The NBI Global Resource Centre supports a variety of stakeholders, including policymakers, investors and planners, by providing insights that help them make informed decisions on infrastructure investments. We assess a diverse range of project risks and highlight the co-benefits from the projects. Through our integrated economic and financial assessments, we demonstrate the holistic value of nature-based infrastructure in comparison to conventional ‘grey’ infrastructure options.
The Centre analyzes NBI projects globally—from reforestation to urban green spaces – by modelling the avoided costs and added benefits of these initiatives.
Our modelling approach, the Sustainable Asset Valuation (SAVi) methodology, applies systems thinking to provide a comprehensive analysis of the economic feasibility of nature-based infrastructure projects.
Sustainable Asset Valuation (SAVi) focuses on 4 key steps:
We collaborate with various project stakeholders, such as local governments, communities, investors, and planners, to understand the unique local context, relationships, challenges, risks, and factors involved. By using systems thinking, a qualitative approach, we develop a shared understanding of the project’s rationale and dynamics. Together, we produce a Causal Loop Diagram (CLD), mapping the interactions between environmental, economic, and societal factors, serving as the blueprint for our quantitative analysis.
We then transition to a system dynamics approach, which enables us to quantitatively model the behavior of the mapped system. Here, we estimate the extent to which socioeconomic and environmental drivers of change interact with one another and shape future trends, thereby determining the economic and societal impact of the project. This is in the form of either a System Dynamics model using Vensim software, or an excel-based model, depending on the needs of the specific assessment.
We then work with our partners and stakeholders to tailor the model using a variety of techniques, including location, project or indicator-specific data, spatially explicit analysis (using InVEST), climate data and forecasts from the EU Copernicus Climate Data Store, and literature reviews. The review of these inputs takes place over several weeks, to capture and integrate all possible material risks and externalities over the project’s full lifecycle. Additionally, we work extensively on data verification and on filling data gaps through the use of internationally recognized sources.
In this step, we are also able to produce financing analysis to help stakeholders and investors identify further strategies to improve the economic feasibility of the project – learn more about Financing NBI here.
We create and use simulation models to bridge knowledge gaps. By combining biophysical and monetary indicators into an extended cost-benefit analysis, we consider all of the costs of the project. Further, we consider all the material and non-material costs and benefits, representing externalities and all project outcomes, beyond those that directly impact investors.
If you want to learn more about the SAVi methodology, as well as how to use and apply it to your NBI project, sign up for the NBI Academy!
Participants will learn how to:
The NBI Global Resource Centre aims to bring together key partners to establish a business case for Nature-Based Infrastructure (NBI).
Get in touch to learn more, collaborate, or for media enquiries and speaking engagements.