environmental-markets-board

Third meeting of the Environmental Markets Board Limited (1 September 2026)

Tue, 27 Oct 2026 12:00:13 GMT

Meeting outcomes

The third meeting of the Environmental Markets Board Limited was held on 1 September 2026.

EnTrade Transition and Market Monitoring

The Board received an update on the EnTrade transition, including arrangements for managing the Somerset and Bristol Avon Catchment Markets, and noted that the Transition Plan and programme of activity to 2029 were in place.

The Board considered the Somerset Catchment Market monitoring plan and advice from its Scientific Advisory Group on sediment and hydrological monitoring. It agreed that outstanding issues should be resolved promptly to enable the monitoring plan to be finalised and monitoring to commence.

The Board noted the importance of ensuring efficient and cost-effective independent scientific review within the proposed UK Environmental Markets Governance Scheme.

Development of Environmental Markets

The Board discussed emerging opportunities for environmental markets, including flood resilience, sustainable drainage, water efficiency and Biodiversity Net Gain.

It considered the challenge of securing a market premium for higher-integrity environmental credits and the growing importance of regional and catchment-based approaches. The Board noted that these issues, including contributing to the commercial viability of high-integrity markets, will be a key objective for the UK Environmental Markets Governance Scheme.

UK Environmental Markets Governance Scheme

The Board considered plans for the UK Environmental Markets Governance Scheme, including the delivery programme, resources, budget, participant selection and independent scientific review.

The Board welcomed the significant progress towards establishing the Scheme and its proposed role as the independent oversight body for the Scheme and contributor to its development. It noted the proposed Phase A programme and the plan for establishing the Scheme’s long-term commercial viability and future funding arrangements.

An Operational Subcommittee was established to oversee delivery between Board meetings.

Collaboration with Broadway

The Board agreed that its collaboration with Broadway should be governed by a formal agreement setting out the respective responsibilities, funding arrangements and other key protections. The final agreement would be subject to legal review and approval by the full Board.

Next Meeting

The next meeting will be held on 30 November 2026.

Jill May, Chair.

Second meeting of the Environmental Markets Board Limited (23 June 2026)

Tue, 23 Jun 2026 11:58:00 GMT

Meeting outcomes

The second meeting of the Environmental Markets Board Limited was held on 23 June 2026.

Board Funding

The Board welcomed and approved the proposed Letter of Grant from Wessex Water Ltd, providing the initial capitalisation of the newly incorporated entity.

EnTrade Transition

The Board reviewed progress with EnTrade’s legacy activities, including the delay in completing the revised monitoring plan for the Somerset Catchment Market. It agreed to seek assurances over completion and submission of the plan and invited a fuller update at its next meeting.

The Board also noted the completion of Arup’s acquisition of EnTrade and discussed its emerging plans for the business.

UK Environmental Markets Governance Scheme

The Board considered further progress in developing the proposed UK Environmental Markets Governance Scheme.

The Board welcomed its identification as the preferred independent oversight body for the Scheme, recognising this as an important step in the development of the Environmental Markets Board's future role. It discussed the responsibilities, resources and working arrangements that this would entail, its relationship with Broadway as the convenor of the Nature Markets Dialogue and its support in the development of proposals for funding the EMGS.

Future Role of the Board

The Board considered the merits of commissioning a feasibility study into a potential commercial offering. It concluded that several of the elements would be addressed through the proposed UK Environmental Markets Governance Scheme and that a separate proposition should therefore not be pursued at this stage.

The Board agreed to reconsider the position if funding for the proposed Scheme was not secured.

Next Meeting

The next meeting will be held on 1 September 2026.

Jill May, Chair.

First meeting of the Environmental Markets Board Limited (21 April 2026)

Tue, 21 Apr 2026 11:50:58 GMT

Meeting outcomes

The first meeting of the newly incorporated Environmental Markets Board Limited was held on 21 April 2026.

Environmental Markets Board Limited

The Board welcomed the successful incorporation of the Environmental Markets Board Limited, noting that it marked a significant milestone in its development as an independent body providing oversight of environmental markets.

The Board considered practical arrangements following incorporation, including banking, insurance and funding. It approved the establishment of a bank account and the procurement of Directors’ and Officers’ insurance.

