Conclusions and recommendations
Response to main themes in the White Paper
1. We
recognise that both economic and intrinsic values need to be taken
into account in valuing the full benefits that nature brings to
society. We welcome the White Paper's ambitious aim of reflecting
the value of natural capital in government policy-making and thus
providing a more comprehensive set of data on which to conduct
proper cost-benefit analyses. We further endorse attempts to apply
new tools such as ecosystems services valuations to policy evaluation.
We welcome in particular the White Paper's recognition that protection
and enhancement of the natural environment delivers economic as
well as environmental and social benefits. (Paragraph 13)
2. Defra should accept
the Independent Panel on Forestry's recommendation on valuing
services provided by woodlands such that forest management which
provides a range of ecosystem benefits is rewarded. (Paragraph
14)
Turning policy into practice
3. We
are concerned that Defra has not published an overarching action
plan for delivery of the White Paper's aims, nor has it produced
a timetable for delivering each of the White Paper's 92 commitments.
There is a danger that such a piecemeal approach to implementation
will lead to the White Paper failing to deliver its full benefits.
We therefore recommend that Defra publish a timetabled action
plan for delivering each of the White Paper's commitments, to
be reported on quarterly with an explanation for any slippage
in meeting deadlines. (Paragraph 18)
4. We recommend that
Defra identify a number (perhaps ten in total) of key input and
outcome measures for its main ambitions of valuing natural capital,
ensuring ecological resilience and engaging the public in the
natural environment. The department should report progress against
these in its Business Plan. Furthermore, Defra should explicitly
identify the outcomes it expects its arm's length bodies to contribute
to delivery of the White Paper's aims. (Paragraph 20)
5. We are disappointed
that the Government has failed to integrate the approaches in
the White Paper into key policy areas such as planning and transport
and that this has limited the actions undertaken so far by departments
other than Defra. We look to the Government to remedy this at
the earliest opportunity. (Paragraph 26)
6. We recommend that
HM Treasury require each government department to undertake an
inventory of the natural capital assets it controls, or that its
policies have an impact on, so as to provide an evidence base
for their decision-making. (Paragraph 28)
7. We further recommend
that Defra, with HM Treasury and the Cabinet Office, lead an inter-departmental
programme of training on the use of ecosystems services approaches
in Impact Assessments. (Paragraph 29)
8. We further recommend
that HM Treasury undertakes and publishes an assessment of the
use of the supplementary guidance to the Green Book by all government
departments within 12 months. (Paragraph 30)
9. HM Treasury should
provide this Committee with an update on all of these issues in
12 months' time. (Paragraph 31)
10. We were heartened
to hear from Ministers at the Cabinet Office that recent reviews
of environmental regulation have found that the regulatory regime
is largely fit for purpose. We regret that certain Ministers have
given a false impression about the impact of environmental regulation
on the economy. A robust evidence base is needed to enable government
departments take account of both positive and negative impacts
of regulations. We recommend that reviews of regulation take an
even-handed approach and that departments communicate both the
economic benefits and costs of specific regulations. (Paragraph
37)
Growing a green economy
11. It
is too early to judge the impact of working groups such as the
Natural Capital Committee and the Ecosystem Markets Task Force
as they have only recently been established and are still setting
out their work plans. Nevertheless, we recommend that Defra sets
out with greater clarity the role of these groups, their methods
of working and the protocol for publication of their advice, and
most importantly, how government will respond to this advice.
(Paragraph 40)
12. We recommend that
Ministers publish a response to any advice from the Natural Capital
Committee within three months of its provision, setting out the
full reasons where the Government decides not to implement the
NCC's recommendations. We further recommend that the NCC makes
an annual report to Parliament on its work and the implementation
of its advice by the Government. (Paragraph 41)
13. We welcome the
White Paper's bold vision for linking the provision of natural
services to beneficiaries through the use of mechanisms such as
payments for ecosystems services. We accept that it will be difficult
to gain widespread agreement on values and to create funding streams
from beneficiaries to service providers, including farmers. However,
this does not mean that it should not be attempted. The Government
should establish staging posts towards a widespread adoption of
payment for ecosystems services approaches. (Paragraph 50)
14. We are concerned
that there is no clear road map to integrate the evidence base
of ecosystems services valuations (such as that as developed by
the UK National Ecosystems Assessment) with the development of
markets for such services. We recommend that the outputs from
the next phase of the NEA be used to develop as a priority an
action plan for the roll out of payment for ecosystems services
approaches more widely in the UK. Defra should work with HM Treasury
to encourage the private sector to engage in payments for ecosystems
services schemes. (Paragraph 51)
15. Given the potential
benefits to the environment and to customers, Defra must give
Ofwat clear guidance on how it can encourage water supply companies
to adopt an ecosystems management approach, including the use
of payments to land managers for implementing schemes that improve
and protect water quality. We recommend that Defra and Ofwat ensure
that within ten years the default approach to water quality improvement
is the use of catchment improvements wherever practicable rather
than 'end of pipe' solutions. (Paragraph 55)
Water Sector
16. We
recommend that Defra commissions, and publishes within 12 months,
an assessment of the possibility of requiring licensed water supply
companies to deliver specific benefits to the natural environment.
