Seagrass meadows are Europe’s hidden climate heroes – capturing carbon, protecting coastlines, and supporting biodiversity. Yet, restoring these vital ecosystems at scale remains a challenge. In this Whitepaper, Lisa Wiatschka, Pere Giralt, and Ramon Scholl explore five key challenges holding back large-scale investment and present seven interconnected solutions to unlock financing for seagrass restoration.
The hidden value of seagrass meadows
Seagrass meadows are among Europe’s most vital yet overlooked ecosystems. Found in intertidal and sub-tidal zones, these marine flowering plants provide essential ecosystem services, from blue carbon sequestration and coastal protection to fisheries support and biodiversity enhancement.
Europe is home to four native seagrass species: Posidonia oceanica, Zostera marina, Zostera noltii, and Cymodocea nodosa. Despite their ecological and economic importance, seagrass meadows remain heavily degraded, and their restoration faces significant financing and governance challenges.
With up to 72% of EU non-financial corporations dependent on ecosystem services and 36% of the EU’s economic value added reliant on nature, the stakes are high. The degradation of seagrass meadows poses tangible risks to businesses and investors, including supply chain disruptions, rising insurance costs, and regulatory exposure. Restoring these ecosystems is not just an environmental imperative – it’s a strategic necessity for a resilient and prosperous Europe.
The challenge: five barriers to scaling seagrass resoration
Despite growing interest from investors and policymakers, seagrass restoration in Europe faces five interlocking challenges:
- Policy and governance gaps: Inconsistent interpretation of the EU Nature Restoration Regulation, overlapping mandates between authorities, and unclear seabed ownership create uncertainty for investors. Short policy cycles and shifting political priorities further deter long-term commitments.
- Hard-to-verify outcomes and data gaps: Restoration techniques remain labour-intensive and costly, with limited scalability. Data interoperability issues and valuation gaps hinder the integration of seagrass benefits into corporate reporting and investment models.
- The perception barrier: Seagrass ecosystems suffer from low visibility and fragmented understanding across sectors. Corporate blind spots and a lack of shared frameworks between scientists, financiers, and policymakers limit cross-sector collaboration.
- Structural financing gap: Most seagrass projects are small-scale and non-bankable, lacking the size and continuity required by institutional investors. High perceived risks and the absence of de-risking instruments further hinder financing.
The aggregation challenge: The seagrass restoration landscape is fragmented, with isolated projects and underdeveloped pipelines. The lack of intermediaries to bundle projects into investable portfolios limits access to mainstream capital.
The solution: seven pathways to scaling financing
To address these challenges, the ARTEMIS Whitepaper outlines seven interconnected solution areas:
Policy & Governance: Locking in multi-year commitments and promoting policy coherence across sectors are critical to securing long-term financing. Clear regulation can drive structured market growth while ensuring ecological integrity.
Coordinated Piloting: A portfolio of 10-15 high-profile demonstration projects across Europe can generate practical lessons on governance, financing, and community engagement, informing policy refinement and scaling efforts.
Multi-Actor Collaboration: Bridging expertise across the quadruple helix—government, academia, business, and civil society—is essential to align priorities and break silos. An institutionalised multi-actor platform can foster shared learning and joint action.
Investment-Grade Evidence Base: Mapping priority restoration areas and filling investment-oriented knowledge gaps will strengthen the case for seagrass restoration. Robust Monitoring, Reporting, and Verification (MRV) systems aligned with investor requirements are key to building confidence.
Large-Scale and Cost-Effective Restoration Project aggregation and autonomous restoration technologies can reduce costs and accelerate impact. Developing regional supply chains and refining restoration knowledge will enhance long-term success.
Innovative Finance Mechanisms: Testing and scaling financial prototypes—such as nature credits, sustainability-linked loans, and blended finance—can attract private capital. Pooling public and private resources will de-risk early investments and support pipeline development.
Knowledge, Awareness, and Skills Development: Mainstreaming seagrass literacy, fostering a holistic appreciation of its benefits, and driving upskilling across sectors will ensure the long-term sustainability of restoration efforts.
A call for collective action
The recently-published ARTEMIS Whitepaper is a starting point for further dialogue, joint experimentation, and collective action. By addressing these challenges together, we can move from scattered pilots to a mature, investable pipeline that delivers lasting ecological and socio-economic value.
Download the full Whitepaper to explore the detailed insights and recommendations.
About ARTEMIS
ARTEMIS is an Interreg Euro-MED project co-funded by the European Union, aimed at scaling financing for seagrass restoration in Europe.
For more information, visit the ARTEMIS website.
