icmm sustainbale mining framework

8/12/2019 ICMM Sustainbale Mining Framework

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A SUSTAINED COMMITMENT

TO IMPROVED INDUSTRY

PERFORMANCE

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The Challenge for theMining and Metals Industry

Minerals and metals lie at the foundation of todays world.But the products themselves, as well as their extraction and usecan have significant implications to people and the environment,implications that ripple out across space and time.

Some of those implications are very positive, some can be harmful.They cover a broad spectrum: environmental, economic, social,health, safety, cultural, political and even spiritual.

Our challenge is to ensure that these implications add up to anet positive contribution over the long term to individuals, theirfamilies and communities, to the countries in which we operateand the enveloping ecosystem. In so doing, we enhance security,

touching on the most basic of human and ecological needs. Wecan then serve as we need to serve - as a bridge to the future.

We are a CEO-led organization whose members are committedto improving their sustainable development performance. TheSustainable Development Framework is a key tool to assist themto achieve this.

We would welcome your feedback on the Framework as it isprogressively implemented.

R. Anthony HodgePresident

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PROVIDING

LEADERSHIP FORA SUSTAINABLEFUTURE

Member CEOs have committed

their companies to implementthe ICMM Sustainable

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ICMMs vision is a viable mining,minerals and metals industry thatis widely recognized as essential formodern living and a key contributor

to sustainable development

10 Principles for sustainabledevelopment which corporatemembers are required to implementthroughout their businesses

A commitment by corporatemembers to publicly reportperformance against the 10Principles in line with theGlobal Reporting Initiative (GRI)2006 Sustainability ReportingGuidelines (G3) and Mining andMetals Sector Supplement

Independent external assuranceof the reported performance ofcorporate members against the10 Principles and GRI reportingrequirements

www.icmm.com/our-work/sustainable-development-framework

The 3 fundamental elements of the FrameworkBy committing to these elements, ICMM corporate members are providing leadership toimprove their sustainable development performance.

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Building a Mandatory

Sustainable DevelopmentFrameworkHow it beganICMM came into being following a three-year multi-stakeholder review process known as theGlobal Mining Initiative (GMI) launched in 1998 by the Chief Executive Officers (CEOs) of nine ofthe largest mining and metals companies. They recognized that the various challenges facingthe sector were beyond the capacity of companies working alone.

Initially the GMI involved the Mining Minerals and Sustainable Development (MMSD) project -a two-year, independently-assured research project to better understand the issues facing thesector and how they might be addressed. This was conducted by the respected International

Institute for Environment and Development, and involved consultation with scores ofstakeholder groups across the world. Its concluding report, Breaking New Ground, issueddetailed recommendations to companies, governments, and other actors.

Another key output of the GMI was the recognition by the leading companies that, goingforward, industry representation in this area needed to be broadened and given a moreambitious mandate. Hence, in 2001, ICMM was established.

Towards the end of the process the GMI involved a global conference in Toronto in May 2002,which enabled the participants to prepare for the World Summit on Sustainable Developmentlater that year. At the end of the conference CEOs of ICMM member companies adopted theToronto Declaration which sets out various important commitments.

The highest levels of the mining and metals industry recognized that a

substantial cultural shift was needed if it was to prosper in the future.

www.icmm.com/our-work/sustainable-development-framework 07


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01 PRINCIPLES

10 Principles for sustainabledevelopment performance

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Our Principles are the basis on whichICMM members continually strive to improvesustainable development performance.Leigh Clifford, former ICMM Chairman and Chief Executive of Rio Tinto

Implement and maintain ethical business practices and

sound systems of corporate governance Develop and implement company statements of ethical business principles and practices

that management is committed to enforcing

Implement policies and practices that seek to prevent bribery and corruption Comply with or exceed the requirements of host-country laws and regulations Work with governments, industry and other stakeholders to achieve appropriate and

effective public policy, laws, regulations and procedures that facilitate the mining, mineralsand metals sector's contribution to sustainable development within national sustainabledevelopment strategies

Integrate sustainable development considerations within

the corporate decision-making process Integrate sustainable development principles into company policies and practices Plan, design, operate and close operations in a manner that enhances sustainable

development Implement good practice and innovate to improve social, environmental and economic

performance while enhancing shareholder value Encourage customers, business partners and suppliers of goods and services to adopt

principles and practices that are comparable to our own Provide sustainable development training to ensure adequate competency at all levels

among our own employees and those of contractors

Support public policies and practices that foster open and competitive markets

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www.icmm.com/our-work/sustainable-development-framework/10-principles

In May 2003, ICMMs CEO-led Council committed corporatemembers to implement and measure their performance against10 Principles.

The 10 Principles were developed by benchmarking againstother leading global standards including: the 1992 RioDeclaration, the Global Reporting Initiative, the OECD Guidelinesfor Multinational Enterprises, the social and environmentalSafeguard Policies of the International Finance Corporation (partof the World Bank Group), the OECD Convention on CombatingBribery, ILO Conventions 98, 169, 176, and the VoluntaryPrinciples on Human Rights and Security.

