The UN Convention on Biological Diversity will be starting in a couple of weeks. The convening nations are expected to adopt a new post-2020 Global Framework for Biodiversity. Much like the more well-known Paris Agreement for Climate Change, a new agreement would set goals, targets, and the policy direction for the biodiversity agenda. In turn, these targets would help companies develop their plans.
Biodiversity refers to the variety of life in a particular ecosystem. We typically think of life in terms of species – a group of organisms with similar characteristics. And an ecosystem is the physical place where the organisms interact. Examples of ecosystems include tropical rainforests, coral reefs, deserts, or grasslands.
Healthy ecosystems are essential for our existence. And abundant and diverse species provide resilience for healthy ecosystems.
Companies count on the long-term health of ecosystems for the raw material for production. They also rely on healthy ecosystems to treat their waste by regenerating the water and soil and controlling the air quality. And when it comes to fighting climate change, nature-based solutions are essential to meeting Paris Agreement goals.
However, both ecosystems and species are in danger. A 2019 report from an intergovernmental panel found that 1 million species risk extinction. And development has altered 75% of the planet’s land surface.
Putting that data in an economic context, the World Economic Forum says that over half the world’s GDP – equivalent to US$ 44 trillion – is moderately or highly exposed to risks from nature loss.
So, faced with financial, reputational, and regulatory risks, leading companies are launching biodiversity assessments. This analysis helps companies understand how their value chain interacts with nature. Then, armed with that data, they begin the work of tracing their raw materials to specific suppliers to reduce impact and restore and regenerate damaged ecosystems.
The pandemic is prompting companies to add resiliency to their supply chains. Protecting biodiversity at the same time is an excellent strategy.
