How can TNFD bring transparency on a path to save biodiversity?

In the second of our series-of-three Sustainability Matters podcasts dealing with environmental, social and governance (ESG) disclosures worldwide, our host Bruno Sarda focuses on biodiversity and the Taskforce on Nature-related Financial Disclosures (TNFD). He is joined by two members of the Taskforce: Marine de Bazelaire, Group Advisor on Natural Capital, HSBC, and Alexis Gazzo, EY Europe West Sustainability Co-Leader; EY France Climate Change and Sustainability Services Leader at EY & Associés.

The discussion begins with the urgent need to tackle the loss of biodiversity that threatens global economy. The Kunming-Montreal Global Biodiversity Framework (GBF), which came out of the recent UN Biodiversity Conference, COP 15, aims to halt and reverse nature loss by 2030. As businesses and their stakeholders start to recognize biodiversity as a business priority, and begin to consider their impact and reliance on nature, there will be an increasing need for transparent natural capital disclosures to help achieve these global biodiversity targets. This is where the TNFD comes in.

Marine discusses the importance of addressing nature-related issues and halting nature loss to achieve a net-zero future. She also highlights how financial institutions are becoming more engaged piloting the TNFD beta framework and gives a fascinating insight into how HSBC is preparing for future nature-based disclosures.

Alexis talks about the TNFD and how it is seeking to address the challenges facing biodiversity, including how companies can begin to prepare for reporting. He discusses practical steps to take, and how EY teams can help companies identify areas of exposure to biodiversity-related risks. 

Key takeaways:

• COP15 has brought biodiversity center stage, concluding with the signing of the historic GBF agreement, with 4 long-term goals to 2050 and aiming to halt and reverse nature loss by 2030.
• Businesses, investors, and other stakeholders should recognize biodiversity as a major priority, and prepare for disclosures by assessing their impact and identifying risks and opportunities.
• Data will be at the heart of biodiversity reporting, and companies should address the complexities of data gathering.
• The TNFD aims to provide a framework for corporates to define biodiversity-related risks and opportunities, and is set to be finalized in September 2023.

For your convenience, full text transcript of this podcast is also available. Read the transcript.

The views and opinions expressed in this episode are those of the individuals and do not reflect the official policy or position of EY or any other organization.