The most important political framework conditions and laws on biodiversity
Status: 8.04.2025
The most important relevant international, European and German frameworks, policies and strategies on biodiversity include the following (selection). Not all of them are directly legally binding for companies. The changes to CSRD and CSDDD within the framework of Omnibus have not yet been fully taken into account due to ongoing legislative procedures.
The contents listed here do not constitute legal advice. The authors and GNF assume no responsibility for the legal validity and admissibility of the content.
International frameworks
UN Convention on Biological Diversity (CBD) and Global Biodiversity Framework
At the World Conference on Nature in Montreal in December 2022, the international community reached a new global agreement on the protection of biodiversity, the Kunming-Montreal Global Biodiversity Framework (GBF). The aim is to halt the loss of biodiversity and reverse the trend by 2030. To achieve this, the international community has agreed four long-term status targets by 2050 and 23 medium-term action targets by 2030. A key goal of the new agreement is to place at least 30 percent of the world’s land and sea area under effective protection by 2030. In addition, 30 percent of degraded natural areas are to be restored and the risks posed by pesticides halved by 2030.
The goals also include halving food waste and curbing the spread of invasive species by 2030. In addition, the international community has committed to mobilizing a total of 200 billion US dollars per year worldwide by 2030 for the protection of biodiversity and at the same time to reduce environmentally harmful subsidies by 500 billion US dollars. The signatory states should oblige large and transnational companies and financial institutions to monitor, assess and transparently disclose their risks, dependencies and impacts on biodiversity in the context of their activities, supply and value chains and portfolios. In order to be able to check how nature is doing worldwide and whether the goals are being achieved, there are now standardized indicators in a monitoring framework for the first time. Opportunities have also been created to make improvements if the targets are not met. In addition, countries in the Global South are to be supported in implementing the GBF with 20 billion US dollars per year until 2025 and 30 billion US dollars per year until 2030.
Strategies and laws at EU level
EU Green Deal
The European Green Deal aims to shape the transition to a modern, resource-efficient and competitive economy that emits zero net greenhouse gases by 2050 and decouples growth from resource use. The European Green Deal comprises various sustainability strategies, including on the circular economy, construction and the Biodiversity Strategy 2030.
Figure 1: EU Commission
EU biodiversity strategy
The Biodiversity Strategy for 2030 builds on and goes beyond the existing EU Birds Directive, the Habitats Directive and the Natura 2000 network of protected areas. It sets targets and commitments for Member States to build healthy and resilient ecosystems, e.g.
Figure 2: EU Commission
EU reporting obligations on biodiversity and ecosystems (CSRD)
The Corporate Sustainability Reporting Directive (CSRD) is intended to ensure that companies report more transparently on sustainability, introduce binding reporting standards and place sustainability reporting on the same level as financial reporting. What is new is that there is a comprehensive reporting standard on biodiversity and ecosystems (ESRS E4). The CSRD is currently being transposed into national law; the sustainability standards themselves were adopted by the Commission as delegated acts in July 2023. They are therefore to be applied uniformly in all member states. Sector-specific standards may no longer be developed as of 04/2025. The “first wave” reporting obligation begins in 2025 for the 2024 financial year and initially applies to large companies that are already required to report under the Non-Financial Reporting Directive (NFRD). From 2027, the reporting obligation will be extended to companies of different sizes. Ultimately, a large number of companies will be indirectly affected by the CSRD, as large companies will request data from their suppliers. Biodiversity must be checked for materiality. The reporting standard on biodiversity and ecosystems (ESRS E4) requires company disclosures on biodiversity:
- Biodiversity strategy,
- how the company manages its impacts, risks and opportunities in relation to biodiversity,
- Parameters and targets
The company’s impacts on biodiversity and ecosystems as well as the company’s (financial) dependencies on biodiversity (“double materiality”) must be assessed beforehand. ESRS E4 recommends the first three steps of a methodology developed by the Taskforce on Nature-related Financial Disclosures (TNFD) under the name LEAP.
The materiality assessment must in any case include an analysis of the drivers of biodiversity loss as well as an analysis of the impacts on the status of species and ecosystems and the dependencies on ecosystem services.
A detailed description of the materiality analysis for biodiversity and ecosystems can be found in the “Understanding nature-related dependencies and opportunities” guidelines for materiality assessment in accordance with CSRD/ESRS E4 (2024, Michael Otto Foundation).
Further information on the reporting obligations can be found in the CSRD and ESRS E4 infosheet (Global Nature Fund, 2023).
