Enabling nature-based solutions in the water sector

Photograph of flooded road and flooded fields in the UK taken from above

The IUCN defines nature-based solutions as those that address societal challenges through actions to protect, sustainably manage, and restore natural and modified ecosystems, benefiting people and nature at the same time.

The Foundation for Water Research (FWR) Community’s Water Environment & Ecosystem Services Technical Panel held a roundtable discussion with experts from across the sector to discuss nature-based solutions (NBS) and their use in the water sector. NBS are wide-ranging and can be used to tackle a number of key challenges facing the sector, including flood risk management, river health, nutrient neutrality, and water quality improvement. Despite the recognised benefits of NBS, there is still a lack of widespread uptake and a need for more concerted effort to support their implementation across different catchments and at scale.

This facilitated discussion explored how we can overcome barriers to the implementation of NBS and support their implementation. The roundtable was preceded by a short presentation exploring research into the current barriers to implementing NBS which set the scene for the discussion.

Roundtable attendees

Dr Monica Rivas Casado, Chair of Water Environment and Ecosystem Services Technical Panel and Reader in Environmental Systems Engineering at Cranfield University
Amina Aboobakar, Director of Strategic Development & Stewardship at the Rivers Trust
Mark Betson, Water Resources Specialist and National Farmers Union
Rob Cunningham, Resilient Watershed Programme Director for Europe at the Nature Conservancy
Chris Gerrard, Head of Landscape Transformation at Anglian Water Services
Charlie Endsor, Manager at Terranomics, formerly Associate at Green Finance Institute
Laura Kitson, Natural Environment and Rural Resilience Manager at Environment Agency
Catherine Moncrieff, Head of Policy and Engagement, CIWEM
Tom Palmer, Project Delivery Manager (Floods) at Essex County Council
Imogen Saxby, Ofwat

Watch the recording

Mainstreaming nature-based solutions

The water sector is dealing with a number of challenges, impacting its ability to support a resilient water system and protect biodiversity, water quality and water supply, whilst protecting against issues related to increased flood risk, droughts and emerging contaminants.

NBS can play a key role in addressing some of these challenges, whilst unlocking multiple benefits for people and nature. Amina Aboobaker shared some findings from the Mainstreaming Nature-based Solutions Project, funded by the Ofwat Innovation Fund, and provided an overview of the some the barriers to implementing NBS, including:

Limited standardisation
Difficulty in assessing multiple benefits and assigning value
Siloed ways of working across stakeholders/sectors
Complexities around risk and management
Lack of systemic knowledge and evidence sharing
Lack of enabling policy and conducive regulatory frameworks
Limited financial incentives to attract funding at scale

Summary of discussion

The importance of a systems approach to unlock multiple benefits

No one sector can deal with the wicked problems facing society, there must be collaboration across sectors to unlock multiple benefits from NBS. Key sectors related to the water sector include the energy sector, transport sector, and built environment sector.
NBS can deliver benefits to the environment, society and the economy. They can also be integrated with engineered solutions to enhance the opportunities for delivering multiple benefits beyond the single intended use.
A systems approach will allow a better understanding of synergies and trade-offs across sectors for different NBS options.
A systems approach in practice is still challenging – quantifying benefits in different areas can be difficult leading to challenges in accessing multiple funding streams. NBS still tend to be implemented with a single issue in mind, with others ‘bolted on’, rather than a holistic approach taken from the beginning.

Developing capacity and capability to deliver NBS

There is a skills need to support implementation, management and maintenance of NBS in the sector. These require different types of skills from traditional grey engineering approaches, included those related to supporting collaboration, interdisciplinary working and communication.
Different skills are needed at different points in the NBS supply chain and lifecycle. Filling these gaps in the skills pipeline will be crucial to implementing NBS.
Standards are needed to support the design and delivery of NBS – these should be focused on standardising the process for NBS delivery so that they can be translated to other areas and allow for flexibility on the ground when implementing them as NBS are often very landscape-specific. A standard of this type can help to build confidence whilst allowing for adaptation to the local context.

