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Climate Action

Adapt to the Era of ‘Show, Don’t Tell’: How Tech is Shaping the Future of Commodities and Land Use

After decades of corporate good intentions but mixed results, regulators and investors are no longer satisfied with promises to curb emissions or protect biodiversity. The conversation has shifted to the practicalities of how to reduce emissions, manage environmental risks, and report these efforts with credibility and transparency. While for many years the core focus was on climate change and greenhouse gas emissions, recently, the call to action has been expanding across all nature assets and ecosystems, expanding both the opportunity for impact and the challenges for defining and measuring impact. Telling stakeholders you intend to be an effective steward of climate and nature isn’t enough. Increasingly, regulation requires firms to show, not just tell.

  • 19 September 2024
  • Tina Morris, CEO, FLINTpro

The past few years have seen significant developments in climate-related regulation. The European Union’s Deforestation Regulation (EUDR), for example, requires companies to ensure that certain products entering the EU market are not linked to deforestation. In parallel, frameworks like the International Sustainability Standards Board (ISSB) and initiatives such as the Task Force on Climate-related Financial Disclosures (TCFD) are pushing for more stringent reporting on climate risks and carbon emissions.  

Companies are feeling pressure not just from regulators, but also from investors, customers, and even their employees. For many businesses, the question isn’t whether they should act anymore—it’s how to do so in a way that makes a measurable impact that holds up to scrutiny. It’s about moving from knowing why change is needed to figure out how to measure and implement that change.

Technology is playing a critical role in this shift... Assessment of carbon, nature assets and natural resources traditionally relied on manual data collection and processing. This has been transformed by advances in ecosystem modeling, artificial intelligence, and remote sensing. These tools now allow companies to get a much clearer view of their emissions and environmental impact. At FLINTpro, we see the value of integrating data including satellite imagery, ecosystem models, and ground-level assessments of carbon and biodiversity—into a coherent picture that helps companies navigate complex environmental risks. We call it Nature Analytics. It’s not about relying on a single data set to solve all problems; it’s about drawing from multiple, relevant sources to build a meaningful understanding of the value of your land. 

While the advances in the technologies and data are a blessing, the complexities can also be overwhelming for companies new to reporting and cause paralysis and inaction instead of compliance.  From our experience, breaking down the complexity and starting on a path to action has three key steps: 

(1) Work with experienced teams that have built scientifically based methodologies that clearly outline the data quality, modeling assumptions, and outcome capabilities. 

(2) Identify the baseline for your nature assets and the current state of their impacts on larger climate actions and protection opportunities, investing in further analysis for high-risk priorities. 

(3) Set realistic targets for action by understanding future scenarios for your land, leading with mitigation strategies or interventions to demonstrate stewardship, and aim towards achieving nature-positive commitments.

Companies that successfully integrate accurate data about their climate and nature impacts, risks, and abatement efforts into their daily operations and decision-making will outcompete others for investment, reputation, and talent. It’s no longer enough to meet regulatory requirements—businesses need to demonstrate real progress. 

The future of nature analytics is about more than regulatory compliance. It’s about understanding the complexities of environmental impact and using the right tools to manage it. As regulations continue to evolve and stakeholder expectations grow, companies that invest in high-quality data and credible reporting will be better positioned to navigate the challenges and become market leaders for taking action.