Offsetting of deterioration

The offsetting of deterioration takes place in five stages.

1. Identification of habitat types and habitats of species in the land area to be deteriorated

The offsetting of deterioration starts with the identification of the habitat types and habitats of species in the area concerned in the project. This applies to all habitat types, including those that are not protected under the Nature Conservation Act. The identification of species concerns species protected under the Nature Conservation Act and threatened species. The threat status is determined in accordance with the most recent assessment of the threat status of habitat types and species.

2. Assessment of the status of nature values

The status of the identified habitat types is assessed on scale from 0 to 1, where 1 represents a site that is in its natural state or comparable and 0 is a site that has lost its natural state. The assessment of the state is based on the key characteristics of the habitat type concerned. Read more in section 2 of the Decree of the Ministry of the Environment on Voluntary Ecological Offsetting.

3. Assessment of the deterioration of nature values

The deterioration of the identified habitat types and habitats of species is determined by assessing the state they will reach as a result of the project. The scale of deterioration is the difference between the state observed before the deterioration and the state resulting from the measures that cause deterioration.

The scale of deterioration in respect of each natural value is expressed as nature value hectares, i.e. as an equation of the surface area and the change in the quality of the site [natural value hectare (nvh) = surface area x site status (0-1)].
Read more in section 3 of the Decree of the Ministry of the Environment on Voluntary Ecological Offsetting.

4. Procurement of offsetting

A party that will offset deterioration procures the site to be used for this from the landowner that generated the nature values. Information on nature values that have been generated is available in the public compensation Offset Register or from operators maintaining lists of natural values offered for sale or purchase, such as the Luontoarvot.fi service of the Central Union of Agricultural Producers and Forest Owners. The party that wishes to offset the deterioration can also generate the needed nature value hectares in advance by following the relevant provisions of the Nature Conservation Act.

5. Application to the Centre for Economic Development, Transport and the Environment for a decision on the equivalence of an offset

The party causing deterioration submits an application to the Centre for Economic Development, Transport and the Environment concerning a decision on the equivalence of an offset. If the offset compensates for the deterioration at least in full and meets the criteria laid down in the law, the Centre for Economic Development, Transport and the Environment must give a positive decision. The decision specifies the offset site and prohibits the destruction and deterioration of nature values in the site concerned. The prohibition enters into force when owners and holders of the site have been notified of the decision. The decision is entered to the real estate register. This will ensure the permanence of the nature values that have been generated. The nature values to be used for offsetting are marked as having been used as offsets in the Offset Register.

The offset must be equivalent to the deterioration in terms of its quality and quantity and it must take place in an equivalent biogeographic area as specified in the Decree. Read more in sections 1, 4, 7 and 8 of the Decree of the Ministry of the Environment on Voluntary Ecological Offsetting.