The 10 Newest Global Nature and Biodiversity Reforms and What They Mean for Business

As the global focus on biodiversity intensifies, businesses are witnessing significant policy shifts designed to protect and restore natural ecosystems.

Here’s a snapshot of recent reforms and their implications for the corporate world:

1. Kunming-Montreal Global Biodiversity Framework (GBF)

Adopted at the UN Biodiversity Conference (COP15) in December 2022, the GBF aims to halt and reverse biodiversity loss through measures like protecting 30% of the world's lands and oceans, reducing pollution, and restoring degraded ecosystems by 2030.

Goal: Halt and reverse biodiversity loss by 2030.

Requirements: Protect 30% of lands and oceans, reduce pollution, restore ecosystems.

Business Implications: Companies must align their operations with biodiversity goals, ensuring sustainable practices, reducing environmental impacts, and contributing to ecosystem restoration initiatives.

2. EU Biodiversity Strategy for 2030 & Nature Restoration Law

Part of the European Green Deal, this strategy focuses on expanding protected areas, restoring degraded ecosystems, and implementing legally binding nature restoration targets to put Europe's biodiversity on a path to recovery by 2030. The Nature Restoration Law, adopted in June 2024, is the first continent-wide, comprehensive law of its kind and is a key element of the Biodiversity Strategy.

Goals:

• Increase biodiversity
• Secure the things nature does for free, like cleaning our water and air, pollinating crops, and protecting us from floods
• No net loss of green urban space and tree cover by 2030, and a steady increase in their total area from 2030

Requirements: Expand protected areas to 30%, restore degraded ecosystems, introduce binding restoration targets. EU countries are expected to submit National Restoration Plans to the Commission within two years of the Regulation coming into force

Business Implications: Businesses need to comply with new conservation and restoration requirements, potentially adjusting land use practices and investing in biodiversity-friendly technologies and operations.

3. EU Taxonomy Regulation

This regulation provides criteria to classify environmentally sustainable activities, helping investors identify and invest in projects that contribute to biodiversity and ecosystem protection.

Goal: Identify sustainable investments.

Requirements: Align activities with the protection and restoration of biodiversity.

Business Implications: Companies must meet specific criteria to qualify for sustainable investment, driving transparency and accountability in biodiversity-related practices and reporting.

4. America the Beautiful Initiative

Announced in May 2021, the America the Beautiful initiative aims to conserve 30% of U.S. lands and waters by 2030 across the United States of America private, public and Tribal lands and waters, focusing on voluntary conservation efforts and collaboration with local communities to enhance and protect biodiversity.

Goal: Conserve 30% of lands and waters by 2030.

Requirements: Voluntary conservation, local collaboration.

Business Implications: Corporations are encouraged to participate in conservation efforts and collaborate with local communities to enhance biodiversity through voluntary initiatives.

5. United States of America’s Executive Order on Tackling the Climate Crisis

This executive order calls for federal agencies to incorporate biodiversity considerations into their decisions, emphasising the protection and restoration of ecosystems as part of the broader climate crisis response.

Goal: Integrate biodiversity into federal decision-making.

Requirements: Ecosystem protection and restoration.

Business Implications: Federal contractors and agencies need to incorporate biodiversity considerations into projects, influencing environmental assessment and decision-making processes.

6. Australia’s National Biodiversity Strategy and Action Plan

Updated in 2022, this strategy outlines specific actions to protect Australia's threatened species and ecosystems, aligning national efforts with global biodiversity targets.

Goal: Protect threatened species and ecosystems.

Requirements: Align with international biodiversity targets.

Business Implications: Businesses must adopt practices that protect threatened species and ecosystems, aligning their operations with national and international biodiversity goals.

7. Australia’s Nature Repair Act

This act establishes a framework for accrediting biodiversity projects and encourages private investment through market-based conservation approaches, fostering biodiversity restoration and protection.

Goal: Encourage private investment in biodiversity.

Requirements: Accredit biodiversity projects, promote market-based conservation.

Business Implications: Companies can invest in accredited biodiversity projects, leveraging market-based approaches to fund and deliver conservation outcomes.

8. United Kingdom’s Environment Act 2021 & Biodiversity Net Gain Framework

A new mandates under the act requires a 10% biodiversity net gain for new developments, ensuring that post-development biodiversity is enhanced. Local authorities will oversee the implementation and enforcement of this requirement.

Goal: Enhance biodiversity through development.

Requirements: 10% biodiversity net gain, local authority oversight.

Business Implications: Developers must ensure projects result in a net gain in biodiversity, requiring careful planning and implementation of biodiversity-enhancing measures.

9. Taskforce on Nature-related Financial Disclosures (TNFD)

TNFD is a framework for organisations to disclose and manage nature-related risks, aiming to shift global financial flows towards outcomes that are positive for nature.

Goal: Report and act on nature-related risks.

Requirements: Develop reporting framework, shift financial flows to nature-positive outcomes.

Business Implications: Companies are encouraged to disclose nature-related risks and opportunities, influencing financial flows towards sustainable practices and nature-positive investments. It’s expected that TNFD will form the basis of mandatory disclosure requirements in regulation worldwide.

10. Science Based Targets for Nature (SBTN)

SBTN provides guidance for companies to set measurable and actionable targets that align their activities with global biodiversity goals, promoting sustainable business practices.

Goal: Set actionable biodiversity targets.

Requirements: Align corporate actions with global biodiversity goals.

Business Implications: Corporations need to set and achieve measurable biodiversity targets, aligning their operations with global efforts to protect and restore nature.

What This Means for Businesses

The nature reforms environment is changing rapidly, requiring businesses to adapt by integrating biodiversity considerations into their strategies. This includes setting measurable targets, ensuring sustainable practices, and reporting on biodiversity impacts. Companies that proactively embrace these changes will not only comply with legal requirements but also gain a competitive edge by contributing to global biodiversity goals.

At Xylo Systems, we support businesses in navigating these new regulations and achieving their sustainability targets. Contact us to learn how our platform can help you meet biodiversity standards and drive positive environmental impact: https://www.xylo.systems/request-a-demo