ImpactAlpha, June 8 – Mandatory climate reporting is coming, as companies and governments coalesce around the Task Force on Climate-related Financial Disclosure. Just getting started: nature-related financial disclosure.
A new initiative modeled on the six-year old climate reporting effort aims to create a framework by 2023 to help organizations report and act on nature-related risks. The Task Force on Nature-related Financial Disclosure, or TNFD, is supported by major financial institutions and the G7 nations, and caps initial work that began last July.
“Without urgent action, ongoing loss to biodiversity poses unprecedented risks for business, both now and in the future,” said Refinitiv’s David Craig, who will co-chair the task force with Elizabeth Maruma Mrema of the United Nations Convention on Biological Diversity.
More than half of the world’s economic output relies upon nature, yet animal and plant species are declining precipitously as their habitats are degraded. Alongside climate reporting, nature-based disclosure can give organizations a complete picture of their environmental risks, says TNFD.