The Taskforce on Nature-related Financial Disclosures (TNFD) launched its framework in 2023, but nature-related risk has been building on corporate agendas since 2021. The World Economic Forum consistently ranks biodiversity loss among the top five global risks by likelihood and impact.
For companies, nature-related risk manifests in multiple ways: regulatory restrictions on land use, supply chain disruptions from ecosystem degradation, reputational damage from association with deforestation, and physical risks from loss of ecosystem services like pollination, water purification, and flood regulation.
The challenge is measurement. Unlike carbon, which has a single metric (CO2-equivalent), biodiversity is inherently local and multi-dimensional. Metrics like Mean Species Abundance (MSA), biodiversity intactness index, and ecosystem service valuation are still evolving.
RSustain’s approach starts with dependency and impact mapping: which of your operations and supply chains depend on nature, and which impact it? This dual materiality lens — consistent with CSRD and TNFD — identifies where nature-related risk is most material to your business.
Companies that act early on nature-related disclosure will gain first-mover advantage as TNFD adoption accelerates. Those that wait may find themselves scrambling to catch up, just as many did with climate disclosure a decade ago.