After the climate: why and how to integrate biodiversity into corporate strategy?

A turning point in environmental awareness

At a time when the global political context seems to be backing down in the face of the climate emergency, the rapid degradation of ecosystems is a reminder of the scale of the challenge ahead. The impacts of climate change and biodiversity loss are no longer projections: they are already influencing economic performance, supply chain stability and corporate security. Companies that anticipate these transformations and adapt their strategies strengthen their resilience and gain a sustainable competitive advantage. More than ever, their role is essential in meeting the major challenges of climate and ecology.

Since the early 2000s, companies have gradually become aware of their responsibility in the climate crisis. They have measured the impact of their activities on greenhouse gas (GHG) emissions, and adopted tools to quantify and reduce them. Today, carbon footprints are widely used and shared, methodologies are clearer, and a growing number of experts are supporting organizations in their transition.

The Quebec government is aiming for a 37.5% reduction in GHG emissions by 2030, compared with 1990 levels. Carbon footprints remain an essential lever for measuring progress towards this target and guiding corporate action plans. Although much remains to be done, the collective mobilization around climate change is a success worth celebrating.

Biodiversity: a broader issue, long ignored

While the fight against greenhouse gases has become more structured over the last few decades, another environmental issue is becoming a major concern: the biodiversity crisis. All too often relegated to the background, biodiversity lies at the heart of the resilience of businesses and economies. Climate and biodiversity are inseparable, two facets of the same reality. According to the Convention on Biological Diversity (CBD), biodiversity refers to "all living organisms and the ecosystems in which they live, including interactions between species and their environment". Today, biodiversity is in rapid decline, with an unprecedented collapse in animal and plant populations, threatening the ecosystem services essential to our societies.

Towards a structured approach to biodiversity

As in the fight against greenhouse gases, scientists, institutions and companies are organizing themselves to structure biodiversity-related initiatives:

• Ambitious targets: the Kunming-Montreal Global Biodiversity Framework (COP15, 2022) structures global commitments to protect 30% of land and sea, restore 30% of degraded ecosystems, halve invasive species, and eliminate $500 billion in subsidies harmful to biodiversity.

• Methodological frameworks are emerging: The TNFD (Taskforce on Nature-related Financial Disclosures) proposes a framework for identifying, assessing and disclosing nature-related risks.

• Indicators are developing: Although there is as yet no single indicator as universal as the T/CO₂e for climate, several tools today enable impacts on biodiversity to be quantified. Among them, the MSA.km²(Mean Species Abundance per square kilometer) measures the ecological health of an area by comparing species abundance with that of a reference ecosystem. The PDF(Potential Disappeared Fraction of species), on the other hand, estimates the proportion of species likely to disappear as a result of anthropogenic pressures. These indicators have the advantage of aggregating several types of pressure (fragmentation, pollution, overexploitation, etc.) into a single synthetic measure, making it easier to understand the issues at stake and monitor progress.

• Public policies are being strengthened: The European CSRD directive requires large companies to disclose their dependencies and impacts on biodiversity (ESRS E4 standard).

Why companies must act now

Here are five strategic reasons to integrate biodiversity into your ESG strategy:

1. The tools are available Methodologies are becoming clearer, and the company needs pioneering companies to implement them.

2. Evolving regulations The regulatory environment is changing: large companies and financial institutions will have to comply with new obligations that will gradually become more stringent and demanding.

3. Invitations to tender change The call for tenders is changing: contractors are demanding that biodiversity be taken into account.

4. Social acceptability is crucial In some sectors, such as mining, real estate development and natural resources, public pressure for more sustainable practices is growing.

5. Major financial risks : 72% of companies depend directly on nature to sustain their activities (ECB, 2024). Indeed, natural environments and their biodiversity provide many essential services to society, such as pollination, regulation of water quality and soil fertility. Such functions are essential for maintaining value chains and securing supplies.

Where to start?

As an ESG manager, do you want to get your company on board? Here's how to structure your approach:

1. Choose your strategic angle to convince your managers

Biodiversity can be approached from different angles, depending on your company's sector, values and priorities. Here are a few ideas to get you started:

Does your business depend directly on natural resources?

Sectors: agriculture, forestry, fishing, nature tourism
→ Analyze your ecological dependencies (water, soil, pollination, etc.) and the financial risks associated with their degradation.

Example: An agricultural cooperative in the Montérégie region could map its pollination dependencies to anticipate the impact of a decline in pollinating insects.

Is your organization already committed to decarbonization?

Sectors: industry, energy, transport
→ Position yourself as an environmental leader by extending your climate approach to a 360° approach including biodiversity.

Example: Hydro-Québec already includes biodiversity issues in its ESG reports.

Is your company subject to regulatory or financial obligations?

Sectors: financial institutions, insurance companies, large listed companies
→ Prepare for the new reporting standards (CSRD, TNFD) and identify your compliance risks.

Example: A financial institution could map the risks of biodiversity loss in its investment portfolio.

Is your sector based on social acceptability?

Sectors: mining, infrastructure, urban planning
→ Integrate biodiversity into your strategy for dialogue with communities and stakeholders.

Is your company subject to public tenders?

Sectors: construction, environmental services, engineering
→ Anticipate growing biodiversity requirements in specifications.

Biodiversity offers a variety of entry points. It's important to choose the one that resonates with your operational reality.

2. Carry out a biodiversity diagnosis

Habitat recommends starting with a diagnosis of dependencies, impacts, risks and opportunities. Inspired by the TNFD, this diagnosis makes it possible to :

• Identify critical natural resources (water, soil, pollinators, etc.).

• Locate impact zones (extraction, production, transport).

• Assess financial, regulatory and social risks.

3. Structure your first action plan

Your first action plan doesn't have to be perfect to already make a difference. The most important thing is to initiate a concrete approach, which will serve as the basis for a constantly evolving and improving strategy.

Once the dependencies and impacts have been identified, the company can :

• Define reduction or restoration targets.

• Integrate biodiversity into ESG reporting.

• Raising awareness and mobilizing stakeholders (employees, customers, local communities).

In conclusion, biodiversity is a strategic lever for responsible companies

Biodiversity is not a secondary issue. It lies at the heart of economic resilience, social legitimacy and regulatory compliance. Companies that make a commitment now will be better prepared for the transformations to come.

Ready to make biodiversity a strategic asset for your organization?