Coca-Cola, Dow and Nestlé are among the 10 companies testing the new draft of the Natural Capital Protocol against specific business applications.
The Protocol will provide decision-making support to businesses in their risk-management processes, exploration of new revenue streams, and in product and value chain innovation. It is a product of the Natural Capital Coalition, a global platform that brings together the different initiatives and organizations working in natural capital under a common vision of a world where business conserves and enhances natural capital.
The testing program will be led by the Cambridge Institute for Sustainability Leadership (CISL), a member of the Coalition.
The companies will join an extensive group of organizations in this collaborative process, which involves the World Business Council for Sustainable Development (WBCSD), leading a consortium on the writing of the Protocol, and the International Union for the Conservation of Nature (IUCN), leading a consortium on the engagement process. The final Protocol will enable companies to improve their decision-making by standardizing how their relationship with nature is measured and valued.
Each company will test the Protocol against specific business applications. Dow, for example, will assess water use opportunities and risks in site specific locations. Hugo Boss will identify the drivers of environmental impacts along the supply chain to inform raw material procurement strategies. F. Hoffmann-La Roche will investigate how natural capital assessments can potentially enhance the management and reporting of environmental issues. Kering will explore how to bring Natural Capital assessment results into strategic business decisions.
This program is designed for businesses to live-test, refine and influence the final Protocol to ensure it is robust, practical and relevant to the entire private sector.
Earlier this year, the Natural Capital Coalition released an extensive report on business expectations around the Natural Capital Protocol, which reflects the opinions of businesses across 15 sectors on dynamics they expect to influence their adoption and use of the Protocol.