At the forefront of COP15 have been the discussions around the so-called ‘30 x 30’- the goal to prevent damage to the natural environment and to protect 30% of land and sea by 2030. The topic is causing great controversy, with some arguing that it does not go far enough and others suggesting it is impossible to enforce. The biggest criticism, however, has been the argument that area-based conservation violates human rights, harkening back to the idea of so-termed ‘fortress conservation’, where people who had been wardens of natural spaces for thousands of years were removed from protected areas. In an article by the Guardian last autumn, they note that the fortress conservation models have resulted in human rights abuses and an estimated 20 million people across the globe becoming displaced from their homelands since the 19th century. “Historically, the global conservation movement was based on the idea that protected areas flourish free from human disturbance, but a growing body of evidence shows that indigenous communities are the best at looking after wildlife, and that as much as 80% of the world’s remaining forest biodiversity lies within indigenous peoples’ territories.”[i] To address this, the language being proposed for the 30 x 30 agreement is mindful of indigenous people by focusing on “rights-based conservation”[ii]- therefore placing Indigenous peoples and local communities (IPLCs) as protectors of the land.
“There are very, very painful stories of how Indigenous peoples’ rights have been violated, how they have been killed, taken out of their territory and caused to become extinct because of the expansion or the establishment of protected areas,”- Jennifer Corpuz, part of the Kankana-ey Igorot in the Philippines, and representative of the International Indigenous Forum on Biodiversity[iii].
Further challenges with 30 X 30 lie in financial constraints- the Financial Times has noted that leading participants are concerned that progress could be hampered unless richer countries pledge more funds. The UN Environment Programme recently said that investments in nature-based solutions needed to double an estimated $384bn by 2025[iv]. In particular, “the private sector must significantly increase investment from current levels”[v], it said, given the constraints on public budgets post Covid-19 and the current economic uncertainty.
Alongside the 30 X 30 target, increasing support for business disclosure on biodiversity impacts has also been noted at COP15. Dubbed ‘Target 15’ in a draft framework, it proposes a requirement for businesses to indicate nature-related risks associated with their activities and is supported by many of the companies attending COP15. The draft global biodiversity framework advocates “mandatory requirements for all large business and financial institutions to assess and disclose their impacts and dependencies on nature”[vi]. This is being proposed together with an objective to halve negative impacts by 2030, which could see businesses in polluting industries- such as mining, oil & gas, and manufacturing, facing additional costs. Should the deal be weakened through a failure to reach a global agreement, there is a real risk that the regulatory landscape for biodiversity could fragment and vary greatly between countries and regions, thus posing compliance challenges for global corporations alongside increased costs.
Lucy Gaffney, Business for Biodiversity Ireland (BBI), told the Irish Times:
“There is huge amount of momentum behind mandatory reporting,” saying that in her view, when compared to previous biodiversity COPs, the level of business engagement on the issue was unprecedented[vii].
Numerous financial firms and investors have used COP15 to call for a treaty requiring those in the financial sector to align their activities with nature goals. The group representing more than $24 trillion in assets, have provided a statement which, according to Business Green, calls on governments to "provide an agreement that creates the clarity and action to align all economic actors, including finance, to halt and reverse nature loss, and contribute to nature-based Solutions to climate change, a fair and just transition, and other sustainable development challenges"[viii]. Firms which have signed the statement include AXA Group, Legal and General Investment Management, Fidelity International, Sumitomo Mitsui Trust Asset Management, and UBS Bank.
With the World Economic Forum estimating that more than half of the world's total GDP is moderately or highly dependent on nature and its ecosystems[ix], investors are urging governments to adopt measures within the draft Global Biodiversity Framework treaty to set a clear mandate for alignment of financial flows with the preservation of global biodiversity. This follows similar stipulations which were included in the Paris Agreement. More specifically, signatories are seeking clear targets and definitions that can support the development of a pipeline of nature-positive projects and investments. They also wish to see measures tailored to support businesses in measuring and disclosing their nature-related impacts.
Jan Erik Saugested, CEO of Storebrand Asset Management, said: "voluntary actions alone will be insufficient to change practices across the financial sector in a way that protects and restores biodiversity at the rate and scale required." He added: "It is therefore critical that the Global Biodiversity Framework creates the impetus for governments to create the enabling environment that will support and scale up actions from the financial sector to reverse biodiversity loss in this decade."[x]
It comes as ShareAction launched their new ‘In debt to the planet report’ to coincide with COP15. The research looks at the action taken by the 25 largest consumer banks in Europe, including BNP Paribas, Lloyds Banking Group, HSBC, Societe Generale, and ING. It will prove interesting reading for those within financial services, with the headline finding being that banks are not currently doing enough to address climate change and biodiversity loss, with this seemingly linking to a failure to set and implement interim targets. Thus, it appears that banks are not yet backing their commitments with the necessary action. Having scored and ranked Europe’s 25 largest banks on their approach to climate and biodiversity, the average overall score was just 43.7%, equivalent to a C+ grade, and the highest was 63% or B+. “Target setting aimed at protecting and restoring biodiversity is nearly non-existent. Very few of the banks surveyed have set any formal targets relating to biodiversity, particularly for managing risks”[xi], and only three of the banks- ING, Societe Generale and BNP Paribas, had such a commitment.
The findings from ShareAction tie in with the COP15 demands from financial institutions who want to see government support and regulation to help companies reverse biodiversity loss. Whilst leading players have set headline targets and commitments, immediate action appears to be lacking. Anita de Horde, co-founder and coordinator of the Finance for Biodiversity Foundation, said that there was clearly a growing movement across the financial services sector to tackle biodiversity loss: "Biodiversity is becoming a concern for financial institutions of all sizes and types across the world, but voluntary action alone will be insufficient to change practices across the financial sector in a way that protects and restores biodiversity at the rate and scale required. We need Parties to support the alignment of financial flows with the goals and targets of the Global Biodiversity Framework. That way governments need to start working on policy and regulatory measures to create an enabling environment and stimulate the finance sector to start reversing nature loss this decade."[xii]
[i] Campaign launched to protect 80% of Amazon at key environment summit | Global development | The Guardian
[ii] Plan to protect 30% of Earth divides and inspires at Cop15 | Cop15 | The Guardian
[iii] Ibid
[iv] COP15: UN warns of the cost of ‘humanity treating nature like a toilet’ | Financial Times
[v] Ibid
[vi] Cop15: Support grows for mandatory reporting of the impact of business on nature – The Irish Times
[vii] Ibid
[viii] 'Voluntary action is not enough': 150 top investors demand ambitious global biodiversity treaty | BusinessGreen News
[ix] Half of World’s GDP Moderately or Highly Dependent on Nature, Says New Report > Press releases | World Economic Forum (weforum.org)
[x] 'Voluntary action is not enough': 150 top investors demand ambitious global biodiversity treaty | BusinessGreen News
[xi] ShareAction_Banking_Survey_2022-final.pdf
[xii] 'Voluntary action is not enough': 150 top investors demand ambitious global biodiversity treaty | BusinessGreen News
Lauren has extensive experience as an analyst and market researcher in the digital technology and travel sectors. She has a background in researching and forecasting emerging technologies, with a particular passion for the Videogames and eSports industries. She joined the Critical Information Group as Head of Reports and Market Research at GRC World Forums, and leads the content and data research team at the Zero Carbon Academy. “What drew me to the academy is the opportunity to add content and commentary around sustainability across a wealth of industries and sectors.”
