Catch up on the main nature policy news from March
Deep sea mining: first round of negotiations concludes as company seeks exploration license
The deep sea is rising up the political agenda as the International Seabed Assembly (ISA) Council met in Jamaica to discuss the draft Mining Code. Negotiations on the Code, which regulates the exploration and potential exploitation of deep seabed minerals, have made progress on issues such as preventing "harmful effects" in the marine environment. However, several significant issues remain unresolved, according to the Earth Negotiations Bulletin.
In a move that many, including ISA Secretary General, Leticia Carvalho, viewed as an attempt to circumvent the negotiations and the treaty, The Metals Company USA (TMC USA) controversially announced that it had formally initiated a process to apply for exploration licenses under the United States Department of Commerce outside of the ISA framework.
TMC is interested in mining the seafloor in the Clarion Clipperton Zone in the Pacific Ocean but has been hindered because the rules governing such exploitation have not yet been finalized under the Mining Code.
The US has not ratified the UN Convention on the Law of the Sea, that established the ISA and which has been ratified by 169 other member states. So, by applying to the US Department of Commerce, TMC hopes it will gain permission to mine in international waters without an internationally agreed deep sea mining code. The ISA condemned this action, stating that it would violate international law and undermine multilateralism.
TMC’s application to mine the seabed comes despite growing concerns from scientists, NGOs, civil society and 32 countries who are calling for a moratorium on deep sea mining. Currently, 64 companies have also committed to not sourcing materials from the deep seabed.
The Business for Nature coalition is advocating for a comprehensive understanding of the environmental, social and economic risks associated with deep seabed mining. We are also calling for scientific proof that this activity can be managed sustainably without harming the marine environment before any commercial activities are considered.
Talks on the Mining Code will resume in July 2025, while the UN Ocean Conference happening just beforehand in June will provide an opportunity for wider negotiations on ocean protection.
EU delays sustainability reporting requirements roll-out with “Omnibus” package
In March, The European Union’s Council and Parliament have agreed to delay the application dates of the Corporate Sustainability Reporting Directive (CSRD) and the Corporate Sustainability Due Diligence Directive (CSDDD) for some companies, by two years and one year, respectively.
This “stop-the-clock” approach that postpones requirements is part of the Omnibus Package, a legislative proposal aimed at reducing the administrative burden for companies by streamlining sustainability reporting. However, NGOs and businesses have raised concerns that the proposed delays would create uncertainty for companies and devalue the investments of those who had already prepared for the requirements.
EU legislators, on the other hand, backed this measure, arguing it enhances the region’s competitiveness. The Council must now officially approve this proposal for it to take effect.
Later in 2025, EU institutions plan to discuss a second part of the Omnibus Package, which proposes more substantive changes. These include an 80% reduction in the scope of the CSRD and a weakening of the due diligence assessment under the CSDDD. This would significantly lower the value of reporting to companies and investors using it to guide strategy development and risk management.
Business for Nature supports the swift implementation of CSRD and CSDDD, as these contribute to Target 15 of the Global Biodiversity Framework. Target 15 calls for businesses to Assess, Disclose and Reduce biodiversity-related risks and negative impacts - a transformational target that can generate large-scale business action when effectively implemented.
Fully understanding the nature impact and dependencies of business operations is essential for individual companies, their investors as well as policymakers to enable the shift to a nature-positive economy. Therefore, to open the EU’s texts to more significant changes risks reducing the capacity for ambition and creating further uncertainty for businesses, overall inhibiting effective action for nature.
Public-private collaboration in action: Chile publishes Business Action Plan on Biodiversity
In exciting news from Latin America, Chile has released its Business Action Plan on Biodiversity, a landmark strategy to define the private sector’s role in implementing the country’s updated national biodiversity targets. This impactful plan is the result of strong public-private collaboration between the Chilean government (seven ministries) and 14 leading companies in the national Business Advisory Group (BAG), facilitated by Business for Nature partner Acción Empresas. This GEF-funded project was executed by Business for Nature with Conservation International as implementing agency.
The plan sets several goals for the private sector to integrate biodiversity in their long-term business strategy, including through the implementation of Target 15. As of now, 14 companies have voluntarily committed to implementing the plan in its pilot phase, with the ultimate goal of including all Chilean companies by 2030.
Businesses will report annual progress on integrating biodiversity risks, dependencies, and impacts into their projects and operations. At the same time, the plan defines a clear role and activities for NGOs, business associations and academia. It also describes how the Government of Chile will support in creating an enabling environment for companies to take ambitious actions for conservation and sustainable use of biodiversity.
This kind of cross-sector collaboration and clarity is a catalyst for effective business action for nature, making the plan an excellent example for other countries to emulate in their local contexts.
Japan introduces sustainability standards
Japan has introduced the country’s first-ever Sustainability Disclosure Standards, which align with the International Sustainability Standards Board (ISSB) of the IFRS Foundation. The Sustainability Standards Board of Japan (SSBJ) has established three key disclosure requirements:
1. General disclosures (focused on risks and opportunities)
2. Climate-related disclosures
3. An application standard (centered on basic requirements to prepare disclosure)
These standards are expected to be integrated into Japanese securities laws and regulations, applying to companies listed on the Tokyo Stock Exchange’s Prime Market. In the meantime, while adoption of these standards is voluntary, it nonetheless provides a strong signal to companies of the maturing global movement on sustainability reporting.
Netherlands publishes updated Biodiversity Strategy and Action Plan
Back to Europe, as the Netherlands has published its updated National Biodiversity Strategy and Action Plan (NBSAP), joining the United Kingdom, Brazil, India and 44 other countries in revising their biodiversity strategies. The updated NBSAP indicates that the government will support Target 15 implementation by developing tools to support the assessment of risks, impacts and dependencies. It will also facilitate initiatives to assist SMEs in the reporting value chain.
The government also initiated a study to examine the effects of government financial targets on the environment and biodiversity. This study is expected to be completed by mid-2025, after which the government may decide on further actions.
Read the February news update to catch up on previous nature policy stories from around the world.