https://climatejournal.news/ en https://climatejournal.news/news/unleashing-the-potential-of-nature-finance-a-pathway-to-mitigate-risks-and-unlock-benefits <div class="field field--name-title field--type-string field--label-hidden field--item"><span>Unleashing the potential of nature finance: a pathway to mitigate risks and unlock benefits</span> </div> <span class="a2a_kit a2a_kit_size_32 addtoany_list" data-a2a-url="https://climatejournal.news/news/unleashing-the-potential-of-nature-finance-a-pathway-to-mitigate-risks-and-unlock-benefits" data-a2a-title="Unleashing the potential of nature finance: a pathway to mitigate risks and unlock benefits"><a class="a2a_button_linkedin"><img src="/libraries/bsp_social_media_icons_share/service/linkedin.svg" border="0" alt="LinkedIn" height="18" class="social-media-links-normal"><img src="/libraries/bsp_social_media_icons_share/service/linkedin_hover.svg" border="0" alt="LinkedIn" height="18" class="social-media-links-hover"></a><a class="a2a_button_facebook"><img src="/libraries/bsp_social_media_icons_share/service/facebook.svg" border="0" alt="Facebook" height="18" class="social-media-links-normal"><img src="/libraries/bsp_social_media_icons_share/service/facebook_hover.svg" border="0" alt="Facebook" height="18" class="social-media-links-hover"></a><a class="a2a_button_twitter"><img src="/libraries/bsp_social_media_icons_share/service/twitter.svg" border="0" alt="Twitter" height="18" class="social-media-links-normal"><img src="/libraries/bsp_social_media_icons_share/service/twitter_hover.svg" border="0" alt="Twitter" height="18" class="social-media-links-hover"></a><a class="a2a_button_email"><img src="/libraries/bsp_social_media_icons_share/service/email.svg" border="0" alt="Email" height="18" class="social-media-links-normal"><img src="/libraries/bsp_social_media_icons_share/service/email_hover.svg" border="0" alt="Email" height="18" class="social-media-links-hover"></a><a class="a2a_dd" href="https://www.addtoany.com/share"><img src="/libraries/bsp_social_media_icons_share/service/share_hover.svg" border="0" alt="Share" height="18" class="social-media-links-hover"><img src="/libraries/bsp_social_media_icons_share/service/share.svg" border="0" alt="Share" height="18" class="social-media-links-normal"> Share </a></span> <div class="field field--name-field-tags field--type-entity-reference field--label-inline"> <div class="field--label">Tags</div> <div class="field--items"> <div class="field--item"><a href="/tag/finance" hreflang="en">Finance</a></div> <div class="field--item"><a href="/tag/nature-based-solutions" hreflang="en">Nature-based Solutions</a></div> <div class="field--item"><a href="/tag/nature-positive-economy-0" hreflang="en">Nature Positive Economy</a></div> <div class="field--item"><a href="/tag/nature-conversation" hreflang="en">Nature Conversation</a></div> <div class="field--item"><a href="/tag/business" hreflang="en">Business</a></div> <div class="field--item"><a href="/tag/economy" hreflang="en">Economy</a></div> </div> </div> <div class="field field--name-field-topic field--type-entity-reference field--label-inline"> <div class="field--label">Topic</div> <div class="field--items"> <div class="field--item"><a href="/topic/nature-positive-economy" hreflang="en">Nature Positive Economy</a></div> </div> </div> <img alt="Unleashing the potential of nature finance: a pathway to mitigate risks and unlock benefits" title="Unleashing the potential of nature finance: a pathway to mitigate risks and unlock benefits" class="img-responsive" src="/files/styles/news_full_main_image/public/bsp-images/news/1470.jpg?itok=bemSC4Dy" width="687" height="687" loading="lazy" typeof="foaf:Image" /> <div class="classy-style--margin-bottom paragraph paragraph--type--bp-simple paragraph--view-mode--default paragraph--id--4554 paragraph--width--full" style=""> <div class="paragraph__column"> </div> </div> <div class="classy-style--margin-bottom paragraph paragraph--type--bp-simple paragraph--view-mode--default paragraph--id--4555 paragraph--width--full" style=""> <div class="paragraph__column"> <p>The loss of wildlife has rapidly accelerated and has reached a staggering 69% decline on average since 1970, according to World Wild Fund's latest <a href="https://livingplanet.panda.org/en-GB/" target="_blank">Living Planet Report</a>, which we could assume is an issue for environmentalists to deal with.