EnTrade Transition

The Board received an update on the transition of EnTrade, including its transfer to Arup and arrangements for managing the legacy Catchment Markets, including the establishment of conservation covenants to secure ongoing land use and management.

The Board discussed the redesign of the monitoring plan for the Somerset Catchment Market in response to feedback from the Scientific Advisory Group. It also noted opportunities to share EnTrade’s experience to support the wider development of environmental markets.

UK Environmental Markets Governance Scheme

The Board received an update on the Nature Markets Dialogue’s development of a UK Environmental Markets Governance Scheme and discussions between Broadway and Defra on the support for such a Scheme.

The Board noted the strong stakeholder support for the proposed Scheme and Defra’s interest in coordinating its development with BSI's Nature Investment Standards Programme. It also considered the UK Market Integrity Roadmap prepared through the Nature Markets Dialogue and its progression through voluntary standards, assurance and compliance to ultimately mandatory compliance.

The Board considered the workstreams and proposed phases of development for the Scheme, with a view to its commencement in 2027. It strongly supported its continued development and confirmed the Board’s willingness, in principle, to take on the role of establishment and administration of the EMGS as part of its overall remit.

Next Meeting

The next meeting will be held on 23 June 2026.

Jill May, Chair.

Seventeenth meeting of the Environmental Markets Board (9 February 2026)

Thu, 12 Feb 2026 21:39:11 GMT

Meeting outcomes

The seventeenth meeting of the Environmental Markets Board (‘Board’) was held on 9th February 2026.

Incorporation of the Environmental Markets Board

The Board formally authorised the incorporation of the Environmental Markets Board as a not-for-profit company limited by guarantee, and the associated administrative actions.

The Board adopted the following objects: to provide and promote independent governance and oversight of high integrity environmental markets for nature-based solutions that deliver real and additional environmental improvements and aim to result in nature’s recovery.

EnTrade Transition Plan

The Board reviewed progress on the EnTrade Transition Plan, including monitoring arrangements, audit scope and resource constraints, and agreed actions to ensure obligations are fully discharged.

UK Environmental Markets Governance Scheme

The Board discussed its role in developing and piloting a UK Environmental Markets Governance Scheme and agreed to play an active leadership role, including organising a stakeholder workshop on 23 March and leading the development of a set of Draft Market Rules based on market functions for consultation with market participants and stakeholders.

Next Meeting

The next mee ting of the Environmental Markets Board Limited will be held on 21st April 2026.

Jill May, Chair.

Sixteenth meeting of the Environmental Markets Board (18 November 2025)

Thu, 20 Nov 2025 21:35:10 GMT

Meeting outcomes

The sixteenth meeting of the Environmental Markets Board (‘Board’) was held on 18th November 2025.

Market Operator update and transition

The Board discussed EnTrade’s position, including potential acquisition by Arup and the need for a detailed transition plan covering obligations, intellectual property and oversight.

Market Operator audit

The Board received findings from Soil Association Certification, who were impressed by EnTrade’s implementation of the recommendations from the previous audit. The Board discussed findings relating to the credit reserve, and improvements to operating procedures.

Scientific Advisory Group

The Board considered revisions to the Somerset wetland monitoring programme. Many fewer nutrient mitigation projects had proceeded that had been anticipated when the original monitoring programme was conceived. The monitoring methodology originally proposed would therefore result in high levels of uncertainty about whether the expected phosphorus mitigation has been delivered by the wetlands. A revised proposal based on sediment monitoring would be more viable and EnTrade would submit a new monitoring programme on this basis.

Incorporation

The Board agreed to continue progressing incorporation, subject to understanding legacy liabilities and resource requirements.

Advocacy and engagement

The Board noted the on-going discussions with the Broadway Initiative regarding the next stage of the UK Nature Markets Dialogue involving the development and implementation of a UK Environmental Markets Governance Scheme. The Board agreed to engage with government and stakeholders on the development of such a scheme.

Next Meeting

The next meeting will be held on 9th February 2026.

Jill May, Chair.

Fifteenth meeting of the Environmental Markets Board (23 September 2025)

Tue, 07 Oct 2025 21:24:29 GMT

Meeting outcomes

The fifteenth meeting of the Environmental Markets Board (‘Board’) was held on 23rd September 2025.

