Source · Select Committees · Environmental Audit Committee
Recommendation 69
69
Paragraph: 348
The value of biodiversity in rivers in England does not appear to have been priced...
Recommendation
The value of biodiversity in rivers in England does not appear to have been priced adequately into the economic decisions made by companies and by regulatory agencies. If it is to meet the Environment Act’s legally binding target to halt the decline in the abundance of species in England by 2030, the Government must make it clear, in strategic guidance to Ofwat and to National Highways, that from now on natural capital needs to be taken into account in all economic decision making, and priced at a level that preserves and enhances it.
Paragraph Reference:
348
Government Response
Not Addressed
HM Government
Not Addressed
Government supports the use of natural capital in decision making, as set out in the 25 Year Environment Plan. We accept that Ofwat should take natural capital into account in economic decision making. Natural capital was included in the 2017 Strategic Policy Statement and Ofwat continues to incorporate natural capital into their regulatory framework. A natural capital approach to decision making is already a part of water company planning processes, for example through the national framework for water resources and Water Industry National Environment Programme. Defra along with Ofwat, the Environment Agency and Natural England will continue to work towards this approach.