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Nature positive impact

What Is Nature Positive Impact?

Nature positive impact refers to a state where human activities actively contribute to the restoration and regeneration of natural ecosystems, leading to a measurable increase in biodiversity, ecosystem health, and resilience, rather than simply minimizing harm. This concept goes beyond traditional environmental protection by aiming for a net gain in nature, often measured against a 2020 baseline with a goal of full recovery by 2050. It is a critical component of broader sustainable investing strategies, emphasizing that a thriving natural world is essential for healthy communities and resilient economies. Nature positive impact signifies a shift in mindset from preventing decline to actively repairing and enhancing natural capital.46,45

History and Origin

The foundational ideas behind "nature positive" can be traced back to concepts like "no net loss" and "net positive impact" that emerged in U.S. wetland and pollution policies during the 1970s.44,43 However, the term "nature positive" gained significant global traction more recently, particularly following the United Nations Biodiversity Conference (COP15) in December 2022.42,41 At COP15, 188 countries adopted the Kunming-Montreal Global Biodiversity Framework, which set ambitious targets for halting and reversing biodiversity loss, including the protection and restoration of at least 30% of global terrestrial, inland water, coastal, and marine areas by 2030.40 This global framework solidified the urgent need for a "nature positive" approach, acknowledging that merely minimizing harm is no longer sufficient to ensure the long-term resilience of the planet.39

Key Takeaways

  • Nature positive impact seeks to halt and reverse nature loss, aiming for a measurable improvement in the state of nature from a 2020 baseline.38,
  • It emphasizes actively restoring and regenerating ecosystems rather than just mitigating negative impacts.37
  • The concept is closely linked with global agreements like the Kunming-Montreal Global Biodiversity Framework and the UN's Sustainable Development Goals.36,
  • Achieving a nature positive future requires systemic transformation across all sectors, including finance, business, and government.35,34
  • Measuring and verifying nature positive outcomes can be complex due to the multifaceted nature of ecosystem services and local variations.33

Interpreting the Nature Positive Impact

Interpreting nature positive impact involves assessing the degree to which an entity's actions contribute to a net gain in nature. This typically moves beyond simply reducing a carbon footprint to encompass broader ecological improvements. Frameworks such as those developed by the Taskforce on Nature-related Financial Disclosures (TNFD) and the Science Based Targets Network (SBTN) help organizations identify, assess, manage, and report on their nature-related dependencies, impacts, risks, and opportunities.32,31 These frameworks encourage a holistic view, considering impacts across supply chains and the overall influence on environmental risk. The goal is to ensure that actions lead to tangible improvements in the health, abundance, diversity, and resilience of species, ecosystems, and natural processes.

Hypothetical Example

Consider "GreenHarvest Foods," a hypothetical agricultural company aiming for nature positive impact. Traditionally, GreenHarvest focused on maximizing yield, which involved extensive monoculture and synthetic fertilizer use. To transition to a nature positive approach, GreenHarvest implements several initiatives. First, it dedicates 15% of its farmland to restoring native wetlands and forest buffers, actively reintroducing local flora and fauna. Second, it shifts to regenerative agriculture practices on its remaining land, such as cover cropping, no-till farming, and diversifying crop rotation to improve soil health and water retention. This reduces the need for chemical inputs and enhances natural pest control. Third, the company invests in local community-led conservation projects that protect adjacent natural habitats. Through these combined efforts, GreenHarvest Foods can demonstrate a measurable increase in local biodiversity, improved water quality in nearby streams, and enhanced soil organic matter across its operational landscape, signifying a clear nature positive impact rather than merely reducing negative externalities. Its commitment extends to its entire value chain, including supplier due diligence to ensure nature-positive practices from seed to shelf.