EU directive on corporate due diligence in the area of sustainability (CSDDD)
On 25.07.2024, the EU Directive (EU) 2024/1760 on corporate sustainability due diligence (CSDDD) came into force. It is often referred to more simply as the “EU Supply Chain Directive” or “EU Supply Chain Act”. The aim of this directive is to ensure that companies minimize human rights and environmental risks and take countermeasures in the event of negative impacts in the so-called “chain of activities” and in their own business operations. To this end, companies should implement due diligence processes to identify and address human rights and environmental risks. The due diligence obligations are duties of endeavor. Once the CSDDD comes into force, the EU member states have two years to transpose the directive into national law. In Germany, the German Supply Chain Due Diligence Act (LkSG), which came into force on January 1, 2023, will be amended accordingly. Affected companies will be obliged to comply from 2028.
The EU Supply Chain Directive goes beyond the regulations of the German LkSG, particularly in the area of biodiversity. In particular, the due diligence obligations under the CSDDD apply in the chain of activities, which, in addition to the supply chain also covered by the LkSG, also includes parts of the downstream value chain. In addition, member states must enshrine a civil liability standard in their national law: for damage caused by a breach of the duty to take preventive or remedial measures. Furthermore, the catalog of protected goods will be expanded. The annex to the CSDDD includes significantly more far-reaching environmental frameworks as a reference, such as the International Convention on Biological Diversity (CBD) and the Nagoya and Cartagena Protocols, Ramsar and the Washington Convention on International Trade in Endangered Species of Wild Fauna and Flora.
Another new aspect is that companies must draw up a climate plan in accordance with the CSDDD in order to bring their business model into line with the upper limit of 1.5 degrees of global warming set out in the Paris Agreement. Possible fines of up to five percent of the company’s global net turnover also go beyond the LkSG. Companies should therefore bear in mind that the EU Supply Chain Act creates extended obligations for an extensive area of the supply chain. The issue of biodiversity should be considered and integrated at the same time – for example when selecting suppliers and procurement regions and when drawing up purchasing requirements for suppliers.
All information can be found in the info sheet on CSDDD and biodiversity (Global Nature Fund and Deutsche Umwelthilfe, 2024).
EU regulation on deforestation-free products (EUDR)
The “EU Regulation on deforestation-free supply chains” (EUDR) came into force on June 29, 2023. It prohibits the trade of raw materials and products that cause deforestation and forest degradation. Instead of relying on non-binding agreements and voluntary commitments as before, the EU is now setting uniform conditions for all EU market players. After a transitional period and further legislative amendments, the EUDR will apply to large companies from December 30, 2025, and to small companies from June 30, 2026. The EU regulation on deforestation-free products will initially apply to seven products: Soy, beef, palm oil, timber, cocoa, natural rubber and coffee, as well as certain products made from them, such as leather, chocolate and furniture. A key element of the EUDR is that not only illegal deforestation is excluded, but also deforestation in general, i.e. deforestation that would be legal in the country of production. Products that are produced on areas that were not deforested after December 31, 2020, or areas for which no deforestation took place after December 31, 2020, are deforestation-free. Companies that are not SMEs must comply with a three-stage due diligence process:
- Analysis: Determining the deforestation risk of raw materials and supply chains.
- Measures: Development and implementation of risk minimization strategies.
- Approval: Products may only be placed on the market once the risk of deforestation has been classified as negligible.
The Federal Office for Agriculture and Food and FSC have compiled information and recommendations for the implementation of the EUDR for products made from wood. Further fact sheets have been announced.
Another important, free source of information on the EUDR is the supply chain portal elan! by OroVerde and Global Nature Fund, which is funded by the Federal Ministry for Economic Affairs and Climate Protection. On the portal, companies can find recommendations for the necessary steps towards deforestation-free supply chains. The elan! portal guides companies through the transition process in three steps.
This includes
- Introduction to freedom from deforestation and legal requirements as a basis for strategy development.
- Information on critical raw materials and traceability for your own risk analysis and
- Support for the implementation of monitoring; reporting and complaints mechanisms.
German strategies and laws
National Strategy on Biological Diversity 2030 (NBS 2030)
With the agreement of the World Conference on Nature in December 2022, all signatory states have agreed to update their National Biodiversity Strategies and Action Plans (NBSAPs) or, if they do not yet exist, to draw up new ones. With the final NBS 2030, which has now been agreed between the ministries, the German government is fulfilling this international commitment. The strategy also helps with the implementation of other obligations, for example as part of the EU Regulation on the Restoration of Nature and the EU Biodiversity Strategy for 2030. The NBS 2030 brings together the key topics and objectives for biodiversity conservation in a total of 21 fields of action with 64 objectives under one strategic umbrella. In addition to the overarching biodiversity goals, such as species protection and the restoration of ecosystems, it also takes into account other current issues such as urban nature, global warming, the expansion of renewable energies and developments in the various economic sectors. The strategy section is supplemented by an action plan with around 250 specific measures.
Download: The National Strategy on Biological Diversity 2030 (NBS 2030, BMUV)