Market Operator developments

The Board discussed developments relating to EnTrade’s winding down of market activities and agreed its role was to oversee the process to ensure market integrity and protect stakeholders’ interests in accordance with the Market Rules.

Market Operator update

The Board received an update on the status of existing markets, transition arrangements and the need to convene the Nutrient Agile Group to review standards and monitoring.

The Board noted that the Market Operator Agreement had been executed.

Future direction

The Board agreed to progress incorporation as a company limited by guarantee to enhance credibility and independence.

The Board discussed opportunities to influence government thinking on nature market governance. The Board agreed to engage in an active dialogue with government and stakeholders regarding the future direction of environmental market governance in the UK over the next twelve months, including mobilising Board Members in individual discussions with Government officials and other key stakeholders, and developing an advocacy and engagement plan.

Audit

The Board was briefed on the scope and timetable for the Market Operator Audit, and agreed to enter a tripartite audit deed to enable this audit.

Next Meeting

The next meeting will be held on 18th November 2025.

Jill May, Chair.

Fourteenth meeting of the Environmental Markets Board (1 July 2025)

Thu, 10 Jul 2025 21:22:00 GMT

Meeting outcomes

The fourteenth meeting of the Environmental Markets Board (‘Board’) was held on 1st July 2025.

Draft Market Operator Agreement

The Board reviewed the draft Market Operator Agreement, discussing integrity principles, governance fees, audit arrangements and proportionality. It agreed that a revised draft should be issued to EnTrade for comment.

Cornwall Nature Market – Market Level Deed

The Board considered the proposed Market Level Deed with Cornwall Council and approved it in principle, subject to clarification of the Board’s role and consistency with the Market Rules.

Market Operator audit

The Board agreed the scope and timing of a targeted audit, following the baseline audit undertaken in the previous year.

Voluntary Carbon and Nature Markets consultation

The Board reviewed its draft submission and agreed next steps for finalisation. The Board provides a practical solution to many of the issues raised in the consultation, including the limitations of the BSI standards process, and the Board’s experience provides a strong opportunity to inform the scope of the market governance aspects of the proposed Nature Market Accelerator.

Market Operator update

The Board received an update from EnTrade on audit matters, monitoring programmes and market development.

Next Meeting

The next meeting will be held on 23rd September 2025.

Jill May, Chair.

Thirteenth meeting of the Environmental Markets Board (1 April 2025)

Fri, 04 Apr 2025 21:05:52 GMT

Meeting outcomes

The thirteenth meeting of the Environmental Markets Board (‘Board’) was held on 1st April 2025.

Update to the Market Rules

The Board approved the publication of the revised Market Rules, subject to confirmation of whether formal consultation with Somerset Council was required.

Market Operator Agreement

The Board agreed the scope and process for developing Heads of Terms for a Market Operator Agreement and for translating these into a legally binding agreement.

Board Operating Procedure

The Board agreed the scope and timing for developing a Board Operating Procedure, including the need for this to include processes for: the review and approval of Market Opportunities Statements and Monitoring Plans; the periodic review and update of the Market Rules; authorising a Market Operator; and managing the orderly exit of a Market Operator.

Nature Markets Dialogue

The Board discussed the UK Nature Markets Governance proposal and the plans for a roundtable with Mary Creagh the Parliamentary Under-Secretary of State for Nature. The Board agreed to engage actively, including making its own submission to the Voluntary Carbon and Nature Markets consultation, and jointly chairing the Roundtable with the Minister.

Market Operator update

The Board received an update from EnTrade on market development, delivery plans and participation in the BSI Flex 701 standard pilot.

Next Meeting

The next meeting will be held on 1st July 2025.

Jill May, Chair.

Twelfth meeting of the Environmental Markets Board (7 February 2025)

Mon, 17 Feb 2025 21:03:16 GMT

Meeting outcomes

The twelfth meeting of the Environmental Markets Board (‘Board’) was held on 7th February 2025.

Update to the Market Rules

The Board considered proposed updates to the Market Rules, including proportionality, monitoring arrangements, the role of investors and voluntary buyers, and the independence and transparency of the Scientific Advisory Group. The Board agreed to make further amendments and to provide the updated Rules to the Market Operator for comment.

Board priorities and work programme

The Board approved its priorities and work programme, emphasising the need to develop a legally binding agreement with the Market Operator before progressing the Board Operating Procedure.

