Written By BIONEXT
The world is at a pivotal crossroads, with undeniable signs that change is no longer optional but inevitable. The accelerating impacts of climate change, the relentless loss of biodiversity, and growing social unrest underscore the urgent need to integrate environmental values into decision-making processes and business practices. As businesses increasingly grapple with their environmental responsibilities, addressing biodiversity loss becomes one of the most pressing challenges.
The critical question now is whether this transformation will be proactive or imposed upon us by uncontrollable circumstances. To explore the role of businesses in combating biodiversity loss, we spoke with three experts – Martin Lok, Anna Chilton, and Katarzyna Dulko-Gaszyna – who are engaged in the business world, to hear their perspectives on the future and the vital role businesses play in shaping it.
Where are we now?
Many businesses have made significant strides towards more sustainable practices, particularly in addressing climate change. Over the past decade, companies have adopted circular economy principles, focused on resource efficiency, and transitioned to renewable energy. In addition, they increasingly assess and disclose impacts on nature. These efforts, while important, often fail to address biodiversity loss directly, leaving a critical gap in environmental action.
Despite growing awareness, biodiversity is still not fully integrated into business strategy and practice. The challenge lies in bridging the gap between awareness and action. Many businesses struggle to implement effective mitigation strategies, partly because the impacts of biodiversity loss are localized and vary across regions, therefore presenting challenges in monitoring at scale, and because the economic system is not rewarding nature-positive outcomes sufficiently. This complexity makes it difficult to develop unified approaches, but solutions are available if there is the will to act.
What actions can businesses take?
To achieve the transformative change needed to address biodiversity loss, businesses must move beyond incremental adjustments and embrace a fundamental rethinking of their sustainability strategies. But what specific actions are necessary to make this vision a reality?
Understanding the impact of actions
To address biodiversity loss, businesses must better understand their environmental impacts. A unified approach to sustainability and redefining success in ecological terms are essential. Tools like the ENCORE database, and SBTN for quantifying and setting science-based targets can help businesses identify their impact and dependency on nature and related risks. However, challenges remain, especially regarding the need for high-quality data and reliable baselines. Frameworks such as the Natural Capital Protocol and the TNFD Framework guide assessing and disclosing impacts and dependencies on nature and climate, that form the starting point for setting measurable and science-based biodiversity and climate goals.
Efforts are also needed to develop clear and practical handles for action. For example, differentiating the impacts of agricultural practices allows companies to identify priority actions and adjust their strategies to minimize ecosystem damage.
“It would be more helpful for us to focus on identifying the specific practices that lead to regenerative effects or a more sustainable ecosystem. By separating these practices and understanding which actions lead to which outcomes, we can gather more reliable data, ultimately improving our ability to forecast and make informed decisions,” says Chilton.
Integrating sustainability into project and investment planning
Sustainability must be embedded into all projects and investments. This means considering biodiversity in infrastructure planning and addressing future legislation and sustainability expectations from the outset. Companies can no longer treat sustainability as an afterthought; it must be central to decision-making and long-term planning. This approach not only safeguards ecosystems but also ensures developments are adaptable to changing regulations and future challenges.
The importance of collaboration across sectors
Collaboration across industries – from investors to farmers – is crucial to scaling sustainability practices. “However, challenges arise due to disconnected societal goals and inconsistent policies, making it difficult to incentivize sustainable actions. The current economic framework often lacks support for nature-positive practices, highlighting the need for stronger regulations and incentives,” explains Lok.
On a positive note, successful collaborations are emerging. “For example, the South African government’s national action on Alien Vegetation Species, to remove invasive plants demonstrates successful public-private partnerships, which improve water resources, engage the community, and raise awareness of Indigenous species, thus, fostering cross-sector collaboration can lead to more effective and integrated approaches to sustainability. This is one example of effective co-financing where nature-based solutions that benefit businesses, communities, and landscapes are made possible through multiple financing efforts,” adds Chilton.
Influencing consumers towards sustainability
“Businesses should also use their influence to promote and enable impactful and meaningful sustainable practices among consumers. What I mean is not only offering products and services that embrace the biodiversity criteria as an example but also educating their audience on actions they could do at home and in local neighbourhoods. Reducing light pollution or urban gardening could make a big change if it becomes mainstream,” says Dulko-Gaszyna.
Transparency in sustainability
Finally, transparency and confidence are key. By disclosing environmental efforts in a transparent and consistent way, businesses stay accountable, provide confidence to stakeholders and financial partners, and inspire broader industry participation. Aligning sustainability goals with core operations ensures a just, equitable transition, benefiting both nature and society in the long term.
How to go forward?
Businesses have a critical role to play in addressing biodiversity loss and fostering a sustainable future. To do so, they must understand their environmental impacts, integrate sustainability into core decision-making, collaborate across industries, influence consumer behaviour, and embrace transparency. By adopting these strategies, businesses can lead the way in creating a nature-centred economy that benefits both the environment and society in the long run.