TNFD in a Box – TNFD releases final instalment of educational resource

The LEAP approach, metrics, data, scenarios and engagement feature in latest and final instalment of TNFD in a Box.

To support companies and financial institutions to understand nature in relation to business and finance, and to build their capacity to implement the Taskforce on Nature-related Financial Disclosures’ (TNFD) Final Recommendations, TNFD has released the second and final instalment of its educational resource, TNFD in a Box.

The resource is designed to help organisations get started with the TNFD’s recommendations, providing them with an overview of the importance of nature as a strategic risk management issue, as well as how to identify, assess and report on their nature-related dependencies, impacts, risks and opportunities.

“Global Canopy is delighted to have supported the development of TNFD in a Box for the TNFD. Businesses and financial institutions will find it an invaluable educational resource for getting started with the TNFD recommendations.”

Helen Beddow, Education and Learning Director, Global Canopy

Helen continued: “Its workshop-ready slides will be a helpful asset to in-house sustainability teams looking to enhance colleagues’ understanding of nature in business and finance contexts, and to help them secure buy-in from senior leadership in their organisations to start implementing the TNFD recommendations.”

Designed to be used by companies and financial institutions as the foundation for internal education focused on the TNFD’s recommendations, the second instalment of TNFD in a Box comprises two learning modules:

• The nature-related dependency, impact, risk and opportunity assessment approach (LEAP)
• Metrics, data and tools, scenarios, and engagement

Explore TNFD in a Box

These modules follow the first instalment of TNFD in a Box, which was released in December 2023.

The nature-related dependency, impact, risk and opportunity assessment approach (LEAP)

The LEAP approach module provides structured guidance on how to identify, assess, manage and disclose nature-related issues across four phases: Locate; Evaluate; Assess and Prepare. It is designed to be used by assessment teams in organisations that have started to adopt the TNFD recommendations, taking them through the voluntary LEAP approach step by step, and providing them with resources, tools and case studies showcasing organisations that have piloted the approach. The LEAP approach is consistent with existing international and national standards, frameworks and materiality approaches. It is designed to be tailored to the unique circumstances of organisations that apply it.

Metrics, data, scenarios and engagement

The metrics, data, scenarios, and engagement module offers a deep-dive of guidance and technical support. It showcases metrics – both qualitative and quantitative – that organisations can consider using to support universal, standardised reporting, and offers guidance on setting targets designed to improve performance over time. The scenario analysis section demonstrates how scenarios can be used to explore the possible consequences of nature loss and climate change, how governments, markets and society might respond, and the implications of these uncertainties for business strategy and financial planning. The module also highlights the importance of stakeholder engagement throughout the process.

“These latest modules complete the TNFD in a Box educational resource, and help organisations to identify the specific work components they will need to undertake, as well as the resources and expertise they will require, to start implementing the TNFD recommendations.”

Helen Beddow, Education and Learning Director, Global Canopy

Tools to support getting started with the TNFD’s recommendations

When getting started with the TNFD recommendations, companies and financial institutions must undertake an assessment of their nature-related issues. There are a number of existing tools and data available to support them. Among those highlighted as examples in TNFD in a Box is ENCORE, which was jointly developed by Global Canopy, UNEP-FI and UNEP-WCMC. The free, online tool provides financial institutions with data that enables them to identify the nature-related risks they are exposed to through their lending, underwriting and investment in high-risk industries and sub-industries.

Organisations can deploy ENCORE as part of the locate and evaluate phases of their LEAP assessment and undertake a high-level screening that identifies: the high-risk sectors and production processes to which their portfolios are exposed; and the exposure of their portfolios to ‘high’ and ‘very high’ dependencies on ecosystem services and impacts on nature.

Global Canopy is a founding partner of the TNFD, and was an official piloting organisation for the TNFD prior to the launch of the TNFD Final Recommendations in September 2023. We continue to provide technical expertise to the TNFD, and to build capacity among companies and financial institutions, preparing them to get started with adopting the TNFD recommendations.

Explore TNFD in a Box