B4NZ AT COP16
At COP16, B4NZ took significant steps to advance its new nature-focused workstream and deepen partnerships with key stakeholders.
Attending as part of the UK Parliament delegation under the International Conservation Caucus Foundation (ICCF), we engaged with both long-standing and new partners, gained valuable insights, and aligned on actions to advocate for increased nature finance.
Engaging UK policymakers
B4NZ played a central role in convening UK policymakers by organising a parliamentary briefing for MPs attending COP16, including members of the Conservation APPG and the Environmental Audit Committee.
MPs highlighted a significant issue: while nature financing has made progress, efforts still fall short of what’s needed. During our discussions, MPs also showed a strong commitment to cross-party support for climate and nature finance, with a clear desire to collaborate and learn from communities like B4NZ. There was widespread recognition that incentivising private finance is crucial for scaling up climate and nature solutions. However, a notable gap was identified in understanding the key policy levers needed to prioritise this financing effectively. Many parliamentarians expressed the need for greater ownership and education on these issues to ensure more informed decision-making and to drive meaningful action.
Demonstrating Leadership and Strengthening Stakeholder Engagement
During our time at COP16, B4NZ met with sustainability leaders from major corporations, financial institutions, civil society, and academia. These included Business for Nature, Capitals Coalition, Cambridge Institute for Sustainability Leaderships, the Taskforce on Nature-related Disclosures (TNFD), Bank of America, Unilever, and Barclays, among others. In one of our discussions, we explored the need to work with financers in a fundamentally different way. An intriguing point was raised about the importance of connecting decision-makers within companies to foster consensus and drive market alignment. This approach could help alleviate fears around being a first mover while creating the collective ambition and agreement needed to advance shared goals effectively These meetings reinforced the momentum for increasing political ambition and policy dialogues, as well as B4NZ’s role in fostering collaborative progress.
We had particularly insightful conversations with the ICCF CEO about how we could work together to help banks de-risk their investments, making it easier for them to finance initiatives that enhance biodiversity and sustainability.
Additionally, our roundtable discussions with the BloombergNEF delegation were valuable, particularly in relation to their latest research. Although the $200 billion nature financing target set at Montreal may have been met, it is clear that this is only a fraction of the funding required. We aim to continue these conversations and leverage this and upcoming research.
Major Announcements and Frameworks
COP16 saw significant developments that support global conservation efforts, including:
- Reaffirmation of the 30×30 Goal: This commits to conserving 30% of land and ocean by 2030, with implementation criteria tailored for England.
- Launch of the Cali Fund: This innovative mechanism allows businesses to financially contribute when using nature-based genetic data under the Digital Sequence Information (DSI) Agreement.
- Biodiversity Credit Markets: New frameworks lay the groundwork for market-based approaches to biodiversity conservation.
- TNFD and GFANZ Consultations:
- TNFD’s guidance focuses on nature transition planning for corporations and financial institutions.
- GFANZ’s consultation addresses integrating nature considerations into financial institutions’ net-zero transition plans.
Shaping B4NZ’s Nature Finance Workstream
The insights gained at COP16 will directly inform our nature finance workstream. Our priorities, which we will start working now and throughout 2025, include:
- Hosting a series of parliamentary workshops: Continue conversations with the UK government and organise workshops to drive policy action.
- Advocating for the UK’s GBF Commitments: Pressing the UK Government to fulfil its $20 billion annual pledge in international biodiversity finance for developing countries by 2025, in line with the Global Biodiversity Framework (GBF).
- Promoting a National Biodiversity Strategy: Encouraging private sector investment to enhance natural capital domestically.
Looking Ahead: Making the Economic Case for Nature Conservation
COP16 outcomes underscored the need for a robust economic case for nature conservation. Governments and international bodies emphasised the alignment of climate and nature finance to maximise the impact of conservation efforts. This commitment included strengthened frameworks for sustainable supply chains, ecosystem services, and finance mechanisms that promote resilience against biodiversity loss and environmental degradation.
Currently, governments provide approximately $173 billion, or five-sixths, of global biodiversity finance, which underscores the urgent need for consistent mechanisms to mobilise private finance. Achieving the level of biodiversity funding required to reverse nature loss will demand clear pathways for private sector investment and a coordinated global effort to close this crucial funding gap.
B4NZ at COP29
B4NZ attended COP29 to champion the critical role of mobilising private finance in addressing the climate crisis and accelerating the global transition to a sustainable future. We highlighted the contributions of our key workstreams, emphasising the pivotal roles that SMEs and retrofitting existing infrastructure play in driving this transition. SMEs are not only engines of innovation but also crucial players in scaling solutions, while retrofitting buildings and assets is essential for reducing emissions and improving resilience. By advocating for these priorities, we aimed to showcase actionable pathways for integrating private sector leadership into global climate strategies.
Demonstrating our work on a global stage: SME Data Taskforce Session
In collaboration with the British Business Bank, B4NZ hosted a panel and roundtable session focusing on the critical role of SMEs in achieving net zero. The session gathered leaders from financial institutions, corporates, government and regulatory bodies, to explore how to build an SME first, bottom-up reporting and data acquisition.
Highlights:
- Driving Data Quality & Standardisation:
- The session spotlighted the B4NZ SME Data Taskforce, SME Climate Hub, and Project Perseus as the vital tools and platforms currently at hand to enhance sustainability reporting.
- Uniform, high-quality sustainability data was identified as essential to enabling SMEs to access green financial products and incentives.
- Incentives as Catalysts, Not Mandates:
- Panelists stressed that ambitious incentives—rather than regulations—are critical to mobilise SME participation in sustainability initiatives.
- Alignment across policy, finance, and supply chains can foster an ecosystem conducive to achieving net zero goals at the firm level.
- Reframing the Sustainability Narrative:
- A call to move away from jargon and compliance-centric discussions, framing sustainability as a driver of growth and opportunity for SMEs.
- This shift encourages SMEs to view green practices as investments in their long-term success.
- Global Collaboration for Scale:
- Addressing data gaps, particularly in underserved regions, and enhancing international cooperation is fundamental.
- B4NZ urged global supply chains, policymakers, and industry leaders to unify efforts to unlock climate solutions for SMEs on a global scale.
Major Announcements and Frameworks
- NCQG: Developed nations committed to $300 billion/year by 2035 and a broader target of $1.3 trillion/year for climate finance but lacked clarity on implementation.
- Article 6: Agreements on international carbon trading rules included standards for sustainable development (Article 6.4) and processes for bilateral credit trade (Article 6.2).
- Fossil Fuels & Methane: Limited progress on phasing out fossil fuels; key nations resisted stronger commitments. Thirty nations pledged methane reductions from organic waste; 25 countries and the EU committed to “no new unabated coal power”.
Looking ahead to COP30 in Belem, Brazil
Looking ahead to COP30 in Belém, Brazil, the significance of this gathering cannot be overstated. Situated in the heart of the Amazon rainforest, Belém embodies the challenges and opportunities of aligning global climate and nature efforts. COP30 offers a unique platform to bridge the key themes explored at COP16 and COP29 and drive the agenda of B4NZ, our workstreams, members and partners forward.