The Board also discussed proposals for Board member indemnities, updates to the Board website, and arrangements for reporting on the Board’s activities.

Terms of Reference

The Board discussed further revisions to its Terms of Reference, including removing references to the Board as “Interim” and clarifying its authority in relation to the Scientific Advisory Group and future Market Operators.

Nature Markets Dialogue

The Board discussed emerging government policy and agreed to continue its advocacy for robust governance of nature markets and to set out a vision for the potential role that the Board could play.

Market Operator update

The Board received an update from EnTrade on market operations, improvement plans and the timetable for upcoming Market Rounds, and agreed to consider the Somerset Catchment Market Opportunities Statement out of session.

Next Meeting

The next meeting will be held on 1st April 2025.

Jill May, Chair.

Eleventh meeting of the Interim Environmental Markets Board (7 January 2025)

Mon, 13 Jan 2025 20:58:46 GMT

Meeting outcomes

The eleventh meeting of the Interim Environmental Markets Board (‘Board’) was held on 7th January 2025.

Bristol Avon Catchment Market Opportunities Statement

The Board reviewed the proposed Bristol Avon Catchment Market Opportunities Statement alongside the independent assurance audit undertaken by Soil Association Certification. Subject to minor amendments to improve clarity and provide additional detail on the geographical distribution of projects, the Board approved the Statement, having satisfied itself that it met the relevant requirements of the Market Rules. The Board noted that approval did not constitute a warranty of the information contained in the Statement.

Level of Credit Reserve

The Board considered the proposed level of Credit Reserve for the Bristol Avon Catchment Market. It approved the proposed level in principle, subject to receiving further written explanation from the Market Operator on how the reserve level had been derived from the underlying risk assessment.

Somerset Catchment Nutrient Reduction Standard

The Board reviewed proposed updates to the Nutrient Reduction Standard, including the use of updated rainfall datasets. The Board approved the amendments and agreed that the updated version should be reflected in the Market Rules.

Revised Terms of Reference

The Board noted revised Terms of Reference following legal advice and agreed that Board members’ comments would be fed back for further consideration.

The Board also agreed that, reflecting its continued development and established role, it would now be known as the Environmental Markets Board, with the 'Interim' designation no longer necessary.

Next Meeting

The next meeting will be held on 7th Febrary 2025.

Jill May, Chair.

Tenth meeting of the Interim Environmental Markets Board (19 November 2024)

Tue, 26 Nov 2024 20:54:42 GMT

Meeting outcomes

The tenth meeting of the Interim Environmental Markets Board (‘Board’) was held on 19th November 2024.

Board workshop reflections

The Board reflected on the outcomes of its November workshop, focusing on clarifying how it exercises its advisory role, the need for a Board Operating Procedure, the need for a clear statement of intent regarding the scientific underpinning of the Board’s activities, and how the Board defines and assesses market integrity in practice. The Board agreed a set of priorities for 2025, including documenting its role across the four dimensions of market integrity and developing operating procedures for overseeing Market Operators.

Legal advice

The Board discussed actions arising from recent legal advice, including revisions to the Board’s Terms of Reference, a review of the Market Rules, and ensuring the Board’s advisory status is clearly reflected across relevant websites. The Board agreed that, once EnTrade is operating as a separate legal entity, a contract will be required to make compliance with the Market Rules and the Board’s Operating Procedure legally enforceable.

Scientific Advisory Group

The Board received an update on progress in establishing the Nutrient Agile Group and agreed that formal minutes should be kept of its meetings. The Board agreed to finalise and publish the membership and role of the Nutrient Agile Group on the Board’s website.

Advocacy and policy engagement

The Board discussed a range of policy developments relevant to environmental markets, including government reviews and consultations. It agreed to seek opportunities to share its experience, including engagement with the Corry Review and the development of an advocacy piece reflecting on lessons learned from overseeing catchment markets.

Market Operator update

The Board received an update from EnTrade on audit follow‑up actions, upcoming Market Rounds and longer‑term plans. The Board agreed that a rule is required to govern the managed exit of a Market Operator.

Next Meeting

The next meeting will be held on 7th January 2025.

Jill May, Chair.

