Source · Select Committees · Public Accounts Committee
Recommendation 22
22
Deferred
Ensure environmental legislation requirements do not disproportionately increase major public infrastructure project costs.
Recommendation
We challenged the Department on the balance in legislation that needs to be taken between meeting environmental obligations and costs, raising the example of the £100 million cost of a protective ‘bat tunnel’.36 In order to mitigate HS2’s impact on nearby bat habitats, the Sheephouse Wood Bat Protection Structure is being constructed near Calvert in Buckinghamshire. The structure will be a combination of concrete arches and mesh inserts and around 1km in length and up to 10m high.37 The Department explained that under the Wildlife and Countryside Act 1981, the Habitats and Species Regulations 2017 and the International Convention on the Conservation of European Wildlife and Natural Habitats, HS2 Ltd was legally required to mitigate the damage or harm to protected species, such as the bats that lived in the area of that section of railway. Both the Department and HS2 Ltd told us that they understood the public concern over the cost of the 32 Q 30 33 Qq 40–41 34 Qq 40–41 35 Q 43 36 Qq 15–16, 18 37 HS2 Ltd, Sheephouse Wood Bat Protection Structure Information Boards, October 2022 15 structure but emphasised that it was a considerable engineering structure, built to last 120 years.38 We note that the enabling legislation for both Phase 1 and 2a passed ahead of the Environment Act 2021 which required developers to achieve a 10% biodiversity net gain. Government will need to ensure that these legislative requirements do not lead to decisions which disproportionately add to the cost of major public infrastructure projects resulting in poor value for money.
Government Response Summary
The government agrees with the recommendation and intends to provide a preliminary response by Summer 2025. A final response is deferred until early 2026, pending the finalisation and Royal Assent of proposed measures in the Planning and Infrastructure Bill.
Government Response
Deferred
HM Government
Deferred
4.1 The government agrees with the Committee’s recommendation. Target implementation date: Summer 2025 4.2 The department intends to provide the Committee with a preliminary response in its letter to the Committee before the Summer recess begins in July 2025. 4.3 The proposed measures in the Planning and Infrastructure Bill which would inform a re-assessment of this issue, including the Nature Restoration Fund and Environmental Delivery Plans, are not anticipated to be finalised, nor receive Royal Assent, until later in the year. 4.4 Once the measures are confirmed, and it is understood how they are intended to work in practice, the department will provide a final response to the Committee. This should be possible by early 2026. 4.5 The department is already working with the Department for Environment, Food and Rural Affairs to inform operation of the measures in response to the issues raised by the legal requirements for the HS2 bat mitigation structure.