An Estonia-based nature startup has published a forest-focused biodiversity metric that it says will help companies assess their impact on biodiversity and finance nature protection.

Researchers from Single Earth have published a peer-reviewed metric called the “Ecosystem Integrity Index”, which they claim provides a flexible solution to facilitate the integration of essential biodiversity variables to monitor forest ecosystems.

“This metric fills the need for a simple, scalable, and scientifically sound indicator of ecosystem condition,” Arildo Dias, lead author and biodiversity team lead at Single Earth, told Carbon Pulse.

“Such metrics are needed not only to inform companies about the double materiality, impacts, and risks of their operation in the ecosystem but also to inform policymakers where an intervention, such as a restoration effort, might be needed.”

The scores for the Ecosystem Integrity Index are calculated using existing datasets and indicators to cover six “Essential Biodiversity Variables” (EBV). The EBVs are genetic composition, species populations, species traits, community compositions, ecosystem function, and structure.

Datasets used to calculate the EII score with their respective resolution, a brief description of what the data entails and the reference.

The study showed that the EII scores were lower in forest plots that had seen disturbance, and higher in intact areas.

Dias told Carbon Pulse that the metric can be used to assess ecological impact and footprint around their site operations, but it could also be augmented with supply chain data to assess a full biodiversity footprint.

The 1 sq. km resolution can be easily aggregated from parcels, ecoregions, municipalities, and other administrative areas until the country level, according to Dias.

Single Earth’s methodology for nature-based “Merit” tokens is now switching to integrate with EII values as a “diversified carbon” approach, the company’s CEO told Carbon Pulse.

“We adjust carbon sequestration-based minting schedules with EII values. The higher the biodiversity and ecosystem integrity values, the more tokens a land plot will generate,” Merit Valdsalu said.

The company’s tokens align with European Sustainability Reporting Standards and Corporate Sustainability Reporting Directive and can be disclosed under the regulations, Valdsalu said.

By Tom Woolnough – tom@carbon-pulse.com

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