EU launches nature credits roadmap
The European Commission has unveiled a new 'Roadmap towards Nature Credits', which aims to unlock private investment for biodiversity restoration and reward stakeholders for nature-positive actions. Under this voluntary scheme, participants such as companies, investors, public bodies and individuals can fund ecological projects and receive certified 'nature credits' in return.
Nature credits are intended to reflect the environmental, reputational and financial benefits of investing in nature-positive actions. As three-quarters of businesses in the euro area depend on nature, the European Commission considers them to be a vital tool for improving ecological and economic resilience.
Combining public and private funding
The EU aims to allocate 10% of its budget to biodiversity by 2026–2027 and double external spending to €7 billion. With €65 billion needed annually, combining public and private finance is crucial. Nature credits are seen as a tool to help close this gap while generating income for those restoring ecosystems. President von der Leyen highlighted their potential to "put nature on the balance sheet" by embedding environmental value into financial decisions.
Supporters of the model argue that it provides a flexible, market-driven incentive for climate adaptation and biodiversity restoration, complementing existing EU instruments such as the Competitiveness Compass and the Clean Industrial Deal.
Pilot projects
The EU is currently testing nature credit initiatives through pilot projects in France, Estonia, and Peru, while collaborating with international partners including the Biodiversity Credit Alliance, the World Economic Forum, and the International Advisory Panel on Biodiversity Credits. These credits are also intended to help EU member states meet their national targets under the Nature Restoration Law and to contribute to the global biodiversity goals set out in the Kunming-Montreal Framework.
Environmental organisation WWF has raised concerns over the roadmap. Although she welcomes the idea of channelling private finance into conservation, Sabien Leemans, WWF's Senior Biodiversity policy officer, stresses that nature credits must not replace public funding or justify the continued provision of harmful subsidies.
Greenwashing
Leemans warns that a voluntary-only model could lead to greenwashing and poor-quality projects, and maintains that a binding regulatory framework is required to ensure integrity and accountability. She insists that the credibility of the scheme depends on strict standards and transparency.
Nature has intrinsic value and deserves protection for its own sake
Most critically, WWF cautions against using nature credits to offset environmental harm. Leemans argues that offsets inherently imply destruction and rarely result in meaningful restoration. “Nature provides for us all,” she notes, “but it also has intrinsic value and deserves protection for its own sake”.
Without robust safeguards, WWF fears that nature credits could become a loophole rather than a means of achieving genuine ecological recovery.
© DPA
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