7 Challenges Businesses Face When Implementing Target 15 and Next Steps

Here is an overview of some of the potential challenges businesses may encounter on their journey:

Lack of awareness

One of the significant challenges businesses may face when implementing Target 15 is a lack of awareness of how their business interacts with biodiversity including the potential impacts and dependencies, this is known as materiality. Many businesses may not fully understand the implications of their operations on biodiversity and what steps they need to put in place to minimise the negative impacts and reduce any dependency-related risks.

Limited data availability

Corporate biodiversity data is relatively immature in terms of what is currently available to businesses, and many may face challenges in obtaining accurate and reliable data on their impacts, risks and dependencies on biodiversity particularly when going beyond the initial screening phase. Comprehensive biodiversity data is critical to ensuring informed decision making, allowing businesses to prioritize actions that have the greatest positive impact on biodiversity. Remote sensing data and interpretation of this data using AI is increasingly being seen as an effective means to generate the necessary biodiversity insights on a periodic basis, in an automated manner.

Complex supply chains

Businesses with complex supply chains may face challenges in identifying and addressing their impacts, risks and dependencies on biodiversity. Scope 3 reporting continues to be a challenge in carbon accounting to get visibility of the full supply chain and biodiversity corporate reporting will be no different. Supply chains can be difficult to trace, and businesses may not have full visibility of the environmental and social impacts of their suppliers.

Limited resources

Implementing Target 15 may require significant financial, human resources and the necessary expertise, which some businesses may not have available. Smaller businesses, in particular, may struggle to invest in the necessary resources to assess and disclose their impacts, risks and dependencies on biodiversity. This has been acknowledged within the European Union’s Corporate Sustainability Reporting Directive (CSRD) where the initial phase of mandatory reporting is focused on publicly listed companies. The hope will be that the necessary reporting processes will be much more clearly defined following this first round of reporting, which will provide smaller businesses with a blueprint that can be applied to their business.

Regulatory uncertainty

There may be regulatory uncertainties around the policies and regulations related to biodiversity conservation and sustainable use in some countries. This can create challenges for businesses that operate in multiple jurisdictions and need to comply with different regulatory frameworks.

Short-term results

Some businesses may prioritize short-term profits over long-term sustainability goals. This can lead to a lack of investment in sustainable practices and a focus on maximizing profits at the expense of biodiversity conservation and sustainable use. Voluntary frameworks like the Taskforce for Nature-related Financial Disclosure (TNFD) are seen as a critical mechanism to reduce that prioritization of short-term profits, where investors and financial institutions will seek greater transparency in terms of an organisation’s impacts, risks and dependencies on biodiversity before they invest further.

Limited stakeholder engagement

Engaging with stakeholders such as local communities, civil society organizations, and governments is critical in implementing Target 15. However, some businesses may face challenges in engaging with stakeholders effectively, particularly if they operate in countries with limited civil society participation or weak governance structures.

Tips for businesses on how to implement Target 15

Implementing Target 15 refers to the goal set by the United Nations' Sustainable Development Goals (SDGs), which focuses on protecting, restoring, and promoting sustainable use of terrestrial ecosystems, sustainably managing forests, combating desertification, and halting and reversing land degradation and biodiversity loss.

Here are seven steps for businesses when implementing Target 15:

Conclusion

By taking these steps, businesses can help to make roads safer for everyone and contribute to the achievement of Target 15. It requires a coordinated effort from governments, businesses, civil society organizations, and other stakeholders. Governments can play a critical role in providing policy frameworks and financial and technical assistance to businesses to promote biodiversity conservation and sustainable use. Businesses can take proactive steps to invest in sustainability practices, engage with stakeholders, and promote transparency and accountability in their operations. Civil society organizations can help raise awareness of the importance of biodiversity conservation and sustainable use and hold businesses and governments accountable for their actions. Feel welcome to follow Galago by Ramboll for more inspiration on AI-powered sustainable land management and biodiversity mapping, management, and restoration.