Nature Positive Role of the Technology Sector 2025

Key nature-related stakeholder dynamics impacting businesses FIGURE 2 BusinessesGuidance and standards − Taskforce on Nature-related Financial Disclosures (TNFD) issued sector-specific guidance for 8 sectors and financial institutions − International Sustainability Standards Board (ISSB) incorporated nature and biodiversity requirements − EU’s European Sustainability Reporting Standards (ESRS) started in 2024, including E4 on biodiversity and ecosystems − Science Based Targets for Nature (SBTN) released updated target-setting guidanceGlobal agreements − 196 parties agreed on the landmark Kunming-Montreal Global Biodiversity Framework (GBF) in December 2022 − GBF Target 15 calls for mandatory assessment and disclosure and for businesses to reduce their negative impacts on nature Stakeholders and communities − 85% of consumers said they shifted their purchasing behaviour to become more sustainable in the past five years − Union for Ethical BioTrade (UEBT) Biodiversity Barometer has shown consistent growth in biodiversity awareness among consumers over the past decade − Nearly 75% of employees find fulfillment through positive environmental impact − $64 billion of data centre projects blocked/delayed in the US from 2023 to early 2025 because of local community oppositionFinancial institutions − 200 financial institutions with €23 trillion in assets under management signed the Finance for Biodiversity Pledge − Nature Action 100 harnesses investor influence on businesses − Network for Greening the Financial System (NGFS) established Task force on Nature-related Risks in 2022 Source: see endnote.24Developing resilience and adaptability In the World Economic Forum’s Global Risks Report 202521 five out of the top 10 risks over the next decade are environment-related: extreme weather events, critical change to Earth systems, biodiversity loss and ecosystem collapse, natural resource shortages and pollution. These risk areas apply to tech as they do to other sectors. Reliance by the tech sector on energy, water and other natural inputs can act as a bottleneck and slow sector growth. “A new data centre can be built in 18 months,” said Fatih Birol, Executive Director of the International Energy Agency (IEA), “but building new [power] transmission lines can take four to eight years”.22 At worst, dependence on these inputs – especially power – can prevent growth altogether. For example, data centre hubs in places such as Northern Virginia and Ireland face limits on new builds due to insufficient power capacity and ageing infrastructure.23 Beyond resource constraints, increasing climate hazards in the form of extreme heat, droughts, water stress and flooding threaten facility operations, while operational pauses decrease productivity and commercial performance.  By designing for and investing in natural resource efficiency, onsite renewable power generation and sustainable supply chains, to name a few areas, tech companies can build resilience and mitigate the risk of stranded or underperforming assets. Meeting stakeholder expectations Business action on nature is increasingly required to meet stakeholder expectations. Calls for businesses to transparently manage and reduce their nature impacts remain strong and frequent, coming from policy-makers, regulators, investors, other companies, consumers and citizens (see Figure 2). Reliance by the tech sector on energy, water and other natural inputs can act as a bottleneck and slow sector growth. Nature Positive: Role of the Technology Sector 9