Goal
The goal is to increase knowledge and comprehension of the opportunities and risks linked to corporate natural capital assessment. Raising awareness on this issue helps that nature is recognized not only as a production factor that is free of cost but as a fundamental basis for life and economy.
Project Activities
1. Networking
For the first time a central platform will be set up in Germany, where representatives of companies, NGOs, science and public authorities could exchange views on the methodological development and practical application of natural capital valuation.
From September 2015 the online platform Natural Capital Markets and Valuation will offer information regarding the assessment of impacts and dependencies on natural capital. Regular network meetings, webinars and an international conference on natural capital valuation complement our information offer. The participation in the natural capital network is free of charge. Interested parties can directly contact the GNF office in Bonn.
2. Pilot studies with companies
Accompanied by the Global Nature Fund two or three companies will conduct a natural capital assessment and identify the most important impacts and/or dependencies on natural capital. In this context different scopes of the assessment should be tested – besides a site- or product-level assessment the value chain could be analyzed on basis of available methods (such as Footprinting). Gathered experiences will be presented at the network meetings and via online publications.
Companies that are interested in pilot testing the natural capital assessment can directly contact the GNF office in Bonn.
3. Specialized information on natural capital for companies
Several publications on methodological and practical aspects of the natural capital assessment and its impacts and dependencies will be released during the project. One subject of discussion will be the connection between natural capital valuation and Sustainability and Integrated Reporting. Furthermore, recommendations will be developed on the use of economic valuation of natural capital in corporate reporting.
The involvement of small and medium-sized enterprises (SME) will be examined in another brief study. SMEs do not have the same financial means as big global companies. Therefore, simplified and adapted solutions are required. In the context of the project possible solutions will be presented and further relevant issues will emerge during the project.
Background
Nature is an essential economic factor. The private sector benefits from natural capital and ecosystem services and depends on it at the same time. Nevertheless, neither benefits nor costs are adequately reflected in corporate accounting or in entrepreneurial decision-making. The economic valuation of natural capital is the key instrument to change this. Although, there has been a lot of movement in the world of business since 2011, the economic valuation still remains far away from mainstream. At the same time, there are a few “Best Practice” examples that could be summarized as natural capital assessments. These could be used as useful guidance for businesses.