Electricity and Control July 2021

ENGINEERING THE FUTURE

mobility and electronics in the EU and elsewhere rely substantially on a range of key minerals – and hence on mining. Inputs in these technologies use minerals such as quartz in photovoltaic cells, copper in wind turbines, gold in computer microchips, lithium in batteries, and tantalum in electronic devices. With many of these commodities already flagged as potential conflict minerals, the project aims to bring together the main actors in these supply chains – business, policymakers and civil society – to talk about sustainability. “There is a depth of knowledge in continents like Africa about responsible sourcing and how these initiatives by the EU can be guided and supported,” said Dr Masuma Farooki, Consulting Director at research group MineHutte (UK) and Senior Researcher for RE-SOURCING. “To ensure that the policy and regulatory efforts by the EU are well considered and achieve the intended results, the experience and expertise of local organisations and professionals is essential.” Dr Farooki said SRK Consulting is playing a valuable role in the consortium through its practical insights and voice of reasonableness, with professionals in the organisation highlighting the likely on-the-ground effects of policy and regulatory decisions. Responsible conduct Providing the context for RE-SOURCING is the European Green Deal, which aims to make Europe the world’s first climate-neutral continent by 2050. The transition to this goal is expected to be based in part on environmentally friendly, socially equitable and economically profitable sourcing in global mineral value chains. By developing roadmaps for responsible sourcing – focusing on the renewable energy, mobility, and electrical and electronic equipment sectors – the RE-SOURCING project plans to deliver a range of benefits to the respective stakeholders. For EU and global businesses, it will build their capacity to implement responsible business practices and compliance with current and future regulations. This will be based on creating a lasting and stable sectoral framework for competitive and future-oriented EU markets. The project will also improve the capacity of EU policymakers to design and implement effective responsible sourcing policies, to stimulate wider compliance in the private sector. For civil society, RE-SOURCING is integrating sustainable development and environmental concerns into the discourse of responsible sourcing, while helping create a level playing field in international political forums and on the business agenda. Defining ‘responsible’ Stakeholders at various levels and of various designations will contribute towards defining the concept of responsible sourcing, according to Bjanka Korb, Senior Engineer at SRK Consulting. “The project provides a role for Africa to help pioneer – at the definition stage – what this process will

mean for mining regions,” she said. At the heart of imple- menting this vision of re- sponsible sourcing is the need to consider the live- lihoods of participants in the supply chain, and how these livelihoods could be affected by standards im- posed by Europe. Lisl Pullinger, Principal Consultant – ESG at SRK Consulting said, “The in- tent of this initiative is to optimise positive impacts generated by the way that minerals are sourced. How we define responsible sourcing forces us to ask

Lisl Pullinger, Principal Consultant – ESG at SRK Consulting.

the difficult questions about how sourcing standards could have unintended effects on livelihoods in Africa. If liveli- hoods are undermined, for instance, are those standards really responsible?” Pullinger highlighted that the process is even more relevant in the context of the economic disruption resulting from the Covid-19 pandemic, where the inequalities between regions have been brought into stark contrast. Engagement vital One of SRK Consulting’s functions will be to facilitate the input of a forum of stakeholders from sub-Saharan Africa next year. Van Zyl said, “This process should have wide interest and engagement, allowing organisations to flag possible unintended consequences of future European directives aimed at responsible sourcing – before those directives are applied. This recognises that there are many national standards to which mines already comply, which do not need to be reinvented. The standards have been developed following ongoing, proactive engagement among stakeholders.” He highlighted the potential for significant disruption to supply chains originating in Africa, if any directive happened to include well-intentioned requirements with which it would be difficult or impossible to comply. “We expect the mining sector to be enthusiastic about participating in these consultations as the initiative presents a good risk management strategy and an effective way of providing price support for acting responsibly,” he said. “Those responsible miners – who have chosen to embrace the opportunities and challenges of responsible mining – can only gain from well-considered responsible sourcing standards being applied to every player in the sector.”

For more information visit: www.srk.co.za

Electricity + Control JULY 2021

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