Management of Ecosystem Services Supply Chain

IIF- SEMS - Annexes 48 for invasive behaviour. The client will not deliberately introduce any alien species with a high risk of invasive behaviour or any known invasive species, and will exercise diligence to prevent accidental or unintended introductions.

3.6.2. Management of Ecosystem Services

137. Ecosystem services are the benefits that people and businesses derive from ecosystems, which are categorized into four services: i Provisioning services which are the products people obtain from ecosystems; ii Regulating services which are the benefits people obtain from the regulation of ecosystem processes; iii Cultural services which are the nonmaterial benefits people obtain from ecosystems; and iv Supporting services which are the natural processes that maintain the other services. 138. Ecosystem services valued by humans are often supported by biodiversity. Hence, impacts on biodiversity can often adversely affect the delivery of ecosystem services. 139. If it is indicated, from the risks and impacts identification process, that the project is likely to have adverse impact to ecosystem services, the client will implement a systematic review to identify priority ecosystem services. These prioritised ecosystem services are two-fold: i Services on which project operations are most likely to have an impact and hence, it will result in adverse impacts to the affected communities andor ii Services on which project is directly dependant for its operations e.g. water. 140. In the case when impacts to the prioritised ecosystem services are unavoidable, the client will minimise such impacts and implement mitigation measures to maintain their value and functionality. For impacts on priority ecosystem services on which the project depends, the client should minimise such impacts and implement measures to increase resource efficiency of the operations as outlined in principle 3. Additional provisions for ecosystem services are included in Principle 4, 5, 7 and 8.

3.6.3. Supply Chain

141. In the case when the client purchases primary production from regions where there is a significant risk of natural andor critical habitats conversion, the client will evaluate its primary suppliers. The client will include, as part of its SEMS, systems and verification practices with the following objectives: i Identify the source of the supply and the habitat type; ii Provide on- going review of the client’s primary supply chains; iii Limit procurement from suppliers that contribute significantly to conversion of natural andor critical habitats; iv Shift client’s supply chain over time to suppliers that do not significantly impacting natural andor critical habitats, where possible. 142. The client ‘s control over influence of its primary suppliers will play significant contribution to the client’s ability to address supply chain issues. IIF- SEMS - Annexes 49

3.7. PRINCIPLE 7: INDIGENOUS PEOPLES