Ninth meeting of the Interim Environmental Markets Board (9 September 2024)

Tue, 17 Sep 2024 06:57:05 GMT

Meeting outcomes

The ninth meeting of the Interim Environmental Markets Board (‘Board’) was held on 9th September 2024.

Baseline audit of EnTrade

The Board considered the results of the baseline audit of EnTrade’s compliance with the Market Rules conducted by Soil Association Certification (‘SA Cert’) as the independent auditor.

The Board noted that the audit has not identified any material non-compliance, but there were some deviations from the Market Rules, in particular that EnTrade is yet to submit a Market Operating Procedure to the Board for approval to provide a quality management system for the Markets.

The audit also identified some areas where clarification of the Market Rules would be helpful and agreed that these would be considered in the forthcoming review of the Market Rules.

Response to the audit.

EnTrade advised the Board that it had accepted all the audit findings and agreed with the recommendations including the need to establish a quality management system. EnTrade presented a Market Improvement Plan for actioning the recommendations.

The Board determined that EnTrade must complete the key actions arising from the audit prior to the next Market Round. SA Cert were asked to verify when the actions are complete and advise the Board accordingly.

The Board also determined that EnTrade should provide a report to the Board on its progress with the delivery of the remainder of the Market Improvement Plan ahead of each Board meeting until all the actions are complete.

Scientific Advisory Group

The Board discussed the progress in establishing the Nutrient Mitigation Agile Group, including potential members, and the nomination by the Environment Agency of an observer for the Group.

Nature Market Dialogue

The Board noted the progress of the Dialogue, including the Market Governance workshop held in July and the subsequent survey of governance priorities.

Next Meeting

The next meeting will be held on 19th November 2024.

Jill May, Chair.

Eighth meeting of the Interim Environmental Markets Board (15 April 2024)

Mon, 19 Aug 2024 04:38:47 GMT

Meeting outcomes

The eighth meeting of the Interim Environmental Markets Board (‘Board’) was held on 10th June 2024.

Amendments to the Market Rules

The Board agreed to a series of amendments to the Market Rules to clarify several matters in relation to the approval of Market Operator Fees and Market Settlement.

Market Operator Fees

The Board confirmed that a key principle of a high integrity environmental market is that the fees received by a Market Operator should be for services provided and not depend on the price(s) paid by Buyers for Credits or the payment(s) made to Suppliers for the delivery of Nature-based Projects (‘Fee Principle’). The Fee Principle is critical to ensure that that the Market Operator has no financial incentive to benefit from market prices.

The Market Rules were also amended to make it clear that the Board is not a price regulator, and that approval of the Market Operator’s fees is on the basis that they comply with the Fee Principle. The fees set by a Market Operator are ultimately a matter for its own commercial judgement.

Market Settlement

The Board approved amendments to the Market Rules to distinguish more clearly between the process of matching supplier offers and buyer bids and the allocation of the market surplus (‘Matching and Allocation’), from the confirmation by the Market Operator of the successful Supplier Offers and Buyer Bids (‘Market Settlement’).

The Board reaffirmed the previous amendments made to the Market Rules made in October 2023, confirming that contracts between the Market Operator and Buyers and Suppliers are formed automatically at Market Settlement.

Market Operator Audit

The Board was briefed on the appointment of the Soil Association to carry out the audit of the Market Operator’s compliance with the Market Rules. The auditor will join the Board at its September meeting to discuss the outcomes and recommendations from the audit.

UK Nature Market Dialogue

The Board endorsed the scope of a draft Market Governance Issues and Options Paper being prepared as part of the Nature Markets Dialogue in conjunction with the Broadway Initiative. The Board noted that the paper would be released for consultation in the Autumn.

BSI Draft Nature Markets Standard

The Board noted the submission that had been made to the development of the BSI Nature Markets Standard.

Catchment Market Operation

The Board approved the Catchment Opportunities Statement for the third Market Round of the Somerset Catchment Market.

Note: The Market Operator discontinued the third Market Round of the Somerset Catchment market after a major buyer advised that its registered bid was materially incorrect.

Next Meeting

The next meeting will be held on 8th September 2024.

Jill May, Chair.

Seventh meeting of the Interim Environmental Markets Board (15 April 2024)

Sun, 05 May 2024 11:36:41 GMT

Meeting outcomes

The seventh meeting of the Interim Environmental Markets Board (‘Board’) was held on 15 April 2024.

