As businesses navigate the complexities of AI and geopolitical changes, a critical risk looms larger: the collapse of biodiversity. Thijs IJsbrandij, nature expert at PwC NL, emphasizes the urgent need to address this issue.
Recent findings from the European Environment Agency paint a stark picture: 72 percent of real-economy businesses and 75 percent of eurozone bank loans rely on ecosystem services. Yet, over 80 percent of Europe's protected habitats are in poor condition, with biodiversity loss ranking as the second-highest global risk for the next decade. It's a paradox. We are undermining the very foundation of our economic system.
Forward-thinking companies see biodiversity not as a compliance burden but as a competitive edge. Luckily, initiatives like the Taskforce on Nature-related Financial Disclosures (TNFD) and the Science Based Targets for Nature (SBTN) are gaining traction. Governments also continue to step up, for example through new multilateral treaties on the high seas and fisheries.
Yet, translating ambition into action remains a challenge. Many organisations struggle to move beyond ambition and commitments, failing to embed biodiversity in day-to-day activities and decision-making.
Discussions often revolve around familiar obstacles: fragmented KPIs, unclear targets, and limited access to consistent data. These concerns are valid, but they don't tell the whole story. Better data is essential, but it is not a silver bullet. Data alone doesn't lead to change. For businesses, change happens when biodiversity is linked to business value. When nature is framed not just as a moral imperative but as a strategic asset, action will follow.
There are numerous examples illustrating the business relevance of biodiversity. Biodiversity loss can disrupt agricultural inputs, reduce water availability, and increase exposure to climate risks. Conversely, investing in regenerative practices and ecosystem restoration can derisk operations and build long-term resilience. Infrastructure and energy projects – often delayed by lengthy permitting processes – can gain faster approvals when ecological impacts are proactively addressed. Customers increasingly reward brands that genuinely care for nature, creating opportunities for differentiation and loyalty.
These benefits are compelling, but they are rarely achievable if driven just by sustainability teams or individual companies. Successful biodiversity strategies demand genuine cross-departmental collaboration. This means procurement teams working with ecologists, finance directors understanding natural capital, and CEOs discussing ecosystem services as fluently as market share.
It also requires engagement across the value chain, including suppliers, regulators, and customers. This is a steep challenge for sustainability professionals, who – next to owning the topical content and relevant regulation – must now learn to speak business language, build coalitions, align incentives, and turn action on biodiversity into strategic opportunities.
Nature is not a niche concern – it’s foundational to our economy, wellbeing, and future. The business case for biodiversity is growing stronger by the day but will not provide immediate returns.
Integrating biodiversity in your strategic imperative requires leadership, creativity, and a willingness to step outside traditional silos. Although challenging, companies must step up. Not just because it is the right thing to do, but also because biodiversity will create value for all its stakeholders. Those who see biodiversity as foundational will thrive in tomorrow's sustainable economy.