</p> <p>However, nature provides all kinds of ecosystem services that businesses leverage, directly or indirectly, and according to <a href="https://kpmg.com/dp/en/home/insights/2023/11/putting-nature-at-the-heart-of-our-economy.html" target="_blank">KPMG</a>, more than half the world’s economic output depends on nature, and its contribution is estimated at more than $125 trillion USD annually.</p> <p>“Businesses rely on nature for products and suitable operating conditions. If these services are lost, it will affect business profitability and viability,” says Gillian Power, Director of Communications and Marketing at the <a href="https://isfcoe.org/" target="_blank">International Sustainable Finance Centre of Excellence </a>(ISFCOE), also referred to as the Centre.</p> <p>She adds:</p> </div> </div> <div class="paragraph paragraph--type--bp-columns-two-uneven paragraph--view-mode--default paragraph--id--4558 paragraph--width--full paragraph--style--66-33"> <div class="paragraph__column"> <div class="paragraph--type--bp-columns-two-uneven__2col-column1"> <div> <div class="classy-style--margin-bottom paragraph paragraph--type--bp-simple paragraph--view-mode--default paragraph--id--4556 paragraph--width--full" style=""> <div class="paragraph__column"> <blockquote> <p>“While the economic value extracted from nature has continued to grow, such as crop production, many of nature’s other contributions to people are in decline, like soil productivity or pollinator abundance.”</p> </blockquote> <p>The Centre first released its scoping study, ‘Nature and biodiversity finance: Risks and opportunities for Ireland’ in 2022 to examine the biodiversity agenda and highlight nature-related risks and potential impacts on various sectors, such as agriculture, real estate, and manufacturing.</p> <p>Gillian explains that “the financial sector drives nature loss through the activities it lends to, insures, and invests in and is also exposed to financial risks from short- and long-term nature loss.”</p> </div> </div> </div> </div><div class="paragraph--type--bp-columns-two-uneven__2col-column2"> <div> <div class="classy-style--margin-bottom paragraph paragraph--type--bp-image paragraph--view-mode--default paragraph--id--4557 paragraph--width--full"> <div class="paragraph__column"> <div class="field field--name-bp-image-field field--type-image field--label-hidden field--item"> <img alt="" title="" src="/files/bsp-images/paragraph/1471.jpg" width="675" height="675" loading="lazy" typeof="foaf:Image" class="img-responsive" /> </div> <div class="field field--name-field-image-title field--type-string field--label-hidden field--item">Gillian Power, Director of Communications and Marketing at the International Sustainable Finance Centre of Excellence (ISFCOE)</div> </div> </div> </div> </div> </div> </div> <div class="classy-style--margin-bottom paragraph paragraph--type--bp-simple paragraph--view-mode--default paragraph--id--4559 paragraph--width--full" style=""> <div class="paragraph__column"> <p>To put this in perspective, she shares an example of the greenhouse gas emissions induced by Canadian banks' investments and loans to fossil fuel companies being 100 times higher than the operational emissions from the banks themselves.</p> <blockquote> <p>She underscores that the finance sector, with its pivotal role in directing capital flows, has the power to steer away from detrimental practices and towards more sustainable investments, thereby contributing to net-zero goals.</p> </blockquote> </div> </div> <div class="classy-style--margin-bottom paragraph paragraph--type--bp-simple paragraph--view-mode--default paragraph--id--4560 paragraph--width--full" style=""> <div class="paragraph__column"> <p>“Banks have allocated over $2.6 trillion to sectors predominantly accountable for biodiversity loss, with many lacking sufficient processes or policies to monitor or mitigate these impacts and their exposure to nature-related risks. Similarly, globally, publicly funded development banks are estimated to finance approximately $800 billion in harmful activities annually.”</p> <p>Based on their first study, ISFCOE realised that more detailed research covering the full spectrum of biodiversity-related risks and opportunities for the Irish financial system was needed, which led them to publish the <a href="https://isfcoe.org/wp-content/uploads/2023/12/KPMG-ISFCOE-Dec-23-Final-Ebook-3-MASTER-v3.pdf" target="_blank">Nature of Finance report</a> in 2023.