IEMA releases new guidelines on TNFD for SMEs

Nature’s health and resilience is of great importance for societies, economies, business and finance.  Since the release of the Taskforce on Nature-related Financial Disclosures’ (TNFD) recommendations last September, more than 400 organisations have committed to begin reporting on nature-related issues.  

Partly funded by the UK’s Department for Environment, Food and Rural Affairs, the TNFD is a framework for reporting impacts and dependencies, and risks and opportunities, in relation to nature. With this year’s UN Biodiversity Conference in Colombia, COP16, approaching later in this month, new guidance from the Institute of Environmental Management and Assessment (IEMA) will help simplify the process, allowing SMEs to adapt to making nature-related disclosures and effectively manage their risks. 

IEMA’s Policy and Engagement lead, Lesley Wilson, said: “The products and services of businesses are highly dependent on nature in terms of primary resources, across the supply chain, or even the food in the canteen. However, nature has been increasingly depleted. This is why it’s so important for businesses to understand their impacts on nature but also their dependencies. 

“There’s a huge amount of interest in the recommendations provided by the TNFD to better manage nature-related risks. However, the framework can sometimes seem too overwhelming to get started. 

“This new guidance paper will help to remove the fear of starting, by providing tangible examples of how people working in the sustainability sector can use the guidance within their roles. 

“Ahead of COP16, we’re calling on businesses to get ahead of the curve on nature-related financial disclosures, which will be crucial in alleviating panic and financial pressures further down the line, when this kind of reporting becomes mandatory.” 

Find out more here.