Peatland ACTION: Project development support scheme

          

Introduction

Peatland ACTION is working to deliver the Scottish Government’s aim of putting 250,000ha of peatlands ‘on the road to restoration’ by 2030.  

We recognise that to achieve the pace and scale required to do this we need to significantly increase the pipeline of projects.  This in turn requires more project designers across the industry to develop projects and submit applications to Peatland ACTION for funding.

To date Peatland ACTION has supported some of the costs associated with project development e.g. through the commissioning of feasibility studies, peat depth, and ecological surveys, but we have only financially supported a few third parties with the wider work associated with project development and coordination of the submission of applications.

We want this to change and in 2022 we commissioned Pareto Consulting to produce ‘Incentivising and coordinating peatland restoration’, a report which considered the merits of incentivising the planning and coordination element of peatland restoration projects in Scotland.

Following this review we are now willing to incentivise those with the right skills and experience to develop a pipeline of projects at scale to help meet the Scottish Government target. For this, the Peatland ACTION Project Development Support Scheme will provide a significant contribution to project development costs. Note, it does not set out to cover all costs and it is likely that landowners will have to bear a proportion of their chosen agent’s fees. 

• This scheme is only open to those who can commit to developing a minimum of 500ha of Peatland ACTION applications within an agreed time frame.  
• Applicants to the scheme will take projects through the development process from initial landowner engagement to the submission of applications.  
• We encourage applications for multiyear projects delivered over a maximum of three years.  
• Subject to approval, submitted applications will need to commence delivery in the following peatland restoration season (Sept to March inclusive subject to any agreed extensions using the breeding bird protocol). 
• The scheme offers three payment levels for hectares developed: 500ha to 750ha; 750ha to 1000 ha; and above 1000ha.  
• To avoid any doubt, it is offering greater incentive for project development / coordination at scale.  Rates are shown at Payment Rates below. 
• Given that this is a new and innovative scheme, it is opening on a pilot basis for its first round in 2023/24.  
• It is only available for the development of projects that will be submitted to NatureScot. Projects within the two National Parks and any being developed on behalf of Scottish Water or Forest and Land Scotland are not eligible, at least in this first year.

Eligibility requirements

There is no set number of applications required to be eligible for the Scheme, only that the combined scale of all submitted applications plan to put a minimum of 500ha of degraded peatland habitat on the road to recovery. Applicants must be able to:

• Demonstrate they have the competencies (Annex 1) required to deliver this work, within defined timescales. 
• Plan for the delivery of a minimum of 500ha of restoration through the submission of fully completed applications by 31 May 2024 with project completion by 31 March 2025. 

Scope of project development

Applicants to the scheme will take projects through the complete development process from initial landowner engagement to the submission of fully complete applications. Key outputs from this process will include:

• Landowner(s) confirmation of commitment
• Feasibility study
• Finalised project design and peatland restoration plan 
• Acquisition of necessary approvals e.g. SSSI consent, Prior Notification (Permitted Development rights)
• Construction and Design Management documentation
• Peatland ACTION funding application 

How to apply 

Prior to applying to the scheme applicants should contact us by email [email protected] for a screening meeting.  At this meeting we will discuss the potential applications you plan to develop and the skills and experience you have to deliver them.  Subject to the outcome of that meeting we may invite you to apply to the scheme. 
If we do, you will need to complete the scheme application form which we will provide. 

Contract delivery

If your application is approved we will issue you with a contract setting out the terms and conditions of funding. 
Applicants will be able to sub-contract elements of the project development work e.g. peat depth surveys, ecological surveys.  However, procurement rules will apply so, at the point of claim, you will need to demonstrate that a fair and open competition has taken place. Our preference is the use of Public Contracts Scotland to demonstrate this.  
You will also need to ensure you can meet the requirements of the Scottish Government’s Fair Work First policy.

Each contract will be assigned a Peatland ACTION account manager who will work closely with you through each stage of the process.  This will be achieved through a series of meetings as set out below. This support is to ensure each part of the process is fully understood and delivered to Peatland ACTION’s standards.  This will minimise the need for amendments at the point of e.g. feasibility study/project application submission, and result in a leaner process.  It will also allow Peatland ACTION to learn and refine its process design over time. 