</p> </div> </div> <div class="paragraph paragraph--type--bp-columns-two-uneven paragraph--view-mode--default paragraph--id--4563 paragraph--width--full paragraph--style--33-66"> <div class="paragraph__column"> <div class="paragraph--type--bp-columns-two-uneven__2col-column1"> <div> <div class="classy-style--margin-bottom paragraph paragraph--type--bp-image paragraph--view-mode--default paragraph--id--4561 paragraph--width--full"> <div class="paragraph__column"> <div class="field field--name-bp-image-field field--type-image field--label-hidden field--item"> <img alt="" title="" src="/files/bsp-images/paragraph/1472.jpg" width="649" height="914" loading="lazy" typeof="foaf:Image" class="img-responsive" /> </div> <div class="field field--name-field-image-title field--type-string field--label-hidden field--item">The Nature of Finance report is Ireland’s first study on nature-related risks and opportunities to the financial sector, published by Dublin-based International Sustainable Finance Centre of Excellence.</div> </div> </div> </div> </div><div class="paragraph--type--bp-columns-two-uneven__2col-column2"> <div> <div class="classy-style--margin-bottom paragraph paragraph--type--bp-simple paragraph--view-mode--default paragraph--id--4562 paragraph--width--full" style=""> <div class="paragraph__column"> <p>KPMG Sustainable Futures and ISFCOE co-authored the report with support from Skillnet Ireland to establish a baseline in this area, raise awareness of the sector's interactions with and reliance on nature, and ignite deeper investigations.</p> <blockquote> <p>This first-of-its-kind landmark study found that more than half (58%) of Irish lending goes to economic sectors with a high dependency on biodiversity and nature, while 94% (€85 billion) of lending goes to industries that potentially have a high impact on nature.</p> </blockquote> <p>It also showed a clear link between bank lending in Ireland and economic sectors highly dependent on ecosystem services and impact nature in areas like managing surface and groundwater, climate regulation, flood and storm protection, erosion control, and pollination.</p> </div> </div> </div> </div> </div> </div> <div class="classy-style--margin-bottom paragraph paragraph--type--bp-simple paragraph--view-mode--default paragraph--id--4564 paragraph--width--full" style=""> <div class="paragraph__column"> <p>In addition, it recognises that Ireland hosts one of the largest insurance services sectors in Europe, which could open up new opportunities.</p> <p>“The insurance industry in Ireland is a key agent of change in the move towards a more sustainable economy and society.”</p> <p>She adds: “Transitioning to a carbon-neutral economic model requires long-term financing, and insurers are amongst the most significant institutional investors.</p> <blockquote> <p>Many insurers have started to screen their investments using ESG criteria and increase their sustainable investment commitments.</p> </blockquote> <p>As a result, they have become significant investors in green, social, and sustainable financial instruments.”</p> <p>Based on her experience, Gillian believes that insurers and reinsurers increasingly acknowledge the imperative of addressing nature-related risks within their risk management and underwriting frameworks.</p> <p>“Loss of biodiversity and degradation of nature pose risks for the financial sector, including physical risk due to increased frequency and severity of natural disasters such as floods, droughts, and storms, leading to infrastructure damage and disrupted supply chains.</p> <p>You will also need to manage market risk, which means consumers are shifting preferences towards environmentally sustainable products and services.</p> <p>Besides, businesses operating in sectors dependent on natural resources may face increased credit risks due to their vulnerability to environmental shocks and regulatory changes.</p> <p>Given the scale and complexity of nature-related financial impacts, risks, and opportunities and how underdeveloped this area is, the report proposed a draft Nature Finance Roadmap to position Ireland as a leader on the nature finance agenda.</p> </div> </div> <div class="paragraph paragraph--type--bp-columns-two-uneven paragraph--view-mode--default paragraph--id--4567 paragraph--width--full paragraph--style--58-42"> <div class="paragraph__column"> <div class="paragraph--type--bp-columns-two-uneven__2col-column1"> <div> <div class="classy-style--margin-bottom paragraph paragraph--type--bp-image paragraph--view-mode--default paragraph--id--4565 paragraph--width--full"> <div class="paragraph__column"> <div class="field field--name-bp-image-field field--type-image field--label-hidden field--item"> <img alt="" title="" src="/files/bsp-images/paragraph/1473.jpg" width="1233" height="743" loading="lazy" typeof="foaf:Image" class="img-responsive" /> </div> <div class="field field--name-field-image-title field--type-string field--label-hidden field--item">Nature Finance Roadmap draft proposed in the Nature of Finance report as a next step.