Protocol for Quantifying Biodiversity Gains and Issuing Credits

1. Introduction

This protocol outlines the methodology for quantifying biodiversity gains and issuing biodiversity credits for projects aiming to restore or protect ecosystems. This approach, developed by the Wallacea Trust, measures biodiversity changes and translates these changes into awardable biodiversity credits.

2. Definitions

  • Biodiversity Credit: A 1% uplift or avoided loss in biodiversity per hectare, as measured by the median percentage change in a basket of biodiversity metrics.
  • Project Site: The location where the biodiversity project is implemented.
  • Reference Site: A site with similar initial conditions and management practices used for comparison to the Project Site.
  • Paired Development Site: A site that has undergone the same type of development threatening the Project Site, used to estimate biodiversity loss.

3. Applicability

Project developers must:

  • Adopt all definitions in the methodology.
  • Demonstrate that the Project Sites and interventions meet all criteria.
  • Provide auditable evidence of data and calculations demonstrating biodiversity change.
  • Ensure transparency and consistency in data collection and analysis.

4. Approach

4.1 Basket of Metrics

  • Define a basket of metrics consisting of entire taxa or functional taxa.
  • The basket must reflect conservation objectives and include at least one structural component metric.
  • Metrics must cover all ecosystem services affected by the project.
  • Include a minimum of five metrics for each project.

4.2 Structural Metric Value

  • Quantify structural metrics on a 5-point scale in relation to a Reference Site.
  • Divide the difference between Project Site and Reference Site into five equal quintiles.

4.3 Non-Structural Metrics Value

  • Survey all species within selected taxa and assign Conservation Value and Relative Abundance scores on a 5-point scale.
  • Monitor metrics at least every 5 years.

5. Dealing with Uncertainty

  • Use a robust sampling design strategy.
  • Calculate mean abundance values with standard deviation.
  • Apply conservative measures when no Reference Site is available.

6. Estimating Potential Loss Area

  • Define the area likely to be lost without project intervention.
  • Use this area to calculate biodiversity gain units.

7. Leakage

  • Ensure project interventions do not transfer biodiversity loss to other locations.
  • Monitor and assess leakage areas, adjusting biodiversity gain units accordingly.

8. Calculating Biodiversity Uplift

Calculate biodiversity uplift values at each verification event using the formula:

B_u(t1) = 100 × (V_m(ps,t1) - V_m(ps,t0)) / V_m(ps,t0)

Where B_u(t1) is the biodiversity uplift at the first verification event, V_m(ps,t1) is the biodiversity value at the Project Site at the first verification event, and V_m(ps,t0) is the baseline biodiversity value at project initiation.

Multiply the median biodiversity uplift by the total Project Site area to quantify biodiversity gain units.

9. Calculating Anticipated Loss

For avoided loss projects, use the Paired Development Site to estimate biodiversity loss. Calculate anticipated loss using the formula:

B_l = 100 × (V_m(ps,t0) - V_m(pds,t0)) / V_m(pds,t0)

Where B_l is the anticipated biodiversity loss, V_m(ps,t0) is the baseline value at the Project Site, and V_m(pds,t0) is the baseline value at the Paired Development Site.

10. Issuance of Biodiversity Credits

A biodiversity credit represents a 1% improvement or avoided loss per hectare. Calculate credits based on overall biodiversity uplift or anticipated loss, adjusted for leakage and buffer retained by the registry.