Stakeholder Newsletter: November 2021

COP26 in Glasgow was an opportunity to unite the world in tackling climate change, and I am privileged to have been able to join colleagues in discussing how we can work together to accelerate action towards the goals of the Paris Agreement and the UN Framework Convention on Climate Change. Mining and metals have a fundamental role to play. They are the beginning of just about every supply chain and are key to creating the technologies that will enable the transition – including within our own sector. I am grateful to Julia Chatterley of CNN for giving me the opportunity to speak about this important point on her programme last week.

Beyond this, it is clear from the focus at Glasgow that the actions of ICMM members in investing in renewable energy and accelerating innovation to enable mining operations to adopt zero emission surface mining vehicles are addressing some of the most critical of issues. That notwithstanding, COP26 also revealed several areas where we are being called upon to go further. Here are my own key takeaways from COP26:

• Target setting to align to a 1.5C trajectory is important but how we get there by 2030 is the critical element that countries will be coming back to address at next year’s COP in Egypt. ICMM’s net-zero commitment will be achieved through meaningful short and/or medium-term targets. These will build the pathways that can serve as the template for others in our wider industry that may need it.

• With a ‘Global Stocktake’ of progress from countries and non-state actors due in 2023, at COP28 in the UAE, and a new standards board (ISSB) set up to ensure robust governance over net-zero claims, the expectations of transparency embedded in our net-zero commitment are even more important.

• Our aim for setting Scope 3 GHG emissions targets ideally by 2023 shows that our commitment to accelerating action on Scope 3 is both timely and necessary. There’s no getting away from it, addressing Scope 3 will be hard but that’s the very reason why we need to lean in to, rather than opt out of, pursuing collective action in this area. Put simply, collective movement on this issue will invoke a tipping point that helps to create progress at scale. And we are determined to play a leading role in overcoming any barriers in advancing emission reductions across value chains.

• A key goal going into COP26 was for the world, led by the Global North, to deliver on the promised climate finance and support for developing nations. While progress has been made, supporting those facing the brunt of climate impacts will continue to be a cornerstone of global climate action. Our role in the social and economic development of local communities will remain a key pillar of our contribution to a fair and just transition to a low carbon economy.

• The deal agreed at COP26 may have its detractors but it’s a lot better than nothing, and credit to Alok Sharma for steering it over the line. While like many of you, I may have personally wished to see something stronger, including on a predictable, long term carbon price, a clear signal has been sent that we must act now to limit global warming to 1.5C. As the first COP to mobilise this level of ambition from business and investors, it’s clear that our industry and value chains have a crucial role in supporting governments, communities and the planet in responding to the effects of climate change, and it is powerful to see so many companies and sectors show their willingness to act in response.

As we look to the future, it is unquestionable that mining and metals will be critical to the delivery of the clean energy and low carbon future that we aspire. This bestows upon us a particular responsibility to ensure that our actions continue to enhance the wellbeing of people and the planet. From this newsletter you’ll see just a few examples of how we are working towards a safe, just and sustainable world enabled by responsibly produced minerals and metals.

This is a pivotal moment in all our history and ICMM is ready to meet this moment to improve performance at scale. This mindset is hardwired into our vision and mission, and was the primary driver of our Mining Principles. As we work towards the development of a new Strategy and Action Plan 2022–2024 you can expect to see demonstrated and dynamic action from ICMM members going forward.

Ro Dhawan
CEO, ICMM

Features

ICMM at COP26

Through our participation at COP26, we encouraged our suppliers and customers to join us in decarbonising our value chains while we support the decarbonisation of the value chains of others. Catch-up on-demand with some of the conversations that we were a part of below:

• CNN: Ro Dhawan joined Julia Chatterley, on First Move, to discuss the role mining plays in our renewable energy future, as well as efforts to decarbonise mining and metals through the accelerating of the availability and uptake of lower emissions vehicle technology. Watch the interview here.
• Sustainalytics: ICMM COO Aidan Davy shared ICMM’s recently launched Water Reporting: Good practice guide, which facilitates greater transparency by committing members to publicly report their water performance, material risks, opportunities and management response. Watch the event on-demand here.
• EITI and Chatham House: Ro Dhawan discussed how collective action and data analysis can manage risks associated with extractives dependence, and enhance access to the opportunities that climate commitments can unlock. Register to watch the event on-demand here.
• Climate Action’s Sustainable Innovation Forum: Ro Dhawan and BMO Capital Markets’ Jonathan Hackett discussed how collective movement on an issue can create a tipping point for genuine progress. Register to watch the event on-demand here.