Legal status of the Board

The Board agreed to continue to progress its work to establish the Board as an independent legal entity, and that a not-for profit Company Limited by Guarantee was the preferred model, subject to developing a sustainable financial strategy and business plan.

UK Nature Market Dialogue

The Board discussed the outcomes of the first Roundtable of the Nature Markets Dialogue held in London on 25th March including the rapid development of nature markets both in the UK and internationally and the risks to market integrity in the absence of a coherent regulatory and governance framework.

Board noted the establishment of the Steering Group for the Dialogue and discussed the Board’s co-leadership of the market governance workstream, including the preparation of a Market Governance Issues and Options Paper.

Nature Market Operators Workshop

The Board discussed the outcome of a workshop held on 27th March with several UK nature market operators at which common challenges and issues in developing nature markets in the UK were discussed.

The Board agreed to invite the workshop participants to set out their views on the need for independent market assurance, and the potential future role for the Environmental Markets Board.

Scientific Advisory Group

The Board agreed to establish a Nutrient Mitigation Agile Group to review the Nutrient Reduction Standard and Monitoring Programme for the Somerset Catchment Market.

BSI Draft Nature Markets Standard

The Board agreed to actively engage in the development of the BSI standard, including making a submission to the consultation.

Board roles and responsibilities

The Board discussed how it is currently discharging its roles and responsibilities including the balance between its own inquiry and reliance on third-party inputs such as audit reports and advice from regulators.

Catchment Market Operation

The Board considered several reports from the Catchment Market Operator, including on its financial position.

Next Meeting

The next meeting will be held on 10th June 2024.

Jill May, Chair.

Sixth meeting of the Interim Environmental Markets Board (22 January 2024)

Tue, 05 Mar 2024 09:10:09 GMT

Meeting outcomes

The sixth meeting of the Interim Environmental Markets Board (‘Board’) was held on 22 January 2024.

Board Membership

Jill May commenced in the role as Chair.

Professor Steve Ormerod has agreed to become the Chair of the Board’s Scientific Advisory Group.

Further details about Jill May and Professor Ormerod are available on the Board Website .

Legal status of the Board

The Board agreed that it would be best to establish the Board as an independent legal entity.

The Board will obtain legal advice on potential legal forms with a view to discussing the likely preferred form at the April meeting.

Review of Market Rules

The Board will participate in the Bristol Avon Catchment Market Conference on 26th March with attendance by Jill May and Gary Mantle.

The intention will be to obtain feedback from farmers and landowners, regulators, and housing developers on how the market is working, and an early assessment as to the effectiveness of the Market Rules.

UK Nature Market Dialogue

The Board agreed to co-lead the Governance workstream of the UK Nature Market Dialogue being facilitated by the Broadway Initiative.

Jill May will co-chair a Market Governance Roundtable on 25th March hosted by Frontier Economics.

Bristol Avon Catchment Market

The Board approved the Market Opportunities Statement for the second Market Round of the Bristol Avon Catchment Market, which was amended following the withdrawal of three Registered Projects due to the identification of a potential additionality issue.

The Board will consider the outcome of the review of Project additionality at its April meeting.

Next Meeting

The next meeting will be held on 15th April 2024. and will focus on the legal status of the Board, its responsibilities and the ways it receives assurance on these, and the membership of the Scientific Advisory Group. It will also discuss learnings from the UK Nature Market Dialogue and Bristol Avon Catchment Market conference.

Jill May, Chair.

Fifth meeting of the Interim Environmental Markets Board (7 December 2023)

Sun, 14 Jan 2024 03:38:10 GMT

Meeting outcomes

The fifth meeting of the Interim Environmental Markets Board (‘Board’) was held on 7 December 2023.

Board Chair

Jill May has been confirmed as the Chair of the Board and will commence her role in January.

Further details about Jill are available on the Board Website .

Review of Market Rules

The Board discussed the scope of the terms of reference for a review of the current Market Rules.

The current Market Rules began their development three years ago, and although the markets are still nascent the Board considers that a review is timely, to ensure the Rules are fit for future market development.

