Julie Dimitrijevic: Businesses want to bend the curve of biodiversity loss but need government ambition to match the momentum

Biodiversity is declining at an unprecedented rate. 10 – 100x faster than the worlds ever experienced before. We know this. But it needs to be said again.?

This can be done, but we need strong, quantifiable and ambitious goals and targets to get us there. Recognising the challenge to meet each target this decade is huge, as we’ve already lost 2 years due to the global pandemic.?

The delay, however, has shown us the real-world effects biodiversity loss has on our society. And within this time, we have seen a significant shift to move biodiversity loss up the political agenda. Momentum is building.?

It is anticipated that 14k people will be heading to Montreal next month, to be a part of the conversation - an apparent 40% increase from COP14. On the table is the creation of a scientifically robust and just post-2020 biodiversity framework (note that ‘the framework’ will be negotiated by governments and will set global nature-related goals and targets which will then need to be implemented through the creation of national-level policy and activities). There is also a significant and unprecedented show of support coming from both the private and finance sector, which needs to be recognised.?

Unprecedented interest and support from the business and financial world?

To support pre-existing environmental ambitions, companies are asking for holistic, integrated reporting requirements that complement the climate agenda. This makes sense, because, on a practical and scientific level, it’s not possible to achieve nature-related targets without working toward climate targets in tandem (because climate change causes more biodiversity loss, and biodiversity loss further accelerates climate change). Time and human resources will need to be spent efficiently to tackle the twin crises.??

But how can we achieve this? Private sector inclusion, is part of the solution.?

The post-2020 biodiversity framework and the private sector?

Businesses, governments and civil society are asking for one target for nature, similar to the 1.5C goal for climate. This is where the ‘nature-positive’ ambition comes into play. This is the language currently proposed within the post-2020 framework, and a concept that many businesses have already adopted.?

Governments need to embrace this ‘nature-positive’ terminology within the text of the framework. It’s snappy, and strikes the right level of ambition: we must have more nature by 2050 than we do now. Yes, it will require a definition, baseline, and accounting framework – particularly because biodiversity is complex and multiple components need to be measured to understand its current state – but the sentiment is clear to understand.??

For the first time, the framework proposes a target to incentivise businesses to bend the curve of biodiversity loss. Subject to further negotiation. Target 15 is currently requiring all businesses and financial institutions to assess and report on their impacts on biodiversity. The ‘smart’ part of the target asks that business reduce their negative biodiversity impacts, by 50%, and show an increase in positive impacts by 2030.??

A target like this is important because it creates the necessary incentive for businesses to act, and it must be adopted by the negotiations. References to private activities in other targets will also signal to the private and financial sector that national governments are working towards private sector inclusion in their environmental planning.??

Translating private sector ambition to practice - building on existing progress?

In addition to the momentum and need for ambitious action – governments need to recognise that business support for nature-related reporting is there. Front-running companies are asking for requirements to measure, collect and act on nature-related information to decrease impact and reliance on natural systems, and understand risks imposed on their operations.?

Within the UK and the EU, we are already seeing mandatory reporting requirements on nature-related impacts and dependencies come through. Listed companies will be required to integrate the value of nature within their decision-making processes through the creation of policies, targets and governance structures through the newly approved corporate sustainability reporting directive and Biodiversity Net Gain policy. This is happening in real-time, and if we want action by companies outside the EU, then the global framework needs to adopt private sector-related targets. This will signal to companies all over the world, that nature-related reporting and action is becoming the global norm, and it will create even more incentive for businesses to be proactive.?

Complementing this, financial institutions are starting to consider the financial risks that unrealised biodiversity risk imposes on their investments. This means companies are also coming under pressure from their banks and investors to share their approach to assessing biodiversity impacts and dependencies, and how these will be quantified and mitigated. This is needed to ensure financial flows divest from unsustainable activities and move towards sustainable ones that respect our planetary boundaries. Nobody is suggesting that governments can solve the biodiversity and climate crisis alone. Collaboration across sectors, geographies and jurisdictions is needed.??

Of course, shifting business practices to become nature-positive won’t be easy. It will require the development of implementation frameworks, tangible targets and accountability tools. But without a strong, equitable and inclusive post-2020 framework, biodiversity will continue to decline and we simply can’t let this continue.?

Show Your Support?

Business for Nature’s #makeitmandatory campaign is asking for all large businesses and financial institutions to assess and disclose their impacts and dependencies on biodiversity by 2030.??

If you are a business and would like to show your support and readiness to act, we encourage you to join the Nature Positive Business Pledge , which is open to all businesses, anywhere in the world.?

Financial institutions looking to support biodiversity in investment decisions are encouraged to join the Finance for Biodiversity Pledge to call on global leaders and commit to protecting and restoring biodiversity through their finance activities and investments.?

To share thoughts or further ideas contact; ?

[email protected] ?

Twitter: @juliedandthesea??