Practical Applications

Nature positive impact principles are being integrated into various real-world sectors and practices. In finance, this includes the development of financial products like green bonds that specifically fund projects with positive ecological outcomes. Corporations are increasingly embedding nature positive goals into their corporate social responsibility strategies, recognizing that their operations depend heavily on natural capital.30,29 For example, some companies are investing in ecosystem services such as reforestation for carbon sequestration or wetland restoration for water purification.28

Emerging initiatives, such as the Taskforce on Nature-related Financial Disclosures (TNFD), are driving corporate reporting on nature-related risks and opportunities, aiming to redirect global financial flows away from nature-negative outcomes towards nature-positive ones.27,26 This shift is also fostering new markets, such as the voluntary biodiversity credit market, which aims to channel investment into biodiversity conservation and restoration by assigning a measurable value to positive nature outcomes.25 More than 300 companies and financial institutions have announced plans to report on their impacts on the natural world, signalling growing recognition of this imperative.24

Limitations and Criticisms

While the concept of nature positive impact is aspirational and necessary, it faces several limitations and criticisms. A primary challenge lies in the complexity of defining and measuring "nature positive" outcomes precisely and consistently. Unlike carbon footprint where emissions are largely fungible, nature's value is highly contextual and site-specific, making it difficult to quantify a universal "gain" or compare impacts across different ecosystems.23 Critics also raise concerns about potential "greenwashing," where companies might use the term without genuinely achieving measurable ecological improvements.22,21

There is also the risk of allowing for "nature offsetting" in a way that permits continued degradation in one area by claiming restoration elsewhere, which may not truly result in a net gain for overall ecosystem health. The lack of a consensus on a "nature-positive business strategy" can lead to inconsistent application and potentially perverse outcomes.20 Additionally, achieving nature positive impact requires significant coordination among diverse stakeholder engagement, including governments, businesses, and local communities, which can be challenging to implement on a large scale.19 The International Monetary Fund (IMF) has highlighted that addressing biodiversity loss requires transformational changes within the global financial system, emphasizing the need for better measurement and management of financial risks stemming from nature.18,17

Nature positive impact vs. Net zero

Nature positive impact and Net zero are both crucial environmental goals, but they address different aspects of sustainability.16

  • Nature Positive Impact: This concept focuses on the regeneration and enhancement of natural ecosystems and biodiversity. The aim is to achieve a measurable increase in the health, abundance, diversity, and resilience of nature, going beyond simply preventing harm to actively repairing and restoring natural capital. It acknowledges that human activities have led to significant nature loss and seeks to reverse that trend.15,
  • Net Zero: This term specifically relates to climate change and greenhouse gas emissions.14 A net zero goal means that any emissions released into the atmosphere are balanced by an equivalent amount removed, resulting in no overall increase in greenhouse gases. The primary focus is on decarbonization and achieving a balance between emissions produced and emissions removed.13,12

While distinct, these two concepts are deeply interconnected. Achieving net zero emissions is often dependent on nature's ability to absorb carbon, and conversely, climate change is a major driver of nature loss.11,10 Many responsible investing strategies now advocate for pursuing both goals simultaneously, recognizing that a truly sustainable future requires both a stable climate and a thriving natural world.9,8

FAQs

What is the primary goal of nature positive impact?

The primary goal of nature positive impact is to halt and reverse the degradation of nature, leading to a measurable recovery and increase in biodiversity, ecosystem health, and resilience, typically measured against a 2020 baseline.7, It's about actively contributing to the restoration of natural systems.

How does nature positive differ from traditional environmental efforts?

Traditional environmental efforts often focus on minimizing negative impacts (e.g., reducing pollution). Nature positive impact, however, aims for a net gain, meaning activities should result in more nature and healthier ecosystems than before, reflecting a shift towards active regeneration. This aligns with modern ESG investing principles that seek positive outcomes.

Is nature positive impact measurable?

Measuring nature positive impact is complex but becoming increasingly feasible through various metrics and frameworks. These include tracking changes in species populations, ecosystem extent and health, and improvements in ecosystem services. Organizations like the Taskforce on Nature-related Financial Disclosures (TNFD) are developing reporting standards to help quantify these impacts.6,5

Why is nature positive impact important for businesses and investors?

Nature positive impact is crucial for businesses and investors because healthy ecosystems provide essential resources and services that underpin economic activity. Addressing environmental risk and contributing to nature's recovery can enhance long-term resilience, mitigate supply chain disruptions, attract investment from socially responsible investing funds, and unlock new opportunities in the green economy.4,3

What role do governments play in achieving nature positive impact?

Governments play a crucial role by setting ambitious targets, developing supportive policies and regulations, and fostering international cooperation, such as through the Kunming-Montreal Global Biodiversity Framework. They can also incentivize nature positive practices through financial mechanisms and support research into ecological restoration.2,1

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