This document discusses the impacts of business operations on ecosystems and biodiversity. It notes that 15 of 24 ecosystem services examined in a UN assessment are being degraded. Biodiversity loss and ecosystem degradation are estimated to cost the global economy $2-4.5 trillion annually. All businesses depend on and impact ecosystems through their supply chains and operations. Understanding these dependencies and impacts can help businesses reduce costs, generate revenue, cut waste, and improve their brand image.

1. Impacts and Dependencies of Business on Ecosystems and Biodiversity Dr Richard Mattison

3. Every business, regardless of their location on the value chain, both impacts and depends on ecosystems and ecosystem services. A company depends on an ecosystem service if that service functions as an input or if it enables, enhances, or influences environmental conditions required for business success. A company impacts an ecosystem if the company affects the quantity or quality of the services that ecosystem provides. Dependency and Impact

6. Market price of timber in 1950-1997 (US$/m3) Real cost of timber, including flooding damage and ecosystem service losses “ externalized” by the Construction & Materials Sector (in 1998 US$/m3) +178% In 1998, supply constraints caused timber prices to increase by 20 - 30% in China. The construction industry uses 64% of global timber production Center for Natural Forest Conservation And Management, 2000

7. Consequences of ecosystem service loss

10. Trucost Research Presentation Discussion & Questions Dr Richard Mattison [email_address]