Biodiversity as a Cornerstone of Corporate Environmental Strategy Companies across the economy face risks from the loss of

In this, the second part of our annual analysis of sustainability reporting practices by US companies, we shine a spotlight on the risk of biodiversity loss to businesses, and the current state of reporting on biodiversity. [...] Biodiversity loss is among the top global risks to society;2 in 2022, WEF forecast it to be among the top-three most severe risks over the next decade.3 The UN reported in 2022 that up to 40% of the world’s land and 66% of the marine environment has been degraded or altered by human damage.4 This damage threatens almost 1 million species5 in what is becoming widely reported as the sixth mass extin. [...] Biodiversity Policy Disclosures Are Low but Rapidly Increasing The impact of biodiversity loss on a value chain is not always immediately felt, and, as such, biodiversity loss remains a blind spot for many companies around the world.10 Establishing and disclosing a biodiversity policy is the first step in addressing the topic, after which companies can begin to measure impact and implement specifi. [...] Even though the US did not endorse the GBF due to concerns over regulation of practices, intellectual property rights, and wealth redistribution,17 it played an important role in shaping the CBD and pushing for the COP15 deal as a member of the 116 country–strong voluntary High Ambition Coalition for Nature and People. [...] Therefore, the specific types of biodiversity credits available can vary based on regional regulations, policies, and the nature of the development.18 Because carbon and biodiversity credits have different objectives, carbon projects may not benefit biodiversity unless diversity is built into the project.