</div> </div> </div> </div> </div><div class="paragraph--type--bp-columns-two-uneven__2col-column2"> <div> <div class="classy-style--margin-bottom paragraph paragraph--type--bp-simple paragraph--view-mode--default paragraph--id--4566 paragraph--width--full" style=""> <div class="paragraph__column"> <p>This Roadmap mirrors <a href="https://isfcoe.org/wp-content/uploads/2024/04/F9ysNG-Irish-SusFinance-Roadmap-FINAL-FINAL-OCTOBER-2021.pdf" target="_blank">Ireland's Sustainable Finance Roadmap</a> introduced in 2021 and is structured around its five main pillars: developing talent, improving industry readiness, leveraging digital and data, creating a nature-positive enabling environment, and enhancing communications and engagements on nature and finance risks and opportunities.</p> <p>It also recommends establishing a Nature Finance Roadmap Delivery Group as an additional Pillar 0, including experts and stakeholders from public, private, and academic institutions.</p> </div> </div> </div> </div> </div> </div> <div class="classy-style--margin-bottom paragraph paragraph--type--bp-simple paragraph--view-mode--default paragraph--id--4568 paragraph--width--full" style=""> <div class="paragraph__column"> <p>Gillian further explains that the public sector is currently the more prominent actor in nature-based and biodiversity finance, offering financial instruments that would encourage businesses to advance conservation outcomes through tax breaks and other incentives.</p> <p>She points out that the State also has a critical role in attracting foreign direct investment as capability and critical mass of expertise emerges.</p> <blockquote> <p>“Our ongoing research in the nature and biodiversity finance space has presented us with a unique set of opportunities for both private and public sector financial actors and businesses in Ireland.</p> </blockquote> <p>We are also advancing efforts in the space through ‘Communities of Practice’ discussions and by working on developing an upcoming course for finance professionals on Biodiversity Finance.”</p> </div> </div> <div class="field field--name-field-background-style field--type-list-string field--label-above"> <div class="field--label">Background style</div> <div class="field--item">Light</div> </div> <div class="field field--name-field-sponsored field--type-boolean field--label-above"> <div class="field--label">Sponsored?</div> <div class="field--item">No</div> </div> <div class="field field--name-created field--type-created field--label-hidden field--item">May 2024</div> <div class="field field--name-field-collaborative-content-with field--type-entity-reference field--label-inline"> <div class="field--label">Collaborative content with</div> <div class="field--item"> <a href="/partner/profit-with-purpose-magazine">Profit with Purpose Magazine</a> </div> </div> Thu, 16 May 2024 15:59:49 +0000 Szilvia Szabó 330 at https://climatejournal.news https://climatejournal.news/news/why-should-businesses-aim-for-a-nature-positive-and-net-zero-economy <div class="field field--name-title field--type-string field--label-hidden field--item"><span>Why should businesses aim for a nature positive and net-zero economy?</span> </div> <span class="a2a_kit a2a_kit_size_32 addtoany_list" data-a2a-url="https://climatejournal.news/news/why-should-businesses-aim-for-a-nature-positive-and-net-zero-economy" data-a2a-title="Why should businesses aim for a nature positive and net-zero economy?"><a class="a2a_button_linkedin"><img src="/libraries/bsp_social_media_icons_share/service/linkedin.svg" border="0" alt="LinkedIn" height="18" class="social-media-links-normal"><img src="/libraries/bsp_social_media_icons_share/service/linkedin_hover.svg" border="0" alt="LinkedIn" height="18" class="social-media-links-hover"></a><a class="a2a_button_facebook"><img src="/libraries/bsp_social_media_icons_share/service/facebook.svg" border="0" alt="Facebook" height="18" class="social-media-links-normal"><img src="/libraries/bsp_social_media_icons_share/service/facebook_hover.svg" border="0" alt="Facebook" height="18" class="social-media-links-hover"></a><a class="a2a_button_twitter"><img src="/libraries/bsp_social_media_icons_share/service/twitter.svg" border="0" alt="Twitter" height="18" class="social-media-links-normal"><img