
Biodiversity Credits
Biodiversity credits are an emerging mechanism to quantify and track biodiversity conservation and preservation efforts and outcomes. They are separate and distinct from carbon credits or carbon units. There is no universal agreement as to what a biodiversity credit represents. Pollination defines a biodiversity credit as: “A unit that can be bought and sold that represents a measured, modelled or assessed positive biodiversity outcome. or activities undertaken that are likely to achieve a positive biodiversity outcome, from a nature-based solutions project registered under a biodiversity scheme and which is not used to offset an equivalent negative impact on biodiversity elsewhere.” Pollination includes in this definition all unit types, including credits, certificates and tokens.
Voluntary biodiversity credit markets are increasingly recognised as one mechanism that can drive financing toward the protection, regeneration and stewardship of biodiversity, and close the biodiversity financing gap. For example, Target 19 of the UN’s 2022 Montreal-Kunming Global Biodiversity Framework (GBF) refers to biodiversity credits as a potential mechanism for mobilising financial resources globally.