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Mine closure challenges for government and industry

“Mine closure is a complex multidisciplinary undertaking, requiring several years of planning and a coordinated effort from government and industry stakeholders, ideally right from the start of mine planning” writes ICMM’s closure lead Dawn Brock and IGF’s Rob Stevens. Check out their joint blog, which considers some of the challenges that industry and government face as they build experience and expertise in mine closure. Dawn and Rob will also be co-presenting at the CRC TiME 2021 Forum at the end of the month. Register for this event here.

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ILiA and CAMIMEX join as association members

ICMM’s association members play a central role in our work to build a safe, just and sustainable industry. In September, ICMM welcomed the International Lithium Association (ILiA) and Cámara Minera de México (CAMIMEX) as our 36th and 37th association members. ILiA represents leading producers of lithium, and was formed to promote a sustainable and a responsible future for the lithium value chain, while CAMIMEX promotes the implementation of good environmental, social and governance practices to strengthen industry performance in Mexico. Learn more here.

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Equivalency with Responsible Jewellery Council’s Code of Practices

ICMM and the Responsible Jewellery Council have published an equivalency benchmark that compares the requirements of ICMM’s Mining Principles with the Responsible Jewellery Council’s Code of Practices. This marks the sixth equivalency benchmark published by ICMM, all of which aim to simplify and improve understanding of where there are similarities and differences between standards. This work makes self-assessment and third-party validation more efficent, while improving transparency. Learn more here.

Cleaner Mining in Focus

Mining with principles at Boliden’s Aitik mine in Sweden

Reducing GHG emissions requires new ways of working and technologies to transform how mining operations recover the metals and minerals that society depends on. One way that ICMM members can reduce their emissions is through the electrification of their transportation systems. Boliden, for example, has installed trolley assist technology at its Aitik copper mine in Sweden, as a step towards its vision of fossil fuel-free operations. Learn more here.

In Conversation with ICMM

ICMM’s new Water Reporting: Good Practice Guide broadens ICMM’s minimum reporting commitments to include new metrics for disclosure to improve the quality and consistency of corporate water reporting. It also supports companies and the wider industry to disclose water data in a consistent way for easier comparison. The report was launched at a dedicated event moderated by Aidan Davy and including industry, investor and NGO stakeholders.

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Reuters IMPACT: ICMM brought together a panel that included company member CEOs, UNFCCC High-Level Climate Action Champion Gonzalo Muñoz and WWF’s Global Leader of Climate & Energy Manuel Pulgar-Vidal to discuss how the mining and metals industry is making progress towards the goals of the Paris Agreement. Moderated by Ro Dhawan, the event also marked the launch of ICMM’s net-zero Scopes 1 and 2 GHG emissions commitment. Register to watch the event on demand.

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FT Live’s Mining Summit: Ro Dhawan and Aidan Davy joined speakers to discuss how the industry can grow not only financially but responsibly. Register to watch the event on demand.

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UNCTAD’s Global Commodities Forum: ICMM's Nicky Black discussed how countries well-endowed in the commodities required by the surge in renewable energy technologies could benefit from energy transition. Watch the event on demand here.

Up-Coming Events

Mines & Money London: The future of the gold mining industry
Hybrid event • 2 December 2021 (1.50pm GMT)

Ro Dhawan will join ICMM member CEO Mark Bristow for a fireside chat on the role of gold in the energy transition, and how the sector can contribute to the achievement of the SDGs. Register here.

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