These should include commitments to water quality standards in
river catchments, biodiversity improvements, carbon emissions
reductions and improved water flow management. (Paragraph 56)
17. We recommend that,
in the lead up to the 2027 deadline for meeting Water Framework
Directive targets, Defra establishes a robust dialogue to ensure
that the European Commission recognises UK progress on improving
water quality. In particular, agreement on what constitutes disproportionate
cost must be reached as early as possible since, without this,
scarce funds could be directed to achieving technical compliance
which have only marginal impacts on water quality. (Paragraph
58)
Flood Control
18. We
recommend that Defra commissions further research on the development
of schemes where the flow of water can be regulated more effectively
by the use of ecosystems management. Defra should establish a
series of pilot schemes across England and Wales before the end
of this Parliament. These should include a focus on the potential
for payments for ecosystems services to encourage landowners and
farmers to adopt management practices which reduce the impacts
of flooding on local communities. (Paragraph 60)
Coherence with agri-environment schemes
19. The
Government must build a consensus with like-minded Member States
to move towards a payments for ecosystems services approach. Alongside
this, Defra should negotiate with the European institutions for
sufficient flexibility to allow proposals for Ecological Focus
Areas to be implemented at a national level in the most beneficial
manner for both the environment and food security. We recommend
that Defra provide the Committee with an update in six months
on the steps it has taken. (Paragraph 65)
Peat
20. Given
that peat extraction destroys irreplaceable habitats and causes
greenhouse gas emissions, there is a lamentable lack of ambition
in the White Paper's proposals to phase out peat use. We recommend
that the Peat Task Force finalise an approach that ends the use
of peat as soon as practicable and that a review of progress is
brought forward to 2014. (Paragraph 70)
21. We recognise that
it is important to enable those growers still dependent on peat
to minimise the economic impact of the phase-out on their businesses.
Defra should undertake an awareness campaign that promotes those
alternatives to the use of peat that are already available and
to encourage the public to grow plants which do not require the
use of peat. (Paragraph 71)
Protecting and improving the natural environment:
local delivery
22. We
recommend that Defra uses the pilot stage to clarify specific
objectives for Nature Improvement Areas and Local Nature Partnerships
and to set out how performance will be assessed. These should
link to the approaches set out in Professor Lawton's Making Space
for Nature report—including the reduction in the number
of threatened species, the improvement in the condition of degraded
areas, and the extent of the joining-up of protected areas. (Paragraph
77)
23. We accept that
the Government is unlikely to commit significant additional sums
of public money to such schemes as Nature Improvement Areas and
Local Nature Partnerships. We recommend that Defra set out how
the various approaches in the White Paper, including payments
for ecosystems services, can be expected to contribute towards
the up to £1 billion needed each year to ensure ecological
resilience. We recommend that, having assessed the lessons from
the NIA and LNP pilots, Defra publish an action plan by the end
of 2014 with identified funding streams to be spent on expanding
programmes nationally. (Paragraph 80)
24. It is disappointing
that the opportunity was not taken to integrate the principles
and policies in the Natural Environment White Paper within the
National Planning Policy Framework. We recommend that the Department
for Communities and Local Government publish guidance as to how
planning bodies should take into account the benefits of the natural
environment when determining planning applications. In particular
this guidance should set out how planners and developers can protect
the environment in areas designated as Nature Improvement Areas.
(Paragraph 84)
25. The Government
must ensure that local planning bodies finalise their local plans
which should demonstrate a link between the principle of protecting
and enhancing nature and planning decisions. (Paragraph 85)
Biodiversity offsetting
26. The
biodiversity offsetting approaches set out in the White Paper
have the potential to deliver a considerable positive impact on
the natural environment providing that the first priority is that
biodiversity is enhanced. However, it is essential that Defra
designs an approach that secures long-term benefits from individual
offset schemes so that habitats are maintained for the future.
We recommend that Defra instigates regular monitoring to ensure
that biodiversity benefits are being delivered and that a sufficient
geographical spread of offset locations is maintained to minimise
the impact of threats to species and habitats. (Paragraph 89)
Reconnecting people and nature
27. There
is evidence that an increased focus in recent years on involving
people with the natural environment is paying dividends but this
work needs to be accelerated. We welcome the White Paper's focus
on local initiatives but many bodies, including NGOs, charities
and local authorities, are facing budget constraints and need
to be able to demonstrate measurable outcomes if they are to secure
funding. We therefore recommend that Defra set a firm target for
increasing public engagement with nature, such as the percentage
of children of primary school age regularly engaging in nature
activities. (Paragraph 96)
28. We further recommend
that the Department for Health and the Department for Education
set out in their Business Plans appropriate outcome measures for
health and education improvements through increased public engagement
with the natural environment. The departments should jointly publish
progress against these measures after 12 months. (Paragraph 97)
29. The lack of progress
in designating the coastal path around England is disappointing.
We recommend that Defra review, together with Natural England
and local authorities, the timetable for designation and reschedule
efforts so that the coastal path around England is fully complete
within ten years. Defra should also provide us with an update
on progress in one year's time. (Paragraph 102)
Conclusion
30. We
recommend that successful delivery of the Natural Environment
White Paper be promoted across government, with leadership from
the Prime Minister and Deputy Prime Minister, as central to the
Coalition Government fulfilling its commitment to be the "greenest
government ever." (Paragraph 105)
31. We further recommend
that the Cabinet Office Minister responsible for government policy
advice, working closely with HM Treasury, oversee a cross-government
campaign to raise the awareness of all who work within and with
government of the value to the economy and society of the services
delivered by the natural environment. This needs to go beyond
the issuing of guidance and to extend its reach beyond central
government department officials to business, local authorities
and the third sector. The Cabinet Office must ensure that all
government policy and legislation is proofed for consistency with
the Government's aspirations that natural capital values are fully
reflected in decision-making. (Paragraph 106)
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