Responsible Minerals Initiative unveils ESG Standard
The Responsible Minerals Initiative (RMI) of the Responsible Business Alliance (RBA) today announced the release of its Environmental, Social & Governance (ESG) Standard to further improve conditions for workers, address environmental and community impacts, and manage governance risks in all mineral supply chains.
Responsible Supply Chains
The Responsible Minerals Assurance Process (RMAP) ESG Standard leverages the RMI’s extensive experience in minerals supply chain assurance and benchmarking against internationally recognized frameworks. The new Standard provides a set of criteria applicable to mineral processors, smelters and refiners, including those integrated with mine sites, in all countries and marks a significant expansion of the RMI’s scope, going beyond the OECD Due Diligence Guidance for Responsible Supply Chains of Minerals from Conflict-Affected and High-Risk Areas.
The RMI’s ESG Standard includes several key components:
- Environmental criteria cover the impact from operations on the environment and biodiversity as well as on communities adjacent to companies’ operations.
- Occupational health and safety provisions address company hygiene, safe operation of equipment, personal protection requirements and access to first aid and canteens.
- Social obligations cover a range of labor practices such as age of employment, fair working hours, minimum wages and overtime, grievance mechanisms, freedom of association and diversity provisions, including women’s rights and under-represented communities.
- Governance requirements ensure that businesses are duly registered, adhere to laws and regulations.
“The RMI’s ESG Standard offers the most comprehensive set of Environmental, Social & Governance requirements globally for facilities sourcing and processing minerals,” said Leah Butler, Vice President of Responsible Sourcing at the Responsible Business Alliance.
“This Standard will help companies meet government, investor, customer and regulatory requirements, such as the expectations set by EU Due Diligence frameworks and the London Metals Exchange (LME).”
Building on the RMI's Risk Readiness Assessment framework and the RBA’s Validated Assessment Program (VAP), the ESG Standard focuses on site-level facility operations as a complement to supply chain management aspects that are already covered by existing RMAP minerals due diligence standards. Facilities that undergo the RMI’s ESG Standard will be publicly recognised on the RMI’s website.
Responsible Minerals Initiative
The Responsible Minerals Initiative (RMI) is an initiative of the Responsible Business Alliance (RBA). The RMI is a multi-industry initiative with more than 400-member companies. Its members contribute to the development and international uptake of a range of tools and resources focused on minerals supply chain due diligence, including independent third-party audit programs for smelters, Minerals Reporting Templates, supply chain risk assessment tools, Country of Origin data, and guidance documents on responsible sourcing of all minerals/metals.
The RMI runs regular workshops on responsible sourcing issues and contributes to policy development with civil society organizations and governments. For more information, visit ResponsibleMineralsInitiative.org
People Moves: Peter Cunningham appointed Rio Tinto CFO
Rio Tinto has appointed Peter Cunningham as Chief Financial Officer (CFO) with immediate effect. Peter, who has been Interim Chief Financial Officer since 1 January 2021, will also join the Rio Tinto Board as an executive director at the same time.
Peter Cunningham appointed Rio Tinto CFO
Peter Cunningham was previously Group Controller and has held a number of senior financial and non-financial leadership positions across Rio Tinto in Australia and the UK. In a career spanning 28 years with Rio Tinto, he has held roles including Global Head of Health, Safety, Environment & Communities; Head of Energy and Climate Strategy; and Head of Investor Relations.
Prior to joining Rio Tinto, Peter qualified as a chartered accountant.
Rio Tinto CEO Jakob Stausholm commented: “I am delighted to confirm Peter in the role and, having worked closely with him for a number of years, I know he is the ideal person to be our Chief Financial Officer. His detailed knowledge of the company and of the financial and non-financial drivers of our industry will be invaluable as we continue to strengthen Rio Tinto.”
Rio Tinto Chairman Simon Thompson added: "I look forward to Peter joining the Rio Tinto Board and know from experience that his deep understanding of Rio Tinto and commitment to disciplined capital allocation will serve shareholders well and enrich our Board discussions.”
Rio Tinto aiming for net zero by 2050
Rio Tinto is aiming to reach net zero emissions across its operations by 2050. Across the company, it is targeting a 15% reduction in absolute emissions and a 30% reduction in emissions intensity by 2030, from a 2018 baseline.
Aluminium is found in everything from cars to phones. But one of the challenges of producing this essential material responsibly is finding ways to decarbonise the process.
Part of the reason is creating alumina – the main ingredient in aluminium – takes a lot of energy, which in turn creates greenhouse gas emissions. New technologies will be essential to helping reduce emissions, but many haven’t been proven. And some not yet even discovered. Rio Tinto is partnering with the Australian Renewable Energy Agency (ARENA)to develop hydrogen energy options and make a positive step towards these goals.