src="/libraries/bsp_social_media_icons_share/service/twitter_hover.svg" border="0" alt="Twitter" height="18" class="social-media-links-hover"></a><a class="a2a_button_email"><img src="/libraries/bsp_social_media_icons_share/service/email.svg" border="0" alt="Email" height="18" class="social-media-links-normal"><img src="/libraries/bsp_social_media_icons_share/service/email_hover.svg" border="0" alt="Email" height="18" class="social-media-links-hover"></a><a class="a2a_dd" href="https://www.addtoany.com/share"><img src="/libraries/bsp_social_media_icons_share/service/share_hover.svg" border="0" alt="Share" height="18" class="social-media-links-hover"><img src="/libraries/bsp_social_media_icons_share/service/share.svg" border="0" alt="Share" height="18" class="social-media-links-normal"> Share </a></span> <div class="field field--name-field-tags field--type-entity-reference field--label-inline"> <div class="field--label">Tags</div> <div class="field--items"> <div class="field--item"><a href="/tag/net-zero-economy" hreflang="en">Net-zero Economy</a></div> <div class="field--item"><a href="/tag/sustainable-business" hreflang="en">Sustainable Business</a></div> <div class="field--item"><a href="/tag/nature-positive-economy-0" hreflang="en">Nature Positive Economy</a></div> </div> </div> <div class="field field--name-field-topic field--type-entity-reference field--label-inline"> <div class="field--label">Topic</div> <div class="field--items"> <div class="field--item"><a href="/topic/nature-positive-economy" hreflang="en">Nature Positive Economy</a></div> </div> </div> <img alt="Why should businesses aim for a nature positive and net-zero economy?" title="Why should businesses aim for a nature positive and net-zero economy?" class="img-responsive" src="/files/styles/news_full_main_image/public/bsp-images/news/1467.jpg?itok=Guy-atXG" width="687" height="687" loading="lazy" typeof="foaf:Image" /> <div class="classy-style--margin-bottom paragraph paragraph--type--bp-simple paragraph--view-mode--default paragraph--id--4541 paragraph--width--full" style=""> <div class="paragraph__column"> </div> </div> <div class="classy-style--margin-bottom paragraph paragraph--type--bp-simple paragraph--view-mode--default paragraph--id--4542 paragraph--width--full" style=""> <div class="paragraph__column"> <p>Companies' net zero targets surged more than 40% between 2022 and 2023, which means that, based on Net Zero Tracker's latest <a href="https://zerotracker.net/analysis/new-analysis-half-of-worlds-largest-companies-are-committed-to-net-zero" target="_blank">analysis</a>, 66% of the annual revenue of the world’s largest 2000 companies are now committed to net zero goals.</p> <p>Since it has become inevitable for businesses to set climate agendas, most sustainability strategies and finance are driven by a climate-first approach, sidelining other important areas, such as biodiversity.</p> <blockquote> <p>“There is a need to emphasise that climate change and loss of nature are inextricably linked since both drive each other, and neither can be solved in isolation,”</p> </blockquote> <p>says Thomas Ball, Director of Nature and Land Use at <a href="https://kpmg.com/ie/en/home/services/sustainable-futures.html" target="_blank">KPMG’s Sustainable Futures</a>.</p> </div> </div> <div class="paragraph paragraph--type--bp-columns-two-uneven paragraph--view-mode--default paragraph--id--4545 paragraph--width--full paragraph--style--66-33"> <div class="paragraph__column"> <div class="paragraph--type--bp-columns-two-uneven__2col-column1"> <div> <div class="classy-style--margin-bottom paragraph paragraph--type--bp-simple paragraph--view-mode--default paragraph--id--4543 paragraph--width--full" style=""> <div class="paragraph__column"> <p>The concept of creating a nature positive economy is gaining momentum in the business, policy, and finance sectors and becoming more recognised as a way to address global ecological and societal challenges.</p> <p>Based on the definition promoted by the global <a href="https://www.naturepositive.org/" target="_blank">Nature Positive Initiative</a>, it practically means that we ‘halt and reverse nature loss by 2030 on a 2020 baseline and achieve full recovery by 2050’, also known as the Global Goal for Nature.</p> <p>As Thomas explains, nature positive is " a world where nature - species and ecosystems - is being restored and is regenerating rather than declining.”</p> <p>This initiative is directly linked to the <a href="https://www.cbd.int/gbf" target="_blank">Global Biodiversity Framework</a> (GBF), signed by 190 countries at the COP 15 UN Biodiversity Conference in 2022.