Nature Based Disclosure

Nature-based disclosure extends ESG reporting by focusing on a company's relationship with the natural environment and its impact on biodiversity and ecosystem services. Nature-based disclosure involves reporting on the positive and negative impacts of a company's operations on biodiversity, as well as the measures taken to protect and restore biodiversity and ecosystem services.

Nature-based disclosure is becoming increasingly important as the degradation of natural resources and ecosystems continues to pose a significant risk to businesses, their stakeholders, and the global economy. Companies that rely on natural resources, such as agriculture, forestry, mining, and fishing, have a particularly strong incentive to disclose their impact on nature and their efforts to protect biodiversity.

Nature-based disclosure can take different forms, including reporting on the use of natural resources, the impact of land use changes on biodiversity, and the implementation of restoration and conservation measures. It can also involve reporting on a company's supply chain and the sustainability of its raw materials and products.

Integrating nature-based disclosure into ESG reporting can provide a more comprehensive and holistic view of a company's sustainability performance and its impact on the natural environment. This can help companies identify and manage risks related to biodiversity loss, demonstrate their commitment to sustainability, and build trust with their stakeholders.