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The world’s first Global Nature Positive Summit: reflections, takeaways and updates on Australia’s nature positive reforms

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From 8 to 10 October 2024, the Australian and New South Wales governments co-hosted the world’s first Global Nature Positive Summit (Summit) in Sydney, which KWM attended.

In this alert, we unpack our key reflections and takeaways from the Summit, including the increasing need for businesses to properly engage with their dependencies and impacts on nature. We also provide an update on the status of Australia’s nature positive reforms and current opportunities to participate in consultation processes.

Background to the Summit

In December 2022, representatives from 188 governments (including Australia) attended the 15th meeting of the Conference of Parties to the United Nations Convention on Biological Diversity in Montreal, Canada (COP 15). The ‘Kunming-Montreal Global Biodiversity Framework’ (GBF) was passed, setting 4 longer-term goals and 23 shorter-term goals to halt and reverse nature loss and realise the vision of a world living in harmony with nature. One of these goals included a target of protecting at least 30% of the world’s land and waters by 2030 (30x30 target).

At COP 15, Minister Plibersek committed to hosting the world’s first Global Nature Positive Summit in Australia in 2024.

The Summit was held from 8 to 10 October 2024 in Sydney, less than 2 weeks before the 16th meeting of the Conference of the Parties to the United Nations Convention on Biological Diversity is scheduled to take place in Cali, Colombia (COP 16). It brought together over 1,100 registered attendees from government, corporate sectors, Indigenous communities, research institutions and environmental organisations to explore effective ways to realise global commitments under the GBF and accelerate collective action to drive investment in nature and strengthen activities to protect and repair the environment.

Key themes and takeaways

The matters discussed at the Summit were widespread and eye-opening, with our key themes and takeaways summarised below.

The importance of business resilience and clear metrics

As the executive director of the Taskforce of Nature-Related Financial Disclosures (TNFD) put it, “resilience of business depends on the resilience of nature”.

It is critical that businesses embark on their nature positive journey to better understand and explore their economic dependencies and impacts on nature, before risks can be clearly articulated and any real consideration can be given to opportunities and solutions. Understanding such dependencies involves being able to measure and report on them, which highlights the need for clear, consistent and standardised metrics when it comes to discussing impacts on nature and the condition of natural assets.

The push for businesses embarking on their nature positive journeys is likely to come from stakeholders, industry competitors looking to get ahead and government. Ultimately, understanding nature risk for a business is increasingly becoming a new aspect of the social licence to operate.

In recognition of this, more than 20 large organisations co-founded ‘Nature Positive Matters’ on the eve of the Summit. The members of this group will work together to:

  • support business uptake of nature-related reporting and data collection;
  • pilot programs to inform policies and investment decisions that are good for nature;
  • develop tools to help investors understand whether an economic activity is environmentally sustainable; and
  • help other businesses to take action to protect and repair nature.

The critical role of Indigenous leadership

As the joint statement prepared by First Nations advisers at the Australian Conservation Foundation and WWF-Australia put it, “First Peoples have been nature-positive for millennia. We call it caring for Country. Whether it’s land, sea or sky, caring for Country has been part of our stories and songlines for generations. It’s driven by one simple principle: leaving Country better than you found it.”

Indigenous knowledge and experience has a critical role to play in achieving nature positivity, particularly in circumstances where many areas of high biodiversity value are found on Indigenous land. Governments and businesses across the globe need to work with Indigenous parties to identify impacts on all aspects of nature/Country and successfully carry out nature repair activities.

The link between climate and nature and the role of governments

As Minister Plibersek put it in her closing address, “Nature-positive and net-zero objectives work together. Nature-based solutions should be used to achieve both environment and climate goals.”

Climate and nature should no longer be viewed as separate issues, but as 2 parts of the same challenge requiring cooperation and consistency from governments globally to address. This will require a shift in mindset for governments (and businesses) going forward, and it will be important for laws and policies to be underpinned by a nature positive approach.

Recognising the role governments have to play in achieving nature positivity, Minister Plibersek announced at the Summit the Australian Government’s decision to expand the sub-Antarctic Heard and McDonald Islands Marine Park by 310,000 km2. This will result in 52% of Australia’s oceans being under protection, which far exceeds the GBF target of 30% by 2030 and means Australia now protects more ocean than any other country.

Updates on Australia’s nature positive reforms

Background

As explained further in our previous alerts:

Status of the Stage 2 reforms

The Stage 2 reforms, via the Nature Positive Bills (which broadly seek to establish Environment Information Australia as an independent data and information body and Environment Protection Australia as an independent compliance and enforcement body, as well as significantly increasing penalties and enforcement powers and providing Australia’s first legislative definition of ‘nature positivity’) have not yet passed.

On 9 September 2024, the Senate Environment and Communications Legislation Committee published its Report recommending the passing of the Nature Positive Bills, subject to 5 recommendations (including that the Australian Government undertake further consultation regarding the definition of 'nature positive' to ensure it is consistent with Australia's international commitments, e.g. under the GBF).

Given the Australian Government does not hold a majority of seats in the Senate, and the Coalition, Australian Greens and 2 independent senators have heavily opposed the Nature Positive Bills in their current form, their passage through Parliament hinges on the Australian Government striking a deal with its opponents. While a potential deal was in the works with the Australian Greens to include a ‘climate trigger’ as part of the reforms, this was ruled out by Prime Minister Albanese in mid-September 2024. It remains to be seen what deal will be struck to get the Nature Positive Bills over the line, and whether this may involve a softer approach to climate considerations if not a formal ‘climate trigger’.

The Nature Positive Bills were not debated during Parliament’s most recent sitting days (8 to 10 October 2024). The next sitting dates are 18-21 and 25-28 November 2024.

Status of the Stage 3 reforms

The Stage 3 reforms, which are the most significant and will heavily shape what ‘nature positivity’ really looks like in Australia moving forward, remain deferred.

There have been no further announcements about when the Nature Positive (Environment) Bill (Cth), which will give effect to the Stage 3 reforms, will be introduced to Federal Parliament. We expect this may not occur before the next Federal election and environmental reform and nature positivity may become a key election issue.

Updates on the Nature Repair Market

Since we published on the passing of the legislative framework for the Nature Repair Market in December 2023, the Australian Government has been busy preparing for the market to launch in 2025. Key updates include:

What happens next?

The Summit provided a space for open discussion about nature positive challenges and solutions ahead of COP 16 and reinforced that the global push for nature positivity is here to stay. 

While the Nature Positive reform agenda in Australia still has some way to go, there are clear signals for business that this emerging risk should be carefully considered in ESG strategies. Businesses should consider identifying their dependencies and impacts on nature and develop nature positive strategies and nature-based solutions for climate and environmental challenges. This may involve drawing on the learnings and examples of the Nature Positive Matters group, including incorporating Indigenous knowledge and experience, and assessing the application of the TNFD reporting framework to your business. 

We will continue to monitor and report on the Nature Positive Bills and the Stage 2 and 3 reforms more broadly. Anyone interested in participating in the Nature Repair Market should review the operational materials currently out for consultation and consider making a submission before consultation closes on 30 October 2024.