Compensatory mitigation and wetland banking in the United States

Established in the 1970s, the Compensatory Mitigation and Wetland Banking programme in the United States is the largest and longest running offsets programme in the world. It protects the waters of the United States by requiring developers to follow the mitigation hierarchy when proposed development projects cause adverse impacts for wetlands and streams. Implementation of the Compensatory Mitigation programme is characterised by strong participation of the private sector in supplying offsets in a market driven context. This chapter summarises the evolution of the Compensatory Wetlands Mitigation programme over its 40 years of implementation. It discusses the challenges faced in the design and implementation of the programme – including in the progression of mitigation banking – how they have been addressed, and concludes with the key lessons learned.