Introduction to GBS for Financial Institutions
(GBSFI)
21 January 2021
❑ 3:00 pm: Welcome
❑ 3:05 pm : Introduction
Antoine Cadi (Director of research and innovation at CDC Biodiversité)
❑ 3:10 pm : International context and & call for more financial institutions to join the Finance for Biodversity Pledge
Anne-Marie Bor (Finance for Biodiversity Pledge)
❑ 3:30 pm : Introduction to the GBSFI
Antoine Vallier (GBS expert at CDC Biodiversité)
❑ 4:10 pm: Biodiversity Impacts Analitycs (BIA) database
Marie-Anne Vincent (Head Of Business Development at Carbon4 Finance)
❑ 4:35 pm : GBSFI with custom data
Laurent Deborde (Head of Equity Portfolio Management & Fund Selection at Groupe Caisse des Dépôts’ Asset Management Division)
Agenda
PAGE 2
Introduction by Antoine Cadi
Introduction to the GBSFI
Presentation plan
1. A brief history of the GBS
2. GBS key concepts
3. Focus on data
4. Aggregated score
5. GBS ecosystem
6. Q&A
1. A brief history of the GBS
GBS milestones and perspectives
Milestones
❑
GBS project started in 2015
❑
Club B4B+ launched in 2016
❑
End of GBS’s first review committee in January 2020
❑
GBS 1.0 launched in May 2020
❑
Schneider Electrics finished the first Biodiversity Footprint Assessment in July 2020
Perspectives
❑
Strong support of our shareholder Caisse des Dépôts
❑
Team of 6 persons fully dedicated to the project with on going recruitment
for 4 new positions: www.cdc-biodiversite.fr/nous-rejoindre/
2. GBS key concepts
GBS Key features
• Ecosystem integrity
• MSA.km² 1. Aggregated
metric
• Permanent impacts vs additional impacts
2. Impacts’
stock and flows
• Scopes 3. Full value
chain
Key concept: assessing pressures on biodiversity
❑ GBS essentially quantifies the contribution of economical activities to pressures on biodiversity
❑ GLOBIO model (PBL) is then used to translate the information on pressures into potential impacts on biodiversity
GBS
Pressures detail
Terrestrial
▪ Land use (LU)
▪ Fragmentation (F)
▪ Encroachment (E)
▪ Eutrophication (N)
▪ Climate change (CC)
▪ Ecotoxicity (X)
Aquatic (freshwater)
▪ Wetland conversion (WC)
▪ Land use in catchments (LUR &
LUW)
▪ Freshwater Eutrophication (FE)
▪ Hydrological disturbance (Hdwater &
HDCC)
▪ Ecotoxicity (X)
Missing
▪ Invasive species
▪ Marine biodiversity
▪ Overexploitation
Metric: GBS uses MSA metric which evaluates ecosystems ecological integrity on a scale from 0% to 100%
Fore st ec os ystem
MSA = 100%
MSA = 70%
MSA = 50%
MSA = 30%
MSA = 10%
1 MSA.m² loss
is equivalent to
the artifitialization of 1 m² of pristine natural ecosystem
Metric: GBS evaluates impacts in MSA.km²
Going from 100% MSA to 40% MSA on 100 m²
equals to
a 60 MSA.m² loss
(100 MSA%- 40 MSA%) x 100 m²
𝑴𝑺𝑨. 𝒎 2
MSA% value Impacted surface
Key features: GBS accounts separately permanent and additionnal impacts
Static impacts
➢ Biodiversity state
Dynamic impact
=
Dynamic impacts
➢Biodiversity changes
-
Direct impacts Scope 1
Impacts due to energy purchases Scope 2
Upstream and downstream Scope 3
Key features: GBS uses scopes framework to
account for impacts along the value chain
3. Focus on data
Stepwise approach
PAGE 17
Data hierarchy
• Fauna inventories
• Flora inventories
Survey
• GHG
• Land use type/ surface
Pressure
• Extraction/ production
• Pollutions
Raw materials Physical flows
• Turnover
• Purchases
Financial
Accuracy
Availability
PAGE 18
4. Aggregated score
Biodiversity footprint: 4 compartments
2 dimensions/ 4 compartments to be aggregated
Combining terrestrial and aquatic
PAGE 21
130 million km² 11 million km²
aggregates terrestrial and aquatic impacts by expressing both as a fraction of their respective surface area and multiplying by 10^9 (parts per billion)
MSAppb
Part per billion (ppb): used for proportions, corresponds to a ratio of 10^-9
It can be used for intensities also, e.g. to express MSA.m²/kEUR in MSAppb/bEUR
1 10−9 Respective areas of terrestrial and
aquatic ecosystems
❑ Recovery time assumption: 50 years + linear curve
❑ Inline with time integrated metrics such as PDF.m2.yr Combining dynamic and static impacts
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• Static impacts can be seen as a missed opportunity for biodiversity recovery
• This opportunity can be estimated to 1/50 over 1 year
• To compare static and dynamic impacts, we divide static impacts by 50 (assuming dynamic impacts are computed over a 1-year period)
MSA
score
Aggregated score: example
PAGE 23
Impacts of the company
1 MSA.km² 10 MSA.km²
8 MSAppb 46 MSAppb
Impacts in MSA.km²
Impacts in MSAppb
Impacts in MSA score
88 MSAppb Static Dynamic
100 MSA.km²
Static Dynamic 0.5 MSA.km²
800 MSAppb 920 MSAppb
Static Dynamic 54 MSAppb 1720 MSAppb
54 MSAppb 34 MSAppb
5. GBS ecoystem
GBS ecosytem
❑ 2 main pillars: biodiversity footprint tool for companies and investors
❑ CDC Biodiversité provides dedicated trainings
❑ Audits protocols to be developped
Members and partners of the B4B+ Club
PAGE 26
Members and partners of the B4B+ Club
PAGE 27
Strong links with the international framework
CDC Biodiversité is heavily involved in national and international convergence and reporting initiatives.
❑ CDC Biodiversité is involved in the main business & biodiversity platforms: EU Business & Biodiversity (B@B), Proteus (mining and oil & gas platform), Orée, EpE, Natural Capital Coalition
❑ We contribute to the emergence of national ("plateforme RSE", regular meetings with the French Biodiversity Office,
environment and finance ministries…) and international reporting framework (GRI, EU Green taxonomy…)
❑ We also participate to methodological convergence collaborations such as ALIGN
GBSFI within GBS ecosytem
❑ Collaboration with data providers (Carbon4Finance) to deliver biodiversity footprint data by 2021
❑ Collaboration directly with investors to assess their impacts: Mirova (pilot), BNP AM (pilot), CDC, MAIF (non listed assets),…
GBSFI
6. Q&A
More information
❑ About the Club B4B+ : www.cdc-biodiversite.fr/laction-volontaire/en-savoir-plus-sur-le- club-b4b/
❑ Our publications in English: www.mission-economie-biodiversite.com/english
❑ Our publications in French: www.mission-economie-biodiversite.com/type- publication/cahiers-biodiv2050
❑ Recruitment: www.cdc-biodiversite.fr/nous-rejoindre/
❑ Contacts:
❑ GBS Team: gbs@ cdc-biodiversite.fr
❑ GBSFI: Antoine Vallier, antoine.vallier@cdc-biodiversite.fr
❑ DRI: Antoine Cadi, antoine.cadi@cdc-biodievrsite.fr
