Terra Carta 2021: For Nature People and Planet (Sustainable Markets Initiative)

Summary

At the One Planet Summit in 2021, King Charles III, who at the time held the title of the Prince of Wales, introduced the Terra Carta as a foundational charter to put sustainability at the heart of the private sector for the Sustainable Markets Initiative (SMI). While not a legally binding document, and instead designed as a voluntary framework, the Terra Carta functions to align private sector activity with global sustainability goals outlined in the Paris Climate Agreement, the Sustainable Development Goals, the Convention on Biological Diversity, the Convention to Combat Desertification and the UN Convention on the Law of the Sea—and in some cases exceed these goals. It calls on businesses, investors, and financial institutions to consider the environment into their decision-making; conceptualize the idea that long-term economic value must be redefined to incorporate natural capital; and encourages companies to adopt measurable targets to achieve net-zero emissions by 2050 and halt biodiversity loss. An additional aim of the Tera Carta is to reunite people and planet, and recognize that humans are an integral part of Nature, an entity with rights, stating that “the fundamental rights and value of Nature must represent a step-change in our ‘future of industry’ and ‘future of economy’ approach.”

As part of its implementation, the Sustainable Markets Initiative has worked with global corporations to develop sector-specific “action plans” and has established recognition programs like the Terra Carta Seal, which is awarded to companies that demonstrate credible, independently assessed progress toward these goals. To qualify for the Seal, applicants must meet rigorous criteria, are evaluated by independent sustainability experts, and selected based on verified, tangible implementation actions over implementation pledges.

Involved Organizations