• Meeting 1 – Screening meeting (prior to being issued with an application form)
   
• Meeting 2 - Introductory meeting (post submission of application for Peatland ACTION Project Development Support Scheme) – Agenda to cover main aspects of the approach and the Peatland ACTION standards which need to be met. These will be a combination of the standards we require when commissioning feasibility studies (Annex 2) and those of our grant application process. All standards will be provided in writing as an annex to the contract.  We will also agree a timescale for delivery of the package of applications being developed.
   
• Meeting 3 - On submission of feasibility studies and final project designs. The purpose of this meeting will be to confirm that the total area to be restored in the grant applications remains above 500ha and that project design standards have been achieved. If all standards have not been met, amendments to the submitted information will be required before payments are made. 
   
• Meeting 4 – On submission of application – Prior to this meeting a NatureScot Funding Officer will complete an initial review of the application and identify gaps if any. Once all the applications reach the required standard a final payment will be made. 

Payments

• Payment will be issued directly to Agent.
   
• Payments will be made as per a fee schedule that the agent and Peatland ACTION agree at Meeting 1. It will be based on an agreed project timeline and be linked to the delivery of milestones across the suite of applications if there are more than one. 

 

Table 1: Example timeline - For project initiation to start April 2023 with an agreed application submission date of 31 May 2024.

Month	April	May	June	July	Aug	Sept	Oct	Nov	Dec	Jan	Feb	March	Apr	May
Milestone	1 and 2	1 and 2	1 and 2	1 and 2	1 and 2	1 and 2	1 and 2	1 and 2	3	3	3	3	3	3
Payment	1 (20%) 30 June	1 (20%) 30 June	1 (20%) 30 June	2 (20%) 30 Sept	2 (20%) 30 Sept	2 (20%) 30 Sept	3 (20%) 31 Dec	3 (20%) 31 Dec	3 (20%) 31 Dec	4 (40%) 31 May	4 (40%) 31 May	4 (40%) 31 May	4 (40%) 31 May	4 (40%) 31 May

 

Milestone 1 = Initial site work + Desk based analysis.

Milestone 2 = Reporting – Feasibility study received and quality assured. Confirmation of scale of combined projects. Restoration plan produced,

Milestone 3 = Submission of Application form.

 

• Payments will be based on progress across the suite of projects. In the example above Payment 3 will only be made once all projects in the suite have reached Milestone 2.

Milestone details

• Milestone 1 – Required outputs:
  • Desk based analysis and site walk over. this work will identify:
    • The potential areas that require restoration and their size (ha).
    • Techniques that will be required.
    • Any fundamental site based risks/constraints e.g. access.
• Milestone 2 – Required outputs:
  • A completed feasibility study which has assessed the range of issues highlighted in the Peatland Action - Peatland restoration feasibility assessment checklist - July 2021 (A3616234). – Annex 2.
  • Production of restoration plans – Conversion of feasibility study into a detailed restoration plan on which the application will be based.
  • Both the feasibility study and the finalised plan will be quality assured by Peatland ACTION. 
• Milestone 3 – Required outputs:
  • Application(s) submitted. Note all applications need to be submitted by 31 May prior to proposed restoration season (Sept to April of that same year). This will allow sufficient time for the Peatland ACTION funding team to process applications and issue contracts before the season commences. Each application will include:
    • Quality assured restoration plan
    • Full cost breakdown based on a completed tender exercise conducted on Public Contracts Scotland. 
      Prior notification approval.
    • Prior notification approval
    • Consent for working on a designated sites (if required).
    • Completion of all documentation relating to The Construction (Design and Management) Regulations (2015).
• For more information about the Peatland ACTION funding process and our restoration application visit the NatureScot Peatland ACTION how to apply web pages. 
• Final payment (Payment 4) will only be made once Milestone 3 (applications for all projects in the suite) have been confirmed as reaching the required standard. 

Payment rates  

Table 2: Payment Rates - Peatland ACTION will pay for project development work as follows

Combined project areas	Rate / ha
For the first 750ha	£75/ha
For hectares developed between 750ha to 1,000ha	£100/ha
For hectares developed above 1,000ha	£125/ha

 

Note: If delivery falls below 500ha then we will adjust the payment to £50/ha.