The Board agreed that:

the primary purpose of the Review would be to assess the operation of the Rules in practice, and identify changes necessary to support thriving, efficient and high integrity markets that are capable of being scaled up to make a significant contribution to nature’s recovery.
the secondary purpose of the Review would be to contribute the lessons learnt to wider thinking on nature market governance, both in the UK and internationally.

The Review will be conducted over the course of 2024 and involve consultation with Market Participants and wider stakeholders, with the Terms of Reference to be made public in the New Year.

Engagement on Nature Market Governance

The Board discussed a proposal to help lead a Dialogue on UK Nature Market Governance to input into policy development on the future governance of voluntary carbon and nature markets in the UK.

The dialogue would run during 2024 and would enable the Board to share its experience and work with like-minded organisations to build a consensus about the actions Government needs to take to secure the integrity of UK nature markets.

Somerset Catchment Market

The Board considered a report from the Market Operator on an administrative error that arose in the Settlement of the second Market Round of the Somerset Catchment Market and how that error was resolved.

The error resulted in a shortfall of Phosphorus Credits needed to meet Buyer Requirements. The shortfall was met from unallocated credits from the first Market Round.

The Board welcomed the Market Operator’s timely reporting of the issue and its resolution. The Board was satisfied that there was no detriment to Market Participants.

The Board agreed to amend the scope of the Baseline Audit of the Market Operator to review the issue and make recommendations on any further improvements to prevent recurrence.

Next Meeting

The next meeting will be held on 22 January 2024 and will focus on the workplan for 2024, including the establishment of the Technical Advisory Group.

Andy Pymer, Acting Chair.

Fourth meeting of the Interim Environmental Markets Board (23 October 2023)

Sat, 11 Nov 2023 21:57:42 GMT

Meeting outcomes

The fourth meeting of the Interim Environmental Markets Board (‘Board’) was held on 23rd October 2023.

Market Rules

The Board approved a series of amendments to the Market Rules to clarify and confirm a number of issues arising from the first Market Rounds, including the:

approvals required from the Board prior to a Market Round
responsibilities of Market Operators for Monitoring
role and responsibilities of Registered Agents
potential for different Market Settlement Rules in different markets
evidence requirements for Credit Buyers
acknowledgements, acceptances, and approvals required prior to a Market Round
obligations of parties at Market Settlement
timing of commencement of Market Agreements
publication in advance of Terms and Conditions
need for advance approval of the Credit Reserve
skills and experience of Board Members.

Further details of the amendments to the Market Rules are available on the Board website.

Somerset Catchment Market

The Board approved the Catchment Opportunities Statement submitted by EnTrade for the second Market Round of the Somerset Catchment Market subject to amendments to ensure that:

the Statement does not imply that a bonus or discount will always be received by successful Buyers and Suppliers; and
the Governance Fee paid by EnTrade to the Board is recognised as a Market Operator cost.

The Board approved the proposed level of the Credit Reserve and noted that the Credit Cap had been increased from 5 to 15 Credits.

Technical Advisory Group

The Board discussed the establishment of the Technical Advisory Group including the need for a suitably qualified and experienced group to advise the Board on:

the robustness of the scientific evidence underpinning any new Standards proposed by Market Operators; and
Monitoring Programme design and results, and their implications for the Market Rules and Standards, including the operation of the Credit Reserve.

Market governance

The Board discussed the need for effective governance of UK nature markets including that:

substantial private investment is essential if we are going to achieve nature’s recovery
effective governance is essential for the integrity and confidence in environmental markets
a statutory basis for market governance is highly preferable
the Board provides a practical example of the market governance functions required.
the Board is keen to work with like-minded organisations to discuss the merits of different governance options.

Next Meeting

The Board will hold a special meeting in December 2023 to discuss the Terms of Reference for the review of the Market Rules that will occur in the first half of 2024.

Andy Pymer, Acting Chair.

Third meeting of the Interim Environmental Markets Board (12th September 2023)

Thu, 12 Oct 2023 13:42:35 GMT

Meeting outcomes

The third meeting of the Interim Environmental Markets Board was held on 12th September 2023.

Board Membership

Gary Mantle, the former long-serving CEO of the Wiltshire Wildlife Trust joined the Board.

The appointment of Emily Norton, a farmer and independent rural policy and strategy advisor to the Board was confirmed.

The Board was also briefed on discussions that are underway with a potential Chair for the Board.