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Uphold fundamental human rights and respect cultures,

customs and values in dealings with employees and others

who are affected by our activities Ensure fair remuneration and work conditions for all employees and do not use forced,

compulsory or child labour Provide for the constructive engagement of employees on matters of mutual concern Implement policies and practices designed to eliminate harassment and unfair

discrimination in all aspects of our activities Ensure that all relevant staff, including security personnel, are provided with appropriate

cultural and human rights training and guidance Minimize involuntary resettlement, and compensate fairly for adverse effects on the

community where they cannot be avoided Respect the culture and heritage of local communities, including Indigenous Peoples

Implement risk management strategies based on valid dataand sound science Consult with interested and affected parties in the identification, assessment and

management of all significant social, health, safety, environmental and economic impactsassociated with our activities

Ensure regular review and updating of risk management systems Inform potentially affected parties of significant risks from mining, minerals and metals

operations and of the measures that will be taken to manage the potential risks effectively Develop, maintain and test effective emergency response procedures in collaboration with

potentially affected parties

Seek continual improvement of our health and safety

performance Implement a management system focused on continual improvement of all aspects of

operations that could have a significant impact on the health and safety of our ownemployees, those of contractors and the communities where we operate

Take all practical and reasonable measures to eliminate workplace fatalities, injuries and

diseases among our own employees and those of contractors Provide all employees with health and safety training, and require employees of contractorsto have undergone such training

Implement regular health surveillance and risk-based monitoring of employees Rehabilitate and reintegrate employees into operations following illness or injury, where

feasible

Seek continual improvement of our environmental

performance

Assess the positive and negative, the direct and indirect, and the cumulative environmentalimpacts of new projects - from exploration through closure

Implement an environmental management system focused on continual improvement toreview, prevent, mitigate or ameliorate adverse environmental impacts

Rehabilitate land disturbed or occupied by operations in accordance with appropriate post-mining land uses

Provide for safe storage and disposal of residual wastes and process residues Design and plan all operations so that adequate resources are available to meet the closure

requirements of all operations

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www.icmm.com/our-work/sustainable-development-framework/10-principles10

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Contribute to conservation of biodiversity and integrated

approaches to land use planning Respect legally designated protected areas Disseminate scientific data on and promote practices and experiences in biodiversity

assessment and management

Support the development and implementation of scientifically sound, inclusive andtransparent procedures for integrated approaches to land use planning, biodiversity,conservation and mining

Facilitate and encourage responsible product design, use,

re-use, recycling and disposal of our products Advance understanding of the properties of metals and minerals and their life-cycle effects

on human health and the environment

Conduct or support research and innovation that promotes the use of products andtechnologies that are safe and efficient in their use of energy, natural resources and othermaterials

Develop and promote the concept of integrated materials management throughout themetals and minerals value chain

Provide regulators and other stakeholders with scientifically sound data and analysisregarding our products and operations as a basis for regulatory decisions

Support the development of scientifically sound policies, regulations, product standardsand material choice decisions that encourage the safe use of mineral and metal products

Contribute to the social, economic and institutionaldevelopment of the communities in which we operate Engage at the earliest practical stage with likely affected parties to discuss and respond

to issues and conflicts concerning the management of social impacts Ensure that appropriate systems are in place for ongoing interaction with affected parties,

making sure that minorities and other marginalized groups have equitable and culturallyappropriate means of engagement

Contribute to community development from project development through closure in

collaboration with host communities and their representatives Encourage partnerships with governments and non-governmental organizations to ensure

that programs (such as community health, education, local business development) are welldesigned and effectively delivered

Enhance social and economic development by seeking opportunities to address poverty

Implement effective and transparent engagement,

communication and independently verified reporting

arrangements with our stakeholders Report on our economic, social and environmental performance and contribution to

sustainable development Provide information that is timely, accurate and relevant Engage with and respond to stakeholders through open consultation processes

The Principles are also available in Spanish, French, Portuguese, Japanese, Russian, and Chinese.

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02 PUBLIC REPORTING

A common approach for reporting

performance against the 10 Principles

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ICMM members have backed up their long-term commitment to sustainability by aiming

for an unprecedented level of transparency.Ernst Ligteringen, GRI, Chief Executive

www.icmm.com/our-work/sustainable-development-framework/public-reporting

In May 2008, the ICMM Council of CEOs updated and reinforced existing requirements

on public disclosure by committing member companies to report in line with the2006 Global Reporting Initiative (GRI) G3 Sustainability Reporting Guidelines andMining and Metals Sector Supplement.

The transition to G3 will ensure ICMM members are at the leading edge of best practice insustainability reporting, as the members are required to report to the A+ application level.This represents the highest level of reporting against the three categories of standard

disclosures; strategy and profile, management approach and performance indicators whichprovide the basis for ICMM members to report their economic, environmental and socialperformance against the 10 Principles.

Member companies must implement the reporting commitments for their 2010 sustainabilityreports (i.e. their reports for the financial year ending December 2009 or March 2010).

