LEAP-BV Assessment Tool

TNFD-Compatible Biodiversity & Ecosystem Integrity Evaluation

✓ TNFD LEAP-Aligned • Nature-related Risk Assessment
Based on Biovariety Framework

TNFD LEAP Assessment Framework

L
Locate - Define interface with nature through landscape units and operational boundaries
E
Evaluate - Assess dependencies and impacts on ecosystem position, function, and meaning
A
Assess - Determine material risks and opportunities through viability thresholds and adaptive margins
P
Prepare - Respond and report through targeted actions and TNFD-aligned disclosures
L: Locate
E: Evaluate
A: Assess
P: Prepare
Methodology

L: Locate - Define Operational Interface

Objective: Identify and delineate the organization's interface with nature through ecologically meaningful units.

Operation & Sector Context

Geographic & Ecological Context

Assessment Framework

Min: 2 Max: 10
Ecologically meaningful spatial units for analysis (e.g., mining pit, processing area, buffer zone, natural habitat)
Used to establish Vreq (Viability Requirement Threshold)

E: Evaluate - Ecosystem Condition Assessment

Objective: Evaluate dependencies and impacts on ecosystem integrity through the Biovariety (BV) framework.

1. Position (BP) - Structural Connectivity & Basal Processes

BP
Ecological Position: BP = 0.5·Ce + 0.5·PB
Evaluates landscape connectivity and fundamental ecological processes

Connectivity Parameters IMPACT METRIC

0 (No connectivity) 1 (Full connectivity)
Optimal: 0.8-1.0 Acceptable: 0.6-0.8 Moderate: 0.4-0.6 Critical: 0-0.4
Data: Soil permeability, hydrographic network
0 (No abiotic connectivity) 1 (Full abiotic connectivity)
Optimal: 0.8-1.0 Acceptable: 0.6-0.8 Moderate: 0.4-0.6 Critical: 0-0.4
Data: pH, temperature, dissolved oxygen
0 (No vegetation cover) 1 (Full vegetation cover)
Optimal: 0.8-1.0 Acceptable: 0.6-0.8 Moderate: 0.4-0.6 Critical: 0-0.4
Data: NDVI, vegetation cover
0 (No species connectivity) 1 (Full species connectivity)
Optimal: 0.8-1.0 Acceptable: 0.6-0.8 Moderate: 0.4-0.6 Critical: 0-0.4
Data: Key species presence, dispersal

Basal Processes by Landscape Unit DEPENDENCY METRIC

2. Function (BF) - CO4 Operational Capacity

BF
Ecological Function: BF = soft-max(CO4 capacities)
Evaluates cohesion, communication, coordination, and conduction through key species

Key Species / Functional Groups DEPENDENCY METRIC

0 (No cohesion) 1 (Full cohesion)

3. Meaning (BS) - Cultural & Symbolic Legitimacy

BS
Cultural Meaning: BS = geometric mean(species, habitat, process values)
Evaluates symbolic, cultural, and legitimacy dimensions

Cultural Values IMPACT METRIC

A: Assess - Materiality & Risk Evaluation

Objective: Assess material risks and opportunities through viability thresholds and adaptive margins.

Biovariety (BV) Calculation

BV = 0.4·BP + 0.4·BF + 0.2·BS
Integrated measure of ecosystem integrity and relational viability

Viability Threshold (Vreq)

0 (No viability) 1 (Full viability)
Optimal: 0.6-1.0 Acceptable: 0.4-0.6 Critical: 0-0.4
Minimum positional viability
0 (No viability) 1 (Full viability)
Optimal: 0.6-1.0 Acceptable: 0.4-0.6 Critical: 0-0.4
Minimum functional viability
0 (No legitimacy) 1 (Full legitimacy)
Optimal: 0.5-1.0 Acceptable: 0.3-0.5 Critical: 0-0.3
Minimum cultural legitimacy

Ecological Adaptive Margin (VNRe)

VNRe = BV - Vreq represents the ecosystem's adaptive capacity:

VNRe > 0.10: High resilience - Ecosystem has significant capacity to reorganize and adapt to disturbances
0 < VNRe ≤ 0.10: Moderate resilience - Ecosystem operates with limited but sufficient adaptive margin
-0.10 ≤ VNRe ≤ 0: Low resilience - Ecosystem at viability threshold, vulnerable to collapse
VNRe < -0.10: Critical state - Ecosystem in relational collapse, requires immediate intervention

Risk Assessment Matrix

VNRe Range Risk Level Financial Materiality TNFD Category Ecological Meaning
VNRe > 0.10 Low Opportunity Transition Opportunities High adaptive capacity
0 < VNRe ≤ 0.10 Medium Moderate Risk Transition Risks Limited adaptive margin
-0.10 ≤ VNRe ≤ 0 High Material Risk Physical Risks Viability threshold
VNRe < -0.10 Critical Immediate Risk Systemic Risks Relational collapse

P: Prepare - Response & Reporting

Objective: Develop response strategies and prepare TNFD-aligned disclosures.
Complete the Assess phase to generate results and recommendations.