Collaboration to support implementation

Collaboration across sectors and stakeholders is paramount for the effective implementation of NBS at scale.
Effective knowledge transfer activities should be in place to support stakeholders in decision making.
Collaboration and coordination across stakeholders must be properly resourced to enable management and resilience of benefits from NBS in the long term. Supporting functions embedded in the local environment that manage collaboration and convene stakeholders are needed for this. Catchment-based partnerships (CaBA) could be a vehicle for supporting this as they are already doing similar work on the ground but would require greater resourcing.
Engagement with design teams, planners and built environment professionals can support integration of NBS into new developments.
Engagement methods will need to be tailored to the stakeholder needs and interests, for example landowners/managers may be more responsive to peer-learning approaches.
There is no one-size-fits-all approach to developing NBS. All projects will need a tailored approach, based on the region and the project characteristics. Effective stakeholder mapping should be done to identify key stakeholders to engage with. These could include:
- Landowners/managers
- Water companies
- Financial sector
- Government and regulators
- Local authorities
- Infrastructure organisations – National Highways, National Grid etc.
- Local communities

Making the business case for NBS

Greater certainty around the positive outcomes that NBS can deliver are key to facilitate engagement with stakeholders needed for their investment and implementation, such as water companies and landowners/managers.
Implementing NBS needs to make business sense for landowners/managers – it needs to be clear how NBS fits in with the wider landscape of environmental regulation/policy including Biodiversity Net Gain, Environmental Land Management Schemes and carbon markets.
Ensuring there is a robust supply chain in place to deliver and manage NBS, providing funders with assurance that they can be delivered.

Unlocking finance streams for NBS

Establishing clear routes to support blended financing options will be key to enabling NBS that can deliver multiple benefits.
Making it easier to secure financing options that allow for delivery of multiple benefits from NBS, recognising the whole picture rather than focusing on delivering maximum benefit for single factors. This means recognising that there may be trade-offs in certain areas.
Risk management is key to securing funding from investors. Public funding can support increased confidence from private investors.
NBS delivery and maintenance should be integrated within water companies’ business plans as part of their core financing model. This would help to mitigate risk and support delivery.
Bridging finance for those implementing NBS on the ground, such as landowners/managers, would support delivery by reducing risk.
Funding mechanisms to support ongoing maintenance and monitoring of NBS also need to be developed to ensure their longevity and to build the evidence base around efficacy and impact of different NBS.

Creating an enabling policy environment

There needs to be flexibility in the agreements with stakeholders, like landowners, so that implementation/delivery can be adjusted if NBS are not delivering on desired outcomes. This will allow for greater risk sharing across stakeholders.
Coordination and suitable institutional structures across a landscape scale could support a systems approach to NBS implementation at scale – this would support in developing spatial priorities and connecting sectors to deliver multiple benefits.
Recognising the inherent challenges in delivering multiple benefits from NBS, where some outcomes are regulated and others not, differences in risk appetite between stakeholders, and uncertainty around quantifying different benefits, mean that regulators may need to develop more flexible and adaptive approaches to support NBS in the water sector.

Reframing NBS as an opportunity

There is a growing and emerging evidence base for NBS. Highlighting the substantial work already taking place for NBS implementation will be key to securing buy-in from stakeholders and provide confidence to investors.
The evidence base for NBS should be collated and easily accessible so that findings are shared widely and can be used for making the case for NBS in other locations.
The evidence base around multiple benefits from NBS should continue to be built upon to support decision-makers in understanding the potential for NBS to deliver on different areas of interest and quantify benefits. This will also support greater confidence among investors.

Examples of NBS projects for further information

Next steps

The FWR will continue to explore interdisciplinary solutions to challenges facing the water sector, by convening debate, disseminating knowledge, and providing opportunities for knowledge sharing and networking across the sector. The FWR will collaborate with the wider IES family on topics related to land, air, and water and support environmental scientists in developing and implementing solutions aligned with a sustainable future.

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