SUSTAINABILITY: A Guide

Real Change needed

The global metals and minerals system impacts on the environment, people and economies in powerful ways. Effects can be devastating if actors do not take due care to avoid environmental destruction, health crises, human rights violations and damage to local economies, cultures and livelihoods. Consumer concern and awareness of these issues is increasing and people are demanding products that are produced ethically. We share the concerns and commitments of those who want our production and consumption to be done with emphasis on sustainable and equitable practices.

With this mind, we offer these resources to help to increase our understanding and awareness of environmental, social and economic risks and challenges, and to inform the changes we need to enable. We humbly hope that we will be amongst those that will play a role in bringing about change.

Considerations

The metals and minerals industry needs to take into consideration how it impacts and is impacted by environmental, social and economic factors.

The world is facing unprecedented environmental challenges, and the metals and minerals industry plays a crucial role in both mitigating and adapting to these issues. Climate change stands as one of the most pressing concerns, impacting not only the environment but our entire social and economic landscape.

Mining’s Footprint:

Estimates vary, but studies suggest a 10-15% share for the metals and minerals industries in global emissions, including activities like extraction, processing, and transportation.
Energy consumption plays a major role, with mining operations often relying on fossil fuels. Additionally, deforestation and land degradation associated with mining can further exacerbate climate issues.

Impact on Operations:

Climate change isn’t just an environmental concern; it directly impacts mining operations. Extreme weather events like floods, droughts, and wildfires can disrupt operations, damage infrastructure, and cause safety risks.
Water scarcity is another growing threat, impacting processing operations and potentially limiting access to vital resources.

Taking Action:

The industry is recognizing the need for change. Initiatives like the International Council on Mining and Metals (ICMM)‘s commitment to climate action and the Mining Association of Canada’s (MAC) Towards Sustainable Mining® program demonstrate a shift towards responsible practices.
Renewable energy solutions like solar and wind power are being explored to reduce reliance on fossil fuels. Additionally, water recycling and conservation efforts are crucial for minimizing environmental impact.

Transparency and Collaboration:

Transparency in reporting emissions and environmental impacts is key for accountability and progress.
Collaboration between industry, governments, and communities is essential to develop effective solutions and ensure a sustainable future for the metals and minerals sector.

By acknowledging the climate challenge and taking concrete steps towards responsible sourcing and sustainable practices, the metals and minerals industry can play a vital role in building a more resilient and environmentally responsible future.

The metals and minerals that underpin our modern world come with a hidden cost: their extraction often leaves a trail of environmental damage. One of the most significant challenges is the excessive use of natural resources, impacting everything from water and land to biodiversity. This unsustainable approach threatens communities, ecosystems, and even our own future.

Water Under Pressure:

Mining activities are major water consumers, often exceeding sustainable limits. From extraction to processing, vast quantities are used, impacting local availability and potentially depriving communities of a vital resource. In arid regions, this can be particularly devastating, leading to water scarcity and conflict. Additionally, contaminated wastewater from mining operations can pollute rivers and groundwater, further jeopardizing freshwater reserves.

Nature’s Disappearing Treasures:

The environmental footprint extends beyond water. Mining disrupts ecosystems, leading to deforestation, habitat loss, and soil erosion. This destruction displaces diverse species, contributing to the global biodiversity crisis. Additionally, the use of heavy machinery and explosives can directly harm wildlife, disrupting their vital habitats and contributing to population declines.

The Ripple Effect:

The impact of natural resource depletion doesn’t stop at the mine site. Pollution from mining operations can travel far and wide, contaminating air, soil, and waterways. This can harm human health, damage crops, and disrupt entire ecosystems. The long-term consequences can be severe, affecting communities far removed from the mining activity.

Towards a Sustainable Future:

Despite the challenges, there’s hope for change. The metals and minerals industry is increasingly recognizing its environmental responsibility and exploring more sustainable practices. These include:

Water conservation: Implementing efficient technologies and recycling wastewater can significantly reduce water consumption.
Renewable energy: Transitioning to renewable energy sources for mining operations can reduce greenhouse gas emissions and dependence on fossil fuels.
Land reclamation: Restoring mined areas and promoting biodiversity can mitigate the environmental impact and create new habitats.
Responsible sourcing: Choosing environmentally responsible suppliers and promoting ethical mining practices can ensure minimal environmental damage.

Collaboration for Change:

Addressing these challenges requires collective action from various stakeholders. Governments need to implement stricter regulations and incentivize sustainable practices. The industry must invest in innovation and prioritize environmental responsibility. Finally, consumers can play a role by demanding ethically sourced and sustainably produced metals and minerals.

By acknowledging the environmental cost of our current practices and working collaboratively towards solutions, we can ensure the continued availability of these essential resources without compromising the health of our planet and well-being of future generations. Remember, the metals and minerals we use today shape not just our present, but also the future we leave behind. Let’s choose a path of responsible extraction and sustainable use, ensuring a brighter future for all.

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The metals and minerals that fuel our modern world often come at a hidden cost: a detrimental impact on human health. From the extraction point to the processing plant and beyond, mining activities can expose workers, communities, and even consumers to harmful substances, leading to a range of health problems.

Dust and Disease:

Dust generated during mining and processing operations poses a major health risk. These fine particles, laden with heavy metals like lead, arsenic, and cadmium, can lodge deep within the lungs, causing respiratory illnesses like silicosis, pneumoconiosis, and even lung cancer. Workers directly exposed face the highest risk, but dust can also travel long distances, impacting nearby communities.