</p> </div> </div> </div> </div><div class="paragraph--type--bp-columns-two-uneven__2col-column2"> <div> <div class="classy-style--margin-bottom paragraph paragraph--type--bp-image paragraph--view-mode--default paragraph--id--4544 paragraph--width--full"> <div class="paragraph__column"> <div class="field field--name-bp-image-field field--type-image field--label-hidden field--item"> <img alt="" title="" src="/files/bsp-images/paragraph/1468.jpg" width="540" height="540" loading="lazy" typeof="foaf:Image" class="img-responsive" /> </div> <div class="field field--name-field-image-title field--type-string field--label-hidden field--item">The Nature Positive Initiative advocates for the full implementation of the Biodiversity Plan to reverse nature loss by 2030. Image: Nature Positive Initiative</div> </div> </div> </div> </div> </div> </div> <div class="classy-style--margin-bottom paragraph paragraph--type--bp-simple paragraph--view-mode--default paragraph--id--4546 paragraph--width--full" style=""> <div class="paragraph__column"> <blockquote> <p>“Target 15 under the GBF is particularly important for businesses: `Businesses Assess, Disclose and Reduce Biodiversity-Related Risks and Negative Impacts`.</p> </blockquote> <p>However, it is still challenging to translate these global goals and definitions into tangible actions,” adds Thomas, noting that this will happen sooner rather than later.</p> <p>Although it is tempting to say that my business is unrelated to nature, very few companies can function in complete isolation from ecosystems, and it is becoming more expensive to keep problems away and pay off rather than address root issues.</p> <p>He highlights that forward-thinking businesses are already integrating nature and climate strategies and that ready-to-use resources are available to help companies design meaningful plans and outline required steps.</p> <p>A practical tool he recommends is the LEAP framework, a four-step practical process set out by the <a href="https://tnfd.global/" target="_blank">Taskforce on Nature-related Financial Disclosures</a>, which stands for Locate, Evaluate, Assess and Prepare.</p> <p>It starts by locating the company`s direct and indirect interface with nature and biodiversity, then evaluates nature-related impacts and dependencies from the business model and activities, assesses related risks and opportunities, and concludes by disclosing the findings in a report.</p> <p>The next phase is to develop an integrated climate and nature transition plan with clear, actionable steps to achieve science-based targets in order to build resilience and contribute to a more sustainable economy.</p> </div> </div> <div class="paragraph paragraph--type--bp-columns-two-uneven paragraph--view-mode--default paragraph--id--4549 paragraph--width--full paragraph--style--66-33"> <div class="paragraph__column"> <div class="paragraph--type--bp-columns-two-uneven__2col-column1"> <div> <div class="classy-style--margin-bottom paragraph paragraph--type--bp-simple paragraph--view-mode--default paragraph--id--4547 paragraph--width--full" style=""> <div class="paragraph__column"> <p>Although it might all seem very logical, it is far from being the business-as-usual practice.</p> <blockquote> <p>“Nature, in some quarters, continues to play second-order priority to climate change and other ESG topics, but in the main, it is rapidly rising on the agenda,”</p> </blockquote> <p>shares Thomas.</p> <p>He adds that "in general, leaders are familiar with nature-related issues but it is a challenge for them to prioritise, make it tangible and divert funding towards this area as it doesn`t seem to have the same urgency as addressing the climate crisis.”</p> </div> </div> </div> </div><div class="paragraph--type--bp-columns-two-uneven__2col-column2"> <div> <div class="classy-style--margin-bottom paragraph paragraph--type--bp-image paragraph--view-mode--default paragraph--id--4548 paragraph--width--full"> <div class="paragraph__column"> <div class="field field--name-bp-image-field field--type-image field--label-hidden field--item"> <img alt="" title="" src="/files/bsp-images/paragraph/1469.jpg" width="459" height="400" loading="lazy" typeof="foaf:Image" class="img-responsive" /> </div> <div class="field field--name-field-image-title field--type-string field--label-hidden field--item">Thomas Ball, Director Sustainable Futures KPMG in Ireland and Lead of the Nature, Biodiversity and Land Use service</div> </div> </div> </div> </div> </div> </div> <div class="classy-style--margin-bottom paragraph paragraph--type--bp-simple paragraph--view-mode--default paragraph--id--4550 paragraph--width--full" style=""> <div class="paragraph__column"> <p>“If you don`t consider nature in your decarbonisation process and take the services it provides for granted, you are missing something vital.”