The mining industry has a role to play in sustainability and mining companies have the potential to become leading partners in achieving the United Nations’ (UN’s) Sustainable Development Goals (SDGs), especially with environmental, social and governance (ESG) becoming ever more imperative.
Speaking on day two of Smart Procurement World’s Sustainability Summit Africa on May 19, diversified miner Anglo American London international government relations head Richard Morgan noted that there was a need to improve accountability, with external expectations requiring that mines take a clearer public position on key societal issues.
He noted that the Covid-19 pandemic had amplified this, with mining classed as an essential service. The mining industry had been challenged to show it could help address systematic underlying issues such as inequality and building inclusive economies, which were brought to the fore during the pandemic.
Therefore, while ESG movements were becoming mainstream before, this was now accelerating, he said.
With regard to society, he highlighted that the future of work, the Fourth Industrial Revolution (4IR) and remote working has pressed Anglo to become more systematic, strategic and holistic in its approach.
With regard to the environment, the pandemic showcased the need for greater eco-sensitivity with regard to finite resources; and for more forward positions on climate change, a circular economy, water and biodiversity, noted Morgan.
He said the rush to electric vehicles and renewable energy solutions meant that the company was investing to be a part of this new green economy.
With regard to governance, Morgan said the company needed to be a good corporate citizen and to participate in a wider agenda where mutually agreed policy formulation, open disclosure, rule of law, capacity building and leadership development were pivotal.
One of the tools to engender sustainability globally is pursuing the UN SDGs. Morgan said government resources were increasingly becoming stretched to achieve the SDGs and that companies should be encouraged to contribute to reaching the goals.
He said Anglo was conscientious of the SDGs and that it assessed its own footprint against these. The company’s sustainable mining plan, launched in 2018, had incorporated SDG inputs.
Therefore, achieving and moving forward on SDGs was integrated into the company’s mining plan, he noted.
The company’s plan is built around three major areas, or global sustainability pillars, aligned to the SDGs, and it has a set of global goals relating to each of these.
Morgan said that, in implementing this plan, 14 SDGs were brought to the fore.
Firm DBK Advisory South Africa cofounder and director Aiden Choles, meanwhile, said that, in aiming to meet the SDGs and other new-era requirements, mining companies had to balance keeping the core of the business together, while aligning with increasing expectations from society and stakeholders, all within the context of local needs.
He said there was a business case to undertaking this, such as reducing performance risk exposure and an opportunity to look differently at solutions and processes.
