The European Nature Restoration Law: implications for businesses and society
The European Union's Nature Restoration Law, enacted on August 18, 2024, is a landmark regulation aimed at reversing the degradation of ecosystems across the EU. As the first continent-wide, comprehensive law of its kind, it sets binding targets to restore degraded ecosystems, particularly those with significant potential to capture and store carbon and to mitigate natural disasters.
Key Objectives:
Ecosystem Restoration: This groundbreaking legislation mandates the restoration of ecosystems, setting ambitious targets like restoring 20% of degraded land by 2030, with progressive targets of 60% by 2040 and 90% by 2050.
Climate Mitigation: By restoring wetlands, rivers, forests, grasslands, and marine ecosystems, the law aims to enhance biodiversity, secure ecosystem services like water and air purification, and contribute to limiting global warming to 1.5°C.
Disaster Resilience: Restored ecosystems are expected to bolster Europe's resilience against natural disasters, reducing risks to food security and enhancing strategic autonomy. EUROPEAN ENVIRONMENT AGENCY Implementation and Targets: Member states are required to develop national restoration plans by 2026, focusing on habitats in poor condition. Specific targets include restoring at least 30% of such habitats by 2030, 60% by 2040, and 90% by 2050.
Legislative Journey: The law faced significant debate and opposition, particularly from farming groups concerned about potential impacts on agriculture. Despite these challenges, it was adopted by the European Parliament on February 27, 2024, with 329 votes in favor, 275 against, and 24 abstentions. Subsequently, the Council of the European Union approved the law on June 17, 2024, overcoming a political deadlock with decisive support from Austria.
For businesses, this creates new obligations to integrate nature restoration into their strategies.
Far from being a burden, the law presents opportunities. Companies that adapt early can lead the charge, aligning with consumer demand for sustainability and gaining a competitive edge.
The European Nature Restoration Law is more than regulation—it’s a blueprint for a regenerative future where nature and business thrive together.