Toxic Waters:

Mining activities can contaminate water sources with heavy metals and other pollutants. These contaminants can then enter the food chain through irrigation or directly impact drinking water supplies. Exposure to such contaminated water can lead to various health problems, including neurological disorders, digestive issues, and even cancer.

Chemical Exposures:

Mining uses various chemicals, including cyanide for gold extraction and mercury for certain processing techniques. These chemicals can pose significant health risks if not handled safely. Workers face exposure through inhalation, skin contact, and even accidental ingestion, leading to symptoms ranging from skin rashes and respiratory problems to neurological damage and organ failure.

Beyond the Mine:

The health impacts of the metals and mining industry extend beyond the immediate vicinity of operations. The globalized nature of the industry means that even seemingly distant communities can be affected. For example, the use of lead in electronics and paints, often sourced from mines with lax environmental standards, has contributed to widespread lead poisoning, particularly in children.

Breaking the Cycle:

Despite these challenges, there are steps being taken to mitigate the health impacts of the metals and mining industry. These include:

Stricter regulations and enforcement: Governments and international bodies can implement stricter regulations on pollution control, waste disposal, and worker safety. Regular inspections and enforcement are crucial to ensure compliance.
Improved technology and practices: Investing in cleaner technologies and adopting responsible mining practices can significantly reduce dust generation, water contamination, and chemical exposure.
Personal protective equipment (PPE): Providing workers with appropriate PPE can minimize their exposure to harmful substances and reduce the risk of health problems.
Community engagement and awareness: Engaging with communities affected by mining activities and raising awareness about potential health risks is crucial for early detection and preventative measures.
Transparency and accountability: Transparency in reporting environmental and health impacts is essential for holding companies accountable and driving positive change.

Building a Healthier Future:

By acknowledging the health risks associated with the metals and mining industry and taking collective action, we can work towards a future where these essential resources are extracted and utilized responsibly, minimizing the harm to human health and the environment. By prioritizing sustainable practices, stricter regulations, and community engagement, we can ensure that the metals and minerals that build our world don’t come at the cost of our well-being.

Possible Responses

Across the industry, various sustainability-related responses and strategies are being attempted.

Roleplayers need to demonstrate that they have developed a system of social responsibility (SR) that is tailored to their operations and considered equal to the company’s economics.

There needs to be commitment to a company culture that regards successful operations as not only those managed to turn a profit, but that they have to be socially responsible.

GRI Sustainability Reporting Standards (GRI Standards) are key for sustainability reporting. They specify the requirements and reporting principles that organizations must comply with to report in accordance with the GRI Standards. Perusing the standards creates awareness of the aspects that impact sustainability.

Procurement Practices
Anti-corruption
Anti-competitive behaviour
Tax
Energy
Water and Effluents
Biodiversity
Employment
Child Labour
Local Communities
Rights of Indigenous Peoples

According to Fair Trade USA, “fair trade is based on the simple idea that the products bought and sold every day are connected to the livelihoods of others, fair trade is a way to make a conscious choice for a better world. A choice for Fair Trade Certified™ goods is a choice to support responsible companies, empower farmers, workers, and fishermen, and protect the environment. In other words, it’s a world-changing way of doing business”.

Fair Trade products are certified on the basis of:
Safe working conditions Environmental protection Sustainable livelihoods Community Development Funds

Role players are developing responses based on Key questions :

Will climate-related risks impact on availability and pricing of essential resources needed for production processes?
Is water risk sufficiently considered in planning processes for production capacities?
What new technologies could support cost efficiency and reduction of CO2 emissions?
Should adaptations of the product portfolio be considered?

Role players are being encouraged to develop and implement climate strategies focused on:

Climate impact: How can we reduce emissions cost-effectively and in line with the requirements of the Paris Climate Convention?
Climate risks: How will society’s response to climate change and the physical effects of global warming affect us ?
Climate Opportunities: What opportunities will present themselves in the context of climate change?

Leading companies are now developing , implementing and disclosing stakeholder engagement strategies and processes.

Genuine and meaningful engagement with those involved and/or affected by role player processes is increasingly being required as evidence that the rights of workers and communities are getting their due attention.

Role players need to put in place measures to address:

Employment and employment relationships.
Conditions of work and social protection.
Social dialogue.
Health and safety at work.
Employee Wellness
Employee Safety
Human development.

There needs to be commitment to:

Fair marketing, factual and unbiased information and fair contractual practices,
Protection of consumers’ health and safety,
Sustainable consumption,
Consumer service, support, and complaint and dispute resolution,
Consumer data protection and privacy

While the trend of linking executive compensation to sustainable development metrics is gaining traction, the exact number of companies doing so across the entire mining and metals sector is not readily available. However, reports suggest that a growing number are incorporating sustainability factors into their remuneration policies, with some estimates reaching around 30% of major companies.

However, it’s important to note that the depth of this integration varies significantly. While most companies may consider some basic environmental factors, only a select few are truly pushing the boundaries. A recent study identified only five companies within the sector that are truly leading the way by linking executive pay to all three key dimensions of sustainable development: environment, nutrition, and social inclusion. These companies are setting a powerful example of how responsible leadership can drive positive change across the entire value chain.

SUSTAINABILITY: A Guide

Real Change needed

Considerations

Possible Responses

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