BNG for Utility Companies: How to Keep Infrastructure Projects Moving

Utility companies face a different Biodiversity Net Gain challenge to many other developers.

rather than delivering a single scheme, organisations in the energy, water and infrastructure sectors are often managing multiple projects across different locations, planning authorities and habitat types.

A project may require off-site biodiversity units in one location, on-site delivery in another, and entirely different habitat types elsewhere. At the same time, planning programmes, operational requirements and delivery timescales all need to be considered.

As Biodiversity Net Gain (BNG) becomes increasingly embedded within infrastructure planning, many utility providers are looking beyond individual projects and taking a more strategic view of how biodiversity requirements are delivered across their wider programme of works.

In short: BNG for utility companies is about planning biodiversity requirements across an entire programme of infrastructure projects rather than treating each development in isolation. This often involves understanding likely habitat requirements, identifying suitable off-site biodiversity units and coordinating delivery across multiple locations to support long-term project planning.


Key Takeaways

  • Utility companies often need to manage BNG across multiple infrastructure projects rather than individual developments.

  • Early visibility of habitat requirements and off-site biodiversity unit availability can improve programme planning and procurement certainty.

  • Coordinating BNG across a portfolio of projects can help organisations understand future biodiversity requirements before projects reach critical planning stages.

  • Off-site biodiversity units can provide flexibility where operational or engineering constraints limit on-site habitat creation.

  • With BNG extending to Nationally Significant Infrastructure Projects (NSIPs) from November 2026, long-term biodiversity planning is becoming increasingly important for infrastructure providers.


Why Utilities Face Different BNG Challenges

For many utility companies, the challenge isn’t finding biodiversity units for a single project.

It’s understanding how BNG will affect an entire pipeline or work.

Projects can span multiple counties, Local Planning Authorities (LPAs), National Character Areas (NCAs) and, increasingly important, Local Nature Recovery Strategy (LNRS) areas. Each project may have different habitat requirements, planning constraints and delivery considerations.

When multiple schemes are progressing simultaneously, biodiversity requirements quickly become another factor that needs coordinating alongside planning, land, procurement and delivery.

This is particularly relevant for organisations delivering:

  • Energy infrastructure

  • EV charging networks

  • Water treatment facilities

  • Pipelines and water infrastructure

  • Battery Energy Storage Systems (BESS)

  • Grid connections and substations

  • Renewable energy projects

  • Wider utility and infrastructure developments

In many cases, the challenge is not simply compliance. It’s understanding the most practical route to delivery. Considering BNG alongside wider programme planning can help improve certainty around future delivery requirements.

How ILM Supports Utility Companies

Integrated Land Management (ILM) works with utility providers, infrastructure developers and project teams to help identify practical routes to BNG compliance.

We’ve supported projects across sectors including EV charging infrastructure, water utilities and wider development projects, helping organisations understand how BNG fits into wider project delivery.

Rather than simply providing access to biodiversity units, ILM helps organisations:

  • Understand likely biodiversity requirements

  • Identify suitable habitat banks

  • Match habitat requirements to available supply

  • Navigate Biodiversity Net Gain trading rules

  • Consider spatial risk implications

  • Develop practical delivery strategies across multiple projects

Unlike organisations focused solely on selling units from a single habitat bank, ILM works across a growing network of Biodiversity Gain Sites and habitat bank providers.

This allows us to help utility companies identify suitable solutions based on habitat requirements, geography and project needs rather than being restricted to a single location or habitat type.

Common Challenges We See

Whilst every project is different, several themes regularly emerge across the utility and infrastructure developments.

Five Questions Utilities Companies Should Ask:

When reviewing a project pipeline, there are several useful questions worth considering:

  1. Are any projects likely to require off-site biodiversity units?

    Understanding this early can help identify potential delivery routes before planning timescales become critical.

  2. What habitat types are likely to be required?

    Different projects create different biodiversity impacts. Understanding likely habitat requirements can help inform future procurement decisions.

  3. Are suitable habitat banks available in relevant locations?

    Availability varies by habitat type, geography and demand. Understanding local supply can help avoid surprises later in the process.

  4. Could biodiversity requirements affect project timescales?

    Where multiple projects are being delivered across a region, there may be advantages to considering biodiversity requirements collectively rather than on a project-by-project basis.


Reducing Procurement Risk

As demand for biodiversity units continues to grow, understanding potential delivery routes early can provide greater certainty around programme delivery.

Visibility of available habitats, locations and unit types allows organisations to make more informed decisions and reduces the likelihood of BNG becoming a late-stage constraint.

For organisations delivering multiple projects, this can help improve planning certainty and reduce the risk of unexpected procurement challenges further down the line.

Why this matters ahead of NSIP BNG

The importance of strategic BNG planning is only increasing.

Mandatory BNG already applies to most developments in England and will extend to Nationally Significant Infrastructure Projects (NSIPs) from November 2026.

For utility providers delivering energy, water and wider infrastructure projects, this reinforces the need to understand biodiversity requirements, available delivery routes and potential procurement options as part of long-term programme planning.

At the same time, Local Nature Recovery Strategies (LNRS), evolving guidance and increasing demand for biodiversity units are continuing to shape the wider BNG market.

Organisations that understand their options early are often better placed to make informed decisions and avoid unnecessary delays later in the project lifecycle.

Planning BNG Across Multiple Infrastructure Projects

Managing Biodiversity Net Gain across utility projects is rarely about finding biodiversity units for a single development. It is about understanding future habitat requirements, identifying suitable habitat banks and building procurement certainty across an evolving programme of work.

By considering Biodiversity Net Gain alongside wider infrastructure planning, organisations can gain greater visibility of available delivery options and make informed decisions before biodiversity requirements become a programme constraint.

Frequently Asked Questions

 
 

Planning Utility or Infrastructure Projects?

Browse ILM’s BNG Sites Directory to search their registered biodiversity gain sites by LPA, NCA, LNRS area or habitat type.

Whether you're delivering a single scheme, managing a regional programme of works or preparing for future NSIP requirements, ILM can help you understand available delivery options and identify suitable biodiversity units.

Talk to the team about your project pipeline, current requirements or future biodiversity strategy.

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