Management approach

Negative actual impacts

• Climate change as an impact driver of biodiversity loss: Negative impact of Lenzing and its value chain by contribution to climate change and consequential biodiversity loss (own operations, value chain)

Negative actual and potential impacts

• Invasive alien species as an impact driver of biodiversity loss​: Potential negative impact on biodiversity introducing invasive alien species by wood transport (own operations, upstream value chain)
• Impacts on the state of species – Species global extinction risk: Negative impact on threatened species in case of a lack of monitoring and management (own operations, upstream value chain)

Negative potential impacts

• Land-use change as an impact driver of biodiversity loss​: Potential negative impact on ecosystems due to suppliers potentially performing land-use change (upstream value chain)
• Impacts and dependencies on ecosystem services​: Potential negative impact on ecosystem services due to impacts on biodiversity (upstream value chain)

Positive actual impacts

• Climate change as an impact driver of biodiversity loss: Positive impact on biodiversity by sustainable wood sourcing and engagement in afforestation projects (own operations, upstream value chain)

Risks

• Biodiversity and ecosystems: Risk of wood scarcity & high wood prices resulting from biodiversity loss (upstream value chain)

Opportunities

• Land-use change as an impact driver of biodiversity loss​: Opportunity through positive positioning with best practice wood sourcing from sustainably managed forests and plantations (own operations, upstream value chain)

For a more detailed description of the impacts, risks and opportunities, please see the “Material impacts, risks and opportunities” section of the “ESRS 2 General disclosures” chapter.

Policies

• Wood and Pulp Policy
• Biodiversity Policy
• Sustainability Policy

Actions taken [ESRS 2 MDR-A 68a]

• Biodiversity due diligence via sustainable sourcing: Forest certificates: All wood and dissolving wood pulp used by the Lenzing Group are either certified by FSC^® or PEFC or controlled in line with these standards
• Reduce: Via circular economy approaches and climate targets – Resource use and Recycling
• Conservation, Afforestation, Restoration and Reforestation: Lenzing proactively participates in conservation projects to protect the world’s ecosystems:
  • Conservation within LD Celulose`s plantations
  • Innovation for people: Reducing the carbon footprint, protecting forests and improving lives of rural communities vulnerable to the effects of the climate crisis (see “Restoration and reforestation”)
  • Maintenance and support of ecosystem services in Austria (see “Restoration and reforestation”)
  • Albania and West Balkans / Drin River valley (see “Restoration and reforestation”)
  • Wood K Plus (see “Biodiversity and ecosystems stakeholder engagement”)
  • Sustainable Agriculture & Agroforestry in Tanzania (ICEP Project Lenzing Tanzania) (see “Biodiversity and ecosystems stakeholder engagement”)
  • In the Ruvubu National Park (Burundi), reduction of utilization pressure and reforestation with native trees to restore the natural ecosystem and contribute to climate protection (Caritas Steiermark/ODAG Caritas Gitega/Burundi/University of Burundi) (see “Biodiversity and ecosystems stakeholder engagement”)
  • Fashion Forest Afforestation Project (see “Biodiversity and ecosystems stakeholder engagement”)

Further details of each project are described in the “Restoration and reforestation” section, the “Fiber brand-related climate protection, forest protection and afforestation projects 2024” section and the “Biodiversity and ecosystems stakeholder engagement” section of this chapter.

Further actions (not described in more detail in E4-3)

• Lenzing addresses biodiversity conservation in its supply chain through one of two approaches, depending on the global region:
  • Sustainably managed forests in the Northern hemisphere by Lenzing’s wood and pulp suppliers in Europe and North America: using wood from sustainably managed semi-natural forests supports biodiversity
  • Plantation forestry is conducted mainly in the Southern hemisphere by Lenzing’s pulp supplier in South Africa and by the pulp plant in Brazil: when sourcing from plantations, considerable efforts are made to set aside conservation areas to protect and maintain biodiversity
• Lenzing minimizes its impact on ecosystems by implementing circular thinking (such as closed-loop systems and recovery) and maintaining high environmental standards, based on EU BAT and EU Ecolabel certifications, in its operations, procurement, and innovations
• Lenzing has been working with NGOs, customers and partners along the downstream value chain to raise public awareness of biodiversity and take conservation measures to preserve it
• Development of a Biodiversity Approach and Action Plan
• Lenzing achieves the dark green shirt, the highest Hot Button category score by the Canopy Style initiative, for the fourth time
• Lenzing participates in the Circular Fashion Partnership
• CDP 2024 (formerly Carbon Disclosure Project): Lenzing achieved ‘Climate A’ for four years in a row, ‘Forest A-’ and ‘Water B’ demonstrating strong transparency and integration of environmental considerations into business strategy
• Lenzing and ÖBf (Österreichische Bundesforste/Austrian federal forests) have agreed on an action plan for engagement on peat bog protection and maintenance in the Ausseerland region in Styria (Austria). Wet meadows with exceptionally high biodiversity and ponds for amphibians are being restored.
• Lenzing has aligned projects with CDP, Canopy and ÖBf
• Lenzing discloses information according to recommendations of the Taskforce on Nature-Related Financial Disclosures (TNFD) for the first time
• Lenzing supported Business for Nature’s Business Statement for COP 16 to the Convention on Biological Diversity (October 2024)
• Lenzing signed up to the Science Based Targets for Nature (SBTN) Corporate Engagement Group, and the European Business Nature Commitment
• Pollution prevention: For more information, please see the “E1 Climate change” and the “E2 Pollution” chapters
• Actions regarding climate change and subsequent biodiversity loss: For more information, please see the “E1 Climate change” chapter

Sustainability targets

• “Conservation project Albania” target
• “Conservation area Brazil” target
• “Conservation projects” target

Stakeholders (in alphabetic order)

• Canopy Style initiative
• Caritas Austria
• China National Textile and Apparel Council (CNTAC)
• COP 16 to the Convention on Biological Diversity (United Nations)
• Forest certification organizations
• Forest Europe, European and national forest strategies
• Inspiring Cooperation Empowering People (ICEP)
• NGOs
• ÖBf (Österreichische Bundesforste/Austrian federal forests)
• Policymakers
• Taskforce on Nature-related Disclosures (TNFD)
• Textile Exchange
• Wood K Plus
• Wood suppliers
• WWF Austria

Responsible

• Member of the Managing Board (Pulp)
• Senior Director Purchasing Wood
• SVP Commercial Affairs Pulp

Supporting

• Pulp Trading (PTG)
• Corporate Sustainability