To review or download the current version* of the GRI Mining and Metals Sector Supplement(MMSS) go to www.icmm.com/our-work/sustainable-development-framework/public-reportingIt is currently available in English, Spanish and Japanese.

*In July 2008, GRI initiated a review of the Pilot MMSS through a multi-stakeholder process, with a view to its revision overa 12 month period.

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03 INDEPENDENT ASSURANCE

Providing independent external assurance that

members are meeting their commitments

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www.icmm.com/our-work/sustainable-development-framework/assurance

In May 2008, the ICMM Council of CEOs approved a revised Assurance Procedure,emphasising a shared commitment to independent external assurance ofmembers' publicly reported sustainable development performance.

Assurance applies to members commitments to the ICMM Principles and to reporting against the GRI G3Sustainability Reporting Guidelines and related Mining and Metals Sector Supplement. The revised AssuranceProcedure reflects the experience of members, emerging trends in the professional field of external assuranceservice provision, and ICMMs strengthened commitments around public reporting.

In practice, the ICMM Assurance Procedure requires members to:

Include in a public report, statements on how the company complies with the 10 ICMM Principles andrelated reporting commitments

Seek external confirmation that their sustainability reports meets the A+ application level of the G3 Guidelines Have their sustainability reports assured by a third party consistent with the procedure

This approach is intended to give stakeholders assurance over public statements describing how the ICMM SD

Framework is being consistently implemented in all member companies.

Member companies must implement the Assurance commitments for their 2010 sustainability reports (i.e. theirreports for the financial year ending December 2009 or March 2010).

External assurance of ICMM member commitmentsto the implementation of our 10 sustainable developmentprinciples and to GRI reporting is a vital step in improvingour performance and building credibility.Richard Adkerson, ICMM Chairman, and President and Chief Executive Officer, Freeport-McMoRan Copper & Gold

The Sustainable Development Framework: AssuranceProcedure is available to download from our website,

http://www.icmm.com/document/292

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04 SUPPORTING THE FRAMEWORK

Providing practical resources to support

implementation of the 10 Principles

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ICMM works with other

organizations to put the10 Principles into practiceTo assist members in implementing the 10 Principles, which are often quite generalstatements of intent, ICMM has developed position statements, practical tools and good

practice guidance.

Recognizing that sustainable development outcomes depend on collaborative actions bygovernments, labour and non-governmental organizations, international financial institutionsand companies, ICMM works in partnership with many of these institutions.

Our position statements include Indigenous Peoples, mining in or near protected areas, the

Extractive Industries Transparency Initiative, and climate change. In partnership with others,we have produced good practice guidance on issues such as biodiversity, emergency proceduresat the local level and metals environmental risk assessment. Practical toolkits on communitydevelopment and the Resource Endowment initiative have also been produced with our partners.

Underpinning ICMMs work is a commitment to share and disseminate good practice acrossthe industry through participation in conferences, training events, and important internationalinitiatives such as the World Bank Extractive Industries Advisory Group and the ExtractiveIndustries Transparency Initiative. The practical resources ICMM produces are freely availableto help improve sustainable development performance across the industry.

All ICMM publications are available on the Good Practice Mining website atwww.goodpracticemining.org alongside resources produced by other organizations.The website was developed by ICMM in partnership with the United Nations EnvironmentProgramme, the UK Department for International Development and the United Nations

Conference on Trade and Development. The website also has a section containing goodpractice references on tailings, developed with the International Commission on Large Dams.

www.icmm.com/our-work/sustainable-development-framework

(Partners in the development in the Good Practice Mining website)

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For full details of ICMM Corporate and Association members, please visit:

www.icmm.com/members/member-companies

Our commitment to principles ofsustainable development runs deep;

turning words into concrete actionsis our task, and doing so throughcollaboration with all those touched

by mining is the way we must proceed.R. Anthony Hodge, ICMM President

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The designations employed and the presentation of the materialin this publication do not imply the expression of any opinionwhatsoever on the part of the International Council on Mining andMetals concerning the legal status of any country, territory, city orarea or of its authorities, or concerning delimitation of its frontiersor boundaries. Moreover, the views expressed do not necessarilyrepresent the decision or the stated policy of the InternationalCouncil on Mining and Metals, nor does citing of trade names orcommercial processes constitute endorsement.

Published by International Council on Mining and Metals (ICMM),London, UK

2008 International Council on Mining and Metals

The ICMM logo is a trade mark of the International Council on Miningand Metals. Registered in the United Kingdom, Australia and Japan


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Contact InformationEmail: [email protected]: +44 (0)20 7467 5070

International Council on Mining and Metals (ICMM)35/38 Portman SquareLondon W1H 6LRUnited Kingdom

This paper (Challenger Offset) is made from ECF (Elemental Chlorine Free) woodpulps in accordance with EMAS and ISO 14001, the international standard that specifiesa process for controlling and improving a companys environmental performance.

The inks used to print this brochure are formulated from renewable resourcesand are about as environmentally friendly as can be reasonably expected.

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