National Grid has launched a new market mechanism to connect electricity infrastructure projects with suppliers delivering biodiversity and habitat restoration.

As National Grid embarks on The Great Grid Upgrade, the largest overhaul of the electricity grid in generations, it will work with suppliers to help meet its environmental and biodiversity commitments. 

The launch of the new Qualifying Utilities Dynamic Market (QUDM) scheme will see pre-qualified suppliers deliver nature-based solutions at scale as major infrastructure projects are delivered.

Creating a marketplace for nature restoration projects means that National Grid will be able to meet its environmental commitments, including achieving a minimum of 10% Biodiversity Net Gain (BNG) on all new projects requiring planning permission. The 10% BNG means that a project must leave habitats in a measurably better condition than before construction.

As an example, a previous BNG delivery in 2025 saw a farmfield site near the Little Horsted substation transformed into an eco-rich habitat to provide new habitats for great crested newts, reptiles, dormice, bats and badgers. 

Kat Stanhope, strategic BNG manager at National Grid, said: “Launching the QUDM is an important step in how we collaborate with partners to deliver meaningful environmental outcomes alongside our infrastructure projects. 

“As we continue to invest in upgrading and expanding our networks, we have a significant opportunity to deliver biodiversity net gain, support nature recovery and create wider benefits for communities.” 

The new scheme will see National Grid delivering off-site BNG projects through specialist partners, which will be responsible for managing and monitoring these projects over the long term. It also encompasses marine restoration and enhancement while delivering offshore subsea cable projects.

The aim is that working with these partners will help ensure National Grid’s projects deliver lasting benefits for nature, climate and local communities.

Stanhope added: “The QUDM allows us to work with a diverse range of high-integrity organisations that share our ambition, ensuring we can access high-quality, innovative solutions to meet the scale of the challenge ahead.”