Planet Tracker has released the third update of its Nature Scorecard, adding a further 178 companies, reflecting the latest developments in corporate biodiversity commitments and natural capital. It now incorporates the latest Taskforce on Nature-related Financial Disclosures (TNFD) adopters as well as those included in the Morningstar Sustainalytics’ Biodiversity and Natural Capital Thematic Stewardship Programme. The Nature Scorecard serves as a vital resource for stakeholders monitoring the evolving landscape of biodiversity stewardship and aims to equip stakeholders with essential insights to drive impactful nature-related reporting.

This Nature Scorecard examines over 470 corporates which are involved in nature-related frameworks and initiatives. It analyses corporate involvement across 3 voluntary (TNFD early adopter, SBTN submission or appointment of a nature executive ) and 3 involuntary frameworks and initiatives (Nature Action 100, PRI Spring, Forest 500 score) – i.e. being named by investors as a nature focus companies whether they like it or not.

This paper provides an overview for financial institutions of the most pertinent issues identified by Planet Tracker from the UN Biodiversity Conference (COP16) in Cali, Colombia. Topics range from the availability of nature transition plans, to who has responsibility for nature in government structures – it’s looking complicated, to the availability of nature data – or rather its processing and analysing. The struggle to finance countries’ nature and ecosystem services remained unresolved.

Dow, the global chemical company aims for carbon neutrality by 2050. However, analysis by Planet Tracker suggests Dow’s mid-term climate strategy is not ambitious enough to align with the well-below 2°C pathway, instead aligning closer to a 3°C warming scenario by 2030.
Based on Planet Tracker’s assessment, to meet the well-below 2°C pathway by 2030 and its 2050 carbon neutrality goal, Dow would need to set more ambitious reduction targets, clearly link its investments to emissions reductions, and improve transparency in its sustainability initiatives.

Executive Assistant

There is a nature financing gap. The precise numbers vary but plans to close the gap partially rely on the reallocation of harmful subsidies to nature-based solutions. This paper briefly examines whether such a strategy is realistic. We observe that a range of countries have successfully eliminated subsidies – so it can be done – but others failed. We need to learn how the former delivered subsidy reform, and why others were unsuccessful.

Financial markets spend much of their time focused on risk and return metrics. The generally accepted relationship is that one needs to take on more investment risk to realise a higher return. If the investor is unwilling to take on risk, they should expect to receive the risk-free rate – e.g. a risk-free bond. But this assumes efficient pricing. Planet Tracker believes that the risks of synthetic chemicals are not being correctly priced by financial markets. A reassessment of the risk premium applied to producers and users of these substances looks wise.

Planet Tracker joins with Vizzuality for a “nature footprinting” study which highlights the urgent need for corporations to improve supply chain traceability.

Planet Tracker and Vizzuality have partnered on a “nature footprinting” study, highlighting how external analysis can expose a company’s environmental risk hotspots, even without full procurement data. This report features Nestlé as a case study and underscores the critical role transparency plays across supply chains. With technology advancing, companies that don’t adopt advanced traceability systems are exposed to rising reputational risk.

On behalf of GEFI, Carbon Tracker Initiative and Planet Tracker, thank you for your interest in our Pre-COP16 (Biodiversity) / COP29 (Climate) webinar, that took place on Thursday 3rd October 2024.