Further details about Gary and Emily are available on the Board Website.

Market Operator Audit

The Board considered a draft Audit Guideline and Scope of Audit for a baseline audit of EnTrade’s compliance with the Market Rules, during the first Market Rounds of the Bristol Avon and Somerset Catchment Markets.

In the early stages of market development, the audit programme will be an important tool to help build trust and confidence in the markets, by providing independent assurance that the Market Operator(s) are ‘doing things right’. A summary of the results of the first baseline audit will be published as part of the Board’s Annual Market Report.

Monitoring Programme and Technical Advisory Group

The Board was briefed on the Performance Monitoring Programme for the Somerset Catchment Market. A Technical Advisory Group will be established to review the monitoring results and advise the Board on any recommended amendments to the Nutrient Reduction Standard and the operation of the Credit Reserve.

Market Integrity and Review of the Market Rules

The Board considered how the Market Rules and Standards for the Catchment Markets meet the principles and rules set out in the Government’s Nature Markets Framework. The Board considered that there was good alignment and will look closely at the process for project accreditation and verification at its next meeting.

A review of the Market Rules will commence in the New Year to assess whether the markets are ‘doing the right things’ in terms of providing incentives for well-designed and located nature recovery projects.

Market governance

The Board will engage with the Government’s review of carbon and nature market governance due to commence later in the year.

Next Meeting

The next meeting of the Board will be on 23 October 2023.

Andy Pymer, Acting Chair.

Second (Special) meeting of the Interim Environmental Markets Board (28 June 2023)

Wed, 28 Jun 2023 11:40:16 GMT

Meeting outcomes

A Special Meeting of the Interim Environmental Markets Board was held on 28th June 2023.

Amendments to Market Rules

The Board discussed a series of proposed amendments to the Market Rules, including Rule 8.2.3(c), which allows the Interim Board to decide who is a ‘fit and proper person’ to be appointed as a Market Operator.

The Board considered an example of the use of the test to exclude a person who has for example been convicted of an offence involving deception or dishonesty. The Board approved the amendments to the Rules subject to providing some additional explanation of Rule 8.2.3.

Catchment Opportunities Statement – Somerset Catchment Market Round One

The Board discussed the Catchment Opportunities Statement prepared by EnTrade, for the first Market Round of the Somerset Catchment Market, scheduled for July.

The Board discussed the role of the Statement in providing market information about the supply of nature-based projects and the demand for the environmental services from these projects, to inform Supplier Offers and Buyer Bids.

The Board considered EnTrade’s risk assessment in relation to the proposed level of the Credit Reserve. It also considered the fees for the Market Operator and the other fixed Market Costs.

In approving the Statement, the Board highlighted the need for the Market Operator to strike a balance between providing a level of transparency that builds confidence in the Market, and leaving Market Participants to make their own decisions regarding their bids and offers.

Next Meeting

The next meeting of the Board will be on 12th September 2023.

Andy Pymer, Acting Chair

First meeting of the Interim Environmental Markets Board (20 June 2023)

Tue, 20 Jun 2023 11:34:05 GMT

Meeting outcomes

The first meeting of the Interim Environmental Markets Board was held on 20th June 2023.

Establishing the Board

The Board completed a range of formalities to commence the operation of the Board, including:

Board members completing their declarations of interest
confirming the Board’s Terms of Reference, and
approving the establishment of a website to provide information about the Board and its operation.

Approval of Template Market Rules

The Board discussed and approved the Template Market Rules for the operation of the Catchment Markets and confirmed the specific local variations to the Rules to apply in the Bristol-Avon and Somerset Catchment Markets.

In approving the Rules, the Board also approved two Standards for quantifying the environmental benefits of nature-based projects:

The Interim Nutrient Reduction Standard for Interceptor Wetland and Interceptor Woodland Projects to quantify reduction in nitrate and phosphate in surface water flows.
Biodiversity Metric 4.0 to quantify biodiversity gain.

The Board agreed to review the Rules, following the completion of the initial Market Rounds of the pilot Catchment Markets (Bristol-Avon, Somerset and Solent).

Next Meeting

The Board agreed to hold a Special Meeting on 28th June to consider the Catchment Opportunities Statement for the first Market Round of the Somerset Catchment Market, scheduled for July.

Andy Pymer, Acting Chair