a portion of this fund.”
The EA will deliver the fund and help applicants access specialist advice, engage with investors and work towards delivering the projects.
Emma Howard Boyd, chair of the EA added: “The global economy needs more evidence if it is going to reach a tipping point that mobilises trillions of dollars towards nature.
“This fund will help, demonstrating funding models that can be replicated, providing long term benefits for the economy and the environment.”