</p> <p>He explains that driving finance into nature protection and restoration is critical.</p> <p>"Investors should look for co-benefits for nature, climate and people. For example, it's important to plant the right trees in the right place to restore biodiversity, sequester carbon and provide amenity value to communities. This requires a landscape-scale approach and engaging local stakeholders in decision making is critical to that process."</p> <p>It is also a question of positioning nature-related investments and business strategies to identify new potential growth areas.</p> <p>Changing the optics on how acceptable it is to exploit or sideline nature could also spark change.</p> </div> </div> <div class="classy-style--margin-bottom paragraph paragraph--type--bp-callout paragraph--view-mode--default paragraph--width--full callout-style--b" id="callout-4552"> <div class="paragraph__column"> <div class="callout-body"> <div class="classy-style--margin-bottom paragraph paragraph--type--bp-simple paragraph--view-mode--default paragraph--id--4551 paragraph--width--full" style=""> <div class="paragraph__column"> <p>“You would not hear a company disclosing that modern slavery is just an inevitable consequence of running their business - they would know this is unacceptable and needed to be tackled immediately.</p> <p>We need the same to happen for nature so a company knows that it is unacceptable for their business to be associated with deforestation in the Amazon or in biodiversity rich regions such as Borneo."</p> </div> </div> </div> </div> </div> <div class="classy-style--margin-bottom paragraph paragraph--type--bp-simple paragraph--view-mode--default paragraph--id--4553 paragraph--width--full" style=""> <div class="paragraph__column"> <p>However, he notes that “The list of requirements and challenges for businesses is immense, and so many don’t have the capacity or personnel to take on what is regarded as a separate or less important issue.”</p> <p>Education and collaboration are the key components Thomas thinks will be critical to making the necessary changes, especially in the field of connecting the finance sector with environmental conservationists, as they are generally very different communities.</p> <p>Despite the challenges, some encouraging progress has been made in Ireland, such as the recent Citizen’s Assembly on Biodiversity Loss or the publication of the <a href="https://www.gov.ie/en/publication/93973-irelands-4th-national-biodiversity-action-plan-20232030/" target="_blank">4th National Biodiversity Action Plan</a> in Ireland.</p> <blockquote> <p>“The tone and scope of the conversation have changed, and there is more openness and willingness to learn and consider the importance of the topic. This has yet to translate into any radical shifts in how we do business in Ireland or globally, but we are starting to see some positive signs.”</p> </blockquote> <p>We need to build up the skillset that allows people in various roles to understand business and nature alike so they can connect the dots and drive projects that integrate both.</p> <p>A great example is building the <a href="https://peatlandfinance.ie/" target="_blank">Peatland Finance Ireland</a> initiative that offers an innovative model for funding and rewarding peatland restoration while engaging multiple stakeholders in aligning the carbon, water and biodiversity agendas with opportunities for communities and regional development.</p> </div> </div> <div class="field field--name-field-background-style field--type-list-string field--label-above"> <div class="field--label">Background style</div> <div class="field--item">Light</div> </div> <div class="field field--name-field-sponsored field--type-boolean field--label-above"> <div class="field--label">Sponsored?</div> <div class="field--item">No</div> </div> <div class="field field--name-created field--type-created field--label-hidden field--item">May 2024</div> <div class="field field--name-field-collaborative-content-with field--type-entity-reference field--label-inline"> <div class="field--label">Collaborative content with</div> <div class="field--item"> <a href="/partner/profit-with-purpose-magazine">Profit with Purpose Magazine</a> </div> </div> Thu, 16 May 2024 14:37:42 +0000 Szilvia Szabó 329 at https://climatejournal.news