Sheet document

This is an ongoing work in progress. The spreadsheet consolidates the main regulatory issues mapped by the technical team of the Nature Investment Lab (NIL), considering the scope of Taskforce 1 and its key objectives:

  • Identifying regulatory and public policy barriers to structuring projects and enabling financing for Nature-Based Solutions (NbS)
  • Discussing possible solutions that can be implemented through the Nature Investment Lab’s initiatives
  • Implementing or supporting the implementation of solutions, either independently or in collaboration with other initiatives or regulatory bodies

The research methodology used for this mapping consisted of:

  1. Research and analysis of published studies on NbS
  2. Conversations with NIL founders
  3. Discussions held at NIL events and meetings
  4. Interviews with NIL participants and ecosystem stakeholders, including financial institutions, family offices, civil society organizations, law firms, businesses, and regulatory bodies
  5. Analysis of legislation identified through interviews and discussions

Based on this, 30 regulatory issues related to the NbS market in Brazil were mapped (COLUMN B). These issues were classified into seven categories: Funding Sources, Guarantees, Government Programs, Financial Instruments, Capital Markets, Taxonomy, Carbon Market, Insurance, and Other Legal Issues (COLUMN D).

Additionally, the identified issues were classified according to their thematic axis within the NbS focus areas covered by NIL: Bioeconomy, Restoration, and Regenerative Agriculture (COLUMN E).

Based on this analysis, initial suggestions were made for potential solutions to address each regulatory challenge (COLUMN G). The main ecosystem actors in Brazil already working on these issues were also identified (COLUMN I).

Once these analyses and classifications were completed, four criteria were developed to prioritize and select the topics that Taskforce 1 will discuss and address in NIL’s first cycle (2025). The prioritization criteria were classified into four categories (COLUMNS J – M):

  • Additionality: Avoiding overlap with other initiatives led by ecosystem stakeholders
  • Capacity: Considering NIL’s resources and short-term vision, the solution must be viable for implementation
  • Speed of Action: Ability to generate solutions quickly, considering the timeframe leading up to COP 30
  • Pilot/Sandbox Potential: Potential to create alternatives via a facility, establish a first-loss fund, or develop solutions with non-regulatory ecosystem actors, as well as creating a sandbox in collaboration with regulatory agencies

Each topic was then assessed and given a specific score to determine its overall priority based on these criteria (COLUMN N). Topics with the highest scores (9 points or more) were highlighted in light green in the spreadsheet and will be the priority issues for Taskforce 1 in NIL’s first work cycle (2025).