Methodology & Technical Documentation

LEAP-BV Methodology v1.0 - TNFD-aligned implementation of Biovariety Framework

Core Framework

The LEAP-BV tool implements the Biovariety (BV) framework as a relational indicator of ecosystem integrity, aligned with TNFD's LEAP approach:

BV = 0.4·BP + 0.4·BF + 0.2·BS

Integrated measure of ecosystem integrity

VNRe = BV - Vreq

Adaptive margin for risk assessment

Vreq Contextual

Baseline-dependent viability threshold

TNFD Alignment Framework

LEAP-BV Component TNFD Category Financial Materiality Core Metrics
BP (Position)
Connectivity & Basal Processes
Location & Interface Physical Risk L-1: Area impacted
L-2: Condition
BF (Function)
CO4 Operational Capacity
Dependencies & Impacts Transition Risk D/I-1: Ecosystem services
D/I-2: Species interactions
BS (Meaning)
Cultural Legitimacy
Stakeholder Relations Systemic Risk S-1: Cultural values
S-2: Community relations
VNRe
Adaptive Margin
Risk & Opportunity Financial Materiality R-1: Risk classification
R-2: Response strategy

Financial Risk Translation

From Ecological to Financial Risk: VNRe ranges translate to financial materiality through operational, regulatory, and market channels:

VNRe > 0.10 (OPPORTUNITY): Potential for nature-positive investments, biodiversity credits, premium market access. Estimated financial upside: 2-5% of revenue through ecosystem services enhancement.
0 < VNRe ≤ 0.10 (BUFFER): Limited financial exposure. Monitoring costs: 0.1-0.5% of OPEX. Low probability of operational restrictions.
-0.10 ≤ VNRe ≤ 0 (UMBRAL): High financial risk. 20-50% probability of operational restrictions. Restoration CAPEX: 5-15% of annual revenue. Regulatory compliance costs increasing.
VNRe < -0.10 (DÉFICIT): Critical financial exposure. >80% probability of license revocation. Emergency restoration CAPEX: 15-30% of annual revenue. Potential loss of 2-5 years of operation.

VNRe Range Interpretation

Ecological Adaptive Margin (VNRe) quantifies the ecosystem's capacity for reorganization:

VNRe > 0.10 (OPPORTUNITY): The ecosystem maintains significant relational plasticity. It can absorb disturbances and reorganize while maintaining core functions. Species interactions, connectivity, and cultural legitimacy create a robust adaptive buffer.
0 < VNRe ≤ 0.10 (BUFFER): The ecosystem operates with limited but sufficient adaptive capacity. While core functions are maintained, the system has reduced capacity to respond to novel disturbances. Minor additional stressors could push it below viability thresholds.
-0.10 ≤ VNRe ≤ 0 (UMBRAL): The ecosystem operates at the edge of viability. Relational coherence is compromised, and the system lacks sufficient adaptive capacity. Small disturbances can trigger cascading failures in ecological functions and cultural legitimacy.
VNRe < -0.10 (DÉFICIT): The ecosystem has entered relational collapse. Critical connections between position, function, and meaning are broken. The system cannot maintain its organizational coherence and requires immediate, intensive intervention to prevent irreversible degradation.

Case Study: Mining Application

Example Case – Salar Punta Negra Lithium Operation (simulated)
Application in high-Andean wetlands showing BV transition from 0.58 (pre-operation) to 0.42 (current) with VNRe = -0.16, triggering critical risk classification and restoration requirements. Financial implications: estimated restoration CAPEX of $25M (18% of annual revenue) with 75% probability of operational restrictions if not addressed.

TNFD Compatibility Features

✓ LEAP-Aligned

Structured assessment following Locate, Evaluate, Assess, Prepare

✓ Metrics-Driven

Quantitative ecosystem integrity metrics compatible with TNFD disclosure

✓ Risk-Based

Material risk assessment through viability thresholds and adaptive margins

✓ Action-Oriented

Clear response strategies and disclosure preparation